All Forum Posts by: Trampas Tanklage

@Nathan Montes that's a great area for STRs, just make sure you're not buying in an HOA. Those typically have a 30-day rental minimum. It's hard to find a long-term rental that meets the 1% rule in that area right now.

A few thoughts on hard money:

-Using a hard money loan vs straight cash can triple (or greater) your CoC ROI on a flip

-You can expand your options to higher price/ARV ranges with a greater spread

-If you have a GC you like (or are a GC and need to keep your subs busy) you can use leverage to get into a few projects at a time, which keeps your crews happy

I'm not a lender or affiliated with any. It does baffle me why some flip investors insist on only buying with their own cash. 

@Jacob Mistric I've worked with a few HMLs in San Antonio that have programs where you can refi with a conventional lender without the 6 month seasoning period. Others start with hard money terms and transition into long-term mortgages at competitive rates. Feel free to shoot me a PM for more info.

@Prell Santi I'm in the San Antonio market, would love to connect and be a resource for you! I'll send you a PM.

@Laura Henderson STR is a GREAT idea if you buy in the right location. I have a friend who has a 5 bed house in Martindale, just east of San Marcos, that pulls in over $10k/month in gross rents and is fully booked through the summer. Being in San Antonio, I'm biased towards the Hill Country vacation towns or places along the river/lakes like New Braunfels, San Marcos, Canyon Lake, Medina Lake, etc. Prime deals in these areas are hard to come by, but they do exist.

Like you were saying about the Woodlands, it would be prudent to avoid cities with economic drivers outside of tourism, as these places are starting to adopt anti-STR regulations. For example, Austin is in the process of phasing out all non owner-occupied STRs. Several areas within San Antonio have HOAs that ban it as well (Downtown/Riverwalk is still an option though).

Best of luck! If you're interested in more info on Central Texas, shoot me a PM.

@Jacob Mistric depends on the size of the house and what area you're looking to buy in (for cosmetics). Typical rule of thumb for me goes like...

-Flooring/Paint $3-5/sqft

-Kitchen $6-10k

-Bathrooms $2-3k per

-HVAC $6-8k

-Roof $7-10k

-Electrical $6-8k

-Plumbing $6-8k

-Foundation depends on whether it's slab or pier and beam, but I would consult a licensed expert on a case-by-case basis. Common in San Antonio, so there's a lot of contractors that will fix for a reasonable price.

-Exterior miscellaneous $5k (generally, could be more or less)

Hope this helps!

@Michelle Crochet I have found several in San Antonio. That affordable rent/ARV range is becoming more and more in demand as we're experiencing historically high appreciation. If you're interested, get in while you can! It's supposed to never snow here, but we did have that once in a hundred year storm in February... you never know these days.

@Sarah Meyer I'd find a partner or leverage private money. Hard money lenders are great resources also, but they typically like to see some more cash in reserves to cover rehab draws. Depends on your market as well. 

@Justin Rush welcome to Central Texas! Austin is obviously exploding right now, the appreciation is hard to beat anywhere else. However, if you're looking for cash flow, have you considered the San Antonio market? I'm seeing deals here that meet or beat the 1% rule. The lower price points and rehab costs would also help you scale significantly quicker with the BRRRR method. DM me if you'd like more info on the market down here.

@Jeremy Rosen welcome! That area pictured is a great place to start looking for lower-maintenance SFH rentals that are around the 1% rule (avoiding the more expensive pockets like Castle Hills or Shavano Park). Between 410 and 1604 is mostly 70s and 80s builds. Multi-families are very hard to find in that area though. Outside the map, Lackland and the NE side around Randolph Base are probably your best bet. Feel free to reach out to me for more info. Best of luck!