New Construction VS Older properties for the beginner.

[Gilda L. Sauceda]

Hi Everyone!

I'm a beginner and would like to know if you think a new 4PLEX construction (House Hacking) is better for the beginner rather than an established older property?

I spoke to someone that advised me that there's pros and cons to a new construction and older property of course. However, for a beginner it's recommended a new construction in an upcoming location. 

The rationale to his advice was to avoid extra expenses that come with renovating as a newbie and the minimal complaints I'll experience from tenants if i have a newer property. Also, some warranties that a new construction may come with that will be covered in the first 1-5 years, depending on what issues that is. 

I want to get feedback from other people. 

New construction price range is higher but has a better ROI in a growing location as I been told. I'm wondering if this may be true in some aspects?

Thoughts? Thank you!

[Nathan Gesner]

It's pretty rare that you find new construction that will perform as well as an established home. You have to remember new construction can have problems just like old houses: settling, poor craftsmanship, water shedding, etc. I prefer a home that's been around 10+ years so I know it's stable.