Is this a good deal?? Lake home investment?

Is this a good deal?? Lake home investment?

Ashburn, VA · Member since 2017 · 4 posts · 0 votes

Hello, I wanted to pick the brain of any investors on here. I have an offer from a family member to purchase their lake home in the heart of the finger lakes in upstate NY. Its a 2 bedroom, 1 bath 1300 sq single family home with 50 feet of water front. I can purchase it for $200K. Looks like the value according to zillow and comparing surrounding properties is around $300K. Obviously I would have around 100K in equity from the beginning. Anything I'm missing here? or is there anyone who would NOT jump on this?

Just want to pick the brains of you all that have experience. [not those that think they have experience but really dont :)]

0Reply
47 views

Most Popular Reply

Stephanie JacobsonBusiness Member
Real Estate Agent · Ithaca, NY · Member since 2016 · 429 posts · 324 votes
8y

What's the town? Some areas there are very rural, and others are convenient to more bustling areas, and that can make a big difference.

See this reply in the discussion

9 Replies

Jump to latestLatest
  • Real Estate Investor · Macedon, NY · Member since 2016 · 251 posts · 290 votes
    8y

    Lakefront property in the Finger Lakes is spectacular but the taxes can be staggering.  What lake is it on?

  • Ashburn, VA · Member since 2017 · 4 posts · 0 votes
    8y

    Its on Seneca Lake in Ontario county. It's 2% tax

  • Stephanie JacobsonBusiness Member
    Real Estate Agent · Ithaca, NY · Member since 2016 · 429 posts · 324 votes
    8y

    What's the town? Some areas there are very rural, and others are convenient to more bustling areas, and that can make a big difference.

  • Ashburn, VA · Member since 2017 · 4 posts · 0 votes
    8y

    Its 8 minutes from Geneva. 5 minutes from Hobart and William Smith College

  • Rental Property Investor · Geneva, NY · Member since 2015 · 65 posts · 17 votes
    8y

    I live in Geneva, you can email me if you have any question about the area!

  • Real Estate Investor · Palm Beach County, FL · Member since 2017 · 3k+ posts · 2k+ votes
    8y

    Make sure you only use recently sold properties as comps not active listings.

    If it's truly worth $300k then you've got a home run deal at $200k.

    This is assuming it doesn't need any rehab and the $300k value is as-is.

  • Member since 2016 · 13k+ posts · 12k+ votes
    8y

    Equity is of no value if you can not take advantage of it.

    If you can purchase and turn around and sell for a profit without offending your family member I would say go for it. If you have to keep it you would then need to pull the equity to reinvest or it would need to generate a income from rental to justify the investment.

    If it is for personal use it makes no difference what you choose as it is a luxury purchase.

  • Ashburn, VA · Member since 2017 · 4 posts · 0 votes
    8y

    Plan would pull rental income from it and down the road sell it once it increases in value even more. More of a buy and hold strategy

  • Colleen F.Pro Member
    Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
    8y
    Would you rent it and if so what are your rental prospects? year round? vacation rental? What is the season? Anything in winter? People sell below market but most arent going to sell well below without a good reason. Make sure you know what you are buying and any needed repairs. It is a beautiful area.
Join the conversationCreate a free account to reply, vote on answers and follow this thread.