Potential STR Investment Prospects for a Newbie in Houston and Surrounding Markets

[Charan Angara]

Hi All,

I have a SF LTR that I'm self-managing on the passive side. But I'm thinking of getting into STR investment and become more active.

I’m a complete newbie to short-term rentals (STRs) and eager to wet my feet in this area. I’m from Houston and particularly interested in the Houston market and its surrounding areas so it is easier to manage.

My Criteria:

• * To buy: 3bd/3ba property at Max: $350K. Must have a decent backyard and/or rooftop terrace.
• * Property in a flexible market to switch the rental from an STR to LTR (if STR doesn't work out).

Questions:

• * What are the prospective neighborhoods or areas within and around Houston for STR investments?
• * What are some factors to consider when identifying these hot spots?
• * What is the best strategy for first-time investors: Own or Arbitrage?
• * Finally, could you recommend any valuable tools or learning resources?

I'm eager to learn from experienced investors and gain valuable insights into the world of STRs. Any advice or guidance would be greatly appreciated!

Thanks in advance,

Charan.

[Collin Hays]

Quote from @Bryant Xavier:

Hey, Charan.

Welcome to the world of short-term rentals! I'm a short-term rental host, owner, and operator, and I do a lot of STR/mid-term rental investing and management. While I can't speak directly to the best STR spots in Houston, I firmly believe the College Station area is worth considering. It's relatively close to Houston and has strong demand due to Texas A&M, events, and business travel, making it a flexible market for STR and mid-term rentals.

If you’re open to exploring other high-performing areas, I’d be happy to share insights and data with you. Feel free to reach out, and we can chat ideas!

Looking forward to connecting!

 I agree on the College Station area. That said, I live in Texas, and I have found that the property taxes and insurance are prohibitively high to make a short term rental work here. Hopefully your results will vary!