All Forum Posts by: Cameron Tope

Welcome to BP Muhammad!

As a newbie, be mindful that just because someone is on BP doesn't necessarily mean they know what they're doing. 

Do your due diligence, ask a lot of questions and be skeptical of anything that sounds too good to be true. 

Best of luck!

 Jakub,

You can look at data all day long but the truth is if you operate the property poorly, you can lose money in the markets with the highest cash flow and appreciation. 

Invest in an area where you have (or can create) a competitive advantage. 

We have investors in Houston who have lost money on properties while the general market is up about 35% from 2020. 

Stick to the fundamentals and invest with your competitive advantage on your side. 

Best of luck!

Hey Kyle,

The area that's best for you to invest is one where you have (or can create) a competitive advantage. 

For some, that's leveraging their construction background in their local area. For others, it's building a team of A players in a particular market. 

Every market has it's pros and cons, and there are people making (and losing) money in every market. 

Ask yourself, what's the area where you'll have the biggest competitive advantage? 

Then go crush it!

Best of luck!

Nomal,

I can't speak to Airbnb (although I have heard revenue is down for many folks as competition is stiff), as far as renting the units to long-term tenants, this is a great strategy!

Do keep an eye on rents as we've seen our small multifamily properties take longer to lease than in the past due to the increased supply and amenities of larger multifamily properties.

Best of luck!
 

Hey Lenny,

We use Reliant mostly and they have MTM agreements - although usually at a higher rate...

@Carissa Atendido

Congrats on the first investment property - the first one's the hardest!

I, nor our clients, have had much success with home warranty companies as the items they cover are minimal along with delays on getting a tech to your property. But they can be helpful if you're out of state and don't have any local contacts. 

Self-managing is definitely doable for your first several properties, if you have the time, personality and desire. 

There are owners that can't handle the confrontation of telling a tenant to pay rent or evict, or don't have the time due to job/family obligations. 

If you think you can handle it, then I would recommend finding a great investor friendly agent that will lease the property for you. They'll help you set the rent, market the property and screen the tenant (one of the most important parts of management). 

Then you can see how it goes. You can always turn it over to a manager later. 

Best of luck!

Hey Jesse, 

Our clients properties (and mine included) perform well in Katy. The schools attract people from all over for many years and therefore turnover is historically low. 

I don't have have any experience in Freeman Ranch but newer built communities seem to take a little longer to lease in the short term due to the nearby construction and noise. 

As far as a PM company, no matter who you go with, I would ensure they're a member of the National Association of Residential Property Managers. 

https://www.narpm.org/about/why-use-a-narpm-member/

And stay away from the large multi-state companies, they have little to no local knowledge and seem to fee owners to death. 

Best of luck!

Jaqsin, 

Houston is a great market despite the high taxes and insurance! We have a lot of California clients. 

As with any market, there are areas that are not poised for long term appreciation - Sunnyside, South Park, Acres Homes, etc. 

Our clients (and my properties) that have performed best are the ones in the suburbs - Katy, Spring, Cypress, etc. 

Best of luck!

HAR breaks it out by SFR and townhome/condo.

Looks like there's just over 7,000 new SFR rental listings...

https://www.har.com/content/department/rental_market_update

Hey Matt, this is a detailed report!

Where are you getting the data for Houston? 

HAR reports monthly and it's been between 30-40 days recently - while your number shows over 50!

Thanks!