Out of state residential investing

9 Replies

I just relocated my current business down to Knoxville, TN for that same reason. NY is a bad market to invest in. I plan on buying my first rental here next year. If you're gonna stay in NY I'd look into Hudson, Albany, and Troy. I have a friend who has invested there and owns about 10 properties in those areas. You're best bet is gonna be to do what I did and relocate or invest in out of state property from NY.

@Dion Martorella

I love when I hear people don't want to invest in New York State.. Taxes are too high,no properties to invest in, too much competition, liberals are ruining the state and country etc.. etc..

I've been in Investing in real estate in NYS for almost 40 years and I'm doing well....

I'm not special, l started with a 40k duplex in S Buffalo and built my business by working a full time job and doing real estate on the side. I pay my fair share of taxes and .. I try to do right by people ..

Please leave the state so there is more for me.

Have a good day...

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Originally posted by @Dion Martorella :

I just relocated my current business down to Knoxville, TN for that same reason. NY is a bad market to invest in. I plan on buying my first rental here next year. If you're gonna stay in NY I'd look into Hudson, Albany, and Troy. I have a friend who has invested there and owns about 10 properties in those areas. You're best bet is gonna be to do what I did and relocate or invest in out of state property from NY.

What do you mean when you say that you "relocated" your business to Knoxville? How many employees do you have? 

@Jim Campbell thanks for taking the time to write me that story.

@Aaron Youngman Moved my whole operation to Knoxville... same crew, same business model, equipment, etc just a new corporation filed in a new state. To clarify in case I didnt make clear about "buying my first rental" I do not mean my first rental in Knoxville, I mean my first rental period. My current business is a fireplace company not real estate. 

Consider investing in Raleigh or Atlanta. Both great cities with very strong growth. I have also heard great things about Tampa Florida.

I personally invest in Phoenix, AZ because it's close to Los Angeles, where I live. If you live in NY, I recommend you to stick with the East coast.

@Jason W.

Highly recommend it. Just going to point you to another thread I wrote on the topic:

Originally posted by @Trevor Ewen:

@Aymeric De Conde

I was in your position 6 years ago. I made a strong decision to go out-of-state, and I have never looked back.

After a number of evictions, repairs, and even selling units in markets where things can move faster and with fewer cuts to the middlemen, I am more sold on this idea than before. Additionally, I have now gone almost entirely passive with private loans and syndications.

The state government is currently trying (and succeeding) to make it harder to own anything in NYC. You could get a price spike due to inventory pressures that come out of this legislation, but it's equally likely you'll get your price dragged down by new inventory in Long Island City, Jersey City, Hudson Yards, and the list goes on.

The desirability of the market already makes it nearly impossible to cashflow. Renting feels like throwing money away, but so is paying interest, taxes, and insurance. On a 30-year loan, you will pay down very little equity until the 8th year of payments.

Let's be clear. I think New York is a fun and fantastic place to live. I have a motto to make my money here and get it out-of-state as fast as possible.

Always good to see other Queens residents on the forums!