Updated 11 months ago on . Most recent reply
Building vs buying
can someone help me figure out if it makes sense to build a 4 plex or keep looking? i want to house hack. i can get land for 30k. im in the south. first time home buyer. i have been looking for a small multi family for a while but haven’t seen much that makes sense money wise. thank you!
Most Popular Reply
It depends on a few things like your cash position and are you cash fluid, do you have 12 months or more to have money tied up while you wait for the construction to be completed. What state do you live in and where do you plan on building versus would you be open to buying in another state.
Take for example states like Ohio, Indiana, Tenn, and a couple of other states where a 4 Unit can still be purchased for under $300K with rents above $1000 to $1200 a door. That is why I mentioned buying out of state in case you live in CA, NY, CT, NJ or a few other states where 4 unit homme prices are ridiculously high and taxes are even worse.
Most of my customers in CA, NY, NY, CT and others tend to buy in OH, IN, TN, GA, FL, NH, NC, SC and all find great deals. Then you have to figure out what your rent style LTR or STR and if its STR then those states are still fine but you have to be more specific on location for a travel town or an amenity area.