Looking to Invest in Houston

17 Replies

Looking to invest in Houston. Iv heard good things but dont know much yet other than iv been to the city a few times and really like it. How good are the returns on rental property? I am from Cali and looking to take my money elsewhere. I will be visiting Houston in a few weeks to maybe look at some investment property if someone can help me out. Thanks in advance!

Roy:

I also live in Ca., invest in Houston. Yes, Houston a good market along with several other Texas markets. I have property management coverage in several markets, key as you know. Let me know if you would like to connect/discuss.

Roi obviously depends on what area of Houston you buy in but 9-12% is not unrealistic on single family rental properties under management here.

From talking to clients from California and talking to the guys in our LA office, its borderline impossible to find rental property with half decent returns out there.

@Roy Lhanie

While I respect all the great recomendations from all the comments, I will rather settle in and learn FIRST, before decindig where to invest. For me, if the numbers dont make sense, I dont invest. I have no sentiments about any location as long as it meets my investment critaria. So the question is, what exactly do you want to do? Have determined what you want to do in REI? Since, you are new, i will expect you probably need to spend sometime studying the markets, and that is a full time time on its own...literally speaking.....

My one cent!

Welcome to BP...

Thank you all of the feedback, I am new to BP and to states out of California but I have a lot of experience in the Los Angeles area should you need any advice. I have flipped over 10 properties succesfully and currently have 2 rentals. 

I think Trey gave a correct average of 9- 12%on SFR's. There are many opportunities in the upcoming areas of Houston as "gentrification" is very active within neighborhoods that are close to the downtown area. I have found some multi family unit deals there. In Houston the "slums" are seeing active construction and increasing government presence (beautification agendas, active city notices to clean up, etc.) as there is a mass movement for "urban living" within these areas 15 min or less to downtown/medical center.

I am a wholesaler who specializes in these areas.

I am under contract for a commercial investment currently.  I have also connected with some folks on the residential side, so far I have not seen great cap rates and the inventory is low.  Will keep you posted!

@Roy Lhanie

Houston is a great market to invest in. I think @Trey Watson mentioned 9-12% returns on a rental property. That pretty much nails it on the head. I would stay away from rougher areas of town that have great paper returns. You're going to get chewed up by turnover, vacancy, and make ready. Call some local Property Managers and they can give you good run downs on what you can expect in fees. 

I am looking to visit Houston in the next few weeks. Can someone (agent/investor) help me out? Looking for fix and flips at the moment. I want to see some property. I can pull the trigger quickly if you find me the right property... 

I'm a Real Estate Investor Wholesaler here in Houston, TX and if you would like to apart of my active buyer's list, contact me. If you have interest in merely building business relationships, do the same

Shaun Rhodes