FOR SALE – OFF MARKET – 3 BR, 1 Bath, Hondo TX

Investors, Hondo is only 45 min. west of San Antonio and is becoming a bedroom community for this booming south TX city!

14.3% cap rate if rented for $1400 per month!

We have a new off market Hondo 3 BR, 1 Bath home, 1100 square feet, .2 acres. Contact 210 865 0742 to make offer!

More photos below!

Address: Hondo TX

ARV: $165,000

Cash Price: $85,000

Repairs: $32,000, includes adding bathroom

Strategy: Flip with $32k in repairs or rent for $1300 to $1500 per month

Comps: Rehabbed: 1155 32nd st sq ft 1148 –   3/2 Sold Price $165,000 

Comps sold as is:

281 22nd st 
sqft 810
Days on Market 1! 
Sold Price $ 85k

1104 25th st
sqft 768
Listed price 120
Sold price 130k
Days on Market 8 days
lot sz .2

2802 Ave H
sqft 960. 2 bed 1 bath
sold price $109,000
Sold 4/9/21

FOR SALE – OFF MARKET – 2401 Ave J Hondo TX

Investors!

We have a 100% off-market property available in the growing community of Hondo, TX, only 43 minutes west of San Antonio. Contact 210-865-0742 or jmpickett@gmail.com for more information.

Property Address: 2401 Ave J, Hondo TX

Description: Great flip or buy and hold opportunity with this 4/4, 2,800 square foot single family home. Sits on .581 acres and features an in-ground pool with shower and restroom. Also includes outdoor garage or workshop.

Repairs: $55,000, including full kitchen and bathroom remodel; new flooring, foundation leveling, service HVAC and pool pump, includes resurface pool, new electrical. We have a full construction team that will update by phone and photos every week on construction progress. Or bring your own team to do the rehab.

Price: Asking $200,000 – note – 2020 appraisal was $220,000

ARV: $350,000

Comps: 1509 25th st Hondo Tx , .289 acres, 4/2 2324 sq ft  – Sold 11/2/2020 $345,000

1101 27th st Hondo Tx, 4/3 2844 sq ft, .51 acres – Sold 7/8/2021 $355,000

Strategy: Flip with $55,000 in repairs or rent for $2000 to $2500 (we have eligible renters standing by.

Notes: Real estate experts say that with the ever-northward expansion in San Antonio’s real estate market, the push to find raw and affordable land out beyond the city limits to develop into residential subdivisions became inevitable – making Hondo more and more desirable to buyers as the San Antonio market shoots higher.

Photos below! Contact 210-865-0742 or jmpickett@gmail.com for more information.

SOLD – 2005 Ave D, Hondo TX 78861

Investors! Hondo, TX, is located 45 west of San Antonio and is experiencing rapid growth as home prices soar in the metro area. Demand rising for affordable rents near San Antonio! Easy drive to the city for workers.

Contact 210 865 0742 today if interested, or email jmpickett@gmail.com

This 800 square foot, two-bedroom, one-bath under market value property can be rented for $1000 per month with 20k in rehab, or flipped for $110,000 with 40-50k in rehab with added 3rd bedroom.

Note – Renter is ready to rent this property once it’s rehabbed.

Address: 2005 Ave D, Hondo, TX 78661

Price: $57,000 cash

Lot size: .21 acre

Recommendations: Owner finance or rent: $40,000 in repairs, including foundation and plumbing, finish interior – rent for $1000 per month. Flip: $50,000 in rehab, including adding a third bedroom, foundation and plumbing, finish out interior. Rent for $1100 to $1200 per month.

ARV: $115,000 to $120,000

Comps: 281 22nd St – 2/1 800 square feet: sold for $85,000; 2802 Ave H, 2/1 960 sq. ft. : sold for $109,000

Why Our Investor Used Her $40,000 Windfall To Be San Antonio Rental Property

A year ago, one of our San Antonio investors had a windfall of about $40,000 that was left to her when a relative passed away. This wholesale property investor had about $27,000 of student loan debt. She wasn’t sure what to do with the money – whether she should spend it, pay off loans, or invest in San Antonio rental property.

The student loans came out to about $500 per month, so it was tempting to pay off those loans with the $40,000. She also got advice from family members to do various things with the cash – buy a car all cash, invest in CDs, fix up her home, etc.

In the end, she decided to use that $40,000 to buy her first San Antonio investment property. Many of her relatives couldn’t understand buying a home with that money, and not live in it!

Why She Didn’t Pay Off Her College Debt

There are good arguments to pay off student loan debt, without question. But this under market value property investor decided to wait on that for three reasons:

  1. College loan debt is tax deductible: This investor’s loans have an 8% interest rate, which after her tax deductions and inflation rate of 3%, the APR is around 4%.
  2. Liquidity: If she paid off her college debt with the money, she’d have no liquid cash. This would have made a tough situation if she had something bad happen, such as a roof problem on her home or needed emergency surgery.
  3. No cash flow: If she paid off her loans, that money wouldn’t be making her money. She had another investment property (rental property) that made about 30% return on an investment of $35,000.

San Antonio Rental Property Purchase

So, she bought an under market value property for us with a price of $105,000. The actual value of the home was about $137,000.

She put down $28,000 and had closing costs of $4,000. Her out of pocket costs were $32,000.

The rental property had two units – one was a 2/1 for $750 a month and the other was a 3/2 for $1,000 a month. Mortgage payment with taxes and insurance was $700. The property was in good shape and only needed $1,500 in repairs. Monthly costs were $170, including water and trash.

Monthly cash flow came $880 or so, and she kept five months of cash reserves for the mortgage payment for about $3500. Her yearly cash flow was $10,200, minus a vacancy rate of 7%, for a total of about $9800 a year.

Her ROI was $9800, divided by $32,000, for about 30% cash-on-cash return.

She was able to get enough in rental income to pay for her monthly college debt payments and still have cash flow! That’s why, if you do it right, investing in San Antonio rental property can make sense.

But you need to get the right property at the right price, with acceptable repair costs. San Antonio investment properties are increasing in value, so you need to find a good deal to maximize your cash-on-cash return. But when you find the right one, you can bet that you’ll see increased appreciation; we had about 10% appreciation on homes in San Antonio in the last year.

We will have new San Antonio investment properties on this site soon (as of May 24, 2021), so check back soon!

House Prices Soaring In San Antonio in 2021

The spring selling season has started in San Antonio, and home buyers and investors looking for properties should expect to pay more, no matter if you’re buying a $50,000 under market value property or a $1 million mansion.

A recent study revealed the annual appreciation of homes in San Antonio is between 7-8% as of February, compared to a year ago.

Lower-priced homes in San Antonio saw an 8% rise, with a typical price of $153,000. For homes up to $226,000, the rate was 8%. Home values in more expensive homes above $366,000 grew 7.3%.

Also, the median price of sold homes in San Antonio increased 12% in March 2021 to $268,000, with the average of 45 days on the market, which is down 35% from last year.

We’re seen such an increase in prices this year that some worry we might be looking at a housing bubble like 2008. But this doesn’t seem likely; the conditions causing the increase this time are different, so we’re probably in for a steady rise for the foreseeable future.

Excess lending is largely what drove the 2006 and 2007 bubble. But lending standards are tighter now. Most buyers need higher FICO scores and down payments, and debt to income ratios are tighter.

Also, there still is a shortage of homes in San Antonio; the inventory dropped to only 1.3 months in March 2021. That’s well below the typical six month supply that is thought to be a good balance between buyers and sellers.

Another factor reducing supply – and this is something that should concern investors looking for San Antonio wholesale properties – is high material costs. Prices have tripled since 2020 with the average cost of a new San Antonio home almost $400,000.

Available land is scarce and more expensive, and the permitting process is taking longer.

More people are moving into Texas from more expensive areas, drawn to the lower real estate and living costs. Real estate investors are buying up a lot of under market value real estate properties in San Antonio, too. This increases prices.

But while you will pay more for San Antonio wholesale properties, you can charge a higher price when you owner finance or rent it.

Here at Texascashflow.com, we’re currently searching for new deals that meet our criteria. Don’t worry – we’ll have our listings updated soon with more fantastic wholesale investment properties.

Send Us Your Best Under-Market Value San Antonio Deals! 

We currently are looking for under-market value wholesale deals in San Antonio! We have several cash investors outside the US looking for $50-100K wholesale distressed properties to repair and owner finance. Send property addresses to jmpickett@gmail.com now! Or call 210-865-0742.

Zip codes: 78228, 78207, 78212, 78223, 78210, and 78201.

SOLD – 1126 Grand Valley, San Antonio TX 78207

Minor fixer upper can be transformed into a money-making machine. This home is west of downtown,  close to the river walk, museums of Art, best Mexican restaurants, Pearl District, El Mercado, Ranger creek brewing and Distiller, Farmers Market, First Fridays, Fiesta, San Pedro Springs Park and so much more

1126 Grand Alley San Antonio TX 78207 1 bed 1 bath, 412 sqft, lot size: .06 of an acre.

Price: 55K cash

 Home is occupied: $550 (long term tenant)

Estimated repairs: 5K. paint, minor plumbing, minor electrical, trash removal, fence repair, rodent removal, broken window.

Exit Strategy: buy/hold/rent – and wait for appreciation.

Estimated rent: $700-$800

FOR SALE – 1004 Monterey St. San Antonio TX 78207

With some attention and gentle care this can be your money-making investment. This home is west of downtown,  close to the river walk, museums of Art, best Mexican restaurants, Pearl Distric, El Mercado, Ranger creek brewing/Distiller, Farmers Market, First Fridays, Fiesta, San Pedro Springs Park and so much more … 

1004 Monterey St. San Antonio TX 78207 1 bed 1 bath, 448 sqft, lot size: .05 of an acre.

Price: 59.5K

Estimated repairs: 1-5K. paint minor plumbing, minor electrical.

Exit Strategy: buy/hold/rent – and get ready for massive appreciation.

Estimated rent: $700-$800

See photos and comps below!

SOLD – 1306 Hough, Adkins TX 78101

Brand new home never finished, Tremendous cash flow opportunity in South San Antonio suburb (Exploding Market), 1306 Hough, Adkins TX 78101, 2 beds 1 bath, 961 sqft, large lot: .18 acres, Cash only: 47.9K firm, estimated repairs: 20-5K. ARV 119K – Max ARV 139K

Exit Strategy: 

Owner Finance: repair with 20-25k: then resale at 119K $1,200.00 monthly mortgage includes PI/TI,  30 year amortization, can sell note after 1-2 years

Rent: repair property with 20-25K, then rent out $1100- $1200

Attached below is a Dropbox link where you can view and download the pictures and video of 1306 Hough taken today. Please contact me if you are unable to view or download the files.

https://www.dropbox.com/sh/uqegr6bee0nbyly/AACwUq32VLR3OeHuUelOAzVsa?dl=0