Craig Ranch - McKinney (Frisco, Prosper: transplants, rentals, insurance)

[iloveplano]

Looking to buy a Beazer home in Craig Ranch (McKinney address & Frisco ISD) with a thought of downsizing after kids are off to college. That is a couple of years away though. But in the meantime we will rent it out.

House is 2300 sq ft - 380 K - 20% down.

Will I break even on the mortgage vs rent?

Is this area good for renting out the house? How much rent can I expect in rent?

Advice please.

[RoamingTX]

I highly doubt you’re going to break even. You’re looking at $2500/mo between taxes, HOA, P/I and the higher interest rate you’ll have to pay as an investment property.

Rents don’t look to be a full $1/ft up there, so you’d probably have to run at a loss, before you even get into vacancy costs, repairs and management costs.

Would that shortfall be greater or less than appreciation? Who knows.

[mikestrong]

Originally Posted by iloveplano

Looking to buy a Beazer home in Craig Ranch (McKinney address & Frisco ISD) with a thought of downsizing after kids are off to college. That is a couple of years away though. But in the meantime we will rent it out.

House is 2300 sq ft - 380 K - 20% down.

Will I break even on the mortgage vs rent?

Is this area good for renting out the house? How much rent can I expect in rent?

Advice please.

I am renting in that area now.

With all in you probably be at about 2500 to just break even just on the mortgage(with taxes and insurance included). I would not rent 2300sqft for $2500 in that area. I looked at similar sqft on homes that are a bit older(maybe 6 years old) for 1900-2k.
See below, I pulled up homes there for 2300-2500. You can get some 3000sqft homes for that much.

https://www.homes.com/mckinney-tx/cr...n=1|tx&sort=1|[score|desc]
Crap. Cant get my link to connect but you can go to website to check rentals. FYI

[unknown00]

Funny - One of my good friends bought a Beazer home in Craig Ranch couple years ago lol

[hbdwihdh378y9]

Originally Posted by iloveplano

Looking to buy a Beazer home in Craig Ranch (McKinney address & Frisco ISD) with a thought of downsizing after kids are off to college. That is a couple of years away though. But in the meantime we will rent it out.

House is 2300 sq ft - 380 K - 20% down.

Will I break even on the mortgage vs rent?

Is this area good for renting out the house? How much rent can I expect in rent?

Advice please.

Your post is indeed topical. I just saw David Craig in front of the McKinney City Council this evening.

[iloveplano]

Thanks RoamingTX and mikestrong.

What other areas can I look into for investment property?

Prosper may be? There are a lot of new communities on 380. Will 380 eventually will be a highway?

Should I stay within 300 to break even?

[HolaTXs]

Originally Posted by unknown00

Funny - One of my good friends bought a Beazer home in Craig Ranch couple years ago lol

Hey..We are also considering a beazer home in Craig Ranch community. Was your friend happy with the home? what is your opinion about the community in general?

[mikestrong]

Originally Posted by iloveplano

Thanks RoamingTX and mikestrong.

What other areas can I look into for investment property?

Prosper may be? There are a lot of new communities on 380. Will 380 eventually will be a highway?

Should I stay within 300 to break even?

I sell new homes. The new home market is a bit over valued which doesnt make for a good investment that would be a rental. There is at least one area north of of 380 that is Mckinney and starts under 300k. Its called Erwin Farms. There are 2 builders in it to choose from. Its about the only new home area in Mckinney that still starts under 300k with decent size lots.

[RoamingTX]

Originally Posted by iloveplano

Thanks RoamingTX and mikestrong.

What other areas can I look into for investment property?

Prosper may be? There are a lot of new communities on 380. Will 380 eventually will be a highway?

Should I stay within 300 to break even?

Step 1. Never buy new, unless it’s a builder inventory home that’s been sitting. Right now, the last thing I’d buy is any new build - the quality is absolutely terrible.

Buy a slightly undersized resale home in a decent school zone. Cater to transplants.

[mikestrong]

Originally Posted by RoamingTX

Step 1. Never buy new, unless it’s a builder inventory home that’s been sitting. Right now, the last thing I’d buy is any new build - the quality is absolutely terrible.

Buy a slightly undersized resale home in a decent school zone. Cater to transplants.

You base that on what? You cant generically say all new construction is terrible. Thats plain silly.