Up & coming, but affordable areas within the 610 loop?

Question

Hi all, I'm looking at buying a 3/2 buy & hold home in Houston.

Are my criteria below realistic? If so, which areas would you recommend?

Criteria

- Under $225k

- Within the 610 loop (or any other area with up and coming activity)

- Strong rent-to-value (1% rule if possible)

- Not impacted by flooding / no rough areas (B and above)

Jason Hirko · Answer

@Ryan Johnson I'm getting a lot of great deals right at 45 and 10 with some infill lots that people are starting to recognize as being 3 minutes to downtown and a lot of development spill over from the stadiums. Now there's still plenty of places in the 5th that I won't go to during the day, but people are starting to see some jewels in it

Cody L. · Answer

I hear ya. I paid $400k for a 32 unit in 5rh ward. Just apprised for 1.3m and put $1m of debt on it.

That type of deal can’t be found in the areas that have already popped.

Luciano A. · Answer

@Sean Yuan EDO area is already too hot. I bought back in 2009 and 2010 for like $80k for duplexes and triplexes. Now these properties are valued over $300k. If you have the stomach and want to see both appreciation and good cashflow look at SunnySide area of town off Cullen and 610 before Belford. Lots of new construction over $180k that is selling. A builder worth looking at is Mayberry Homes. They get into areas that was considered war zones at the right time and have made great stride in selling. I recently bought three properties in that area and have done the BRRR method and have no money in any of those properties but cashflow over $400. Just thought I would share my thoughts with you. Best of Luck

Jason Hirko · Answer

People think I'm crazy but I love the Fifth Ward right now...

Luciano A. · Answer

@Armand Farrokh As Cody mentioned in one of his posts here.... find areas that are more Hispanic population and you can find good deals. If you look at the triangle between 45 and 59 in the Hardy Yard area can still get older homes for good price and good cashflow with good potential of appreciation.

Brandi Dunbar · Answer

Northside - Hardy Yards near  I-45 and I-10 is an up and coming area. You can find houses around $300k. Close to the Metro Rail that goes downtown. Where I’m at right there was not impacted by flooding

Ryan Johnson · Answer

Eado is def more up and coming than 5th ward in terms of overall development with the soccer stadium, numerous new bars and restaurants.

Luciano A. · Answer

@Cody L. You make a great point. I see EADO play as a safer beat for the same reasoning you have. Congrats on the two deals. I have seen a few of your properties and respect your work. Fellow CA in Houston. Cheers

Cody L. · Answer

lol, I've just told it how it is -- or how it is IMO.  It's worked for me.  No reason to sandbag an area in hopes of bottom feeding.  As much as I think I buy, I'm the small minnow in a huge ocean.  So I can cheerlead or sandbag -- don't think I'll change the tide.

Jason Hirko · Answer

Maybe we should be telling people how bad the 5th still is???!!!

Up & coming, but affordable areas within the 610 loop?

Most Popular Reply