#TheDanielMtz Show Episode 6: Investment Hacks, HOAs, and Home Concerns
It’s a new week and coming up to the end of the month. There’s been a lot of movement in the real estate world here in Houston as of late, so I’ve had my hands full a little more than usual. Regardless, I still had to make time to answer some good questions. I’m here with your dose of the show!
Have questions? Don’t hesitate to ask them! All audio content can be found on Anchor as well as on Snapchat channel @TheDanielMtz @txc_Daniel
Q. What hacks are there for investors?
A. A 1031 Exchange is something that will definitely benefit you in the long run. Section 1031 of the U.S. Internal Revenue Code allows investors to defer capital gains taxes on the exchange of like-kind properties. Exchanges protect investors from capital gain taxes, as well as facilitating significant portfolio growth and increased return on investment.
Q. What questions should you ask when you have found the home you like?
A. Some of the questions you should be asking would be related to the area itself. What is it like?
Whether it’s close to amenities, a hospital, or easy access to freeways can really help sway your appeal to it. Other important questions that should be asked are:
What about the crime?
What are the SOLD comparables?
Where are the schools? [if needed]
How much are the property taxes?
How much are the HOAs and what does it cover?
Does the home come with any transferable warranties?
Q. What’s included a condo’s HOA fee?
A. The following expenses are typically covered under an HOA fee. These expenses can vary depending on the type of condo, if it’s high-end and where it’s located.
City Services- Services such as trash removal, water and sewage.
Insurance- This only includes insurance for damage to the outside of the building and the property around it. You still need an individual insurance policy to cover everything inside of the condo.
Lawn Care- This includes snow removal, gardening and general lawn maintenance.
Pest Control- Most HOAs schedule a monthly inspection from a pest control company in order to avoid pest infestation.
Maintenance and Repairs to the Outside of the Building- This includes things such as roof leaks, exterior painting, driveway pavement repairs, etc. It also covers the costs of gym or pool maintenance, if applicable.
Many people complain about the HOA fees (sometimes they can be pretty expensive), but they do have the homeowners’ best interest in mind.
Those are your questions, and those were my answers. If you’ve got any that come to mind, shoot them to me on any of my platforms.