All Forum Posts by: Sushil Iyer

What is it that you believe Killeen offers that you cannot duplicate in the DFW metroplex?

I'm trying to understand... you're doing well in a huge market. Just keep on doing what you're doing. Keep your assets close. 

I have not invested in Killeen myself, although I have considered it.  I've been a few times to Killeen, Belton, CC, Temple area looking at potential purchases before I gave up.  Maybe every city is like that, but for me more than almost any other city I have been too I think you really have to know the area and have to know the tenant base.  Prices did seem better than DFW, but about 5 years ago when it was on my radar, I never found an area where I thought there was good balance.  Lots of the properties I looked at were not treated nicely by the tenants.  At that time it seemed like there were a lot of investors who had given up.
That is not to say there is not opportunity there, but I could tell for me as someone who did not know the cities and tenant types well, it was probably going to be a lot of work for me to be profitable.  I know there are successful investors there.

I have a couple of great realtor/investors that work that market hard if you need great boots on the ground.  One is Army vet.

One thing just to keep a pulse on is base closures and cutbacks.  I doubt Cavaozs is on the cut list any time soon if ever.  However you do have a new government that seems committed to cutting costs, cutting defense spending, and getting us out of wartime efforts.  So you want to keep a good insight to that and what kind of economic changes that could bring.  Could be tough for the area, but also might be a great opportunity too for some large manufacturing facilities to go in there or logistics operations with all that land and location.

Good luck and best wishes.

IMO killeen is a solid investment. just have to watch which areas you are getting into. there are some pretty rough areas near fort hood but killeen is great because it is close enough to austin and people commute from there to austin as well. with fort cavazos near by and the new samsung plant coming online in taylor, it is a solid choice with steady demand for MF.

It’s definitely possible to refinance multiple properties under a single loan, often called a portfolio loan, but it depends on the lender. Some lenders offer this option, while others might prefer to handle each property individually.

It will come down to the lender’s criteria, such as combined value, rental income (if applicable), and your financial profile. 

@Sushil Iyer I agree with @Travis Timmons that Temple and Belton are generally better pics with a more diverse economy versus Killeen. I personally own single-family rentals in Temple. Killeen and Harker Heights do have some good spots and various multifamily options. I personally would avoid the older neighborhoods closer to the post.

Quote from @Sushil Iyer:

We have a SFH and a duplex that we own free and clear, and a duplex on which we have a residential mortgage. Each of these properties is in a different location and was purchased at a different time. Is it possible to re-finance these separate properties as a group in a single loan? Does the fact that these were purchased separately and are at different locations make that option unavailable? The idea is to re-fi in a single transaction, which, I assume, will have benefits over three separate transactions. Please advise. Thank you.

If they’re in the same state, it should be doable in a portfolio loan. It can save on costs but can have some significant cons. Tying the properties together and dealing with partial releases when you sell or refinance one, etc. can all be a headache. Happy to look at things both ways on a DSCR loan(s) to see if it makes sense.

Most portfolio lenders will want to make sure they are in the same location. You are still far off better doing them individually, as many of these lenders may not allow for a partial release. 

Hey Sushil!

I second what everyone else has mentioned... There are times when a blanket/portfolio might be more useful but this probably wouldn't be that case here. Once you have a large number of properties (maybe 10ish?) you may find it beneficial to avoid paying lender fees over and over again, on 3 properties though if you go with a lender that doesn't charge a ton of junk fees then you'd save doing it separately. Sometimes too portfolios allow you to include lower valued properties that might not be eligible for regular DSCR lending. Every deal/portfolio is different though so feel free to reach out if you have any questions!

Quote from @Sushil Iyer:

We have a SFH and a duplex that we own free and clear, and a duplex on which we have a residential mortgage. Each of these properties is in a different location and was purchased at a different time. Is it possible to re-finance these separate properties as a group in a single loan? Does the fact that these were purchased separately and are at different locations make that option unavailable? The idea is to re-fi in a single transaction, which, I assume, will have benefits over three separate transactions. Please advise. Thank you.

 Hi Sushil,

My firm does portfolio loans, and if you fit the criteria, we may be able to assist. Feel free to reach out to see what we can offer.