If I buy an investment property, here is the info on the property, I would have to pay the rental income tax that I earn from this property. If I buy for $350k with 20% down, with 3.25% Property tax is 2.23% per year, HoA $256 per month, what is the rental income tax I would be paying if I am still residence of California and rent out this property for 3k in Texas. There is also 6% per month on 3k to pay the management there! Is 6% too high to just manage the property? Should we negotiate? Worth it?
just Google income tax on rental property since that's the large unknown, then you can add the numbers and take good decision. I think buying in Texas would be wonderful investment esp in Austin.
Would you get 3k on that property? You'll get new tenants every year and probably have it vacant for several months in between.
Downtown
3k rent sounds high unless you are renting to bunch of students who tend to neglect the property
Downtown
In the best parts of Austin you could get 1%. Likely you'll get 0.5-0.7% for monthly rent. I think you need to put more than 20% down to give yourself more of a buffer.
3k is high. lived in Austin 15+ years.
It's a 4 bed 3 bath
Where in Austin exactly?
Downtown
That's surprising. East Austin or near the university? If you can pull 3k a month, I think this sounds very good.
downtown, maybe not so high then :)
The old 1 % rule says you should get at least 3500 mo to make it a worthy investment. Unless you are purley speculating on capital gains, it's probably best to look elsewhere.
Where in Texas? Yes 6% sounds pretty high.
Management includes pre leasing and helping with issues with the renters! This is in Austin!
What part of Austin? The areas that have homes for $350k are not places that spring to mind when I think of $3k for rent.. I live in Dripping Springs right outside of Austin