Foreclosure investing in dallas (Plano, Coppell: real estate market, foreclosures, rentals)

[indian1]

I am not from Texas. Never lived here. Interested in foreclosure investing only. A beginner though. Read on a couple of websites that Dallas, among other Texas cities, is a great city for foreclosure investing as housing here is affordable. And homes here sell faster even in these difficult times.

Is this true?

If yes,
I'd like to start with 100-200k. And I'd like to sell fast if it makes sense.

I'd appreciate someone familiar with Dallas foreclosures guide me to the Dallas neighbourhoods best for this.

Any advice welcome.

thanks

[momof2dfw]

Honestly, I will tell you that cities and such look down on out of state investors around here. Mostly because they are the types that buy something sight unseen and never take care of it.

I take it your looking to flip these houses. NO WAY! While our economy might not be in the tank like other areas........... that doesn't mean that it is the best time to buy and flip houses. Especially if your a beginner. I wouldn't do that right now with the mortgage mess going on. Then, for some reason in the Dallas area EMPTY houses do not sell. They sit and linger on the market and it doesn't matter how low you drop the price to move it. If your looking to buy them and rent them out...... same thing, they look down on out of state investors. Some cities also have VERY strict guidelines and inspections for rental property. I've known of many properties that have been forced foreclosed or eminent domain on by cities against out of state investors because they let the property run down.

Being a beginner and you want to flip I'd start with something VERY CLOSE to home so that you can keep a closer eye on it. Trying to do something like this long distance DOES NOT WORK!

[nsumner]

There are some good deals yes but there are also a lot of investors, local and out of state, many even from out of the country.

Are you looking to build a portfolio of rentals or flipping?

Naima

[indian1]

Thanks momof2dfw and nsumner for your replies.

Yes, I am thinking of flipping. I have some 200k in hand ready to invest. I am in boston area
and 200k won't get you anything in good locations there even in foreclosures.

Any neighbourhoods in Dallas or other Texas cities where it is easier to flip?

Also, Is it a good idea to buy a bank foreclosure with 100% cash down?

[nsumner]

100% cash doesnt' mean that you will get the best deal with foreclosures because they really just look at their bottom line and the end result is the same.

May be with some homes that have been on the market a long time, of course they would need to have some spread to make it worth it.

For strict investment, I would suggest anything in Plano ISD. It's an area that is always desirable for rent or sale. Another area is Coppelll. Homes sell fast there too and are equally desirable.

Naima

[loves2read]

I don't think that fast is operative word in this situation--and if you don't really know the market you can really get burned--
that is how part of this market fiasco started in the first place
people trying to buy and flip houses--often from a distance...
think you should be prepared to invest time as well as money--being a long-distance landlord means having management co in area--which also eats into your profit...

[dvlpr]

Originally Posted by indian1

I am not from Texas. Never lived here. Interested in foreclosure investing only. A beginner though. Read on a couple of websites that Dallas, among other Texas cities, is a great city for foreclosure investing as housing here is affordable. And homes here sell faster even in these difficult times.

Is this true?

If yes,
I'd like to start with 100-200k. And I'd like to sell fast if it makes sense.

I'd appreciate someone familiar with Dallas foreclosures guide me to the Dallas neighbourhoods best for this.

Any advice welcome.

thanks

I think you have a great plan. You should definitely try and buy something in foreclosure and sell it really fast for lots & lots of money.

And if you do it in a city you know nothing about, you should do really, really well for yourself.

Maybe one day you can have your own infommercial!

[indian1]

dvlpr,
I get what you mean. But sarcasm does not bother me. Have a good day.

[loves2read]

why don't you buy something in Boston--I am sure there are homes/condos there you can flip and that is close to your own residence

[dvlpr]

Originally Posted by indian1

dvlpr,
I get what you mean. But sarcasm does not bother me. Have a good day.

And I get what you mean. But it DOES bother me when I hear about the schemes of "investors", who think that trying to make short-term money by flipping houses is "investing". It's quite damaging to the market overall, and is really no different from the sad people who gamble at casinos to "make money". People with similar "schemes" (who thought it was possible to get something for nothing at the expense of other people) played a large role in wrecking real estate markets all over the country. Those people should be embarrassed and ashamed.

If you had asked about investing long-term in Texas real estate, you would have received a helpful and friendly response. But your posting was quite explicit: you're only interested in trying to extract a quick payday from a city to which you contribute nothing. And I feel compelled to point that out.

Oh, and have a good day.