Waco Texas Four Unit

[Benjamin Bennett]

Hey BP,

I am interested to hear from any investors in the Waco area who may want to offer their opinion on this deal. I have been brought a deal in the Sanger Heights neighborhood consisting of 4 total units:

- 1x SFH, 2200 sqft, 4/2, built in 1916 with an 800 sqft granny flat behind.

- 1x SFH, 800 sqft, 3/1, built in 1946 also with an 800 sqft granny flat behind.

All properties are in decent livable shape. 

Seller is asking $250K for all 4. Rent for all 4 units is currently below fair market at $2650. I'm seeing a huge spread in prices among comps in this area and am interested to see what some of you may valuate this at. Additionally I'd like to hear input on owning rental properties built in the early 1900s. 

Thanks in advance,

Benjamin Bennett

[Pete Harper]

@Benjamin Bennett Personally I would be weary of any 19th century properties in Waco. I’ve looked at a couple. I’d have to look closer at the neighborhood but generally these are in the older section of town. You have to be within 10 blocks of Baylor to attract students. Generally speaking older homes are not that popular in Texas; Waco Chip and Joanna factor not withstanding.

Get a good home inspection. Anything that old will have termites. In Texas it’s not if you have termites but when.