A quick glance at housing affordability in AustinMedian Household Income App (Forbes): $73,493 ($6,124/mos)Cost of Living (Forbes): 15% above nat'l avgMedian Home Cost (SFR-ABOR Stats): $302,250Assume 5% Down Payment Conventional Loan- 30 year amortization- $15,112.50 down pmt + any closing costs• Percentage of residents with less than $1,000 saved: 56%• https://www.gobankingrates.com/…/…/americans-savings-state/…- $287,137.50 amt financed- 4.375% interest rateHow the payment looks:PI= $1,433 mosIns= $105 mosTaxes= $458.33 mos (Assume $5,500/yr)HOA= $25 mos$2,021.3/mos PITIDTI’sHousing ratio= app 33% @ median income ($2021/$6124)FHA should be at 31% or less with Conv/VA/FHA being around the same although all have exceptions in placeTotal DTIThese hover between high 30%’s to manually underwritten total DTI’s in the 50’s or higher depending on the programs@ 45% Total DTI Ratio and assuming the above PITI pmt that gives a borrower approximately $734 per month in all other creditor debt (cars/cc/personal loans/etc)These numbers are not perfect but are rather a quick illustration of current housing affordability in Austin for Retail Buyers.Summary: Housing is becoming less and less affordable in the COA for end retail buyersAssuming increases in property taxes/insurance/interest rates on the horizon how does this affect us as investors?

Some may not want this scenario but it worked out absolutely perfect for us as we were able to get all 3 renovated and rented with new tenants at almost triple the original rent.  

Perfect example of why I don’t do rentals.

Maybe someone will want to buy a perfect place for a shopping mall?

Indianapolis is almost perfect as it has a lower entry point, growing economy with good deals, but is about 3 1/2 hours away. 

Probably have conveyed this perfectly, but it was the essences of the conversation.

In a perfect world, it is a good property to use the BRRR strategy on and generate income for all of us. 

Perfect for rentals as they’re darn near indestructible. 

This won't be the case for turnkeys right now because of where we are in the real estate economy in general, but because I bought at the perfect time in Atlanta, all my turnkeys have doubled and tripled in value. 

Sub2 with low cash is perfect for pretty houses with low equity.Owner-occs NEVER want to do seller financing.