First multi family investment

[Nick Payton]

I am new to Bigger Pockets, and this is my first forum post.

My fiance and I are looking into buying our first home. I have decided that instead of purchasing a single family home for ourselves, we have begun looking into the purchase of a multi family investment property in South Jersey (ie. Camden/Burlington Counties).

I've looked on the market and determined that it is mostly duplexes, and a few more expensive 3 and 4 units. The most likely scenario is for us is the purchase of a duplex, in which we will live in one of the units. This satisfies both my desire for a multi family, and my fiance's desire to feel comfortable and not feel like we're living in an apartment.

The ultimate goal is to cover the mortgage, after the 50% rule, and save the cash flow for a second property in a year or so.

I would love to hear from others who began in a similar fashion. Also, anyone who has experience in this market. Taxes in this area can be fairly significant so that is something I will have to consider when running the numbers.

[Michael Lebeau]

Hey @Nick Payton welcome to the forum!

Buying a multifamily home and living in it is a great starting point!

I was in the same position as you a year ago. I ended up purchasing a 3 family with the first floor vacant. I moved in with my fiance and inherited amazing tenants on the 2 upper floors. I couldn't be more happy! Mortgage, taxes, and other expenses are completely paid for with rent coming in. If your looking into multi-families I would personally go for a 3 family since you will have 2 rents coming in instead of 1.

Have you looked into how much typical rent is in your area? Have you come across any properties that your looking further into?

btw.. taxes in CT are terrible. I pay 4800$ a year on a 160k home!