Modular Multi-families in NJ

[Kyle P.]

Hi All,

I am new to to real estate. I don't have any property as of now, but I will be looking to purchase something in central NJ sometime in 2018. I am interested in the idea of a live-in multi-family rental, but the multi-families in central NJ are generally not in good neighborhoods. I was thinking about purchasing a lot in a good neighborhood and putting a multi-family modular home on it. As long as that specific township doesn't forbid new multi-families, I can't think of any issues with this. Does anyone have any input or experience doing anything like this? Also, is the total price of a lot and construction combo cheaper/more expensive/about the same as buying an already existing property?

Thank you for your help.

[Justin Fraser]

Hey @Kyle P. I think the most accurate way to answer this question is to go find a lot for sale in a town you like, and go talk to a modular home builder. Get quotes and go through the process as if you were going to buy the lot and build the home.

Don't forget other expenses besides the building which may or may not be included in the modular price such as foundation, finishing work, and water/sewer (well/septic if necessary) hookups. Of course you'll also have to check with the town about the zoning on the lot.