Beacon NY looks like a hot market

10 Replies

Hi BP community!

I am interested in investing in the lower Hudson valley, specifically Beacon NY. Would love to hear other investors experiences of this location. I noticed a lot of flips in the area lately but I don’t know if there is any buy and hold investing going on. Looking for multi-family and townhouses (single family homes look a little overpriced for rental investment) and I hope that there is potential for some long term appreciation.

Any opinions are welcome.

The reasons I am interested in Beacon are:

  • I hear a lot of people that are moving or want to move there, even from NYC.
  • It’s only 74 minutes by express train to NYC. This may sound like a lot to the rest of the country but my first job in the NY metro area was 100 minutes away from home.
  • As NYC becomes more unaffordable, people are moving north along the towns on the Hudson river. For example, fifteen years ago Tarrytown was not so desirable and now townhouses by the Hudson river sell for $1.4m. As a result there is a move even more north in search of affordable housing in an interesting setting.
  • Millennials don't want to live in sprawling suburbs and prefer small picturesque towns and Beacon has some of the same characteristics that made Williamsburg Brooklyn as success.
  • The demographics of Duchess county (where Beacon is located) show an increase in the 20-40 year old population.

Please let me know what you think.

HI Alex - The lower Hudson Valley is definitely a burgeoning area. The only negative I can think of as far as Beacon goes is that the schools are not yet considered desirable. At least according to anecdotal evidence. I have a colleague who is a VP with young children and he looked at Beacon, but opted to move to another town in the area. I can't recall off-hand which. 

It's definitely a hot area, but young, affluent families are also looking for good schools. There may be some private schools in the area that make up for the lack of good public schools or the schools may improve with the influx of tax revenue. Like I said, my comment is based on one data point. But it is something to consider.

Hi @Alex Halimou , i'll second Kevin's points but again, i only have some small anecdotal evidence.  I think the points you make are all valid, and quite frankly, you probably wanted to make those points 3-5 years ago.  that's not to say Beacon is not still a town on the rise.  My brother-in-law just moved to Cold Spring and I believe it was either there or Beacon that they were looking.  He's a bit of a hipster (he'd kill me for saying that) so the small hippy feel of Cold Spring is what they were looking for, while Beacon would be a little bigger.  

I agree with Kevin on the schools but as young families start to move into a town, the school systems start to get an influx of money.  i'm seeing it in my town now and i'm confident by the time my 4 year old is in high school we'll have "desirable" schooling.

And you're right, people commute from Phily everyday to get to NYC, 74 minutes is nothing.

Thanks for your input @Kevin Doherty and Josh Robbins,

Schools are definitely a concern. Cold Spring has better schools but house prices there are 2x higher. Maybe I should talk to some young couples that are moving  to Beacon to find out what they plan to do about schooling.

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I’m curious if you ended up investing in Beacon? If not where did you go? At this point Beacon is a pretty saturated market, so I’ve moved to investing in Kingston. Poughkeepsie also has some potential.

@Brian Rosenthal I am in Tarrytown, also looking in Kingston.    Would be happy to grab a coffee sometime.   Good luck with everything. 

@Nick Martucci that would be great. How do I contact you? I’m new to this site and you don’t have any contact info.

Hi, I am curious if Cold Spring, Kingston or Poughkeepsie were markets you guys invested in and how is the cash flow if you did.

No major employment opportunities in Kingston and relatively poor schools. This makes that market relatively unattractive. 

Beacon is definitely an up and coming neighborhood, Poughkeepsie too. If Cold Spring doesn't work you could try Fishkill as well.