New Member aspiring to one day become a full time landlord.
Hi all! I recently began to look into buy and hold/ rental income as a ticket to FI. I’m literally in the process of reading books and binge listening to the BP podcast. I live in Northern NJ and am jealous of the property prices I’m learning exist in other areas of the country. The average 2 family home in my area is around 400K and usually needs work. That being said, my calculations are giving me about a 7% cash on cash when putting down 20% on a property and adding in closing and renovation costs. Also, I’m getting an average of $300 in cash flow per door (this is of course after my initial investment is returned). In order to make my long term goal of 100K per year in passive income through RE, I’ll need to have purchased 28 doors (This is all based on 20% down for all properties). Am I crazy in even considering investing in my area?
I want to thank everyone in advance for reading my post. Any and all feedback is appreciated. Thanks again.