All Forum Posts by: Alex J.

calculating the cap rate is the same... its  not specific to a type of investment building... it can be for a single family home, multi unit, storage unit.,, whatever it is

in my examples i am looking to rent out or flip (depending of margins are good) and can do the same type of formula

cash on cash return will vary on how much cash you are using in your equation... return on equity is probably a better way to look at things if you are using leverage especially

Hey there Vijaianand... I am also in Sugar Land.... sure if you have good investment opportunities... im looking for cash flowing properties... better cash on cash return the better... clearly everybody wants the same.. lol

the deals ive done recently are ranging in 100-120k "fixers" that i can get 8-10cap rates via fixing and renting.  mainly looking in the non flooded areas of southwest houston

Hey all

As mentioned before I am looking to scale up my portfolio in Houston and I am looking specifically in Stafford, Missouri City,Meadows place, Sugarland,Katy

I'm more of a sfr b- to c level investor when it comes to deals ...I want people in my units that are renters and want to be renters...ya I'm aware of scale with multi family..I'm not against the idea but I like the diversification of location esp in Houston...I don't want a hurricane damaging a big chunk of my portfolio at once if flooding is localized...I'm not opposed to MF but the numbers have to be really good

With that said... I want to be added to wholesalers lists 

So if you service Southwest Houston add me to your list and pm me for my email address!

I am a buyer and have cash to deploy...I already have some under contract but have the appetite for more if the numbers are good.

Thanks in advance

if the numbers make sense for an investor then it would probably be fine.  if you are near the end of the lease for the tenant you can list it with seller notes saying currently occupied and will be delivered vacant by end of escrow and make sure to give the proper notice to the tenant that you will not be renewing it

not to say this cant be good for a rental.. but the area is one of the most dangerous parts of houston 

the problem people dont realize is this idea of "value" changes... the inputs and fundamentals are not the same as the last go around.,, you have a lot of pent up demand and millennial buying into the market that will be  trend for the next 15 years easily... a lot more money in the overall global economy due to monetary easing.... and guess what is another very strong fundamental indicator?  wage rising!

confidence is at all time highs, incomes and wages are on the rise... the stock market has priced in this growth of course as it is very efficient, but regarding other asset classes... real estate in particular is very much a local economy supply demand driven asset ... so it doesnt need to correct necessarily but could soften 

industrial metals could continue to grow, oil and other inputs to economies as welll

the globe actually looks pretty robust and in growth mode actually.

as for the quesiton "what do do" if you genuinely think everything is overvalued... get in cash... spend money on enjoying life experiences , and do things to help like donate to non profits that help a cause you  like.... its not always about making money, but its about enjoying the journey

i dont think anybody that knows the valley would ever think or say that woodland hills is premium to tarzana.

the problem is you are just pulling up some average price trends probably off zillow or a quick google search and probably arent putting in the actual zipcodes that are comparable.  91355 is the reseda part of tarzana just like 91303 can be canoga park and or woodland hills depending on the part of victory... thats not comparable at all.

the Tarzana areas that is comparable is 91356 zip code... that average is $900k for median house price

whereas woodland hills zipcode  91367 is $768k median

im pretty sure if you are "from the valley" you would have known that though

tarzana is a premium market to woodland hills in every way.... not sure what you are looking at but historically and currently tarzana is premium 

encino premium to tarzana, tarzana premium to woodland hills....especially south of blvd 

this is going to basically make wholesaling happen at a whole other level

they have a massssiveee funnel and scale.... this will absolutely take a bite out of wholesaling if they are able to pull it off

Land in socal is limited and people pay a lot of money for homes

Developing is quite lucrative because demand is white hot right now and it's very expensive so it takes out flippers and leaves only people willing to commit bigger dollars