Is it just me?

[Scott Vaeth]

Hi All,

My initial investment strategy was to house hack in my area but multi-family units are very rare to come by. When they are up for sale, it's usually in an area that's less desirable than where I'm looking to invest. While I would love to BRRRR a property, I'm noticing a lot of investors putting down full cash offers on properties that will still require work.

What I don't understand is that these homes that require updating are being bought up by these investors even though the comps in the area seems low. Also, new development is being built throughout the area and are selling at similar prices. I don't know if that's intentional to get more business, but the comps aren't showing the new houses as being worth more. Does that mean people see the longterm potential in this market?

Any thoughts here? Thanks!