Is it a good investment to buy in 77077? (Houston, Keller: rental, sex offender)

[geopainter]

Agree with Bronstew.... values in 77077 are going up, but not uniformly. Location does matter. Houses along Briar Forest or Kirkwood will always be a little less because of the traffic. Homes in the gated communities near Eldridge and zoned to Bush will be more, obviously.

We bought almost 4 yrs ago in 77077 because the home was renovated and cost 50k less than similar home in 77079 that would have needed a lot of work. Of course, prices in 77079 have exploded in the past few years, so whereas $300k could get you into a ficer-upper in 2010, today, not so much, looks more like upper 300k - 400k+ for single family homes. Meanwhile, as has been said, homes in 77077 have appreciated a lot lately and like other parts of west Houston, homes were selling very fast this year... very close to Energy Corridor developments, zoned to decent to very good Houston schools, attracting young couples that like the feel of the neighborhoods, but are not able to commit to the prices in 77079 for same-era (or older) homes. Some great bargains in the 200-300k range, but perhaps not for long!

[Bad Haggis]

Originally Posted by julia1999

One thing I am curious is: how is the quality of these houses built in 1970's? do they suffer from Lead or other toxic? I know the energy efficiency of old buildings is not good anyway.

You got that right and don't let anyone tell you otherwise. New is much more efficient. Quality of materials varies and you get what you pay for.

As far as toxic materials go I believe it is 1978 and older for lead and asbestos but I may be wrong. You may have to sign a disclosure for both but definitely for the lead. I'd personally get a radon test on granite counters as well.

[whogo]

Rule of thumb, do not buy unless you do not plan to sell for at least five years.

[julia1999]

Originally Posted by cheryjohns

Like has been said already, if you are just here for about 2 years, it might be better to just rent. If longer, 77450 over 77077. Not because location is not important - but because it IS. That budget will put you in sketchier areas of 77077 - or homes that need a mountain of work.

Thanks for your advice. 77450 is certainly under my radar, although I was put off by the terrible traffic on I-10 during the rush hour. Buying at 77450 is such a dilemma for us: we were wowed by the fantastic community and magnificent houses (compared with these old bungalow houses at 77077), but its popularity as a rental market will undoubtedly jeopardised by the traffic. We are looking for a rental property that can generate a reasonably stable cash-flow in the next 10 years.

Maybe I significantly under-estimate the rental market at 77450 after all? I know that area is also very popular among professionals working in oil and gas and a 45 minutes rush hour ride to work is only considered as average in the US,while such a ride will be considered as long-distance commute in the UK.

I wish the light-rail could link 77450 with downtown and energy corridor in the near future.

[cheryjohns]

Originally Posted by julia1999

Thanks for your advice. 77450 is certainly under my radar, although I was put off by the terrible traffic on I-10 during the rush hour. Buying at 77450 is such a dilemma for us: we were wowed by the fantastic community and magnificent houses (compared with these old bungalow houses at 77077), but its popularity as a rental market will undoubtedly jeopardised by the traffic. We are looking for a rental property that can generate a reasonably stable cash-flow in the next 10 years.

Maybe I significantly under-estimate the rental market at 77450 after all? I know that area is also very popular among professionals working in oil and gas and a 45 minutes rush hour ride to work is only considered as average in the US,while such a ride will be considered as long-distance commute in the UK.

I wish the light-rail could link 77450 with downtown and energy corridor in the near future.

Yes, you are underestimating 77450 in rentals and re-sale.

[julia1999]

Originally Posted by geopainter

Agree with Bronstew.... values in 77077 are going up, but not uniformly. Location does matter. Houses along Briar Forest or Kirkwood will always be a little less because of the traffic. Homes in the gated communities near Eldridge and zoned to Bush will be more, obviously.

We bought almost 4 yrs ago in 77077 because the home was renovated and cost 50k less than similar home in 77079 that would have needed a lot of work. Of course, prices in 77079 have exploded in the past few years, so whereas $300k could get you into a ficer-upper in 2010, today, not so much, looks more like upper 300k - 400k+ for single family homes. Meanwhile, as has been said, homes in 77077 have appreciated a lot lately and like other parts of west Houston, homes were selling very fast this year... very close to Energy Corridor developments, zoned to decent to very good Houston schools, attracting young couples that like the feel of the neighborhoods, but are not able to commit to the prices in 77079 for same-era (or older) homes. Some great bargains in the 200-300k range, but perhaps not for long!

Yep, I checked again on several 77077 properties on HAR today, most of them are pending now....I am now trying to find out information about house qualities of these 1970's houses. If their building material contain various toxic staff, I'd better give up buying this area soon. My friend told me that even for houses built in 1980, there is still a possibility of toxic lead.

[cheryjohns]

Originally Posted by julia1999

Yep, I checked again on several 77077 properties on HAR today, most of them are pending now....I am now trying to find out information about house qualities of these 1970's houses. If their building material contain various toxic staff, I'd better give up buying this area soon. My friend told me that even for houses built in 1980, there is still a possibility of toxic lead.

Although lead paint wasn't used past 1978, it was actually being phased out before that. All houses built prior to that date have to have a lead base paint disclosure, saying that the house could have had it. From what inspectors have told me, it was only being done in expensive homes that close to 1978. Evidently, it wasn't cheap paint.

Actually, homes built in the 70's were better built than in the 80's. They are usually solid.

[LizzySWW]

Originally Posted by julia1999

Yep, I checked again on several 77077 properties on HAR today, most of them are pending now....I am now trying to find out information about house qualities of these 1970's houses. If their building material contain various toxic staff, I'd better give up buying this area soon. My friend told me that even for houses built in 1980, there is still a possibility of toxic lead.

I don't think a newer home necessarily gives a lesser chance of exposure to toxic building materials. Almost every 5-10 years a new toxic building material is discovered after long term exposure causes health problems for occupants. A newer home won't have toxins like asbestos, lead paint or Chinese drywall but it probably has some undiscovered toxic materials that will come to light in the future.

77077 is a nice area offering a shorter commute. If you can find a home zoned to Barbara Bush Elem in this zip, that's where you'll get the biggest return on your investment. 77077 is gaining popularity with younger families who are priced out of West Memorial.

[Shipresa]

We looked recently in the area for the elementary school (Barbara Bush.) We spoke to a number of families and parents who has kids in the school, or a few years out of the school, and they cautioned us that the school isn't what it used to be, and ratings/rankings take time to catch up with the true quality of the school. We decided to look elsewhere, although the school district IS good.

We are looking to rent our presently owned home and buy bigger in a different school district.

Our opinion (after being here from Scotland now 3 years) about 77077 is the same as when we looked there in 2010. The houses that are reasonable (say $300ks) needed much reno. The renovated ones were going for $400k ish. The 70s homes that we looked at were dated, for sure. Low ceilings, small windows, cracked concrete surfaces (say around pools or garages.) And be wary of areas with apartment complexes nearby. I'd go for 77450 myself these days.

That said, 77077 and 77079 always rent well. One suggestion, talk to Lorna Ramsey. She facilitates tons of rentals for folks coming over and gave us great advice for targeting that population with the oil companies.

And our opinion is that your budget is low for a house that people will want to rent. You may find that more for a townhouse situation, which still rents decently in the area.

[julia1999]

Originally Posted by Shipresa

We looked recently in the area for the elementary school (Barbara Bush.) We spoke to a number of families and parents who has kids in the school, or a few years out of the school, and they cautioned us that the school isn't what it used to be, and ratings/rankings take time to catch up with the true quality of the school. We decided to look elsewhere, although the school district IS good.

We are looking to rent our presently owned home and buy bigger in a different school district.

Our opinion (after being here from Scotland now 3 years) about 77077 is the same as when we looked there in 2010. The houses that are reasonable (say $300ks) needed much reno. The renovated ones were going for $400k ish. The 70s homes that we looked at were dated, for sure. Low ceilings, small windows, cracked concrete surfaces (say around pools or garages.) And be wary of areas with apartment complexes nearby. I'd go for 77450 myself these days.

That said, 77077 and 77079 always rent well. One suggestion, talk to Lorna Ramsey. She facilitates tons of rentals for folks coming over and gave us great advice for targeting that population with the oil companies.

And our opinion is that your budget is low for a house that people will want to rent. You may find that more for a townhouse situation, which still rents decently in the area.

Hi Shipresa, that is very helpful advice. I did not realise that you were also from UK in the first place, and was surprised to see that Lorna Ramsey was mentioned in your post. I think she is the most well-known real estate agent among british expats.

At the moment, I need to adjust my expectation and concentrate my house hunting on 77450, an area provides me some choices within my budget. I hope I could find a decent house at 77450 that does not require a total renovation, and near to good community facilities. The potential tenants for this type of houses will be tenants with families, a different tenant type compared with 77077.

The reason for me to give up on buying at 77077 is because I am NOT keen on home renovation. I used to take one home renovation project in 2010, and I know how demanding it is. As a landlord, I prefer to buy a house with decent decor so I could directly rent out.