houston-real-estate-investingIt’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

Income

Monthly rent collected: $1,150

Expenses

Monthly expenses

Property taxes: $200

Insurance: $100

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

 

Advanced Numbers

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 melissa@hipsterinvestments.com.

 

Leave a Comment

Your message.

Who are you?