Loveland, CO · Member since 2008 · 1k+ posts · 123 votes
19y
From your location, you may be in a better position to tell us. Are you in Allen TX, in the metroplex?
I've lived and invested in TX for almost 30 years and it's generally not a good long-term hold market for SFHs. Several reasons for this:
1. Low appreciation. Since a builder can always develop and build a new, better, more bells and whistles house pretty cheap TX generally has low, 2-3% appreciation rate. Better than parts of OH, IN and MI, negative numbers, but lower than the historic rates on the coasts.
2. Highest in the nation insurance. Let's face it, we get hammered on our insurance for the simple reason that HOI is not regulated in TX.
3. High property taxes. Close to 3% in the bigger metro areas, but still 2.65% in our little town. Of course you already got that $2K check that governor big hair promised? Right? lol. Trust me, any cut in property taxes is not going to affect rates.
Instead, it'll be increases in homestead exemption, that won't help your rental, old age exemption, taking from the poorest generation to give to the richest (of course the richest one votes!) and other schemes that allow politicians to get on TV and look good. There's no break for landlords in that scenario!
That said, it's like any other market, people go broke, quit paying and otherwise lose their homes. As long as you can buy well below market, you'll be OK.
Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
19y
Tamara,
:welcome:
As this is the forum for new introductions how about telling us about yourself? Your background, why you joined BP and other things so we get to know you a bit better.