Consider Owner Financing Your San Antonio Fixer Upper to Save on Repairs

The most popular way to buy and hold properties in San Antonio is to renovate and rent them out.

I own many rental properties myself, and there is nothing wrong with doing that. But the majority of my portfolio continues to be San Antonio buy and hold properies that I owner finance.

Owner financing usually works very well in San Antonio because we have so many blue collar workers who make $3000 to $5000 per month as a family. Many of them have no credit or poor credit. But if they have a good, steady job and can prove their income, owner financing these San Antonio fixer uppers often is better than renting them out. Why?

The major reason that I find as an owner of under market value San Antonio investment properties San Antonio investment properties is that I can save thousands of dollars on renovating the property. I let the new owner of the home do most of the repairs. Most of the repairs that I do are just enough to get it sold.

For example, consider this $39,900 cash San Antonio fixer upper:


  • Address: 127 Hopkins St. San Antonio, TX 78221
  • Year Built: 1972
  • Description:  Location Location! Very popular neighborhood with extra-large back yard south of downtown. This is a high ROI, under market value San Antonio investment property ! – 3 beds 1 bath, 850 sqft, built: 1972, Lot Size: .16 acres, Yearly taxes: $1,052.00, Estimated yearly insurance $600.00, Estimated repairs: 5K, landscape tree removal, trash removal interior/exterior. ARV: 69.9K
  • Cash Price on San Antonio Fixer Upper:  $39,900
  • Exit Strategy: Owner Finance this San Antonio investment property with 5K in clean up: 5k down, $695.00 monthly P/I, 30 year amortization, 10% interest, Price: 69.9K.

If I rented this out, I would need to probably do at least $15,000 in additional rehab work. I can do it, but it will lower my cash reserves and lower my ROI. Also, prices of San Antonio construction materials are higher these days, so I prefer to owner finance the home with limited repairs.

With an owner finance deal, I will only need to remove trash and brush, and do some minor plumbing work in the kitchen and bathroom, plus do a full cleaning. Then I will find a good buyer with a good job with poor credit, and he or she can continue to fix it up. I have found that these types of owner finance deals on affordable San Antonio properties can work out very well for the investor. What do you think?