All Forum Posts 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.

If you are trying to build a portfolio definitely go for owner finance deals that way you actually own the property.  If you are going to try the sandwich lease make sure to read the lease on the rules of subletting.  Also, for that type of deal to work you are going to have to charge more in rent than the landlord is charging you which unless you are going to use a short term lease strategy seems unlikely.

Good luck to you.

@Eden Rock

It is always a good idea to evaluate the highest and best use of a property.  If there is a residence on a heavily trafficked street with commercial properties surrounding it then a commercial space will be the best bet.  Before converting do a thorough rent survey and ensure that there is demand for what you are offering.  In Austin and the surrounding areas there are several types of businesses in old houses, but there are just as many houses being torn down and new commercial spaces being built.

@Vince Light

Everyone above is absolutely correct.  The only thing I can add to the discussion is consider owner financing opportunities.  You may have to make your own deal but they are out there.  Also, the E. Austin opportunity zone is fairly large so don't forget to check out that area. 

Also, you're doing great, you are in a better position than a large portion of the population so pat yourself on the back and decide how you want to take your next step.

@Brian Winters

The deals that you are seeing listed as "cash only" in Houston are listed that way because they don't qualify for conventional financing.  This usually means there are foundation problems, no heat/hvac, they are gutted, or they have extensive flood damage.  In Houston it can be any combination of these factors.  

I agree with the previous responses, your best bet is to purchase a home that does qualify for traditional financing, there are down payment assistance programs available that can help enhance your 10%.  If you look for the ugly duckling, that doesn't have major issues you can still add value.  Since these properties are priced higher than investor pricing but not as high as retail pricing you can get a good deal without much competition.

Good luck on your next adventure.

@Jeanina Bandy

Welcome to the Lone Star State.  San Antonio is a beautiful city with a lot going for it.  You are in an enviable position because you are moving as an owner occupant so you have a lot of options that will work for you because you are not going to be using the expensive money that a lot of investors are forced into.  Also, being a military family you will have access to down payment assistance programs and loans that are not available to the average investor.  That being said, I would follow the standard real estate advice, look for the worst house in the best neighborhood.  I know you said you wanted to be near Ft. Sam but the areas closer to downtown are appreciating faster, but there are good deals all over the city.

Best of luck to you and feel free to contact me directly if I can help in any way.

@Robin Frazier

What you are talking about is a condo scheme. Either that or a partnership or JV. If this is something you'd like to do, it's quite easy and the costs are identical to any other development scheme. There can be cost savings in doing attached units and two-story units or both, but there is nothing unusual in the development.

It sounds like your first step is to find a partner.  You want someone who can bring either funds, experience, or both to the table.  

Joel,

I am a Realtor and also work for a hard money lender that actively works the San Antonio market.  If you are looking for long term investment opportunities in San Antonio, I would look at the opportunity zones.  There are great tax incentives for investors in those areas and the government has expressed interest in gentrifying those zones.  Since this is a long term play for you it is a great option for upgrading existing properties or development.

Welcome, Cory.

I am an agent in Austin but I also work for a hard money lender who specializes in the Austin, Houston and San Antonio market.  If you have potential deals that you are looking at feel free to send me a couple that you have analyzed and I will validate your numbers.

As an agent/investor, I think that what I bring to the table is integrity, I am truly looking out for my client's best interests and not my bottom line, I work harder for my buyers than many agents. I don't just send out the generic list of hot sheets from the MLS that match my clients requirements. I look at every property for it's investment value before I submit it to my client. For instance, I worked with a new investor last week, my initial pass was 277 properties, I whittled that down to 33 that required a closer look, from that I went down to 11 that I analyzed and sent 5 properties on. I believe my job is to analyze the properties otherwise I'm not adding value. I am also a good listener and I try and discern what exactly my client is looking for, are they looking for cash flow, a quick flip, an interesting project and tailor my searches for them.

I find most of my deals on the MLS both as an investor and as an agent. I belong to 3 networking groups and am on the list of several wholesalers. I will also target market for my investor clients to find off market deals in the areas that they are looking for. As a Realtor, I see myself as a wholesaler with access to all of the tools in the toolbox not just one.