All Forum Posts by: Taylor Null

Thanks, Ryan! It looks like the overwhelming consensus would be to recommend selling, haha. I'd really like to have my hand in the Austin market long term, but really need to move out-of-state. I can't always get everything I want (:

Y'all make great arguments about taking the tax-free profits from the appreciation. It has appreciated quite substantially and with the work I put into it. I believe it would make a nice profit. However, I am in a part of Austin where I speculate it will increase much more rapidly in the next 10 years than in other parts. So I'd like to stay in the Austin market long-term, but I plan on moving out of state. In addition, I would like to have a property that has perpetual income.

My original plan is to get an STR license for owner-occupied 51% of the year. From what I read these are much easier to obtain. I would live at this property 51% of the year and other times at my out-of-state property.

The refi will ideally put me over the 20% mark for equity and make the margin for renting that much better.

Thank you for the advice, Lynn! I'll definitely look into the depreciation schedule and most likely speak to an account about all of this. Do you have any referrals for an accountant in the Austin area?

Ah, thank you for the reply! Those points really help me out. So it looks like in order to get another mortgage I'll have to first establish rental income. That shouldn't be a problem.

So is there any way for me to expense items for my STR without an LLC owning it? I'm trying to get as much protection as I can and reduce my tax liabilities. Or am I too much of a small fry right now to even care about such things?

Hey y'all,

I'm wrapping up my live-in renovation of a property in South Austin. I would like to keep this property and use it as an STR. However, I would like to move out and purchase another primary residence.

I have read that selling my house to an LLC that I own would be a good move to reduce liability and my personal debt ratio. So I am thinking I'd like to have my company own the property, and I'd purchase another property under my name elsewhere.

I hope this all makes sense. Please let me know if you have advice on this or maybe a local Austin CPA to talk about this with.

Thanks,

Taylor

@Ben Haab I think I may be headed the same route, thank you for the advice. How did you find your first few properties?

@Rick Pozos Thank you for your advice regarding off-market deals. I have actually seen your comments in many other threads regarding marketing yourself and avoiding the premiums of MLS deals.

I periodically do a SWOT analysis on myself/my life. I have determined my weaknesses are sales (selling myself) and networking (building relationships). I am 100% introverted. I definitely want to try to get better at this, but currently I work a fulltime job and cannot devote the time it would take to improve in this area. Plus I don't think I would enjoy networking in the least bit. It sounds like in my case I would need a partner that excels in that area, or possibly a mentor.

@Justin Kane

I have been looking at SATX area very breifly. I'm not knowlegeable about the "bad properties, good neighbourhoods". I am willing to seriously consider that area.

@Jay Hinrichs

Thank you for the suggestion about easter Washington. I actually used to live in western Washington for a few years. I was hoping to avoid any sort of snow in my immediate future (:

@Brandon Miller

Thank you for suggestion as well. I have looked at San Marcos, it's a college town and I am not too sure about the appreciation there.. Kyle/Buda looks like it is flooded with new construction, I haven't been seeing many older properties for sale (granted haven't been looking that hard there). Bastrop appears to be new construction or flips, a bit too pricy.

 @Danny Webber:

Why 20% down?

To eliminate PMI.

What is your exit plan?

Hold the property for 1-2 years, sell for a profit and move to the next investment.

Cash flow monthly or appreciation preferred?

Appreciation preferred. I would like to not be tied to one area with many rentals, and recently I have heard horror stories of being a landlord that has really turned me off to the idea.

Look at an assumption to wrap play

Killeen/Copperas still has cash flowing 4's/2's

I visited Killeen a few months ago. The town is rough. As an investment vehicle I would be okay with this, but not to live in.

Suggestion- rent till you find the right deal. It will come. I purchased 2 homes last month and am buying another on Friday. Deals are still out there. 

That's a good plan. I have been renting for about 9 months in the Austin area. I have only been trying to source deals via MLS. Should I be looking elsewhere as well?

@Cassi Justiz Thank you for the suggestion about the midwest. I know things are looking quite good there. While I would be financially motivated to move there, I am afraid my overall happiness/satisfaction would decrease by moving to the midwest.

@Laura Sulak I was briefly looking at Temple and the prices are attractive. The one drawback is the lack of high speed and internet infrastructure.