Your perspective on this deal?
Hello All,
We recently moved from Boston (MA) to New Jersey. We always have MA in our mind for rental properties because we know its a student/tenant friendly state.
We recently saw a new construction coming up near to where we used to live.
Pros:
1) Its right next to local subway/train station
2) Grocery stores (Stop and Shop, TJ Maxx, Chipotle etc) are within walking distance to this place
3) Pretty close to Boston downtown. Its like 20 mins via local train)
4) Lower property taxes (its around 2500 per year)
Cons:
1) New construction, so its right away selling at top dollar. A 2 Bed 2 Bath is around 380K
2) There are quite a few rental apartments in the neighborhood (Avalon, 2-3 rental properties apartment complexes). But these are older construction and none has 2 bed 2 bath concept yet.
Few questions:
1) Does it make sense to buy new construction properties for rent purpose? Again, idea is to "buy and hold" for now.
2) None of the other apartments nearby have 2 bed 2 bed (they all have only 2 bed 1 bath) arrangements.
Confusion is, with all those rental properties neary by, will someone still pay for new construction rental because it might be higher monthly rentals?
Am I over thinking or missing something entirely here?