I am an aggressive investor and built myself a large portfolio of buy and hold properties in San Antonio in about five years of nonstop work. I don’t need more houses myself. Now my goal is to build long term San Antonio real estate investing relationships with like-minded, aggressive investors with capital. I want to help YOU build your portfolio.
I talk to hundreds of investors and potential investors each year. What I have learned is that the successful San Antonio real estate investors that I work with long term have several things in common.
Am I right to work with you? Are you right to work with me? Well, read below, and then decide :).
For us to work successfully together you must have:
- Capital – Pretty important! You need to have at least ~$30,000 to do a San Antonio property flip, or ~$75,000 to do a San Antonio buy and hold. It also helps if you have a solid job and good credit so you can borrow cheap money. But it is not a deal breaker if you don’t have either.
- Realistic expectations: Current market conditions in San Antonio affordable homes dictate that you can make $10,000 to $12,000 on a flip, and 10-14% per year on a buy and hold. Those are GREAT returns! You can do a ton of damage with those numbers and make fantastic money – do 3, 4, 10, 50 deals per year or whatever your cash situation allows.
Let me be clear: I have made millions in San Antonio real estate investing, and retired before age 30, with those types of returns. If you expect $25,000 flip profits or 20% buy and hold profits on these affordable houses, it will NOT happen in our current real estate market.
San Antonio is a great, low cost market with solid returns. The economy is strong, unemployment low, population growth is booming. Also, this area doesn’t really do crazy boom/bust like oil rich/poor Houston; it’s quite stable.
It IS a hot market right now, but it won’t go too high or ever go too low. It also is not Austin, which is a great place, but really overpriced right now. I like San Antonio because it is cheap and relatively stable, and cash flow is possible in all economic cycles.
That said, 25k flip and 20% ROI isn’t happening in my San Antonio houses in March 2016. The prices have gone up too much for that.
- Patience: We work in real estate, not Burger King. You cannot ‘order’ a house to sell in a week. It sells when it sells. Typical DOM is 60-80 days. It can sell faster, but I cannot guarantee that. If you want to sell quick, I recommend buying San Antonio real estate investments north of downtown. That is a very hot area (78201 zip code especially). We also can do a ‘fire sale’ and sell the house at a lower price to get it sold quickly. If you want to get a house producing cash flow fast, I recommend doing a Section 8 rental property; we can rent it out in 30 days in many cases.
- Courage: Real estate investing in San Antonio and anywhere is not for the meek who cannot handle uncertainty. You WILL make money on these under market value investment properties, but selling a house takes time.
On a related note, you need to have the guts to make a decision yay or nay on deals I send you in 24 hours. Decide! Don’t be a wimp. Millions of people say they want to get into San Antonio real estate investing or in other cities. Few ever do because they lack courage. I talk to investors who have been mulling investing in real estate for 10 years! 10 years and never bought a deal! I did FIFTY HOUSES in my first year! Run the numbers and DECIDE.
- More patience: You also need patience on the rehab. 30-45 days is typical, and it can take longer if difficulties crop up, or if it rains for 10 days. I don’t want investors calling me daily on when the rehab will be done. The answer is always ASAP, but it takes time.
- Trust: My comps and ARVs are dead on. I have done hundreds of rehabs, and I know how to do these little houses right. I know exactly what I am doing and what houses in my areas resell for. You of course should do your due diligence on the property and you of course can ask me questions about its resale value.
I just ask you to keep in mind that I do 100 houses in these neighborhoods per year, and I have a high degree of expertise when it comes to affordable home values in San Antonio TX. Just because Zillow says a house was worth $60,000 (pre-rehab) a few months ago does not make it true for today for the same house that has been rehabbed.
Also, note that when you look at wholesale property comps, they may not always tell the whole story. In my neighborhoods, there is a wide spread of homes values: There are junk house fixer uppers worth $30,000, and fixed up, totally rehabbed investment properties or owner occupied properties for $150,000. That can skew the comps and ‘trick’ the layman on the ARV of the investment property in question. I know the neighborhoods after 15 years and hundreds of deals, so I’m very confident of my stated ARVs.
A related note on trust: I’m not here to sell you 1 house. I’m here to sell you 10, 20, 100 houses. Would I really BS you on the ARV on a house? Heck no. You will be a one and done investor. I have no interest in that. I want long term investors here to fulfill my Mission. And it’s a lot tougher to do 50 single deals with 50 different investors than 50 with 1 investor!
You can and will make money in San Antonio real estate investing, but the above items are non-negotiable in any out of state investment property investors that work with me.
I have fired investors in the last year who did a deal with me and had unreasonable expectations. I want all potential San Antonio investors to understand each point above before they consider working with me.
So to summarize, to work with me you need:
- Capital: 30k-75k
- Realistic expectations: 10-12k flip, 12-14% ROI buy and hold
- Ability to trust me.
So does it sound like we can work together? If so, please contact me now.