Thoughts on investing in Denison Texas

[Arun Mannuru]

Hello Everyone,

I'm looking for some investment properties around Denison, Texas. Need some inputs on rental comps, and sales comps. I have got deals from new construction builders. I would need experts opinion to move ahead, currently they are offering low $300's, I told them number doesn't work in that area. They asked me whats my expectations ( it's 1500 Sqft house, brand new). Need experts opinion to negotiate, Happy to work with realtors in that area.   

Thanks,

Arun

[Victor Steffen]

Hi Arun, welcome to BP! 

candidly- it sounds like you're trying to force a square peg into a round hole. The builder doesn't care about your numbers- they are selling at market rate to retail buyers, not investors. It seems some are negotiating small concessions to get inventory moved but not at the discount you would need in order to make this thing cashflow. Leases in Denison are at $1.20 per foot (this may change for your specific neighborhood). At $1800 per month income and a 325k purchase price you can do a lot better in a resale home OR a new construction in the 250k range. 


 

[Wale Lawal]

@Arun Mannuru New Construction can cash-flow at the right purchase price because I have helped several clients to achieve this. 

This price point is very important and you will need to lower your expectations on cash-flow. 

Builders don't care about your cash-flow so you may need to work with a great agent to negotiate the purchase for you or better still look for another property for you.

Goodluck and keep us posted on your investing journey.