Buy the worst house on a good street, or a mid house on a great street?
I've been looking at live-in flip candidates for about two months and the two shortlists I keep making are completely different houses.
One is the tired 1960s ranch on a street where everything else has been redone. Bad kitchen, one bathroom, carpet over what might be oak. The comps around it are strong, so the ceiling is high, and the work is obvious.
The other is a house that's basically fine, cosmetics only, but it sits on a street I actually want to live on for two years. Better walk to things, better neighbors, no chance I hate my life in month fourteen.
The case for the ranch is that the spread comes from the gap between condition and neighborhood, and a live-in flip gives me two years to close that gap myself instead of paying a crew to do it in four months. The case for the nicer street is that I'm going to be sleeping there. Every weekend of demo is a weekend of my actual life, and if the house is livable I might actually finish, where the ranch could grind me down.
I don't know how much weight to put on the lifestyle side. Experienced people talk about the spread. Nobody in a spreadsheet gets asked how they felt in month nineteen. I'd like to know which one this room would pick if it were their first one.
For a first live-in flip, which do you buy?
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