Austin TX, 150 mile radius and $40k

12 Replies

New to Real Estate in the Austin area. I'd love to invest in an area somewhat close to Austin, but realize $40k probably won't get too far in Austin, TX area. 

My question: What markets would others out there recommend within a 150 mile radius around Austin that I could take $40k and get started in real estate. Why would you recommend these markets? 

Hi @Caleb Godsey, First and foremost, welcome to Austin! Regarding what you were talking about, with $40k and 150 mile radius you can get into several markets with the leverage of hard money. Are you looking to fix and flip or fix and rent? 

Originally posted by @Michael Lam :

Hi @Caleb Godsey, First and foremost, welcome to Austin! Regarding what you were talking about, with $40k and 150 mile radius you can get into several markets with the leverage of hard money. Are you looking to fix and flip or fix and rent? 

 Definitely looking for Fix and rent. Looking for a market that can provide some sustainable Cash flow. Any appreciation would just be an added bonus but I think stability is my main focus.

@Caleb Godsey first off, great name. Secondly I would look into Waco, killeen, and maybe temple for markets within that driving distance. San Antonio May also work but I’m not as positive

There are several markets that you can be all in on a flip or rental property and possibly 2 for $40k. Are you looking for a flip or a rental?

Personally, I would stay away from hard money without experience. Just my personal opinion as someone who has been at this for 28+ years 

Originally posted by @Caleb Heimsoth :

Caleb Godsey first off, great name. Secondly I would look into Waco, killeen, and maybe temple for markets within that driving distance. San Antonio May also work but I’m not as positive

 Hello Caleb! I second that....great name!

I've briefly researched the Killeen & Temple area. It seems like a relatively great area and it appears multi-unit properties are available there as well. Have you personally done any investing in these markets. Curious if they have a high amount of vacancy with it being a military town or if that actually works in favor of the town because there are always people being moved there?

Originally posted by @Greg H. :

There are several markets that you can be all in on a flip or rental property and possibly 2 for $40k. Are you looking for a flip or a rental?

Personally, I would stay away from hard money without experience. Just my personal opinion as someone who has been at this for 28+ years 

 Hi Greg! Thanks for the response. 

I'm not super familiar with hard money so I will probably take your advice and stay away from it for now until I have more experience under my belt. I'm definitely looking for something to get me started in the rental category. I'd like something that cashflows well (don't we all) but am not super concerned with an appreciating market as it seems that's just a bonus that you may get.

Are there any specific markets you'd recommend for someone just getting started? Others have mentioned the San Antonio market, it seems very hot right now...potential cash flow and appreciation there? 

@Caleb Godsey I don’t own anything in Texas.  I looked into Killeen briefly but didn’t buy anything.  I lived/went to school in Waco for 4 years.

I know you can cash flow in those markets but do your research. 

The industrial and healthcare industries in Temple are constantly growing and the city is expanding like crazy.  My only concern with the real estate market here is the massive expansion and hundreds of new houses being finished every month.

I invest in both Killeen and copperas cove. That area has some great cash flow. But also look into doing a brrrr in that area. I just picked up a house for 47k and it’s worth 82k. You can get it rented out and  do a cash out refi get your money back.