All Forum Posts by: Jacob Pereira

Look at your bylaws. Usually voting rights are assigned by units owned or sqft, but it'll say it in there somewhere. Assuming that's the case, you'll have equal voting rights. There will probably also be something in there about what happens in the event of a locked vote.

Good luck!

I'm in Austin (Marine vet, btw), and I get constant questions about investing in Killeen. I usually advise against it, because the low rents don't make it viable for out-of-town investing, but with you being in town, and with access to the VA loan, it just might work for you. Just make sure you're not just picking up a second, $10 an hour gig when you buy. Next time you're in Austin, feel free to reach out and we can have a drink or a coffee and discuss further.

By multifamily do you mean apartment complexes? Or are you talking 2-4 unit buildings? If it's the latter, I wouldn't say that I specialize in those, but I have worked with a fair number of clients looking for that kind of asset. I also own a few fourplexes and duplexes. If you're looking for larger buildings, there's another agent I can refer you to who works exclusively in med-large apartments. Let me know if I can help.

At 800k you'll be fine buying in Austin. I'm kicking myself now for using my VA on a duplex instead of a fourplex, but I now also own a few fourplexes in Austin that cost under 500k.

I always upvote @david ivy posts

Hi @Shuang W., I personally try not to allow appreciation color my analysis too much because it's so speculative, but yes, I suspect appreciation will continue to be much slower there than here for the foreseeable future. I specifically mentioned Manor and Buda because @Victor Whitney was looking for cheaper properties, and while they're not as cheap as Killeen, they certainly are cheaper than the Austin area. 

If I had to speculate on appreciation in Manor, I see a few warring forces. You're absolutely right that there is still tons of land out there which will keep a little bit of control on pricing, but its proximity to job centers in Austin will more than offset that, in my opinion. Looking at the numbers, it looks like the median single family house price in 2014 was just above $150k and now it's just topping 200k, which in percentage terms is actually a higher growth rate than Austin. This makes a lot of sense to me, because that's a price point that many first-time buyers are looking into, as well as what I mentioned above.

What makes you interested in Manor?

Every couple months an Austin investor posts something like this about Killeen. I'll admit that I've been tempted by the low prices as well. The biggest problem, in my view, is that no decent property management company will service these places unless you're willing to pay a much larger percentage of gross rents (in other words, it's not worth their time to manage your property for, say, 10% of your $800 rent). Trying to manage it yourself means you've just picked up a less-than-minimum wage job.

On top of that, many things just cost what they cost. A new roof, AC, foundation work, etc. Will eat up many years of rent on those places in one go. 

I'm still finding occasional deals in the Austin area (although they're getting rarer). Have you considered looking in places like Manor and Buda?

I second @johnathan Greene. The big problem you're going to run into with an experienced agent, though, is that they might not want to waste their time with you, unless you can convince them you're serious. 

When I had less experience I took on a few kids who wanted to be investors, but they just wanted me to put in low-ball offers that would never be accepted. That said, if you just want to meet for coffee or a beer, I'd be happy to answer your questions in more detail.

In Austin look at fourplexes on the east side. There are still plenty out there that cashflow, although they're gradually getting rarer.

Looks like you're going to buy lots of beers for people. I'd be happy to meet up as well if you're interested. I've actually made a few friends off of BP, and two people with whom I do hard money deals now. A little about myself: I own 16 units in Austin, mostly in duplexes and fourplexes, I'm 38 and a Realtor. Earlier in my career I was a US Marine and a data scientist.