All Forum Posts by: Seth Teel

@Amy Haverlah

@Amy Haverlah

http://www.rickguerra.com/

505 N. Sam Houston Pkwy E.
Houston, Texas 77060
United States

281-760-4295

@Amy Haverlah

@Amy Haverlah I use both Janet Drewry and Rick Guerra. Janet is here locally & Rick is in Houston, but has a satellite office in SA. I highly recomend both.

Janet M. Drewry
Law Office of Janet M. Drewry
8438 Fountain Circle
San Antonio, Texas 78229
Direct: (210) 592-1698
Fax: (210) 592-1793
Email: [email protected]

Steve Almaraz - Executive Manager
Law Offices of Rick Guerra

7310 Blanco Rd., Ste 208
San Antonio, TX 78216

(210) 884-0259 Mobile

(866) 325-0341 Fax

[email protected]

@Joseph Canini The best contractors I have found have been recomendations from other investors or they have been preferred vendors from REI clubs. Attend some of the REI meet-ups in town, there are usually contractors in attendance, an often other investors will have suggestions and feedback. One thing to keep in mind is contractors are like a loaf of bread, they have a shelf-life. It seems to be without fail, even the best contractor will fall off over time.

@Chad Holladay The best way to learn is to go to the courthouse on Texas Tuesday (tomorrow) and witness the spectacle. It's a good place to network. I have been down to the auction several times and am not 100% I fully understand it. One of the most important things to know is that there are two different auctions; there is the Tax Sale done by the sheriffs, and then there is the bank foreclosure auction. The tax sale properties all have a right of redemption (2 years for homestead, & 6 months for non-homestead). This can make buying one of those properties a gamble.

Over the last couple years, it seems like deals at the bank foreclosure auction have become less and less. The banks buy back a lot of the property, and the big buyers like Blackstone can buy at much higher percentages that guys like you and me. There are still deals to be had, but you may be able to get a better deal trying to buy pre-foreclosures.

Ruben,

In order to make a decision, I think you need to look at all pieces of the puzzle. What's the current interest rate on your 15 year note? Can you reduce it significantly enough to make a refinance worth you while? Although your cash-flow is low, it sounds like you have a good thing going with your current rental (good equity, 50% of loan term left). I would likely leave things how they are and use additional funds (saving or other) to fund your new investments. As long as you have good credit and debt-to-income ratio, you should be able to purchase several buy and hold properties.

Myself and the majority of my clients that buy and hold use a hard money lender (like Sherman Bridge Lending) to fund the purchase and renovations of the property, then refinance out a short time later into a conforming loan. This not only keeps your out of pocket expense low, but allows you to leverage your funds to possibly do multiple deals at the same time.

If you have any questions about lending or need help finding a property, let me know.

-Seth

@Amy Haverlah I use both Janet Drewry and Rick Guerra. Janet is here locally & Rick is in Houston, but has a satellite office in SA. I highly recomend both.

Janet M. Drewry
Law Office of Janet M. Drewry
8438 Fountain Circle
San Antonio, Texas 78229
Direct: (210) 592-1698
Fax: (210) 592-1793
Email: [email protected]

Steve Almaraz - Executive Manager
Law Offices of Rick Guerra

7310 Blanco Rd., Ste 208
San Antonio, TX 78216

(210) 884-0259 Mobile

(866) 325-0341 Fax

[email protected]

@Ali Boone I am going to have to disagree with your summation of Texas markets. I can't speak for all the Texas markets but here in San Antonio, it's very easy to net $300+ per month cash flow on SFRs. Yes, there are higher real estate taxes than some other markets (I own properties in St. Louis as well), but the demand for rentals here is much greater than other places. I have never had to advertise my rentals; word of mouth has keep then 100% leased over the 2-year period I have been here. My experience is not unique. My client's won't buy SFRs for rentals if they can't achieve at least $300/month cash flow. Typically this is a true net of $300/month accounting acquisition & renovation with a hard money lender, a refinance into a conforming loan, real estate taxes, water, and a property manager.

They keys to solid cash-flow in SA is buying in the right locations, and purchasing at the right price. By close to Downtown (Southtown, Tobin Hill, Beacon Hill, Government Hill, Laurel Heights, Monte Vista, Mahncke Park, etc.) and you have high demand, qualified renters, and a property that will continue to appreciate. Of course this isn't the only place to make money on single-family rentals in SA. On the East and Westsides properties can be purchased extremely inexpensively. Not all areas are "warzones" as many would like to believe, and working with Section 8 or San Antonio Housing Authority (SAHA) can guarantee rents. The areas I have mentioned don't even begin to cover all the neighborhoods that you can achieve solid positive cash flow.

Lastly, Here are few things to consider when looking at the SA market for a buy-and-hold strategy. San Antonio is home to over 18 colleges and universities, 4 military bases, 2 major medical centers, and large employers like Toyota and USAA. It also has one of the fastest growing populations in the United States, growing more rapidly than Austin since the 2010 census, and almost as fast as Houston. San Antonio is also the first major city across the US/Mexican border and has very large documented and undocumented immigration population. Needless to say these people need a place to live, and most of them will rent.

@Joseph Murders Laurel Stuckey at Independence is familiar with subject-to deals. I was actually referred to her by some guys that do a lot of those.

@Alan King Not to knock Angela Marrero, because she can definitely handle anything and is prompt and professional, but Providence -Sonterra, has some of the highest escrow fees and BS "other fees" I've ever seen. They run a good shop, but just too expensive for me.

@Alex Rivas Yes that number will get my cell phone. For texts, send it to 3146624084.

@Alex Rivas I do still invest here in SA. I buy, sell, wholesale, flip, and own a couple rentals. I'm actually looking to get into buying owner-finance deals and selling notes, but I am couple months out from having everything set up.

I am currently looking for off-market flips or rentals for a few of my clients. If you have anything, let me know.

-Seth

The most investor-friendly title company I have used in San Antonio is Independence Title on Austin Highway, Escrow Agent Laurel Stuckey. They work with a lot of investors, and the escrow fee on cash transactions is only $250. I say this ultimate confidence I closed 70+ transactions last year and several were with Independence. They were easy to work with and understood double close and assignment transactions. Second would be Alamo Title - Laura Riley. I closed several with her last year and she is very familiar with double close and assignments.

Hope this helps.

-Seth