Rochester! buffalo came in number 5.
http://money.cnn.com/galleries/2008/moneymag/0805/gallery.resg_gainers.moneymag/2.html
thats amazing that Buffalo, Rochester, and Syracuse are all on there. People have said that we have battled off the home market crash but I didnt know we were doing that good.
Rochester is #1, and Buffalo #3 for lowest increased foreclosure rates of the top 10. Interesting.
our housing value increases still suck. the difference is everyone else had 20% growth and now they have -10%. We had 2% and now we have 1.5%
what a surprise, all of them have a median home price under $180k.
Joe’s right. Our markets are “stable”, and cheap…
Alot of folks coming in & snapping up investment / income properties.
Will not end well.
we never had a housing bubble. no bubble = no burst.
rochester is the land of slow and steady appreciation - the only reason we look so good right now is because the rest of the country looks so bad.
QFT…
but to play the otherside, this sort of investor attention could cause our values to falsely inflate… :eekdance:
Is this Tonawanda creek?
Really? I know Buffalo has had a problem with slumlords picking up vacant houses but I haven’t heard anything about a rush of investors buying nice homes in the suburbs?
It’s a terrible investment because the only thing that would cause the values to shoot up is if the WNY economy started to boom and the NYS legislature and their love of free health care has guaranteed to keep the taxes to high for that to happen.
The local economy will just continue being “ok” and houses will continue being affordable because that’s all the residents can afford when the property tax rates are so high. When you’re tacking on an extra $400+ a month in taxes on a 150k house it evens out to a 250k house in an area with low taxes.
I wouldn’t use the terms “rush” persay.
A friend of ours is a realtor, and while not a big name he does alot of volume. He mentioned something about it a few months ago, and again a few weeks back. Prolly 1 in 5 sales are someone from out of the area, who doesn’t appear to intend on living here.
He doesn’t generallyy deal in the <$50k -or- City of Buffalo markets
:gotme:
^ Interesting. Have to start watching who the houses in my neighborhood are being sold to.
While I’m sure it is a small percentage, you can blame some of this on the growth that UB & Cansius are seeing…
I know that a house 5 doors down from us was purchased by a woman from CT. She bought it cause her daughter is going to UB. Her daughter and a couple of other girls (students or friends I’d guess) live there. This took place late summer last year…
Considering where the money is coming from, its not a dumb decision persay.
That’s interesting actually. Figure 4-5 years rent for a 4 year degree, more if they attend grad school. Buy the place outright for your kid, get rent from your kid’s friends or their parents, sell it for the appreciated value while a good chunk of the mortgage was being paid by the two other kids.
The kids benefit because they end up staying in a place that would normally be out of reach financially for most college students.
wealthy people do this a lot… the BIG risk is that you kid changes school (unless you want to just be a landlord for the place in general)
I disagree.
Buffalo is so cheap. My brother is a real estate agent, he has customers coming from all over the United States, flying into Buffalo Airport to meet him and buying several homes at once, and writing a check.
People are all about buffalo not for the appreciation, but for the cash flow.
They hire a property management company to take care of the property when they are at home in carolina or whatever, and they just collect the checks, and let the apartment dwellers pay down their mortgage.
In the end, the owner still owns the property, which will increase in value over the years. When it gets paid off in full, it could be a substantial monthly repeating income.
Not to mention the serious tax advantages of owning real estate, over other investments. Write off all the taxes, depreciation, and mortgage interest, even if the house goes up a point or two in value, its all gravy.
Even when your still paying the mortgage, its possible to cashflow several hundred bucks per month on even a 2 unit place in most areas of WNY.
The 2 family house I just purchased in west seneca is an investment for me. I will live in the top, rent the bottom and live for free.
When I move out of the area, I’ll put the whole place under a property management company and collect the checks.
so your tenant is paying 100% of your mortgage and all maintenance?