All Forum Posts by: Andrew W.

This episode explains methods for building a list: https://podcasts.apple.com/us/podcast/ep-90-building-your-million-dollar-mobile-home-park/id1121784143?i=1000417817086

I also bought a list once. @Jordan Moorhead I'd be happy to chat about parks here in Texas  

@Eliott Elias do you have a lender contact that will do this? 

@Vesh Nadkarni were you successful with getting a HELCO on an owner-occupied duplex with A+ FCU?

I'm only looking at off market deals from wholesalers and struggling to find ones that make sense for rentals in the past year or so. This thread is somewhat outdated but maybe worth checking out 

https://www.biggerpockets.com/forums/759/topics/880886-what-is-your-ideal-buy-and-hold-deal-in-austin-texas?

Are you here in Austin or investing remotely? Buying these wholesale could be tough to do remotely though since you typically need to check out the property really quickly and buy it as is with no inspection. If you are trying to do this remotely I would recommending connecting with others who are doing that successfully. 

Normal inspection, just let the inspector know it's 2 units. Will cost a little more. It should be on a single report. 

If you can find anything in the Austin suburbs that is cash flow positive at 75% LTV then I wouldn't hesitate to buy it. However, that's getting harder and harder to find. Super unlikely on MLS since it's a public bidding war. I don't know your goals so I can't say too much else.

However, my general view is that you get good at investing by doing deals. So if you need to go somewhere further out, cheaper, and less competitive (Killeen, Temple, Elgin, San Antonio, etc) to take down 2 deals this year I would do that. After 3-4 deals your skill set and network will be 5x better than after 0-1 deals. Making money on those first deals is much less important than the experience, confidence, and network they bring you. 

Congrats on getting started! This thread has some good examples of long term rental deals folks have done relatively recently, many of them purchase from wholesalers. I think connecting with wholesalers and getting on their email lists could be a good next step for you (and hard money lenders too). 

https://www.biggerpockets.com/forums/759/topics/880886-what-is-your-ideal-buy-and-hold-deal-in-austin-texas?highlight_post=5156260&page=1#p5156260

@Jim Piety, it really depends on your goals. Buying a personal residence is sort of an investment but it also based on many personal factors. I would probably make that decision by comparing it to your next best option (which may be renting). If you pay that much then your life will be pretty expensive (incl. property taxes and all). Personally I bought a duplex to live in which has worked out really well but those are crazy competitive right now I think. If you want to buy maybe get creative and look for properties with multiple homes, ADUs or the potential to build ADUs. Or outside the city limits and able to put another home, mobile home, tiny home, etc. Or buy a small house and add rooms to it. Or large lot that you can subdivide and sell one off. Or pick your target neighborhoods, drive every street (or pay someone to) and write down all addresses of distressed properties, then skip trace and cold call (or text or mail) the owners and negotiate directly. 

As far as investing goes, IMO if you are in a bidding war you already lost. Where experienced investors really make money is with off market distressed properties, or making something into a good deal through creative means. That's why I gave the advice above to do 1-2 easy cheaper deals to learn and network, then you can use that experience, network, etc to go after really good deals. 

Congrats on all your research so far. You didn't specifically mention it but I will assume your strategy is buy and hold or BRRRR. If you want to break even or cash flow at all, Thesis #2 and #3 are possible, but Thesis #1 is not.

I think for a beginner $300k is way way way too much to deploy and raises the stakes too high. As you know it's a crazy competitive market right now. I would recommending either (A) starting with at least 2 cheaper deals or (B) partnering (short term at first) with someone here who is experienced to do some flips and learn 

For A, you could try to buy a couple deals in San Antonio, Temple, or other outlying areas (or outside of Texas). Tie up only $30-50k per deal. In those deals learn to find deals, find/vet wholesalers, evaluate deals, estimate rehab costs, work with and vet both hard money and conventional lenders, property managers, contractors, understand the rental market, etc. And talk to a 20+ investors along the way. After doing that you will be ready to deploy more money successfully. 

Also check out this thread in terms of trying to be cash flow positive or neutral: 

https://www.biggerpockets.com/forums/759/topics/880886-what-is-your-ideal-buy-and-hold-deal-in-austin-texas?highlight_post=5156260&page=1#p5156260

It's competitive for sure. I would recommend buying off market to get out of the bidding war. If you are new I would try to buy 1-2 deals in cheaper areas to get experience without tying up so much money (San Antonio to Buda, or Temple, Manor, Elgin, etc). The first couple deals are about learning more than making money. 

This thread may be helpful:

https://www.biggerpockets.com/forums/759/topics/880886-what-is-your-ideal-buy-and-hold-deal-in-austin-texas?highlight_post=5156260&page=1#p5156260