Cons of Buying New Construction for Long-Term Rental

[Jeff Grampp]

Hi All - First time posting on BP although I've been sleuthing in the shadows for a while and learning a lot. I live in Southern California and looking to begin buying out of state rentals (SFR, 2-4 beds); I am currently focusing on Dallas-Fort Worth, TX area as I have some familiarity with the area.

My strategy was initially to go BRRRR but the more I think about it, the more I question the risks an out of stater like me assumes with that so I am increasingly convinced buying a new construction outside of city center could be best. Early on maintenance/CapEx is little to none and the property should attract higher quality tenants. Also, the prices of new construction do not seem much, if any, higher than what I would need to put into any property.

What am I missing or why might this not be a prudent strategy? Thanks!