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Invest in America’s next great global city

Houston is leading the US in economic growth and job creation

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No. 3 on Forbes Where to Invest in 2015

In the Realtors.com top housing markets to watch in 2015

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Two-years guaranteed rental income

Property management fees and taxes paid for two years

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“Any statistic you look at – gross domestic product ,

employment, population, housing etc. –

Houston leads the nation in economic growth.”

Patrick Janowski, Vice President of Research, Greater Houston Partnership

About Houston

Houston is the second largest city in the U.S. and the largest in the state of Texas. It’s Metropolitan Area has a population of almost 5.9 million residents, currently experiencing spectacular economic growth. The 10.4 per cent rise in the Houston Business Cycle Index in September 2014 was described by the Federal Reserve as “blistering”. It is the most ethnically and racially diverse city in the United States with 400,000 foreign born residents moving to the city between 2000 and 2010.

Houston is a cosmopolitan destination offering a host of dining experiences; the New York Times named it “one of the most exciting places to eat”. It is home to a Theatre District second only to New York and has more than 500 cultural, visual and performing arts organisations. Its museum district comprises 19 museums in a 1.5 mile radius and the city has more parks than any other top 10 metropolitan areas in the United States.

Second only to New York, Houston is home to 24 Fortune 500 headquarters, more than anywhere else in America. Considered by many as the energy capital of the world, Houston has more than 5,000 energy related companies. The Port of Houston is the tenth largest port in the world and the number one port in the United States for international waterborne tonnage handled, and the Lyndon B. Johnson Space Centre, is also located in Houston.

America’s Next Great Global City

Houston has been highlighted to be one of the fastest growing economies over the next few years. Forbes recently called Houston “America’s next great global city” due to its population and economic growth that is primarily based on a booming energy sector and rapidly increasing international trade.

In recent years, Houston has diversified its economy which has dramatically contributed to its current economic performance. Key growth drivers include its energy industry, which has a concentration of energy related jobs five times the national rate with an average annual salary of $100,000, and its burgeoning trade with Latin America combined with a relatively low cost and business-friendly climate.

The Texas Medical Centre located in Houston is the world’s largest medical centre and home to the largest concentration of medical professionals and experts anywhere in the world. It is the largest employer in Houston.

Houston’s Booming Middle-class Jobs

Overall, the Houston metro area has led the nation in job growth recovering more than 201.9% of all jobs lost during the recession – the highest percentage of any other major metro area. The Houston Metropolitan Statistical Area (MSA) lost 153,100 jobs in the recession and gained 309,100 jobs in its recovery.

Forbes has ranked Houston second for creating the most number of middle-class jobs. In 2014, Houston created more than 441,200 jobs, according to the Houston Workforce Commission and job creation reached record levels in 2014. Houston currently has one of the lowest unemployment rates in the US.

Further employment expansion is predicted to grow by an impressive 18% over the next decade as the city continues to diversify its economy and create more employment opportunities. As a result, the city is attracting workers from across the country.

Investment Opportunity

BRIC Group is proud to offer investors a fantastic turnkey investment opportunity in America’s next great global city and its hottest property market, Houston.

Investors are offered the opportunity to purchase significantly undervalued foreclosure properties in Houston that are instantly cash returning every month from day one.

An exceptional two-year rental guarantee is offered with this opportunity.

Investment Level

Property prices start from US$156,500.

Two-year Guaranteed Rental Income

For the first 24 months, regardless if a tenant is in place or not, a guaranteed rental income will be paid to the investor by the developer.

Property Taxes Paid for Two Years

This property investment comes with property taxes paid on the owners’ behalf for two years.
This is an average of over US$2,000 per year, depending on the property in question.

Two-year Property Management Fees Paid

Fees payable to the property management company are also covered for the first two-years.

Rental Returns

This investment offers rental yields up to 10%+ per annum.

Exit Options

Investors can choose to keep and hold their property to benefit from maximum capital appreciation and rental income, to use it as a second/holiday home or resell to the retail market for a short-term capital growth investment return.

The Residential Community

All Houston turnkey properties are located in residential areas near freeways to ensure easy access employment opportunities in Downtown Houston and to the George Bush International Airport. The stunning beaches on the Gulf of Mexico are just one hour’s drive away.

All neighbourhoods are characterised by their lower than average crime rates, tranquillity and proximity to green zones and parks, making them ideal residential areas for families. Essential amenities such as schools, shopping centres, restaurants and leisure activities are also nearby.

The Real Estate

Houston Turnkey Properties offer a variety of freehold properties including townhouses and single family homes. A choice of different locations and size of properties are available. All homes have a fully equipped kitchen with refrigerator, oven and dishwasher. Every single property has been prepared for rental, fully renovated where necessary and is in excellent condition. A pre-qualified tenant is either in place or being sourced by the property management company. A two-year rental guarantee is offered with all properties plus two years of fully-paid property management fees. In addition, two years of property tax is included in the purchase price.

Strategic Location: The Exit Market

The Strongest Real Estate Market in the Country

Property prices and sales volumes are rising and Houston experienced a record year in 2014. According to Houston Realtors, home sales volumes and prices achieved record highs while inventory levels fell to record lows. In 2014, sales increased by 11 per cent and prices across the board rose by 10.6 per cent. Meanwhile, inventory levels in December 2014 were at just 2.5 months supply, the lowest ever. Realtor.com does not expect these to rise because of the strong excess demand for housing and slow new-build market because of lack of available land.

Houston featured in third position in the Forbes Where to invest in 2015 list because of its strong employment and population growth. According to Forbes, property in the city is currently undervalued by 7 per cent. Realtor.com included Houston in its top ten housing markets to watch in 2015 because of its “strong housing growth, affordable prices and fast-paced sales”.

Demand for Properties in Houston

The fundamental strength of Houston’s property market is one of supply and demand. Due to the massive population growth over the last decade, the city is not able to keep up with the rapidly increasing demand for both rental and sale properties. The rental market is equally buoyant with strong demand and price increases. According to Houston Realtors, in the year to December 2014 rentals for single family homes increased by 11.7 per cent and those for townhouses by 11.5 per cent. In December 2014, the average monthly rent for single family homes stood at US$1,699 and at US$1,507 for townhouses.