New Investor in Binghamton,NY - Short-term rentals

[Aileen Qu]

Hello Bigger Pockets Community!

I hope this message finds you well! My name is Aileen Qu, and I'm a humble investor based in New Jersey. Recently, I've been drawn to exploring short-term rental investment opportunities in upper-state New York, particularly in Binghamton, NY.

Admittedly, my knowledge about Binghamton is limited, but I've heard wonderful things about its potential for real estate investment. However, I believe that the best decisions are made with the help of a supportive community and insights from those with local expertise.

That's why I'm reaching out to you all today. I would sincerely appreciate any advice, opinions, or thoughts you might have regarding the short-term rental market in Binghamton. Whether it's tips on promising neighborhoods, market trends, or considerations for property management, your input would be incredibly valuable to me.

If you're a local real estate agent familiar with the Binghamton area or a fellow investor with insights to share, I would be immensely grateful for your guidance. Together, let's embark on this journey of discovery and learning.

Thank you in advance for taking the time to share your wisdom. I look forward to connecting with you and hearing your perspectives on the exciting opportunities that Binghamton may offer.

Thanks!

Aileen

[Stephanie Jacobson]

Thanks so much for the tag, @Andrew C.! I really appreciate that. 

Welcome to the BP community, @Aileen Qu! There are some fantastic resources here, and I've made connections that helped me build a career. 

As for STRs in Binghamton, it's not the way I would go in that market. Technically STRs aren't allowed within the city limits... though, I know many people who do them. For an average apartment on the west side, though, you're really only looking at $40-60/night. If you want to get into a higher price range, you're going to need to fork over $800k+ for a building downtown. Even then, you'd be much better off doing mid- or long-term rentals in that location.

The most profitable landlords in Bing are in student housing. That's what's driving the market. In the West Side, rents have jumped from around $450/bed two years ago to $600+ now. Buying student rentals at the moment is incredibly complicated, though- areas that have been students for decades were just rezoned so that no more than 2 unrelated occupants can be in a single unit. I've attached a little map here; the light green areas are the only places you can have three or more students, so if you buy outside of that you need to have 2 beds or less in each unit.

So, since student housing options are slim and prices are high, many people are turning to mid-term rentals and leasing to travel nurses. This is a whole other thing- you have to have nice, pretty apartments (where students are much more lenient) and furnish them with everything from bedding to forks to toilet paper. You'll also be doing new leases every couple months. The areas around the hospitals can be a bit sketchy, but are slowly improving as more landlords renovate to accommodate nurses. Riverside Drive, South Side and the far West Side are the best areas for that.

If you lean away from students or nurses and decide to rent to families, your options open WAY up. You can ignore the new zoning maps and buy anything that make financial sense.

Here's the link to Bing's updated zoning regulations- skip to Article VI, Residential Districts.

https://www.binghamton-ny.gov/government/elected-officials/c...