Originally from Long Island and currently living in Astoria, Queens and am looking to purchase my first rental property. I'm thinking a single unit or affordable duplex, however, I am not sure what part of NY to look. NYC I think is out of the question due to high cost of entry so I'm debating Long Island or Upstate NY. Any advice would be greatly appreciated! Thank you!
I think a duplex is the way to go. You can probably pay the same or less than what you're paying in Astoria if you house-hack a duplex.
The only way I'd suggest a SFR as a first investment is if it has a live-in basement that you'd be willing to live in short-term.
As far as location, its best to first get an idea of what you're qualified to purchase. Getting a pre-approval will allow you to really get a sense of what areas you can begin targeting.
Best of luck to you!
I live on Long Island now and I'm also looking to purchase my first rental property. I've been researching the market here pretty extensively over the last 6 months or so. For my personally, I'm going for a two family located in west Suffolk County.
If you go into Nassau the prices and taxes are very high. But in west Suffolk County, you can purchase a rental property for a reasonable price, reasonable taxes (by NY standards), and you can still fetch a strong rental income because you're close to Nassau County which has high salary earners.
I current live in a Western suffolk rental. The rent is $2900 and the property was last sold for $460k according to Zillow. This is far off from the “1% rule” however I do not know the landlords mortgage so this may still be a good investment.
Is it a single family or a multi-family property? It's almost impossible to find a "1%" single family home in New York. But you can accomplish that, or come close to it, with a two family.
I've purchased from foreclosure auctions in Queens before, and the margins arent that wide. In NYC, you're banking on a lot of appreciation. However, in 3 families buildings in some parts of Queens, I can find 6-7% returns. Let me know if you need any help.
Check out Rochester, NY! we have one of the best rental markets in the state. Properties are low and rents are high (compared to what the houses are worth)- ROIs of 15%+. PM me if you would like additional information. I'd be happy to share.
@Luz Espiritusanto , what areas of Rochester are you seeing ROIs of 15%+?
Hey @Jason Gaccione , upstate NY, specifically Albany, has a great a rental market with schools, hospitals, and government. There is a portfolio deal that may interest you.
Message me if you want to discuss further.
I haven't posted too much on this site until now but Ive been a member for years. Im Born in raised in the Albany NY area. I have a great analysis on the market up here. I may be able to help! Wholesale deals, Rentals etc Also wife is a licensed Realtor. Would be great to connect with you guys!
@Jason Gaccione I’m from Queens as well and just put my first two investment properties under contract in Albany. Feel free to message me if you want to talk more about it.
@Jason Gaccione congrats on starting toward your first property. I was born and raised on the island and lived in Brooklyn and north Jersey before moving upstate.
I have units in Rochester and have been very happy with the returns. Good luck on your hunt, and if there is anything you need locally please feel free to reach out.
@Jerry Quintiliano congrats on starting your search. I lived in Suffolk for 20 years. In your extensive research, which areas of western Suffolk are you finding multi-family properties that you like?
Hi Account Closed
I'm seeing most of the better properties in Babylon, Bayshore, Lindenhurst. Maybe a few in Huntington also.
@Jerry Quintiliano what rate of return are you seeing on those areas? Do you have a target return, or just looking the best deal you can find in those areas?
@Jerry Quintiliano It is a single family home
Account Closed I am looking to house hack, so I wouldn't really see any return at first. I would be picking up part of the cost to fuel that investment since I would be living there. And I am just looking for the best deal I could find. All those areas seem to be yielding a similar return. About 2500 to 2800 for a 3 bedroom unit.
Just some of my observations in the area lately: I live
in on LI now and the market is very different here from other areas of the country. I do feel like coming from one of the most expensive areas in the country does prime you for anything else out there, to say the least. There are open houses which I attend where the agent will say "low taxes" and follow it with "only $15k". All in all there are pockets in areas where there have been updates in the last few years. One area which has seen a major transformation is Patchogue, NY. A big trend right now is large dev corps like TRITEC coming in and building "Luxury" apartments near the LIRR stations for a premium. Since less people are into owning their own homes, developers have been building these huge complexes with just enough perks to push for rents that most locals won't pay... unless they are either older and do not want the house maintenance costs anymore, or if they are younger buy from the city where moving further out seems like a better rent.
Side note: I've dubbed Long Island as the land of illegal apartments. This is because every town seems to keep their heads up high at the idea of allowing multi-fams in, but a large percentage of the single family mini mansions are actually housing multiple residents. In a vigilante sense, much of long island is "house hacking".
Albany, NY is a great place to start off with a duplex or a multifamily property. If I can be of any service feel free to message me!
Vionca. Can you pm me regarding wholesale properties you have in suffolk, particularly bayshore, east islip islip or babylon