All Forum Posts by: Rob Lee

I've seen reports of other markets pulling back or slowing down. Just lost another house to a buyer who offered $50K over asking and gave up everything. If you are trying to buy in DFW you know that this has been going on for months now. The DFW real estate market is NOT slowing down. 

We've owned rental properties since 2013. All of our tenants have had good credit scores. The only time we've had tenants break a lease is during hardship. A serious injury or significant loss. It can happen to anyone. They were both single people without children. Parents are concerned about keeping their kids in school for the full year. We've had the best experience renting to families. Not sure if that helps in your situation. 

Rob

This kind of scenario is why we don't invest in class D. We made a very nice profit selling our class C small multi-family last month after holding it for 3 years. During that time we had more tenant issues than we've ever had with any class A or B single-family home. The thousands of dollars in damage done would have caused a newbie without proper reserves to go broke. There are a lot of ways to invest in real estate. Each investor has to figure out what's right for him/her.

@Cameron Tope

Definitely a lot of people looking to get more for their money. I work with buyers and sellers. Many homeowners have held off on selling because they are not see what they want. New construction is so far behind that builders are taking bids.

In DFW we might be down from 20+ offers to (5-10) per listing.

Hi Ian, My wife is from Chicago. While the two cities are very different DFW has a lot to offer. Are you moving for work? Have you done any research regarding where you want to live? Are you considering other cities? If not, why DFW? More information regarding your plans will make it easier for the BP community to respond.

Rob

House hacking is an excellent idea. We turned our first home into our first rental property. It set the foundation for our financial independence. Even if you choose not to house hack for whatever reason, buy your primary and live in it for a year or 2 with a plan to save for your next down payment. As long as your spouse is onboard keep doing it until you get where you want to go. Each new home becomes a rental until you get tired of moving or reach your goal. Best of luck.

Rob

Get the best property you can afford. Make sure you run the numbers. Remember class A & B neighborhoods are more expensive. Part of the classification is the average income in the area. Our SFHs in class A & B neighborhoods have done well despite the pandemic. My wife and I have never had trouble collecting rent. 

After 3 years, we recently sold a small multifamily in a class C community. Those tenants found it challenging to pay rent on time before COVID. The pandemic only made things worse. Inability to pay is just one issue. Then there are those who choose not to pay and tear up the place & stuff baby wipes down the plumbing before they leave. This kind of damage can destroy the finances of a newbie. We never understood the nightmare landlord stories we heard from former investors until we purchased a class C property. Best of luck.

Rob