Hey everyone my name is Mike, I'm 25, and I am trying to break into the real estate market here on Long Island where I live. With prices being so high for real estate on long island I believe there is a strong rental market to be tapped in to. On the contrary, it will also be very expensive to purchase a property. Does anyone here have experience finding deals and becoming a successful real estate investor on Long Island? And if so what do you recommend I do to start my investment portfolio? Thank you very much for your response and help in advance it is greatly appreciated!!!
@Michael Locicero Long Island will be very hard to invest in because of the prices, like you said. With that being a high budget area, house hacking is one of the few ways to enter the market there, but you also cant expect to find many deals or even deals that will support the mortgage insurance premiums.
There are deals, but you’ll have to make them happen. Properties in many areas might not cash flow until rent rates catch up to market prices.
So, you’ll have to look daily and find opportunities.
Not all towns have seen major market value increases.
However, properties in poor condition areas need work, but it’s hard to get rent increases in those towns. So, it’s a tough balance in those areas.
Overall, you have to try for off market opportunities and just be on the hunt.
Thank you @Christopher Phillips i appreciate the response. It seems as if I should look out of state to start as Long Island and pretty much all of NY is not currently an investors market for the most part. If you ever come across a property that seems suitable as an investment you know where to find me. Thanks again for your help!
@Michael Locicero I was in the same boat. I started looking in Lehigh Valley, Pennsylvania. If you have any questions you can direct message me! I currently have 3 units in 1 month.
@Michael Locicero - I first got into the market after Sandy and house hacked my way into a home (Cape) that eventually increased over 200K in value over the course of 4 years.
The key to investing in Long Island is finding older homes that need rehab in some of the lower income parts of Nassau. These homes can still command a high enough rent per month to cover 1% of the mortgage (safe estimate). If you couple that with relatively cheaper taxes and a 20% downpayment, you can have a sustainable investment.
I bought in Bellmore and was lucky initially (under 300K) for 4 Bedroom 2 bath home outside of floodzone. You can do it if you keep your eye on the market and are ready to buy.
Best of luck!
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing