Friday, July 16, 2010

Should I buy a single family home rental in CA or multiple sfh's in TX? Value and initial investments being =?

I'm considering buying some rental properties. I'm familiar with the California and Texas housing markets. I spend enough time in both areas where I could consider managing the properties myself to save the first month's rent plus the reocurring 5-10% of monthly rent. I want to put 20% down into each property to avoid PMI. Woodland, CA near Univ of CA Davis, Merced near Univ of CA Merced, San Diego near Naval Base SD, San Antonio near Fort Sam are some of my target markets. If property value, initial investments and mortgage interest rates being equal, should I purchase a single property in CA or multiple properties (same value) in the TX market?Should I buy a single family home rental in CA or multiple sfh's in TX? Value and initial investments being =?
Houses typically make for poor rentals, buy the biggest apartment building (the most units) you can afford in a high population, growing city if you want to make money off rentals.

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