New tract houses - good investment?

New tract houses - good investment?

Member since 2020 · 6 posts · 0 votes

Hi everyone! My husband and I are looking to buy our first investment house. In our area there are A LOT of tract housing with gated and HOA communities. My husband works in construction and due to covid-19 the home builder companies are trying to liquidate their current inventory and therefore putting houses "on sale" with 2.8% interest. With it being a brand new build it doesn't seem we would need to worry about replacing anything for at least a few years. Does anyone have experience buying new builds? Curious if you have found them to be good investments?

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  • Investor · Topeka, KS · Member since 2015 · 1k+ posts · 1k+ votes
    6y

    It is tough to say whether something is a good investment without knowing what you can get them for and what they will rent for.  If for example they rent for $1000 a month but cost 500k each then they are not a good investment.  If that same $1000 can be purchased for 50k then it is a good investment.

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