Hello From Austin and San Antonio

[Kyle Zochert]

Hi Everyone - 

I'm new to Bigger Pockets and wanted to send out an introduction.  I have been investing in real estate as a part-time hobby for the last 11 years now.  My strategy has been to buy and hold in up-and-coming neighborhoods before they get too much attention.  The first half of my real estate investing was in the East-side of Austin, Texas (my hometown).  

Now that the prices no longer work in Austin, I have turned to the San Antonio market.  My first two purchases were in blue-collar suburbs of the Kirby/Northeast area, but the charm of the older buildings in the downtown and surrounding areas have made me focus on rehabilitating these older homes.

I have a few deals in the pipeline and will definitely be seeking the community's advice in the near future.

Thanks,

Kyle

[John Barr]

@Kyle Zochert Welcome to the BP community and the San Antonio market!

I definitely understand what you are saying about the Austin, TX market just getting a little to over priced to where rentals just don't provide the returns for the amount of cash that must be put down. I am currently finding the best rent properties on the NE side like you had mentioned. That area I am still staying pretty consistently with maintaining about a 20%-25% cash on cash return with cash out of pocket being about 18K-22K. 

As far as the old neighborhoods closer to downtown there just isn't as much proven comps and rents like there are in some of the newer areas like the NE and the NW. The biggest problem that we are seeing with this is that there are so many new appraisers in the market that they are starting to become pretty inconsistent with the values they are pulling.

If you ever need assistance feel free to reach out. Best of luck with your endevours.