Are you planning to live in this property, or it is purely an investment? Your answer to this question will determine how much you can borrow, at what interest rate, and even how much you will pay for insurance. So this is the most important question by far.
If you plan to live there and commute to Manhattan, my recommendation within New York State is Queens or potentially, Brooklyn. If you are looking purely for an investment, my recommendation is upstate New York, where I own a couple of multi-family properties that do well. In fact I believe upstate New York is one of the top 5 places in the USA for investment for cash flow. (I also own in Georgia and suburban Detroit, which are also good investments for me, but not as good).
Understand that if you are buying purely as an investment, in most cases "a small amount down" is not going to be possible. You would need to have sterling credit and high income, and even then it would be tough in the current lending market.
So, if you want to get into this kind of investment, buying a 2-family or 3-family you also will live in would be the far easier path.
Karla Harby, VP