What Are Unexpected Sources of Property Deals You’ve Found?
RealEstateAdvice.net
What Are Unexpected Sources of Property Deals You’ve Found?
In the quest for unique and profitable property deals, we've gathered insights from seasoned Real Estate Investors and Partners. From engaging in local community events to mining Facebook groups for off-market deals, explore the top ten unexpected sources that have proven to be particularly fruitful for these professionals.
- Engage in Local Community Events
- Utilize Direct MLS Alerts
- Build Relationships with Real Estate Agents
- Explore Social Media for Unique Finds
- Offer Double Commission to Agents
- Target Niche Markets Through Newspapers
- Leverage SEO and Content Marketing
- Capitalize on Estate Sale Opportunities
- Reposition Bank-Owned and 1031 Exchange Assets
- Mine Facebook Groups for Off-Market Deals
Engage in Local Community Events
One of the ways I've gotten some good deals is by getting out into the community and going to local events and meetups that are not specifically real estate-related. It's not something I would've thought of right away, but when you talk to people in relaxed settings, they're often more willing to share what's going on in their lives - including if they might be thinking of selling their home or know other people that are. I've found that being approachable and offering advice, without any pressure, can lead to some pretty unexpected opportunities. Plus, it's been great for building connections in the community.
Utilize Direct MLS Alerts
I have an MLS (Multiple Listing Service) that sends me new listings directly to my inbox. With this strategy, I can make an offer as soon as a property hits the market, which reduces buyer competition. Plus, getting listings directly means I don't have to spend a lot of time manually looking for new deals.
Build Relationships with Real Estate Agents
One unexpected source of property deals that has been particularly fruitful for us is working directly with real estate agents. Agents often have access to off-market properties or distressed homes that aren't widely advertised. By building strong relationships with local agents through in-person meetings and weekly newsletter distribution about our business, we've been able to get early access to deals that might not have hit the open market yet. This approach has allowed us to find great investment opportunities and secure properties at favorable prices before they reach the open market or to improve pricing for slow-moving properties on-market.
Explore Social Media for Unique Finds
You would often expect to source property investment opportunities through deal-sourcing experts, property developers, and via building relationships with estate agents, and the list continues. These are all relatively straightforward, and in keeping with the market- but if you are willing to go slightly off-piste, there is a whole world of potential to tap into on social media as one example.
TikTok, Instagram and even Facebook offer a sphere of content dedicated to property renovation, tiny houses, new age mansions on highly curated feeds, yurts, vans, and in some cases even staircases, as shown by the sale of a disused staircase for £25,000 in London last year. There is additionally a whole sub-culture highlighting “terrible” properties where the interior has undergone complete turnaround “you won’t believe it until you see it” properties!
This shows the wealth of options a person has when it comes to real estate, and what you can do with the smallest, wildest, or most expensive property type. This method of searching could open a whole gateway of potential and provide a fruitful source of deals for savvy investors.
Whilst the above might be unorthodox, it is a completely modern undertaking of the task, there is always the benefit of going back to the more traditional. For example, leafleting and door-to-door letters. Although it is not as common as it used to be, it can still be an effective, if more unexpected way of finding those deals other investors might not.
Offer Double Commission to Agents
As real estate investors, we are always looking for great deals. Typically, the best deals come when you work directly with the seller and the home is not listed on the market. However, recently, I have been getting many deals through networking with agents. I always promise the agents I speak with that if they bring me an off-market deal, they will get paid on the front-end of the deal when we buy the property and on the back-end when we list the property for sale. This way, they make double what they would normally earn if they simply listed the property. This strategy has worked very well for me, bringing in an additional eight deals this year that I wouldn't have had otherwise.
Target Niche Markets Through Newspapers
As a real estate copywriter, I work with real estate investors to get them more leads. Surprisingly, many investors struggle with either finding a deal or financing. One of the most overlooked aspects is your niche. Who is your buyer? I sat down to identify a niche with one of my clients. We discovered that his primary leads were senior citizens who owned property "clear and free." Maybe they bought the house back in the 1990s, and now the house has appreciated enough. They want to sell the house without worrying about a discounted price. They wanted a hassle-free process.
The problem is that baby boomers don't look at Facebook; they don't look at Google ads. So we came up with a solution: to publish editorial articles in the local newspaper. It turns out that baby boomers still read newspapers. After reading the newspaper article, when they saw my client at a local event, or when we did cold mailing, people were eager to work with us. So just a simple brainstorming session can bring you property deals that are actually fruitful.
Leverage SEO and Content Marketing
I started my career in Fortune 100 content marketing, so it's no surprise that I use a lot of SEO and strategic content marketing strategies to find deals -- as well as real estate clients. I don't need to be a New York Times bestseller. I just need to provide extreme value. So, I try to provide information that I wanted or needed two to four years ago in my real estate journey. For example, if I publish content related to finding, funding, and self-managing profitable rental properties, I inevitably get contacted regarding an upcoming investment property or portfolio that someone wants to sell.
When you show that you are truly investor-friendly -- and not just someone who has worked with an investor once before -- you will be sought out and become an asset in a transaction. That's especially important in this post-NAR-settlement environment. In addition, I preemptively wrote content around Oracle's corporate campus development here in Nashville and how executives looking to relocate to the city might benefit from a Nashville native and Realtor to help with their home search. That content drives consistent leads to my website. It took some work at the beginning, but the ROI is through the roof, and it works day and night on my behalf. It's my little passive lead machine!
Capitalize on Estate Sale Opportunities
One unexpected source of investment deals has been estate sales. There are a lot of families looking to sell properties fast that they've inherited and don't want to manage. This urgency can lead to more favorable purchase opportunities for us as investors. We've worked hard these last three years to build relationships with estate sale companies and prove that we can close deals quickly. It's a win-win situation for everyone. Families get the quick sale, and we acquire new properties to invest in.
Reposition Bank-Owned and 1031 Exchange Assets
As a seasoned real estate investor and owner of TrioCRE, with a Master's degree in Real Estate Development from the University of Denver, I've found that some of the most lucrative and often overlooked sources of property deals stem from strategic repositioning opportunities. One such source involves bank-owned real estate assets. These properties, frequently acquired through foreclosure or financial distress, often require significant repositioning. However, they present remarkable potential for those with the expertise and vision to transform underperforming assets. By utilizing a methodical approach to due diligence and value-add strategies, I have consistently identified opportunities to elevate these properties and generate superior returns.
Another key source of deals lies within properties owned by 1031 exchange buyers. These individuals or entities often face timing pressures and specific requirements related to their tax deferral strategies, making them more inclined to transact under the right circumstances. By understanding the nuances of the 1031 exchange process and building targeted relationships with these investors, I have been able to facilitate mutually beneficial transactions. Offering well-suited assets to meet their needs or working with them to exit their current holdings has proven to be a fruitful strategy in unlocking valuable opportunities.
Perhaps most notably, underutilized land that can be up-zoned represents a prime opportunity in today's market, particularly for Industrial Outdoor Storage (IOS) properties. By identifying parcels of land that are currently zoned for lower-density uses, and navigating the often complex up-zoning process, it is possible to unlock significant value. As demand for IOS space continues to rise, especially with the growth of logistics and distribution, repositioning land for this purpose can offer substantial long-term upside.
Through a combination of these strategies, I have successfully navigated the complexities of the Oklahoma market, consistently finding under-appreciated deals that deliver exceptional value for investors.
Mine Facebook Groups for Off-Market Deals
Believe it or not, Facebook is a goldmine way of finding new deals. Going into Facebook groups and seeing people post deals is an awesome way to get off-market deals. Another way is emailing and calling realtors for pocket listings that are not on the market yet. Sometimes realtors will hold them back for a few days before listing them in order to find an off-market buyer. I recommend getting lists of realtors, emailing them that you are a serious buyer, and letting them know if they have off-market listings to let you know if they are available to chat over the phone about them.
