Newbie to Real Estate.. Did I make a mistake?!
Hello All,
Newbie to Real Estate here. Should you buy or build a home? What are the pro and cons of each? I’m looking to house-hack my first property, but I’m not sure if it makes sense to have a home built or buy a home.
I may have made a newbie mistake by signing a contract to fast and I want a second opinion on if I'm making the correct decision. I signed a contract to have a home built (purchase price 244,490) in East Austin, TX. The house comes with a 1-2-10 warranty, closing cost are basically completely covered (6000 towards closing cost). The numbers don't really make sense now that I am analyzing them. Here are the details about the home: It's a SFH 3 bed 2.5 bath, closing costs would be $1500, taxes $520+ a month, HOA $33, insurance $60, PMI $116, cap ex 4%, vacancy 3% (not sure if I should include vacancy since it's owner occupied), repairs 3% (low because of new warranty and new built). I have enough saved for 5%-10% down payment. I'm thinking I can get 700 per room. Even thinking about renting out the master to get more. Please share your thoughts and advice!