Hi BP community! My name is Trevor and I'm a new real estate investor in Houston, TX. I'm in search of a 4+ unit small apartment in several of Houston's inner-loop neighborhoods with a price up to $1M. I'm primarily focusing on the Heights and Montrose (as I live in the area), but also interested in Timbergrove/Lazbrook, Museum District, Medical Center and Eado. These neighborhoods all have strong demand with Houston's population growth and close proximity to downtown/cultural centers.
I have an agent assisting with properties on the MLS and am also doing my own direct mail after driving for dollars. Particularly with the Heights and Montrose, there are not many properties on the MLS and the few that are listed are vastly overpriced. In these neighborhoods, my opinion is that any deal is likely going to be found off-market. There are a number of C class properties in these B class neighborhoods, which is what I'm looking for. The high property taxes in these neighborhoods make cash flow a challenge, particularly when factoring in any sort of financing. Therefore, I'm finding that 4+ units is around the minimum needed to spread out the taxes to a somewhat more reasonable level on a per unit basis. Having said that, I believe these neighborhoods will have strong rental demand for decades to come.
If there are any folks out there investing in these neighborhoods, I'd love to connect with you. Also, if you know of any available deals I'd be glad to hear about them.