All Forum Posts by: Jeffery Scullark

Hey BP,

My wife and I closed on a 4 plex in Houston in December.  This is our first multifamily unit and we are in the process of remodeling with the expectation to be complete at the end of the month.  I am looking for suggestions on lenders that will be able to assist with getting the property refinanced, preferably that you have experience with personally.  Any suggestions are greatly appreciated.

@Duman Umanzor Definitely interested in a mastermind group in Houston.  I have been investing for a few years but seriously about the past two. 

I have worked in IT since 1998 and a network engineer since the early 2000's after being honorably discharged from the Marine Corps. At some point I realized that, while I like what I do, I would never gain time or financial freedom strictly based on my career choice.  It was a perfect fit for me because I love math and think logically about most things.  I also had to understand some of my weaknesses like design and people skills.  

Long story short, ran the numbers on a property that looked like a great deal.  After getting prepared to make an offer, I looked up the flood zone information and, behold, it was in a 500 year flood zone.  After reviewing flood insurance on this property I had to pass but I am curious for my buy and hold investors how much weight do you put on a properties flood zone status?  Is it a deal breaker or risk that must be managed. How do you manage the risk?   Would you consider a flip but not a hold in a flood zone?  To this point I have approached properties in flood zones as a deal breaker but I am wondering if I am missing opportunities based on this logic.  Help me see it for what it is.  

@Zachary Schimenz

Positive cashflow is King when you're on the bottom trying to work your way out and there is none.  I would not do this deal with YOUR money.  

Investment Info:

Single-family residence buy & hold investment in Yuma.

Purchase price: $205,000

First Rental Property while serving in the Marine Corps. OORAH!!!

Investment Info:

Single-family residence buy & hold investment in Houston.

Purchase price: $105,000
Cash invested: $25,000

SFH buy and hold requiring minimal repairs.

@Troy Egar
Welcome to Houston!!!  The best advice I can give you is to break the city down into pieces with the list Art stated above.  The Southside is much different from the Northside.  The Eastside is much different from the Westside.  You would also have to break down that further to understand the specific area. The city is more like a collection of smaller cities in  demographics, properties, and prices especially when you include areas like Katy, Pearland, Woodlands, etc which are part of the greater Houston area. One thing I noticed when I first got here was you could be in a high end area and go a block over and be in a lower end area.  The best way I have found to find properties is to search by neighborhoods and zip codes and monitor the properties in those areas.  I always go onsite and also check out potential properties at different times and especially when it is raining to see if it floods when possible.  Also the zoning or, lack thereof, in Houston makes knowing the area very important.  Good Luck

Hi Jason, I recently came across Zeus Mortgage who does hard money loans and converts them to longer terms for buy and hold investors.  Did you every purchase a property?  If so, what was your experience?