Ten Reasons Why Savvy Investors Love Texas Cashflow Real Estate

Texas cashflow investingYou’ve probably heard lots of reasons why Texas cashflow real estate is attractive to investors, and here are ten more…

1. Texas cashflow real estate was less hurt by the Great Recession than the nation as a whole. Texas was still creating jobs when the rest of the economy had already started losing jobs in May 2008. Also Texas began posting positive employment growth 5 months before the nation as a whole.

2. Texas is the 14th largest economy in the world and 2nd in the nation (behind CA).

3. Texas added more people (nearly 4.3 million) than any other state between the US census counts of 2000 and 2010.

4. State demographers expect a population increase of 12 million in the next 20 years.

5. Texas private sector profitability ranks 13th in the nation. This means that businesses are able to retain more profits, maintaining cashflow and allowing for continued growth and hiring.

6. Texas produces more than 15% of all US exports.

7. Texas has no state income tax which is attractive to workers and businesses alike. Investors who reside in a no income tax states can avoid paying state taxes on Texas real estate profits.

8. The lower cost of living in Texas allows businesses to pay lower wages without affecting the quality of life of their employees. This cost savings allows Texas businesses to remain competitive in and outside of the US.

9. Housing affordability is 68% of the national average ($125,800) while rents for Texas real estate remain strong.

10. Texas ranked 10th in the nation for most entrepreneurs. This makes sense when you consider Texas consistently leads the nation in total number of jobs created and lowest rates of unemployment. Texas actively recruits (poaches) businesses from other states and countries through relocation incentives and tax subsidies for new businesses.

Texas is such a great place to invest, I couldn’t stop at just ten reasons. So, here are two more

11. Texans are more mobile than the rest of the nation on average. This is good for Texas real estate because a growing economy means a continual influx of new renters. This could lead to increases in higher rents in Texas cities like Dallas that are already facing land shortages near the major employment centers.

12. Recent increases in sales tax collections from business purchases, consumer purchases, and automobile sales signal that the Texas economy has emerged from the recent recession.

My favorite reason to invest in Texas cashflow real estate is the turn key investment opportunities offered by Hassle-free Cashflow Investing. 

Imagine guaranteed rents = success!

If this has your interest peaked, pick up the phone and give us a call to see if Texas cashflow real estate is what you’ve been looking for.  (866) 931-9149 Ext. 1


The statistics in this report come from the office of the Texas Comptroller as well as a report titled Nine Reasons to Invest in Texas printed in Tierra Grande which is published by the Mays Business School Real Estate Center of Texas A&M University.

Invest in Texas cashflow real estate and get Hassle-free cashflow from DAY ONE!

Part of our series of articles on investing in Dallas

Try on this recipe for financial success DFW style

Sales of existing DFW (Dallas – Fort Worth, Texas) single-family homes in August were up 24% from a year ago (aug 2010 to aug 2011), according to the most recent MLS data compiled by the Real Estate Center at Texas A&M University.  Sales in DFW (Dallas County) are up 31%.  Year over year median price is unchanged.

Increase in sales velocity is a leading indicator. Increase in prices is a trailing indicator.  (NOTE: we are seeing a leading indicator of potential price increases). 

The population of the Dallas – Fort Worth ( DFW ) metro is booming.

People are buying houses.    People are consuming houses faster than builders are adding houses.  Restricted land resources near job centers (yes there is lots of land, but not near where the jobs are),  tight construction financing, and stringent home buyer lending requirements are causing a major constriction in construction (say that 10 times fast!).

What happens when demand increases faster than supply?  Economics 101 = prices go up assuming there is capacity to pay more.

Homes are still very affordable in DFW with about 25% of household income being used for housing.

40% is about the maximum healthy allocation for housing.  This means residents of Dallas have an additional 15% of their income to use towards discretionary housing expenses.   This discretionary income allowance makes it possible for housing prices to go up.   Historically low interest rates are making housing even more affordable.   The majority of non-homeowners cannot get a mortgage because of tighter lending standards and credit challenges.   If lender underwriting gets looser or credit begins to heal with time, more home owners will qualify thus causing an increase in demand.

In the interim, high population growth combined with housing supply restrictions combined with strict lending guidelines is a recipe for RENT INCREASES.

Buy a new construction house in DFW and rent it out for positive cashflow.

1) If home buyer demand increases because of looser lending, PRICES will go up and you’ll make a capital gain profit.

2)  If home buyer demand decreases because of continued tight lending practices, RENTS will go up as the population increase puts further demand on the already limited supply of rental housing.

You win either way.

The team at Hassle-free Cashflow Investing would be happy to help you acquire a portfolio of positive cash flow single family homes in the the strongest rental market in the country – Dallas – Fort Worth, Texas.

Send an email to Invest@hasslefreecashflowinvesting.com to learn more about how cash flowing houses in DFW could fit into your personal investment strategy.

Part of our series of articles on investing in Dallas