All Forum Posts by: Sharon Tzib

Hi @Donny Widjaja! I meet all the qualifications you are looking for except #1, but I've been an investor in other states since '02 and work extensively w/ investors in Houston, so that shouldn't matter much. Shoot me a PM and we can go from there. Thanks!

Haha, yes @Dennis Rodriguez, I see that from time to time, but mostly what I'm seeing is the seller's agents creating bidding wars and feeding frenzies by waiting 48-72 hours to present all offers. For some of my W2 clients, this can pose a problem, but that's why I do a lot of evening showings :)

Hey @Brian Pietraszkiewiczand @Tim Shin- I actually have a closing right now in League City for a primary owner occupant with an eye towards turning it into a rental, and I can tell you the competition down there is fierce. There is a distinct lack of inventory in the under $150K market (which is about the sweet spot for rentals), so the minute anything comes on HAR, even if it is in poor condition, it gets swarmed by all buyer types (owner occupants, investors, flippers, etc.). Also, there's lots of flood zones there, which can kill your bottom line. 

Not that I'm not seeing the same type of thing in the NW too. We had a tough time getting outbid when we finally found the house we did for Omer.

Hi @Iris Weeden! Welcome to BP and let me know if I can ever be of assistance to you.

Thanks for the mention @Tim Shin :) I had sent you a PM @Scott Heiman. I live in the Fairfield area of Cypress, so I'm very familiar with the areas you are looking, and if you are thinking of buying with an eye towards turning it into a rental (what I did with my first house as well), then that's a different conversation than just purchasing a home for your family's needs only. Reach out to me any time and I'd be happy to help.

Hey Erick! I sent you a PM.

The 1 or 2% rule is a screening tool only to help you decide if a property is worth a further look or not. You need to know what is reasonable in your area and not get caught up in a number. In Houston, 1% is about as good as you can hope to do in most cases, unless you are buying in sub par areas, and generally you need 20% down to achieve this.

This deal looks weak to me. After you factor in HOA dues (if any), property management, vacancy, maintenance and capex, I think you may be lucky to net $20/month in cash flow. You don't say how much you are putting down, but increasing that amount up to 20% if you haven't already and lengthening the term to 30 years could help improve the cash flow. Most investors I work with like to see between 6-10% coc for their long-term holds.

Also, please be aware that it will take longer to rent a one bath than a two, so pay attention to that vacancy calculation. Good luck!

January 2016 Houston Housing Stats

Houston Real Estate Highlights in January

• Single-family home sales declined 2.1 percent compared to January, marking the fourth consecutive monthly decline;
• Total property sales were unchanged at 4,965 units;
• Total dollar volume was statistically flat at $1.2 billion;
• At 262,663, the single-family home average price reached its highest level ever for a January;
• At $200,000, the single-family home median price also achieved a January high;
• Single-family homes months of inventory climbed to a 3.3-months supply versus 2.5 months a year earlier;
• Townhomes/condominium sales rose 15.6 percent with the average price unchanged at $183,076 and the median price up 2.4 percent to $140,000;
• Leases of single-family homes rose 2.8 percent with rents up 4.2 percent at $1,742;
• Leases of townhomes/condominiums climbed 12.2 percent with rents up fractionally to $1,568.

Welcome to BP @William Patterson!!

No such law at all. I work with a lot of out-of-state investors, and I am one myself as well. Let me know if I can help you in any way.