All Forum Posts by: Matt Van Winkle

For non-student housing, there are a TON of options.  We are closing on a 4 bedroom house west of the Loop of 4th street at the end of the month.  Nice residential neighborhood.  The previous owners had law students in it, so it's not out of question for students, but could very easily appeal to a family.

Here's the deal with Lubbock - it aint that big ;) (pardon the colloquialism).  It's definitely bigger than it was when my wife and I were up there for school in the late 90's, but it's still VERY easy to get around.  Most streets are laid out on a grid, and all the major ones running North/South are alphabetical one way and the East/West are numerical.  Student housing doesn't have to be right around campus.  To put is simply - it's EXTREMELY easy to get around in the city.

Another think to think about for Single Family properties is there is an ordinance that says no more than 3 non-related people can live in a house together.   This isn't usually enforced unless the folks in that residence are getting out of hand and such.  This is less of an issue if you are focusing on non-students, but something to consider as you size a property.

I would also agree - stay west of Q.  I actually have a hard time even going East of University - with a couple of notable exceptions (SW corner of South Overton and the very west side of Heart of Lubbock.  The area a lot of folks look at is Tech Terrace (just South of campus), but it's the most overpriced and competitive section in the city.  I really like the Maxey park neighborhood just West of it, and there are several good areas as you move South down Indiana and Quaker.  Look at the map view of some realtor/mls type sites and you should see all the names I'm mentioning here.

Also, through BP, I found a great realtor up there.  He's been awesome as we have worked through this first deal, and the agency he's with does Property Management too.  If you would like his contact, info, feel free to PM me.  He's an investor himself, so he knows the areas to watch really well.  

We love Lubbock!  Yeah, we are biased because we are alumni of Tech, but it really is a great city, and I am super excited to begin investing there.  I'm hoping we can follow this house up with another 3-5 over the next couple of years.

Good luck!

So - Just because I brought it up, I thought I'd post that the inspection came back and nothing was too scary.  A few things to go fix, but over all, nothing major and nothing hidden.  We were scared of the later because it's priced way below market.  We are going up for the game this weekend, so we get to see it while we are there.  Fingers crossed - this could turn out to be a great deal...

indeed @Matthew Ries - my wife and I often lament how nice it was to get around up there compared to South Texas where the roads wind all over and such.  And good logic.  We have an accepted offer on a house out by Shadow Hills golf course.  It will likely appeal to families, but it could very easily be a student rental too.  Someone can just hop on 4th and zip on in to campus.

As I have an offer out on my first remote deal, I need to figure out the best option for a shared account my property manager and I can both access/use for home expenses.  Has anyone here had any luck using some of the online only options.  There is actually a bank (besides the national mega banks) that has branches here in San Antonio and in Lubbock where I am investing, but I also use some online banks/accounts for various things and was curious if this option has worked well for any of you all for property management.

Thanks in advance!

Thanks @Chad Coburn.  Tech Terrace is where I started looking because of my own time there years ago (and occasional trips back for games and such).  Sadly, it is now pretty over priced and if a deal comes up, you have to move in hours to get it.  Fortunately, there are many other areas that I'm finding good options in.  The medical center area, pockets of South Overton and others.  There are actually some interesting deals popping up a ways out from campus.  In fact, we just submitted an offer on a place outside the loop that could be a college rental, but could just as easily be a family home.  We'll see, but the price was too good to pass up for its area and it cash flows pretty well.  

Compared to San Antonio (where I live and was going to start investing), the Lubbock market is much calmer, and overall, more fairly priced.  It's not the same sleepy town it was 20 years ago with respect to home prices though - at least in key areas.  There are plenty of active investors in the city (and many more like me elsewhere with boots on the ground).  If nothing else, it's been a fun process to learn.  I'd definitely recommend Lubbock as a place for investors to check out - and that's not just because I have a soft spot in my heart for the city :)

Jordan Sutherland is the three non-related persons per household ordinance still in place? I do see 4 bedroom houses pop up from time to time, but know form living there years ago that technically, you shouldn't have looked something like that for student rental back then.

Sure, @Devonne Miller. It never hurts to hear about more opportunities.

Being an alumni, and having a kiddo only 3 years away from college (who is thinking very strongly about going to Tech), I too am looking at buying 1 - 3 properties in Lubbock over the next 2 or 3 years, so I ma hijacking this thread :).  I need some help in a few areas.

Management:  I see at least one Property Management recommendation above.  My plan there is to send a mini-RFP with some sample properties I've been watching and get the perspective PMs to give me their thoughts on good purchase price, upfront capital repairs needed, rent etc.  It will also allow me to ask them all a series of questions about the mechanics of how they work - fees, expectations, separations of duties, etc.  However, if you active investors in the area are firmly convinced I should not pass Go and move directly to a specific PM, I'd love to hear the recommendations.

Financing: I'm fine working out financing here in San Antonio, but I thought I'd see if anyone working in the Lubbock area has strong feelings towards a local bank that is active in the area for investors. I have plenty of capital - actually considering all cash on a couple of houses - so, I don't think I'll have to go HML at this time as I should be able to put down enough to satisfy a conventional. Anyway, I'm open to recommendations of lenders in the Lubbock area.

Agents:  I have a couple of potential leads here, but I'm open to suggestions/recommendations too.  I'd especially love to know any that work with out of town buyers (as I'm sure there are many with all the parents that pickup houses for their students).  I also know that some of the PMs are agents, so digging in to that is slated to be part of the RFP.

I appreciate the comments that the 2% rule isn't working out for some.  I've run several properties through some analysis and tend to end up about 1 to 1.2% every time.  As I continue to do my homework, this was bugging me a bit.  I know it's not a hard fast rule, but knowing that the experienced folks are seeing similar results is giving me some confidence in my own practice analysis.

All in all, I am not in a hurry, but do intend to get a portfolio footprint in Lubbock over the next few years.  1-2 general rent houses and 1 that I may be more flexible on the cashflow on to get an ideal location for my own children to use.  (The one that is 3 years away is the oldest of 3, and I'm betting at least 2 of them could end up there)  Thanks in advance to anyone that has advice to offer.

Yes, prices here have been on the rise, and many neighborhoods sale very fast.  I suppose that is great for agents, but it makes it tough to find good deals.  There are some, though.  I've only just started watching myself.  Watching both here and in Lubbock to start picking up some properties in both.