Which Texas market is not overheated today?

Question

Clayton Oakley · Answer

The city of San Antonio is projecting the population to almost double by the year 2040. SA Tomorrow is an innovative plan the city has released to guide the city towards smart sustainable growth. The population is currently around 1.5 million, 1.1 million are projected to move in with 500,000 new jobs and 500,000 new dwelling units by 2040. Definitely make San Antonio one of your options if you're looking to invest in Texas, the real estate market is about to explode here!

Learn more about the plan here: SA Tomorrow

Learn more about the plan here: SA Tomorrow

Michael Guzik · Answer

@Jeff Kelly I don't think there is a clear cut answer for that. It really depends on your risk tolerance, what you have to invest, how well you know the market, and what you consider a good deal. We are in an over heated market so everyone regardless of location and market is having a much harder time finding good deals. Technically speaking investing now is in the late stage regardless of location it's 2018 everyone is getting into real estate. There are some markets that are lagging behind but they are still flaming hot markets. Coming across properties that fit the 2% rule is very rare and 1% deals are few and far between too. Especially as an out of state investor unless you, or someone you trust knows the market extremely well I would be hesitant to invest because you will probably overpay. I have seen it happen all to often here in SA with California investors throwing money here, and buying houses for 200k+ that rent for 1200 and then the house falls into disarray and is back on the market in a year or two. Do your due diligence and look at market trends and the numbers on a city. The most important thing is having good, reliable boots on the ground. It doesn't matter how great the market or deal is if you have a crappy manager, contractor or tenant it will go south really fast. I would first focus market trends and numbers for cities here in Texas, secondly I would focus on building solid and quality relationships with people in the market you want to invest in. That's just my 2 cents though. Good luck and whatever you decide to do please make sure you do your due diligence not only on the property and the market, but the people you will be working with!

Rick Pozos · Answer

Whether a market is overheated or not, there are deals everywhere. You have to have the means to find the deals. I look at deals all the time. In fact I have a 24 unit under contract right now. My partner and I found an owner run property that has rents way under market. The play is to double rents, fix up the units and maybe raise them some more. It will take a year or so to do all that, but a solid property just outside of town in the growing area.

I bet there are tons of properties right in your neighborhood. You have to be willing to send out some cards, letters and talk with owners. I would think that it would be easier to do that in your own backyard. I have no problem with out of towners, but it is a little tougher to make some real money when you are not as familiar with the area.

Eric James · Answer

There was another recent thread on SA. It seems that market has been heating up as well.

Jim Cummings · Answer

@James Flynn.

CS a good duplex (2-4) town with the college students. Heard something about a law limiting the number of non-related individuals living together?

James: Bryan had a proposal that wasn't approved. There are a few Single Family Neighborhood HOA's that limit the number of occupants - but generally not an issue.

James Flynn · Answer

@jimcummins, CS a good duplex (2-4) town with the college students. Heard something about a law limiting the number of non-related individuals living together?

Jim Cummings · Answer

@Jeff Kelly. College Station, TX. Still quite affordable, lots of College Students that keeps demand up. property Values rising.

Which Texas market is not overheated today?

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