Looking for an investment opportunity in San Antonio

Real Estate Broker · Chicago, IL · Member since 2021 · 17 posts · 4 votes

Hi all - Are there any investors on here who are familiar with the San Antonio Market? I'm looking to purchase a home / duplex that I can house hack / rent in San Antonio while I'm working here. Would love to connect with people in the area or Texas in general to learn more about investments opportunities.

Kind regards,

Michael

1 Reply

16 views

Most Popular Reply

Basit SiddiqiBusiness Member

Accountant · New York, NY · Member since 2015 · 8k+ posts · 3k+ votes

I think its very doable to buy a duplex for around $200,000 - $300,000 and a quad between $500,000 - $800,000.

Entry point is lower than other large markets.

Best of luck.

[email protected]917-280-8544

Basit Siddiqi CPA4.979 Reviews

View Page

2 Reply

See this reply in the discussion

14 Replies

Jump to latestLatest

Sort by

Loren Polito
Real Estate Agent · San Antonio, TX · Member since 2017 · 109 posts · 81 votes
3y
@Michael Kammenzind
Please let me know if you have any questions on the small multifamily side. I can send you over a list of solid neighborhoods to focus on for investment and good places to live as well.
1 Reply
Eliott Elias
Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
3y
San Antonio is a great market. Its entry point is low, and the economy and potential is strong. I just bought a flip out there.
1 Reply
Basit SiddiqiBusiness Member
Accountant · New York, NY · Member since 2015 · 8k+ posts · 3k+ votes
3y
I think its very doable to buy a duplex for around $200,000 - $300,000 and a quad between $500,000 - $800,000.

Entry point is lower than other large markets.

Best of luck.
[email protected]917-280-8544
Basit Siddiqi CPA4.979 Reviews
View Page
2 Reply
Michael Kammenzind
OP
Real Estate Broker · Chicago, IL · Member since 2021 · 17 posts · 4 votes
3y
Quote from @Eliott Elias:

San Antonio is a great market. Its entry point is low, and the economy and potential is strong. I just bought a flip out there.

Thanks, Eliott! What neighborhood did you buy your flip in?
0 Reply
Michael Kammenzind
OP
Real Estate Broker · Chicago, IL · Member since 2021 · 17 posts · 4 votes
3y
Quote from @Loren Polito:

@Michael Kammenzind
Please let me know if you have any questions on the small multifamily side. I can send you over a list of solid neighborhoods to focus on for investment and good places to live as well.

Thanks, Loren! Can you send me a list? What neighborhoods do you recommend??
0 Reply
Michael Kammenzind
OP
Real Estate Broker · Chicago, IL · Member since 2021 · 17 posts · 4 votes
3y
Quote from @Basit Siddiqi:

I think its very doable to buy a duplex for around $200,000 - $300,000 and a quad between $500,000 - $800,000.

Entry point is lower than other large markets.

Best of luck.

Thanks, Basit! Do you have investments out here? If yes, what areas are you focused on?
0 Reply
Nathaniel Ziomek
New to Real Estate · Los Angeles · Member since 2019 · 42 posts · 22 votes
3y
Quote from @Basit Siddiqi:

I think its very doable to buy a duplex for around $200,000 - $300,000 and a quad between $500,000 - $800,000.

Entry point is lower than other large markets.

Best of luck.

How much work do those duplexes need? only ones i have seen in that price range in san antonion need pretty extensive rehab - looking to purchase first househack here as well
0 Reply
Naz Hossain
Developer · San Antonio, TX · Member since 2019 · 177 posts · 81 votes
3y
Great market to be in! I love San Antonio. Under the radar but huge metropolitan. I have a fully renovated duplex I might consider selling on seller finance in denver heights if someone is keen. Want to focus on developments
2 Reply
Melanie ThomasBusiness Member
Real Estate Broker · San Antonio · Member since 2022 · 1k+ posts · 490 votes
3y
We have an exclusive private group dedicated to pocket listings and package listings, specifically available to our valued owners. We often come across situations where landlords who initially ventured into property investment find themselves feeling hesitant or unsuited to the responsibilities of being a landlord. They realize that property management might not align with their preferences or interests. Our private group provides a platform to connect with these reluctant landlords who are seeking to transition away from the role. By joining forces with a trusted local property manager, you can explore potential opportunities and facilitate the smooth transition of these properties into capable hands. It's a win-win situation for both parties
involved. Good luck & happy investing!

[email protected]
RentWerx Property Management4.73308 Reviews
Website View Page
1 Reply
Michael SmytheBusiness Member
Real Estate Agent · Metro Detroit · Member since 2023 · 4k+ posts · 3k+ votes
3y
@Michael Kammenzind don't know anyone, but here's some info hope you find useful.
Beginning investors need to STOP believing all the fluff about rental investing, especially with the overheated real estate market trending to historic norms. Many believe unrealistic assumptions and often apply those assumptions to the wrong property classes.

In our OPINION (always verify yourself!):

Class A Properties:
Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.
Vacancy Est: Historically 10%, 5% the more recent norm.
Tenants: Majority will have FICO scores of 680+.

Class B Properties:
Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.
Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.
Tenants: Majority will have FICO scores of 620+, some blemishes, but should have no evictions in last 5 years

Class C Properties:
Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation. Can try to reposition to Class B, but neighborhood may impede these efforts.
Vacancy Est: Historically 10%, but 15-20% should often be used to also cover nonpayment & evictions.
Tenants: majority will have FICO scores of 560-600, many blemishes, but should have no evictions in last 2 years. Verifying previous 2-years of rental history very important!

Class D Properties:
Cashflow vs Appreciation: Typically, all cashflow with zero or negative relative rent & value appreciation
Vacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.
Tenants: majority will have FICO scores under 560, little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Make sure you understand the Class of properties you are looking at and the corresponding results to expect.
Logical Property Management4.9455 Reviews
Website View Page
2 Reply
Michael Kammenzind
OP
Real Estate Broker · Chicago, IL · Member since 2021 · 17 posts · 4 votes
3y
Quote from @Naz Hossain:

Great market to be in! I love San Antonio. Under the radar but huge metropolitan. I have a fully renovated duplex I might consider selling on seller finance in denver heights if someone is keen. Want to focus on developments

Hey Naz Hossain, want to send me over the location / details on your duplex. Let's connect!

0 Reply
Michael Kammenzind
OP
Real Estate Broker · Chicago, IL · Member since 2021 · 17 posts · 4 votes
3y
Quote from @Michael Smythe:

@Michael Kammenzind don't know anyone, but here's some info hope you find useful.
Beginning investors need to STOP believing all the fluff about rental investing, especially with the overheated real estate market trending to historic norms. Many believe unrealistic assumptions and often apply those assumptions to the wrong property classes.

In our OPINION (always verify yourself!):

Class A Properties:
Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.
Vacancy Est: Historically 10%, 5% the more recent norm.
Tenants: Majority will have FICO scores of 680+.

Class B Properties:
Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.
Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.
Tenants: Majority will have FICO scores of 620+, some blemishes, but should have no evictions in last 5 years

Class C Properties:
Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation. Can try to reposition to Class B, but neighborhood may impede these efforts.
Vacancy Est: Historically 10%, but 15-20% should often be used to also cover nonpayment & evictions.
Tenants: majority will have FICO scores of 560-600, many blemishes, but should have no evictions in last 2 years. Verifying previous 2-years of rental history very important!

Class D Properties:
Cashflow vs Appreciation: Typically, all cashflow with zero or negative relative rent & value appreciation
Vacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.
Tenants: majority will have FICO scores under 560, little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Make sure you understand the Class of properties you are looking at and the corresponding results to expect.

Thanks Michael Smythe! Appreciate the information and recommendations. Where do I find the class of properties / how do you determine that? Is it by neighborhood?

0 Reply
Michael SmytheBusiness Member
Real Estate Agent · Metro Detroit · Member since 2023 · 4k+ posts · 3k+ votes
3y
@Michael Kammenzind unfortunately, the SFR market doesn't have standard guidelines for Class definitions.
The ones we shared we developed for Metro Detroit area.
If you analyze enough properties in any market though, you'll start to see patterns you can use.
Be wary of agents and wholesalers classes and many always seem to rank a property at least a class higher than reality.
Logical Property Management4.9455 Reviews
Website View Page
0 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.