Looking for properties in around Medical Center Area

[Tochi Ajiwe]

Hey BP family,

My name is Tochi and I am relatively new to BP. I have read so many books and actively listen to BP podcasts and other REI podcasts. I am currently in Dallas but looking to move back to my hometown in Houston Texas to go to school in the medical center. Hoping to house hack and use the savings to invest in another home. and rent that out to other potential students/health professionals in my network. Anybody with any experience in that area (around the medical center) care to shed some light on their experiences both good and bad? Also, I can't seem to get away from HOA fees! Are they very prevalent in homes in that area? Thanks so much!!

[Bart H.]

Originally posted by @Bruce Lynn:

I think this is a good plan if you can find the right house and the right friends that would like to rent a room in an old house.

There are several neighborhoods around the medical center area that are more or less prime for development/redevelopment.

At least 2-3 between HH and I35 and a couple further up HH.  As you mention West Dallas is interesting.  Some of that area south of 35 around Hampton/Inwood used to be very very rough, but it is improving it seems.  Fairly new Charter school is liked by many.  I believe it is Rangers foundation and maybe some other foundation have built the athletic fields around there.  People are focused on the area.  

I think the biggest trick is I never find any really really hungry UTSW students or residents that want to live there yet.  Most seem to be focused around the area in condos/townhomes either renting or buying depending on their finances.  Most seem to focus on Oak Lawn area, but some will venture further out to uptown/downtown/Cedars and even further out for residents to Farmers Branch, Irving, and some other cities.

Bruce, I think the OP was talking about moving back to Houston to go to med school.

As far as living near the Medical district, I have a different take. I have a property near the Medrano school, its been a fantastic place to find med students. We have a large SFH rented to 4 med students and its been a cash cow. 3 years ago we bought at 180K, put in maybe 30K, current appraisal is give or take is $425K, We have refinanced it and gotten all of our initial investment back out of the property. Its cash flowing about $900/month, and we still have the opportunity down the road to rebuild into a multi family property.

 The area from essentially Wycliff to Parkland, HH to Maple, is imo one of the prime locations in all of Dallas. Almost hate to say it, because that's our most active hunting ground.

There were a couple of developers that were buying any empty lot in sight and that drove up the land values substantially.  That I think has subsided somewhat.  

But you see a fair amount of gentrification. Much of the area is zoned MF-2 even thought its SFH. There is massive area that has been bulldozed between Wycliff and Parkland headed up Maple. maybe a 10-15 square block area, and that's going to be built out here shortly. I think if you have a long term time horizon, that area is only going to go up over time.