Townhouse/Condo vs SFH in Raleigh

[Steve Fitzgerald]

I’m looking at buying in the Raleigh, NC market. There’s pretty good inventory of both SFH and townhomes/condos. The condos seem to be a little a little better quality for the price vs an SFH. In cities like Raleigh what sees to be more rentable an SFH or a condo? This is intended to be a cash flow property.

[Tiffany Alexy]

All of my rental properties so far have been condos or townhomes, so I'll speak to that. They are student rentals so I've had a very low vacancy rate due to the area demand. I've bought from the MLS and from my network and both have worked out well. I manage them myself so they've been a little easier to manage as things like exterior maintenance gets outsourced and I know they will always get done.

In general when I run my numbers on Raleigh properties, condos/townhomes have a little more income generating potential and cash flow, while single family homes tend to have lower cash flow but greater opportunity for appreciation.  So it's just a matter of figuring out your strategy and which method you'd prefer.