Killeen, TX. Would You Invest here?

[Taylor Patterson]

Would you invest in Killeen, TX? Why or why not? If so, what type of property would you purchase?

[Jason Hill]

you should connect with bryan Adams here on BP hes from killeen hes a realtor who also invest in and around killeen I think he dose buy and hold on mfr. Hope this helps.

[Josiah Cammer]

Hey Craig, Killeen has been cash flowing machine for my Investors and many others over the pass several years and in my opinion will continue to do so. I think adding value to multi MF units is a great buy and hold play. The reason being is a little rehab goes long way as long as you don’t get too fancy. You can easily bump your avg monthly rents in MF from low $400’s to mid $500’s just by adding minimal cosmetic updates. The key is doing as each tenant leaves and not over doing it on price. You don’t want to spend too much on your rehab because you’re not going to get too much more than $600 monthly (Generally speaking) without pricing yourself out of the market. 

When comparing MF to single SFR generally you will get well over the 1% rule with MF, and with SFR you tend to get right around the 1%.

[Justin R.]

Make sure you underwrite for the high property tax rates. Although I have never owned any homes in the Killeen area, I have had SFD's in other regions of Texas, and the taxes hurt. There are no state income taxes in Texas, so they make it up in property tax......Especially with non-homesteader's (investors).

Be advised, most areas of TX the property taxes get reappraised every year. This means your tax bill could go up 15 percent the year you purchase, regardless of rental increases.

[Eric Barnett]

I have multis in Killeen and they cash flow great. Once you take over a building getting the right tenants in place and updating accordingly is key. I've found that a lot of properties are mismanaged resulting in deals to be found. Good Luck!

PM if you'd like to try and meet up sometime, I live in Austin but am in Killeen once a month or so.

[Danny Webber]

Killeen is a unique market like all of them. As long as your strategy is good you will win there. I've had mostly winners and a couple of 2nd base hits..

[Account Closed]

@Taylor Patterson I would recommend you buy in a less deployable base. I only do military rentals and I have found the Fort Hood is good, but there are many other installations that yield higher results. I have a few different bases I work with if your interested in a list of military installations that you can thrive in and make the most cash back on your investment.  

[James Miller]

Major risk to investing in Killeen is if the Army base there downsizes or closes. It's one of the largest in the country so a downsize is an actual possibility.