Austin Metropolitan for Cash flow?

[Mahbod Norouzi]

Hi, I want to buy my first rental property. I am not in rush as I am still learning. I am not sure yet which area I am going to choose, but Austin has been always appealing to me. I was wondering if there are still some areas in the Austin Metro that can produce cash flow? If no, which cities in Texas? I live in California BTW. Thanks

[Ryan Kelly]

@Mahbod Norouzi as Dan stated, any of the Austin suburbs are still going to be too hot for cash flow with a traditional down payment. You would want to go out about 1-hour away to be beyond the traditional commuters. I would target secondary markets in Texas that could have a price point around $200,000 for a single family home. These would be markets like Killeen, Temple, Corpus Christi, College Station, Waco, etc. The big markets and their suburbs are likely seeing too high demand for "easier" cash flow options.