All Forum Posts by: Angelo Mart

@Jasmine CotesWow these guys are rough on you in here lol. So here it is....FHA mortgages are for Owner Occupancy only. In the event you purchase a 2nd home and claim occupancy of that home in order to obtain FHA financing that would be illegal as FHA/HUD only allows you to have 1 property of Owner Occupancy at a time.

Next FNMA has very strict guidelines and requires 20% down. 

So the way investors have tons of properties at once is through PRIVATE lending through companies such as B2R Finance. Such companies require a little bit down but mostly look at the cash flow of the asset. Many investors in Newark, Paterson JC will purchase a damaged Multi Family, repair it and then Refinance with a Private lender which grows the equity in it from fixing it up. Now you are going to need some money to put down, not a billion in the bank but something. Any questions let me know I work with a lot of investors in North Jersey

@Gabe D.Did you submit the application to them? I am in the same position right now, debating if i should move forward with them 

NJ has the highest property taxes in the USA and people are leaving rapidly. However, we are STILL the most densely populated state in all of AMERICA with many people from NYC (largest city in nation/one of the largest in the world) migrating to NJ. With many foreclosures hitting the market it is a great time to invest if NJ if the numbers are working in your area of investment

I agree with @Ibrahim Hughesabout this. Somebody from CALI knows NOTHING about Roselle market area and construction here. House should be in the 40K range maybe 50k

Ibrahim Hughes I agree with you 100%. However, you cant deny that the foreclosure rates in NEWARK are not ALARMING in comparison to its counterpart cities such as Elizabeth & Jersey City. This is not a generalized statement this is a FACT. I have done a lot of foreclosure work in Newark for CHASE & WELLS FARGO which are the 2 biggest lenders in America. Therefore, I can attest to the foreclosure issues in the city at first hand. We just foreclosed somebody yesterday that purchased a home in 2011 after the market crash. Once evicted they DESTROYED the house. My statements were based on proven evidence and NOT hearsay. If you read my prior statements I said "I personally know an investor that has (5) 3-Fam homes all near South 18 and Avon Ave with positive Cash flow working nice. This works great for him because he lives on South 18th and Hawks his properties. I have met other Successful landlord Near notorious South Side but its still a HUGE risk for a rookie to me" (and like me)

The statements are based on statistical evidence as I was responding to out of the area investors that never stepped foot into Newark and now they want to jump in the investment game blindly not knowing the harsh realities and risks they could potentially face. There are good and bad everywhere in the world which is the reason the TENANT SCREENING is IMPORTANT. Once again I do agree with you that there are many good people who pay their rent on time along with the low property taxes and wide yield spread on After Repairs Values making NEWARK a great investment.

Thanks a lot guys I appreciate the feedback! The property has all new electric and plumbing pretty much throughout, with only the heat being on the older side. Thus reducing some issues hopefully. My long term goal is to be a landlord so why not dive into it. Any good background check companies to use? thanks

Looking to move out of my primary residence and utilize it as a rental as the property has good Cash Flow. Should I use a management company to go about finding good qualified tenants? Or should I do the background checks and screen myself? If so who do I use for extensive background checks? Thanks

 Hey I might be needed a structural engineer in North Jersey. Any Suggestions? Thanks

 How does that kill your money? My friend purchased a 2 Family for $40,000 that needed $40,000 in repairs. During renovation they barricaded windows and doors with Steel guards. He rented both units to Section 8 and gets $2300 total - $1,100 in expenses = $1200 cash flow. The home also appraised at $150,000 when he refinanced out of hard money loan!!