4 NJ towns where you should buy a rental property (Opinion)
It’s the American dream: Buy a property, rent it out, sit back, eat Bonbons, and watch the rent checks come rolling in.
Of course, we all know it’s not that easy, but many people have been able to make a nice living off rental properties — maybe you’ve considered it, too!
If so, you’ve got to do your due diligence. Do your research and make sure you’re extremely familiar with market trends so you know what you’re doing. Take into account average rental prices in the area, what percentage of residents rent as opposed to own. Also ask the advice of people you know who have done it. Many will try to talk you out of it, but if it’s your dream, don’t be swayed! Just be careful.
Many people who have been successful at owning and renting have advised potential investors to stick to their own backyards. You intuitively understand the area where you live more than any other. Mashvisor also has a handy return on investment calculator to halo you make your decision.
Let’s assume you’ve decided to start in New Jersey. According to Mashvisor.com’s metrics, in terms of return on investment, are the areas in the New Jersey that are best for Traditional rental property investment. A couple of them may surprise you.
Stillwater Twp. — Sussex County
- Median Property Price: $243,206
- Price per square foot 106
- Cash Return: 12%
Pittsgrove Township — Salem County
- Median Property Price: $202,946
- Price per square foot: $106
- Cash Return: 8%
Estell Manor — Atlantic County
- Median Property Price: $247,415
- Price per Sq/Ft: $137
- Cash Return: 6%
Beachwood — Ocean County
- Median Property Price: $267,264
- Price per Sq/Ft: $166
- Cash Return: 5%
If you’ve decided to take the plunge, the site also has a handy property finder tool. This along with research, research, and more research is the key to your rental property investment success. They also have a handy property finder tool.
More from New Jersey 101.5: