First Time investor in DFW

[Drew Cope]

Howdy,

My Name is Drew Cope and I've been looking to get into real estate investing this past year. I have been absolutely geeking out listening to BP podcasts, reading books, and practicing analyzing deals everyday to further expand my knowledge. I live in a suburb North of Dallas and currently renting for $2300/month. Which to me seems like a waste because that could be going into building equity and loan pay down on a property. I also have two preapproval letters from two different lenders along with a great real estate agent who's been very helpful. 

My #1 goal is to find a 2-4 unit property to house hack and eventually turn into a rental or a sort of live and flip Brrrr. However these properties are either too expensive or are gone off of the MLS in less than a day. The DFW market is pretty expensive right now but I'm starting to see prices slightly fall. I'm wondering if I should shift my focus onto a different strategy such as looking for SFH to live and flip or turn into a STR.

For those of you who have invested in the DFW market, what strategies have worked the best for you? I would also love to hear how I might shift my strategy.

Thanks!

[Terrance Teague]

Howdy Drew!

It sounds like you’ve been putting in some good work and are setting yourself up for success already. 

I'm based in the DFW area as well, and you're right, the multifamily space (especially 2–4 units) is super competitive, and good deals can be under contract fast. House hacking is a great strategy, but if you're finding the numbers tough, pivoting to a SFH with potential to live-in, add value, and eventually rent or sell could absolutely make sense, especially if you're open to light rehabs or cosmetic improvements.

In this market, I’ve seen a lot of investors find success by expanding their search radius to include nearby markets/cities (Wichita Falls, Waco, Sherman, Denison).

I would highly recommend attending local real estate meetups and investor events, you’d be surprised how many opportunities start from a conversation at these type of events.

Feel free to reach out if I can ever help!