Do you buy older homes for long term rentals?
I tend to shy away from homes over ~20 years old to buy and hold for long term renting. This is because I'm concerned that even though the things in the house I can see look great things like the electrical, plumbing, or the foundation may need major repair if not immediately relatively soon. I'm also concerned older homes have already seen their biggest jump in capital appreciation and don't have as much potential for price growth compared to newer homes.
What are your thoughts on older homes? Is there something I'm not taking into consideration? Would a low enough sales price make all of my concerns go away?
Thank you for your time!
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I have a bunch over 100 years old. I'll work on a old house any day over a new one, much easier to access everything, at least in my cases. I remodel making sure that future changes are easy. They easily double(or more) in value every ten years. (but that may be changing now). From this landlord's perspective, new houses suck. New construction requirements are for the sole purpose of keeping the trades working, elec, plumbing, mech, siding. Crappy products made not to last. Real crap! Some younger renters may seek out a newer plastic place with lots of MDF. I have my (low maintenance)demographic that I prefer to cater to. Not saying there isn't money in new properties, there obviously is, but I love tearing into an old place and upgrading it. You should too! $$$$