To Invest in Dallas/Fort Worth Area or Not

[Greg Zabel]

Hi, I'm totally new to the forums but I have been listening to the pod casts for months now and have learned so much. I live in the Sacramento area and have a few rental properties here. Investing out of state seems to be the way to go. I am primarily interested in buy and hold deals, so I want to invest an area that works really well for that. I have always thought the growth in Texas seem very strong, so I am looking there in Dallas/Fort Worth for SFH's that cash flow in the 1% area. What do you think? Am I too late? Are the property taxes just too high to make it a good place to invest? Any advice would help. Thank you.

Greg

[Arlen Chou]

@Account Closed do a search for my previous posts... I have posted details on properties purchased in Mountain View, and in Oakland.  The posts have the purchase prices, rents at time of purchase, new current rents along with appraised values for refinancing purposes.  All of these properties were purchased within the past 5 years.  

But in case you don't feel like doing the search and educating yourself, here are the stats in a nut shell:

1) Mountain View Ca - Two 4plex buildings next to each other. Purchase price $840k each 5/1/13. Rents at purchase approx $900 each.  Refi value as of 2017 = $1.7M each, current rent average $2100 each.  Cheapest multi in this city as of today is $1.85m and that is for a duplex!  I am pretty sure my properties have gone up since my last refi appraisal.

2) North Oakland Ca - 4 condo's, total complex.  Average price per unit $150k each 2/13/15. Rents at purchase approx $600 each.  Current rent average $1375 each.  I have not tried to refi these, so I don't have any hard numbers on value, but the cheapest thing in ALL of Oakland is an undersized lot for $170k, so I am confident that these units are worth double what I paid.

3) Fruitvale District of Oakland Ca - 6 plex. Purchase price $689k 2/25/16. Rents at purchase were near "1% deal".  I have not done any upgrades nor raised rents significantly at this time.  However, the property was refinanced with a value of nearly $1m last year.

In case you don't know this market, I don't need to conceal/carry to any of these buildings.

I also have a small tech business in Plano Texas that has been in operation for 13 years. 

ALL of my initial cash has been pulled out all of my purchase AND as you can imagine they cash flow very well...