All Forum Posts by: Tyler D.

@Tyler D. what are you looking for most in life? Obviously moving and finding a job here in Texas may offer you a different lifestyle in each city. San Antonio, Houston, DFW and Austin are all great metroplexes with (maybe excluding Austin) pretty decent returns and a great lifestyle. $800k for a 4-plex for instance where I'm at (DFW) would buy you a completely remodeled 4-plex right in the thick of things in downtown Dallas. Or you could be in Arlington for half of that. Both would offer you a much different lifestyle but one will cash flow much better than the other.

The income from the property comes first, as I don't need to live there if I don't want to after the first year. While it would be nice to have a property in a place that I want to live, it's secondary to finding a market with the best returns.

At the moment I'm leaning toward the non-Austin metros, all for different reasons.

1 Vote

Originally posted by @Bryan Noth:

@Tyler D. I wouldn't be so quick to rule Austin out, especially if your budget is 800k for a quad. There are several that show up in a quick MLS search that have merit in the price range.

All of the major metroplex areas in Texas have upsides. Austin is arguably the fastest appreciating market and has diverse employers. San Antonio will likely be the lowest entry point for with respect to price. And I agree with @Daniel J Dominguez about Houston's job market.

What is your investing goal might I ask? Buy and hold? And for appreciation or cash flow?

To answer your question directly, if I had the budget of 800k, I would invest in Austin. If my budget was lower, I would pick San Antonio or Houston depending on work availability.

Hey Bryan, my goal for this property is to max my veteran's benefits. In Texas I get a 100% property tax exemption (100% disabled veteran), as well as the great VA loan rate. This is why I'm specifically looking at the bigger cities and not the smaller ones which would arguably cashflow better.

As for the property itself, I'm thinking that a fourplex with a 3/2 + garage setup would be optimal, as it would attract families who would stay for a long time. I'm still new to the REI game, so I'm open to suggestions on this, though. I'm looking to buy and hold for the long-term, with a focus on cash flow.

I took a look into Austin and you're right. I found a few in the $700k range. I'll have to look at the numbers to see how they'll cashflow.

1 Vote

Originally posted by @Daniel J Dominguez:

Houston by far

What puts houston above the others, in your opinion?

0 Votes

Originally posted by @Michael Jones:

Invest in Temple/Belton. Relatively close to Austin and Waco. Still affordable and not a booming economy. Economy will continue to grow modestly and will allow for common sense appreciation as well as steady job growth. I have a few SFR there and will continue to invest in the area.

I'll check them out. How do they compare to the big cities?

0 Votes

Originally posted by @Mitchell Benson:

Find a good job first. Then find a property 👍

If this were my line of thought, I'd get a job in San Francisco where a SFH is $1.2 Million.

Please stay on topic.

2 Votes

I'm looking to buy a fourplex in Texas with my VA loan. The plan is to live in one unit, and rent out the other 3, but I haven't decided on the city. All in I'm looking to spend a max of $800k on a fourplex.

Real estate is my side hustle and I work in tech, so I'd prefer to live in a city that has a strong tech sector (but this isn't a huge factor as I can move out after living there for a year). Austin jumps out immediately as being too expensive. I found some nice deals in San Antonio but I'm not so sure about the job prospects. Dallas seems strong job-wise, and Houston looks like a bit of a sweet spot. Good amount of jobs, low prices, and a nice place to live.

But this is all going off a few hours worth of googling, and I'd like to get the info straight from the source. If you had to choose a city in Texas to buy and rent a fourplex, where would it be, and why?

2 Votes

Originally posted by @Jim D.:

If the issues you have with the house are related to the bones, mechanicals, structure, etc., then I'd agree that you should probably cut your losses and move on.

If your issues are more cosmetic, I would probably stick with it and avoid taking a big loss on transaction costs. Different areas have very different expectations on what is acceptable for rental quality. Investors from nicer areas are often disappointed by the condition of the housing in these midwest cities, but locals likely have very different expectations. You have several applications, so it's clear the renters in your area like the house and want to live there.

At the very least, keep it for a year. If you list it for sale now, buyers will be skeptical of the house.

I had a full inspection before buying and the bones are good. Main issue is that the house was renovated, and though it wasn't clear from the pictures they did a really lazy renovation.

Some of the carpet is just sitting on top of the floor, not secured to anything. Missing 10/15 of the house's lightbulbs. Random tools and materials left behind, etc. It's clear they didn't give a damn.

That being said, I could be overreacting, and just need to give it some time to think.

0 Votes

A few weeks ago I purchased a SFH to use as my first rental. It had great pictures, and both agents and the inspector made it seem like a deal.

I flew out to see it and... It is not what I expected. The seller must have been a great photographer because it is not in the amazing condition it appeared to be.

Currently I have it on the market looking for a renter. Now I want to just put it up for sale and cut my losses. I want to make sure it's in my legal rights to do this, as several prospective tenants paid an application fee.

Also, I don't want to scare away any buyers who would look at the property selling just weeks after it was sold to me. It had quite a few offers when I bought it (there was a bidding war), so I don't think I'll have an issue reselling it so long as I avoid putting up red flags. What's the best way to handle this situation?

0 Votes

I was looking around at apartments in Honolulu today, and found a group of really cheap studios. They're all under $100k, and based on rental estimates would cashflow well. From what I've seen there are no HOA fees, so I'm wondering, what's the catch?

Here is an example of one that was sold recently:

https://www.zillow.com/homedetails/410-Nahua-St-APT-402-Honolulu-HI-96815/2090546469_zpid/

0 Votes

Honolulu, Hawaii

All Forum Posts by: Tyler D.

Tyler D. has started 87 posts and replied 210 times.

Post: Best city in Texas to buy a fourplex?

Post: Best city in Texas to buy a fourplex?

Post: Best city in Texas to buy a fourplex?

Post: Best city in Texas to buy a fourplex?

Post: Best city in Texas to buy a fourplex?

Post: Best city in Texas to buy a fourplex?

Post: Best city in Texas to buy a fourplex?

Post: Bought a house and now regret it. How to pull out?

Post: Bought a house and now regret it. How to pull out?

Post: Cheap studios in Honolulu. What's the catch?