Next Move for Investors in the Current Environment

[Sedrick Chin]

Hi Everyone, 

I'd first like to take the opportunity to introduce myself as new BP member in the Northern NJ area and to thank you guys for the expertise, advice and overall great resource you all provide. I've learnt so much in such short time. 

I'm a relatively new investor with 2 units (1 in NY, 1 in NJ) looking to either make my next buy and hold move or do my first flip. However, given the current environment of rising house prices and interest rates, I'm curious to hear how this is affecting folks' strategies and outlooks. Are you guys doing more flips and less buy-and-holds, selling to repurchase at lower prices in the near future or you've been just continuing as usual, since a deal is a deal in any environment? 

Also, looking to network with RE agents/ other investors that cover the W. Orange, S. Orange, Maplewood and surrounding areas. Feel free to PM.

Thanks for your time and any feedback in advance.

Regards,

[Darren Sager]

Thanks @Odie Ayaga.  Welcome to BiggerPockets @Sedrick Chin!  Great to have you on board.  I've been involved in 2 recent bidding wars for clients in South Orange on multi family homes.  The market in Maplewood/South Orange is very tight. Anything near transportation is going above ask.  Long term for those towns are very solid.  They've performed very well for me personally over the last 19 years.  So much so that myself and a partner are fixing up a single family to rent and will build another right next to it near Seton Hall to take advantage of the housing shortage they have.  These towns are amongst the most competitive in the area right now.  They have less inventory then they did at peak of the market in 2007.  They've also surpassed those pricing levels and gone beyond.

West Orange doesn't have it's own train but does have walkability (in certain places) to the Highland Ave Station but it doesn't have full time service into Manhattan like most other stations.  It has more affordability because the demand is less and type of renter you'll attract is different than South Orange/Maplewood.  

What area you should go into really depends upon your budget.  Hard to say or recommend any town without knowing what you're able to finance or what your cash budget is.  In general, anything around a train station be prepared for a fight to get it.