All Forum Posts by: Hector Perez

Hello,

I have a lead that came today from La Porte , TX close to Houston, and before I go to meeting, I would like to know if this could be a deal or not to wholesale

Sale Price to investor: $67,000

Repairs $3,000

Rental estimate: $1,000

No HOA

Annual Taxes + Insurance = $2,300

House built in 1940, 3 BE, 1BA

I appreciate your comments

@Account Closed

What is the minimun ROI that you are looking for?

Tom Goans Thanks for your reply. I totally understand your point of view. Thank you for taking the time to write on this post.

If you dont mind sharing, What are your minimum standards or rule of dumb to determine if a property is worth doing more due diligence or not?

Jeremiah B. Thanks for sharing yout thoughts. This property has a 14.5% COC and it's almost next door to Vintage Park an upcomming area in Northwest Houston with good appreciation potential. But as you and others have mentioned, you can get a deal like this on the MLS.

This has been a great response from all of you and I will be looking for 20%+ COC in the next deals I present

David Jackson, Al Bunch, and Tom Goans

Thanks for your honesty, this will help me be a better wholesaler. My ultimate goal is to present great investments not crappy ones just like this one.

But in order to be better and present great cash flow deals. I need to know what a good cash flow deal looks like.

From your perspective what are the minimun standards that investors are looking for a buy and hold single family properties

1) minimum COC return
2) minimun Cash Flow
3) minimum Equity

Or any other metrics that you may suggest

I appreciate your comments

David Jackson Thanks for the feedback. Just one question, what are you referring when you mentioned a 1.3 and 1.2? Can you explain a bit more?

Al Bunch Thanks for your comments. What is the minimum cash flow that you are looking in a deal?

Al Bunch Hi,

You are right on the spot, my estimated numbers are $285/month

Is this a good deal or not?

Thanks

Hello Lashinda, we are in the same boat.

I have used the same formula 70% - repairs - fee to wholesale a deal for rehabbers, but recently I have heard people saying that the Buy and Hold Investors will pay more for a property, because they just focus on the cash flow and future appreciation

This housae was not a good rehab deal, because owner has a $95,000 mortgage, but in terms of cash flow, it was not bad.

I just dont understand.

Good luck selling your property too

Hello BP

Got this property under contract in Houston. The property is located in a nice area in the Northwest. I originally thought that it was a nice investment property for a Buy and Hold Investor but when I sent it to my list of buyer and then post it on BP, and craiglist as my last alternative, I didnt get any replies.

Could you provide some feedback? This will make me a better wholesaler and bring great deals instead of crappy ones.

ARV=$115K

Sale Price= $101K

less My wholesale fee = $3,000

Equal = Contract price = $98,000

Mortgage amount from seller = $95,000

Estimated Monthly rental rate = $1,300

Estimated Expenses (taxes, insurance, maintenance, advertising, management fee, and HOA) = $490

6 year old roof, house built in 1995, 1489 sqft

I appreciate your feedback.

Sorry for the Title of the post. it was supposed to be " Cash Flow analysis for a rental property"

Just wanted to say Thank you for all your feedback.

Seller changed his mind and wanted a higher price. He had other investors looking at the property over the weekend so he didnt want to commit.

Deal is not dead yet. If something changes I will let you know

Cash Flow Property - Northwest Houston

3 bedroom, 2 bath,
9515 Tallow Tree

Houston, TX 77070

Built in 1995, 1489 Sq. Feet, 6 yr old roof, minor cosmetic repairs, HOA subdivision

ARV= $115, 000

Purchase Price = $101,000

Monthly Rent = $1,300

Estimated repairs = $3,000-$5,000

Click this link to see over 70 pictures (click here)

Realtor's add whatever fee you'd like.

Call NOW 281-215-3373 - if you would like to know about this deal