It's been a week, I have not woken up screaming, and no one has asked me if I've lost my mind, so....I think I can safely say that I am now, officially, a College Housing Investor! Yep, Whoop, and all that, I went to College Station on a mission and bought one right on the spot. Made an offer they couldn't refuse; wanted it quick and painless....QUICK being the operative word (before I changed my mind!)
WHAT???? did I buy? A 2 Story 4 Bedroom Townhome. Thinking: no yard to mow, pool, gated, on the bus route, exterior cared for, tight-knit community for "socializing" and/or safety. It will house 4 girls with shared double sink vanity bathrooms and large kitchen and living area. I decided to average all the bills and charge the roommates a flat fee, all bills paid. (Electric being the exception; will provide for electric overages by holding from deposit) Compared to area apartments, it's a deal. Why a 4 bedroom? I did the math, and yes it hurt, but it's easy to see that dividing the HOA maintenance fee, Cable, Electric, and Water by 4 was the economical. Also, If one moves out it's not as painful when it's one of four.
WHY??? I interviewed many college parents present and past that have made the leap to investment and not ONE single family regretted buying. Many who rented the whole time regretted NOT buying. Thought it was a smart idea, just didn't know where to start. Some said there were unexpected hassles (usually house or roommate related) but in the end they felt it was a great investment. There are few investments that have this kind of following. I also did the math over and over and it works, works really well for upper classmen who prefer to stay in town for the summer to work or catch summer school sessions.
I'll keep you posted on the move in and ensuing dramas, hopefully answering questions if you've considered just such an adventure. I thought I'd better do it before I recommend it for others. But, if you're on the fence for next year, now is the time to find out about where and when to look. It's helpful to find a good realtor to keep you in the loop as far as which are the better investments. I can help with finding you a Realtor on the other end in Dallas, Austin, or College Station/Bryan. I have good working relationships with agents in each city and can take the guessing out of that part of the job for you. I also have a wonderful loan officer who helped me with the best way to finance. She's done this many times for others and knows the ropes.
FEWER homes sold in 2008 First Quarter versus the same period last year, they have shorter Days On Market, AND they are selling for MORE MONEY per square foot.
This is an indicator that the most UPDATED HOMES, which sell for more per square foot, are the homes that are SELLING right now. Those homes lacking in updates, highly desirable locations, or amenities are languishing on the market.
If SELLERS are thinking of selling in the near future, do as much as possible to update your colors, flooring, and fixtures Buyers want move-in ready. If you are thinking of updating, call or email me for a list of the best guys for the jobs. I keep up with the quality of work they do for other clients and I'm happy to consult or share with you.
It all started innocently enough..........Last week, at a local organization luncheon, I was happy to hear that there is a group of civic minded persons working to inform and promote improving our schools and encouraging us to vote YES for the Fort Bend Bond Election on Nov. 6th.
The group called "Excellence in Education" had a spokesman address the group, ask for voter support and offered signs to put in your yard to help promote the vote. I grabbed 3 signs and ran home to stick them in my yard. I wanted to promote the Bond, too.
But, early this morning, I was greeted at the door by our Pecan Grove POA President, Jim Ashmore. He was there to inform me that I was a SIGN BANDIT! I was in violation of our community deed restrictions allowing one sign per cause or candidate! Ooops! I quickly complied and had a nice chat with Jim. He also completely supports theFort Bend Bond Referendum, but he has a duty to take care of our Pecan Grove neighborhood. So, I'm looking for 2 more high profile yards to display my signs in. Don't want them to go to waste. I am also glad that I got a chance to meet Jim Ashmore today. Tomorrow is Pecan Grove POA board election.
It's important to maintain the quality of our schools by providing adequate facilities to house the growing student population and upgrading technology equipment for students and staff.
As of 2006, Fort Bend ISD tax rate ranked well below the average tax rate for Other Texas high-growth school districts. So, adding the additional tax would still keep FBISD's rate in the average range.
Thank you for your comments and interest in the Fix and Flip project that I recently wrote about.
I will be very honest about the fact that this was my first professional project. It came to me as a result of helping a client/friend find a fabulous patio home to scale down to. Timing and circumstances beyond her control left her in a position of needing to sell fast. Knowing the market as I believed I did, I crunched the easy numbers up front for the paint, carpet, tile, granite and fixtures. It looked like the possibility of a very nice return on investment if we could get it back on the market quickly. Holding costs in the summer with that pool and huge yard and massive A/C bills was a bit scary.
Did I have a formula? Not exactly.....having been interested in flipping for years, asking every contractor I came in contact with how much things cost, and consulting with a highly successful and respected Investor in Houston gave me some general idea of how to proceed with cost estimates. Of course, the HGTV shows are full of ideas and scenarios as well, but the best model I found was in the new Best Seller, FLIP the book.HOW TO:
The most valuable information I found in it was the repair cost checklist which takes you through the house, item by item and helps you to assess the house without emotional attachment. It is a business deal and the numbers must work.
FLIP also helps you decide which of 4 Design Levels to finish the house with. It doesn't make sense to put granite and designer appliances in a $120,000 house. As a Realtor, it was good that I had been in most of the home's recent competition to be able to decide what level most of the homes in the market area were finished out to.
FLIP covers the holding costs that you should calculate as part of the expenses you'll need to cover. Many forget that you'll need lawn care, pool chemicals, utilities, insurance, and your share of the accrued taxes at the closing table along with the commissions and repairs.
FLIP also reminds you to PLAN on a few expensive surprises along the way.
An informal appraisal to verify square footage and an appraiser's idea of the Bank's valuation of the property after completion could really save you some serious grief in the final week of the transaction.
Because I was working with a friend as the seller, I trusted WAY too much and inspected WAY too little. I would have negotiated for less if I had know of 3 non-working systems that I was assured were all in working order.
That spelled several thousand unexpected expenses.
So, I did not use a hard and fast ratio or formula. Every property is unique in its requirements. The first thing you need to find out is the average selling price and finish out in the neighborhood. It's risky to set precendence by price and it makes you question, "is there even a market for this house all fixed up"
I brought in the general contractor first to determine what the big ticket items were going to come to first. I wish I had gotten the electrical and plumbing estimated first as well, but I did not have a reliable source at the beginning. I also got an HVAC estimate.
My philosophy follows the footsteps of the Investor I mentioned before in Houston...his houses always sell very quickly, he had developed an excellent reputation for top notch quality flips. I represented a buyer of one of his first, his personal residence. The inspector took me aside and said, "This is the best d--n renovation I've ever seen, this guy really knows what he's doing. Excellent work and no shortcuts" I liked that, so I decided to follow suit.
Other investors make the mistake of seeing a good deal and not considering the bones, floorplan, location, curb appeal, and quality of construction before deciding on pursuing the project. Every market is different even from Houston inside the Loop to Sugar Land or Richmond as far as what is an acceptable profit on a flip. Greed will get you a lengthy stay on the market and big holding costs.
So, finish a little above average, price just below average, make sure there are no major objections to location, curb appeal, floorplan, and quality before considering. Pay attention to the details, that speaks to quality and gives the buyers confidence that you've taken care of things they can't see. Don't cheap out on flooring especially. Educate yourself on paints. There is a HUGE difference in quality .
Since I chose to Flip in Pecan Grove, my neighborhood of 13 years, it was vitally important that I produce a Quality Fix and Flip Home. I hope you've found this helpful. I'll provide more details out of the book in later entries.
And, I'm sorry to say that I have no before pictures....jumped right in and never looked back. I'm not a picture taker for some odd reason. I will say that we had nasty stains on 90% of the carpet, glossy white and salmon tile in kitchen, pale 1990 pastel colors in wallpapers and on walls. White formica counters with dingy oak cabinets. Old brass and glass light fixturees, raggedy old plumbing fixtures, rotten doors, 3 rotten arbors,green swimming pool,dead and missing grass, overgrown trees, shrubs, brown brick with pale pink trim, water damaged ceilings,black and green mildew all over outside house and patio, nasty front door, clogged A/C with $900 electric bill,non-working appliances, and discolored brass plate door knobs. It was a lot of work, but worth it for the beautiful outcome.
What is a Flipwitch? That's me, Kimbra, running past schedule in the final week of a Fix and Flip project, or walking in to find all the windows and doors OPEN with the Air cranked down to 60 degrees!!!! or driving up to find a garbage heap STILL in the driveway (that was promised to be gone weeks ago) causing me to cancel the Photographer. Don't call me to tell me it will be tomorrow! And don't say, it will be "FINE"!! OK, enough, it got done in a decent amount of time, considering the unseasonal torrential rains we suffered.
It turned out beautifully, the near neighbors pleased, the new owners thrilled with a better than new home in Pecan Grove, Pecan Forest Section.
So, I want to say,
Thank you Pecan Grove, Pecan Forest section, for your cooperation and patience during my latest Fix and Flip just down the street from you on Moss Creek Court. I know it was a mess, and the contractors were parked 2 deep on some days, but I believe the results were worth it for you and your neighbors.
2307 Moss Creek Ct. SOLD in 8 days for $380,000
That's 4565 sq. ft. at $83.24 per sq.ft.
Purchased, Fixed and Flipped back on the Market in 5 weeks
I found an investor and partnered with him to renovate this property, to bring it up to the Classic Pecan Grove Plantation standards. In the past 2 years we've had homes selling as low as $44 per sq. ft. because of their condition.
I believe that with the right advice on materials and contractors anyone who is in need of selling in the near future can bring above average selling price and spend fewer days on the market. Sell it quick and for top dollar.
I've been helping people in Pecan Grove for years, so you could say that I know this area very well. That's why, in my ongoing commitment to first-class service, I can confidently say that if I can't answer a specific home-related question you have, I'm a phone call or email away from an expert in my professional network who can.
So if you have considered selling or if you have any home-related questions, please don't hesitate to call 832-878-4833 or email me at kimbrav@kw.com.
If you know of someone who needs to sell a home that is just not saleable, give me a call , I can help. I have investors who believe as I do in the kind of renovations that can rescue a desperate homeowner ,breathe new life into a neglected property, add value to the neighborhood with increased selling price. I believe in Quality Fixin' and Flippin'.
Why in the world would we want to vote to raise our taxes??????
If for no other reason, think of the value of your home in comparison.
I know, you love Pecan Grove, you are never going to move, you like low taxes. ...But, you'll have better looking homes and more owner occupied homes as neighbors which tends to make your home a nicer place to live.
I'm no economist, but as a Realtor, it is clear to me that neighborhoods with highly sought after schools attract neighbors of quality and more of them. Supply and Demand gives you more buyers seeking the same properties, boosting the home values.
As this lovely neighborhood ages, the homes need to focus more attention and money to fight aging and deterioration. Homeowners fear spending upkeep money unless they feel fairly certain that they will realize a return on their investment at sale time. So, they're more likely to replace the rotting boards, keep the paint fresh, refinish the front door and prune the landscaping to protect or even boost their home's value. Low rated schools create low demand for homes, raggedy homes can't sell and are bought by investors for renters who historically and statistically do not take care of their homes. This can create a vicious cycle that affects overall home values and neighborliness.
Pecan Grove is a Family Oriented neighborhood. We love and support our schools with record breaking Volunteer Hours and Fundraisers to support our special PTA sponsored enrichment programs. We are very happy that we FINALLY have schools close enough to home that we feel secure in the fact that we will not be moved again. I see a tremendous amount of School Spirit at Travis High School and Crockett Middle which are both results of the last Bond election. I am happy to tell you, it is a joy to pay $15 more per month (the average increase per home according to http://www.fortbendisd.com/ ) to have schools close enough to drop off forgotten gym shorts in a 7 minute round trip.
Fort Bend ISD is growing, just look around at the subdivisions springing up between the cows. We need to keep pace with the families moving to our district seeking top notch facilities and programs. For one, we desperately need another Natatorium Practice Pool !!! What is that???? It's a POOL for the High School swim teams to practice.
Case in point: I know football players work hard and long, I have one of those, I know the Band works even harder and longer, I had one of those, too, but do you know what a Varsity Swimmer goes through?????
My daughter swam for Austin High School for 4 years. Varsity for 3 years.....so where do they swim and dive practice? At the ONLY Pool in Ft. Bend ISD. the Cook Natatorium behind First Colony Mister Car Wash off Lexington. .....AT 5:20 AM!!!!!! We share that pool with 9 other High School teams. It looks like the Hwy 59 at 7:30 am traffic jams. These swimmers get up at 430am to pack their lunch, slam breakfast, pack suitable clothes for school and carpool to the pool for 20 minutes at 5 a.m. to swim for 2 hours BEFORE school.
What do you think that does to the teenage mind by 1pm sitting in a classroom? And, it really makes a difference on the day of a swim meet. They've been up since 430am and swim competitions until 9pm some nights. It's downright cruel. But, look at the kids, they're INCREDIBLE in my books. That schedule sure keeps them out of trouble. But, they're competing against Katy ISD, Houston Schools, and The Woodlands with Pools INSIDE their own schools. They just walk out of class at 2pm, down the hall and fall in the pool for a leisurely swim before heading home at a decent hour.
I'm not asking for that level at this point, but good grief. GIVE them ONE MORE POOL!!! I also think we need another District Football Complex!!!
I know this is one small group's gripes.....but I also know that Travis High School has the most incredible technology and I would like Austin High and others to also enjoy some of the latest tech stuff. I have sons at Both Schools these two years of the split. I didn't welcome the change, but they have each flourished in their situation. They are both GREAT schools.
So, Back to the Taxes......Pecan Grove is extremely lucky to have enjoyed a well managed MUD over the last five years. We have seen taxes reduced several times. We also have fabulously low taxes for Ft. Bend County, We can afford a small tax increase that really only puts us in line with other fast growing districts. (See www.fortbendisd.com) For More about the Nov. 6 Election Issues. Please vote FOR our schools!!!! But, most of all, VOTE!!!! See you at the Polls!
Pecan Grove, My little corner of the world, My Village.....continuing the reminiscing......
So, I had the 5 days to find a house, I worked 8 hours a day with my realtor, narrowed the acceptables down to 1 in Cinco Ranch, new, near the "Oh, it'll never be busy" Hwy 99; 1 somewhere in First Colony, needed a LOT of work; and 3 in Pecan Grove. I artfully stacked the tour for my husband to make sure that my favorite was last and looke awesome compared to the totally trashed house I showed him just before it. I think we paid $10,000 more for the house with trees, but it WAS 98 degrees in July after all and we were moving to the armpit of Texas, so I deserved it, right?
We immediately started school, loved the volunteer opportunities, so got involved with the PTA We found the grocery store options in Richmond or Sugar Land, found the Mall, and the George Memorial Library. The Library was awesome. It had PC's for the kids, story time, movies, books on tape, great. We needed ways to keep the preschoolers busy because my husband began traveling 50% out of state and country.
We found opportunities for the boys to attend Pecan Grove Baptist School for Young Children, joined the Pecan Grove Babysitting Co-op, started playgroups, and registered for soccer. Every gathering brought us in contact with wonderful families chasing kids around just like us. It felt like HOME! Although we missed our very close freinds back in the Dallas area, we realized we had found a great neighborhood to start a new chapter of our lives.
Which brings me to the "Village" concept. Without warning one beautiful, sunny Saturday in our second Pecan Grove June, my husband, bestfriend, and soulmate died of a heart attack at 38 years old while I ran to the store for milk. It was my son's birthday party day, I was 36 and thought my life was over. But I looked up and found 6 of my neighbors running in with their Pecan Grove Volunteer Fire Dept. gear, neighbors holding me up, neighbors gathering my children to their homes , a neighbor whisking me off in her car to meet the ambulance at the emergency room, waiting with me and holding my hand as I was prepared for the news.
The neighbors filled my house chit chat, took calls, spread the word, gathered in food, babysat my children all day, and then bought the gifts and cake to make sure that my son's birthday would not be forgotten in the craziness. Family members flew in from all over to join in singing Happy Birthday to a child who had only a tiny idea of how his world had change.
Now, a 36 year old widow with 3 children 4, 6, and 8; do I stay or do I go back to Dallas, family and old friends?
Looking back, I find it very much a gift that I was able to be clear about staying, never swaying from the belief that this was where we were meant to be at this time in our lives. My neighbors got together and organized mowing crews and mowed my yard for a year,they unclogged sinks, worked on my car, and shared meals. They babysat hours and weekends for me in those first years so that I could get a break, go to meetings, counseling. Those meetings, part time work, and Volunteering kept me sane. We were so close knit, it was an open door policy on our street.....the kids were always back and forth, rode the bus, then bikes to school together, played sports, carpooled, birthday partied. The families included us on difficult days, Father's Day was really tough. I always knew they were watching my house and my kids, caring for us.
This "Village" has helped me raise 3 amazing kids. Our blood relations visit, but our friends and neighbors are chosen family and they are here day in and day out. I will be eternally grateful.
Do you know someone who has suffered a loss and has children to raise? I found a wonderful place for our family to heal, it's called BO'S PLACE. It's a grief support center for families who have lost a parent. I volunteered there for 2 years when I was able. I have information for anyone who would like to find out more.
I LOVE Pecan Grove.....I have lived here for 13 years, and now , I WORK here. Doesn't get much better than that!
Pecan Grove is a great example of Americana. Small, Close-Knit, Family-Oriented, Quiet, Secluded and yet Convenient, Patriotic, Reverent, Casual, Friendly......are words that come to mind when I try to describe what this wonderful little Corner of the World is like.
It's quite ironic that I'm writing this today, because 13 years ago, I was mourning the fact that I was leaving my beloved Dallas behind.......I considered moving to Houston, a "tragedy". I was moving to what many considered the "Armpit of Texas". ( Many of you native Houstonians know of the love/hate relationship between Dallas and Houston ) My late husband coaxed me down here, dangling the proverbial carrot of a bigger house and no more work outside the home. I jumped.
We arrived in Katy, in Mid-July, 98 degrees, hot, humid and wondering "where the heck all the trees were?". I had 5 days to find a house and we could live anywhere within 30 minutes of Gessner and Westheimer. OK, that took in areas from Cypress-Fairbanks to Katy to Sugar Land, quite a challenge.
Thanks to my Realtor, we were able to narrow the search to acceptable school districts and compared Cinco Ranch in Katy, First Colony and New Territory of Sugar Land, and finally, some little known place way out in the boonies called Pecan Grove. My husband was no salesman, he brought me in through Harlem road (via the Prison!!) and as I started freaking out, he exclaimed, "You'll Love it, just wait until we go over the hump!". And he was right. I loved it. It automatically felt like home. Families out on bikes and golf carts, Moms with kids at the pool, schools to walk to, and large and shady yards with a delightful mix of custom home styles. I quickly set out to find a house that fit and my only demand was: I WANTED A TREE!!! It cost more, but it was worth it!
The sense of community struck us immediately as neighbors brought over cookies, offered babysitting, lawn equipment, and lots of advice about where to buy groceries. Can you remember the "PRE-ALBERTSONS" Days??? Imagine driving 7 miles and over the river to Richmond for anything more than essentials! That's why we have such Fabulously large Pantries!!!
We were also gently reminded of the "Holiday Light Deed Restriction" and warned to be on our toes when the hardware store put the lights and stakes out. WOW!!! What a great surprise to see our little neighborhood put on it's Holiday Light Display. It was incredible....we had come from a little suburb of Dallas called Coppell, the hometown of MJDesigns hobby store owners, and we had the same participation level of holiday lighting displays, tour buses included. That's when I knew we had found the best little corner of the world for us.
In my next post, I'll continue reminiscing. Care to contribute?
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Kimbra Valachovic (Keller Williams)
I LOVE Pecan Grove.....I have lived here for 13 years, and now , I WORK here. Doesn't get much better than that!
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