Austin, Tx

[Ross Ellington]

Hey everyone, I'm looking to buy my first property and I want to ask if anybody has location recommendations for the Austin, Tx area? Or even advice in general. My criteria is residential multi-family, I would like to stay around 250's or lower if possible ( tell me if that number is realistic) and I would be house hacking because of the VA requirements. Thank you guys in advance for any help you wish to give! Thanks :)

[Jacob Pereira]

Hi Ross,

Thanks for your service.

I did the same thing; bought a duplex in Austin with the VA loan, and I couldn't recommend it more. Very little down, and my tenant pays my mortgage for me. I had very similar requirements as yours, but if I could do it again, I would change a few things.

First, you can get up to 417k from the VA for your loan. Since once you have a VA loan there are very strict requirements on getting another, I'd recommend you go for as close to that number as you're comfortable with. A higher home cost means more leverage and more money in rents. Also, a higher-class renter, whom you will have to live next to.

Depending on your own living needs, you may even want to consider a fourplex. The VA allows up to four dwellings on a single plot of land, and they're very easy to monetize, even with you living in one of the units. The downside is that they tend to be clustered in the less desirable areas of Austin (I have one East of 183, off of Loyola).

In the end, the location really depends on you. I can tell you that you can find plenty of multi-families under 250 as long as you're willing to look out in the suburbs. Most of them seem to pop up on the North side.

I'm always happy to help out a fellow ex- (or current-) service member. Let me know if you have any specific questions or would just like to grab a beer and talk specifics.

-Jacob