I am looing to buy a multi unit, and or SFR property in Houston, clean it up and sell. Does anyone have any thoughts for the Houston market. I have done my research, but am looking for some of the best area in Houston. I live in SF, and this will be a project for my brother and I. Thanks Ryan
Im just curious, are you a seasoned investor yet? Why Houston since you live in SF? Are you moving to Houstion?
There’s a lot of competition in Houston, but it’s a good market for flips. Houston typically doesn’t appreciate as much as Dallas or Austin, but has steady rental opportunities.
Thanks Dee. Im looking for some opportunities for my brother and myself. Trying to get him off the 9-5. A dumb question, but how far away is Austin from Houston? Im coming out for Christmas, so maybe I can take a day, and come to Austin to look at some property. Thanks Ryan
As far as the Houston question, see the post below. My brother lives in Houston, Im trying to get him excited about something with more risk, and a lot more reward. Ryan
Houston does not set up as well for buy fix up and sell as buy fix up and rent. As DeeinAustin said the properties don’t appreciate as fast which affects the sell part. That being said I just finished a rehab that has $40k in it. I bought it and fixed it up for $110k and it appraises for $150k.
Thanks Blue moon.
I was looking at doing something in Montrose. Older homes with character. These properties always seem to do a little better as opposed to the track homes that are som common in Texas, and here in Central California. Do you know anything about Montrose. Thanks Ryan
BIGSFDADDIO Montrose is too rich for me. Over the last 3 years (12/5/2003 12/4/2006) the average days on the market has been 82.21 The average list prices has been $400,404.96 and the average sales price has been $380,848.47 Average square footage 2,250.19 and average price per sqft has been $169.3. Right now the cheapest house for sale in the Montrose area is asking $325k. Montrose is home to young professionals and there is always someone wanting to buy there.
I deal in $75k. I look for houses that are worth $100k fixed up that are for sale for $60k needing $10k for repair. They are generally ugly trash houses. But that is where I have found the distress which is the key to bargains. My houses are generally built between 1975 and 1990 within 5 miles of the beltway. In other words not just track homes, but trashy track homes.
I see you want some real estate action in Austin Texas
THE APPROXIMATE MILEAGE FROM HTX TO ATX TRAVELING ON 290 (DOWNTOWN HTX TO DOWNTOWN ATX) IS 186 MILES. THESE ARE MY ACTUAL MILES DRIVEN FROM CITY 2 CITY.
Thganks for the info. 2thetopyall. Im here in San francisco. I would prefer Austin, but I think Houston is where I’m going to end up doing a deal or two. You can make a nice land fill out of trash…just ask blue moon., 8)
You know here in San Francisco we do a lot of multi family conversion projects. Basically because of the high cost of housing my partners have converted apt. buildings into TIC’s. Teneancy in Common.
I like the idea of converting 4-6 unit rental property in hot area…like Montrose. Buyers can buy a unit in a building with character, but with all new upgrades. Condo conversion essentially. If a young couple can not afford to live in a new SFR, maybe they can afford a newly refurbished Condo in the neighborhood they would like to live in. Just thoughts. I kow it’s a different animal in Texas. ???
Yes BIGSFDADDIO a lot of your professionals do buy condo’s in Montrose. They don’t really want to be out in the suburbs with soccer moms. They want to be where the action is and also close to work. In general these condos are from the mid $170s and up. I have not looked for any deals there; I tend to look where the volume is. I deal with 3-2-2 trash homes built between 1975 and 1980. They are 1500 sqft houses worth about $100k selling for $70k needing about $10k fix up that rent for about $1000/month. I can find them all day. It is so easy to find them even a caveman can do it. I don’t have a caveman, but my 13 year old son found the house I am doing right now. I close on it Jan 4th. It is a 1600 sqft 4-2 1/2 – 2 worth about $125k I offered and the offer was accepted for $99k. It should take $9k to fix it up.
hey Blue moon,
Looks like a lot of effort for 15k, assuming you list the home yourself. You MUST be renting these homes, not selling them…correct? Caveman huh? Hmmm… Well I’’ bring my RE club when I come to visit. ;D
Yes, I am a buy fix up and rent kind of guy.
I really like the Padsadena-Deer Park-La Porte area.
I think it is way undervalued. Just look at the Demographics on city-data.com. I have bought a few homes there and it is a tight rental market as well. Places that I have purchased for $80,000 have been renting for $1000 a month.
jd, do you find your homes on MLS or by driving or some other mechanism?