It’s becoming increasingly challenging to come across a true bargain in the current dog-eat-dog investment real estate market. Fortunately, the real estate experts at Gauntlet Funding compiled the following top ten tips to give you a head start towards scoring a great real estate deal.
Nothing beats an in-person vantage point when it comes to scoping out the suitability of a given property. Hop in the car and go driving for dollars around the area you’re looking to invest in. Keep an eye out for the odd “For Sale by Owner” sign—you’d be surprised to discover just how many properties on the market aren’t featured online. Don’t let a potential gem slip through the cracks just because it wasn’t the easiest to find. Jot down the addresses and any pertinent notes that come to mind for each and then follow up with in-depth research once you get home to find out the property owner’s contact info.
Are you a member of a social group? Gym? Religious organization? Whatever group it is that you spend time with, key them into the fact that you’re in the market for purchasing an investment property. Don’t hesitate to share exactly what it is that you’re looking for. Your buddy on the office softball team may just know someone who needs to offload the picture-perfect piece of real estate you could snap up at a discount. Your family is also a great resource for distressed real estate leads. Have a close-knit social circle? No problem! There are real estate clubs that meet in virtually every major city on a weekly basis that are always welcoming new attendees. Find your nearest club and get to networking.
Property owners who are consistently delinquent on their mortgage payments face the stark reality of having their home foreclosed upon. If you’re able to get in touch with them before the foreclosure process starts, you may be able to help them avoid this costly and time-consuming ordeal while also getting a great deal in return. In the event that you only learn of a property’s foreclosure after it has been handed over to the courts, you can show up to the judicial auction and submit a bid—there’s a good chance you’ll land a below-market deal.
Along the same lines as the previous tip, it can pay off to keep tabs on eviction notices. Landlords hardly look forward to evicting a delinquent tenant, and there’s always a chance they’d rather just offload the property than continue dealing with the constant hassle of ownership. That makes it the perfect time for you to sweep in and place a bid on cash-generating property and possibly land it at a great price. Check out your local courthouse to stay up to date on upcoming evictions so that you’re ready to submit a timely offer. Pro Tip: out-of-state landlords with tenant problems are even less likely to want to deal with the headache!
You can find just about anything on Craigslist, including your next potential real estate investment at a cut-rate value. Just type in any relevant keywords that come to mind and get to searching. Terms like “need work,” “must sell,” “moving,” and “handyman specials” are just a few keywords to get you started. There’s even a dedicated page titled “Real Estate for Sale” on the site. Peruse it regularly for new listings that just might turn out to be a match made in heaven. On the flipside, Craigslist is the leading classified resource on the internet, so it couldn’t hurt to go out on a limb and post your own advertisement stating that you’re looking to buy a property. Include a wish list of the exact property features and details you’re searching for.
There are some great real estate agents out there—but there are still plenty of instances where agents fail to find a suitable buyer for a property within the contractually-specified timeframe they established with the home’s owner and the house is subsequently designated as an expired listing. You can sometimes snap up a great deal if the owner is in contract to purchase another house and needs to sell their house quickly.
Anyone and everyone seem to have a blog nowadays—including potential commercial real estate investors. By creating an online blog featuring informative, quality content for the surrounding community, your site will generate a good amount of traffic in a short time. This can be a great way to spread the word to others regarding your company’s mission and corporate culture as well as what type of commercial properties you’re in the market for.
Search Engine Optimization (SEO) is a process that ensures that your site is optimized for Google and other search engines’ algorithms, so they are able to comprehend what the main purpose of your page is—which is to invest in real estate. That way, when internet users enter search terms related to buying property, your page is at the top of the results list. This increases the chances of them getting into contact with you if they have a property that is an ideal match for your needs. Another way to make sure that your site is at the top of the search engine results is to invest in Google advertisements. Doing so will automatically boost your chances of beating out the competition and getting a premium slot when it comes to increasing your online visibility.
Wholesalers specialize in finding properties at below-market prices and then selling it to those in the market in exchange for either a finder’s fee or a negligible surcharge. Even with this added expense, they are a great way to get your next property at a great price. If you’re in the niche market of commercial real estate property, it pays off in the long run to collaborate with an experienced commercial brokerage who is familiar with the specific market you’re looking to purchase in. They have a different skillset than residential brokerages and can be an essential component in your property acquisition process. Pro Tip: Top hard money lenders like Gauntlet Funding can even incorporate that wholesale fee into your investment loan!
In addition to well-known residential property virtual marketplaces offering a host of real estate buying services, there are also a number of viable commercial real estate equivalents like LoopNet, Ten-X, and CREXi where you can filter through thousands of listings to find the perfect one for your needs.
Top Ten Tips for Scoring a Great Real Estate Deal | Gauntlet Funding – Melville, NY