All Encompassing Mortgage and Real Estate Thread

[Anastasis 23720]

Just now, Pato del Muerto said:

Is he moving somewhere that isnt crazy so he doesn’t have to dump the money right back into the next house?

Out of state, 

[Neonmoon 38130]

5 hours ago, Anastasis said:

Holy shit.

 

Neighbor  just listed @ >2x his purchase price from mid 2010s.  Didn't even wait for a bidding war, took an all cash offer after the first showing. Jesus Christ can't wait till TCAD gets a hold of that shit.    

Westover Hills? 

[CooterBrown 18288]

Austin’s median home price hit $550K this month. Up 10% from two months ago.

When I was out for a walk earlier, I talked to a realtor who said a house in Crestview on Arroyo Seco just sold for $170K over list. I assume this is the one since it’s the only listing on that street. Quite a steal for $570K.

https://www.realtor.com/realestateandhomes-detail/5703-Arroyo-Seco_Austin_TX_78756_M84154-04616

[Pato del Muerto 53508]

Then the cost of demo, the cost of a new build. 

[CooterBrown 18288]

Then the cost of demo, the cost of a new build. 

And that’s how we are at 1.2-1.5M for new construction in central Austin.

[horn4life 3838]

On 5/13/2021 at 11:31 PM, immamac said:

I'm exploring a partnership with a builder for my property in zilker. 

Have a market price on "equity in" as my contribution, the builder builds on his dime and with his crew as his "equity in" on a cost model. 50/50 share of the profits after each party gets made whole on equity in. 

When I started exploring this in January I said 750k equity in (lower than market, but that's the point for both of us because theoretically I get the build at cost not cost +10%). I'm up to 915k now and the builder agreed that was still below market. 

2 tear downs with significantly smaller lots sold for 865 and 849 respectively within the last 30 days. 

Estimated post construction sale price of 2.2-2.4M, meaning if he spent 800k on the build we would both share 500-700k.  Kicker is I said I'd want to 1031 the whole gain into another, builder said he's game. 

Is this my in to residential flipping? Is this a stupid idea? Property cash flows about 700/mo after expenses and PITI for a caprate above 12% right now. 

I guess my biggest question is... if the builder goes belly up and the unit is half built... what is the ultimate outcome?  You are fucked?  Just because I saw a few folks get burned in the last RE downturn.  

 

I am trying to figure out the best way to protect myself in a potentialCondo partnership remodel.  It was damaged in the storm, and is a little 1/1.  It's in a trust, and I worry about doing anything without a clear exit should she croak, or become completely debilitated.  The main reason I am considering it, is that I have been helping her out with her mom's house which I truly covet.  I am thinking if I can get her to do a deal with me on the Condo perhaps I can parlay that into a purchase of the House.  I would remodel that house and make it my homestead while living a couple doors down supervising the remodel.

Right now she is still sitting waiting for the insurance companies to duke it out.  And the think is sitting with mold on all the walls, and needs to be gutted.  The place is small at like 800 sq ft and could look really nice with some attention to detail.  I am going to quote her for a rental grade remodel with laminate and crap appliances and a sale grade remodel with granite and upgrades throughout.  I also thought about funding the remodel myself, with a contract for sale at a predetermined price to protect my investment.  Adding an addendum to list the home splitting the profit beyond my option price for a certain time period, to protect her from losing out on potential upside.

Not honestly sure if I really want to do it.  But I would kill to get the house a few doors down, so if I could roll that in somehow, with and If/then scenario I would do damn near anything.  Mainly I want to be fair.  She's an old lady, and a hoarder and she really needs to either sell these properties, or get income from renting them.  I would help her go either direction for the right price.

 

[Armybrat 41409]

Could someone please advise where I can look to see what the sold price is for this house?

https://www.realtor.com/realestateandhomes-detail/9103-Brimstone-Ln_Austin_TX_78717_M86656-46642

[UTPhil2006 3930]

When it closes you can 

[Enchubben 5600]

anyone getting their isettle responses back from HCAD?

[horn4life 3838]

On 5/20/2021 at 3:08 PM, Armybrat said:

Could someone please advise where I can look to see what the sold price is for this house?

https://www.realtor.com/realestateandhomes-detail/9103-Brimstone-Ln_Austin_TX_78717_M86656-46642

that is one ugly ass kitchen and living with the red brick fireplace.  Hell the house isn't even red brick.  Could be pretty nice with a light remodel though.  

[Armybrat 41409]

It was owned from new by an old aggy couple. That should explain the ugly wallpaper. The entire deck looks like it should be replaced too.

Even Mrs. Brat hated any kind of wallpaper when we built our house in 1994.

[Catpfish 618]

Looking for a little help off of the traditional path. My newly graduated son got an entry level construction management job at Texas Medical Center and we need to find him an apartment. Does anyone have a locator recommendation to make it any easier? Been in the Austin area all of my life and have no clue where to start fire Houston. I think he's hoping to stay in the $650-750 range and knows he'll have to commute. I doubt mind co-signing.

[UT_OB1 2266]

5 hours ago, Catpfish said:

Looking for a little help off of the traditional path. My newly graduated son got an entry level construction management job at Texas Medical Center and we need to find him an apartment. Does anyone have a locator recommendation to make it any easier? Been in the Austin area all of my life and have no clue where to start fire Houston. I think he's hoping to stay in the $650-750 range and knows he'll have to commute. I doubt mind co-signing.

Har.com has a good portal look through rentals.  I’ll DM you an agent I’ve used for other areas that I think covers downtown too. 
 

Single?  If so, I think he’d get more bang for his buck finding a roommate. In his shoes, I’d want to be close to downtown attractions and not have a long commute.  Might be hard to find in that price range that isn’t a little sketchy. However, if he’s already married, fuck it, might as well live in a a nicer apartment 1.5 hours away. His life is already over anyway. 

[UTPhil2006 3930]

Yeah he’s gonna need a roommate to stay in any safe place in that price range 

[gmr548 16701]

Looking for a little help off of the traditional path. My newly graduated son got an entry level construction management job at Texas Medical Center and we need to find him an apartment. Does anyone have a locator recommendation to make it any easier? Been in the Austin area all of my life and have no clue where to start fire Houston. I think he's hoping to stay in the $650-750 range and knows he'll have to commute. I doubt mind co-signing.

Specifically where to live depends on preferences and such - plenty of good options reasonably close to the job - but to get anything decent at that price point he’s going to need a roommate or two for sure.

[Catpfish 618]

Thanks for all of the help.  I might just supplement his rent for the first year until he figures out the areas and what he's going to do with raises, girlfriend, etc.

 

[Dbeasy 15596]

I"m going to look at an RV storage place tomorrow.  For anyone interested in working together on a land deal, I and another investor are looking at buying or building from scratch:

1. storage units

2. RV storage

3. RV/MH hookup properties

4. Multi-family

If you have past expertise with any of these areas, and are interested, let me know. 

 

 

[Chewbacca 7830]

On 5/17/2021 at 8:15 AM, CHIEF said:

Most employees of major commercial contractors get a per diem. Most of them buy an RV to live in, and pocket the remainder of the per diem. That will be my target customer. The land I'm looking at should keep me full for the next 10-15 years. My uncle that sold the storage facility will be my primary investor to take down the land cost. I'm sure it will take 6 months to a year to get the proper permits and the engineering done.

CHIEF

Yep.  Several of my employees do this.  They pay for their monthly rent with 2-3 per diems and can bank the rest.

[Chewbacca 7830]

On 5/13/2021 at 10:31 PM, immamac said:

I'm exploring a partnership with a builder for my property in zilker. 

Have a market price on "equity in" as my contribution, the builder builds on his dime and with his crew as his "equity in" on a cost model. 50/50 share of the profits after each party gets made whole on equity in. 

When I started exploring this in January I said 750k equity in (lower than market, but that's the point for both of us because theoretically I get the build at cost not cost +10%). I'm up to 915k now and the builder agreed that was still below market. 

2 tear downs with significantly smaller lots sold for 865 and 849 respectively within the last 30 days. 

Estimated post construction sale price of 2.2-2.4M, meaning if he spent 800k on the build we would both share 500-700k.  Kicker is I said I'd want to 1031 the whole gain into another, builder said he's game. 

Is this my in to residential flipping? Is this a stupid idea? Property cash flows about 700/mo after expenses and PITI for a caprate above 12% right now. 

I'd be very careful with this.  Will the builder pay for all improvements in cash, or will he expect to be able to use the house as collateral for a construction loan?  What happens if he fucks up and quits halfway through?  What if he runs out of money or can't get a loan to finish?  Most smaller builders aren't going to have that kind of cash lying around.  He's going to want to use the house to get a loan.  If you still have a mortgage, this might be an issue.

Not saying it can't work, but there's a lot of risk here for you. How well do you know the builder and how much do you trust him?

[StassneyHorn 6775]

Should put 5 % down on a condo with the son in the Med Center and have his roommate pay whatever it takes to get down to 650-700 per month.

[UT_OB1 2266]

5 minutes ago, StassneyHorn said:

Should put 5 % down on a condo with the son in the Med Center and have his roommate pay whatever it takes to get down to 650-700 per month.

Yeah I like this idea. If you’re planning on making up the difference in rent from 650-750, you’re probably going to hit 5% of a condo or maybe even a home. Might as well have your portion be essentially an equity gift. 

[TKthunder2 5059]

1 hour ago, StassneyHorn said:

Should put 5 % down on a condo with the son in the Med Center and have his roommate pay whatever it takes to get down to 650-700 per month.

Seriously if you got the money to subsidize him that much, go the condo angle.  Make it at least a 2/2 so he can get a roommate once he meets enough people and then that guys pays for most of the mortgage.  Then it’s either an investment property for you or a starter home/equity for him.

[gmr548 16701]

Thanks for all of the help.  I might just supplement his rent for the first year until he figures out the areas and what he's going to do with raises, girlfriend, etc.
 

Should put 5 % down on a condo with the son in the Med Center and have his roommate pay whatever it takes to get down to 650-700 per month.

Yeah I like this idea. If you’re planning on making up the difference in rent from 650-750, you’re probably going to hit 5% of a condo or maybe even a home. Might as well have your portion be essentially an equity gift. 

Seriously if you got the money to subsidize him that much, go the condo angle.  Make it at least a 2/2 so he can get a roommate once he meets enough people and then that guys pays for most of the mortgage.  Then it’s either an investment property for you or a starter home/equity for him.

Yeah listen to these guys. If you’re still going to be paying his housing expenses at this point you should might as well get something out of it.

[bluto 4997]

Putting son on the deed qualifies for homestead/cap gains advantages? Or is it just a % qualifying.

[Bevo Num1 1068]

anyone getting their isettle responses back from HCAD?

Hays or Harris? If Hays, I got mine a few hours after submitting my protest.

[Enchubben 5600]

6 minutes ago, Bevo Num1 said:

On 5/21/2021 at 9:47 AM, Enchubben said:

anyone getting their isettle responses back from HCAD?

Hays or Harris? If Hays, I got mine a few hours after submitting my protest.

Harris -I should have clarified. I think they are just behind, just odd since I submitted mine like first few days it was available and others that submitted late already have results back. LIFO I guess.

[Bevo Num1 1068]

Harris -I should have clarified. I think they are just behind, just odd since I submitted mine like first few days it was available and others that submitted late already have results back. LIFO I guess.

Not that it means much, but last year I submitted mine in April and didn't hear back from the CAD until November.

[Wulaw Horn 19596]

6 hours ago, bluto said:

Putting son on the deed qualifies for homestead/cap gains advantages? Or is it just a % qualifying.

Yes. It also allows for 5% down instead of 20, and a lower interest rate. It goes from investment property house to non owner occupied co-borrower. 

[UTPhil2006 3930]

35 minutes ago, Wulaw Horn said:

Yes. It also allows for 5% down instead of 20, and a lower interest rate. It goes from investment property house to non owner occupied co-borrower. 

This.  The non occupying co borrower is key.

[Armybrat 41409]

80,000 acre Turkey Track Ranch in Panhandle going on the market:

https://www.icon.global/turkey-track-ranch

[Neonmoon 38130]

But I’m looking for something more in the 90,000 acre range 

[Armybrat 41409]

With or without airstrip?

Edited May 25, 2021 by Armybrat

[Mother mopar 3386]

Getting ready to purchase some land 20-30 acres in east or central texas if the view is right. Anything I should know from those who have done it before? I'm familiarizing myself with the minerals rights stuff.

If it matters I'm a Texas resident but live in Florida. Looking to pay cash for the land and then build "the" house on it.

[Catpfish 618]

Thanks for all of the replies.  We ended up finding a decent apartment within a couple of minutes of the Medical Center for a couple of hundred dollars more than he budgeted.  Apartments are being renovated so they are pretty nice (for downtown).  I'll cover that for the first year until he is sure that's where he's going to be for a while (project is supposed to be completed next year), find a roommate, etc.  We'll revisit the condo idea as we get near the end of the lease.  We didn't really have time as he starts on Tuesday.

[ZB'Tejas 597]

https://www.redfin.com/TX/Austin/1911-E-10th-St-78702/home/31370993

 

Info from realtor is accepted price is 2.3 which makes this more than 1000/sqft! wow

[Armybrat 41409]

22 hours ago, Mother mopar said:

Getting ready to purchase some land 20-30 acres in east or central texas if the view is right. Anything I should know from those who have done it before? I'm familiarizing myself with the minerals rights stuff.

If it matters I'm a Texas resident but live in Florida. Looking to pay cash for the land and then build "the" house on it.

You could try looking around on this site:

https://www.primeranchland.com

[MonkeyDoughnut 10803]

3 hours ago, ZB'Tejas said:

https://www.redfin.com/TX/Austin/1911-E-10th-St-78702/home/31370993

 

Info from realtor is accepted price is 2.3 which makes this more than 1000/sqft! wow

Damn... I can't believe what people are willing to pay given the property tax rates (my "poors" thinking right here).  People got some dough laying around.

[CooterBrown 18288]

11 minutes ago, MonkeyDoughnut said:

Damn... I can't believe what people are willing to pay given the property tax rates (my "poors" thinking right here).  People got some dough laying around.

That's only a bit over $50,000/year in property taxes.

[Sbbruin 22144]

This is not a surly humblebrag.  This is just mid boggling. The market where we live has gotten absolutely maniacal.  A house 3 doors down, a nice, but fairly simple Spanish style.  3/2, 2,000 sf. listed for $1.2 mil a few weeks ago.  My wife and I laughed, thinking the broker got the listing by promising a sale price way above reality.  Well it had an “in escrow” sign on it 3 days later.  We found out yesterday it sold over asking.  How much over asking?  $430k over asking.  $1.639 mil.  That is just stupid.  
 

 

[MonkeyDoughnut 10803]

14 minutes ago, Sbbruin said:

This is not a surly humblebrag.  This is just mid boggling. The market where we live has gotten absolutely maniacal.  A house 3 doors down, a nice, but fairly simple Spanish style.  3/2, 2,000 sf. listed for $1.2 mil a few weeks ago.  My wife and I laughed, thinking the broker got the listing by promising a sale price way above reality.  Well it had an “in escrow” sign on it 3 days later.  We found out yesterday it sold over asking.  How much over asking?  $430k over asking.  $1.639 mil.  That is just stupid.  
 

 

It's stuff like this that would concern me. It's great if you are selling and leaving the area, if not, suddenly its just costing me a crap ton more per year to live in same house.  Salaries surely aren't matching the housing increases. 

[Incredulity 11876]

[jimmyjazz 47212]

22 minutes ago, MonkeyDoughnut said:

It's stuff like this that would concern me. It's great if you are selling and leaving the area, if not, suddenly its just costing me a crap ton more per year to live in same house.  Salaries surely aren't matching the housing increases. 

Well, the homestead exemption in Texas tends to guard against that type of cost increase.  Of course, it also means you're stuck, and the taxing authorities tend to have creative ways to screw you, regardless.

[Sbbruin 22144]

56 minutes ago, MonkeyDoughnut said:

It's stuff like this that would concern me. It's great if you are selling and leaving the area, if not, suddenly its just costing me a crap ton more per year to live in same house.  Salaries surely aren't matching the housing increases. 

Not here.  Prop 13 locks my tax rate to my purchase price in 2002.

[Sbbruin 22144]

54 minutes ago, Incredulity said:

I mean it has to, right?

[Incredulity 11876]

49 minutes ago, Sbbruin said:

I mean it has to, right?

One would think....for the last 20 years or so.

 

Who fucking knows.

[jimmyjazz 47212]

3 hours ago, Sbbruin said:

Not here.  Prop 13 locks my tax rate to my purchase price in 2002.

So . . . that's better, right?

EDIT:  sorry, got my posters mixed up.

Edited May 26, 2021 by jimmyjazz

[TKthunder2 5059]

5 hours ago, Sbbruin said:

I mean it has to, right?

Only if we see a move towards majority remote working and wide availability of high speed broadband then you might see more people moving to midsized cities.  Until then…it ain’t going down in the central urban areas.  Suburbs might but even that’s not a sure thing.

[Bevo Num1 1068]

Not here.  Prop 13 locks my tax rate to my purchase price in 2002.

I wonder how many people moving from California don't realize Texas doesn't do that.

[MAUFRAIS 6740]

I wonder how many of them don’t realize they just moved to the face of the sun. I can’t wait for the bitching in a month.

[mchookem 16769]

13 hours ago, ZB'Tejas said:

https://www.redfin.com/TX/Austin/1911-E-10th-St-78702/home/31370993

 

Info from realtor is accepted price is 2.3 which makes this more than 1000/sqft! wow

 

45 minutes ago, MAUFRAIS said:

I wonder how many of them don’t realize they just moved to the face of the sun. I can’t wait for the bitching in a month.

haha right... that listing above has a lovely completely uncovered rooftop deck and an adorable outdoor dining nook... they probably have visions of all the al fresco dining they'll be doing lolol.

Texas, the land of fire and flood, with a couple of glorious weeks sprinkled in between.