Looking for Austin Agents

13 Replies

Glad to connect @Jonathan Ochoa !  I would strongly second @Jordan Moorhead 's words on the cash flow side of Austin.  Typically there are only a few ways you can achieve cash flow in Austin:

  • Buying cash flow with an increased down payment, but COC drops sharply
  • Performing a major rehab and bringing rents up to market rate
  • Holding the asset for several years while the market rents grow

Great points @Bryan Noth ! While Austin can be a cashflow market I find that it's easier to find positive cashflow when househacking or doing a major rehab when you're looking for immediate cashflow. As for Bryan's points of putting more down or waiting for the rents to increase that can certainly work too. Rents in Austin are still low for a hot city like we are and I've found my rents to go up pretty well year over year!

@Jonathan Ochoa the further out you get the easier it will be to find cashflow as the prices decrease. You're still better off looking for rehabs but it gets easier to do. With the area growing so quickly you can't imagine people not having to live further and further out.

@Paul Park Austin MSA has historically been a very solid investment vehicle for many people, homeowners and investors alike.  However, the short term play versus the long term play may require different approaches.  One of my biggest determining questions for investors is: 

Is this a sub 2 year play, or are you looking to hold for 3 + years?  

With holding under 2 years, you have to find something with meat on the bones.  Typically distressed or in need of major updating.  That said, appreciation rates in Austin can make short term plays viable as well especially given the population growth and limited inventory.  

@Jonathan Ochoa What is your budget? Capital outlay? With the right capital outlay I would do core developments if appreciation is the goal. The core of the city is more expensive for a reason. The reason is appreciation. 

Originally posted by @Bryan Noth :

@Paul Park Austin MSA has historically been a very solid investment vehicle for many people, homeowners and investors alike.  However, the short term play versus the long term play may require different approaches.  One of my biggest determining questions for investors is: 

Is this a sub 2 year play, or are you looking to hold for 3 + years?  

With holding under 2 years, you have to find something with meat on the bones.  Typically distressed or in need of major updating.  That said, appreciation rates in Austin can make short term plays viable as well especially given the population growth and limited inventory.  

I wouldn't mind holding 3+ years.