1031 Exchange – STR vs LTR in Austin/Dripping Springs – Looking for Local Insight

[Lawrence Haddon]

Hi BP Community,

I’m in the process of planning a 1031 exchange and looking to reinvest in the Austin/Dripping Springs, TX area. I'm considering both short-term rentals (STRs) and long-term rentals (LTRs) and would love to hear from investors or professionals with local experience.

Specifically, I’m looking for advice on:

How STRs are performing in the Austin/Dripping Springs market

Any local restrictions, permitting challenges, or HOA issues related to STRs

Whether LTRs are currently a safer or more scalable play in this region

How to best structure a 1031 exchange for this type of investment

Referrals to solid 1031 and STR-LTR friendly agents, or property managers

I'm aiming for a balance of cash flow + appreciation and trying to understand which path is more viable long-term in this particular area.

Would really appreciate your insight, personal experience, or expert referrals. Happy to connect offline as well if you're local or active in this space.