All Forum Posts by: Forrest Holden

I believe I looked at the city ordinances a while ago, and if I recall correctly, they have not allowed any mobile homes to be put on lots for almost a decade.  The old ones are grandfathered in, but I don’t think they are allowing any new or used to be moved into the city limits of San Angelo.  Are both of those lots in San Angelo?

Do you want to sell your lots or develop them yourself?  

I'm local and fairly active in the Real Estate Market.  What are your goals?

I got the lending from Sonora Bank by referral from an accountant. The San Angelo Real Estate Market is peculiar and I'm not sure if they offered the 85% LTV as a result in a recent yet likely temporary dip in property values, property value growth potential, or, to trap me in a loan so that I can't refinance into something cheaper haha, at least in the short term.

Personal non-owner occupied. In San Angelo, the rates seem to be 1% higher on investment properties than everywhere else, thought I could be mistaken, this has been my personal experience. This mortgage broker is able to do 85% LTV though, which is outstanding for a rental with just a 1% origination fee. How much juice are you trying to squeeze out of that orange, are you gonna max out your equity cash out in order to do further investing?

I am about to conduct a cash out refinance on a rental property in the state of Texas. The property has a note on it for 61k, I plan to put a new note on the property for around 100k to replace the old note when I conduct the cash out refinance. I have been offered a cash out refinance in the state of Texas for a fixed rate of 5.75% for the first 5 years, adjusting to WSJP + 1.5% every 5 years thereafter with a 20 year amortization schedule.

First question is this, how do these rates look to other Texas rental property investors? Does this rate look high to you?

My next question is this, should I maximize the benefits of this cash out refinance by pulling out as much cash as possible on this property if it does not impact the interest rate? I have several other rental properties that have a pretty good interest rate on them currently as well as a fair amount of equity. If I continue investing in real estate, I believe it would be advantageous to have an extra 10k in cash loaned at an interest rate of 5.75 amortized over 20 years for use in down payments and rehab costs even if it were to hurt the cash flow on just this one property a little when the other properties are cash flowing very well. What does everyone think?

I would suggest not getting "matchy-matchy", by this I mean don't try to match the color exactly, it will look like a cheap fix, instead, give your flooring a generous contrast, something that is fairly different that compliments the oak flooring.  If you try to match it will look obvious and might not come off well.  What all types of flooring do you know how to install?

@Kyle Titus

I have a general tip for you, buy low, but don't buy a junker.  Also, find something that you personally can add value to, not something that you will have to pour a bunch of money into.  I personally like the Glenmore area right next to base, great elementary school and a short commute for prospective military tenants.  Some of the houses need a lot of work in that area, but they are affordable if you want to do the work yourself.  I have one rental in that area and one house that I am currently working on.  As far as buying agents are concerned that work with investors here in San Angelo, the broker at Dierschke and Dierschke will tell you that Teri Covert is their go-to investor agent.  She works with many investors, is retired Navy, and owns a bunch of rentals in San Angelo.  Another great investors agent is Kelly Cave with Scott Allison Real Estate.  Investing and finding deals is his bread and butter.  Both of these agents are lifetime investors with decades of experience and will give you the straight dope if you let them.  Ask lots of questions.  They know everyone and can get you connected with other people in the industry as well.  If you reach out to them, let them know I sent you...

Hello all,

For some back ground, my two other properties are currently rented out, both retain decent equity and cash flow.

I just closed on my third property located in San Angelo, TX and I am trying to figure out to maximize this property, my new primary residence, financially. I bought bigger than what I needed. I bought a 3 bed 2 bath 1500 square foot home for two people. Of course, I bought this house with the main agenda being to one day move out after fixing it up a little bit and turning it into another rental in my portfolio. I bought it on a VA loan though, so it will be 3 years until that happens. In the mean time though, I have a constant debate running through my mind as to whether or not I should try to house hack and get a room mate to help pay for the mortgage on my primary residence. While this is a smart financial move, I love the house, the freedom and the privacy. I wonder, is the extra $600 a month in cashflow worth the headaches? And would it even be wise to get a room mate when I plan on doing new flooring and paint throughout the entire house. Should I get one now to help me pay for these improvements, or should I get the improvements done first and then bring someone in.

In my last primary residence I took on a room mate for about 6 months.  The extra cash was nice, but I feel like our room mate got in the way more than anything and slowed us down on finishing the house.  I keep going back and fourth as to whether it makes sense right now to house hack taking this 3 year timeline into consideration.

I like privacy space and freedom, but I also like cash flow and progress.  What are all of your opinions?  Has anyone else tried to house hack and renovate at the same time?  I am thinking that it might depend on who I get as a room mate whether or not it will make sense.

@Mike Wood The legal description reads as follows, but it is taxed solely under the address of the property.

6 7 8 & 9 *COMB LOTS 8 & 9 HERE FOR 1, Blk: 14, Subd: JOHNSON ADDITION

Based on this, how much do you think it would cost to subdivide into separate taxable lots or has it already been divided?