Whitehouse, TX · Member since 2017 · 159 posts · 61 votes
5y
@Caleb Haynes Yes this market is hot hot hot! We recently went under contract in Whitehouse last month with a out of state buyer. We were only on the market 5 days and had 12 showings and got a full price offer with favorable terms. Our price point was in the higher priced homes and it didn’t seem like people even mattered what the price was. Our agent said there is a shortage of inventory and everything is selling in a matter of days. The price of our home went up 45% in 3 years.
Have you thought about expanding your area out of town a bit? Maybe look at Troup, Chapel Hill, and Chandler to name a few. I believe Whitehouse and Bullard are to pricey for rentals even though you can probably get higher rents there than in Tyler.
Have you thought about possibly changing your strategy for the short term and possibly looking at raw land that can be split into lots? Preferably out of the city limits but close to town.
Investor · Cedar Hill, TX · Member since 2016 · 6 posts · 0 votes
5y
@Caleb Haynes I agree with Sully Saez, MLS sold and leased data are much more reliable. If you don't want to ask real estate agent to run comps for you all the time, you can subscribe to a paid service that provides most MLS information.
You must like Roses, Patrick Mahomes or Earl Campbell.
Get back to basics.
1. What are your financial goals on a deal? Minimum $size, Monthly payment, appreciation, Rate of return, type of investment grade A/B/C/D, BRRR, Fix/Flip, make some money, how much are you willing to "lose?", etc.
2. Realize data systems can be dirty, but one of the Realty search engines, notes 314 properties in Tyler, Texas on the market longer than 30 days. There's a deal and money to be made, on properties that are for sale.
3. Your getting beat to the punch. Go after properties that aren't for sale. Offer them a "Solution", don't make it about buying their house. Use your GIS or property tax map, drive the town and look for your candidates. Call them and their kids. Come up with a brochure of solutions.
4. Develop or build a house, versus looking to buy. Part of the rise in housing and everything else rising, is material costs have skyrocketed and availability of material is becoming an issue. Sell prior to completion, at rough out stage. Keep in mind Developing has the greatest potential for both Profit and loss. The main issue is the time from starting a project to selling. Interest rates and demand are locked in for the next ?? months. Pick a product you can deliver under that time frame. This takes out the majority of the financial downside to being a developer. Pick a cookie cutter product, you can replicate and sale easily.
5. Key is re-evaluate your approach. The below is "you", correct. If chemical reactions aren't working for you, try other chemicals or a different approach.
Chemistry enthusiast looking to grow and discover new things every day.
You already have the skill set to to evaluate 1 thru 4 above, even though this is real estate and not Chemistry. Don't worry how or why other people are making deals. Define 1 above and seek out deals that fit your targets. For example: If a person bought a home in California for $200,000 and is now selling it for $1,800,000 and want to do a 1031 exchange and have only 90 days to do that; they will pay more than you are willing to pay. Don't worry about them.
Direction: Look at a listing of the Tyler properties that have been on the market longer than 30 days. There is no way you can't find a deal that won't make $30,000 in the next 6 months.
Real Estate Agent · Nashville, TN · Member since 2017 · 80 posts · 49 votes
5y
I'm in the same boat. I'm placing all cash offers and keep getting outbid by tens of thousands. Maybe my numbers are a little conservative, but also when I see what others are paying I simply don't see how they are pulling out any profit. I'd rather stick with numbers that make sense vs throw cash away based on speculation. Well, at least with where I am in life right now.
I also live in Tyler. I was able to purchase (1) single family & (1) commercial property this year. The single family house is off Golden Road. Purchased for $100,000. Painted the interior & rented out within days for $1375.00 a month. My other property this year was loop frontage with 16 tenants. I got both properties off market by making it very known that I am a real estate investor to everyone who knows me. Not having a realtor involved in either deal give me a HUGE advantage, no commissions had to be paid by the sellers. I work as an HVAC salesman & build spec homes in Whitehouse, Chandler, & Bullard. My line of work keeps me in front of lots of people every day, this is key for me. It can be done here, just keep trying.