Investing In Killeen TX

10 Replies

What's Up BP Peeps, 

I am a new investor just 2 weeks from closing on my first duplex in Killeen TX.  Every post I read on this city is a up and down of good and bad. I wanted to create a discussion where some "pros and semi pros" could chime in with valuable input and some newbs can comment/learn from the advice provided. 

I am purchasing a property with in the 76541 Zip code which seems to be a bit lower class neighborhoods 

Harker Heights seems to be the Up and coming place but everything, as far as I know, is  military dependent... which I don't have a problem with as I see a rental opportunity heaven even if the turn over is every few years. 

A little about me: My name is Federico Portalupi and I work Retail management full time, I have been with Mattress Firm for 9 years and I love my company but I think creating multiple revenue streams is important especially at the age of 33. I am young enough, I have a killer work ethic, I am a workaholic which doesn't help my sleepless nights on real estate self development ( podcasts, books, YouTube videos)and knowledge.

Alright everybody, I have decided that multifamily will be my focus and I have centered in the Killeen Area and sorroundings... any comments, suggestions, potential partnerships, advice- I WILL TAKE IT ALL- 

Thank you for spending your time commenting on this thread- 

Hey Frederico, I still consider myself a newb but I do own a rental property in Killeen(43 area). Killeen is a different city compared to all the others in the central texas area. It seems like an ever changing melting pot of cultures and races. Rarely do i meet people in Killeen that are actually from Killeen, or Texas even. There are definitely parts of Killeen that i would not invest or go to for any reason, but there are obviously parts that I would just like any other city. There are people that really love killeen. Especially if they are from a bigger city out of state, Killeen is quiet to them. I feel if you stay out of the "war zone" areas, unless thats what you are targeting, and just create a good quality home for people to feel safe and comfortable, followed by good tenant screening and integrity in everything you do as a landlord, you will be ok. I will buy another property there. Im glad you are taking action and letting nothing stop you. The population keeps going up there and and people always need a place to live. These are just my views and opinions from living there for 5 years and growing up in central Texas. I am not the most analytical person by far I just wanted to comment and show support for you. Congrats and good luck man.

Hello @Federico Portalupi -

I'm a Realtor in the Killeen area and have done a few multi-family deals, and own my own fourplex that I picked up in 2012 in 76549.

One important criteria I would use to evaluate a multi-family in our area is whether or not a reputable local property manager will even be willing to manage it. The 76541 (downtown) area is an older area, and there is often a lot of deferred maintenance or even major updates that are needed. There is an immense amount of new inventory you will be competing with (average age of homes in the area is only 15 years old) that will suck your renters away to newer parts of town.  I would run the property past a couple property managers and ask them to give it to you straight whether they would be willing to take the property into their portfolio - even if you are planning on managing it yourself. It will tell you a lot about the property if everyone is saying "thanks but no thanks".

Congrats, I hope your closing went well. I am very interested in Killeen. A bit scared, everything seems extremely cheap. 

Could you tell us more about your deal? Numbers etc. any problem renting it out? 

Federico, thanks for starting this post, it's exactly what I was wondering and I'm encouraged to see the posts and great advice.  I'm also a newbie looking to invest in my first few deals and have identified Killeen as an area that is accessible without too much money down with decent cash flow numbers.   I'll probably be joining you in that adventure in a month or so, and will probably focus on the HH area initially, just to be safe.  Let us know how things went if you closed already.  

Thanks everyone else for the insights! Brian, I will definitely ask Property Manages for their opinion. Are there any specific companies you would recommend?

Best of luck!

@Brian Adam's hello, my name is Adrian Fajardo. I'll be moving to Killeen by the end of this year. Seeing that this post is more than a year old, do you happen to be in the Killeen area still?

@Nicolas Lam Hello and welcome! I couldn't say much. I'm still on the search for my next purchase. We're living in unprecedented times but I'm not making any excuses. What are your investing goals? Feel free to message me for any particulars.

I wish you the best in your investing journey!

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