Houston, TX 2-4 Unit Multi-Family

[Stefan Stankovic]

Hello All. I'm an avid listener of the BiggerPockets podcast and figure I've been missing chances for good insight on the forums too, so here goes my first post!

My partner and I are getting pre-approved for a 203(k) rehab loan here in Houston, TX this week and are interested in a small multi-family that needs a bit of TLC as a BRRRR investment. I'm hoping we get approved for anywhere from $250K-$400k, so we are looking at 2-4 units. I have a some questions about three separate areas:

1. Did we miss the opportunity to invest in EaDo, as I see posts from even a year or more ago saying prices were rising quickly? This seems to be the case from the searching I've done. 

2. I just drove around third ward, in between Southmore and Blodgett perpendicular to Scott St., and it honestly looks kinda rough. Got some bad looks from a few people, but driving just two minutes further I was in a nicer part of the neighborhood. Talked to a couple people in front of their homes, and they called it the next Heights. I hope this is the case.

3. I'm thinking so far that my best bet might be Fifth Ward near Old Spanish Trail, only a few minutes drive from Third Ward. I like the idea of student rentals in Third and Fifth Ward, but UH and Texas Southern University are both predominantly commuter schools, so I'd hate to have units sitting for months. 

I hope these questions are specific enough, and I look forward to any insight. Thanks in advance!!