South Buffalo Revival?

Question

Hi everybody,

Anyone that lives in the buffalo area, what are your opinions on the South Buffalo Real Estate Market. Do you think that it is a bubble? is it going to keep going up like Elmwood? Specifically talking about Hopkins, South Park, Seneca Street area.

Thanks,

Rob

Robert Gannon · Answer

@David Niles Thanks for your input. The Buy and Holds in that area have pretty good margins right now even in the inflated market. Good deals in the 50-70 range for BRRRR investors and decent margins in the 85-100 for Turn keys. I just hope that the prices don’t go up too high as I’m not done buying there yet. Just saw a direct comp to one of my properties sell for 129,900 on Hopkins next to the new pizza place. Pretty good margins for a top end comp.

David Niles · Answer

I would think so, some has already started at least commercially.  They built a new small strip store with a Tim Hortons directly across from Tesla.  Anyone looking for a buy/hold would probably do fine if they found a good deal there.  Dont think I would be doing any flipping in that area though.

Ashley Kehr · Answer

Hook and Ladder Development and Schneider Family of Services have taken on some properties on Seneca St and the surrounding streets. I think that seneca st has growth available especially with the revitalization of the old theater.

David Niles · Answer

Thats a great question Rob.  The whole Buffalo market has been steady ( slow ) for years and years so we never really dealt with booms or busts, but with the crazy growth over the past several years, I can see things being over priced and possibly correcting, but when...

Matthew Irish-Jones · Answer

@Paul Zackey  I am with you 100% on that one.  We are finding cash flow positive properties all over S.Buff.  Mostly around Seneca St, some in Kaisertown... and we are about to start venturing into the First Ward.

Matthew Irish-Jones · Answer

@Robert Gannon  I really like the S. Buffalo market.  I get asked this question all the time, although I am no intentions of trying to predict the market for anyone, I can tell you that rents have risen with home values.

I keep hearing that S. Buffalo is over prices but... if investment properties can still be found that are cash flow positive, I disagree that it is over prices.

My opinion is it is time to start venturing into some areas of S.Buffalo that are still slightly undervalued.

Robert Gannon · Answer

You might want to try looking at lower price points. If you look in the 50-100 range with duplexes 3 bed+ I’ve seen a lot that cash flow 15%+. It’s just a different type of clientele you have to deal with. We usually fix them up ourselves into nice places.

Maxwell Milholland · Answer

Hey everybody! I'm a little late to the party, but I'm wondering if it is a bad time to start investing? I'm 26, live in buffalo, own no property, and everything I run numbers on is negative cash flow. Do I suck at finding deals or is the 716 market overpriced?

Nicholas Ernewein · Answer

Lombardoughs? Im super good friends with the owner, Kenny if so :) sorry off topic.

South Buffalo Revival?

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