Trying to invest in New Jersey, need advises please.

[Ji Hoon kim]

Hi All,

I am a new to BP, and looking for a place to invest in New Jersey. My goal is to have at least $200 cash flow per month. I have about $60k cash to use. Please advise if you have any insights. I was looking NJMLS and trulia and it is hard to find a good deal. Thanks all. 

[Antonio Porta]

Look at your cash on cash return rather than just cash flow.

I have been analyzing MF homes for the past 2 years (looking in bergen county) and I found just 2 homes that had at least a 7-10% cash on cash return. I am in attorney review for one of those homes.

It is incredibly tough with todays market climate, but you just have to be patient and be willing to wait. We were looking for a 3 or 4 unit with at least a historical stock market ROI of about 7%. It looks as though we shld.safely expect 7% but we could get 10% if are rents are priced better/higher.

The cash flow on this property is at least 700 month could be up to 1100. If i was merely only looking at cash flow most would say this is a home run, but you must look at cash on cash return