Tampa and Wesley Chapel seem sexy to me

Tampa and Wesley Chapel seem sexy to me

Tampa, FL · Member since 2016 · 54 posts · 9 votes

Hi all,

After a few months of reading books, blogs, BiggerPocket posts, free resources from every wholesaler and hard money lender I could find, listening to audiobooks, writing my business plan, searching out contractors to work with and beginning conversations with hard money lenders, I think I now know everything....j/k :) but I am ready to make the move on my first flip. 

My strategy, while not cosmic in nature, is to compound my initial investment.  I would like to take the profit from my first flip and purchase a buy and hold property.  I would like to take the capital expenditure from that first flip and purchase another flip.

My goal is to have the majority of my retirement come from Real Estate. After researching local markets, I feel Wesley Chapel is where I want to focus, especially for my buy and hold properties.  I am not as laser focused yet on the location for my first flip. .  I really want to flip a house in Seminole Heights as well, but think it's a slightly more risky area with a more limiting buyer base. Another area that intrigues me is Zephyrhills. I'm curious on thoughts about the greater Tampa market.

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Investor · Tampa, FL · Member since 2016 · 66 posts · 27 votes
10y

@Adrian Smude Thanks for the offer, I'll be in touch.

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  • Michael S.Pro Member
    Biggerpockets Support · Las Pinas, Metro Manila · Member since 2015 · 7k+ posts · 1k+ votes
    10y

    @Justin Denham

    Welcome and you're in the right place to get your REI career started

    BiggerPockets
  • Investor · Tampa, FL · Member since 2015 · 26 posts · 9 votes
    10y

    @Justin Denham Wesley Chapel is sexy but I think you will struggle to cash flow on a buy and hold. Watch out for HOA and CDD fees, taxes and insurance

    thanks

  • Tampa, FL · Member since 2016 · 54 posts · 9 votes
    10y

    @Michael S., that's good advice. So many of the new communities in WC are very HOA and CDD heavy. I will make sure to build that into any potential rental numbers before touching them. Thanks!

  • Investor · Tampa, FL · Member since 2016 · 66 posts · 27 votes
    10y

    @Justin Denham congrats on the decision to take action, it's the most important step. I'm in Seminole Heights and so is my rental. Rents are rising and demand is incredibly high in my neighborhood. That being said, I'm starting to look in other metro areas such as Plant City for lower entry points and strong demand. Wesley Chapel is not commuter friendly and I don't see it being a strong rental community in the near-term anyway, also HOAs are very common as others have noted. Just something to keep in mind. Good luck!

  • Rental Property Investor · Plant City, FL · Member since 2015 · 1k+ posts · 379 votes
    10y

    @Joshua Sclafani let me know if I can ever help you in Plant City.  

  • Investor · Tampa, FL · Member since 2016 · 66 posts · 27 votes
    10y

    @Adrian Smude Thanks for the offer, I'll be in touch.

  • Los Angeles, CA · Member since 2014 · 2k+ posts · 515 votes
    10y

    Hi @Justin Denham and welcome to Bigger Pockets. BP is full of free information! From reading the forums to connecting to seasoned investors, you will have an advantage on real estate investing. Good luck and I wish you all the best. You are not alone in your real estate ambition. 

  • Tampa, FL · Member since 2016 · 54 posts · 9 votes
    10y

    @Joshua Sclafini thanks for the insight on Seminole Heights.  That's a great point about high demand and low inventory there....probably not the best recipe for success.  I am curious about your comp approach there.  I am looking at a property there and running my numbers.  My big concern is that the numbers make sense, but the property is not a bungalow.  I feel like non-bungalow properties there don't have near as much appeal as the bungalows, but the only recent comps I can find are bungalows.  Thoughts?

  • Investor · Tampa, FL · Member since 2016 · 66 posts · 27 votes
    10y

    @Justin Denham You are correct about Bungalows being more desirable and retaining their value better. That being said, I think they are more appealing to buyers and perhaps not as important to tenants. So you should factor for lower appreciation but you will also have lower capital improvement costs with a block home compared to 90yr old wood frame. Comps are tricky, you really need to know the neighborhood to understand the best locations. This may not make much sense but here's a graphic of the best areas. Green is the best, orange is OK, red is bad. Pretty much anything south of Osbourne (East of 275) and anything east of 15th are not on my radar (crime is too prevalent). There are some projects you don't want to buy near, also in red. Hope it helps.

  • Tampa, FL · Member since 2016 · 54 posts · 9 votes
    10y

    Wow.  Thanks! @Joshua Sclafani.   I travel for work every week, but would love to meet up for coffee on a Friday or weekend sometime in the near future.

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