Archived Posts » 59,757,950
Property gurus- single family or multi family
2/5/2012 1:50:26 AM
So what's the best bang for the buck, both short and long term?
Houses, condos or duplex/tri/fourplexes?
I have one condo I'm renting out with positive cashflow, and just put down an offer on another.
Can't seem to make the case for single family houses to cash flow, prices are still to high compared to rents.
I just offered 55K for a condo I should have no problem renting out for 850 a month, but decent 2 bed houses are still 75K and 3 beds 95K, unless they need a ton of rehab.
I looked at a 2bed1 bath duplex today that needed work, and was still 145K
Thoughts?
Houses, condos or duplex/tri/fourplexes?
I have one condo I'm renting out with positive cashflow, and just put down an offer on another.
Can't seem to make the case for single family houses to cash flow, prices are still to high compared to rents.
I just offered 55K for a condo I should have no problem renting out for 850 a month, but decent 2 bed houses are still 75K and 3 beds 95K, unless they need a ton of rehab.
I looked at a 2bed1 bath duplex today that needed work, and was still 145K
Thoughts?
2/5/2012 9:52:43 AM
It depends on your area and your goals.
SFRs will always resell eaiser and faster as you have a larger buyer pool. If you're going to resell every few years and take profits, it might be best to get SFRs.
Condos, duplexes and apartments might have a lower cost per unit, less maintainence and might be better long term if your goal is buy and hold.
SFRs will always resell eaiser and faster as you have a larger buyer pool. If you're going to resell every few years and take profits, it might be best to get SFRs.
Condos, duplexes and apartments might have a lower cost per unit, less maintainence and might be better long term if your goal is buy and hold.
2/5/2012 6:01:51 PM
I don't have rentals so take this with a grain of salt. It seems like the small apartments are the best bang for the buck.
Lower cost versus rental price, fixtures should be identical between the units so lowered maintenance costs or at least greater familiarity, perhaps lower risk since the rent is spread over multiple renters instead of just one. Of course there are drawbacks but from a pure money perspective i would think apartments would be better.
Lower cost versus rental price, fixtures should be identical between the units so lowered maintenance costs or at least greater familiarity, perhaps lower risk since the rent is spread over multiple renters instead of just one. Of course there are drawbacks but from a pure money perspective i would think apartments would be better.
2/8/2012 8:23:24 PM
Protip-if you do an "in-law suite", or have two SFRs on one plot of land, make sure they have separate meters. It makes things a million times easier if you refinance down the line. I've dealt with more than enough refinances gone to hell due to this small thing...
2/8/2012 9:46:03 PM
Originally Posted By RowdyYankee:
Protip-if you do an "in-law suite", or have two SFRs on one plot of land, make sure they have separate meters. It makes things a million times easier if you refinance down the line. I've dealt with more than enough refinances gone to hell due to this small thing...
Protip-if you do an "in-law suite", or have two SFRs on one plot of land, make sure they have separate meters. It makes things a million times easier if you refinance down the line. I've dealt with more than enough refinances gone to hell due to this small thing...
Yeah, I turned down a place that had the mother-in-law place out back. Turns out it wasn't zoned as multi unit, and would have cost waay to much to make it that way, including adding another service to the property
Just notified that my offer on the condo was accepted, should close in a month
2/8/2012 9:51:54 PM
I rent single family homes. My ideal rental (in my mind) is a 1500 sq ft 3br/2ba.
However, with that in mind, I'd recommend that you stick with condos as you already have experience with it and it seems to be working for you. Do what you know.
I'd definitely stay away from duplexes, quads and the like. They will be harder to get rid of when you finally decide to sell.
My $.02.
2/8/2012 10:00:07 PM
Originally Posted By Johnny_Reno:
I rent single family homes. My ideal rental (in my mind) is a 1500 sq ft 3br/2ba.
However, with that in mind, I'd recommend that you stick with condos as you already have experience with it and it seems to be working for you. Do what you know.
I'd definitely stay away from duplexes, quads and the like. They will be harder to get rid of when you finally decide to sell.
My $.02.
I rent single family homes. My ideal rental (in my mind) is a 1500 sq ft 3br/2ba.
However, with that in mind, I'd recommend that you stick with condos as you already have experience with it and it seems to be working for you. Do what you know.
I'd definitely stay away from duplexes, quads and the like. They will be harder to get rid of when you finally decide to sell.
My $.02.
+1
I agree. I rent large multi-family and unless you want it to be your day job as well, I recommend sticking with single family or condos. Ideally if you do condos, the more in one location the better. The more associations you have to deal with, well more headache.
