Updated almost 10 years ago on . Most recent reply
Is it a good idea to buy a new townhouse and rent it?
First of all, Happy New Year to you all!
I just saw a new townhouse with one car garage. The location is good, the price is $320000, the monthly rent would be between $2000 and $2200. I will pay 20% to 25% down payment. The monthly HOA fee is $60. Most likely I am going to get a 30 year conventional loan with the rate at around 4.125%. It looks like I won't have any cash flow if I invest in this one, but since the house is brand new, I won't have to deal with repair issues which is what I am afraid to deal with.
Is it a good idea to buy a new home as a rental property? Any input would be appreciated! Thanks in advance.