There are different mediums to find such properties. You’ll have the most exposure on the internet video of sites such as zillow.com redfin.com trulia.com realtor.com loop.net and other similar websites. What many investors do as well is drive by neighborhoods they have an interest in investing and look at houses that need a little TLC or are behind in maintenance and inquire who owns that property. And once they’re able to get in contact with the owner by means of looking up to see city/county records or by sending them a mail asking them if they would like to sell the property.
If someone is living in the property you can leave them a letter with your information and that you’re interested in purchasing the property. This is also the way you purchase real estate with no money down. You are in contact with a property owner that is not doing anything with their property that may live somewhere else and has a property that is not producing anything and decaying while they’re paying taxes basically a liability in their finance and you offer to work out a payment plan with them.
It’s a win-win situation since the owner is losing money holding onto a non-producing property and the investor gets to own a property with no money down and begin the renovation to get it rental-ready. However, there is another way, and that is how I find the best deals.
The way I have found the best deals is through word of mouth. Networking with people that may or may not be involved in real estate that may know someone that is selling a house or know someone that has passed away and the property was inherited by their daughter or son who don’t know what to do with the property nor want to become landlords.
This is opportunity knocking to get a property at a highly discounted rate. Many times the inherited party views property as a nuisance since they have no intentions of becoming landlords nor want to manage the upkeep and pay taxes.
One of my better deals was when I was looking to buy a duplex and met the owner during the viewing of another property. I started conversing with them and ask him about renting and buying properties within the vicinity. After about 20 minutes he mentioned in a nonchalant manner that he was looking to sell another property that he had not placed on the market or had not told anyone yet.
I inquired what the property was and it so happened to be a fourplex building with many upgrades Electrical Plumbing Central AC large units with high ceilings three or two bedrooms one was three bedrooms a lot had been put into this property. The going rate for this property at the time was $125,000 and I bought it for $60,000 even though I inherited subpar tenants it begin to cash flow immediately. I can say undoubtedly that if this 4-Plex would have been placed anywhere on the internet it would have not lasted a day.
The best deals are when they haven’t yet been advertised to the market. Whether that be the internet or newspaper or any other medium. Every time I start a conversation with someone I try to give it to real estate if they know anyone that’s selling property. Big be surprised how many people know someone that’s selling property that hasn’t been placed on the market, I want to get rid of it, and due to external factors need to sell it the sooner the better.
This is one of the pros in this real estate business is everyone in one way or another is involved in it whether you’re a renter or a home buyer or someone who has received property via inheritance. The reason this is a pro is that although everyone is involved not everyone cares to do business with real estate and may not be willing to put the effort to get the most out of their property that’s where an opportunity to get a good deal comes into play.