Newbie wants to get start around Philly/KOP/NJ

[Tina Gao]

Hi everyone, I am a newbie for BP and I want to start investing on multi-family properties since desk job is so boring and does not pay well. I live around NYC area and have been looking for NJ property around NYC (union city, jersey city, etc.) for couple months but the price is so high and tax literally kills the deal. My goal is positive cash flows collected from rent (with decent appreciation of course would be ideal) but I can barely find a deal to break even now around here. 

Considering future I may move to PA nearby places I am considering to start looking at properties in PA or around KOP. Since a newbie I am not looking for super crappy houses to fix up, ideally in good condition just need a bit cosmetics. Any suggestions where would be potential good areas to look into would be highly appreciated. Any area with decent cash flow, or can break even now but with potential of appreciation a decent amount of new constructions going, town re-development plan etc. not necessary to be duplex. open to townhouse, single family, 3-units etc.

Thank you!

[David Vitarelli]

@Stephen Kappre there are many areas that are often overlooked because of the general misconception that “taxes are too high in NJ”. I personally manage a portfolio of 25 properties in Gloucester City, for one of my clients. The average purchase price of a 3/1 in Gloucester City is $60k-$70k. Average property tax on a property like this is about $3k annually. This client has zero vacancies, zero evictions and collects an average rent of $1,250 per month. Depending on how the property is financed, the returns can be very attractive. Additionally, there are many other towns in this area that yield similar returns. DM me if you want to discuss further.