Can I be cashflow positive in north Dallas w 200k 3% down?

[Ariana L Canales]

I live in Richardson, right but Plano and would like to stick to 30 min commute from my work.

my real estate agent is aware of my intention to buy a property, live in it for a year and then rent it out. I got pre-approved for 250k but would rather spend <200k.

is this doable? Buying a property under 200k with a 3% downpayment that is within 30-40 mins drive from Richardson tx 75082 and will be cashflow positive a year from today?

My real estate agent is saying it's impossible and is finding very few properties that have a 200-250 surplus today, if I purchase the house for 249k and a 3% downpayment. I'm not comfortable with this amount since I'm currently paying 1200 on rent but PITI would be 1900 if I buy.

I live in an apartment and my lease is up on July 2020 if it matters.

[Dustin Lang]

I would have to agree with your agent; reaching the 1% rule yet alone cash flowing through renting out a SFR the traditional way in North Dallas is quite difficult.

You can surely lower your out of pocket rent or breakeven on rent if you househack and rent out the rooms in a 3/2 SFR (less then 220k) in East Plano and parts of Richardson. I've met people who have cash flowed on their SFR properties in North Dallas who rent out by the room, specifically around UTD to students or Plano to young single working adults. It's difficult and untraditional... but doable.