All Forum Posts by: John Storing

I am trying to decide between two different new developments to purchase an investment SFH. One development is almost complete and has all amenities in place (rec center, retail, schools, hospital). The other just broke ground 6 months ago and will have the same amenities in 5-7 years. Location and other things considered equal, wondering where there is greater value in the above two options? Will there be greater appreciation in the almost complete development, or the newer development?

Many folks on this forum recommend a MFH over SFH, but I don't see it. Trying to understand what I might be missing in why a $900k MFH would be better than 3 $300k homes. Total rents collected being equal, there are 2 main advantages I see in SFH:

1. MFH has no appreciation, other than rent increases. In Denver, where I live, we are blessed with great appreciation. So, if I have a SFH, I am going to see both the property appreciate, and be able to increase the rents. The value of the MFH is simply tied to the rent it brings in.

2. MFH is harder to liquidate. In the event I need cash, I could easily sell one (or all) of my SFH to EITHER an investor or an individual buyer...quite simply, the buyer pool is much larger.

Looking forward to hearing the wisdom from the crowd in what I might be missing here.
Thank you,
John