Micron and Upstate NY

Investing
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I remember posting in 2019 or so about investing in Nashville rental properties versus Texas. Not many people wanted to consider Tennessee or Kentucky, but how those values have grown since that original post. There may be a similar opportunity again now that Micron has committed to building a $100b tech hub in Syracuse NY.

Everything at this moment is “news” not “facts” so caution is warranted. This whole thing might still go sideways of course as we saw with Amazon, AOC, and their NYC purchase being torpedoed. NY has some important loan and rental property rules that should be examined carefully before considering a purchase - but if Micron is serious, then Syracuse rental properties are going to be a pretty hot commodity.

Please note - as you search on Redfin for some potential homes, you may see many in the $20-$50k price range. These are owned by the Syracuse Land Bank and must be purchased owner occupied, show that you have the $$$ to repair the home, and other restrictions. Also I-81 may be rerouted/destroyed due to political issues surrounding it’s impact on low income neighborhoods. No one knows yet what will be done, but if I had investment cash, I wouldn’t buy a home close to the I-81 corridor.

I’ve been to Syracuse several times and have family who graduated from Syracuse University. There are good and certainly difficult areas, but when $100b of capital flows into the area and manufacturing jobs expand geometrically, the word on everyone’s lips will be “Gentrification”.

Here’s an amazing 7 br property as an example of what upper end homes run in the area.

https://www.redfin.com/NY/Syracuse/118-Hampshire-Rd-13203/home/72900736

Remember that at these prices, it’s a Conforming Only loan play. Expect a mid 7 range figure when running your numbers. You’ll also need a 50 state lender (of course…) and I believe I know one who is able to assist here!

Please bear in mind this is only a message about due diligence on a possible rental market / equity build opportunity. Be sure to dot every i and cross every T before moving forward with an investment of any kind, and certainly one with such great risk as out of area rental properties represent.

Thanks for reading!

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Not many people like to have out of state properties.

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True, but with so many posts about Texas and Arizona investment buys, there clearly are some who do. NY is a different animal as you’ve got not just distance, but also weather related concerns. Heavy snows means high heat bills which someone has to pay. Still, if there’s a $300k property with 25% down in an 8% rate / 8% APR environment for example that’s an “all in payment” around $2200. Zillow has 4-5 BR homes right now renting in the $2,800 range.

Today.

That won’t be the case if the Micron deal is real. Values and Rents will rise as will incomes.

This is a “tomorrow” play in many respects, not an instant benefit situation like a stock tip or crypto.

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Other than me and one more blogger, nobody post about buying investment properties in Texas. In any case, I buy in Austin because I’m in Austin.

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We got maybe 20 active posters. :rofl: We lucky to have a few place represented already.

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Although a few hours away from Syracuse , Global Foundries has a big presence closer to Albany/Saratoga county.

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“There is no doubt that without the CHIPS act, we would not be here today,” said Sanjay Mehrotra, chief executive of Micron.

We are re-shoring a whole lot of high tech manufacturing back to the States.

:us:

:muscle:

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Keep an eye on battery plants as well. Manufacturing re-shoring.

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TN, MI, KY Gwh more than CA. Those states gave spl subsidies?

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CA is the snotty one. I doubt it gives out any subsidies at all. The more desperate places like the South are known to be quite generous with state subsidy. Just a guess. Didn’t look at any data.

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