Texas Real Estate???
I have a 1031 exchange and am planning on buying an apartment building. I am looking in the Dallas area. My Friend went to an investment seminar and one of the speakers told her that Texas is a good place for Real Estate right now. I didn't get a lot of details, so I wanted to see what everyone thinks of this idea? I am also looking in Phoenix, Arizona and Fresno, California. If anyone has any information or opinion...Thanks so much Lisa :-?
ANYONE?? :-?
It really depends on the type of property and area of Texas. For instance, MH Parks are still good in the midwestern states, but on the coasts they are getting expensive. Single Family homes are good in certain areas of Florida right now. Others you cant touch for less than 95% of FMV.
Its too general of a statement. Yes 1031's are good in every state. Waht type of 1031 is the question. And then the question would be which area of Texas.
For what its worth Texas and Florida have been good for deals in the past three years, and will continue to do so. Mainly due to the poorer economy, and higher death rate. Senior citizens love florida and texas. Also because there is still so much room for expansion. In the new England states, they have run out of room to grow in the larger cities. Massachussetts for instance is building there highway under the city (the Big Dig). In Florida we are still expanding. More land than people. Texas I am sure is the same.
Hope that helps,
Kyle
Most people recommend investing in your back yard first, instead of chasing rainbows elsewhere.
It's easier to learn and minimize the risks in the early stages there. There will always be hot regional markets. It might be San Francisco instead of Vegas, but those oportunities are not going away, only moving.
while investing in your backyard is great, in california its almost impossible to cashflow without substantial downpayment. also there's a risk that prices may have topped out and with the rise in rates, might not appreciated over the next several years. plus the fact that baby boomers might sell their houses for several hundred thousand dollars over what they owe on them and move to other places in the sunbelt, namely arizona, texas, and florida, wont help the house prices here.
i'm looking into texas and florida too. i havent started my research yet, so let me know if you find anything interesting.
h
wrt to Fresno, many people (RE people esp.) here in the S. Bay are looking elsewhere in the central valley as Fresno has "popped" already.
We looked in Fresno also, prices were too high and no cash flow ..we ended up buying a 22 unit apartment in Arlington, Tx . We wanted cash flow and couldn't find anything in C.A. We will get a good cash flow and hopefully buy more in that area depending on what the market does!? Good Luck
cjmazur,
What do you think is going to happen with the C.A. market? You seem to know the market. You said the Fresno market "popped" are prices going down? I heard that Bakersfield has a lot of foreclosures is this happening in Fresno? Thanks for the info.