Moving to the Dallas area next year - thoughts on multi-family

[Orlando Chavez]

Hello all. I am just starting to learn about real estate investing and trying to learn as much as I can about the Dallas market (and suburbs). I’ve heard it’s not as great compared to pre-pandemic but would like to get some thoughts from local investors, agents, lenders. I’ve sort of been looking on Zillow and Redfin for 2 to 4 units properties. Just running the numbers based on Zillow and Redfin prices, comparing rents to similar properties, and assuming I pay the asking price (no negotiations, 20% down), it looks like it’s hard to be profitable. My goal is good positive cash flow.  Again I am just getting started so I have lots to learn especially in a new market. Thanks for your feedback. 

[Drago Stanimirovic]

Orlando, you’re on the right track, Dallas is still strong long-term, but cash flow is tighter now due to higher prices and rates. Multifamily (2–4 units) is a solid entry, but you’ll need to dig into submarkets some suburbs or zip codes will perform much better than others.

Don't rely on asking prices alone as many deals need negotiation or value-add to pencil out. Also, consider creative financing like DSCR loans or seller credits to boost cash flow.