All Forum Posts by: Christopher Campbell

Hey Da'Vionte!

This is a lot to tackle, feel free to connect with me if what I post is helpful and you'd like to know more. 

1. The "market" as you say when looking at flips or rentals is really going to boil down to a deal by deal basis. The San Antonio (Bexar County) market differs widely from one part of town to the next. So I think what you mean is how to analyze a deal. (If not, follow up with me) Depending on the area you can reverse engineer the deal to determine if it makes sense. Flipping and renting have general mathematical formulas used to determine deal viability. Flippers like the 70% rule, renters like to beat the 1% rule, cap rates, ROI%, etc etc... So if find a deal in a neighborhood that you want to flip in you'll approach the deal from whatever math formula you find most useful for your flipping. Then you're basically studying the comps in the area to see what your property once fixed up could likely sell for. Realtors usually search for SOLD houses in the same subdivision (Common/Legal) from the past 6-9 months to look for what similarly sized, bed/bath/garage count, and preferably also rehabbed sold for and how fast. From there you'll need to estimate your other costs (rehab, holding, closing[on both sides], relisting or managing, etc) and determine if the math works. You can do a similar type of analysis for potential rental properties just with modified search criteria. It's important to know that your math is never going to be 100% spot on so giving yourself a margin for safety is recommended. You'll get better over time you just gotta start taking swings.

2. Realtors or investors that have access typically use the MLS (Multiple Listing Service) put on by SABOR - San Antonio Board of Realtors. This requires a license. You can use second hand listing sites like Realtor.com, Trulia, Zillow, etc and some of those have useful tools but I've found that none are as reliable as the SABOR MLS. If you don't have access you can befriend a realtor that would be willing to run analysis for you or become licensed.

3. You can look in local newspapers and online at SanAntonio.gov for more information about the local job market. 

I hope this helps! Cheers!

Hey Greg! Welcome to the biz!

What type of investing would you like to do or have you gotten that far? The good thing is that you're in a great market for REI. San Antonio is one of the top markets in the country for Real Estate investing so you'll find an abundance of opportunity here. Whether you like to explore your creative side with flips, BRRRR, capitalize on cash flow and equity growth with mid to long-term holds, or a plethora of other options San Antonio likely has a fit for you. I commend you for getting started.

This platform is a great place to start for education and I'd also recommend networking with as many local pros as you can to gain a strong understanding of the market and to build a solid team.

Cheers! 

In the case of the small San Antonio multi-families you'll need to be as ready to move as possible. The market for these is VERY competitive, so much so that some are willing to pay extra. Having your ducks in a row in advance will give you the advantage you need to capitalize when a good deal comes along. 

Are you looking more for a duplex that's in top shape already or looking to buy something on discount that needs repairs first before move in? There are pros and cons to both sides I'm just curious what your angle and end game is?

I looking to connect with serious Cash Buyers that like to invest in the San Antonio market. Whether you like to fix and flip, fix and rent, BRRRR, or fix and Owner Finance, I'm sure out of the many opportunities I get you'll find something that fits your style.

These deals come in all shapes, sizes, and price points all over the San Antonio area and the surrounding towns. These deals are distressed, heavily discounted, and sold as-is to True End Cash Buyers that know how to capitalize on them. 

If you're new to investing but want to get started I've developed a strong network of valuable resources involved in the business from Hard/Private Money Lenders, Contractors/Tradesman, Listing Agents, and Property Managers. I'd be glad to tap into my network to help you grow your operation here in town or get started in the business. 

I'm here to help in any way I can. Connect with me here and keep up with the "San Antonio" investing topics on the forum. I look forward to hearing from you!

Happy Investing!

Personally I'm a big fan of the Dripping Springs area for a personal residence although it'll be a little bit of a drive to get into town. I lived in Oak Hill for a while an I liked that area as well. The East Side has been coming up for a while now, I really like the Mueller area. N Lamar and W Guadalupe St or "The Triangle" is spot I like as well. 

**Helpful tip: WHATEVER YOU DO, AVOID 35 by Downtown and most of MOPAC from the hours of 8:30-10am and 3:30-6:30pm. The traffic is horrendous. As you get to know the town a little better you'll find good ways around.

Austin has been known for appreciation although there are definitely cash-flow opportunities there. San Antonio has a lower cost of entry and great cash-flow potential. San Antonio offers good appreciation in certain areas of town more so than others. San Antonio faces an affordable housing shortage which provides the investor an opportunity to capitalize on at smaller cash outlays relative to other markets like an Austin. That doesn't make it better or worse, it just depends on your ultimate goal. You'll naturally get more up to speed as you move here and get to know the area better. Keep networking with the locals and things will shake loose. I work with a lot of investors from Austin that capitalize on the San Antonio market. The drive is about a 1-1.5 hour drive so it's not too too far. If you have good teams in place it's much easier to manage your investments. 

The market here in San Antonio is desirable for a few reasons. Just a little insight into the town here:

This has been traditionally a military town with a few major local basis within the city limits. We're home to the San Antonio Spurs NBA franchise (5 chips, don't hate), a great Mexican American culture with the old missions spread throughout the city (Remember The Alamo!!!), terrific food and night life, and really great outdoor things to do both within the city and just outside the city in neighboring towns. Like other major cities, there are a lot of opportunities for all types of investors but naturally you'll develop a sweet spot for yourself. 

Some pockets of the city are more attractive to out of state buy and hold investors than others and I think it mostly breaks down to the same basic things. The out of state investors I work with typically try to avoid areas of town with subdivisions dominated by older homes. These homes, although can be bought on bigger discount in some cases, typically come with larger rehabs that out of state investors don't want to manage from so far away. The consensus for my out of state investors is to locate homes that are not as old and not in too bad of shape. I mostly deal in off-market distressed deals that need fixing up before making it a rental or selling so a key thing my out of state investors look for is having good teams in place to handle the rehab. Networking here on BP, on local GC Facebook boards, and with local pros to utilize their contacts are good ways to go about putting this side of your team together. Always do your diligence.

The competition for the turn-key, great location, good condition, 3 bed, 2 bath deal on discount here is too much for many of the out of state investors - they just don't have the ability to move fast enough. In some cases you'd have to buy sight unseen which without a team in place and a great amount of experience I would not recommend. Giving yourself the best competitive advantage by having your ducks in a row in advance of having deals pitched to you is a HUGE plus. This is likely the first step. Network with pros, property managers, contractors, agents, finance guys, etc etc. Pick their brains about areas, recent projects they've done, current rentals they own, and any bad experiences they've had in the past. A lot can be learned from others' mistakes. 

Have a plan and share your plan with your team so that they can be on the same page with you as the right opportunities become available. If everyone in your team has an aligned interest in your investing success and the proper diligence is done, San Antonio can facilitate your goals both in the short-term and long-term. I'm sure as others will chime in you'll see similar ideas and other unique ideas. But it seems like you've done a lot of homework and I commend your drive to get going. Best of luck!

The amount of competition I see for multi-families within San Antonio and the surrounding areas today is pretty insane. The Texas market, especially in San Antonio, is really stable despite the current conditions. If you can get a good to great multi-unit deal and your ducks are in a row, I'm not sure it's worth missing out. Have your teams in place and have pros review the deals for second opinions. 

The market here in San Antonio hasn't too dramatic of a shift to scare people out. Do you live in Texas or somewhere else? If you're a newbie and starting your investing career off buying in potentially foreign areas you'll want to be extra careful. Be sure to connect with as many local pros as you can and network a ton to build a solid team. 

Just running some a basic analysis on the Bexar County (The dominant county for San Antonio) market from the beginning of April to the end of June this year vs the same timeframe last year there's been a few notable changes.

Total home sales saw a reduction of about 9.6%. Where 7282 homes sold in that time frame last year, 6596 homes sold in that timeframe this year. For a 3 month stretch, near 10% reduction in home sales may seem big but ultimately I think can be expected along with a slight increase in average days on market given the current circumstances. There's also been a decline in New Listings since near the beginning of the year and Total Homes For Sale here recently that can be contributing to this. 

Despite this, the average sold price of homes in San Antonio in that timeframe this year saw an increase of 3.5% over last year mirroring the stability this market can bring from that standpoint. This was achieved with about the same SP:LP ratios across the different bed counts. I think you can expect on an average basis that the city will produce a stable and consistent valuation increase over time for your investments with a lot less volatility relative to other markets. I work with a lot of local and out of state investors that are looking to capitalize here in San Antonio due to this factor as well as lower costs of entry, clear supply/demand gap in favor of the investor, annual resident increases, and relatively low crime rates vs other major cities among many other reasons I find San Antonio to be a great place to live and invest. (Have you tried the food?)

The setback the market is currently seeing is setting the stage for a solid comeback. The San Antonio market is resilient and presents great opportunities to novice and experienced investors. Texas as a whole is a great state for Real Estate. 

If you have strong guidance, a well formed team here locally, and you have the ability to come into town with some regularity to get eyes on your projects you shouldn't face the same hurdles that someone who's out of state or out of the country that's trying to do the same thing would. Besides, I'm sure you're not wanting to get into a major rehab for the first few deals you do here. I think it'd be better to ease your way in. Deals come in all shapes, sizes, and conditions. They aren't all huge rehabs. 

Distance wise, I lived in Austin for 4 years and would make the trip back here to see family about twice a month and really didn't have an issue with travel time and work schedules. Utilizing the digital age gives investors a great advantage as well. 

If you work with a group of people that are experienced investors that have done the things you want to do and gone where you want to go then there isn't a reason why you would trust their insights. They've probably made a few mistakes along the way that they can help you steer clear of. Lean on them for the do's and don'ts and must-have's and no-go's. There are many elements of investment real estate that can be approached the same way in different markets. 

On the local team aspect I'd continue to try to network with local pros and see where it leads. From there as you start to form a clearer picture of how the system can turn up opportunities that fit you style you can begin to form your team around it and press onward. Having direct contact with locals that can provide key insights into good areas, help you with diligence, may have strong contacts of their own that can fill in any gaps in your operation here, and help see your projects through to completion with aligned interests can prove very valuable in the long run. As with anything else, you're going to learn a lot as you go. Would you agree that forming a strong team here to build a foundation for your operation is a great first step toward your ultimate goal?

To build on @Stone Saathoff's point, San Antonio is one of the fastest growing cities in the Nation. Our population growth over the past decade along with a shortage of affordable housing creates a unique scenario where investors can solve a clear supply and demand problem at lower initial cash outlays. 

Certain neighborhoods, like all major cities, have much higher relative appreciation rates as well. The longer-term hold investors I know have been able to positively cash-flow with low priced assets that appreciate tremendously over a 5-10 year period. 

If you like to flip, San Antonio has something for everyone from the guys/gals that like to flip dirt cheap, low-grade finish out low ARV, small homes to the higher-end, fancyshmancy, make-it-TV-worthy type homes.

My vote is for San Antonio all day!