All Forum Posts by: Courtney King

@Tamara Batsell....@Chris Mason hit it right on! No house will be 100% what you're looking for. I'm a broker in Dallas and I usually tell my clients to make a list of must haves and would likes and then I dialogue with them on what they can be flexible with.

With that being said I know the market is pretty competitive now but don't give up! As things slow down for the holidays you may be able to scoop up a great deal.

The big question is are you looking at this from a business perspective (i.e., this is your first home but eventually you will rent it out)? or are you looking at living there for awhile? I say this because this may help you get your mind right for the purchase and may enable you to be a little flexible on your choice of home. Of course it's important that you like the house but if you are looking at in the long run as an investment property you may have to keep that in the forefront of your decision.

@Brad Crosby I'm okay with self-employed tenants as long as they show me at least 3 months of bank statements. I don't usually care for tax returns since it doesn't truly reflect their income. I also pay particularly more attention to their credit. If their bank statements show good income but their credit is bad then I would likely request a double deposit. 

If she doesn't have a long history in business then I would request a few months of rent up front in addition to the double deposit but this is case by case and usually only if my gut instinct says that there's an elevated risk of default on the lease. I hope this helps!

Milana Gutman in our market, with as hot as it is I don't think it's necessary. Your pricing however should be on point! In a few cases (homes $400k+ I may propose staging) MLS in most cases is going to be your best bet for marketing. I offer limited service listing if you want to do your own negotiations or if you would like me to help (negotiations, etc.)

@Raphael Waruinge There are A LOT of home warranty choices. Make sure you read the fine print. You can negotiate it as part of the deal and get the Sellers to pay for it. Coverage ranges from $300+ per year depending on the package. My clients that get home warranties are 50/50. Just make sure you carefully review coverage many warranty companies have so many caveats. During the inspection process maybe you can get the inspector to check the coils in the HVAC. I've had clients with home warranties that cover HVAC, however, if the coils are found to be rusted or dirty sometimes they will deny the claim due to lack of maintenance. Many inspectors don't open the furnace cover to actually look at the coils so you may have to request it or have HVAC company look at it (often times they just do the temperature readings/differentials). HVAC is just one common denial that I see with some claims (there may be others). Hope this helps.

@Grant Francke Something that I do with inherited tenants in addition to the letter is just make a phone call and/or set up a time to meet them in person. Some tenants are leary of change (even if it's change of ownership/management). If you can put a face/voice to the letter I have found that this helps the tenant and also allows you to also do a quick walkthrough of the house while you chat with the tenants (I'm not sure if you've been able to get into the property at all but it's nice to see what you're working with). When I start the landlord/tenant relationship off on a positive note it helps with a smooth transition.

I own a smaller PM company in Texas and acquire many properties from the large conglomerate management companies. When I ask owners why they chose a smaller company it's because they felt like they are lost in a huge list of clients with the larger companies. If I were you I would ask all of the common questions but in addition I would see if the companies you're interviewing have some sort of owner manual. We provide this to owners to show what the expectation is for us as the management company and what the expectations for the investor as well. Additionally, try calling the perspective management company on a weekend...like call on one of their available rentals. Being available to show units after hours/weekends is SUPER important as well. Message me if you'd like me to send you some FAQ's that you should ask. Good luck!

@Anthony Mikolich

@Andrew Herrig and @Toni Murray hit this on the head! There are some high crime areas with cheap condos in Dallas. Additionally it's good to look at the overall maintenance of the common areas. Some of the lower end condos don't have HOA's that actively improve and/or maintain the properties and this could affect value over time in addition to attracting the right tenants.

@Ray Lai it would be a good idea to have someone go by each of these properties (if they are not occupied then maybe get inside to look at the HVAC, HWH, Appliances, structural (foundation) to get a good idea of the area but most importantly the overall condition firsthand. Just to have an actual person check it out is wise. Let me know, we're in both DFW and Houston markets and we can take a look.

Finally, I always like to go a little conservative on my own numbers; I definitely run my own numbers and don't just trust what some of these turnkey companies provide. I am not familiar with this company but instead of the normal 5% for maintenance in my calculations, I would do 2% to be safe since it has already been rehabbed. Also, is the property already occupied? If so, how long and ask them for a income/expense statement. If it's not occupied I would still do 5% for capital expenses again, to have that cushion. 

I'm still a firm believer that both of these markets are GREAT, rents in DFW are higher and lots of corporations are moving here, but if you're buying in the right areas in either market you should be good. 

Reach out to me if I can help!

Wen - Let's connect. I'm in the Dallas market and I have a team in the Houston market as well. check us out.  I'm here to help!

@Joshua Feit I think @Chris T. suggestion is right on point!! The next thing that I would suggest (under certain circumstance) would be to speak to the folks across the street or get someone that speaks their language. When I say speak, I don't mean complain but just a "Hey what's up" introduce yourself, chit chat...etc. I've done that and when they get to know you a bit you may find that they are "cool" and so are you and they may calm down a bit. Again, you may have to speak their language or get someone that does. Almost build a relationship; get a mutual understanding.