Buying Tips
Building a Residential Portfolio in Austin & Houston
How working investors think about cash flow, appreciation, 1031 exchanges, and long-term hold strategy across two Texas metros.
Texas is one of the strongest long-term investment markets in the country — no state income tax, sustained job growth, and two metros (Austin and Houston) that appeal to very different investor profiles.
Austin: appreciation-first
Austin tends to underwrite for long-term appreciation more than immediate cash flow. Rents are strong, but purchase prices mean cap rates are typically compressed. The play is appreciation plus rental income covering the note, taxes, and insurance.
Houston: cash-flow-first
Houston delivers stronger cap rates and more accessible entry price points. Suburbs like Katy, Cypress, and Sugar Land have excellent tenant demand and manageable property taxes when you buy right.
How Terry helps investors
Terry specializes in building and helping manage residential portfolios — including target-market selection, cash-flow underwriting, 1031 exchanges, and new-construction plays that stabilize quickly.