All Forum Posts by: Stephanie P.

Thanks Jon and Bryce! That makes sense.

Thank you guys! Feeling better. OK, so it's probably normal, but I should have some good contingency clauses in there.

I'm currently evaluating a 4plex opportunity that came through a direct mail campaign. So far, the initial #'s look good.

The seller is requiring a sales contract before I can step foot on the property. He insists that most people require a contract in place before bothering the tenants with a viewing, but I've never been asked that before. I hate to make an offer without seeing the overall condition of the property.

Is this a normal request?

Thanks!
Stephanie

Tom Lafferty - Good info. Thanks!

Tom Lafferty - I found a 10plex out in Carrollton near I35 and Beltline. I'm still working the details. I struggle with that area because it seems like it's tough to raise the rents out there. The rents seem on the low side in general. Is that your impression?

And yes, lots of competition. Please keep me posted as well.

John Chapman - Good points. And you're very right about the amount of available inventory. Every other house has a 'for lease' sign.

Bryce Y. - close, Greenville and Munger. I visited a few apartment complexes out there for comparison and found that even if they are submetered (not many), they can't switch from 'all bills paid' because of the market pressure from all of the other complexes. Especially the further south you go.

But on Bryan St for example, you have a dilapidated 8 plex for $550/mo all bills paid, a brand new construction leasing at $1800/mo and next to that, a boarding house. Mixed bag.

I'm not sure I'm done with that area yet. It has my interest.

Jon Klaus -You're so right about the Arts District. I just visited the area and it has a great vibe. I just haven't found any opportunities out that way yet. I'm starting to feel good about learning about these areas and knowing(ish) where I want to invest and where I don't.

Thanks you guys for chiming in with your thoughts. They are so helpful.

John Chapman - It's great to hear from you again! I was just talking about you the other day with Jerry about your rentals and strategy.

The reason I'm holding the properties for 1-2 years is to allow for all rents to increase to my target (market) rents as well as avoid short term capital gains tax.

I'm not hoping for huge jumps in appreciation due to the area - just want to make sure I'm investing in something solid.

Lower Greenville is interesting. There are older properties with high rents, run down houses, a boarding house, and new condos popping up - mixed bag. But progress seems slow to me. I wanted to see if anyone had different thoughts. And the area I'm interested in with the run down property is a little more shady than others. :) Guess I'll need to study it a bit more.

Andrew Herrig - Thanks for the advice. My strategy is similar to yours in getting to the larger multifamilies. I will definitely keep you posted. Please keep me posted as well!

Andrew Herrig - you make some good points. If all goes to plan, the properties need to cashflow with the intention of flipping in year or 2 and pulling out the added appreciation from the updates and going bigger. I'm definitely looking for fixer uppers. I would most likely have a property management company.

Do you really think Lower Greenville is 'up and coming'? I've heard of revitalization going on for the last few years, but it seems to have stalled.

Thanks!
Steph