All Forum Posts by: Hengky Lim

Background: We are out of states investor from CA looking to purchase a multifamily consist of 8 or more units in San Antonio, Texas. We come across two properties in two different locations. 

1. Property #1, location between freeway 13 and 35 on SW military dr. Claimed as nicer neighborhood per seller.

2. Property #2, located between freeway 368 and 410 in Village North, claimed as high rental demand area and lots of retails per seller

Does anyone have any knowledge or familiar with the locality of these locations? And which location will be your preference if you to buy based on locations. We just try not to get ourselves into D neighborhood or area where no pm want to manage it.

Thank you so much for taking your time to read and response to our thread. We appreciate it!

 Wow man, I love your opinion

"In my opinion, the biggest mistake you can make in wealth building is to wait. Sitting on the sidelines is what keeps people from building wealth. Why? Because Time is the magic fairy dust that makes people rich. "

It hold true for properties we bought in the past. We even bought in two properties in Vegas with upcoming market within last month because sitting on the sideline just does not make sense for us no more. The magic fairy dust ~ my daughter love this one lol

I've been to BB for number of times.. almost bought a hotel there. It could be a better investment compared to PS and LA. It is more of a all year round tourists destination compared to PS or LA. However, everyone has they own niche to make money in RE.  Staying focus may help and as long as the deal make sense that it is a good deal than waiting on a sidelines.

Eric = that is awesome very insightful and helpful lay of the land and information based on sfr for newbie like me. Thank you so much!!

Flora = yeah I was very into small multifamily 6 - 20 units at first but really like you said.. less than desirable area and renters demographic. Few brokers told me vet and sec 8 may provide better security in term of paying rents.

Norb = no have not consider Reno. Vegas seem to have more development and jobs in pre covid19.

Kayla = like what you said areas closer to more actions. They told me great for airBnB as well as long as no HoA, and check with city regulations.

so far, visited Vegas twice in the past 2 weeks, putting 6 offers and still looking for deals that make sense. Any advise is much appreciated.

We are looking to buy rental SFR in Las Vegas.

Any property management or real estate agent/broker who can suggest which neighborhood in Southwest or West of Vegas to buy for rental SFR in Las Vegas? Much appreciated!!!

At what price point and rent it will make sense given 40% down? Looking something 500K or lower of course.

Thank you and PM me please.

We have a few properties in LA county with tenants that are renting above 2.6k/month. During these eviction ban, only one of my tenants is moving out end of this year but that is by her choice due to job relocation after she briefly lost her job.  We got another potential tenant signed on a new lease with higher rent to replace her.  We also has a house hack with few rental rooms that filled throughout 2020. Having said all these, I still prefer to invest in the state that more landlord friendly, such as Nevada, Texas, Florida. For us, they have less barrier to entry, at least from price point. Moreover those states have regulations that not just favor tenants.

My thought: from investor POV, eviction ban is always bad if you have bad tenants.

Take away point:  Whether you house hack with room rental, duplex or fourplex, proper screening will be your most important key during this uncertainty.

Hope this help!!

Hi Brett,

$489,000 purchase price + 1% fees/cost = $503,890

$10,000 face lift ~ do you really need this? Seller usually already painted the house, just minor fixes I hope.

$1644.72 mortgage (25% down, and should be able to shop for a 3.25% rate at 30 years fix)

$493 taxes (489000x1.21%), this will only goes up every year. Any Mello Roos?

$175 insurance

$175 HOA

$147.5 vacancy 5% of your rent = (2950x 5%)

$236 maintenance 8% = (2950x8%)

$200/month CapEx for SFH or around 8% for multifamily.

$3071.22 total expenses

$2950 rent? Can you push for 3200k/month? 

Doable if you are in high demand location, manage it yourself, and do some maintenance yourself. You can save money on maintenance and keeping the vacancy very low. If you thinking CapEx, that is more long term and you can use tax benefits to depreciate it over time. You will still benefits from principle paydown and property appreciation over time.

Good luck!!!

Actively looking for small value added MF 6-12 units out of states property, anyone having similar interest or plan? Or we can partner up and go for larger units over 20 doors or less than 100. More doors for scaling.

Also actively looking for deal in Santa Clarita and Palmdale 400-500k. It seem most property listed going out fast & sold over asking. We can make only small +CF on rental or worse break even with risks of overinflated housing price that is due for correction. But hey I am down to partner up and take on good value added properties.

 Shawn,

To me, outskirt of LA areas probably like Antelope Valley, Palmdale, Santa Clarita Valley, and San Bernardino.  Some sources mentioned Chico, Irvine, Santa Clarita, Ontario, Oroville, Roseville, and Chula Vista. Most data is not very accurate given changes due to pandemic.

I personally looking for deals outside LA, outside California now. I am anticipating changes in taxation, housing regulations, and high entry price.  Personally looking at out of state property like in Nevada, Arizona, Texas.

You may want to target a few cities, do some research on it, and talk to local agents to see if it fit your criteria.

I am not familiar with NJ market but I have house hack since 2015 in Los Angeles County, from 300k to over 1m house price range.  The property price here can be very high that house hacking may not even make sense on some property over certain price point.

You are right Shawn:

1. High taxes, many have HoA + Mello Ross on top of usual property tax.

2. High insurance, and it keeps increasing every year.

3. Regulations that favor tenants over landlord.

I do not know when you are moving to LA but I started my house hack on my first property where I was very close to my full time job.  No speculation, basically just got the house that I can afford with my job, then house hack my way out of it. And yeah you going to need a great agent who have your best interest in mind.  He/she can help you get the property that you can afford and make sense to house hack.