Introduction

Investing in rental properties can be a lucrative venture, especially when you choose the right location. A good rental property offers a balance of affordability, high demand, and potential for appreciation. Factors such as convenience, local amenities, job opportunities, and unique attractions can significantly influence a property's desirability and profitability. Somerset County, NJ, with its blend of suburban tranquility and urban convenience, presents a promising landscape for rental property investment. This guide will explore the best neighborhoods in Somerset County, grading each area on various factors to help you make an informed decision.

Best Neighborhoods and Areas in Somerset County, NJ

1. Bridgewater

Grades:

• Convenience: A
• Tourist Attractions: B
• Things to Do: B+
• Average Home Prices: B
• Return on Investment: A-
• Proximity to Work-Related Travel: A
• X-Factor: A

Convenience: Bridgewater is a highly accessible area with major highways like I-287 and Route 22 running through it. Public transportation options, including NJ Transit, make commuting to New York City and other parts of New Jersey convenient.

Tourist Attractions: While Bridgewater might not be a tourist hotspot, it does boast some attractions like the Bridgewater Commons Mall and Duke Farms in nearby Hillsborough. These offer both shopping and recreational opportunities.

Things to Do: Residents can enjoy various activities, from shopping at Bridgewater Commons to watching a game at TD Bank Ballpark, home of the Somerset Patriots. Additionally, numerous parks and recreational facilities provide outdoor enjoyment.

Average Home Prices: Home prices in Bridgewater are relatively affordable compared to other parts of New Jersey, making it an attractive option for investors.

Return on Investment: Bridgewater's rental market is robust, with high demand due to its convenient location and amenities. Investors can expect good rental yields and property appreciation over time.

Proximity to Work-Related Travel: Bridgewater's location is ideal for professionals working in nearby corporate hubs and hospitals. The area is close to major highways and public transport, facilitating easy travel to business centers and medical facilities.

X-Factor: The blend of suburban life with urban conveniences, excellent schools, and a strong sense of community makes Bridgewater particularly appealing for families and young professionals.

2. Franklin Township

Grades:

• Convenience: B+
• Tourist Attractions: B
• Things to Do: A-
• Average Home Prices: B+
• Return on Investment: B+
• Proximity to Work-Related Travel: B
• X-Factor: B+

Convenience: Franklin Township offers a balanced mix of residential neighborhoods and commercial areas. It has good road connectivity, though public transport options are somewhat limited compared to Bridgewater.

Tourist Attractions: While not a primary tourist destination, Franklin Township has historical sites like the Blackwells Mills Canal House and scenic areas along the Delaware and Raritan Canal.

Things to Do: The township boasts extensive parks and recreational facilities, including Colonial Park and the Six Mile Run Reservoir Site, providing ample opportunities for outdoor activities.

Average Home Prices: Home prices here are competitive, making it a viable option for investment without breaking the bank.

Return on Investment: The area shows steady rental demand, particularly from students and faculty of Rutgers University, which is nearby, ensuring a stable rental income.

Proximity to Work-Related Travel: While not as conveniently located as Bridgewater, Franklin Township still offers reasonable access to major highways and Rutgers University, benefiting those working in education and nearby business centers.

X-Factor: Franklin Township's mix of history, outdoor activities, and proximity to Rutgers University gives it a unique charm, attracting a diverse population.

3. Hillsborough

Grades:

• Convenience: B
• Tourist Attractions: B+
• Things to Do: B+
• Average Home Prices: B+
• Return on Investment: B
• Proximity to Work-Related Travel: B
• X-Factor: B+

Convenience: Hillsborough is more suburban and less densely populated. While it lacks major highways, it offers a peaceful living environment with good local amenities.

Tourist Attractions: Hillsborough is home to the scenic Duke Farms, a large estate offering trails and nature programs. This unique attraction adds significant value to the area.

Things to Do: Residents enjoy outdoor activities at Duke Farms and Sourland Mountain Preserve. The town also hosts various community events throughout the year.

Average Home Prices: Hillsborough offers reasonably priced homes, which attract families looking for a quieter suburban lifestyle.

Return on Investment: While the rental market is not as vibrant as in more urban areas, steady demand from families and those seeking suburban tranquility ensures a reliable income stream.

Proximity to Work-Related Travel: The town's location is somewhat removed from major highways, but commuting is manageable for those working in nearby towns and cities.

X-Factor: The combination of natural beauty, excellent schools, and a strong community feel makes Hillsborough an attractive option for families.

4. Somerville

Grades:

• Convenience: A-
• Tourist Attractions: B+
• Things to Do: A
• Average Home Prices: B
• Return on Investment: A-
• Proximity to Work-Related Travel: A
• X-Factor: A

Convenience: Somerville offers excellent public transportation options, including a NJ Transit train station with direct service to New York City. Major highways like I-287 and Route 22 are also easily accessible.

Tourist Attractions: Somerville has a charming downtown area with historical sites, boutique shops, and restaurants, making it a pleasant place to visit and live.

Things to Do: The downtown area hosts various events and festivals throughout the year. Residents can enjoy a vibrant nightlife, dining, and cultural activities.

Average Home Prices: Home prices are relatively affordable, especially considering the amenities and convenience offered by the town.

Return on Investment: Somerville's growing popularity and excellent transport links ensure high rental demand and potential for property appreciation.

Proximity to Work-Related Travel: The town's train station and proximity to major highways make it an ideal location for commuters to New York City and other business centers.

X-Factor: Somerville's vibrant downtown, cultural events, and excellent connectivity give it a unique and desirable character.

5. Warren Township

Grades:

• Convenience: B
• Tourist Attractions: C+
• Things to Do: B
• Average Home Prices: B-
• Return on Investment: B-
• Proximity to Work-Related Travel: B
• X-Factor: B

Convenience: Warren Township offers a quiet suburban environment with good road connectivity. Public transport is limited, which might be a drawback for some investors.

Tourist Attractions: While Warren does not have significant tourist attractions, its natural beauty and parks like the Watchung Reservation attract outdoor enthusiasts.

Things to Do: Outdoor activities dominate the scene, with plenty of parks and trails for hiking and biking. Community events also provide entertainment.

Average Home Prices: Home prices are higher in Warren Township, reflecting its desirability as a peaceful, upscale suburb.

Return on Investment: The higher home prices mean a larger initial investment, but the rental market remains strong due to the area's appeal to affluent tenants.

Proximity to Work-Related Travel: Warren's location offers decent access to major highways, making it suitable for those commuting to nearby business hubs.

X-Factor: Warren's appeal lies in its upscale, tranquil environment, excellent schools, and strong community spirit, making it attractive for families seeking a high-quality suburban lifestyle.

Conclusion

Somerset County, NJ, offers a diverse range of neighborhoods, each with its unique advantages for rental property investment. From the vibrant and well-connected Somerville to the tranquil and upscale Warren Township, investors can find opportunities that align with their investment goals and target tenants. Evaluating areas based on convenience, attractions, amenities, home prices, return on investment, and unique characteristics will help unlock the full potential of rental properties in this promising region.