All Forum Posts by: Saud Alduweesh
Saud Alduweesh has started 1 posts and replied 9 times.
Originally posted by @Luciano A.:
If you choose to go all cash make sure you have good insurance protection. Also stay under $200k for rental. Suburbs have cheaper prices than inside the loop but the school taxes/HOA can eat up alot of the cash flow. Buying new is not always a great idea because the cash flow can be whipped out once tax office reassess your property so be careful of that when you are evaluating a property. And look at Flood Map.
If you wanted new so you dont have to have CapX for a couple of years then look at properties going up on 290 (Cypress/Hockley/Waller) or 288 south. Both are booming and new subdivisions are popping up. Make sure to have a great investor mindset realtor.
Best of Luck
Thanks. From what I read I think most of you guys prefer a non cash investement for single family home.
I do agree on your point regarding the booming suburbs I liked the new subdivisions in Katy & the north. Though the ROI are not so attractive because the rent average is less than 1%.
I was told the tax would go down with time as the subdivision infrastructure would be completed but from what you said it seems it will increase?
Originally posted by @Wale Lawal:
From what i can understand @Saud Alduweesh need a consistent return on any Real Estate Investment preferably 8-12% ROI with hassle free. He also want all the financial and tax advantages that comes with owning a real estate property.
That is why his asking for recommendation on reliable builders, suitable locations, and property type. It also seems like he will not manage the property himself. Maybe he has a family member or long time business partner to manage it.
@Saud Alduweesh I will strongly suggest you write a business plan that will clearly define your long and short term goals. Goals like your preferred ROI, What you can do and can not do, Risk Tolerance etc. You can do this with the help of an Experience Real Estate Investor/Adviser. There are so many ways to invest in Real Estate without any hassle, you just have to narrow down your niche and still to what you are comfortable doing
@Adriel Hsu has a valid point but without completely understanding his goals and fear/challenges, the advise may not be the best for him.
Goodluck
Thanks! Yes I will be overseas and visiting once or so annually. That said I'm not living in the states so I don't think I will benifit from any tax advantages with owning a property.
Can you please give your best examples of such real estate investement with less hassle?
Originally posted by @Adriel Hsu:
@Saud Alduweesh If you are out of country, you might be better off investing that $200,000 in several multifamily syndications in the Houston area.
It will be completely passive for you and your returns would be decent still. 8% preferred with 14-18% IRR after sale or refinance.
Even if you bought a single family with property manager, you still have to manage the manager.
So by property syndicate you mean something like real state fund?
What would be a good company to approach for such options?
I think this method is better than a single property investement wise.
Yeah that's right.
I did found few good options but with all the fees and management fees it doesn't sound as attractive!
Originally posted by @Tamara Deering:
If you are planning on investing in Houston, stick to the inner loop. Also make sure you review the flood maps. I would strongly suggest avoiding areas/properties that have flooded before due to hidden mold issues and the cost of flood insurance.
Thank you.
We are deviating from topic a bit, I wanted good locations and recommended builders.
I know other investement option exist but I want a property investement now.
Originally posted by @Tushar P.:
Why buy with cash? The opportunity cost will be very high and the cash on cash return very low. Is it to ensure that cash flow is positive? If yes, then might as well put the money in REITs which will provide diversification, liquidity, and a steady cash flow of 5-6% with zero effort.
Because I want to avoid loans.
What is REITS can you please give examples? I googled it but I want to understand from you why you think it will be better investment
Originally posted by @Ryan Johnson:
If you have 200k cash to invest invest in a bigger property or several sfh deals. No need to drop it all on one house unless you are brrrr ing something
Bigger property means more money required and thus morgage/loan which I don't want to because I live overseas.
Do you think it is still a better approach than cash?
Also do you think with this budget I will have better CAP / ROI with multiple sfh over one house?
I'm new to this territory and have no experience :)
Hello all!
I'm considering a cash deal to buy a house and lease it. Budget $200K.
I've seen some turnkey options in the north and some existing options in the inner loop, but being my first time exploring this market I want to learn few insights from established people.
What location, type of house, and builder is recommended?