Starting out in New Jersey

[Henry L.]

All:  I'm just starting out in NJ, and I was hoping to get some good advice.

My goals are to get into the pattern of doing 4 rehabs a year and 1 buy-and-hold a year.

I'm considering buying a 3-family (about $300K-$400K) or a 2-family home ($230K- $280K) as a buy-and-home investment property. I can't get out of my current apartment lease until next July without a big penalty, so I can't do an FHA loan.

However, if I buy even a $300K home, that ties up at least $75K of my cash (25% of $300K) but I seem to have a hard time finding good rehab deals (any wholesalers want to bring me a deal? :) ).

Should I go for it and buy a 3-family home for about $300K, and then just keep saying money till I have enough for a rehab later?  Or should I focus on doing a few rehabs first, and then purchase a buy-and-hold later?