Advice needed: New construction as a safe bet for out of state investor

[Svetlana Kazantseva]

I'm an out of state aspiring investor (living in CA, looking to invest in more affordable and cash flowing locations) looking to by my first investment property and wondering whether purchasing a new construction SFH is actually a bad idea? The concerns are obviously not being able to find a great undervalued property deal. However since I'll be owning a rental property very far from where I live and don't have a local network of contractors, property managers etc. yet – does it make sense to consider a new construction as a safe low maintenance option? Would love to hear the thoughts of more experienced investors.

[Chip Fernandez]

Our team sold over 450 new construction SFRs from various reputable builders last year to primarily out of state investors. Everyone is fleeing the NE and many other States to Florida. This along with many industries creates a great tenant pool. Probably 90%+ of our buyers come from Utah and California. They can stretch their $ further in Florida and buy an appreciating asset with good cash flow and zero concerns about needed repairs on a typical rehab deal. As a bonus, with the current interest rates, the builders we guide our investors to use have been offering interest rate buydowns to improve your returns. Let me know if you'd like to see some sample deals when you are ready..