Investor · Bronx, NY · Member since 2014 · 3 posts · 4 votes
9y
I purchased a house in Newburgh. I heard all of the horror stories, but I had to try it for myself. It looks a lot scarier than it actually is. I held the house for three years, rented it (it was a two family). I had no issues (proper screening, thanks Bigger Pockets!!). Sold it in 30 days (cause I wanted the money to do it again without using my savings). I just got an accepted offer on house number 2 and I'm waiting to hear back about house number 3.
You have to know what you can handle. I have looked past the "war zone" areas and comments and I see the numbers. If it works buy it.
Highland, NY · Member since 2013 · 169 posts · 130 votes
9y
Newburgh = war zone. I grew up there and let be 20 min away and it's a disaster. My advice is to stay as far away as possible.
Poughkeepsie - I've written a few posts but I'm too lazy and full of wine and turkey to find and let's be them.
The hospital is doubling in size and there are multiple colleges that drive rental demand. Stay away from the war zones though.
Investor · Bronx, NY · Member since 2014 · 3 posts · 4 votes
9y
I purchased a house in Newburgh. I heard all of the horror stories, but I had to try it for myself. It looks a lot scarier than it actually is. I held the house for three years, rented it (it was a two family). I had no issues (proper screening, thanks Bigger Pockets!!). Sold it in 30 days (cause I wanted the money to do it again without using my savings). I just got an accepted offer on house number 2 and I'm waiting to hear back about house number 3.
You have to know what you can handle. I have looked past the "war zone" areas and comments and I see the numbers. If it works buy it.
I purchased a house in Newburgh. I heard all of the horror stories, but I had to try it for myself. It looks a lot scarier than it actually is. I held the house for three years, rented it (it was a two family). I had no issues (proper screening, thanks Bigger Pockets!!). Sold it in 30 days (cause I wanted the money to do it again without using my savings). I just got an accepted offer on house number 2 and I'm waiting to hear back about house number 3.
You have to know what you can handle. I have looked past the "war zone" areas and comments and I see the numbers. If it works buy it.
Investor · Brooklyn, NY · Member since 2016 · 35 posts · 24 votes
9y
What's interesting to me is the increased level of activity in the past 12 months in downtown (I began to map it out). People are buying and renovating. Change is coming but everyone has to deal with the level of risk they feel comfortable with.
Wholesaler · Newburgh, NY · Member since 2017 · 32 posts · 4 votes
9y
Hello. My name is Kevin Jeter. I started wholesaling in Newburgh about 2 months ago. I have my first multi-family home under contract in Newburgh. Message me for more info!
Rental Property Investor · Chappaqua, NY · Member since 2015 · 1k+ posts · 947 votes
9y
Kevin Jeter thanks for the info I'll look at the house I like the area. PM me and we can set up a time.
Nothing personal but I think your way off on the ARV. That's really going to affect what I can offer on that house. If you think it needs that much work there is no deal there.
First there's a house a few hundred feet away from yours that's is in contract for somewhere close to 86k. It's rented out and doesn't need work. A brick two family. It's on a very similar block to yours. Just as far away from liberty.
Most of the stuff I've been bidding on is closer to liberty. I just missed out on 25/27 Benkard that was a 6 family. I bid 127. The winning bidder was 131k. It needed 25k in work. That rent roll was 5400 a month. I would say that brick 6 family is worth 220 It's much closer to liberty.
The house I'm closing on next week is 2 family on Benkard I'm paying 47k. It's also much closer to liberty.
I also have offers in on 2 houses within 500' of there for 30, 50, The 30k house is 100' away.
I'm pretty sure your ARV on that house right now is closer to 90k.
I admit I could be wrong and that would be great. Means everything I'm buying is worth way more than I thought.
How did you come up with 124.
Wholesaler · Newburgh, NY · Member since 2017 · 32 posts · 4 votes
9y
@John Hickey My ARV is a average of what multi-family homes sold for in the past year. If my numbers are off, I'm most likely off in the repair cost. I like to estimate repair cost about 5k-7k higher then cost would be just in case there's repairs I didn't notice during my walk through. I wish I could see that house that's in contract close to mines with no work needed selling for 86k. It probably looks a lot like the one I have.
102 Benkard needs cosmetic repairs to the first floor kitchen and bedroom. The stair case in front of the house could be replaced. Every room on the second floor could be painted and the backyard need some trash removal. There's also a medium sized crack in the wall on the second floor and the front porch could use some work. Now that's I hear myself talking about the repairs out loud, I definitely over estimated the repair cost but I would love to have to have your opinion. I'll PM you to set up a time
Rental Property Investor · Chappaqua, NY · Member since 2015 · 1k+ posts · 947 votes
9y
25/27 is city owned. The rest are private sellers. Ive done a lot of comp work on Benkard Kevin. West of William on Benkard those houses aren't going to sell for 125k.
You might get an appraisal for that based upon comps blocks away but the market on that street isn't 125k for a 2 family. If it was on Carson Benkard, Renwick and closer to liberty you get that and more. But west of William no one in third right mind is going to pay that. Houses a block away bigger and made of brick are selling for half that.
I'm hoping to get 90k on a brick two family in the 50s on Benkard that after I put in 12k bc it does only need slight work(for me bc I do the work. For most investors it would be 30k. My house was renovated five years ago and I'm paying 47k.
102 Benkard doesn't look so bad, you could rent it out. I wouldn't. If your going to rent in that area your looking at DSS/ section 8. There is a ton of chipping lead paint in 102 Benkard. Lead paint remediation isn't cheap. I'm certified I do it myself and it's still expensive for me. Your next to a school you can use a dumpster you'll have to double bag everything no biggie but 15k goes quick.
Rental Property Investor · Chappaqua, NY · Member since 2015 · 1k+ posts · 947 votes
7y
@Kevin Jeter I did not agree with your ARV. I wasn’t buying your numbers last year, but part of that was I had bought three brIck multifamily houses with 500-750’ of your place for 30k per unit. Most of them weren’t too bad only one needed gut Reno. I sold my house on Benkard for 159k a few weeks ago and it still needed work so....you were right.
New York, NY · Member since 2016 · 3 posts · 1 vote
7y
yea im closing on a two family in Dutchess (Poughkeepsie) next month, good things happening out there with the right deal, keeping my eye on things to grab a potential BRRRR