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How to Buy Investment Property in Waco TX in 2024

If you’re considering investing in real estate, Waco, Texas, might just be the perfect destination. With a burgeoning population and a thriving local economy, Waco offers a unique blend of affordability and growth potential.

In this guide on how to buy Waco investment property in 2024, we’ll explore key market trends, highlight promising neighborhoods, and provide tips for finding and financing your investment.

Why invest in Waco real estate?

Waco, located in the heart of Texas, has experienced a steady increase in population, driven by both internal migration and newcomers seeking a higher quality of life. As of the 2022 Census Bureau Population Estimates for the U.S, Waco is positioned as a city on the rise.

The city’s strategic location, affordable housing options, and a diverse economic landscape make it an attractive choice for real estate investors. Waco’s economy thrives on sectors such as manufacturing, education, healthcare, and technology, providing a stable foundation for sustained growth.

With the potential for property appreciation and a cost of living that compares favorably to many other cities, Waco presents itself as a promising destination for investors looking for long-term returns.

Waco real estate market trends

To make informed investment decisions, it’s crucial to understand the current market trends. As of November 2023, Waco’s real estate market has shown signs of strength. According to local real estate reports, key indicators include:
  • A rise in single-family home sales, marking a positive shift in the market.
  • Total property sales are increasing, indicating a growing demand for real estate in the area.
  • Active listings exceeding the levels seen in the previous year, offering a range of options for potential investors.
  • A balanced market with a reasonable supply of homes, creating a fair playing field for both buyers and sellers.

With an average home value and rental income in an attractive range, Waco’s real estate market appears to be active and conducive to investment opportunities.

Hot neighborhoods for Waco investment properties

As you explore investment opportunities in Waco, consider the following neighborhoods:


Woodway, a suburb of Waco, offers a mix of residential charm and proximity to city amenities. With well-regarded schools and a growing community, Woodway presents an appealing option for families and potential renters.

It is home to IBM’s huge Broadmoor campus. The zone debuted Austin’s first major league sports stadium, the Q2 Stadium, in 2021. And now, the Uptown ATX project is underway — a $3 billion, 66-acre expansion to the second downtown area. 

All of these developments are bound to make property values soar. 

Downtown Waco

Downtown Waco has experienced revitalization in recent years, making it an exciting area for real estate investment. The presence of cultural attractions, entertainment options, and a vibrant community make downtown Waco a potential hotspot for rental properties.


Robinson, located south of Waco, provides a suburban setting with a mix of residential and rural landscapes. With its proximity to major highways, Robinson offers a convenient location for residents while maintaining a relaxed atmosphere.

How to buy an investment property in Waco, Texas

The process for investing in Waco, Texas real estate can be broken into five steps:

1. Determine your investment strategy

There are many ways to build wealth with real estate. Your first step is to decide which strategy is right for you. 

Do you want a single- or multi-family home? Are you up for a fix-and-flip or a BRRRR? Or do you prefer a turnkey rental property with tenants locked in? What about a new construction project?

There are pros and cons to each real estate strategy, and before diving in headfirst, you need to determine which plan makes the most sense for you.

2. Plan your financing

Explore financing options, including conventional loans, hard money loans, or joint ventures. Understand the requirements and timelines associated with each option to make informed decisions based on your investment goals.

3. Go property hunting

Connect with local wholesalers and real estate agents specializing in Waco to discover off-market opportunities. Consider factors such as vacancy rates, population growth, and development projects when evaluating potential investment properties.

4. Secure financing

If time is of the essence, explore financing options that offer quick approval and closing. Whether opting for conventional loans or hard money loans, having a pre-arranged financing plan positions you for better success in your plans. At Longleaf, rental loans take as little as two weeks, and short-term residential loans (AKA bridge loans) can close in 48 hours.

5. Refinance (if necessary)

If you take out a bridge loan for fast financing, you eventually need to refinance. Bridge loans are meant to “bridge” you over from the time of purchase to the time of refinancing — usually 6 to 24 months.

You can refinance with a conventional loan if you qualify. If not, a long-term rental loan comes with fewer restrictions. 

At Longleaf, we can save you fees by bundling your bridge loan together with your refinance.

Need financing for an investment property in Waco, Texas?

Longleaf Lending is a Texas-based private lender and offers flexible loan programs designed for property investors who need to close as fast as possible. If you have any questions about investment property financing, give us a shout at 979-200-2823 or info@longleaflending.com.

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