Too Close to Home: Why Buying an Investment Property in Your Own Neighborhood Is Often a Costly Mistake
The appeal of owning a rental property within a few miles of your primary residence feels intuitive — you know the market, you can manage problems personally, and the neighborhood is familiar. In practice, however, proximity frequently breeds poor investment decisions, from emotional pricing to demographic blind spots that erode returns. This article examines why local familiarity is often a liability rather than an asset when evaluating second-property investments.