Finding real estate deals is not easy , but we’re here to make it so. Check out our 5 tips for finding real estate deals!
Tip #1 for Finding Real Estate Deals: Set Your Criteria
There are a number of different things that you’ll need to consider when finding real estate deals. And setting your criteria and prioritizing among these items can make everything else ten times easier. Ask yourself, what type of property do you want, what are you looking for in a property? Are you looking into a specific state/city/neighborhood? What size property are you searching for? Are you looking for a single-family home or a multi-family home? What cash flow, ROI, and appreciation figures are you expecting? Deciding on these questions/criteria will help you narrow down your options and will make finding real estate deals much easier.
Tip #2 for Finding Real Estate Deals: Research
Once you’ve set the criteria for your investment, you’re ready for the next step – research. Research requires a great deal of effort and time, but in its essence is essential for finding real estate deals. So what are we talking about when we say research? One word: EVERYTHING. Location, economy, real estate trends, legal trends, client habits, mortgage rates, expected CoC return, expected rental income, your payment plans, the list goes on and on and on.
How is this all relevant? Knowing these detailed pieces of information will definitely help in finding real estate deals. Something as simple as knowing whether you’re in a buyer’s or a seller’s market makes a huge difference. If you are in a buyer’s market, where the supply is higher than the demand, the odds for getting a better deal are in your favor. If you are in a seller’s market, it is the opposite, and finding a real estate deal is more difficult. Additionally, knowing things such as market trends will help you figure out where to go. For example, Nashville is currently a great place to invest in real estate. Knowing that will help you in your search and in finding real estate deals in Nashville.
Tip #3 for Finding Real Estate Deals: Consult Your Network
Networking is a very important part of finding real estate deals. After all, it’s all about who you know and who knows you. If say your investor friend knows that you’re searching for an investment property, they’ll make sure to let you know if you keep a strong connection. This applies to all of your networks including real estate agents, other investors, tenants, landlord friends, accountants, contractors, real estate lawyers, etc. Make sure to maintain a good connection with these people, and to let them know if you’re looking for a property. Advise and take advice. Ask for help and help out. This will surely help you in finding real estate deals.
Related: 7 Things Successful Real Estate Investors Have In Common
Tip #4 for Finding Real Estate Deals: Consider Foreclosures
A Foreclosed property is one that is repossessed by the bank and sold because its owner could not make its mortgage payments. Foreclosed properties can be among the best deals you’ll find in real estate. As soon as banks repossess a property, they list it for sale with the help of agents in the area. To find a foreclosed property, ask your local real estate agent, one that directly works with banks to be specific. They will definitely help you in finding real estate deals!
Related: How to Buy a Foreclosure as an Investment Property
Tip #5 for Finding Real Estate Deals: Use Mashvisor!
Mashvisor allows you to view thousands of listings in different states, cities, and neighborhoods across the US and cuts a 3 month property search into 15 minutes. If say, you’re looking for an investment property in Nashville, Tennessee, Mashvisor’s investment property calculator will show you values for CoC return, cap and occupancy rates, and estimated rental income. Additionally, you can use the site’s heatmap that will provide you with a visual representation of different criteria of a property such as listing price, cash on cash return, rental income, and Airbnb occupancy rate. The map will highlight the areas where a certain criterion is highest, and where it is lowest. Not only that, Mashvisor also allows you to use property and neighborhood comps, and even tells you the optimal investment strategy (traditional vs. Airbnb) for each distinct neighborhood.
For a full tour on Mashvisor’s features and tools, watch our demo video here.
To sum up…
Successful real estate investors know all about finding real estate deals. After all, it’s all what the business is about!
What about you? Do you have any tips or hacks for finding real estate deals? Let us know down below!