All Forum Posts by: Mak K.

So I was running the numbers. If I buy a new home which is 1700 SF on a lot of 4500SF (No backyard), its targeted to low income starters home. The ROI comes to be around 5%. I will be making cash purchase. The house is selling at $190k. Since I am buying from builder and they do cookie cutter homes, there is no room for negogiations or upgrades. Tax is 3.4%

Is a 5% return good? The builder plans to built around 800 homes and they raise prices

Good points. Also once concern I have is this is a low cost builder trying to advertise $0 down, $800/month mortgage homes. Hence they help low income with all government subsidies etc. So now I will be competing against my rent which will be around $1500/month in the same community.

So, while i was looking for rental investment properties in Houston, TX, I came across a builder whose target is starter low cost homes. They are selling 1400 sf +/- for 180k +/-. Ofcourse it has small porch type backyards only. But at the same time if I look for older homes, all of them are 190k. 

Assuming numbers make sense, If I am just looking for rental investment, would it make more sense to just buy a brand new home? This way I get warranties for first few years and no maintenance. 

The only concern to me is that although the builder is very known and good ones, does low cost home have low quality stuff which may become a headache down the line in next 5-6 years?

Anybody who have look into such scenario and have bought brand new homes and rented out?

So, I am calculating my ROI for a rental I am considering. The house is 180k, 3 Bed, 1700SF and not in flood zone. Rentals in the area goes in range of $1500-1750/mo. Taxes are $3500-$3800

For calculation purpose I am using vacancy of 10% and Maintenance cost of 5%.  

How much should I allocate for landlord insurance? I need a average plugin for Houston,TX area?

@Vlad Kuzin :

@Nghi Le

I have the same question-  Tax sales override all the liens? Is it correct to state Tax Sales are free of all the liens (banks, construction contractors, medicals?)

 

Thanks. But that link does not say where do I find SELLING PRICE OF PROPERTIES AT AUCTION. I want to know what was highest bidding for properties listed for

Where do I find the foreclosure, tax sales auction results? Is this a public record?

Hi,

I am not planning to be an agent at this stage. I need to have access to MLS (Residential and Commercial) for my research purpose. What is the best way?

Long-time back, somebody told me that in Texas, you can access MLS by giving 30-40 hrs online exam and passing it. You get full access but it does not give you license to be an agent. Could somebody please throw some light on what I need to do?

Updates on my experience: Thank you all for the responses. I did filed the protest on isettle and got the ARB date. For some reason, County never gave me an informal (They say it was glitch due to a previous year agent tried to claim protest this year). I never hired an agent? Anyways the agent protest was denied. They gave me a ARB without informal. 

But when I went to HCAD on the day of the appointment, the lady at the desk would not agree that I had a right to informal. She called her supervisor and supervisor stated I cannot have an informal (over the phone). Hence I asked her, please let me know the reason why, and she was clueless so she calls her supervisor again. Here comes the supervisor and I explain to him the story. He instantly takes me to another staff member and gets me on informal. I show my purchase price settlement document and they match the price.

One thing: do not just take the front page of the statement of settlement. Take all the pages. I only had the front page and after insisting they accepted it. In normal circumstances, they need all the pages.

I agree with you to use professionals. But this time I have decided to do it myself.  I read a lot that on the new purchase, the county accepts sale price for the first two years. But I want to go prepared with well presentation. I want to learn it and experience it myself before I pick a service.