All Forum Posts by: Blaine Gerick

@Amar Singh , Houston is second in the nation for build to rent properties. There are some benefits and some cons but it continues to grow across the Greater Houston Area. I recommend looking into BTR communities or builders in the area. Don't shy away from smaller cities/towns as they have a lower vacancy and lower purchase prices. The CoC ROI can be comparable to resale but obviously not close to BRRR ROI.

DM me if you want to connect with a builder.
 

@Dylan Eldred, what time is the meetup at Kirby Ice House? I am guessing the one in Upper Kirby and not in Memorial, correct?

Hey y'all, I have a question about Opportunity Zones but I can't find the answer online. I know someone on this forum should have the answer.

To qualify for the benefits of an Opportunity Zone, do you have to finance through a construction loan or can you purchase from a builder using an investment loan? This is assuming original use and a non-cash deal. I understand the entity on the loan has to be a Qualified Opportunity Fund and the real benefits start after year 10.

Hi Cienna! As Cody said, it is slim pickings across the country and especially in Houston. Sub $300K homes that are on-market are going over the appraised value more often than not. In my opinion, that is a sign that no one is making great deals. Not to say investors aren't buying. Instead of cash flow, you could look in developing areas like Rosenberg, Richmond, and Fulshear to name areas I am very familiar with. These areas should give you good appreciation. Some speculate 6-7% ROI in 2021 with the Houston average being mid 4%.

I would recommend looking into building permits from TxDOT and the City of Houston. 99 has environmental approval to be expanded south and the Metro Rail has the potential to be expanded into Sugar Land. 

If you want to discuss what I am seeing in west Houston shoot me a message.

Interested in hearing you guys opinions on induction cooktops. From what I read they are much safer than electric and gas while being more effective (I have never used one). Another plus is that liquids will not burn and scorch to the cooktop since it is not hot. I'm wondering why they have not caught on with homeowners.

Electric or induction (assuming both are similar mid-tier costs)?

John, I would be watchful of how quickly the office space in the Eat River Project will be filled. Houston has an abundance of vacant office space at the moment due to COVID and job loss. If the office space becomes leased quickly that is a good indicator of how strong the rental market will be. I have noticed more people moving to the suburbs since companies are allowing flexible work. In short, keep an eye on it, young professionals still want to live close to nightlife. 

I can't speak much for the suburbs (Katy, Richmond, Cypress) or January but I do know college students that had their start date pushed back to January due to COVID are looking for rentals right now - mostly inside 610. I have a lease listing in Katy right now for a single family home so I will see how strong the interest is. My client had a listing in Lakes of Bella Terra (Richmond) which was leased in under 20 days. Hope this helps!