All Forum Posts by: Ryan Kelly

@Mark Rodriguez if this is your first rental, keep it simple. Get a solid Umbrella policy and make sure to revise your current homeowner's insurance policy to a landlord policy. Real estate is a long-term play and cash flow is the last benefit you receive. The initial benefits are depreciation and loan principal pay down, then comes appreciation, and finally cash flow builds up to create a reserve and profit. I like the plan!

@Nick Volz join PassivePockets. You can network with other passive investors and see deals in real time.

Austin still has a higher inventory than a lot of markets, but most of the correction in this market happened between 2022-2024 where we've seen a price adjustment of about 20%. Currently, the good stuff is getting traffic and multiple offers. It will take another year most likely for Austin to balance out and appreciate again, but all bets are off if interest rates do come down steadily. I definitely think a "crash" is in the rear view mirror in our local market.

@Simone Montague-Jackson glad to see you are taking action! The key to rent-by-the-room is establishing clear house rules so everyone knows how to get along, clean common spaces, and how to resolve disputes. Lots of good content online regarding this process. If you end up not enjoying managing it yourself, check out Padsplit as a management option. 

Have you considered Padsplit?

@Gregory Schwartz as painful as it has been, the Austin market needed a breather and a reset on pricing following the pandemic. It's starting to level off and see momentum in some higher-priced zip codes.

I also like the secondary level markets in Texas including College Station, Temple/Belton, Corpus Christi, etc. We have several rentals in the Temple market and family members with a decent portfolio in Bryan/College Station.

@Rob Drum lease options to buy are not allowed in Texas, but Subject To or Wraps are allowed. I also agree you can connect with Alan Ceshker in Austin as he's one of the attorneys that will help structure these deals. 

@Dustin Bowman I know it's a tough decision and sorry to hear about all the foundation issues. I'd be happy to meet you over there and give you my opinion if the foundation work and remodeling is worth the expense. I would also recommend getting a few more bids from reputable foundation companies to ensure you are getting the best quote. Shoot me a DM if you want to connect. 

@Allen Zhu if you are refinancing out of a DSCR loan, you don't typically refinance into short-term hard money loans. If you are in an LLC and looking for better rates and longer amortization terms, I recommend networking with local and community banks.

As stated, I would hire an official loan servicing company. They will handle the collection and distribution of payments, amortization, escrow accounts, and any tax documentation.