All Forum Posts by: Mike Walker

It looks like Scott could probably do that for you on the MLS. You might also keep an eye on sites like Craigslist, Loopnet, AustinHomeSearch, ForSaleByOwner and Zillow, Trulia & Redfin. These should keep you busy.

Hi Michael,

I ditto @Scott Hearne's welcome to you. I'm also a local investor in Austin and have looked at multi-family residential properties in the area. The Redfin link you shared looks like a nicely rehabbed property. I've also looked at units built around the same time period. That listing is an ambitious retail price. Someone may pay it, but after being on the market after 33 days could be a signal that it's overpriced.

As Scott points out, the property may not cash flow well, depending on rents for that area/zip. Currently, Austin is not a great cash flow market since properties are appreciating rapidly, with demand pressure on inventory, causing prices to inflate. Values are somewhat unpredictable with buyers bidding up hot properties, whether they hit the MLS or not.

If you're looking for value, you might consider acting as a lender or partner in a new or older multi-family unit you want to live in and either fix or build. It takes more time (new construction or rehab), but you'll be able to force equity the first year you own the property, as @Jarrod Weaver points out. You'll also be able to REFI at a conventional rate, once the property and you as the investor qualify.

I might also mention that you may want to attend one or more of the area REIA meetings. We have an unofficial BP Meetup the second Wednesday of each month, currently meeting at the Starbucks, inside Randalls, 3300 Bee Cave Rd, @10 AM. The next meeting will be next Wednesday, April 9. There are other great meetings listed on Meetup.com.

Welcome Jordan.

We do have an unofficial BP meetup on the southwest side, meeting the second Wednesday of each month @ the Starbucks, inside of Randalls, 3300 Bee Cave Rd @ 10 AM.

The next meeting will be on April 9. We've discussed meeting at another south side location, since the venue is small and somewhat noisy. James Sinclair will post the details of the next meeting later this month.

Most of the REIA meetings are held on the north side of town. There is a new Mastermind group on the south side that meets every Thursday @ Strange Brew Coffee shop @ 11:30 AM > http://www.meetup.com/MastermindMeetup/events/171281962/

There's also the very well attended Mastermind group that meets at the same time/day on the north side at Big Daddies

> http://www.meetup.com/REALESTATEinvestormasterminds/

Perhaps more BP members will post other REIA meetings held on the south side. Come join us at the next BP meetup, if you can!

There was one REIA meeting today that is well worth attending, the Mastermind @ Big Daddies (183 & Burnet Rd), held every Thursday @ 11:30 AM.

The other is Austin's unofficial monthly BP meetup, held the second Wednesday @ 10 AM. The March meeting was yesterday (3/12). The next BP meeting will be April 9. We've been meeting at the Starbucks inside Randalls, 3300 Bee Cave Rd. We may move the meeting to a new location. We'll post the next meeting's details later this month on BP. Look for James Sinclair's post.

Nicholas,

Come join us this Wednesday for the unofficial S Austin monthly BP meetup. We meet the second Wednesday @ Starbucks, inside of the Randalls' supermarket, 3300 Bee Caves Rd @ 10 AM.

Nice to have you join us at the BP community!

If you haven't been to any of the local investor meetings, I recommend you start attending one or more.

Next Wednesday (3/12), we have an unofficial BP meeting at the Starbucks inside Randalls, 3300 Bee Cave Rd, 10 AM. It's a great group for networking and getting your questions answered. Hope you can make it.

@carlschmitt You hit it on the head. A contractor who consistently performs on time, on an investor's budget with good results is always a keeper. Nobody wants to lose that guy!

Sound advice. I know some investors band together to negotiate favorable pricing for a volume discount.

Right. The next South Austin BP meetup is scheduled for Wednesday, March 12.

Hi Doug,

Glad you introduced yourself to the BP community.

Excellent points & insight you made about our market here in Austin. Between the decades' long growth of clean industry, tech, ecology, the indie music & film scene, the political & educational intellect and a contemporary, pedestrian-friendly downtown, Austin models the values of the Hippie/Boomers, Gen X & Gen Y/Milleniums, across the board. It attracts progressive thinkers, entrepreneurs and artists who value nature, fitness, youth culture, and being wired (in many ways).

As you mentioned, you moved here for the quality of life, as many are doing (not to mention the jobs). Real estate entrepreneurs who envision the future development of each neighborhood, of the metro's expansion (north, south, east & west,) have a staked interest in both profiting from & improving on what the city fathers started long ago.

In-fill development is here, as are condo regimes, mixed-use, green building. You name it. Syndication? Definitely. Entrepreneurs, like yourself, continue to play an important role in bringing capital, creative land & building use to Austin's future.

Welcome.

Be sure to network at some of our REIA meetings around town, listed on the Meetup website. We also have a monthly unofficial BP gathering at the Starbucks inside Randalls, 3300 Bee Cave Rd. 10 AM, the second Wednesday of each month. Come join us!

Depending on how far from downtown you're willing to locate, smaller & older will help you stay in the budget range you've mentioned. It's a good thing you're already accustomed to small. Urban dwellers here also go for compact. Families that want the square footage and less-urban school districts locate further from downtown. As several realtor/investor colleagues have said in our Austin REIA meetings, the DINK (Dual Income No Kids) movement is rapidly transforming the downtown area.

I'd say your price point and location will be a safe bet for future resale. Texas is a BIG state, land-wise. Those that live further from downtown want the suburban/small town lifestyle. There's always a demand for those properties. Don't expect to make a Texas-sized gain in appreciation in the suburbs. You should see a steady appreciation in those communities that commute to the big city for work. Home ownership is generally a good hedge against inflation, if you weather the cyclical swings.

Think through your timing & exit strategy, once you're here, evaluating the neighborhoods that seem to fit your family's needs and lifestyle affinity.