Salt Lake City, UT vs Austin, TX

[Sue T.]

Hi,
I'm trying to decide where to focus my investment efforts. Both cities appear to be experiencing good population and job growth, but everyone I've spoken to thinks Austin, TX is the better buy...which actually makes me think Salt Lake City, UT may be better b/c it may a little more "under the radar". The thing that worries me about TX is the high property tax, high insurance rate, and higher risk for natural disaster. Since the property taxes are so high, I'm worried this would mean that there would be little appreciation in TX? What do you guys think?

Thank you for reading and I appreciate all opinions.

[Nathan Emmert]

Investing in a state Capital is generally a pretty safe place... but you didn't say what you were investing for to determine the "best". I'm guessing neither SLC or Austin will cash flow so I figure you're looking for long term appreciation?

Pros for Austin:
Energy based economy = job growth
It's not in Utah

Pros for SLC:
Mormons = Population growth (they never seem to move)
Business friendly Government = job growth
Lower taxes than Texas

Being in Utah I'm a bit partial though I invest for cash flow, not appreciation. I'd be more inclined to invest in Utah County than SLC though taking full advantage of BYU and the Mormon influence. All the population growth seems to be moving south down the Uintahs in towards Spanish Fork. Depending on your hold period, moving south down that corridor would give better values.