All Forum Posts by: Lorenzo Moreno

Not exactly an expert on this but first of all:  Nice work with saving and having your head in the right place here getting started. 

I bought my first rental at 20y.o right before the housing market collapse of 2008. It didn't matter significantly because I was able to keep it rented for 13 years and eventually sold that first place. The biggest issue for me looking back might have been opportunity cost of having too much DTI tied up with that one single family home.

Anyhow I don’t want to be long winded but I think the key here is creativity that I never knew about. Definitely get in the trenches and try to source off market deal and get creative with the finance (seller , or Sub 2). The biggest thing is the skills you’ll gain and develop in pursuit of this will serve you so soo soo much more than dealing with a bank and traditional lending. 

There is a really good podcast from on the BP RE podcast (Episode 527) with Pace Morby , I’d recommend giving that a listen and thinking it over and seeing what you could figure out. I truly feel if you can master that at your age you will be wildly successful beyond what you could currently even imagine. - that’s what I’d tell 19/20 yo me. 

Good luck man ! 

Great perspective and I appreciated you sharing your experience. 

@John Doss I’m a big believer in trusting your ‘gut’ instinct. That as well as what other mentioned regarding the eviction. You don’t always have to know why xyz about someone or a situation but just trust your instincts.

@Ryan Britt great question here. Lots of great responses as well. City of Austin property tax makes cashflow hard on numbers I’ve ran over the last year. I believe city council also approved a property tax hike sometime last year, as well as slashed the police budget in half. I’ve lived in Austin since 2016 been contracting for state department since 2018 so im in Afghanistan 9-10 months a year. Anyhow point is last time i got home (nov 2020) I couldn’t believe the amount of homeless increase throughout the city. Homeless camps under nearly every highway overpass.

Round rock, Georgetown just north of austin might be good to look into. But prices do high you'll need to do legwork to find something either off market, or have significant cash down to make numbers cashflow. if you're that much cash I'd imagine you'd get a better CoC-ROI on Houston.