I am looking to invest in my first buy and hold property. Upon driving the area to look at a property I noticed that a large upscale, luxury apartment complex is being built nearby.
The immediate area/neighborhood that the investment property is located in is fairly old, most houses built around 1920. Most of the homes are multifamily. The rents that I would be after would be quite a bit lower than a luxury apartment.
Do you think that the construction of a new luxury apartment is a good sign for the area? Will that draw in better tenants in the future for my property and bring in new businesses in the area? Will it hurt my chances of renting my space? Is it a good sign that there are renters in the area of a new apartment building is being built?
Thanks for any input!
