Suggestions on good areas in Houston for cashflow

Suggestions on good areas in Houston for cashflow

CA · Member since 2018 · 32 posts · 2 votes

Right now I am looking at zip 77026. Is that good one? Anyone with experience in investing in Houston or in that zip specifically? Suggestions where to invest for an out of state investor? Any recommendations for investor friendly realtor and property management company in Houston?  Thanks much in advance.

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Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
7y
Originally posted by @Deepak Kumar:

Right now I am looking at zip 77026. Is that good one? Anyone with experience in investing in Houston or in that zip specifically? Suggestions where to invest for an out of state investor? Any recommendations for investor friendly realtor and property management company in Houston?  Thanks much in advance.

Bad area. But at least it’s inside the loop and near downtown. It’ll be an area that improves. Just won’t be overnight. I’d rather buy a bad area near town then a better area in BFE .

but that’s me  

I own 4 apt buildings in that same zip and tons more to the south. It’s rough. But if you buy right they work. Last one I bought was a 32 unit. Paid $690k. They rent for about $575. So plenty of cash flow if you don’t overpay. 

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  • Investor · Tarzana CA and Houston, TX · Member since 2015 · 326 posts · 130 votes
    7y

    this is very much a class d or c- area. 

  • Rental Property Investor · Houston, TX · Member since 2018 · 174 posts · 100 votes
    7y
    Originally posted by @Deepak Kumar:

    Right now I am looking at zip 77026. Is that good one? Anyone with experience in investing in Houston or in that zip specifically? Suggestions where to invest for an out of state investor? Any recommendations for investor friendly realtor and property management company in Houston?  Thanks much in advance.

    It’s a D - transitioning to a C and is turning (gentrifying ) over pretty fast. Eventually in 5-7 years it could be a solid C, maybe a even a low  B one day. I’m doing a major flip in the area and will build for sure 1 more single family new build and potentially 2 duplexes. New builds going up everywhere 150-230k range. 

    Depends on your play in this area. If your trying to do a nicer flip or sfh rental it can def work at a lower price point than area B/C hoods. 

    Even a duplex can work. Yes you’ll for sure have to screen tenants. Several peeps renting section 8. Some nice new section 8, some not but many are renting top of this areas market $1300-1400. 

    If your trying to buy an old apt complex in the area full of 1/1s then that’ll be def more headache and potential war zone threat. 

    PM me I know the area very well. 

  • Steve RozenbergPro Member
    Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
    7y

    @Deepak Kumar

    We manage about 1000 properties in Houston & DFW

    When you say cashflow properties that is very vague.. what price range, what amount of cashflow/ return are you looking for?

    Also what is your hold time and exit strategy on these?

    We help a lot of people find and buy deals and I would suggest defining this a bit more of your not sure

  • Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
    7y
    Originally posted by @Deepak Kumar:

    Right now I am looking at zip 77026. Is that good one? Anyone with experience in investing in Houston or in that zip specifically? Suggestions where to invest for an out of state investor? Any recommendations for investor friendly realtor and property management company in Houston?  Thanks much in advance.

    Bad area. But at least it’s inside the loop and near downtown. It’ll be an area that improves. Just won’t be overnight. I’d rather buy a bad area near town then a better area in BFE .

    but that’s me  

    I own 4 apt buildings in that same zip and tons more to the south. It’s rough. But if you buy right they work. Last one I bought was a 32 unit. Paid $690k. They rent for about $575. So plenty of cash flow if you don’t overpay. 

  • CA · Member since 2018 · 32 posts · 2 votes
    7y

    Thanks @Alex J.

    Thanks @Ryan Johnson, this one I am looking at is a 4-plex. Surely will PM you.

    Thanks @Steve Rozenberg, I am more interested in cashflow and want to hold long term 5-10 or maybe 20 years. Something which can generate at least 17% (higher always better) pure CoC ROI (i.e. without considering principle reduction etc.).

    Thanks @Cody L. that makes sense. That 32 units deal sounds great CoC ROI. Did you find it online (e.g. loopnet.com)? In general, is loopnet.com the right place to look for deals?

  • Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
    7y
    Originally posted by @Deepak Kumar:

    Thanks @Alex J.

    Thanks @Ryan Johnson, this one I am looking at is a 4-plex. Surely will PM you.

    Thanks @Steve Rozenberg, I am more interested in cashflow and want to hold long term 5-10 or maybe 20 years. Something which can generate at least 17% (higher always better) pure CoC ROI (i.e. without considering principle reduction etc.).

    Thanks @Cody L. that makes sense. That 32 units deal sounds great CoC ROI. Did you find it online (e.g. loopnet.com)? In general, is loopnet.com the right place to look for deals?

     I’ve answered my thoughts on finding deals enough where rather than type it again I’ll write it on a site and link 

    But yes. I’ve bought plenty on loopnet. Until you have strong broker relationship loopnet is your best best. If someone says “loopnet sucks” ask what site is better

    I just bought a downtown property on loopnet for 2.1m. Put in 600k. Was offered $5m. So tell me again how bad loopnet is. 

  • CA · Member since 2018 · 32 posts · 2 votes
    7y

    Thanks @Cody L., that would be great. Looking forward to the link to your site.

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