Fort Worth,Texas Market

23 Replies

I decided to drive for dollars in Ft. Worth & Haltom City today and I was impressed of what I saw. I have only dealt in the Dallas market, specifically the Fair Park area. 

There were a few FSBOs and also new houses going up in the areas I was cruising around. There were definitely one company buying up alot of lots and houses in the area I was cruising in. 

I was driving the areas of: 

NE Loop 820 & N Beach St

Hartwood Dr/Hulen St

TCU/ University Dr( I was not expecting to find anything around here but the drive gave some insight) 

Are there any investors familiar with this area? Is it a booming market? Whenever I hear people speak about Ft Worth, its pretty bland. "Yes, I am moving to Ft. Worth because it is cheaper than Dallas. But I rather live in Dallas."  Typically when there are a lot of houses being built, it means the market is beginning to get saturated with homes therefore driving costs down? Please correct me if I am wrong. I am just trying to flow with the market and make deals to make all parties involved happy. 

IMO Having been there I do believe that Fort Worth is starting to grow.  There are a lot of out of state and international investors looking there for investments.  Some locals are moving because they feel the traffic in Dallas in congested.   Personally, I do not think it is congested compared to NYC.  More jobs are already set to come and people may be forced to relocate.

W/o stating which real estate market is better, I'll say that I prefer Fort Worth over Dallas in general. It has a more laid-back, relaxed vibe that I like. I'm also focusing on Tarrant Co. for REI, but that's driven more by it being my home than anything else.

Thank you both for the feedback!

I know several investors that won't touch haltom city. Code enforcement is over the top. Once they find that you are doing a rehab they are all over you to bring everything up to code. Even stuff you aren't touching. My mentor had a home rehabbed at night to avoid them.

Fort Worth I know several that do well on rentals but you have to know the area. I didn't and I almost bought one in the wrong part of town but a good friend told me where to stay out of.

Well, I hated living in Dallas and love FTW in general. It all depends upon who you talk to.

Are you flipping, wholesaling, buy and hold?

Originally posted by @Cathy Wells :

Well, I hated living in Dallas and love FTW in general. It all depends upon who you talk to.

Are you flipping, wholesaling, buy and hold?

 I am wholesaling

Originally posted by @Shawn Thom :

I know several investors that won't touch haltom city. Code enforcement is over the top. Once they find that you are doing a rehab they are all over you to bring everything up to code. Even stuff you aren't touching. My mentor had a home rehabbed at night to avoid them.

Fort Worth I know several that do well on rentals but you have to know the area. I didn't and I almost bought one in the wrong part of town but a good friend told me where to stay out of.

 That is great information to know about! Thank you.  I did not know the code enforcement was over the top around there. 

Well, I've never heard anybody say they'd rather live in Dallas than FW, but I suppose there's no accounting for taste. ;)

I have two rentals in Haltom City. Renovated each. Never a problem with code enforcement myself. It's a good rental market. Not so great for appreciation, although there has been some over the 4 years I've owned one of the properties.

I am both a resident and investor in far North Fort Worth, (North of 820), part of it aka Alliance Texas. Here are some high level points about the area (zip codes 76148, 76244):

A. Population growth was explosive, it has increased by about 100k in the last decade (not counting neighboring cities/suburbs, which have grown as well). About half the new renters come from outside the DFW Metroplex, largely from out of state. Employers keep relocating to the area due to the pro-business environment.

B. Residential development growth was significant in 2000-2008, and by now mostly built out, so further residential growth is heading West towards 76177 and North toward Roanoke. Commercial  development growth cycle has been ongoing (2005 - 2020) currently in the middle of that cycle with new retail opening (Alliance Town Center, Presidio junction, and outlets by Cabellas). New class A Office space opening and expected to grow. Major city services are in the works to open locally this decade (police station, city hall, etc). Local Income level considered middle to upper-middle class.

C. Keller ISD schools and employment opportunities (e.g. Lockheed Martin, Alliance Airport, BNSF) are consistent magnets. Neighboring Northwest ISD (North and West of here) is growing rapidly.

D. Most houses in 76244 were built after 2000, cost 100k-400k. Prices have spiked 20% in 2013, remaining at similar level so far. Houses sell very fast in the desirable subdivisions (e.g. Heritage, Saratoga Springs). Older houses in 76148 have been quite attractive for investors of fixer-uppers.

E. Traffic has been a MAJOR issue! While arterial roads within the area have been improved the last 4 years, the roads from here to downtown Fort Worth (I-35W & arterial roads) are very narrow, extremely congested and under massive construction. This has deterred a lot of people who work in downtown Ft Worth from moving here. This has resulted in this area behaving as if it was its own city: people here are largely employed in local businesses with a short commute, and try to avoid commuting to downtown. Once the road construction to downtown will be completed around 2018, this area will be significantly more attractive to commuters who prefer newer subdivisions around here. The commute Eastward to Irving (major IT employment center) has improved dramatically with completion of DFW Connector project in Grapevine in 2013, so this area is being more positively discovered by commuters to Irving.

If you've read this far, I hope you benefit from the info. Good luck to everyone.

Good info @Mark H. It matches with my experience as well. Keller ISD is a big draw. Northwest also appears to be really good. I just completed my first rehab & resale in Northwest ISD with a house at I-35 & Heritage Trace. Closes next week. List price at $179,900 was top-of-market for the subdivision, and I had 5 offers over list. Not a huge profit margin - bought it at $130 and put about $20K into it, but very quick turn. I'm about to put one up for sale in Keller ISD in the unincorporated rural area of 76244 and I expect it to sell very quickly, too. 

I'll buy in those areas whenever opportunity arises. But those will be tough markets to buy in at any kind of good price, particularly for the next few months with families trying to snap up houses in those areas to get kids into those school districts.

Thanks, Michael. After the new school year starts, I will also be looking for more properties locally. A few more things worth mentioning: BNSF headquarters will be facing retirement of a very large group of baby boomers the next 5 years, so recruiting for high-paying jobs will remain strong this decade. At Alliance airport, a new tenant is moving into the hangars that American Airlines abandoned. Plus the new charter school on Heritage Trace Blvd seems to attract lots of families.

I've closely studied long term patterns around here for my buy and hold strategy, and I have not been disappointed, even in the last downturn. Lately I've come across excellent fixer-upper opportunities as well, but flipping is not my thing. If I can  get to 10 rental properties here then I am set for retirement, for now I'm half way there.

Very detailed information Matt! As a beginner, I did not know to look at employment trends! Looking at this information, as well as others, makes sense. Look at Detroit, car manufacturers started moving away and so did the housing and economy. 

I have been dealing solely in the Fair Park area so looking at employment or schools was not my priority. 

Since the writing of this post, I am actually in the works of landing my 1st deal out in FT. Worth. 

Originally posted by @Bara Nwokoma :

I decided to drive for dollars in Ft. Worth & Haltom City today and I was impressed of what I saw. I have only dealt in the Dallas market, specifically the Fair Park area. 

There were a few FSBOs and also new houses going up in the areas I was cruising around. There were definitely one company buying up alot of lots and houses in the area I was cruising in. 

I was driving the areas of: 

NE Loop 820 & N Beach St

Hartwood Dr/Hulen St

TCU/ University Dr( I was not expecting to find anything around here but the drive gave some insight) 

Are there any investors familiar with this area? Is it a booming market? Whenever I hear people speak about Ft Worth, its pretty bland. "Yes, I am moving to Ft. Worth because it is cheaper than Dallas. But I rather live in Dallas."  Typically when there are a lot of houses being built, it means the market is beginning to get saturated with homes therefore driving costs down? Please correct me if I am wrong. I am just trying to flow with the market and make deals to make all parties involved happy. 

The Alliance corridor (I35W North of 820 and south of Argyle) is growing tremendously. This is primarily due to the explosion of jobs anchored by Amazon's distribution center and other major national businesses seeking access to the Alliance Airport. This is a great place for flipping or buy and hold with the right deals.

Hi,

The area by TCU is very hot. My friend recently sold her house within the first day of putting it up. I mean she claims it was within the first 6 hours... 

But yes, TCU area is a hot area. I am in Euless and have been reading up and listening to BP podcasts. I am on the verge of taking the plunge. If you are looking in the Fort Worth area I would love to work with you, shadow you, or partner with you in any capacity. I am not looking to make much for the time and effort I put in, I am looking more to learn as much as possible. 

I have been looking in to Fort Worth myself and have quite a few properties in mind. If you are willing to meet up for lunch sometime do let me know!

Thanks,

Ayaz

I've only lived 17 months in DFW, so I didn't grow up with this whole Dallas vs. Fort Worth rivalry. I bought and rehabbed a little over 30 houses in 2014. All of them in Tarrant County. I'm only now venturing out towards Irving and Grand Prairie.

As to the areas you mention, @Bara Nwokoma , Haltom City is a great rental area. But similar to White Settlement, not so good with appreciation. We've dealt with code enforcement, but our experience wasn't bad.

I820/N Beach is a great area. Watauga is very similar, just a bit east. I would buy homes with equity any time in those areas.

Other areas that are similar for you to look at, is McCart Ave south of I-20 or Benbrook.

Check out the Southern part of North Richland Hills, it has very old housing and great potential for flipping. The reconstructed highway (820/183) and Northeast Mall introduce a longer economic future for that area.

White Settlement has good potential for flips East of 820 with the old houses. I almost purchased a fairly new fourplex there a few years back, but local residents warned me that the market depends heavily on Lockheed Martin for jobs, and one big layoff could devastate demand there. That area does not have enough advantage for people working in downtown Ft Worth versus other areas. That's why I skipped the fourplex opportunity.

Regarding Benbrook: the easy commute to downtown, local middle class and the lake make that area more interesting for flips. 

Lake Worth has some older lake-front property, and the lake is about to get cleaned up, and older population is gradually moving out. Flippers might find a few opportunities there. It's got potential for a revival, just a matter of time IMHO.

Originally posted by @Mark H. :

Check out the Southern part of North Richland Hills, it has very old housing and great potential for flipping. The reconstructed highway (820/183) and Northeast Mall introduce a longer economic future for that area.

White Settlement has good potential for flips East of 820 with the old houses. I almost purchased a fairly new fourplex there a few years back, but local residents warned me that the market depends heavily on Lockheed Martin for jobs, and one big layoff could devastate demand there. That area does not have enough advantage for people working in downtown Ft Worth versus other areas. That's why I skipped the fourplex opportunity.

Regarding Benbrook: the easy commute to downtown, local middle class and the lake make that area more interesting for flips. 

Lake Worth has some older lake-front property, and the lake is about to get cleaned up, and older population is gradually moving out. Flippers might find a few opportunities there. It's got potential for a revival, just a matter of time IMHO.

 Thanks Mark for the lead! I will do some driving in this area and see how it is. Thank you all for the comments! They have been extremely helpful. 

I would disagree with your original comment that new construction suggests saturation of the market.  DFW as a whole is at the lowest home inventory in over 30 years and people are snatching up lots and demolishing cheap homes in established neighborhoods to build new.   Just check out the Crestwood neighborhood west of downtown, that place is booming!  Especially with the development of Panther Island/Center City you are going to see tons of growth as the size of downtown Fort Worth basically double. 

How is Crowley and Burleson area for investment?

I live in this area. I am not versed in this area, in regards to investing, but when I drive I do see a lot of for rent and owner financing signs.  @Shital Thakkar

What is reasonable price investment area in Fort Worth, I see north suburb price spikes up a lot. I am looking for 100-120 K range houses in good condition.

I have lived and invested in Fort Worth for the past 2 years. Some pockets are way hotter than others. I am tied with many investors in the area and we usually have quite a few properties at all price ranges. I highly suggest buying in Fort Worth whether to flip or hold. Great rental rates as well. If you are interested in seeing some properties give me a call or message me 7023019463 =)

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