We are considering building several duplexes (vs buying existing properties) and want to gain as much info from Experienced BP Investors as to the validity of our concept. We figure that if we build a new property, the maintenance would be much lower and the interest of tenants much higher.
We're struggling to determine IF Building new will Cash Flow compared to buying an existing property. In the Metro Nashville Area, Duplexes are for sale at Premium Prices and Rents seem to be good but we are considering smaller towns around Nashville to build these Duplexes.
We are considering Building a 4-Plex in Madison, TN, a suburb of Nashville, but are concerned because several investors on BP have commented that Nashville is a terrible rental market because acquisition costs are too high. We are using a mix of private money and bank financing so we need to get this right and make sure to prove our concept. On the other hand, we are super frustrated because we have waited so long to get started because the fear of failure has kept us on the sidelines.
Thank you for any and all input! David Lutz (Dave)
