NY Metro Area Multifamily Investors Please Help!

[Matthew Dowling]

This is my first post.. I read Turner's book in 2 days (Quarantines  good for something) and now im a wannabe rental investor, but would like to start taking action ASAP. 

I am currently in search of B and C grade (Building and location) small multifamily properties to begin my RE portfolio. My strategy is a house hacking & BRRRR using FHA 203 (k) loan to help factor in costs of improvements and and repairs. I Feel my best success will be on the outskirts of the NY Metro Area (Duchess and Orange County NY or Warren/Somerset/Monmouth/Middlesex NJ). Although I am not positive, this will be the focus of my initial search. I was wondering if any rental owners can share their property and location grade, the neighborhood and what their income and expense look like or maybe just what you charge for rent for 2 or 3 bedroom etc.? Ideally looking for small multifamily rental owners in the NY Metro Area, but obviously anyone else feel free to share what ever you like about your own properties or properties you manage.

Hope everyone is doing well! thanks for reading my post I appreciate your time and look forward to hearing from you guys!

[Joe P.]

Hi @Matthew Dowling, welcome, congrats on taking your first step towards buying (education).

Based on what you've said so far, I wanted to offer some advice outside of your desire to look for specific properties. That advice is one word: simplicity.

I assume you are paying rent right now, correct? Your first deal doesn't have to be a home run -- just look for a reasonably or better priced (you make money on the purchase) property where you think you can eliminate your living expense. That's it, dude. Simplicity. I can tell from the way you structured your first post here -- not to sound judgmental, but I've been on the boards long enough to know -- that you're a "wired" guy. I have the same problem. What will happen is your criteria is so specific for both finding a property, financing the property, and then executing a rehab, you're going to drive yourself crazy and either get burned out or burn out other people.

If I could go back and do it all again, the ONLY change I would make was to buy a duplex in Philly versus the SFH I bought. That's it. I would have househacked and lived for free in the smaller unit.

I'm sure helpful folks will come here and provide some insights into the market, but to me, this is a numbers game -- eliminate your living costs or get as close as you can on deal one. You'll be building equity, you'll be eliminating your major expense, and you can do it with simplicity. Then, once you've got a handle on evaluating, purchasing, repairs, tenant management, etc., you can start to hit the pavement on the next deal with more knowledge and experience. Don't bite off more than you can chew for deal one (even though I think you'll be a heavy hitter one day, start with a bunt single and work your way up).