I want to invest in Port Richmond Phili

[Adam Bergman]

Hello I am from NYC and am currently looking to invest into Port Richmond Philadelphia. I am doing so because I cant touch NYC and have enough for something in Philadelphia.

I have narrowed down my farm to be Port Richmond (maybe the border line with fish town). I am currently seeking to buy 2 properties (single families) to rent, and preferably no rehab except for some basic work. Paint job, tile work, fixtures, etc, and such basic upgrades if needed.

I would like to get $700-$800 in rent per house and I want to buy for $40,000. I have found a few homes that I will be looking at in the $50,000 mark without any negotiation just the listing price. In 2 weeks I will be going to Phili to look at properties with a local broker who I started working with.

I will be looking for homes that are mostly 3 bedroom 1 bath and some are 2 bedroom 1 bath. all seem to be row houses, 2 floor, some sort of small rear yard (very small), and have basements, and about 800-1000 square feet.

The specific areas will be between Frankford Avenue, and Kensington Ave between East Somerset street and east Venango street. I have also found 2 home near pour house Bar (but they are more in the 50k for TLC and 65K for renovated range.

So here is my question. Is this area terrible? I know its not great but is it decent? can I get these renovated or in good condition homes for 40K and will I get my $700-$800 rent? I will probably collect rent and visit sites my self every 2 weeks, I don't want a management company since I want to be hands on and in a year expand a lot. So I rather learn by going there my self.

In the near future I want to start with an addiionalt home for rehab and flip (will be a different post after I do these potential investments)

[Chris Kreider]

Adam,

Dependent on where the houses are located in that area you outlined it could be very bad areas. Many properties I have seen that are listed as Fishtown or N Libs are actually really Kensington. I have some friends that have rentals there and do section 8 and make some cash flow. Then I have other investors that wont touch that area bc they are such disasters with drugs, crime etc. Also, there tends to be a lot of inventory in that area, bc from what I hear there are not that many investors looking in that area now. I know this is a bit vague, but parts of Philly can vary block to block on whats a decent neighborhood and whats a warzone. For example, I lived in South Philly for years and I lived on a nice quiet block but if you went 3 blocks over there were mobile police station sitting on the corners bc of all the violence.