Where to find deals?

Question

So my wife and I have been house hacking our condo for some time to save money up to begin investing in Real Estate.  We have gotten enough saved up now to begin doing this, however we do not know where to begin.  Do we team up with someone, if so, where do we find partners?  If not, where can we find deals?  We feel going through Real Estate Agents are not always the best way to go.  We currently live in the Alpharetta, Ga area.  Please advise.

Caleb Brown · Answer

On the agent thing why wouldn't you find one that specializes with investors? They often have dealt with many investors with all kinds of strategies and can coach/advise what would fit best. They also have the pulse on the market

Micah Redden · Answer

Hey @John Turner

I live in Alpharetta also and work with investors. It's hard to answer your question without knowing more about what you want to do. Are you looking to house hack a second property? Fix and Flip? Or buy rental properties? Whatever your intention is will determine what your next steps are and if you need a partner, an agent or something else entirely.

Stone Saathoff · Answer

Just starting out I would consider MLS (you have to make a lot of offers), working with wholesalers, and checking FSBO websites.

If you want to get advanced you could also try some of your own direct-to-seller marketing, keeping in mind it will take a while (usually 1-2 months +) to see any fruit from that.

What markets are you looking in? I am located in the San Antonio area.

Corby Goade · Answer

It's a commonly held falsehood that working with a realtor is a bad way to go- there are many reasons for this, but here are a couple; an investor friendly realtor works in that world and will have access to deals, resources and partners that you had no idea exist. Secondly- as a new investor, you are going to struggle with the logistics of finding, negotiating, funding and closing a deal without professional help. I see this all of the time- someone works their tail off to find an off market deal and it falls apart during escrow because there are two inexperienced parties trying to make it happen and they don't know the process.

As a disclaimer- I am an investor friendly realtor and about 25% of the deals I do are off market properties that I bring to my return clients that no one else sees or has access to. People bring me deals because they know that I have legit buyers who are ready to close on decent deals quickly. My clients get those opportunities first.

Happy investing!

Aaron W. · Answer

@John Turner Congrats on your house hack!

Before you start your next property search, what is your why in investing in real estate?  What are your goals to accomplish your why? Knowing these things will help guide you in your future investments.

Other questions to ask yourself:

- Are you looking for cash flow or appreciation- Do you need the cash flow now?- What is your appetite for rehab?- Do you want to go out of your immediate area or prefer to stay local?- What are your buying criteria? - What to you constitutes a great deal? If you can find great deals, there will always be financing out there whether through hard money, private money, partnerships, or investors.  What do you need from your future partner?

Start practice analyzing deals now as this is an invaluable skill of an investor. Even if others are bringing you deals with all their pretty numbers, you need to analyze the deals yourself. Trust but verify!

Good luck on the journey!

Tuval Barnea · Answer

Hi @John Turner, I don't think there's one "right" way to start investing in real estate, however since you mentioned that you are already house hacking your condo, I would suggest to buy a bigger house or a scan multi family (duplex can be a great idea) and house hack it.  Since you'll live in the house you will be able to get around 95% financing and your tenants will pay the mortgage for you... If you have more money to invest, you can consider flipping (requires more work and more cash to begin with) or buying a rental property.

Hope I could help a bit. Feel free to contact me if you need some help

Where to find deals?

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