To invest in a row home (no HOA), the pros and cons

[Raina Bayas]

Hi All! My husband and I are debating whether or not to invest in row homes or townhomes (no HOA) in an up and coming area of town. I think that if we are able to get 10% cash on cash (which is really our goal), we should invest. He believes that we shouldn't invest in townhomes or row homes because the appreciation will not be at the same rate as SFRs, we would not have ground ownership other than just the row home and we would have a harder time selling it in the future or pulling money out for more deals. This particular row home is in a developing neighborhood that has not yet developed. It is the newest home on the block and surrounded by SFRs that are probably C, going into B, class. We would LOVE to hear your opinions and suggestions! Thanks!!