Waco Multifamily Investing Advice
I am interested in getting feedback from investors with experience in Waco. We are looking to pick up a multifamily property or two. Probably 5-10 units inside the Baylor bubble in the $600k-$1m range. Our goal is to buy and hold long term, but we need decent cash flow as well. If anyone knows the area then I am curious what your experience has been like, what to look for, and more importantly what to avoid. Are all the newer giant apartment complexes driving rents down and vacancies up? How do you ensure you are getting your units rented, and what property managers do you like? Thank you!
Most Popular Reply
I've been investing in Waco for 5 years now specifically in student rentals. The large apartment complexes have had a negative impact on SFH and small MFH properties by stunting the growth of rents. Students still want to live in non-apartment style properties but age of the property and proximity to the university are huge factors.
As far as management, make sure you speak with all companies available and that their goals align with yours. Also if they have their own properties caution as they may be renting their own first before others. It's hard to prove so good luck.
Final comment is to make sure you account for higher property taxes. Waco has been very aggressive the last 3 years in overvaluing properties to pump up their revenue.