Areas to invest in Austin?

Question

Hello,

I’m looking to invest in Austin, TX and I’m doing my initial research on Austin Investment Properties. I’m looking for advices for areas in Austin that’s up and coming and good for rental properties. Any advice is helpful. Thank you!

Mike De Lota · Answer

Agreed. What’s your strategy? Buy and hold? Fix and flip? STR? Price point? Different pockets of the city will offer you different advantages/disadvantages...

Mike De Lota · Answer

For your purposes and at that price point, Jordan and Neil are right- RR, CP/Leander, and East of I-35 (Del Valle), Manor, and Hutto.

Neil Narayan · Answer

Most of my clients are investing North of Austin but it really depends on your price point, investment strategy and type of tenants you want

Ryan Kelly · Answer

@Winny Wen If you are looking for properties that don't need a lot of improvements before renting, I would focus on the suburbs that offer properties between $225k-$325k. Hard to find cash flow in these deals, but with enough patience and analysis, you can find some. If you are willing to do remodeling and build sweat equity, you can find some great zip codes inside the city limits. Definitely more work, yet a bigger reward.

Vik J. · Answer

THIS!!

Justin Self · Answer

@Winny Wen Do you want buy-and-hold or flip or new development? What kind of investment?

Derek Harris · Answer

@Winny Wen, I have a few properties in Taylor, TX that cash flow very well. There are also great opportunities in Round Rock, Hutto, and Georgetown.

Ganessan P. · Answer

I see long term opportunities in Manor, Del Valle

Winny Wen · Answer

Hi Derek,

Thank you! Ideally I would like to have at least non-negative (0) cash flow and then betting for appreciation in the area. Is there an area you would recommend?

Derek Harris · Answer

Winny, from my experience in this area, you have to choose between cash flow or appreciation. The further you move away from Austin, the higher cash flow you will receive, but you will see slower appreciation rates. Also, since you mentioned you're an out of state investor, be aware that property taxes in Texas are quite high and can definitely eat into any potential cash flow.

Areas to invest in Austin?

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