Age of the house

[Nattapon Permchom]

Hi guys,

Do you prefer newer house or older house when you pick a REO? And What is the oldest house you rehabbed?

[J Scott]

Personally, I like houses that are about 20 years old. Reasons are as follows:

- House will be easier to resell in my area than older homes

- After about 20 years, houses need a lot of cosmetic and mechanical renovation, including roof replacement, HVAC replacement, siding repair, new fixtures, new appliances, etc. This is more work than many investors are willing to do and more work than almost all owner occupants are willing to do, so there's less competition when I buy

- Houses this age generally don't have structural issues. Issues related to longevity haven't yet occurred and issues related to poor construction are already very obvious

So, 20 years or so is my optimal age for rehab projects...