Multi family investments in the Hudson Valley NY

[Thomas Flint]

Hi all, I'm new to BP and am looking for some advice investing in multi family properties in the Hudson Valley NY. I have cash to invest but I could burn through $200k fast in 25% down payments so the Brrrr concept would be ideal. I have spent a lot of time looking through the MLS listings online as well as working with an agent. Obviously these deals aren't abundant, I'm willing to put the time in. I'm just getting the feeling that this may be a difficult region to implement that strategy due to the high demand, municipal challenges, high prices and lack of invintory. Has anyone out there found success in this region?

[Justin S.]

@Frank Gucciardo @Thomas Flint

When is the last time you have been to Newburgh? There are permit signs on every other window. New restaurants, bars and shops opening up very frequently. Do you follow any of the Newburgh blogs? I would have to agree with @John Hickey, Change is without a doubt coming. I have gone to a few of these investor meet-ups with 50+ people showing up. Go have lunch any day or the week at Ms.Fairfax and come back to report what you see. The place is packed every single day I go there during lunchtime. There is BIG money being poured into the neighborhood right now. What are the signs you are looking for that you haven't seen? 

I live and work in Brooklyn and have 7 units up there right now. Very happy I purchased them last year. No regrets whatsoever. As a lender, I also have about 10 pre approved clients there consisting of 70% owner occupants. The writing is certainly on the wall! With Beacon building million dollar condos across the river, I look at it in the same way I look at Bed Stuy to Park Slope. 

Park Slope has way more amenities, better schools, MUCH more safe, yet Bed Stuy Brownstones still sell for 2--3.5M. Why? As Long as Park Slope sells for 4 million, Bed Stuy will sell for 2 and as time goes by, the gap gets smaller and smaller. Do I think Bed Stuy will one day be Park Slope? Absolutely! 

I look at Newburgh no different. Many people want to be a part of the change, would like a nicer house only 7 mins away or to put their own touch on something. With all of the artist in Newburgh right now, they don't want the cookie cutter houses, they would rather buy a building that has some architectural significance and put their own twist on it. The housing stock in Newburgh, even though beat up is gorgeous and once brought back to life, you truly have something spectacular. Follow the artist! This approach has never let NYC investors down.