Getting to the next level? Feel Stuff
I have been investing now since 2018. Things have gone well! I’ve got a handful of rentals that cash flow, I have 2 active bnbs that produce, I’ve brrrr’d, I’ve flipped. I am sitting on more capital than I ever had.
I just feel like the market has changed so much now that I can’t make the same moves. In my market I used to be able to find properties under $150k, and get an interest rate under 5% and the #s worked beautifully. Not now.
I can’t find any deals that make sense, and when I get something that looks decent it’s swept up immediately. I’m always looking for the big 3, buy and hold as a rental, buy and sell, or buy and hold as a bnb.
Anyone doing things in this new market that have been working?
I feel like this is a common concern most people have. The only way I have found to get around it is to do bigger rehab projects that scare people off. Look for the houses that have a problem that no one wants to touch and develop that as your niche. Maybe it's mold? Maybe it's foundational issues...whatever it is build a team around that. That is where you can still get the good deals but it does take a lot more work.
Good luck! We are all able to relate to this challenge you have for sure!
#4 All Forums Contributor
- Plymouth, MI
Find a different market, and learn different strategies. Deals are made, not found. They are made based on the market you invest in, and the strategy you use in that market, at that time. Times change, thus market and strategies must change along with them.
Quote from @Joe Villeneuve:
Find a different market, and learn different strategies. Deals are made, not found. They are made based on the market you invest in, and the strategy you use in that market, at that time. Times change, thus market and strategies must change along with them.
Hi Joe,
When you say deals are made; Do you mean the details of the offer you make, and how you choose to finance the purchase?
I ask just to clarify a little.
#4 All Forums Contributor
- Plymouth, MI
Quote from @Scott Mac:Yes, but with the explanation of how I interpret the idea of "how you finance" is really how the two parts of the financing are made:
Quote from @Joe Villeneuve:
Find a different market, and learn different strategies. Deals are made, not found. They are made based on the market you invest in, and the strategy you use in that market, at that time. Times change, thus market and strategies must change along with them.
Hi Joe,
When you say deals are made; Do you mean the details of the offer you make, and how you choose to finance the purchase?
I ask just to clarify a little.
1 - How much (little) cash is put into the deal. This is actually what it costs the REI.
2 - How someone, or something else, pays for the rest.
@Vincent Plant many folks are having trouble and without more context to the "how" you are exploring deals or what your goals are it is difficult to provide a solution that serves you. Ultimately your goal should guide you and your knowledge and resources (including human capital) will fuel your success. There are many ways to find deals, the best of which are not retail. There are a bunch of ways to fund deals, best of which are not traditional...
When you have a strong network and the knowledge to process a deal in many different ways, your opportunities will increase.
Since you're sitting on a bunch of capital, ever though about Velocity Banking your current properties debts to ZERO? This would provide a bunch of cash flow vs acquiring 10 properties at $200/mo CF....Then you can use your 1st position LOC to fund more deals, wash rinse repeat!