Rental Property Investor · Gilbert, AZ · Member since 2019 · 43 posts · 21 votes
Hi everyone!
I am new to real estate and I'm starting to spend more time here on BiggerPockets, whether that be networking, getting educated, or asking questions. I've already posted a New Member Introduction (https://www.biggerpockets.com/forums/55/topics/859266-new-member-from-gilbert-arizona), so I figured I would step in to asking questions in other forums. I'm looking to learn more about my local Arizona markets. My question today has to do with finding deals in the Phoenix Metro area (Phoenix, Mesa, Chandler, Scottsdale, Glendale, Gilbert, Tempe, Peoria, etc.).
How are you finding your deals, specifically fixer-uppers and distressed properties? I know there are many methods out there (MLS/real estate agents, driving for dollars, direct mail marketing, and wholesalers to name a few), but I was wondering which methods you have tried and which methods have led to the most success in your own experience?
Rental Property Investor · Tempe, AZ · Member since 2020 · 75 posts · 39 votes
6y
@Andrew Daus thanks for asking this. I'm new as well, reading and learning tons, getting ready to hopefully make our first purchase or two next year. I have the same question, and so am following this thread with interest. I've seen others mention how they got their deals here and there, and from those posts it seems that many of the methods work for different folks, depending on which route they pursue and what they're good at, or what caters to their personality. Anyway, I'm curious what the experienced folks have to say about how they find deals.
Rental Property Investor · Tempe, AZ · Member since 2020 · 75 posts · 39 votes
6y
@Andrew Daus thanks for asking this. I'm new as well, reading and learning tons, getting ready to hopefully make our first purchase or two next year. I have the same question, and so am following this thread with interest. I've seen others mention how they got their deals here and there, and from those posts it seems that many of the methods work for different folks, depending on which route they pursue and what they're good at, or what caters to their personality. Anyway, I'm curious what the experienced folks have to say about how they find deals.
New to Real Estate · Mesa, AZ · Member since 2019 · 39 posts · 18 votes
6y
@Andrew Daus I'm also interested in how people are finding deals in our market. I've heard everything from our market is relatively easy to find deals in (they were talking flips) to you can only find deals if you are patient and analyze deals every day. I'm also interested in ways people are "making" their own deals through creativity (such as renting out by the bedroom and typical value add)
Rental Property Investor · Gilbert, AZ · Member since 2019 · 43 posts · 21 votes
6y
@Geoff Husa You're welcome. Yeah I figured the answer was going to depend greatly, and there wasn't going to be a general consensus that "X method" is what everyone is using to finding deals. You probably just have to take a look at several different methods and figure out which one you think you can work the best/would enjoy working with the most.
Rental Property Investor · Gilbert, AZ · Member since 2019 · 43 posts · 21 votes
6y
@JD Randall That makes sense to me. I plan on using the BRRRR method, so I'll be on the hunt for fixer-uppers/distressed properties or other types of properties that you can buy and force some appreciation in order to pull out your cash via a cash out refinance. Yep, I am interested in those creative methods as well.
Realtor / Attorney · Phoenix, AZ · Member since 2018 · 388 posts · 265 votes
6y
Something to consider: your strategies will vary depending on the market conditions. Phoenix is in a really unique position right now. Our sales tanked in April and May after COVID, but then June and July were record months. Now, there is less than half the inventory it takes to have a balanced market (one that favors neither buyer nor seller). So that means that there are very few properties on the market, they go under contract ridiculously fast, and the prices are high. None of this favors buyers.
However: this seems to be a predictable uptick after the market effects of COVID in April and May. So we might see things slow down and even out a bit in the next couple months. As the market gets closer to balance, you will see more properties coming on the market. This will create better opportunities on your wholesale lists, on the MLS, for FSBOs, and across all other ways of getting deals. Don't limit yourself to one method of finding deals. Try a few to see what works, then focus your efforts on the methods with the best returns.