All Forum Posts by: Lyall Storandt

Robert Sims Hey Robert, welcome to Bigger Pockets! Great to have another Houston-area member.

I'm certain I can help you move along towards your goal of retiring using real estate as an investment vehicle. I'll shoot you a PM now to discuss.

Stephen Brown Hey Stephen, Welcome to Bigger Pockets and thank you for your service! $115k is a healthy budget to begin flipping properties in the Houston market. Of course, that money will stretch much further should you choose to leverage it by using financing. I'll send you a PM regarding how I can help you along your investing journey.

Sam Craven Always great to hear success stories like this! Congrats on your momentum and continued success! Don't forget to send me those wholesale leads every once in a while... (Joking, but serious.)

Don Konipol Hey Don, thanks for your post. I actually addressed this directly with another member, but here's my reply to them:

My understanding of these particular properties is that the units with the $19 / month HOA fees only have access to the community pool and tennis courts. Whereas, the property with the $144.40 monthly HOA fee has coverage of all exterior maintenance including the lawn care, roof, etc. That said, if you were to convert all units to the higher monthly HOA dues, you'd probably be looking at a maximum of $500 / year maintenance per unit.

The units are currently self-managed by the owner. Any respectable property management company would gladly give you a preferred rate on services if you brought them 13 new contracts. You'd probably be able to get someone solid in the 6-8% range.

So if we do some calculations based on the numbers above, you'd have something like this:

Gross Annual Rent: $117,300.00
- Annual Taxes: $9,045.17
- Annual HOA: $22,526.40
- Annual Insurance: $6,342.89
- Max. Annual Maintenance: $6,500.00
- Property Management (8%): $9,384.00
= Net Annual Rent: $63,501.54

Net annual rent ($63,501.54) / Cost ($550,000.00) = Cap. Rate of 11.55%

**This assumes that rent remains constant (rents haven't been adjusted on these units since '09)

If you run the same numbers with a 10% increase in monthly rents, it looks something like this:

Gross annual rents: $129,030
- Annual Taxes: $9,045.17
- Annual HOA: $22,526.40
- Annual Insurance: $6,342.89
- Max. Annual Maintenance: $6,500.00
- Property Management (8%): $10,322.40
= Net Annual Rent: $74,293.14

Net Annual Rent ($74,293.14) / Cost ($550,000) = 13.5% Cap. Rate.

Please let me know if you have any other specific questions or if you're interested in pursuing this package for your own portfolio.

Jon Holdman No worries; thanks for the quick reply!

A silly question perhaps, but is there a way to update the time zone for the time stamps on the forums? I'm on Central Time, but apparently the forums are on Pacific Time (give or take a few minutes).

Please contact me directly at (405) 361-1341 if you have any interest in this opportunity.

We have a unique off-market multi-family property package available in North Houston, TX (77032).

The package consists of 13 fully rented turn-key townhouses.

These townhouses all sit within a larger community of townhouses.

All 13 sit within two different "buildings" or rows of townhouses.

Each unit has at least a two-car carport; two units have two-car garages.

**Rents have not been adjusted since 2009 and most are under-market.

Here are the basics:

Cost: $550,000.00

Gross annual rents: $117,300
- Total annual taxes: $9,045.17
- Total annual insurance: $6,342.89
- Total annual HOA dues: $4,468.80
= Net annual rents: $97,443.14

Net annual rents ($97,443.14) / Cost ($550,000.00) = 17.72% cap. rate.

Rents / Lease / Monthly HOA Dues / Annual Taxes / Annual Insurance / Square Footage / Bedrooms / Bathrooms

I. $740 / Month-to-month / $19 / $659.86 / $607 / 1564 / 2 / 2.5
II. $850 / 6-Month / $19 / $730.56 / $660.89 / 1786 / 2 / 2.5
III. $750 / Month-to-month / $19 / $659.49 / $469 / 1564 / 2 / 2.5
IV. $925 / Month-to-month / $19 / $720.79 / $398 / 1786 / 4 / 3
V. $850 / 1-Year / $19 / $660.38 / $421 / 1564 / 2 / 2.5
VI. $750 / Month-to-month / $19 / $660.38 / $421 / 1564 / 2 / 2.5
VII. $700 / Month-to-month / $144.40 / $650.69 / $430 / 1405 / 2 / 2
VIII. $695 / Month-to-month / $19 / $785.92 / $467 / 1564 / 2 / 2.5
IX. $750 / Month-to-month / $19 / $780.21 / $533 / 1564 / 2 / 2.5
X. $750 / Month-to-month / $19 / $669.85 / $527 / 1564 / 2 / 2.5
XI. $900 / Month-to-month / $19 / $919.87 / $543 / 2543 / 4 / 3
XII. $540 / 6-Month / $19 / $538.58 / $339 / 969 / 1 / 1
XIII. $575 / Month-to-month / $19 / $538.49 / $360 / 1024 / 1 / 1.5

Totals: $9,775 / N/A / $372.40 / $9,045.17 / $6,342.89 / 21,380 / 29 / 26 Full & 9 Half

Andrew Wu Hey Andrew, welcome to Bigger Pockets! Always great to see another active investor from the Houston area.

Out of curiosity, which lender did you use for your deal?

Please let us know if we can ever be of assistance; there are quite a few active members here in Houston.

Michael Swanigan Hey Michael, I'm pretty sure the RICH Club here in Houston has a mobile home investing group. There's also a guy named Nick Fox who's an active mobile home investor and active member of the RICH Club. Unfortunately, I don't have his direct contact info. You can learn more about RICH here though >>> http://www.richclub.org

Josh Rich Sending you a PM now.