Introduction and the start of my investing journey in Jersey!

[Cody Z.]

Hello BP Community Members,

I've been lurking on here for a few months and decided it was time to pull the trigger. Just wanted to give a quick introduction, My name is Cody, and I am a licensed CPA currently working at a financial services firm in the city. I have been working for a few years (started at a Big 4 public accounting firm) and have now recently transitioned into the private sector. In the last year I have really started to hammer out my goals and truly started to identify the traits of my version of success. During this process I stumbled upon Bigger Pockets and I couldn't be more grateful. Creating a real estate investment portfolio is essential if you're looking to build long-term wealth and lower your yearly tax bill relative to W-2 earners. I hope to connect with folks in the Tri-State area for networking and educational meetups as well as general discussion if interested. I am currently looking for a multi-family property to live in/rent using FHA finance.

I am meeting with local/national lenders this week to get my pre-approvals done, but would love to hear the communities thoughts/advice on who they might have in regards to picking an attorney/contractor in the North Jersey (Union/Bergen) areas to assist with the process.

Thanks for reading and I look forward to contributing to the community!

Best,

Cody

[G. Brian Davis]

Hi @Cody Z., 

If the numbers aren't working for 2-4 unit properties as a house hack, why do you think they look better as non-owner-occupied investment properties? 

The financing will be more expensive if you buy as investment properties rather than owner-occ, and you'll need to put down at least 20% (rather than 3.5% if you got an FHA loan and moved in).

HELOCs are great by the way, as a flexible way to access equity. 

We usually recommend to our students that they manage their first few investment properties, for the education. Yes, you'll make some mistakes at first, but understanding the nuances of property management will make you a better rental investor. You can always hire a property manager after the first year or two of managing yourself. We do highly recommend though that you factor in property management costs from the get-go, regardless of whether you're planning to manage yourself or hire a manager.

Best of luck!