Long Island Investors

20 Replies

Hello all,

As anyone from the tri-state area can sympathize, it is extremely difficult to find some buy/hold deals that make financial sense.  I know they are out there, but wanted to start a thread where we can all brainstorm.  anyone have any success in Nassau County?

@Thomas Burns
I hear you. Its extremely hard at this point. The ones where the numbers are making sense, they are way too high to get into :(

@Thomas Burns :

 Hey Thomas,

Although the barrier to entry in Long Island is very high (due to the high price of EVERYTHING), there are still deals to be found in both Nassau and Suffolk.  I have found some gems recently, but they came through very creative lead  generation techniques.  It's all about testing new list types and methods, and seeing which produce results. 

Feel free to reach out to me and we can brainstorm for a bit (that invitation is open to anyone else reading this as well)

@Brian Cam Thanks Brian.  Always nice to hear some words of encouragement.  Are you doing buy/hold or flipping? 

Long Island is not a great market for buy and hold strategy, simply because property taxes are so very expensive here. That's not to say you can't employ this strategy but if I'm going to tie up 200k to 600k on a property, I want to get a decent ROI. Unfortunately after you account for property taxes, ROI is difficult to realize. There are some duplexes to be found but they are hard to come by since there aren't many even out there or look into buying legal 2 family homes. You can however find much higher positive cash flow out of small apartment buildings in Queens, Staten Island, Brooklyn areas.. Long Island does however offer some great opportunity in large profits in flipping.

I have to agree. It is hard to do buy and hold on most of Long Island. Another investor I know couldn't sell their property in Huntington, and was taking a monthly hit by renting-to-own it.

I have one SF LI buy-and-hold out in Shirley currently between tenants. I did a nice rehab trying to get a rent-to-own tenant, but given the area, it will likely be straight rent (as was the previous tenant). It's a mostly Section 8 market, but Shirley/Mastic marks the point where the taxes decrease by about 50% from even one town over, making B&H more palatable. I'd like to add two or three more homes in the area, then turn them over to a property manager. We'll see how that goes.

@Christopher Settipani agreed high taxes and high purchases prices makes for very low cap rates here on Long Island. We have a 2 family in Jamaica queens and we are just barely getting by with the 1% rule. Taxes are low in queens so it provides a bit more breathing room.

On the flip side ive notice a lot of rehab projects going on in Nassau and suffolk just from driving around. Mainly from all the vacant "zombie houses" sitting around. So there are defiantly deals out there, albeit at higher price points.  

So where are Long Island investors purchasing properties? PA, Upstate NY, Carolinas? 

This is the exact problem I ran bint and decided to focus outside of NY.  Of course this left me with concerns being distant from the property which led me to purchase larger multifamily properties to diversify my vacancy risks.  Currently have properties in KY, FL, GA, OH.

@Thomas Burns Long Island is a tough market, a lot of competition and prices are expensive. You can do great outside of NY. @Michael Ansbachmakes a great point on larger multifamily properties, limit your vacancy problems that can occur in single family houses

Ok great topic, so is it worth doing business on lone island I am in Suffolk just starting out so really looking to connect with others to learn more on wholesaling and other aspects of investor. Thank you 

Michelle

Originally posted by @Thomas Burns :

Hello all,

As anyone from the tri-state area can sympathize, it is extremely difficult to find some buy/hold deals that make financial sense.  I know they are out there, but wanted to start a thread where we can all brainstorm.  anyone have any success in Nassau County?

Thomas I was born on Long Island New York. Grew up in Ronkonkoma. Still come back a good bit. Now I reside in Charlotte NC. I have some buddies still flipping up their far and few deals. I think just like here in Charlotte ,good retail flips are harder and harder to come by. For us personally we are building New Construction rentals and retail flips. Just not seeing the projects any more. We have 11current projects rehab projects here most were purchased prior or in Oct. Since then we have only purchased 2 more in our local area. Most of our deals did come from either hud and or the local auctions. Buying off the MLS is just a waste to me personally.

With that being said our numbers in the South along with taxes just a lot more attractive for investing. Still miss the north especially the food. ( what I would do for a  White Castles and good Diner ) as someone else mentioned creative marketing is the key to finding good deals. Hope this helps.

Alex

@AlexFranks I am also from Queens, NC. Now living in Charlotte. Do you buy/sell outside of Charlotte? Cabarrus, Gaston counties? I have some deals in Gaston County. 

Which areas you propose to invest in for rental cash flows

Originally posted by @Brian Cam :
@Thomas Burns:

 Hey Thomas,

Although the barrier to entry in Long Island is very high (due to the high price of EVERYTHING), there are still deals to be found in both Nassau and Suffolk.  I have found some gems recently, but they came through very creative lead  generation techniques.  It's all about testing new list types and methods, and seeing which produce results. 

Feel free to reach out to me and we can brainstorm for a bit (that invitation is open to anyone else reading this as well)

@Brian Cam, I would love to hear your thoughts about this and brainstorm together if this invitation is still available. Let's connect. All the best to you.

Originally posted by @Carlos Diaz :

@AlexFranks I am also from Queens, NC. Now living in Charlotte. Do you buy/sell outside of Charlotte? Cabarrus, Gaston counties? I have some deals in Gaston County. 

Carlos I am sorry I don't buy only build.

Now if its apartments 100 units or above we would look

Originally posted by @David Kerner :

Charlotte is definitely the best place with the low costs and high cash flow. PM if you need some assistance. 

Guys I met David personally , he is  an investor as well. So he knows what we want and expect as investors. So good guy to speak with

Just my two cents

Buy and hold properties are out there. Not sure are you talking 1 family, multi or commercial?

hey I'm just starting out in REI. me and my friend were looking up state area near Oneonta, as college towns never have a shortage of people looking to rent. downside is the college kids we would be renting to.. as of recently we started looking into long island a bit more because that's where we live (Hauppauge, ny). from what we found only mulit family homes would be cash flow positive. anyone know any good areas where people like to rent? we were thinking huntington, patchauge, Babylon..? anyone have experience in these areas

thanks for any input

- Perry N 

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