All Forum Posts by: Account Closed

Hi everyone. I have a question for investors who are currently investing in States with both High and low Property Taxes.

I'm investing in Texas (market I'm familiar with because I live here) and so far even with my worst case of high property taxes, and zero down using VA loans, I've been able to either break even, or get a small cash flow after PITI and all expenses (including management and vacancies) calculated in. But my options for markets are extremely limited, and I don't want to stack all my cards in just a 1 or 2 markets.

I’m trying to see if there is a significant benefit (as far as cash flow is concerned) to investing a lot of time and effort, in order to start researching and acquiring properties in low Property Tax States. Especially given how well the Texas economy is performing, and all the job creation taking place here; also given my familiarity with the market.

Russ Draper , thank you for the response. From different podcasts and blog posts I have read, the usual number they discuss for a partnership in flipping is 50%- hence the number that I put forth on my post. And is there a difference between returns and profit? I see them as being the same.

Hello BP community,

I am considering becoming a financial partner for house flipping. I will be investing at a distance, so vetting someone is extremely important. How should I go about finding a good flipper to partner with? What questions should I ask? And has anyone that has done this had any challenges? I am more specifically looking to partner for a share of profits (either 50% or higher depending on the deal). Thanks in advance. 

Hello BP Community! I am thinking of becoming a long distance financial partner for flipping homes- I am getting deployed soon, therefore I want to do some hands off investing while I'm away. I was wondering if I should get incorporated or not for it (LLC or an S corporation were the options I was thinking of). Should I incorporate as a financial partner for liability and tax purposes? If so what type or corporation should I choose? Thanks in advance!

Hi Jeffrey, welcome to bigger pockets. I used to live in the BCS area for almost 5 years while attending A&M. I've been learning a lot from this website. So far what's helped other than the blog posts were the podcasts, and their books. Shoot me a message of you need an help figuring anything out.  Happy networking!

-Farren. 

Hi Tim, rent pricing strategies are entirely dependent on market for that property. You'll have to look at your market to see what type of properties quality tenants look for, and what you can do differently to attract them. If the property matches others which quality tenants look for, then I would undercut the rent slightly. Or you can add something to make your property stand out. My market here doesn't have a lot of good properties that allow for pets, and most pet owners are forced to move to the older part of town. So one thing I do is having a nice property in a good location that is pet friendly (within certain criteria); that makes the tenants extremely loyal, and fills vacancies faster; plus it allows me to keep the rents at market value or slightly higher.

Welcome to the community Kristania. I'm currently investing in Killeen and College Station, while stationed at Ft. Hood. Feel free to message me if you have any questions about the market here.

@Caleb Heimsoth I am an investor/ resident here in Killeen currently, and used to live in suburban Dallas a few years back. The non-owner occupied vs owner occupied ratio here is extremely high compared to the Dallas area, as well as the economics and demographics. I might be able to relate to your perspective, so feel free to message me if you have any questions. 

@Deanna McCormick @Kaycee Miller @Eric Sztanyo Thank y'all so much for the input. It gave me many new perspectives on how to look at, and handle the issue. Also just to clarify my question earlier, even though they aren't on the lease as one group, their leases started and end on the same day (one school year). And I had a meet up with them at the house and discussed common roommate things like an agreement etc before they moved in, and I believe they did make one- it just didn't seem to work out. Again, thank y'all for the input! 

Best Regards, 

Farren. 

Hello Bigger Pockets community,

I have a single family property in a college town that I lease out by the room. Long story short, I have 2 extremely good tenants that I screened well and came out ahead of most applicants. One of those 2 had a friend that was going to move into the 3rd room but backed out last minute, and she wanted my help finding a 3rd roommate to share in the bills. The 3rd tenant I found cleared the usual background checks, but since she was a freshman didn't have a rental history or credit that I could verify. Therefore I took a double deposit from her. 

She (3rd tenant) pays rent on time (was late only once, and gave me ample notice), however doesn't pay her share of bills to the tenant who the utilities are under the name of. Plus I have been notified that she isn't cooperative on house chores etc. I don't want the 2 good tenants having a bad experience due to the 3rd tenant. If you have dealt with a similar situation, how did you handle it? Is there a way I can get her to cooperate with the other 2 without getting too deep in their business? Any advise is appreciated! 

-Farren.