Advice For First Investment Property One year From Now

[KaiWei Tang]

Hi everyone, my name is Kai. I am 25 and I am an aspiring real estate investor. 

I wanted to get everyone's expertise on the market in San Antonio. I am planning to move to San Antonio in the long run and so I am ready to do my first deal in San Antonio. 

I should preface and say that I will be investing out of state as I won't be moving to San Antonio until 3-4 years from now. My current situation is that I will be getting a 10k bonus from the company I work for and I wanted to go in the route of getting a DSCR loan. I am an educator and my state taxes are so ridiculous, I don't make nor save enough, and even if I were to save, it would take me 10 years to save $100,000 to apply the BRRR method. Thus, I opted for the DSCR loan and I am prepping a 10%-20% down payment. The loan amount I can borrow is roughly around the ballpark of $230,000 and so my downpayment is roughly gonna be 23k-46k with the DSCR loan. I am thinking about getting a single-family 3/2 house within the city.

I was wondering if I could ask for some expert opinions on the market one year from now. Every economist is indicating a resession and to be honest, I really hope they are accurate because it would keep the house prices down. However, on the off chance that they are wrong, how could I go about purchasing a property if the prices go back up? Also, if the DSCR loan is not the best choice for me right now, what loan should I consider, or should I really just wait 10 years to apply for the BRRR method?

I should also mention that I especially don't want to use my FHA loan for first-time home buyers is that I am locked in a contract with my current company to stay in my home state for the next two years. I am in a rush now because I want to bag a piece of property before the market corrects itself again and prices go up due to lower interest rates. That is the reason why I opted for the DSCR loan. It is also due to the fact that I only recently finished college in December of 2023 and I only got a full-time job in January 2023 so I don't have too much saved up. I should also mention that my credit is well above 700, lives at home, drive a beat-up car, and I have no debt for college. I cook at home and I am saving as much money as I can as fast as I possibly can purchase a house. Any advice is appreciated as I believe the best way to learn is from experts like you all on this forum.

Thank you so much in advance everyone, I look forward to everyone's advice and suggestions!