Buffalo NY new member intro! Thoughts on my situation?

Buffalo NY new member intro! Thoughts on my situation?

Member since 2022 · 1 post · 1 vote

Hello there! 

My name is Daniel. I live in Buffalo NY with my amazing partner and our 2 year old son. We are quite alternative folks and have been on a journey of financial literacy awakening and skill building. I am a carpenter/natural builder, and work full time for a small yet powerful contracting company doing historic restoration, general carpentry, natural building, and new builds with a focus on energy efficiency and healthy housing. My partner started her own company, which is small scale apothecary which sells herbal products and other wellbeing services. We are building credit quickly and have some sound budgeting strategies in place. Our family makes about $3.5-4K/month. 

We are currently renting and are inheriting $50k from my grandmother who recently passed away. WIth that money we are looking to buy the home we live in (we are loved by the landlords who have offered us first buy) and are looking to begin our real-estate investing journey through something along the lines of the BRRR strategy, using this home as our launch point. Being a carpenter, I have the unique opportunity to fix and flip, and with the market in Buffalo taking off as it is, I feel like now is the time to begin to clarify our vision and make something good happen. We are also highly interested in building short term rentals such as eco airbnb's, as the cash flow of that route and the small footprint/simplicity of that direction would work well with our family.

Does anyone have any advice for someone in our situation? 

Be well and take care! 


1Reply
11 views

3 Replies

Jump to latestLatest
  • Bob ReinhardBusiness Member
    Lender · Patterson, NY · Member since 2017 · 488 posts · 186 votes
    3y
    Welcome aboard Daniel!!! 

    There are options and alternatives...but all more than a back and forth on here.

    Feel free to reach out to me at any time for a discussion.

    Wishing you much success from downstate - happy investing !!!

    Bob
  • Julio GonzalezPro Member
    Specialist · West Palm Beach, FL · Member since 2008 · 4k+ posts · 1k+ votes
    3y

    Hi Daniel, welcome to the community! You found the right place for information.

  • Matthew Irish-JonesBusiness Member
    Real Estate Agent · Buffalo, NY · Member since 2017 · 2k+ posts · 2k+ votes
    3y
    Quote from @Daniel Cherniske:

    Hello there! 

    My name is Daniel. I live in Buffalo NY with my amazing partner and our 2 year old son. We are quite alternative folks and have been on a journey of financial literacy awakening and skill building. I am a carpenter/natural builder, and work full time for a small yet powerful contracting company doing historic restoration, general carpentry, natural building, and new builds with a focus on energy efficiency and healthy housing. My partner started her own company, which is small scale apothecary which sells herbal products and other wellbeing services. We are building credit quickly and have some sound budgeting strategies in place. Our family makes about $3.5-4K/month. 

    We are currently renting and are inheriting $50k from my grandmother who recently passed away. WIth that money we are looking to buy the home we live in (we are loved by the landlords who have offered us first buy) and are looking to begin our real-estate investing journey through something along the lines of the BRRR strategy, using this home as our launch point. Being a carpenter, I have the unique opportunity to fix and flip, and with the market in Buffalo taking off as it is, I feel like now is the time to begin to clarify our vision and make something good happen. We are also highly interested in building short term rentals such as eco airbnb's, as the cash flow of that route and the small footprint/simplicity of that direction would work well with our family.

    Does anyone have any advice for someone in our situation? 

    Be well and take care! 



     Welcome to BP, sounds like you are on the right track.  There are a lot of things to consider when you start your journey.  One of the most important one's and the one most often overlooked by newer investors is risk.  Risk comes in many forms, geographic risk, asset risk, construction risk, etc... Don't take on too much risk as a newer investor, you don't know what you don't know just  yet.

    Having the ability to do skilled labor for free can be a massive advantage.  You can buy places that need work, fix them out, and house hack your way to multiple properties.  I started 12 years ago and am approaching 60 units this year and we are managing close to 600.

    You need to figure out how to create an accurate pro forma for each potential investment as well. That is a skill that takes a lot of practice. There is a margin of error in every pro forma, the margin for error for newer investors increases because they underestimate CapEx and maintenance cost. If you do a lot of the maintenance work yourself you can save on cost, but you might not be able to scale that model.

    Good luck on the journey and stick too it.  Sometimes you will win, and sometimes you will learn!

    Irish Jones Realty4.947 Reviews
    View Page
Join the conversationCreate a free account to reply, vote on answers and follow this thread.