One of the questions that often come up in the investment expos I address is that of where to buy property in a way that offers the best ROI (return on investment). Is Austin a good place to invest in, they ask me. Elon Musk was spotted there, so it must be cool or hip, they tell me. They are very wrong. Let me explain.
Austin is a sellers’ market right now.
In the past, I have invested in Austin and helped people do the same. In fact Austin was one of my favorite markets and investing there was a good option then. Past tense! Right now, the Austin real estate market is among the craziest in the country. Property owners here should be looking to sell or to hold – not buy. There may be a lot of buzz, and thanks to the pandemic, there is even more turmoil in the market, but Austin is not where you want to buy real estate right now.
Your purchase criteria.
There are a few things you need to keep in mind when you're investing in real estate. You have to choose the type of property you buy. For instance – a single family home or a condo? What makes more sense in this scenario of the COVID pandemic when people are scared of shared spaces? There you have your answer.
You also have to choose carefully when to make the investment. Austin is not good right now, but there are areas that have loads of growth potential. So where and when you buy also matters greatly. Another aspect you want to look at carefully is rental incomes. A buyer’s market doesn’t necessarily mean that rental incomes are good in the area.
All this market insight isn't simple or straightforward. Luckily for you, our quarterly real estate investment expos can help. These events are designed to guide you to make purchases based on several criteria such as type of property, location, future appreciation, current rental prices and so on. Check out this short video (under 3 minutes) where I explain how this works.