All Forum Posts by: Michael Nelson

Greatly Appreciate all the advice here. 

After educating myself on the FHA Self Sufficiency test, it is not the route I will be taking with the obvious challenges mentioned above. I have secured pre-approval funding through a conventional mortgage broker instead for my next purchase.

Agree on the point @Jacob Pereira about living in up and coming areas - not a place for a family/SO. Being a single guy is definitely an advantage right now, as I can pick up and move anywhere. My other 2 places in Houston are in up and coming areas, have had no issues living there to let them appreciate, and definitely wiling to do the same in areas around SA/Austin that have good room for growth over the next years. 

Have made some good connections already in SA/Austin areas through this forum alone that I've been pursuing looking at deals, very cool to see this platform used as a great networker. Thanks again. 

@Austin Neal hey Austin. Thanks for the perspective. I'll send you a note. Curious of your story.

@David Ivy Thank you for such a detailed reply. I get what you are saying regarding "house hacking" - with only 10% down I am well aware that I will not be "living free". Viewing it from your perspective as an alternative to renting, and a way to get started in multi family investing is how I am looking at it as well. 

Thanks for the notes around the FHA Self-Sufficiency Test. I was not aware of this and will research more. Thanks again.

Hello All - 

I currently have 2 rentals in the Houston metro (currently living in Houston), and have been considering using the FHA Loan with 10% down to purchase an owner-occupied triplex or fourplex in the Austin area. For personal reasons, I would like to move to the Austin area (big outdoors guy/Houston is very flat), and I'm fortunate as an engineer to work remote - relocating isn't an issue.

It's no secret that Austin real estate is hot and I have concerns about making a deal work with how much Austin real estate has elevated to over the years. Triplexes/Fourplexes under 500k are possible to find (East Austin/South of Lamar near WestGate, etc.)  Assuming I could close a deal on a fourplex, hypothetically at 450k, living in one unit, renting the other 3 out - I'm curious of investor's opinions on Austins market. 

To cash flow positive with only putting 10% down + Austin Property Taxes is difficult, but this will also be my residence for a couple years. (not wanting to be solely reliant on appreciation for purchasing a property)

To boil down my question:

- Do investors think Austin is still a place for novice investors like myself trying to accomplish the above with multifamily investing?

Also to note: I'm not dead set on Austin - I've also been exploring the San Antonio area as well, which still provides proximity to New Braunsfels/Austin, but you can find triplexes/fourplexes in the metro for under 300k. I personally think San Antonio has a lot of potential for growth as the metro Houston/Austin markets price people out.

Appreciate any advice. 

Best,

Michael 

Hello from Houston Texas! I have always been a long time lurker on BiggerPockets and finally made a profile!

Some background:

26 year old, Originally from Philadelphia, moved to Houston 4 years ago. My day job is a computer engineer for a large Consulting Firm. I was fortunate enough to be able to purchase my first home after University. I currently own two rental properties in the Houston Heights (single family), as well as a shore home (Short term rental on AirBNB) in Treasure Island Flordia. I have excellent credit, 3 years of rental income, cash flowing positive. 

Recently I have become more interested in the multi-family market. Looking to gain connections/learn more about the multi family financing process, pros/cons, etc. Life is all about relationships and real estate is no different. Would love to network with other investors around the Houston area as I am actively looking to take my RE goals/aspirations to the next level.

Best,

Michael