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Old 06-11-2017, 03:51 PM
 
9,446 posts, read 6,578,668 times
Reputation: 18898

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Quote:
Originally Posted by unknown00 View Post
1/3 is completely acceptable to me. 1/2 or more then i might give it a second thought
Few buyers who plan to live in the home will invest knowing that even 1/3 of the other residents will be renters, much less 1/2. The interests of an investor and a resident buyer are not the same. The investor wants to make money and the resident wants a nice place to live.
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Old 06-11-2017, 04:00 PM
 
Location: Mckinney
1,103 posts, read 1,661,178 times
Reputation: 1196
Quote:
Originally Posted by unknown00 View Post
The list is quite extensive where new development builders claim they won't sell to investors. Some claim it's HOA, other builders say HOA can't really enforce, a lot of mix feedback depending on where.

My question is - overall and in general, how do they enforce this and how do they know? Anyone just ignore this statement before? Any experience?
All builders have the right to not sell to investors. Its not discriminating. Its protecting home owners from having there values ruined by having to many rentals in their community.
Some investors lie, and may get by. When we pull credit and see multiple properties, we will cancel them. We also have an addendum saying the person is not a investor.
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Old 06-11-2017, 04:02 PM
 
Location: Mckinney
1,103 posts, read 1,661,178 times
Reputation: 1196
Quote:
Originally Posted by unknown00 View Post
1/3 is completely acceptable to me. 1/2 or more then i might give it a second thought
Holy crap. 1/3 is not acceptable. I would never buy a home where there were so many rentals. I would not get a return on investment.
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Old 06-11-2017, 04:29 PM
 
9,446 posts, read 6,578,668 times
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One of the driving forces in buying first homes is frequently to get away from the chaos created by neighboring renters. HOAs help in this.
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Old 06-11-2017, 04:29 PM
 
1,167 posts, read 1,817,281 times
Reputation: 829
Quote:
Originally Posted by mikestrong View Post
Holy crap. 1/3 is not acceptable. I would never buy a home where there were so many rentals. I would not get a return on investment.
Speaking from experience, ~10 years ago I bought 2 new development houses as investments in a neighborhood in Frisco right off of Preston and about 1/3 of it were rentals at the time, BEST investment ever still own them today
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Old 06-11-2017, 04:59 PM
 
Location: Mckinney
1,103 posts, read 1,661,178 times
Reputation: 1196
Quote:
Originally Posted by unknown00 View Post
Speaking from experience, ~10 years ago I bought 2 new development houses as investments in a neighborhood in Frisco right off of Preston and about 1/3 of it were rentals at the time, BEST investment ever still own them today
Of course it was good for you, but NOT for the homeowners if you have too many rental homes. NOT good at all if you have a community with a bunch of rentals/renters. Not sure how you dont get that.

On a second note. I would not be buying new home rentals in this market. Price has been pushed so much that not a good deal.
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Old 06-11-2017, 05:25 PM
 
3,820 posts, read 8,747,540 times
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Quote:
Originally Posted by Rakin View Post
How would you like to invest in a new construction neighborhood where 1/3 of the homes are for lease? Builders have to sell out that subdivision and it makes it hard for them when there are too many for lease.

They are protecting their investment and the homeowners.
Lived it. We're still dealing with the fallout from that period.
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Old 06-11-2017, 09:28 PM
 
3,678 posts, read 4,175,469 times
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Quote:
Originally Posted by MurphyPl1 View Post
Wouldn't you already have thought of that when you make a substantial purchase like that? This isn't like outgrowing your Levi's.
Well, most folks get tipsy when buying a house. They fall in love with subdivision or floorplan or finishes or what not and stop thinking straight.
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Old 06-11-2017, 09:31 PM
 
3,678 posts, read 4,175,469 times
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Quote:
Originally Posted by mikestrong View Post
On a second note. I would not be buying new home rentals in this market. Price has been pushed so much that not a good deal.
^ This.
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Old 06-12-2017, 07:11 AM
 
Location: Fort Worth, TX
2,511 posts, read 2,215,825 times
Reputation: 3785
Quote:
Originally Posted by unknown00 View Post
Uh so what happens if an existing homeowner (such as yourself) moves? You have no choice but to sell?
Yes. WE are trying to sell our house. An executive relocation firm approached us and asked if they could rent our house for one of their clients and we had to say no.
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