Anyone investing in coastal south jersey

10 Replies

hey guys,

   Is anyone flipping, buying down in barnaget, manahawkin areas of jersey. Im setting up a possible meet with a few agents out there seen some properties out there that i would be interested in dealing with, but wondering about the area in terms of the market out there.. Any help would be greatly appreciated. 

Thanks 

I've thought about doing a house down around sea isle this summer if I could find one but I feel like new construction runs the show down there... I'm not sure about the two shore cities you mentioned.

I know manahawkin had the building boom, but the also have theyre established neighborhoods that give you that family feel. Barnaget i dont know much about. If i ask the agent about the market, theyll tell me oh yea its great lol. 

Hey Alfonso,

I'm from the north Jersey area, and I had a similar thought. I was looking in the Lavalette, Chadwick, Ortley area, and I spoke with a few Realtors. I was told that it's a bit difficult right now, because the lenders in the area are hesitant to write loans on Sandy properties, and most of the ones that are being rebuilt have been purchased all cash. A friend of mine just picked up a condo in Seaside. It was in need of complete rehab, so he put up the money for the rehab before purchasing, and worked with the seller to have a contractor come in. Once it was done the bank wrote him a mortgage without any issues. He paid around 20k for the rehab, and 100k for the property. Maybe not a terrible deal, but I'd stay away from seaside specifically at all costs. 

Jersey Shore is pricey if it's on the water. I was dating a girl in Bayonne who bought a place on the water in Tuckerton for 104,000 back in 2001. In early 2003 she was offered 220,000 for it. Although she decided to keep it and have it modified for her daughter who is handicapped.

I was dating another girl who was left a house in North Wildwood a couple blocks from the beach. The place needed a lot of work but was worth about 200,000 at the time (Summer of 2013). I also have friends with a small commercial property in Ship Bottom. During the boom I was hearing numbers like 1,000,000 for that place. It was a really good location though. Almost all traffic coming off the causeway into the island could see the place.

Inland a few miles everything gets cheap although the taxes are kinda high. On the west coast of South Jersey there are a lot of bargains. Towns are kinda sleepy, but for someone who wanted to live on the water and was into boating and fishing it's really a nice affordable area. Not much work or tourism money on the west coast though. Not to mention, it's about a good hour's commute to get to anyplace where there is work.

Keep in mind, short distances at the Jersey Shore can cause huge differences in value. A quarter mile can easily double values.

I'd agree with the sea side part, but the areas I'm interested weren't touch by the Sandy event. At least in Manahawkin, I know this cause my in laws have a house there. Barnaget I have no idea about. Manahawkin have some nice areas and they built it up with all the big box stores now but if I find out some good information I'll pass it along back here.

Just thinking, What about Asbury Park? I was working for an electrical contractor down there a few years back. The place was ghetto almost all the way to the waterfront. But money was starting to be invested along the water. I forget what year that was, but the Metropolitan and Palace Amusements were still standing, although ready for demo (probably 2008ish)

Asbury has some areas that are great from what I seen but those are the mansion areas, I was out there for bamboozle a few years back and drove through some areas but I see how other areas are the ghetto 

Asbury Park is increasingly gentrifying. There is an ongoing effort to revamp the area by the boardwalk and bring in higher income tenants and condo owners. It appears to be a very slow process. That said Cookman Ave, the main business strip off of Main Street has been steadily growing and improving. It's a trendy section and the area has plenty of potential, but Asbury Park as a whole still has its problems and could be a gamble. 

Alfonso,

IMHO there are some great opportunities in Monmouth and Ocean counties. That said everyone has different thoughts and ideas on what is a great opportunity or even an opportunity. I know the areas you speak of well and if you create a solid business plan and educate yourself as best you can (from sites like bp) the chances of success increase. NEVER A GUARANTEE remember that. I have some friends in Manahawkin/Stafford that are getting killed because their tenants "USED TO" work in A/C. Another friend of mine is picking up homes on the cheap (but often all cash) and putting a little into them and flipping tem quick walking away with 15k-25k after all expenses in about 60-90 days. But again he is a huge single hitter and not swinging for the fences. 

Wally

Join the Largest Real Estate Investing Community

Basic membership is free, forever.