by Sam Costantino

Created on: April 28, 2009   Last Updated: May 14, 2009

The Western New York area, noted for snow and cold, doesn't have hurricanes, tornados, earthquakes, floods, or wildfires. It does have an infrastructure which, through years of experience, copes easily with one, two, or three feet of snow turning it into an inconvenience rather than a natural disaster. Remember the terrible storm of '77? That was over thiry years ago.

Buffalo, New York, while suffering the same ills as much of the U.S. in terms of unemployment and job growth, has been less affected by the steep drop in the housing market. This had made the area particularly attractive for real estate investors looking for a steady stream of income rather than quick appreciation.

Single homes, doubles, triples and four-plexes can be purchased, in desirable areas, beginning in the mid- to low fifty thousand dollar range. Rents in the city can range from $350 to $850 per month, depending upon number of bedrooms, area, etc. This makes the outlay of a relatively small amount of money a good investment since an investor's money can, in this area, purchase several properties versus property costs in other areas of the country.

Investors coming into this market are proving to be from New York City, Toronto, San Francisco and as far away as Australia. As noted, the object in investing in this area cannot be appreciation since even in boom times the average appreciation seldom exceeded 7%.

Examples of available properties in the Buffalo area are as follows:

A 1950's - built brick, ten-unit, 2 bedrooms per unit in a village just south of Buffalo. It is fully occupied, rents are $500/month per unit. Access to stores and bus routes within walking distance. Taxes total $15,000 annually (this is New York, remember). Asking $250,000.

A 2400 sq. foot single family home just south of the city of Buffalo, a five-minute walk to the shore of Lake Erie. Three bedrooms, the smallest being 12' X 12', the Master 28' X 15' with full bath and deck. There is a living room, dining room, breakfast nook, family room, loft, laundry room, a second full bathroom, and two more decks on a 1/4 acre lot. Needs cosmetics. Asking $ 150,000.

In the city of Buffalo, an 8 bedroom all brick mansion. The front entry features a plank door leading to a grand foyer with French doors. A winding staircase leads from the basement to the second floor, with a crystal chandelier above. Three baths and four half baths, hardwood floors, wainscoting, new wall-to-wall carpeting, master bedroom features a private bath with a sunken tub and shower plus dressing room, detached 3 car heated garage with apartment, fenced yard, front and rear patios, in-ground sprinkler system. professionally landscaped. $599,900.

One can see, from the above examples, that the Buffalo area is ripe for the investor. It certainly is a location which deserves examination from investors seeking bargains in cash-flow properties.

Learn more about this author, Sam Costantino.
Click here to send this author comments or questions.