All Forum Posts by: Nehru Raju

I wish there could be better deal but overall in NJ especially, almost 90% of properties that are in good condition without major repairs needed is in negative cash flow graph. Hoping this will be better in near future.

Yes, the properties in this area especially condos / townhomes increased by almost 20% in last 7 months. So, I am optimistic that it will increase in next one year with less interest rates that’s projected. So it’s a little gamble that’s taking here as it cost extra as 700 per month around 8.4K per year from my pocket . At the same time it will be covered by another property 200 per month around 2.4K per year. So in total net -6k per year which I am gambling currently in hope of it will yield returns and add some tax advantages to it. 

Hi,

I recently purchased my first rental property in VA and it generates positive cash flow around 250 after all expenses, insurances etc.

I am trying to purchase another property(Condo) in Franklin Park, NJ. With HOA and other expenses like insurance, taxes, it will generate around negative cash flow of around 700 dollars per month. The reason I am interested is I lived in this area and it still has a lot of potential for growth and felt it will yield good returns in next two years if sell the property. Vacancy won't be an issue in this area and pretty confident it will be filled up as it's near to almost everything like train stations, grocery stores, hospitals etc. So until then, it will be negative asset to me.

I would like to make a decision before it's too late as I bid with asking price , Am I over optimistic or let it go? Will there be any advantage on taxes considering two properties with one being positive cash flow and other will be negative cash flow?

Property Info : 320K, 2 Bed, 2 bath, Condo, Franklin Park, NJ