I am thinking of buying a old 1960’s house which seems to be available for my budget. The idea to tear it down probably 6-7 down and build new if need be but wanted to know what could be issue a one can face buying a new house in suburbs vs buying and old with a bigger lot size?

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Not sure what you mean. Old homes have old home problems. The extent to which depends on how well they have been maintained and what upgrades have bern done.( please have the pipes tested). New construction tends not to be in the same neighborhoods or are much mire expensive as someone paid for a h ome to tear it down. So your lot cost is now the cost of that older home.

Might be worth talking to an architect about ways to remodel.

Older home may ( or may not) have big trees and better landscaping. It really is apples and oranges.

How are you defining your budget? If you plan on tearing it down, also plan on living somewhere else for a year while the new place is being built, moving into and then out of the temporary place, and then buying a bunch of new furniture to fit the new home. Property tax will increase with the new structure. What if your HVAC dies during year 4 of the old structure? Can you afford to replace it, knowing that the wrecking ball will come before the cost has been reasonably amortized? Have you budgeted for paying rent on the temporary place while also paying loans on the place under construction? Can you afford a rental in the same neighborhood as the teardown so that you can keep a close eye on the construction site, or will you have to rent somewhere across town?

Or would you buy the house and rent it out for now, while you live somewhere else until you are ready for teardown?

Don't forget that property tax on a vacant lot is cheaper than tax on an identical lot with a structure.

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