Question for San Antonio or Texas Real Estate Investors

[Natalie Godoy]

Are any of my San Antonio Real Estate investors changing their investment strategy do to the market shift? If so, how are you switching up your game plan and why? I would love a seasoned investors perspective on this one. 🙏🏻

[Joseph Cacciapaglia]

I've been buying land all cash and selling it with owner financing. This has worked very well for creating cash flow while avoiding long term market exposure. I started with this strategy late last year, and it will be where most of my capital goes for the foreseeable future.

I'm still working on a ground up STR, but won't be starting any more anytime soon. I'm also looking for single family homes with good rent by the room potential, but haven't found one yet. I think that will become more appealing as our rents have risen a lot.

I have several clients who recently switched their focus to condos. They have a much higher DOM than most SFHs, so the theory is there will be more distress there, and therefore more opportunities for discounts. Only a couple have pulled the trigger on those so far, but it seems like a decent thesis.

A lot of them have continued to buy high end homes for STRs as well. You can still find the occasional property that will perform well despite current rates with that business model.