Her great work of reform began with herself. She made a vow always to follow the more perfect course, and resolved to keep the rule as perfectly as she could. However, the atmosphere prevailing at the Incarnation monastery was less than favorable to the more perfect type of life to which Teresa aspired. A group assembled in her cell one September evening in 1560, taking their inspiration from the primitive tradition of Carmel and the discalced reform of St. Peter of Alcantara, proposed the foundation of a monastery of an eremitical type.
She returned to Avila at the end of June 1562,and shortly thereafter the apostolic rescript, dated Feb. 7, 1562, for the foundation of the new convent arrived. The following August 24 the new monastery dedicated to S. Jose was founded; Maestro Daza, the bishop's delegate, officiated at the ceremony. Four novices received the habit of the Discalced Carmelites.