semi-detached vs. detached bungalow, best potential

[kabuku]

Hi There fellow investors,
I am looking for a little feedback on a decision I am facing right now.
I am trying to compare the investment potential of you guessed it a semi-detached bungalow and a fully detached bungalow located in the same neighbourhood. I have listed my comparison below and would welcome any input.

Semi-detached
Purchase price with 2 bedroom basement suite: $239K
total rent after expenses:$ $1750 per month
35x100 foot lot
future development potential: limited or none

fully detached
Purchase price with 2 bedroom basement suite: $260
Total rent after expenses: $1750 per month(slightly higher rent but also higher expenses)
50x 100 foot lot
future development potential: possibble second floor addition or sell to an infill builder

So, should I pay $21K for future potential or stick with the better cashflowing property?

Thanks, Brian Anderson

 

[EdRenkema]

Brian,
Just my personal preference - without even considering the numbers. I would never buy a semi unless I owned both sides. Real estate is an investment that works for some people because they have control of the asset. If you replace the roof and your twin neighbour doesn`t how does that make the house look? At least with a condo you have management and a documented history. If the cashflow will carry it go with the detached lot since it has more potential, I think you answered your own question.
Ed R