[David from NYC]

Hi. Growing up forever in NYC, I have always longed for a better existence up North, like Norwich, or Mystic.
In the short-term, I would like to invest in multi-families in Hartford.
Are there any "depressed" areas I should stay away from?
I have been looking in areas near Trinity College. In general, the number of multi-families for sale seems awfully high in this area.
Is employment a major issue in Hartford for lower-income, non-college grad citizens?
Thanks for any info.

[MikefromCT]

Originally Posted by David from NYC

Hi. Growing up forever in NYC, I have always longed for a better existence up North, like Norwich, or Mystic.
In the short-term, I would like to invest in multi-families in Hartford.
Are there any "depressed" areas I should stay away from?
I have been looking in areas near Trinity College. In general, the number of multi-families for sale seems awfully high in this area.
Is employment a major issue in Hartford for lower-income, non-college grad citizens?
Thanks for any info.

Hi David,

Unfortunately there are many depressed areas in Hartford, including around Trinity. The neighborhood that the campus is located in is known as Frog Hollow, and it's not a good area. The college itself is nice and well-maintained, but it's not a safe place to be.

The vast majority of dwellings in Hartford are renter-occupied. Downtown has some nice high-end apartments, but most multi-family houses are pretty tired and not in good shape. Few are in neighborhoods middle class families or college students would want to live. If you do decide to puruse property purchases, stay away of the North End. It's typically regarded as the area bordered by (clockwise from West) Blue Hills Ave, Tower Ave, Main Street and Albany Avenue. There's a shooting and/or homicide in this area every week. There are multi-family houses here to be sure, but they're usually either section 8 recipients or within a close proximity to some of the worst housing projects in the state. Honestly, the only neighborhoods that are worth investing in are Downtown or the West end (which are comprised mostly of mansions but a few duplexes are here.) Some of Blue Hills and the South End are decent, but it helps to know your way around here before investing in here.

Why not invest in a city like Stamford or New Haven? They both have a diverse housing stock and you'd probably see more appreciation in the property values here.

[David from NYC]

Thanks Mike ... you confirmed my suspicion. A few years ago I checked out New Haven and West Haven (I believe ... near some beaches). I liked it because it was near the 91/95 North split.
Are there any areas to avoid in New Haven and West Haven?
I appreciate your time in unselfishingly answering some random stranger's questions.

[nico7]

David, there are many good opportunities for investment in New Haven. People will tell you different things, but I would say to stay away from the Newhallville area for sure -- it is run by drug-dealers. You probably would want to avoid "The Hill" neighborhood and Fair Haven, too. The best places to invest are near the Yale campus, the Wooster Square area, and on a few of the streets east of Orange St (e.g., Nash St.).

There is going to be huge improvement and very likely the introduction of retail near Prospect St. and Sachem St. because Yale is expanding its undergraduate housing in that area. So the first place I would look to invest is Mansfield St. south of Hillside Pl., if you plan to hold onto the property for at least 5 years.

[MikefromCT]

Hi again,

Well, I don't know NH as well since I'm closer to Hartford, but I know of a few of New Haven's neighborhoods. Fair-haven and Newhalville are pretty rough, so it's best to avoid these areas. Dowotown has great and does have rental properties, but these are mostly apartments (if that matters) and can be pricy depending on where you are. There's a Little Italy somewhere in NH, aside from being the birthplace of pizza and having some of the best Italian restaurants in the state this area isn't bad. I have no idea what the housing stock is like, but it might be worth checking out. Hope that helps!

Goodluck!

[AmyBergquist]

It's unfortunate that people are dissuading you from looking in Hartford for multi families.

I recently posted this on my blog... "I was just messing around with some data in the Multiple Listing Service. If you’re a real estate investor, toying with the idea of becoming a real estate investor, or a home buyer that would consider purchasing and living in a multi-family- you should take a very strong look at Hartford right now.
Year-to-date, multi-family homes sales are down 24% in Hartford, compared to the same timeframe in 2007. The median price for multi-families in Hartford is down 37% this year, compared to the same timeframe in 2007. And there is a whopping 15.4 months of multi-family inventory on the market in Hartford right now. That means if no more multi-families were listed in Hartford, it would take 15.4 months to sell what’s currently out there based on the current rate of closings.
As I mentioned the other day in my Short Sale post, 15% of the available multi-families are short sales. If you’ve got time and some cash, this may be an excellent opportunity for you to score a bargain in Hartford."

Not sure if New Haven is in the same bind, but I wouldn't shy away from Hartford completely.

[Lincolnian]

I just invested in West Haven. The area has nice beaches and infrastructure that is ripe for the next upturn. The prices of some properties are down 50% from where they were just 2 years ago. Prior to that the area showed steady appreciation all through the 90s and into early 2000s.

The subprime meltdown and interest only schemes invited in too much speculation. The current conditions are a rare opportunity IMHO. West Haven is home to the new Yale West Campus and University of New Haven. It also is on the train line to NYC and soon will have its own new train station.

Being from the Hartford area and following Hartford real estate for nearly 30 years I would advise against investing in Hartford. It's just not worth the risk. The properties are still overpriced and the rents are not always easy to collect on the properties that appear attractive. With the current mayor and city council the city is going in the wrong direction.

Southern Connecticut has much more promise for the future at this time.

[jjbradleynyc]

Originally Posted by David from NYC

Thanks Mike ... you confirmed my suspicion. A few years ago I checked out New Haven and West Haven (I believe ... near some beaches). I liked it because it was near the 91/95 North split.
Are there any areas to avoid in New Haven and West Haven?
I appreciate your time in unselfishingly answering some random stranger's questions.

I did an extensive search for investment homes in New Haven just late last year/early this year. Stay away from The Hill neighborhood, Fair Haven, Newhallville, and portions to the west of downtown. An up-and-coming borderline area is Beaver Hills (hit or miss but gorgeous homes with potential).
Great, solid areas are downtown/Yale, Westville, and East Rock.

New Haven is a spectacular city for its size with tons of cultural opportunities, restaurants, bars, and energy throughout the city. It has a wonderful waterfront and is super vibrant. Hartford, on the other hand, has a lot of work to do, to get where New Haven is today.

[Jessica Beganski]

I don't know if other people share my philosophy of real estate investment but it is as follows:

Buy where you would want to live.

I've come to know some of New Haven recently while helping a client look for investment properties and the city has a lot of positives which make it not only a good investment but good place to live. From what I've seen so far, the following neighborhoods seem worth a look:

Dwight
Some of Edgewood
Westville, of course
Downtown or anywhere near Yale
East Rock

West Haven is also on the upswing.

[Stratford, Ct. Resident]

Originally Posted by Jessica Beganski

I don't know if other people share my philosophy of real estate investment but it is as follows:

Buy where you would want to live.

Good point.

I'd also add that a large part of the problem with our cities, is that a large number of property owners are absentee owners. When they're not around to see the property regularly and they have someone else vetting the tenants, this usually leads to trouble.