Home Buying in 75205>Question Details

Molly Loring, Home Buyer in Addison, TX

Is buying a 1/1 condo for a reasonable price in a desirable area close to bars and restaurants a bad investment, if I was planning on renting it out?

Asked by Molly Loring, Addison, TX Wed Aug 8, 2012

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Hi Molly,

From my current experience, rental market is great in Greater area of Dallas. Properties that I have listed always get a multiple applications. Its a really hot market!

Feel free to check out my website at http://www.findyourtexashome.com/addison/ to get familiar with the listings in the area. There is nothing better than educating yourself about the area and be comfortable with it so that you know that is a good deal when you see one!

Obviously, you also need to have a great agent to help you to get everything line up once you find a complex that you like. We have ability to send you auto update daily.

Please feel free to email me at dixondfw@gmail.com if you need help. I would be happy to walk you thru every steps.

Thanks

Dixon
Realtor
JP and Associates
http://www.findyourtexashome.com
dixondfw@gmail.com
1 vote Thank Flag Link Wed Aug 8, 2012
The answer in part to your question is two fold:

1. Does the potential rental income cover your monthly carry on the property, ie does it cash flow or at least break even?
2. The quality of the location will be key to its marketability for rent as well as for the future when you are ready to sell it. How good is the location is a key factor.

Good luck,
Debbie Ingram
debbie@debbieingram.com
1 vote Thank Flag Link Wed Aug 8, 2012
Molly,

Typically condos don't work well. There are some exceptions around. The biggest trick is normally HOA is so high it eats your profit. The best condos in Addison area for example are going to compete likely with the older apts. Call around to the older apts and see what rents are for a 1bed. Go visit a few to see what the interiors look like.

Then check out our website to see what 1bedrooms costs and calculate your PITI, add about 15% for vacancy, repairs, realtor costs, and then don't forget the HOA dues. See if that works for your ROI.

Probably a better bet is the 3bed 2bath 2car garage homes that will rent for $1500 or less /month.

You can search for condos here at this link:
http://www.metroplexhomesalesinfo.com/listings/propertytype/…
0 votes Thank Flag Link Wed Aug 8, 2012
Bruce Lynn, Real Estate Pro in Coppell, TX
MVP'08
Contact
Depends on rentability (cashflow,days on market for the area, cash on cash return) usually if you don't mind the area you can rent them, usually you can also guarantee payment by accepting housing(section 8). Let me know the area and I can help with analyzing the numbers as well as with the purchase.
Call, email or text and we can make it happen, as your success is my priority not my commission! Being an investor and landlord many times over I understand all the ins and outs and think like an investor not a Realtor!

Regards,

John Greer
Realtor/ABR/SFR
United Real Estate Dallas
214-460-8381 Cell/Text
jgreer@unitedrealestatedallas.com
http://www.johngreerhomes.com
0 votes Thank Flag Link Wed Aug 8, 2012
Do your due diligence and find out how much are the home owner association dues and if there are any special assessements. All these items can affect your overall net profit. You need a great agent to walk you through the process. Call me!
0 votes Thank Flag Link Wed Aug 8, 2012
No professional can render an opinion UNLESS they are involved to complete the correct studies, complex, location, etc etc etc

You can either make money OR loss money ... matter of research

SOMETIMES what appears to be a 'real money maker" can turn into a nightmare. !

Lynn911 Dallas Realtor & Consultant, Credit Repair Advisor
Multimillion Dollar Sales Producer
972-699-9111
http://www.lynn911.com

Follow me on Facebook
http://www.facebook.com/lynn911dallas
0 votes Thank Flag Link Wed Aug 8, 2012
With so many industries/jobs moving to Dallas area, its attracting a lot of youth crowd. Youth's like myself like to live in vibrant neighborhoods and Addison; Uptown area is perfect for that.
So your thought process is right on target.

If price is right for rental, renting places out in good & happening area should not be a big problem.
To get an idea, call some of the Apartment places in the areas you are interested and ask them about their availability. From what I have heard from my clients is that most of the high rises in vibrant neighborhoods have waiting period of atleast a month; that tells you demands is high for those places.

If you need help finding a good Condo/Townhouse in Addison, Uptown or any other area feel free to contact me; I work exclusively in those areas.

Vir Mehta, Keller Williams Realtor
469 865 4181
virmehta@kw.com
0 votes Thank Flag Link Wed Aug 8, 2012
Technically it is in the City of HIghland Park but its off knox within walking distance of restaurants, bars, shopping, Katy Trail and very close to SMU...
0 votes Thank Flag Link Wed Aug 8, 2012
It depends where in Dallas it is in. I need more information?

Thanks,
Kenny
0 votes Thank Flag Link Wed Aug 8, 2012
If you can get a consistent 7-8% CAP or 15-20% cash returns on investment, then it would be good. You just have to make sure the numbers are solid to determine whether it's a good investment.
Web Reference: http://www.archershomes.com
0 votes Thank Flag Link Wed Aug 8, 2012
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