Small town REI in Texas

[Daniel Medellin]

Anyone have any experience in small town REI?

Any pros and cons

Thanks.

[Victor Steffen]

Hey Daniel, I started off buying in small towns. Pro= high cash flow, low purchase prices, low competition. Con= low appreciation, can be hard to resell, hard to find tenants, typically weak economy or single source economy. That being said- Investing in small towns gave me the cash flow I needed to quit the 9-5 and build out the higher value pieces of the portfolio and my agency business. I'd do it the same way if I started over. 

[Daniel Medellin]

@Victor Steffen thank you! I’m considering on starting out with this method.