Hello, I am an investor from San Diego. I have been investing in DFW area (Plano, Collin, Cedar Hill) since late 2014 after knowing that Toyota and a few other big corporate moved their headquarter to DFW. I have purchased 8 SFRs (All 3/2/2 or 4/2/2 SFRs) from late 2014 to mid 2015. After that I haven't purchased anything in and I just keep speculating the market. You can tell that I have got good amount of equity gained for the past 5 years. Cash flow is okay but not great. Property tax and insurance cost have increased dramatically for the past years and it has taken most of the profit. Rent has increased but not significant comparing with the cost. For the past 5 years experience with all the repair, I am also surprised to find out that the repair/maintenance cost is about the same or in some case even more expensive than in San Diego (I manage all properties by myself in San Diego vs I have PM handling all issues for me in DFW. Most PMs don't seem to be knowledgable about repair cost and just cannot help saving my money. For example, a PM has spent me US250 to repair the toilet twice! I need to explain to that PM that you can get a brand new toilet in HomeDepot at ~US100!)

That's why I have debated with myself for a long time if I should just sell everything in DFW and invest in San Diego or somewhere else. I have been hesitating of doing it because I am still seeing the housing price increase year by year in DFW (although it seems the momentum has slowed down since 2018?). Also it should be quite a lot of work for me to liquidate all 8 SFRs and find other deal and do 1031 exchange to avoid all the capital gain tax and depreciation recapture. That's why I just let them grow on their own now. Cash flow is not great and dealing with PM is a big hassle too but at least the rental income is enough to cover all the mortgage and cost. (All 15 years fixed at good rate, ~3.75%)

Should I just let the portfolio grow on their own and have all the properties free and clear in 9, 10 years or should I sell everything and invest somewhere else? If any local investor or realtor can share their opinion and let me know their thoughts on DFW market that would be great. I have to admit that I haven't really followed the DFW market close enough to make the right decision.

Dallas, Texas

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