All Forum Posts by: Account Closed

@Greg H. Interesting! Since this is the case, how are firms able to collect pre-foreclosure data in Texas? My goal is to target folks in pre-foreclosure in a specific area I am interested in and I would hate to use a list broker if their data is not accurate or correct at all. 

I am in Texas and have been hitting up specific County Records online and am able to find foreclose information but no 'Notice of Default' information. Is it possible these are referred to by different terms? Google yields no answers. Thanks!

Run, Run far far away. Just by looking at that house you can tell it is pretty much a rebuild. You need all new siding, a new roof, new windows - you are looking at $20-25k on the outside ALONE. Unless that house can sell for $150 after rehab then you should run away. Your first project should not be so complicated nor should the margin be so tight that you could use money. Also, there is no such thing as a free lunch, no one gives anyone $20k that easily. 

@Andrew Ramler, You are correct. I was mistakenly assuming there was a FHA mortgage involved, in which case my understanding is you have to occupy the property 60 days after closing and can only convert to a rental after 1 year of living in it as a primary residence. My wife and I had an FHA home we converted to a Rental so we had to look into it further to make sure there were no legal ramifications.

Hey @Chris Bounds, I am in the Houston area and just starting out. I have seen several Real Estate Investment Clubs in Houston but a lot of them seem questionable as to their authenticity online. Are there any that you can recommend personally? I'm in the Sugarland/Missouri City are so something closer is a plus. thanks! 

No you cannot. There are also other implications of turning a primary residence into a rental. I am not a lawyer, but my understanding is that one your HUD (at closing) you state this will be your primary residence. Therefore, if you turn it into a rental, there must be a process to change this (refinance?). Also, filing homestead on a property you do not actually live in can be considered Fraud if the intent is there and can lead to hefty fines most likely. Better to play it safe. Besides, all additional costs (sans mortgage principal) can usually be treated as expenses against income.

@Hersh M. I am also in Houston and would be interested in knowing which nooks are up and coming. I was too young to take advantage of the Heights explosion as well as the post-crash explosion in midtown. I remember when Garden Oaks began to become big but I missed out on that opportunity too. I am more interested in areas that are not on the mainstream radar right now but are promising areas in the next 3-5 years. It would be wise to acquire undervalued rentals in these areas and rent/hold until prices increase.

My thoughts are, pretty much anywhere within the 610 loop and close to a major freeway will be big in the coming decade as more people migrate to Houston. I am personally curious as to what will become of the area just north of downtown between I-45 and US 59 (Northside Village) as I suspect many people wanting to be in the heights will settle just to the east.

Another area of interest is the properties located just east of 288 between 288 and the University of Houston. It is pretty bad in the area now BUT there is hope; I've seen brand new townhouse complexes in the $350s and up erecting just along or a block away from 288 on the east side which is a first! Only problem is a lot of properties over there are not conducive to renting and would be better as buy and hold. 

Hi Tom,

I am from Houston Texas and wanted to inform you that the majority of properties in the area you are interested in are very expensive. However, there is a light rail that runs north/south through the Medical Center. Perhaps you could find less expensive properties along that route - even some SFH. The light rail runs straight through the med center. Good Luck!

In the spirit of the 2% rule, let's say I found a property with a rental rate of $1,400/month, appraised at $125,000 and selling for $97,500. Since the loan to value ratio presents natural equity in the deal at 78%, will Lenders (or a specific type of lender) consider this and not require any loan down payment assuming the borrower has excellent credit? I am very curious as to how this would work. Thanks!