Look at the properties all around Pecan Valley. Kinda old area with some new houses in a few new neighborhoods. If you are good with 6%, then do it.
215k with about 25% down, payment is going to be about 1600 to 1700 with closing costs. Rent not going to be much higher. I dont even see 6% happening.
If you did a short term, or mid term or rent by the room, that might work even better.
Look at the properties all around Pecan Valley. Kinda old area with some new houses in a few new neighborhoods. If you are good with 6%, then do it.
215k with about 25% down, payment is going to be about 1600 to 1700 with closing costs. Rent not going to be much higher. I dont even see 6% happening.
If you did a short term, or mid term or rent by the room, that might work even better.
Look at the properties all around Pecan Valley. Kinda old area with some new houses in a few new neighborhoods. If you are good with 6%, then do it.
215k with about 25% down, payment is going to be about 1600 to 1700 with closing costs. Rent not going to be much higher. I dont even see 6% happening.
If you did a short term, or mid term or rent by the room, that might work even better.
Hi Rick Thanks for the input. I spoke with a few PMs in the area and they did a comp showing rentals between $1800-2100. The higher end is for newer homes. My calculation is based on a new build 4/2 with a cash offer. I know I’m not leveraging but I don’t see any other way to achieve more than 6% at this kind of interest rate. If u can help find a rehab unit in a B location, lmk I will jump on it. How about MFUs in the city, any good recommendations? j
Interesting area. This is at and outside the loop. I used to ride bikes out near that way. The older neighborhoods are getting some fresh development and infill. The newer neighborhoods are farther South and South East. China Grove is a sought after spot. Calaveras Lake is the draw, but I've not been down there in years.
You'd be a bit early down there, but with an eye towards playing the long game, not a bad start.
I think that's where a lot of investors are having difficulty nowadays, and I fully understand it, and that is day one to year one is not very palatable right now on most properties. How to createcashflow, add value, add doors, find opportunities in zoning = how to play the long game now in buy and hold purchasing and needs to be the mindset in this market. Those that are doing a basic breakdown for year one cashflow expectations are bound to be disappointed and/or end up purchasing in non-ideal areas with little to no appreciation over time.
As far as the city goes: generally you'll see new builds all along the out rims of the city but more of your concentrations of small multi's will be in the inner pockets. These small multi's will almost uniformly be older structures in need of some cosmetic or likely capex work. Too many sellers are putting bad assets out there and asking market price but that's the reality right now without ample inventory and the level of competition existing for these buildings.
The city is great about keeping the aesthetic of its older/historic neighborhoods, versus other mega metroplex cities in TX. However, it does make for some difficulty with investing at times because you're not working with newer properties.