Does anyone have experience with new construction as an alternative to rehabbing inside the loop in Houston? How long did new construction take and did you run into any major problems?
Searching for a small multi-family (2-4 units) in Houston, but have run into exorbitant princes for very old structures. After taking into account the rehab, I often arrive at prices similar to the cost of buying land (30-60k) and building new (175-250k). Is this less common due to the construction times? permitting? or am just not finding the right deals?
Way out of my breadth of knowledge, but I have to say I have wondered about this myself.
@Christian Bunte for a new build SFH you will pay in the 125-150 per sq ft range. If you are adding units and thus more bathrooms/more kitchens that number will go up.
@Christian Bunte - We had the same thought... Are the economics the same or better by eliminating risk with new construction versus rehabbing older structures with unknown risks? We are in the beginning stages of a quad-plex design. I'll be happy to share the numbers as we work through it.
Thanks! Would love to hear your story as you work through it .
Nick I’m interested too. What part of town are you trying to build?
looking to do the same. I saw a brand new one, but the builder markup doesn't make it cashflow.