Residential Real Estate Agent · San antonio, TX · Member since 2013 · 130 posts · 44 votes
Hi,
I signed up for bigger pockets a while back(2 years ago) but have recently become more active on the forums and trying to be active in real estate investment.
I bought a house close to downtown San Antonio last year. Originally was going to rehab and possibly flip or keep it for myself. I've been living in what I refer to as the crack free crack house since November. Mostly I stay in my RV out in the oilfield though.
Right now, I am trying to decide on the best game plan on how to proceed with this property. Fix it up and resell? Scrape and rebuild(possible multiple units)?
I'm also trying to get out and meet people who are active and more experienced. Would love to maybe meet with some people who are knowledgeable about this part of town and have experience with different kinds of projects/exit strategies.
Residential Real Estate Agent · San antonio, TX · Member since 2013 · 130 posts · 44 votes
11y
The fix and sell is definitely the easiest and lowest profit.
Scrape and rebuilding multiple units is pretty daunting! However, new construction in my zip code sells for $200 a square which is way above what I paid.
San Antonio, TX · Member since 2014 · 46 posts · 7 votes
11y
P. martin, welcome i am also in SA. well your problem is a good problem to have, having a property in SA. Agree with that the fix and sell would be easiest, especially if the numbers work.
Welcome. Another option: If you purchased a year ago, and properties are currently selling at $200/SF, it was likely that you when you bought it they were selling significantly less than that PPSF. Have you considering selling it "as-is?" Profit may be a little lower, but the workload and risk are virtually zero. Plenty of investors looking for properties in and around Downtown SA, especially in Lavaca, King William, Lone Star, Roosevelt Park, Dignowity Hill, Tobin Hill, River Road, Government Hill, & Five Points.
Contractor · San Antonio, TX · Member since 2013 · 647 posts · 205 votes
11y
@P. Martin, welcome to BP! "As is" is likely the simplest and fastest, maybe talk to Seth Teel about that. Higher profits are possible with a rehab, though there is potentially more risk as well. As to new construction, that pretty much depends on what you have in mind I think, though make sure you check your zoning if you go that route. If there's anything any of us can do for you, don't be afraid to reach out. Take care and welcome to the site!
Real Estate Agent · San Antonio, TX · Member since 2015 · 21 posts · 10 votes
11y
@P. Martin
"Crack free crack house" that literally made me laugh out loud!
Welcome (back)! IMO, I think your decision is based on Risk vs Reward as well as what you're looking to get as a return. I hope you let us know what you ultimately decide and how it works out. Either way, I look forward to your contributions to BP and hearing of your success in our local San Antonio market.
Welcome. Another option: If you purchased a year ago, and properties are currently selling at $200/SF, it was likely that you when you bought it they were selling significantly less than that PPSF. Have you considering selling it "as-is?" Profit may be a little lower, but the workload and risk are virtually zero. Plenty of investors looking for properties in and around Downtown SA, especially in Lavaca, King William, Lone Star, Roosevelt Park, Dignowity Hill, Tobin Hill, River Road, Government Hill, & Five Points.
The area definitely seems to be gentrifying and growing pretty rapidly right now. I am not sure I could stomach it if I let the property go as-is right now, only to find I left a huge amount of profit out there. I think if I sold as-is right now, at best I might recoup what I have spent. Would like to upgrade my current living standard, but I can deal with the living conditions for a little while longer!
Residential Real Estate Agent · Austin, TX · Member since 2015 · 105 posts · 23 votes
11y
If you like the house and you have time and sweat to put in, I think your best strategy would be to live in it for 2 years while working on it. Then your profits are tax free when you sell. This assumes you are handy and your hourly rate is not too high. If you think there is appreciation ahead in your area, you could even lease it for a couple years before selling and still sell tax free. This is slow money but it is pretty low stress money.
If you are just getting in, many people do quick flips to build capital. However, if you have a day job, this is a more manageable strategy.