All Forum Posts by: Satha Palani

@Steven Konopka

Nothing special . Someone who understands RE transactions / costs. I house hacked a couple of times so depreciation and expenses are marginally more complicated.

Let me know if you can recommend someone.

Thanks

Long story short, i need a new accountant; preferably someone who has worked with Re investors. Preferably in northern NJ so I can have a sit down if needed.

thanks,

@George Gammon

You made one of the most cogent points in this thread. Thank you!

Too many folks don’t realize how much ‘help’ they are getting from Uncle Sam.

@Latasha Parker

I would not recommend it. Do you have siblings , what do they think if you trying to turn a profit off your moms home? When you are starting out, the last think you need is drama

@Tarik Hodzic

. Based on your post I am assuming the return will not meet the 2 % rule. A lot of that has to do with what assumptions you are making . If you provide more details ( estimated rents per unit, monthly mortgage,management expenses, capex reserve, utilities, taxes , insurance etc) folks on here will be able to give you better feedback

@Josh Pryor

I currently live in a 3 family I own with 2 tenants. I am assuming you were not able to get vacant possession at closing due to there already being a lease in place.

Start by reading the lease. Compare the terms to a lease that you would have used if you got the house vacant. In other words, is there anything in the lease that you would take out or add.

Ask the seller if the tenant has made any requests/ complaints that have not been addressed. One of the tenants I inherited had a long list of issues the first time I met her. Looking back, she was not a bad tenant, she was frustrated by the lack of maintenance by the previous owner and I stepped into a situation with no foreknowledge. The combination ended up souring the relationship.

Never lie to your tenants about who you are . If you start with a lie you will end up telling more lies to cover up the first one. Also, these are not just tenants but your neighbors. They will end up knowing more about you than you think.

Be up front and courteous , I bought the house. We will be neighbors. I want this to be a good relationship. Here are the boundaries. That sort of thing.

Lastly, don’t make things personal. If there is an issue address it directly and dispassionately .

Best of luck

This is an ongoing thread that captures all the development projects that are going on in the newark area. good resource if you are looking to map out where development dollars are going:

http://wirednewyork.com/forum/showthread.php?t=3727&page=662

@Yavuz Bayram

Were you able to find a good HVAC contractor to install your system? I could use a recommendation. I am in newark and am rehabbing a 3 floor house with approx. 2300sq/ft

thanks,

satha

Thank you all for the inputs. I will reach out to @ Diana Muresan and some local lenders in my area.

I am not in a hurry , for the most part I want to get things right and. She sure what I am doing will make sense in the long run

@Thomas D.

I have lived in the Ironbound for the last 4 years and the following are my thoughts , observations and opinions.

1.  Newark is rapidly gentrifying. There are a lot of negative opinions about Newark out there and most if it is warranted but that does not change the fact that the city is gentrifying.

2. New residents are moving here for cheaper rents and the easy commute. Not the schools or restaurants or the quality of living. The subway ride from Borough Park or Flatbush in Brooklyn to Penn station NYC is over an hour. same trip takes under 40 min from Newark. The difference in rent  for a 2 bed one bath between the 2 areas is about $300/month. My neighbor moved here for this very reason. There are other drivers; including the growing number of jobs in Newark, but the commute is key IMHO.

3.In light of 1 and 2 above,  some neighborhoods are are better bets vs. others. My top picks are as follows:

1. Ironbound/ down neck- this is the triangle that is wedged between route 21 and the Passaic river. Pretty much the best neighborhood in Newark. Safe and extremely walkable. Great access to public transit via Penn station. NJ transit , Path, Newark Light rail and buses all in one place. It is impossible to buy anything here that will come close to meeting the investment return standards you see on this site. :)

2- university heights and the areas adjoining NJIT - Pretty much anything within 4 or 5 blocks of either Rutgers or NJIT is good. Both schools are pouring development dollars into the areas and there is a flurry of adaptive reuse projects in the works. Access to multiple Newark light rail station that get you into Penn station directly. 

3. Northside close to Broad street station - West of Branch brook park and east of the river, north of 280 and south of 3rd ave. This is where I see residential development moving in the future. Close to broad street station which is one stop away from NYC Penn and has a light rail stop as well. Development in the city is moving this way as well.  The Bears stadium has been sold and will be re-developed into commercial and residential spaces. Good commercial / retails corridor on Bloomfield and park avenues and proximity to the park. 

Not saying other neighborhoods are all bad. I agree with other posters on here that most of Newark is Block by block. The areas listed above are, in my opinion most likely to increase / retain value over the long run.