All Forum Posts by: James Call

Laura, 

I don't know about high end homes.  I have done seller financing on vacant land.  I just got the good down payment, and had a real estate attorney draw up the contract.

If they don't complete the transaction, then they lose some money.  If they do complete it, then you come out smelling like a rose.

Maybe something like a lease option?

You win either way!

@Chingju Hu, 

The insurance issues are mainly that the cost for insurance can be higher than other parts of the country. 

With hail on roofs, hurricanes, and flooding, insurance prices for a $200k home in many parts of Texas will be higher than insurance for that same home in Arizona, Nevada, or many parts of California.

We do what we can to find the best coverages for folks, but the numbers are just higher than other areas of the country. 

@Chingju Hu,

I think your question depends a lot on what area you want to work in.  If you have a PM in one area or the other that you like, then I would go that way.  

@Paul Ewing's comment about good managers is very important.  I also agree with the Fall/Winter comment. 

@Ryan Blake also brought out a lot of points that folks don't think about.  We have done some work with clients who come from places like Arizona and Cali and they can't believe all of the insurance issues we see in Texas. (To say nothing of the tax issues. )

@Ronald Rohde's comment about cash flow vs. upside is something that a LOT of people never think about.  If you buy one of those crummy old houses in a rough part of any town, the cash flow can be fantastic. 

I just spoke to the cleaning lady in the hospital in Denver.  Her home value went from $150k to $300k in 3 years.  You can't get that in any cashflow situation.  But, I'll bet if you would have bought it and tried to cash flow it at first, it wouldn't have been that exciting.  

In most cases, I think that appreciation and cashflow are not in bed together.  Sometimes you will see a unicorn that has both. 

Good luck, and let me know if I can help with anything. 

@Juan Sánchez,

Bienvenidos!

@Jim Cummings is an agent in that area.  He may be able to help you find some good investment properties in that area. 

If I can help out with anything let me know. 

@Rich Czapkay,

Welcome to BP. I would suggest finding REI groups in your area once you get to Texas and hook up with them.

Enjoy your new path!

@Hunter Durham,

Welcome to BP!

I agree with @Christina J. about finding more connections here on BP and at the local REI groups in your area.

Enjoy the journey!

Rawn, 

I think the reason for the PM is that folks are afraid of violating rules about self-promotion. Here is what I got when I tried to post Jacob's phone number: 

Posting contact details such as phone numbers or email addresses outside the Marketplace is prohibited.

I have a friend, Jacob Mejia, at Ameridream who may be able to help.  He works with investors and can help get financing on something for you.

Just go to Google and type "Ameridream Mortgage" and ask for Jacob. 

Good luck!

@Trevor Rockhill,

Welcome to BP!

I agree with @Logan Gerard, that there are many different markets within DFW.  Think about the nice big residential properties in Plano vs. a small worn out place in the older part of town. 

I am a fan of investing close to home.  

I think that if you get a high grade property as a rental, you will have low cash-flow, but better appreciation.  If you purchase a lower grade property, you can usually get much better cash flow, but the appreciation is a lot lower.

If you start buying and stay in the market like @Christian Montalvo describes, then you will start to find the "unicorns" that are good appreciation and good cashflow.

It is a lot like stocks that pay great dividends vs the AMZN types that just appreciate like crazy!

@Jordan Moorhead,

@Christopher Gilbert brings up a good point, that you want someone who will take care of your investments too. 

I will shoot you a PM. 

@Sean Sheehan,
Welcome to BP.  
Be sure to take a look at the REI groups in your area. That is a great area to network and connect with like-minded people. I would also recommend making a saved search for your keywords so you can get the updates on the info you want to read.

Enjoy your real estate investing journey!