Most new home builders are being built high growth areas that people would prefer to live over the older type of area. These homes are easy to rent. In fact, the average time it takes me to rent a brand new or newer home is about 1/2 the time it takes to rent a home in other areas of town.

And compare the home appreciation potential of a brand new home builders overall an older inner-city home: I have seen people purchase lower quality homes, own for 10 years, and it’s worth the same or less then they purchased it for.

For a synopsis, brand new construction may not look as good on paper for cash flow, but after factoring in all items, including quality of tenant, price appreciation of home, and speed of renting home, new construction wins hands down over older construction.