Hello,I am currently working with a local mortgage company (I have been working with my current house's purchase and refinancing.) for 30 year cash out refinancing options -BRRRR procedure.

(This "short term rental" strategy is a little more hands-on, and volatile compared to renting your home for 12 month+ , but it can possibly produce more income compared to 12 month lease rates, especially in cities like Austin and in areas like Downtown).I know there are certain regulations for short term rentals passed in recent years in Austin so I would research that as well before going that route. 

You also have to meet a self-sufficiency test, which are strict regulations regarding what the property looks like and how you will pay for the property if not all units are occupied.

Spending the occasional $50-100 on a handyman is going to be peanuts compared to investing in the best possible market vs. settling for an adequate one just because it's closer to you.Re: condos - beware the HOAs, both the regulations and the fees! 

@Addison Ricci - Please be more specific about 1. where the houses are located because "in the Knoxville area" includes many different code enforcement and zoning regulations and 2. what is your anticipated budget because in Knoxville a "full gut rehab" on an 800 square foot 2 bedroom 1 bath can easily be $40,000 if a new HVAC and siding are included. 

Under what regulation is the syndication set up?

Perhaps if it's only your 3 cousins investing, you are not concerned with that, but if you start to accept investments from others, you need to talk to an SEC attorney (or at least research the regulations on your own).

And one benefit of Cedar Park is that it's not held to the same AirBNB regulations as Austin is (if you're trying to do that)Other areas to consider that I can't speak for myself but I have heard may be good investments: East Austin, Manor, Pflugerville, Round Rock.Hope this helps!

Standard Legal Disclaimer: The OZ Legislation and Regulations are ~250 pages long to date, and additional guidance is still forthcoming. 

You will want to become familiar with the State and Federal regulations related to selling homes.