All Forum Posts by: Beau Fannon

"Mold is the one that scares me. The house did have more moister than it should in certain parts of the house. Is there any way of figuring out if there is one of those time bombs hiding before we close? "

I've got a guy I can recommend that will come out and measure moisture levels in the walls.

I run a duplex down the road from you. Your odds of making this profitable are very low. If your timing is off by just a few weeks in the current rental market, you'll be lucky to get $1450 for the 2/1 and $1550 for the 3/2. 

Now if you do get them leased out during the seasonal upswing during the summer, you'll get an extra $150 each. 

1. You're not going to beat "them"

2. You have something of value to offer "them"

3. Join "them" for a percentage of a deal 

Seriously, since you can't beat them, network with them, find a deal you can contribute too, negotiate a joint approach where you are a percentage holder, and develop your business that way.

Yes, this bodes well for holders of property in what is effectively South Dallas.

I do drivebys fairly regularly. The longest I've ever gone without at least just driving by the properties I represent is 2 months. The longest I've ever gone without stepping foot inside a property I represent is about 6 months. 

You know, I used to do all that homework too. But it eats up a tremendous amount of time. You don't necessarily have to know why the home is on probate in order to have a conversation.  I'd be more than happy to role play some super awkward conversations with you if you want some practice. 

Full disclosure: I've never personally had any luck with probate lists although I am currently living in a condo that went through a very nasty probate. 

Get comfortable being uncomfortable.  I can't think of any positive reasons for a property to end up on a probate list so all of the conversations are going to be challenging.  

Michael and Joe both make good points. Seasonality and the price point are major factors. I'd like to add a third factor for consideration.  New builds are at an all time high here in Austin. We've never had as many new units being built as we do now. 2017 saw just as many new build permits as 2006 except there are more multifamily units in the mix now. 2018 numbers should surpass 2017. Our rental supply started to exceed the demand back in late 2016 around the $1450 price point.

https://www.austinchamber.com/blog/08-07-2018-resi...

Austin's population growth has been remarkably consistent between 2% and 3% for almost two decades.  That means we add 10,000 to 13,000 people a year. 

2012 - 2016, we averaged about 20,000 new housing unit permits per year. In 2017 - 2018 we are averaging about 27,000 and this will likely continue throughout 2019. Supply is outstripping demand except at price points below $1450 for rentals and $275,000 for purchases. 

People who rent a SFH are going to want the garage for themselves unless you're renting to college kids. Your thought process is admirable but realistically unrealistic.

You're targeting a zone that's been gentrified and heavily flipped for 15+ years. While there are certainly still properties that meet your criteria, be prepared for a long slog with many ups and downs. I do know a family from New York that are in the final phase of doing exactly what you've described. Only difference is the location. They're about a mile further south off Redd St in the northern part of 78745.  I'll see if they'll share who they worked with.

In the meantime, you might want to reach out to a small local all-in-one shop like Matt and Lexi Teifke at Tre Homes for a consultation.

Edit: grammar