San Antonio mulit family rental investment - which area is better

[Mila Andy]

Hello Everyone,

I am a newbie investor  looking for multi family properties in San Antonio,TX. Found a rehabbed one (old home) near Randolph AFB next to windcrest where there is a STEM school . 

I am not aware of the area but the Cap rate and good price is too good to pass.

I am looking for a decent cash flow but at the same time need good tenants and don't want to go through any roughness since I am out of state investor and there is going to be a property mgr taking care. Any advice ,suggestions on areas  need to focus will be appreciated.

Thanks

Mila

[Michael Guzik]

@Mila Andy Welcome to BP Mila and good on you for looking into REI. I would suggest extreme caution I don't mean to sound rude but I see wayyyyyyy too many ignorant California investors throw their money here and expect returns and then they fail to maintain the property, or hit a road bump and bam the property is back up for sale in a couple of months. Really do your due diligence and focus on the numbers and property. Don't listen to some agent or person because they are just focused on the commission and don't really care about your investment most of the time. Take the time and spend the money to fly out here and stay here for a week or so and drive around town, walk around the areas and get a true feel of the streets, neighborhoods and areas. This money may seem like a waste, but trust me it will save you tens if not hundreds of thousands of dollars by helping you avoid bad deals and knowing the area you will be investing in. There are plenty of better opportunities other than that area. You are looking at a pretty low income and rough housing market that I personally wouldn't walk around at night in. It all depends on what kind of tenant or buyer you have in mind, some people are tough and can handle the tenants and higher risk, and others can't. I would recommend the Alamo Ranch area, Laurel Mountain Ranch area, Sea World Area and UTSA or Bandera area. These are good places to start in my opinion. My best recommendation is to fly out here and get a feel for San Antonio yourself. Once you have done that find someone you trust with your life because you will be heavily reliant on them, and you are entrusting them with quite a bit of money and risk so make sure they are dependable and honest. Set up interviews with the people you plan to work with here when you come and visit and see them in person, many people are very different in person than they are online or on the phone as I'm sure we all know. It seems you are pretty good at focusing on the numbers but also look at the area on google street and the crime on spotcrime.com there are plenty of other factors besides price involved. Trust your gut and do what you think is right. Good luck!