Home Buying in Austin>Question Details

Earl, Home Buyer in Austin, TX

Hello. I am I am local to the area and I am interested in potentially purchasing an investment property here in Austin.

Asked by Earl, Austin, TX Thu Apr 26, 2012

I have done some preliminary research on the real estate market and the residential property that is currently on the market. I am, however, interested in the possibility of looking into short sales. In general, I am seeking an investment property where I can generate steady rental cash flow, preferably near the UT/downtown area.

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Earl,
I'm a RE broker specializing in investment properties and property management. As others have said, short sales can be complex (but certainly doable). In general, you don't see as many foreclosures and short sales in the UT area as you do in outlying suburbs.

I'd like to have a conversation to understand your investment goals so that we can determine whether a UT/Central property is the right choice. Those properties, and any others in the central core of Austin, are not going to cash flow as a rental. The ratio of acquisition costs to rental income (GRM) is not in your favor. However, appreciation potential is strong, and demand is always high (low vacancies). At the other end of the spectrum are outlying suburbs and small multi-family (duplex / fourplex) where you get better cash flow relative to purchase price, but less potential for price appreciation. Understanding your investment objectives will help me craft a strategy that fits your needs.

Thanks,
Tim Hendricks
tim@512re.com
512-200-4015
1 vote Thank Flag Link Thu Apr 26, 2012
Earl, I DO NOT work with investors because I am an investor and I don't want any conflict of interest. As such, I don't have a dog in this hunt. First, you need to determine your investment strategy, your desired ROI, COC return, etc. If you're wanting to consider short sales as part of your investments, my guess is you're likely new to investing as short sales are time consuming, tedious, frustrating and are seldom the good deals they're often made out to be. Do your homework before you consider investing or you may become one of "those" investors who jumped in with both feet only to find that they're losing their shirt because they believed what they were being told by an agent who has received their check and is now long gone.
1 vote Thank Flag Link Thu Apr 26, 2012
Dear Earl,
I would actually call some of the Realtors and ask lots of questions and see if they are a good fit for you. Testimonials can be faked. So its on you to ask for references. I wish you the best on your purchase.
0 votes Thank Flag Link Sun May 6, 2012
In my experience low price property rents better. People some times don't pay much attention to the property condition when renting so what about a couple of small houses in regular condition in 78702 or 78741 area that you can remodel in the future? This two areas are just minutes from downtown and might have a lot of potential.
Diego.
0 votes Thank Flag Link Sun Apr 29, 2012
Earl, Tim Hendricks's comment is right on. Figure out your investment objectives (short term, long term, desired return on investment) before deciding what type of real estate investment (single family, multi family, condos, etc) and where will you be comfortable purchasing..
Your timing has never been better, this is the time to buy.
0 votes Thank Flag Link Thu Apr 26, 2012
Earl,
I work with a variety of clients and have a successful track record. Multi-million dollar producer since I started selling real estate in 2006. Please check my bio and testimonials at the link below.
0 votes Thank Flag Link Thu Apr 26, 2012
Most of my clients are referrals. It would be my pleasure to put you in touch with some of my clients. Please contact me at 512-468-8788 and I personally put you in touch with them.
0 votes Thank Flag Link Thu Apr 26, 2012
Since there appears to be a fair amount of interest, I feel compelled to state that I personally place high value on testimonials in order to help gauge track record of realtors. It would be very help to me to be able to see previous reviews/testimonials to determine fit. Thank you
0 votes Thank Flag Link Thu Apr 26, 2012
I specialize in REO & HUD properties. 90% of all my clients are investors and they have purchased multiple properties. I have assisted my clients to build their Real Estate portfolio for long term investment. Also in Central Austin we have done many flip projects for short term Investments.

It would be my pleasure to meet with you to discuss different strategies that we use in RE Investment and to see what your goals and needs are.

Please feel free to contact me to discuss these in detail.

Moe Paknia
Certified REO & HUD Specialist
512-468-8788
moepaknia@yahoo.com
0 votes Thank Flag Link Thu Apr 26, 2012
Earl, I help investors like you on a regular basis and do not charge for my extensive services. I not only help you find the right property that suits your short and long-term goals, I assist you in determining the average rent in the area, vacancy rates, etc. Please click on my name to the right and review my credentials and client testimonials, and contact me if you'd like to discuss working together. I am also an investor myself so I have the perspective of being an investor and a Realtor. Most of my clients find that very beneficial. Please let me know if I can be of assistance! Joe Jarusinsky, Realtor/Master Instructor, Keller Williams Realty, Austin's #1 Real Estate Company… 512-261-4415
0 votes Thank Flag Link Thu Apr 26, 2012
Hi Earl,

Elaborating on your second comment, I would be happy to discuss different rental opportunities with you(distressed sale or traditional sale)

The rental market is incredibly strong in Austin. I have leased out my investor clients properties very quickly(usually a couple of days), and they often have multiple applications.

Please feel free to contact me if you would like to discuss investment properties further.

Steve Nusinow
(512)922-7588
0 votes Thank Flag Link Thu Apr 26, 2012
Earl,

I am an Austin area real estate broker and investor. The majority of my business involves helping investors acquire buy and hold cash flow properties. We also own a number of investment properties ourselves and have experience with property flips.

I'd be happy to meet with you to discuss your goals and walk you through our method for acquiring, renovating, and leasing investment property.

I am also very familiar with the short sale process which is just one of the ways to acquire discounted property in the Austin market.

Feel free to contact me anytime if you'd like to discuss further.

Scott Sutherland
Broker, MBA, SFR
RealtyStake LLC
Investment Property Advisors
512-925-0783
scott@realtystake.com
http://www.realtystake.com
Web Reference: http://www.realtystake.com
0 votes Thank Flag Link Thu Apr 26, 2012
If you're going to try and purchase a short sale make sure you work with an agent who's experienced in that areas or you'll be in for a very frustrating ride. Just my opinion but they can be a real hassle to deal with so expect delays. You might find it easier to just buy a property that's already been foreclosed. If you really want some bang for your buck find a property that's distressed and needs some work. Fannie Mae has a HomePath program that allows for a lower down payment but not all properties are eligible, http://www.homepath.com. Another option is to buy a deal from a reputable wholesaler in town. These agents specialize in selling investor type properties. If you need a referral I'd be glad to give you one. Hope that helps...

Marco@entrustequityfunding.com
0 votes Thank Flag Link Thu Apr 26, 2012
By the way, it doesn't necessarily have to be a short sale. If there is a residential property near the UT/downtown area well suited for rental income and priced reasonably, I'd be interested as well
0 votes Thank Flag Link Thu Apr 26, 2012
Hi Earl,

Short sales can provide a great opportunity, but the require a great deal of patience. And, even if with patience, the deal can fall apart.

Since this is an investment property, you are definitely in the right position to try and work a short sale deal.

I would be happy to discuss the process with you in further detail. Please feel free to contact me anytime.

Thanks,

Steve Nusinow
(512)922-7588
0 votes Thank Flag Link Thu Apr 26, 2012
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