Like your fire! Bulk REO flipping.
ONe thing you said did stand out to me: 'getting my foot in the door for real estate". This tells me you’re very new.
It’s great to have big dreams and ambitions, however start small.
Your deals are around you everyday.
Figure out what a deal is, learn how to negotiate, how to sign a contract etc all while minimizing risk by doing wholesaling.
Remember, house price is just one factor to consider.
What about repairs? Location? Functional obsolecense(spell?)
Neighborhood.
all those things you can figure out while you get paid when you wholesale.
Start by farming a good solid area in your neighborhood and mail letters to the owners. Ask for referrals from your family and realtors.
Look up folks behind on their taxes and mail to them. Many strategies work, but it’s best to begin correctly so you stay in biz for the long haul.
Consistently finding deals at 40 cents on the dollar in decent areas that don’t need rehab is just not realistic. You will likely find disasters in warzones that no buyer or renter will want to touch. It is more realistic to focus on high end blue collar areas that are good for flips or cash flow that do need rehab and are 70% LTV maybe a little lower.
Is this thread for real? I mean, if you can acquire properties for 20-30 cents on the dollar at these auctions then everyone would be doing it. Am I missing something here? I know the last post on this thread was awhile back, but I would be interested to see if anyone else had more insight into this…
Here in upstate NY, 40% is rare. Maybe a handfull a year. REOs can be had at 60% on the $ without too much work but foreclosures are where the action is. Many of our county tax lien foreclosures have alot of wanta be investors who drive prices too high.
Tax lien sales in FL are held in May and June and one may win an auction through competitive bidding. There are some Florida counties that allow online bidding.
The best place to find cheap properties is to locate bank-owned properties. Identify several real estate agents in your area that specialize in bank-owned properties and develop a partnership with those agents. By developing a partnership with the bank-owned specialists you are able to gain access to bank-owned properties as soon as they become available. Additionally you can identify which properties have been on the market for awhile and are more likely to sell at a reduced price because the bank is looking to get the property off of its books.
An additional source for cheap properties would be tax sales/auctions. You can find tax sales/auctions in your local paper. Beware with either option the properties are often times purchased as-is meaning there may be some repairs that need to occur prior to moving in.