All Forum Posts by: Sriratana Sutasirisap

Thanks for the insights Christine! And that's a great point, the WB place is actually in Pflugerville school district, so that's why it's cheaper than other 4/3 (I think). Do you know if this could be the factor for lower price of this house comparatively to other 4/3 in wells branch?

And ok it's really good to know this! I'm definitely aiming for the 3-6 months professionals. :)

@Cory Delaney  Thanks for sharing. I'll check out the site. You mean airbnb in Pfluggerville or Wells Branch? The wells branch one that my friend has seems pretty successful.

@Aaron Gordy That's a really good insight. Thank you!

Hey Cory, thanks for the insights. The rental cost per room of $650 is at best a guess in phlugerville as I'm not familiar with the area. But currently, I have a friend who's renting out fully furnished rooms individually and get about $900-$1000 per rooms in wells branch through Airbnb long term stays. But I also have another friend who's renting out unfurnished rooms just through craiglist and get $600-$700 in wells branch. What are your numbers like?

Hey All,

I am starting to look into an investment property to do a short-term lease. I'm planning on renting out individual rooms to temporary stays (3-9months). My goal with real estate is to generate cashflow.

After some calculations, I've found two properties that I'm interested in. I would love to get your thoughts.

Property A: 4bd/3bth

Location: Pflugerville, TX 

This area sees 5.03% appreciation past 5 years. It's surrounded by some companies and has plan on development but has high tax rate of 2.9%. The city is growing due to growth of Tech companies in Austin, TX. (which is across the highway.) The thing is there are new builds coming up in this area as well. And there is a plan to build a huge shopping center in 5 years. The school district is not as good as the Property B.

Purchase Price: $184k ($35k down, and need about $3k in renovation)

Monthly payment: $1,309 (tax rate: 2.9%, $10 HOA)

Expected rent: $650 per room (4 bd total)

Total Monthly income expected: $2200 (estimated maintenance cost of $400)

ROI on original investment: 28%

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Property A: 4bd/3bth

Location: Austin, TX (wells branch area)

This area sees 6.78% appreciation past 5 years. It's conveniently located between two major highways in Austin and the city's traffic is getting insane. I know that short-term rentals in this area does well because I have friends with properties in area. It's also close to many tech companies.

Purchase Price: $235k ($47k down, and need about $10k in renovation)

Monthly payment: $1,584 (tax rate: 2.5%, $20 HOA)

Expected rent: $725 per room (4 bd total)

Total Monthly income expected: $2500 (estimated maintenance cost of $400)

ROI on original investment: 19%(without maintenance cost subtracted)

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Although I'm more excited about the ROI on property A. My hesitation on property A is that the city is still building and growing - not sure if my assumption here is correct. There are a lot more rooms to build. This means the location is not 'gold.' The location of the property B is quite prime and it has been seeing greater appreciation.

What are your thoughts? This is my first investment property - I currently rent out multiple rooms in my house and know that it can be profitable with more rooms. I'm also considering Airbnb of individual rooms for the house but that maybe more of a hassle. 

Thanks!

Thank you for your insights Brian! What is a good rule of thumb you use to calculate your ARV?

Hey All, I'm looking at a fix and flip deal and would like to know what you guys think?

Buying at 400k

Renovation at 80k

Selling at 555k.

We've looked at closing cost expenses, interests rates, mortgage for the rehabbing period. If we sell at that price, it should be good profit.

Questions:

1. Will this house appraise at 555k? We looked at comps and other house listed. There really isnt many comps to compare in the close proximity. Main concern is houses around this specific neighborhood has been sold at 400k (poor condition and 1950s style) And there isn't any house that has been renovated that we seen. There is one house that is in same zip code, renovated and roughly same size but it's across the other side in a different neighborhood, listed 550k. In general, is it a bad idea to rehab one house in a neighborhood while all other houses are not renovated and will have much lower value?

2. Is 30-years fixed and an HELOC for downpayment a good way to go?

3. Selling around October in Austin? Is this still good seller market end of year?

Thanks a ton!

Hi All, I would like to hear about some problems you all have with managing a rehab projects and new development. What are some tools you use to manage these project? And what is your biggest challenge/frustration in the process?

Thank you!

Daowz