All Forum Posts by: Hil Hernandez

Hi Maryann, if you are looking in Richmond, TX the county assessor has a site at: http://www.fbcad.org/. I agree with Jessica, lock boxes typically indicate property is under contract. Good luck...

Daryl, Brian has very eloquently summarized the Killeen area. We "flip" in Southern California and it's very difficult to compete with investors that can purchase a 500K property all cash while we may have to use hard money to finance. Competition is also fierce, so this narrows the margins between purchase and ARV, our book numbers just don't competitively qualify a property with investors paying cash.

You could consider a buy and hold strategy. We accidentally started this process a couple of years ago and now have several rentals with good cash flow in Killeen.

@Brian Adams, thanks for the link. @Daryl Frazier, this is a great resource. We have a Willowbend Esates rental property that was originally purchased as a "flip", but took 9+ months with little activity before making the decision to rent. After analyzing the numbers from a rental perspective, it made sense to keep it, so now it's a good cash flow property in our portfolio.

Hello Daryl,

I agree with @David Ivy, carefully cost out your property taxes, insurance, utilities and cost of money, also cushion your budget with a 10-15% contingency on hold costs. In addition to no pre-payment penalty, also try to secure your loan with an additional 3-6 months at no cost. Certain hard money lenders will lend on a fixed time frame and charge additional points if your property has not sold and you need extra time to close a sale.

We have several rentals in the Killeen area, but never turned one for sale. We "flip" in Southern California and homes sell relatively very quick here when priced properly. Maybe @David Ivy can help with average hold time in specific zip codes in Killeen?

Good luck with your project!

Thanks @Travis Beehler! Yes, that is a very common issue. I like your approach and aggressive effort to accomplish your goal. While we're in southern California, currently looking for a similar lender in Central Texas to finance <$50K rentals. We have been doing all cash, currently hold 2 SFR's and 1 duplex that we purchased last year and now looking for blanket loans at competitive rates.

Good luck with your current and future acquisitions, you found a process that works...

Congratulations Travis, you are so accurate when you say, stick to your vision. Do not let negative hurdles get in your way and perseverance will prevail! Did you find it difficult to locate the lender and obtain a loan of $33K, even with the 30% down?

Keep up the good work!

Hello Melissa, Congratulations on your first deal! I rehab homes in Southern California, and we have 3 different teams; licensed contractor, handy man and licensed contractor that specializes on fire damaged properties. They all source materials and supplies from very competitive wholesale warehouses; substantially less expensive than your average retailer. If you don't have a current contractor, I would drive around and identify current rehab projects while introducing yourself to the contractor/handy man and examine their work in process. Let them know your profession and explain that you have a project that needs a competitive estimate. Check out several, and interview them carefully, this can be a very challenging part of your project and every dollar you save is a dollar earned. I wish you success with your current and future projects! 

My brother and I have rentals in Killeen with great cash flow, great area for <30K investments. Just make sure you complete your due diligence on every property you analyze and don't hesitate about moving quickly on a good opportunity. Good luck to you!

Hi Constance,

Thank you for the reply. So, the Wealth Building Program is an investment that funds other rehab fixer uppers, developers, etc...? 

Thanks!

Hello Brian, 

Welcome to BP.

While I've had interest in real estate investments since the age of 22, my brother and I started in 2012 at the age of 48 and 47 respectively. We live in Southern California and have acquired several properties out of state and established income by buying and selling distressed properties in the Los Angeles area along with the cash flow from rentals.

With my experience in the last 4 years, I believe that age is surely not a factor. While there are much equitable opportunities for younger investors, older investors can surely establish a comfortable nest egg as well. When you're young, you can afford to make riskier investments because there is time to recover. However, as you become older investments should be less risky to secure your retirement safely.

I have read many successful stories right here on BP, and I think you've come to the right place. When I first started, I also recall seminars offering to teach you the business if you attend a free 2 hour session, then the up-selling begins with promises that you'll make enough on your first deal to pay for the costs of their training and still pocket cash. Fortunately, I never bought into those offers, maybe they work for some people and I don't discredit what they provide and teach, it just wasn't for me.

I learned everything the old school way, and didn't know about BP at the time. BP would have been a great asset. However, I am now becoming more proactive here with anything I can teach and/or learn. I don't think you ever stop learning in this business.

I wish you success and and surely, you are not to late!