All Forum Posts by: Aaron Gordy

Opinions with out data is ...... opinions. Is the average vacancy rate of 15% for Houses? Apartments? Industrial? Office (its higher than 15%  and is roughly 23%https://www.commercialedge.com/blog/national-office-report/)? Retail (retail is very good btw)? and so on. Also some submarkets are doing very well in several of the categories above. There is a reason why Blackstone is now one of the largest commercial owners in the metro. They aren't dummies. Being a contrarian has usually played out well historically or you could look in the rear view mirror in a year or two and sang Coulda, woulda shoulda : ). 

The property tax in hutto is not 1.7%. Its 2.1624 in some submarkets. If a new builder is suggesting its 1.7% in hutto then you should be cautious. Hutto due to samsung

@Ali K. I think that areas where young folks enjoy living is probably best given that affordable housing is a real issue in the metro. If you study the demographics of the metro its super easy to deduce that younger folks are having difficulty affording rent and need a room mate or two. Focus on that area, imo. If your strategy is strictly mtr then consider areas where traveling nurses and other similar occupations prefer. The riches are in the niches. Higher than inflation appreciation will occur where demand outstrips significantly supply. 

As of today there are 217 active duplexes on the austin mls. Some are priced at good multiples and some are asking for too much. Given that there will probably be a interest rate decrease or two over the next few months then at that point these will start to look enticing. 

@Mark Fleming

Its a good area. The property will do very well over the long term. In the short term there may be some hiccups given what I have heard. That entire 78741 zip code is good and has been in high demand historically due to its location. 

Kyle has grown from 5k to 63k in a 20 year period of time. That is a large amount of growth. Here is an article in the austin business journal talking about the redevelopment/development of the downtown area of Kyle. It sure does seem that the corridor between San Antonio and Austin will be eventually developed. https://www.bizjournals.com/austin/news/2024/07/29/austin-su...

@Orlundo Hubbard

What has been your experience raising money using this method? It has been my experience that investors want to know credibility, capability and expertise before they invest with their hard earned capital. 

super high cap rate. 6% is not even close. Check with the local lenders on financing it. I have done apartment deals with 10% cap rates in small towns in rural Texas areas. Maybe even a higher cap rate depending upon the prospects of the city. 

@Orlundo Hubbard What is your experience with commercial properties? In other words, what do you bring to the table for investors to back you? 

@Olga Daisel I noticed on the mls that the rate of sales for houses above 1 mil in 78756 is about 3 a month. Also its not just new houses either as older ones are also selling. For example, 4515 sinclair built in 1938 was remodeled very nicely and sold for 1.540 mil with multiple offers which represented a 100k increase from the list price. There are 17 houses above 1 mil currently on the market with 4 pending. I am not sure why yours is not selling. I would have to know more info, to be certain.