It’s Wednesday again and today we’re excited about the largest city in Texas (and the fourth largest city in the United States). Hipster loves Houston, and for good reason: this city is tops for job creation – and job creation means an active rental market and a stable tenant base. Forbes agrees: they went so far as to proclaim Houston the best city in the country in which to purchase a home. Home to NASA’s mission control center, Houston is full of some out-of-sight deals for the savvy investor.
The house we’re spotlighting here is right in Houston. It’s a great find for investors who want the epitome of turn-key with a great ROI: it’s a fully renovated single family home that not only comes with a 1 year home warranty BUT a 1 year rental guarantee and a tenant in place as a condition of closing. Check it out!
Location: Houston, TX. Single Family Home.
Built In: 1957
Purchase price: $104,000 (not a foreclosure, normal sale)
Property info: 4 bedrooms, 2.5 bathrooms, 2,519 square feet
Monthly rent collected: $1,150
Property taxes: $200
Home Owners Association fees: $0
Property management fees: $104
Monthly expenses (conservatively estimated)
Vacancy (7%): $81
Repairs (5%): $58
Total Monthly Expenses- $542
Net Income = Income – Expenses = $608
Cap Rate =
annual net income (non-inclusive of mortgage payment) / purchase price = 7.02%
Cash-on-cash return =
Depends on your leveraging.
If you are interested in this property or seeing others like it, contact Melissa at email@example.com.