new investor hard to find anything that breaks even after 25% down in dallas

[Ravi Kognaq]

Hi

I am new investor in dallas. I have been looking for anything that's at least breaks even in DFW region after 25% down. I am not able to find any deals. any cities in DFW region that I should focus more. I am not comfortable with rehab of old properties as this will be my first rental.

Thanks

Ravi

[Matt Solis]

Quote from @Denver McClure:

@Matt Solis might have a few ideas for you. Would recommend reaching out to him!

 Appreciate the mention Denver! @Ravi Kognaq Below are the rental strategies you can use to break even in DFW. They are listed in order of my preference.

Co-Living - can expect 15% cash on cash return with a solid deal that has 6-8 bedrooms. Each bedroom would generate on average $750 a month in gross rent.

Mid-Term Rental - can expect around 10% cash on cash return, or break even if you use a specialized property manager. This strategy can be much more time intensive if you want to optimize your lead flow and consistently book big contracts.

Long-Term Rental - only way that long term rentals will break even is it must have an ADU or separate rentable unit to put the numbers over the edge. Or somehow you find one off market and get it at 70-80% value but it would need work.