All Forum Posts by: Drew Slew

@mala s. Said it well, class d areas 400k+ 

House hacking u will not be breaking even as I did that in greenville where there are shootings on my block weekly. However property already went up 60k in 1yr and they gutted two houses in front on mine, so ur rent income doesn't matter. I will be raising rent and already evicted few tenants, since area even greenville class D is becoming hot, new tenants are pace masters students moved from bronx. Ppl are flocking over. Issue is not sure if u got a place yet, investors will snatch up anything and everything ESPECIALLY in the worst areas.. since that's where the money is

About to buy another multifamily in north bergen area, i got one in Greenville that cashflows insane. I had room rentals that obv brought in a ton more but now rent full floors and the 2 family nets 1000/m. Its probably a class Z neighborhoor around Ocean ave down there, but if you dont go there at night its ok. Renting to students, handymen etc is easy, and have to get very high security deposit to keep these tenants down. 

Also got condos in union city, those dont cashflow net 4 digits but they appreciates about 50-100% in the last 3 yrs. The boom has truly began, JC heights etc are now untouchable. I wouldnt touch anything outside of Hudson county, as most new yorkers will all end up here since this is where the 6th borough really is. 

Newark, Lyndhurst i looked at, but my Greenville multifamily rents way more than anything close to the Path in Newark, since JC is about 10-20mins from the WTC, can see it from the roof..

Id look into edgewater luxury developments too as they are building a ton there, but i know thats not really for biggerpockets investors and theres probably no CF at all, but one realtor told me sqft avg prices will be around $1000 there soon, this was in the Avora building. For lifestyle its definitely a BIG step up from union city/JC/Hoboken etc at port imperial area IMO

JC Heights i wouldnt touch. Its over, its going to be luxury like downtown JC soon. Will probably keep appreciating but its quite high priced IMO. Bergen Lafayette and Greenville is the only remainder lil 10sqmile or so war zone type of area maintstream people still get freightened about. Thats it, and even that will change a LOT by next summer. 

As anyone around NYC knows, the boom around Jersey City/Union City, Hudson county is insane. I got my condo 3yrs ago in union city and it now almost doubled. 2 family in greenville JC, from a lot of ups and downs it now cashflows extremely well after finding -so far - good tenants. However, this time if i get 3rd property i want to be more like a real "investor", not get lucky. 

Those who know, how would you play the 50k cash to go on next deal, use the 2 other properties/learn from them?

(Im getting cash out refi from condo, so the next property will probably need to be an investment property, either 25% down or not sure. Id like to do an FHA or 20% primary, but it may be iffy if i take the cash out refi as a primary residence on condo and right after buy another primary residence)

Options im thinking, but would be happy to hear ideas:

1) another 150-250k condo, ideally 2bed in Hudson county, try to get it in not so great shape to add some cosmetic touchups, rent net CF profit ideally $300-500/m after PITI, HOA and everything.

2) another 2 family - this would almost double than a condo, but also costs double.. - but not sure how i could swing it w 50k cash, esp as even Greenville is now everything over 400k. 

3) other markets like Newark. Not sure id be ready for a fixer upper yet and not looking yet to partner w anyone else. I know theres a lot of GREAT markets all over the US, but im quite sure the whole transformation thats going on day to day around Hudson county/Jersey City is.. once in a lifetime event, its now or never.

4) any other smart financing ways where i could leverage that 50k a LOT like and FHA or something

i recently ended my W2 job, can you cash out refi w banks without a job? I hear they give asset based loans too. id refi my primary condo residence

Condo in Union City NJ next to NYC, bought 145k, 30yr down 3.5% fixed. Appreciated to 250k, could do a cash out refi to pull some fo the equity out, about 50-70k at 5.3% 30yr fixed. 

Loan currently is 105k, w cash out refi could jump to 165k.

Closing cost on cash out refi around 8k.

Current monthly payments would go up on 1/1 condo from 900 to 1200/m, but lender says i would pay off CC debt (20k at 17%) and student loan (14k at 6.5%) and thus save 500/m in cash flow.. plus he says id get 20k in cash after all these debts are paid off w cash our refi so its a no brainer, i should do it.

I get that these short term loans would go down and id have more cashflow, id be able to buy another property, but overall over 30yrs id be paying a TON more in interest than i am currently. 

So id be paying 8k, tons in interest over 30yrs, almost 2% higher interest rate, and get quick 500/m extra cashflow and extra 20k..

Would you do it? 

2 rooms' tenants are now holdover tenants yes, their lease ends Apr 30. 

This guy who the thread is about has a 4months lease that started Feb 1. 

Whats comical is that ALL the fight is about the rooming house situation, which arises from me having signed individual leases for each room which causes this "illegal occupancy" attack. However, zoning dept said just simply sign 1 lease w all of them so all their names are on one single lease as roommates and that solves it all. 

Whats crazy is none of them want to sign this new roommate lease, even though i dropped the rent for all of them. 

Some people just dont want to cooperate and try to drag things out. 

1st eviction has ended, tenant tried an order to show cause to delay his lockout last week, even though i got the warrant of removal. He bluffed it all, and didnt bring new evidence to court. I offered him 2 months free rent if he moved out within 2 weeks, he kept asking for the 6 months relocation etc that its illegal occupancy. The judge dismissed it again as there is no evidence, just the zoning violation and its a non-payment case. 

To me it seems the judge in Jersey City doesnt want to hear much of tenants crying and explanations, she seems to always award the landlord in non-payment cases as there is not enough time to go into every little bit of detail. My tenant kept trying to bring up housing code violation, no heat for a few days, gas leak etc etc with bogus documents, literally tried to make it seem like its the most unsafe and hazardous apartment he lives in.. yet its a brand new apartment. 

Only problem is since its a non-payment eviction, he was able to pay all his dues and my court fees right on the spot, so i had to accept it seems.. so i will have to evict him another way, most likely a 30 day notice to quit so his lease gets terminated end of May, and he again doesnt pay file another eviction for may.

Not a good experience overall, court filings, actions take weeks. Id need this person out of my owner occupied apartment ASAP tomorrow latest..

@Stewart Miller can you give an attorney or guidance on how to do this in NJ, i got properties in hudson county

i already have an attorney. They are slow