Got two bids selected in Austin, scratching my head to pick a one. It will be my first home.
1. 453k, 2615 sqft, green belt backyard. Elementary & middle school walking distance, ISD is decent, property tax 2.29 hoa 27, not much developed but I see growth.
2. 515k, 2950 sqft, corner lot - little bigger than above, elementary school is by 1 mile - best ISD, property tax 2.59, hoa 147. Lot of commercial development in 3 miles in next 5 years.
Combined income 170k & 10% down payment.
My cousin was like a sister to me. I was in her wedding. Her husband made really good money is a diesel mechanic, neither of them drank or did drugs.
When I rented them for house I own, they completely destroyed it, filled it with a flea infestation, let water damage the floor in multiple places, smashed several windows, and left trash all over the house and property.$35,000 in damages.
but the worst part was that they went around and told everyone on my mom's side of the family that I was evicting them because I was an a****** and raising rent for no reason.
So now as results I no longer have any communication with my mother's half of the family.
Long story short, don't mix family and business.
Very small upside vs ruinous downside. Don’t do it
If you go ahead and do it against the advice here, hire a property manager and make it very clear with your tenant that all communication and rent goes through the manager and they'll be treated like any other tenant. Miss rent? Property manager doesn't get paid and will evict your ass.
Great advice pwc1 and OP you dont have to tell your sibling thAt this is your place.
Too risky.
This is nuts. Never rent to family. Great idea to get an investment prop. Just find renters. It’s not that tough