Just wondering what you all think about property values in Round Rock, TX (10 minutes from Austin) where IKEA is moving. Since we have outlet malls in San Marcos (about 25 mins from Austin) that are doing very well, we’re all hoping the IKEA store will increase visitor traffic to Greater Austin.
http://www.bizjournals.com/austin/stories/2005/08/15/daily11.html
http://austin.metblogs.com/archives/2005/07/ikea_coming_to.phtml
Round Rock has been suffering since Dell and other tech companies took a severe hit years ago. Foreclosures are still very high and it’s been a buyer’s market. Seems like it could be a good time to buy.
Hey,
I would buy, buy, buy in and around the Austin/San Antonio corridor. My favorite is New Braunfels, nicely situated in between with it’s own attractions, as well, and still having a nice small town feel to it. My son has an advertising agency situated there as well as a couple of rental properties. IKEA is a cool store with great prices and will be a great asset to the area. TedJr is “the man” in the know for this area and I am sure will give us some knowlege. There are others who post here that also have knowledge of this area. If you live in Texas you know that Austin/San Antonio is the place to be. I live near Wichita Falls, the not-to-be place.
Peace,
Richard
My husband is from San Antonio and he still has family there - we are on the east coast. I’ve posted before on this about buying property sight unseen and have received pros and cons to it, but what do you think about us buying in San Antonio and flipping to an investor there who can hold/rehab/flip again, whatever.
East coast is so expensive. . . I’m looking for ways to make the $ and may need to look out of state.
Any investors willing to purchase in San Antonio if I can get properties under contract where the numbers work?
I’m a part of the investment clubs here in Austin. Most of our folks have been doing a lot of deals in San Antonio. The entire corridor is hot. Buda, San Marcos, Bastrop, those areas are still doing well for investors who want to escape from Austin prices. Multifamily has taken off in those areas because of high occupancy rates, low cost, and rents that can at least cover costs.
Austin will always be a hot area in Texas, it seems. Most investors think we’re overvalued, but everyone has been saying that for the past 10 years or so. Prices bust every now and then, but it’s pretty hot in Austin due to the 1031 exchanges from California, Arizona, Florida, and East Coast investors.
Hi Dee,
Not only IKEA, but also the Texas State University extension is going up in the same general area. Properties around the area are getting snatched-up by investors pretty quick. I had a bid on several houses that were in the general area, but got outbid (hey - if the numbers don’t work …). I figure that LAND is going to be a hot commodity (or, should I say, IS a hot commodity) in the area. Multi-family develoment will be huge. I just wish I had the knowledge of new development and funds to partner with someone as I see this as a great investment. Note: See my post here where I talk about it more.
Since Dell is in Round Rock, the city is always going to be a good place to invest since there are relocations to and from the area. I think these two projects are great, but wonder if it’s already too late for anyone who wants to really invest. Seems like you’re going to be losing money after the bidding wars.
From my take on foreclosures in the area, there are still deals to be had. My concern is the housing market in the Austin metro area as a whole is undervalued. This is both good and bad. Good for holders of RE who can “cash out” in the coming years (speculatively speaking). Bad for investors who hold very few (if any) RE assets AND/OR people who opt for the buy-and-hold (i.e., rental) strategy.