This question is for those investors who invest out of state. Do you prefer to invest in pre-constructioins or rentals ( SFH or Apartments )?
My thought is:
Pre-construction: 1) advantage: no tenants hassle, no property management company to hire. 2) disadvantages: no cash flow equity to gain besides appreciation.
Retals: 1) advantage: cash flow to increase equity gain while enjoy possible appreciation gain. 2) disadvantage: need to deal with tenants and find good property management company.
What is your thoughts from your personal experience and why? It would be great if you can list advantages and disadvantages for each option.
Dennis