Which Newark Areas Should You Buy and Which to Avoid?

[Vishesh Shah]

Hi fellow BPers, I have been investing into Bergen, Union, and Essex Counties in NJ, specifically Newark, as my focus right now. I feel like there is room for a low of growth in certain areas in Newark, following Ironbound and Downtown, similarly to what Jersey City went through this past decade. What areas does anyone who knows Newark & the 5 Wards well, and has seen the changes over the years, think are worth investing in and which ones should you just simply stay away from, even for a fix-and-flip? The common answer is that North and East Wards are the best, but does anyone think South Ward or any specific areas have room for growth as well? I think Weequahic and certain other parts have potential, or am I just playing with fire? 

[Steve Wilcox]

Most of the north ward (north of 280) is generally considered better then the central, south, and west wards, but you typically pay more to be there also, and there are rough blocks there. Newark is a very block by block area, and is constantly changing. I have properties in every ward and certainly find the areas that are cleaner easier to manage, less vacancy, ect, but most of the deals I have been seeing for the past few months don't pencil in any wards and finding deals in general has been increasingly difficult. 

I would say Newark on the whole is not for the faint of heart and management is a challenge especially if you want to out source and you have a very small portfolio.  In my opinion safest bet is Iron Bound, then much of the north ward minus a few blocks, and the rest are somewhat block by block and you really need to understand the micro neighborhoods and trends.