New Investor looking for Mentors, Partners, or Friendly Advice !

New Investor looking for Mentors, Partners, or Friendly Advice !

Member since 2022 · 13 posts · 13 votes

Hey Everyone ! My name is John, and I am new to Bigger Pockets as well as Real Estate investing. I turn 30 years old this year, and spent the last 10 years earning my Bachelors Degree in Business Management from East Carolina University, then continuing on to earn (4) I.T Certifications and I am currently working as a Systems Engineer. My recent promotion had me thinking for the first time in my life I might be able to get ahead, but like most of you I found I was sadly mistaken. Feeling the middle class struggle, I took to the books. "Subtle Art of Not giving a F*ck" by Mark Manson taught me to embrace the fear of failing and use it as a learning tool. I read "Rich Dad Poor Dad" by Rich Kiyosaki next which got me thinking outside the box and thinking about Real Estate. That is when I read "Rental Property Investing" by Brandon Turner which brought me here. As you can tell I am dedicated to learning and I have been bitten by the Real Estate bug. I honestly cannot wait to get started. I ordered more books and I am analyzing how I should make my first move.

Living in Jersey City, paying cheap rent in a bad part of town... my initial thoughts were to buy myself and wife a Single Family home to live and begin our life together. Hopefully have some children..... but these books got me thinking maybe I should instead use my First Time Home buyer advantage to purchase an investment property that could boost my cashflow. I have family roots in Jersey City but the taxes are too high so I was thinking maybe in the surrounding suburbs. Maybe I should "House Hack" first so my wife can continue to be close to her office in Jersey City so the commute isn't bad. Our ultimate goal is to make enough money to replace her income so she can quit, as I work from home and that would free us from being stuck in North Jersey for good ! These are the "Why" I am interested in investing.

I could also pursue a place in Toms River New Jersey, by Seaside Heights which is a popular summer location by the beach where I was born and raised and also have roots.

Finally, I could think about pursuing Greenville, North Carolina where my Wife has roots, or Naples Florida where my parents currently live and are developing incredible friendships I could use to my advantage.


Does anyone have knowledge about investing in any of these locations, would anyone be interested in getting to know and working with me to purchase my first property in one of these locations, which could be mutually beneficial. I think I am currently overanalyzing, I want to pursue an investment close to me for learning purposes and so I can be my own landlord, but the taxes are soooo high it just doesn't make sense. My Uncle owns Calico Construction in Jersey City and told me to get the hell out. 


Thanks for reading and any comments are greatly appreciated. 

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Realtor · Ogden, UT · Member since 2019 · 338 posts · 415 votes
4y

Hey John,

You know this already but don't get paralysis from analysis.  If you're in the right financial position to start investing, do it!  

Worry less about the market and more about the deal.  Get in touch with agents in every one of the cities you mentioned and get them to set you up on a daily drip feed so you can analyze properties every day.  

Also, I'd recommend prioritizing the house hack because cutting your living expenses by a $1,000 or more with a hack will yield a net cashflow to your bottom line much higher than any simple rental property deal you're likely to find.  Use that income to springboard you into letting your wife leave her job and invest in more traditional rentals down the road.

Good luck!

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  • Realtor · Ogden, UT · Member since 2019 · 338 posts · 415 votes
    4y

    Hey John,

    You know this already but don't get paralysis from analysis.  If you're in the right financial position to start investing, do it!  

    Worry less about the market and more about the deal.  Get in touch with agents in every one of the cities you mentioned and get them to set you up on a daily drip feed so you can analyze properties every day.  

    Also, I'd recommend prioritizing the house hack because cutting your living expenses by a $1,000 or more with a hack will yield a net cashflow to your bottom line much higher than any simple rental property deal you're likely to find.  Use that income to springboard you into letting your wife leave her job and invest in more traditional rentals down the road.

    Good luck!

  • Member since 2022 · 13 posts · 13 votes
    4y

    Thanks so much for your reply Brad !

  • Member since 2022 · 13 posts · 13 votes
    4y
    Quote from @Brad Jacobson:

    Hey John,

    You know this already but don't get paralysis from analysis.  If you're in the right financial position to start investing, do it!  

    Worry less about the market and more about the deal.  Get in touch with agents in every one of the cities you mentioned and get them to set you up on a daily drip feed so you can analyze properties every day.  

    Also, I'd recommend prioritizing the house hack because cutting your living expenses by a $1,000 or more with a hack will yield a net cashflow to your bottom line much higher than any simple rental property deal you're likely to find.  Use that income to springboard you into letting your wife leave her job and invest in more traditional rentals down the road.

    Good luck!


     Thanks so much for your reply Brad ! That is great advice. One of the toughest things right now is finding a good deal in North Jersey, the taxes are crazy high but that's why looking into other markets is on my radar. I think I would only be able to houseHack if it was in New Jersey, because my wife still commutes to work unfortunately. The ultimate goal is to make enough cash flow so she can leaver her job, as I work from home... then we can go anywhere ! 

  • Andy RouschPro Member
    Investor · Mt. Arlington NJ · Member since 2018 · 251 posts · 143 votes
    4y

    Hey @John Costanza It seems like your flexible on the areas and each of those have their ups and downs. House hacking in NJ can be great and long-distance is great as well. I've done both and definitely don't have anywhere close to all of the answers but am happy to share the experiences that I have had and learn some more about your goals etc. 

  • Realtor · Asbury Park, NJ · Member since 2019 · 63 posts · 44 votes
    4y

    Hey John, as a fellow NJ native I completely understand the issues with high taxes/ cost of living. I would recommend looking in Monmouth or Ocean counties as the taxes are much lower and your money goes further with regards to square footage and property size. Feel free to message me to pick my brain if you'd like, I have two investment properties in Monmouth County that have done exceptionally well and I am local realtor so I have a good pulse of the market around here. 

    Best of luck to you, 

    Josh 

  • Investor · NJ · Member since 2017 · 8 posts · 3 votes
    4y

    Hey John, I recently purchase a 2 family property in JC and its been great, I am definitely in an up and coming area which has much more reasonable taxes then downtown. We are house hacking so our downstairs tenant is paying 2/3 our mortgage, this is a great way to get to your long term goal of replacing your income sooner. I also have a STR at the shore which has been giving us great returns. Most importantly I would echo what others have said pick and area and investment type and get started.

    Good Luck!

  • Lender · Seattle, WA · Member since 2014 · 2k+ posts · 899 votes
    4y

    @John Costanza- thanks for the  many  possible  sceanrio  post  .....best  first step  is to get  pre approved  for a  certain hypotehtical  purchase price / loan amt ....this process is free  and  easy ...not sure if you are presently emplyed  but  there will need to be  some income /  employment in place  for a loan approval to be possible ....without  a loan approval - all the  other  possible  permutations of  properties / locations are  really a moot point ...let me know if you need a good loan officer for your area 

  • Andy RouschPro Member
    Investor · Mt. Arlington NJ · Member since 2018 · 251 posts · 143 votes
    4y

    I don't think ill make it in time but just to share with the people in here near Jersey City, there is a big meetup there tonight at Smorgasbar looked like a pretty good one 

  • Alecia LovelessPro Member
    Member since 2019 · 3k+ posts · 2k+ votes
    4y

    @John Costanza Hi John. If you haven’t already join BIGGERPOCKETS Pro and use their Rental properties analysis tool to start analyzing the multi family properties you come across if that is the route you decide to go. Usually every two to three weeks they do a webinar that if you can’t attend you can watch the repeat of if you sign up for on how to buy your first multi family property or how to become a real estate millionaire and the host will go through how to use the analysis tool so you’ll know how. Then if you practice with the properties the agents from your various locations send you you will quickly be able to know which ones are good deals!

    Happy house hack hunting!

  • Contractor · Morris County, NJ · Member since 2020 · 186 posts · 91 votes
    4y

    Welcome to BP John. This is an amazing resource. Great connecting with you as well. 

  • Northern California · Member since 2022 · 12 posts · 5 votes
    4y

    I highly recommend house hacking--it served me well at age 25 with my first duplex on the edge of some great neighborhoods. Why not have a tenant's rent help pay down the mortgage and repairs on the roof? It might take some looking to find a configuration you're willing to live in, but it's well worth the time, the tax benefits, and the appreciation over time. 

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