Let's not forget about Syracuse, NY (but just from an investment perspective).
Syracuse, a prominent city in New York, offers a rich tapestry of culture, history, and education, highlighted by institutions like Syracuse University. Known for its robust journalism program and spirited sports culture, the city also presents a variety of museums, such as the Everson Museum of Art and the Erie Canal Museum. Notably, Syracuse is recognized for its snowy winters, providing ample opportunities for winter sports enthusiasts. It is also a great place for flippers to make some $$$$$$.
Demographic Snapshot
- Population Dynamics: Higher populations in zip codes 13208 and 13210 suggest a vibrant rental market, whereas 13224’s higher median income points to the potential for luxury real estate investments.
- Age and Housing Needs: The younger demographics in zip codes 13204, 13205, and 13210 indicate a need for affordable, compact living spaces suitable for young singles and new families.
Age Demographics
- Gen Z is actively moving to Syracuse, NY:
https://www.localsyr.com/news/gen-z-is-moving-to-major-cities-including-syracuse-why/
This migrational data is supported by search terms for jobs at Amazon being up 900% YoY:
| Keyword |
Avg. monthly searches |
YoY change |
| amazon jobs syracuse ny |
500 |
900% |
| amazon careers syracuse ny |
500 |
900% |
Market Analysis and Rent Trends
- Rental Scene: There is a stark contrast in rental prices across the zip codes. For instance, zip code 13210 shows a substantial rental market with higher median rents, especially for larger units. This could indicate a premium market with potentially higher profit margins on flips.
- Housing Structures: Zip code 13224 shows a high number of multi-family structures, particularly those with more than 50 units, suggesting a potentially saturated rental market or a demand for apartment living.
- Market Outlook Combined with Google Search Data:
- 13224: Witnessing a notable 53.7% surge in median sale prices for 4-bedroom homes and a 19.7% uptick for 5+ bedrooms reflects a buoyant market for larger residences. High search volumes for terms like "luxury apartments Syracuse NY" and "new apartments Syracuse NY" mirror the interest in upscale living spaces, particularly evident in this zip code. The uptick in multi-family construction, with 52 new units being permitted in 2024, underscores a growing preference for apartment living, further supporting upscale conversions or new developments.
- 13210: The sales data shows a 28.5% increase in the price of 5+ bedroom homes, and other categories also saw price increases, such as a 15% increase in 2-bedroom homes, indicating healthy market conditions for larger family-oriented properties. This zip code has a high population density with a substantial portion of the population in age groups likely to rent (22 to 34 years and under 18 years), suggesting a steady demand for rental properties. Consistent search volumes for rental-related queries like "apartments for rent Syracuse NY" match well with the demographic profile, indicating ongoing interest in housing in this area.
Supply and Demand Dynamics
- Building Permits: A notable surge in building permits in 2024, particularly for 2-unit and 5+ unit multi-family structures, notably in zip code 13224, signifies both growing demand and increasing supply, potentially influencing market prices.
| 2024 |
|
| Total Units |
56 |
| Units in Single-Family Structures |
4 |
| Units in All Multi-Family Structures |
52 |
| Units in 2-unit Multi-Family Structures |
32 |
| Units in 3- and 4-unit Multi-Family Structures |
0 |
| Units in 5+ Unit Multi-Family Structures |
20 |
Google Search Insights
- Search Trends: The terms "luxury apartments Syracuse NY" and "new apartments Syracuse NY" show increased interest, particularly with searches peaking for new construction assets. This is especially relevant to zip code 13224, where there's evidence of higher-income demographics and an increased rate of new building permits, which correlates with a market that can sustain higher-end flips.
MoM change in searches
- High Volume of Searches Related to Rentals: Keywords like "houses for rent Syracuse," "apartments for rent Syracuse NY," and "Syracuse apartments for rent" show a consistently high average monthly search volume of ~ 5,000. This suggests a strong ongoing demand for rental properties, which is critical for the real estate flipping market since it can indicate the ease of renting out or selling renovated properties.
- Interest in Affordability and Accessibility: Searches for "affordable housing Syracuse NY" and "low income apartments Syracuse NY" are consistent, which aligns with the interest in more affordable and accessible housing options. This supports investment in zip codes like 13206, where median incomes are lower and there is a significant increase in sales volumes for more affordably priced homes.
Property Flipping Recommendations
Based on the analysis, here are the recommended zip codes for lucrative property flipping in Syracuse NY:
13210: High Rental Demand Area (71.76% renter occupied)
High rental demand, especially for larger units, and substantial search interest in the area suggest strong market dynamics favorable for flipping houses.
- Multi-bedroom homes, especially those with 4 or more bedrooms, as these have seen substantial appreciation. There is also an opportunity to target the rental market with renovations that cater to both families and young professionals given its large, diverse population and proximity to educational institutions.
- Enhance properties to appeal to families and young professionals, focusing on durability and functionality, such as open-plan kitchens and multiple bathrooms.
Example Investment: 130 Benedict Ave, Syracuse, NY 13210
130 Benedict Ave, Syracuse, NY 13210 | Zillow
Located right next to the Syracuse University, and currently rented under market for $1,200 a month. Some light repairs, updates and potentially an addition, could see this worth $200K+ to an investor.
13224: Luxury Market Potential
Despite its high-income profile and significant building activity, there's increased interest in luxury and new apartments, indicating room for high-end property flips.
- Focus on larger, multi-bedroom houses or convert them into high-end apartments. The data shows a significant appreciation in larger homes' prices and a notable interest in luxury and new apartments.
- Invest in substantial renovations with high-quality finishes, modern amenities, and possibly smart home technology to attract the upper-end market. Consider expanding single-family homes into multiple units if zoning permits, to maximize ROI. The demographic is higher-income, and there is a robust increase in building permits for multi-family structures, suggesting a readiness for upscale, possibly expansive living spaces that could attract premium prices.
Specific Focus: Scottholm area offers lucrative opportunities with 4+ bed houses selling for $300K+ in the past 6 months.
13206: Emerging Market for Affordability
- Target more affordable, multi-unit or single-family homes. There’s an observed increase in sales volumes and a moderate appreciation in house prices, coupled with a significant interest in affordable housing in the search data.
- Opt for cost-effective updates that improve structural integrity and aesthetic appeal, such as new fixtures, fresh paint, and updated kitchens and bathrooms. Efficiency apartments or duplexes can be particularly appealing in this market, providing affordable yet attractive options for potential buyers or renters. With a lower median income but active market conditions, focusing on value-driven renovations that enhance living quality without the high-end price tag could be most effective here.
- Veterans make up notable portions of the population in certain areas, such as in zip code 13206 where approximately 8.04% of the population are veterans. Develop housing solutions that cater specifically to the needs of veterans. This could involve creating accessible living spaces that are close to VA hospitals or clinics, community centers, and other veteran support services. Offering amenities that cater to older veterans, such as no-step entries, wider doorways, and emergency call buttons, could be advantageous.
