All Forum Posts by: Kevin Bazazzadeh

Hi @Amna Khan is it more so that you can't find a house in a nice neighborhood with that budget, or you can't find a house in a nice neighborhood that meets a certain investment criteria you have? I think you can get help finding an area that is nice with that budget. Now, depending on what your targeting for your cash flow or COC that area may not work.

@Tony Nubis great! Look forward to meeting you. 

Attention real estate investors in Houston! Join us at a new meetup in the Houston Heights that will be held on the first Wednesday of each month. Each meeting will feature a talk from different real estate investors and professionals in the Houston market with no sales pitches. This month our speaker is local investor Todd Gaspard. Todd currently owns 13 doors in a mix of single-family and small multifamily and is continuing to grow his portfolio buying on and off-market properties. He will be sharing valuable insights and strategies that have helped him succeed as a real estate investor in the Houston area. Whether you're a seasoned pro or just starting out this is an opportunity to learn, network, and grow with other like-minded individuals. Mark your calendar for March 1st at 6:30 pm and be sure to come out. 

See you there!

Hey Lisa, make sure you are in the Houston Real Estate Investors FB group as a starting point - people post off-market properties in there all the time. Other than that you can start networking with people who could send you deals, or do marketing to generate your own leads...although that is a lot more work than most people realize and I wouldn't recommend doing that to start.

Hey @Eddie Delaney that is really impressive. Also, the timing for purchase and sale probably couldn’t have been any more perfect!

On a side note, I had connected with Christine Plum in ‘21 about contracting her to build a “tiny house” down in Galveston (she was too busy at the time) however she threw out your name that you were doing a development down in Galveston with several similar style houses. I would love to hear how that project turned out.

Congrats on starting off the new year with a contract! Are you buying in Galveston?

Just re-signed a lease with my tenants with a 5.3% rent increase. No additional cash in my pocket, but keeps up with my property tax increase from last year.

Hi Ashley,

One thing to note as you are looking at deals is that Houston isn’t a high cash-flow market, however, we aren’t a pure appreciation market either. This ends up making Houston a great area to invest as you can get properties that pay for themselves or give you a little cash flow and over time the appreciation gives you additional equity over just the loan pay down.

To set expectations - it is unlikely that you are going to buy a single-family property that will cash flow more than $100-200/mo (probably even lower in the interim with rates being so high) on a long-term rental unless you are going to buy in a rougher part of town or you are going to put down more money to get a lower LTV mortgage. The thing most people miss that are from out of state is that our property taxes are over 2%, which with our median sales price in Houston being around $300K would equate to ~$6K/year or $500/mo. A similar house in a city/state with 1% property taxes for example would be at $250/mo which would give a much higher $350-$450/mo cash flow.

@Tushar P. I think you may have misunderstood what I said in that post. I never mentioned anything about it being common place for builders to dissolve an LLC soon after the sale to get out of a warranty. The builder did close up and reform as a new entity, but this was many years after it was built (house built in 2004, I bought it in 2011, found issues in 2015).

@Richard W. some of the areas you are considering are in opportunity zones. I don’t know if I would buy specifically for the opportunity zone, but if it is somewhere you are already looking, and you are planning to hold at least 5 years, it makes sense as a bonus because of taxes.

https://www.houstontx.gov/ecodev/opportunity-zones_concept.html

@Tushar P. the inspector that did my house mentioned he had done several of that type, and found issues in the design. Many were in the Cottage Grove area. He was knowledgeable, and a nice guy in general. If you want his contact info, he would probably be willing to share some insight as to some type of houses to look out for. Let me know, and I can message you his info.