Buying vs building a rental
So I've decided after another thread that a LTR will suit our needs best for a starting point into investing. Now we are looking at options.
There Is a mild shortage of nice existing homes that are affordable in the area, but a good amount of new construction. The new homes seem to have a covid discount going on. Early this year they were selling well for $125-135/sq ft, but now some of the larger 2 story homes are going as low as $95sq ft. So back to the options, with rents being within $100 or 2 of each other:
#1 buy an existing home for $125+sq ft. It might need some updating and repairs, but usually have a larger lot (.23-.30 acres), and might be no HOA. They were selling north of $150/ft at the beginning of the year.
#2 build a new home for $95-102/sq ft. It would be in a "master planned community" if that means anything, lol. It will have parks and pools, but CDD fees also ($150-175/month). The lots are smaller also (.16-.21 acres), but it's a new home with a warranty. Again these were selling for $125-135/ft prior to covid.
Which direction would interest you more? Established neighborhoods, or new subdivisions with zero lot lines?