I recently did some driving for dollars near my work area, and noticed that there seems to be a large amount of distressed properties. I know it isn't in the best area of town, but I know that people have had success investing in some rough areas. I want to start doing some direct mailing with the properties I've discovered, but I don't want to waste my time if nobody wants to invest there.
What are some things I need to consider when looking to do wholesaling, or even bird dogging in the rougher parts of towns?
You can try going to some local investor meetings and see if anyone is actively purchasing there. You can also check to see if there have been a lot of purchases in the area by the same person or the same entity recently with the county registrar. You can also try networking here on BP to see if there's any active investors living around you.
@Mehran K. The county registrar is the part that I am having a hard time with. I'm not sure how to navigate that in Palm Beach county, FL. I'm going to start going to meet-ups in the near future. I just can't afford the ones in my area at the moment.
I'm a wholesaler in your market.
Big fat "YES".... people are buying there when the numbers are right.
From my experience investors generally like to buy properties there with at least a 15% ROI for cash flow or 60% of its true market value.
I recently sold a couple houses to cash buyers in Riviera Beach
I hope that helps!
@Bobby Valcin I am very familiar with PB County. Riviera Beach can be rough, however, like what @Michelle Murray said, if the numbers work, people will buy. There are distressed properties in Lake Worth, WPB, and even Boyton that work as well. You can go on any real estate website (RedFin, etc) and see that there are sales in Riviera Beach. Looks like 400+ transactions in the last 6 months, so people ARE buying. Narrow that down to a few neighborhoods you are looking at, and you will see what properties are going for. Good luck!
Hi @Bobby Valcin ,
Plenty of investors looking to make smart buys in Riviera Beach (i.e. with the right returns), and like all parts of Southeast Florida, the desirability of property can change block to block. I was in Riviera Beach yesterday, and was impressed by a few blocks that have clearly seen recent investment and are cleaning up.
As @Jon Huber mentioned, do your research on closed sales to see where investors are closing, then drive those properties so you have a basis for comparison.
After attempting to search the county registrar I'm realizing that there is a fair amount of research involved with: finding good markets, finding who's buying, finding who is selling, etc. I initially thought that I could get away with finding distressed properties (bird dogging), and sending letters until I could contribute more financially with direct mail. I found myself going a little bit haywire yesterday with all of it, but I think I'm okay now. I need to learn how to streamline these things otherwise I will have a major malfunction.
What are the things that I need to do before I even begin driving for dollars? I actually kind of like doing that as opposed to sitting in front of a computer, thought I know that is important as well.
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Great question @Bobby Valcin and tips BPers. Was doing some initial research there as well - the stretch from PSL to West Palm seems ripe for development/appreciation. Would love to chat with a reputable syndicator in the area about potetial deals.
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