All Forum Posts by: John Lawrence

We are in a similar situation, albeit our kids just left the house and we sold to downsize. Going to local higher end apartment in The Woodlands for a while. Market in Texas is hot right now although not as expensive as other areas, yet. I am looking at syndicators to buy into a few MF projects/deals with 120+ units in varying metros with good rent outlooks. I look for COC and value plays for 4-6 year run out on full return. LUINC is a good system to look into if you are in it for the long haul. We currently have about 850 units in passive deals and a few sfr, one office building. Watch your expenses if the funds are part of active income allocation..

Land is still relatively low cost, I can get 3 small lots (4500sf) for under $20k in the city limits, build one home on each at $70/sf, stabilize and then refi.. these are "C" rated areas but very near fastest growing city in Texas.  Our values do not increase quickly but there are plenty of people moving to area. Affordable re-hab projects are getting harder to find due to flooding and increasing values.  Yes turnkey reno's are quicker but usually have more cap ex and maintenance and are typically in higher tax areas (taxes are high down here 0.036 on value so a $150k house pays $450/month in taxes in some areas)  I am more a build and hold for long term cash flow investor.

Absolutely, I am the GC to keep costs down. Texas not too bad for construction cost. I think there is still be stigma about how much building should cost versus pre-2008.  Materials and labor are up but so are $/SF..  thanks for sharing!

Began my goal of building low income housing due to shortage of acceptable units in our area. Will likely build and hold then refi out as they season. Good thing is they will have minimal maintenance for 5-6 years, unless a hurricane hits of course. Any thoughts on this method of investing?

Investment Info:

Office Space commercial investment investment in Spring.

Purchase price: $254,000
Cash invested: $125,000

Office building constructed to house construction operations and lease out old facility.