All Forum Posts by: Denise Mayo-Walley

Congratulations!!! Sounds very exciting!!

Would you mind sharing how you found your deal?

Hello everyone,

I currently own 2 rental properties in Houston and I am REALLY ready to accelerate my real estate investing. My first two properties were purchased from the MLS and both cashflow and have caused me minimal issues. Since I acquired my last property it has become increasingly more difficult to find properties on the MLS that meet the 1% rule and even those who do not meet the 1% rule fly off the market in lower price ranges.

My Realtor, who I met on BP, advised that I need to increase my price range in order to really have a chance since there are lots of cash buyers purchasing homes in my former target range (<$125k). It quickly became apparent that at a higher price range, and with  my goals of acquiring many more properties, the recommended approach would require a lot of capital for downpayments.

I have done some research and feel that using the BRRR approach could help me reach my goals of acquiring 2 properties per year. I have good credit and make great income and therefore am very creditworthy. I need a mentor who has used this strategy in the Houston area and is willing to share their knowledge with me. I have read many articles about hard money vs private money and refinancing with local vs large banks but I still have questions.

I'm super determined and would love to pick someone's brain in person - maybe at a meetup/networking event to get started!

awesome and inspiring! Can you share how you plan on refinancing? Small local bank? Large bank?

I will definitely be following his thread. Looking at properties on the MLS and using Zillow and Redfin to see comp rents, I'm seeing less and less 1.2% opportunities. I've been outbid on properties that were at 1.0% and I offered over asking. Of note, some of the comps had been cash purchases. But, perhaps I'm missing something because I get keyword alerts related to out of state investors eager to invest in Houston like there are deals all over the place.

I've made my own conclusion that in order to get that 1.2% I may have to do the BRRR method which I was trying to avoid.

Good luck out there!

@Ricardo Murph II - Thanks for the response. I have access to a line of credit using my investments as leverage and also I have a HELOC I can use if needed. The cash option may just be the best way for me to go.

I look through the homepath.com on occasion and in Fort Bend County there tend to be expensive properties, meaning >$150,000. I may have to extend my HUD search more up north.

@Dennis Rodriguez - I am starting to agree with you.  I made an offer on what would have made a great rental and even though it was above market value with a shorter option period, more in earnest money and a letter showing the strength of my financing, they received a higher offer. I crossed my fingers and prayed and didn't get it. :-(  I'll keep trying!

@Tim Shin

Congratulations on ramping up your goals with the wife's support. I'm here in the Houston area and ready to ramp up as well. As of late I find myself having to brainstorm about ways to acquire my next property. I have 2 properties in the SW neighborhood with the last being purchased less than 1 year ago.  Despite what some may have thought the home prices continue to increase here despite low oil prices and lay offs. Prices have increased by almost $25k in just that one year.  Homes listed in that area are now out of my price range based on the returns. It seems that the rents have not increased with the property values.

I read through the thread and part of my strategy was going up to Humble or Spring because that's where all the prices within my range tend to be.  Unfortunately I live in Sugar Land so that is quite a hike, but I gotta do what I gotta do.

It is crazy how quickly homes fly off the market these days! I made an offer last week and it was above the price/sqft of the comps from the last 3 months and the seller, who was an investor, accepted another offer.  Within 1 day of being on the market they had multiple offers even though it was priced above market value. Things may be difficult but not impossible - we'll have to find ways to find good deals.

Good luck!

I ❤️ It!!! Networking at its finest. Good luck guys on your steps toward success!

Hello BP Community! 

BP is an absolute godsend and has helped make the purchase of my first 2 properties over a year and a half as painless as possible. My properties are located in Houston, TX and were purchased for $98,500 and $100,000 with both being rented for $1,200. 

I have that urge again to purchase a property and have taken action towards doing just that meaning I got preapproved for a 30-year fixed rate loan and I have been in communication with my Realtor.  HOWEVER, I would really like to that 'You make your money when you buy' saying into practice.  While my 2 properties cash flow every month, I would like to find DEALS, not just a cash flowing rental property.  

I get emails from all sorts of wholesalers with some having decent prices and others properties being advertised simply not meeting my criteria and I have convinced myself that I may have to do more rehab than I wanted to do previously. Also, It seems as if the properties that could potentially be good deals can only be purchased with hard money, cash or approved lines of credit. And I'm quite sure by the time the property list gets to little ol' me the good deals have already been taken. How are my fellow semi-newbies faring with finding decent deals with these limitations? Are you all using hard money loans to do the BRRRR approach to take advantage of better deals?

Your input is greatly appreciated!