How old is too old of a house to buy?
I have an MF I'm looking at tomorrow.
It cash flows great but was built in 1840
How much does that play a role in your decision to buy?
Personally I stay away from anything pre 50's or so. I like the well built brick homes from the 50's 60's that are common in my area. I could go rite down the road to Northside where there is a bit of a boom going on, but the housing stock is mostly much older. To me the really old houses need a lot of work to be right. Think full gut job. Electrical, HVAC, full plumbing replacement ect.
BTW Its not that I wouldn't buy, its just that I by fixer uppers and the scale of whats generally needed is dramatically different.
I tend to agree.
I do own some older homes(1910-1920)
They are student housing and cash flow outstanding so I couldn't let them go.
Moving forward I'm trying to into newer properties but am having a tough time finding good cash flow with them.
Depends on what the typical age of property is in your area. If it's in decent shape and has had updates over the years then that's a plus. Taking on tons of deferred maintenance will depend on your tolerance and the sales price. Just make sure it's not a money pit.
Yeah I'm really torn. Like I said I have a few older homes and got them at a really good price. That being said I knew I was going in having to do work.
I guess I always look at trying to keep my fixed costs down(mortgage being the largest)
So I go for the high cash flow with a good amount of work as opposed to the newer home and less cash flow less work to do.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Join the Largest Real Estate Investing Community
Basic membership is free, forever.