How are you finding deals?

Madison, WI · Member since 2019 · 37 posts · 23 votes

Hi all, how is everyone finding deals right now? I have a property for sale under contract currently that I'll be doing a 1031 with. I should walk away with around 250k from this sale. I have been searching the MLS for weeks and haven't found anything that makes sense. How is everyone find properties where the numbers make sense? I'm not sure I want to mess with off market, but maybe that is the best route to go. Thanks in advance.

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Kevin Sobilo

Realtor · Hanover Twp, PA · Member since 2018 · 3k+ posts · 3k+ votes

8mo

@Kyle Hoppman, a couple thoughts:

1. You don't FIND a deal, you MAKE a deal whether its on the MLS or not.

The prices on the listing are asking prices, depending on the circumstances and motivations of the seller you might negotiate something more favorable. So, virtually EVERYTHING is a potential deal at the right price.

Have you looked for distressed or motivated sellers or unmotivated listings agents? You might find a seller with a bad tenant situation keeping them from making a sale. Or someone whose agent is sort of AWOL on working the listing or whatever. Many situations can give you an opportunity to negotiate something favorable.

2. In addition to #1, there are more ways to "make a deal". You might make the deal work after closing by doing "value add" work. Perhaps you buy a 6 unit property and separate utilities or replace the heating system to lower expenses thereby causing your appraised value to jump allowing you to refi out more money later or to make better cash-flow or both.

3. Why be hesitant about off-market deals? They can be more gainful because there less middle-men (agents) taking a cut.

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Kevin Sobilo
Realtor · Hanover Twp, PA · Member since 2018 · 3k+ posts · 3k+ votes
8mo
@Kyle Hoppman, a couple thoughts:
1. You don't FIND a deal, you MAKE a deal whether its on the MLS or not.
The prices on the listing are asking prices, depending on the circumstances and motivations of the seller you might negotiate something more favorable. So, virtually EVERYTHING is a potential deal at the right price.
Have you looked for distressed or motivated sellers or unmotivated listings agents? You might find a seller with a bad tenant situation keeping them from making a sale. Or someone whose agent is sort of AWOL on working the listing or whatever. Many situations can give you an opportunity to negotiate something favorable.
2. In addition to #1, there are more ways to "make a deal". You might make the deal work after closing by doing "value add" work. Perhaps you buy a 6 unit property and separate utilities or replace the heating system to lower expenses thereby causing your appraised value to jump allowing you to refi out more money later or to make better cash-flow or both.
3. Why be hesitant about off-market deals? They can be more gainful because there less middle-men (agents) taking a cut.
8 Reply
Kyle HoppmanPro Member
OP
Madison, WI · Member since 2019 · 37 posts · 23 votes
8mo
Thanks for your input Kevin, I greatly appreciate it!
1 Reply
Dave FosterBusiness Member
Qualified Intermediary for 1031 Exchanges · St. Petersburg, FL · Member since 2013 · 9k+ posts · 9k+ votes
8mo
@Kyle Hoppman, if you do find a property you really like, you should get it under contract as soon as possible, even before you close the sale of your old property. This will minimize the pressure of your 45-day identification period. You won't be able to take title to the new property until your old one is sold, but you can certainly get it under contract as soon as possible.
Use contingencies and extra earnest money to entice the seller.And, as a fallback position, you can either use a passive product like a Delaware statutory trust to save your exchange if the profit is really painful. Or... no one should ever buy a property just to save the tax dollars. No one's ever gone broke paying tax on profit. And your worst-case scenario is that you'll get another 45 days from the sale to keep shopping. If you don't find something you like, then let the exchange die by not turning in a 45-day list. You'll pay the same tax you would have at the same time. There is no penalty for starting and not completing a 1031 exchange.
The 1031 Investor5137 Reviews
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Kyle HoppmanPro Member
OP
Madison, WI · Member since 2019 · 37 posts · 23 votes
8mo
@Dave Foster for sure. I'd really like to find a property, but I'm certainly not willing to buy something unless it makes sense to do so. Thanks for the info!
0 Reply
Alex Olson
Real Estate Broker · Kansas City Metro · Member since 2015 · 2k+ posts · 1k+ votes
8mo
Best way is to find an agent that actually finds deals for buyers. There are some in many markets but so many agents are only after listing.
2 Reply
Marcus Auerbach
Investor · Milwaukee - Mequon, WI · Member since 2010 · 5k+ posts · 7k+ votes
8mo
Almost every property I ever bought was more expensive than I felt I should pay at the time. So that's nothing new. In hindsight of course, a decade later they all look redicolusly cheap. If you apply the old yard stick, none of the deals today measure up.
We have switched from buying rehab homes to buying from motivated sellers. Look for expired listings and my favorite, deals that fall through and the seller is already under contract on a new home. If you can save their closing date you are in a good position to negotiate. They often have large amounts of equity to work with.
5 Reply
- Kyle HoppmanPro Member
  OP
  Madison, WI · Member since 2019 · 37 posts · 23 votes
  8mo
  Quote from @Marcus Auerbach:
  
  Almost every property I ever bought was more expensive than I felt I should pay at the time. So that's nothing new. In hindsight of course, a decade later they all look redicolusly cheap. If you apply the old yard stick, none of the deals today measure up.
  We have switched from buying rehab homes to buying from motivated sellers. Look for expired listings and my favorite, deals that fall through and the seller is already under contract on a new home. If you can save their closing date you are in a good position to negotiate. They often have large amounts of equity to work with.
  
  @Marcus Auerbach I like the idea of focusing on expired listings. I believe that's something I can find pretty easily on Propstream.
  1 Reply
Michael K GallagherBusiness Member
Real Estate Agent · Columbus OH · Member since 2018 · 1k+ posts · 1k+ votes
8mo
Quote from @Kyle Hoppman:

Hi all, how is everyone finding deals right now? I have a property for sale under contract currently that I'll be doing a 1031 with. I should walk away with around 250k from this sale. I have been searching the MLS for weeks and haven't found anything that makes sense. How is everyone find properties where the numbers make sense? I'm not sure I want to mess with off market, but maybe that is the best route to go. Thanks in advance.

Hey @Kyle Hoppman I'm sure many here will talk about off market stuff, but honestly the vast majority of the deals we have been doing especially in that price range have been on market.
have you made any offers on the properties that "dont make sense"?
the list price is just an ask, you can submit any offer you'd like, now submitting a low ball for the sake of a low ball or because you read here that "acquisition should be 50% of arv" or whatever none-sense the gurus are spewing these days, is likely not going to get you anywhere. But if your agent does some leg work calls the list broker understands the situation and you put in an defendable offer that your agent can strongly point to numbers and not just "my buyer's risk profile only allows them to purchase it for blah blah" if you really want the deal and want to bring it together you'll have to give a bit too but generally if you are able to supply data and defend the offer its generally at least viewed in a positive light and while you may not go in contract you'll get a more serious counter if you act more serious also.
[email protected]614-362-2231
2 Reply
Rick Albert
Real Estate Agent · Los Angeles, CA · Member since 2018 · 2k+ posts · 1k+ votes
8mo
I'm in the middle of a 1031 exchange now. What we did was not only negotiate the price, but also got closing cost credits that will go towards buying down the rate. Instead of trying to find random markets to invest in, focus on negotiating a deal in a market you are comfortable with.
2 Reply
Ben FernandezBusiness Member
Realtor · Lancaster, PA · Member since 2025 · 169 posts · 97 votes
8mo
MLS and direct mail primarily.

Several questions arise, based upon why you aren't finding anything that works near you...

1) Are you looking for buy and holds or flips? If its flips, I can understand. Flips are not abundant.

2) If they are buy and holds, are you privy to the current rent rates the property is performing at? I often see listings where the rents are not provided publicly, but are in the MLS. This can greatly affect the transparency of if it could be an opportunity or not.

3) If you are looking for value-add opportunities, are you assessing the top potential value accurately to devise the variance between the asking price and the potential ARV (in alignment with school district and all...)?

4) Are you filtering (or aware of) potential seller motivations, so you know when you may have higher potential to bargain?

4) Why the reluctance to off market? It can definitely broaden the pool of options. However, - yes - the seller's property disclosure (SPD) is normally not provided.
[email protected]717-945-7040
1 Reply
Kyle HoppmanPro Member
OP
Madison, WI · Member since 2019 · 37 posts · 23 votes
8mo
@Ben Fernandez
1)I'm looking for buy and holds.
2)I've been reaching out to agents and getting P&Ls and expense sheets, OM's. All that stuff. For the properties I've looked at, there asking price and rents, and market rents for that matter don't show the deal being close to worth it (Less than $100/door and under a 5% COC return). I've been using bestplaces.net and rentometer to find market rents. I have found some that seem to be viable options, but a majority are property owners trying to get way more than what the property is performing at.
3) I haven't been actively searching for value add, though it seems that may be the route i need to start taking.
4) I'm not aware of seller motivations. Over the past week, I've enlisted agents in various markets and given them my buy box to help find good properties. I do know some of them are looking for off market deals so it's something I'm starting to look into
1 Reply
- Ben FernandezBusiness Member
  Realtor · Lancaster, PA · Member since 2025 · 169 posts · 97 votes
  8mo
  @Kyle Hoppman You're on track then based upon your pivoting to open up more opportunities.
  
  I'm sure your support system is evaluating current operations and aligning market cap rates, for these subject properties, in order to identify opportunities.
  
  I often see sellers present an NOI that does not consider standard/practical operating expenses, which presents as if the selling price should be higher - when it shouldn't (if the operating expenses are impractical).
  
  After aligning market cap rates and reliable standard operating expenses for the subject properties, are you submitting offers, that make sense, even when it's below their asking price?
  
  I see quite often where listed properties are way off alignment with its market's cap rates and/or substandard operating expenses. So, it's very important to align data respectively and submit offers that the market dictates (vs what the seller is trying to dictate).
  
  Just thought I'd mention these factors, if helpful, and some of these deals you're bypassing, do have opportunity due to these factors. After all, sometimes the sellers are practical and will consider a practical offer, but they'd rather (first) test the comprehensiveness of the buyers.
  
  I know I see a lot of variance in practicality locally and often times it's quite startling. However, within commercial, the numbers dictate everything. So, we are on track when we remind sellers what the numbers are telling us.
  
  I wish you well in your quest.
  [email protected]717-945-7040
  1 Reply
Kyle HoppmanPro Member
OP
Madison, WI · Member since 2019 · 37 posts · 23 votes
8mo
@Michael K Gallagher
I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
0 Reply
- James Hamling
  Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
  8mo
  Quote from @Kyle Hoppman:
  
  @Michael K Gallagher
  I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
  
  How about sharing that here, your calculations. That way we can best understand what target your trying to hit, and can lend feedback how to best hit it, or if your out unicorn hunting.
  0 Reply
- Kyle HoppmanPro Member
  OP
  Madison, WI · Member since 2019 · 37 posts · 23 votes
  8mo
  Quote from @James Hamling:
  
  Quote from @Kyle Hoppman:
  
  @Michael K Gallagher
  I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
  
  How about sharing that here, your calculations. That way we can best understand what target your trying to hit, and can lend feedback how to best hit it, or if your out unicorn hunting.
  Biggerpockets wouldn't let me upload the PDF so I took a screenshot of it. Here is one I found in Milwaukee WI. I found alot in the midwest where the asking price is so high compared to rents that it wouldn't make sense unless I drastically lowballed the owner. I appreciate any advice you have! I did find some where the numbers are a bit better but this is a good representation of what I'm seeing as a whole.
  1 Reply
- James Hamling
  Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
  8mo
  Quote from @Kyle Hoppman:
  
  Quote from @James Hamling:
  
  Quote from @Kyle Hoppman:
  
  @Michael K Gallagher
  I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
  
  How about sharing that here, your calculations. That way we can best understand what target your trying to hit, and can lend feedback how to best hit it, or if your out unicorn hunting.
  Biggerpockets wouldn't let me upload the PDF so I took a screenshot of it. Here is one I found in Milwaukee WI. I found alot in the midwest where the asking price is so high compared to rents that it wouldn't make sense unless I drastically lowballed the owner. I appreciate any advice you have! I did find some where the numbers are a bit better but this is a good representation of what I'm seeing as a whole.
  
  Ok, so I am sure you've heard of property classifications; A, B, C etc.., right?
  Each class is a totally different asset, it is. And being different assets, that means strategy is a bit different, and that means also analysis needs to shift a bit.
  When a person is looking for good cash-flow rates, day-1, ok that's simply not ever going to be an A class property. Sure, 1 in a million it can happen, but it's not a viable thing to expect and search for.
  D class cash-flow NEEDS to be there, day 1. Now way too often people never ask why this is. It's because D-class has high operational expenses, high risk tenancy class (yes, some great operators have created way to operate in this space with lower then normal risk factors but that's reflective of them, there operations, NOT the segment). Also, D Class has very low to no appreciation outlook, if not negative appreciation. Appreciation is heavily dictated by revenue and capex. Because these are areas, for most part, people have-to-be not where people want-to-be. That's why they are cheaper vs rents. If strong OO desire, OO's would drive price UP where the spread vs rents diminishes.
  When I do an A-class deployment analysis, were looking at what things are yr 1-10. And our focus is on yr 5-7.
  In A-class it's an action all about ROI. And for that appreciation is our primary profit driver. Rent revenue is how we float a hold at 0 capitol, or as limited capitol as possible. Because someone else, the tenant, is paying our carry cost. It's NOT a play to make wealth off rents, no, no, no. It's a play about protecting capitol, and growing wealth via math based market factors.
  Rarely in A class is there any tangible cash-flow on rents yr1, more or less yr 2 or 3. And even then it's so little, a hundred bucks here, a couple hundred bucks there, really it's all but pocket change. Our focus is on that 10k, 20k, 30k annual appreciation, THAT is substantial. That moves the wealth needle. $2,400 a year..... Sorry that's simply not worth the venture.
  Hormozi recently put out, IMO, the BEST YT vid he's ever done, which was all about the different shapes of business sectors. It was so spot on.
  The different classes of investment real estate is exactly the same, the different classes have very different investment models.
  Different how they operate, where there profit comes from, how to scale, how to analyze etc etc..
  I say stop looking for paychecks on sale.
  Start by dialing in what your exact REI model is that your going to run with at this stage of things.
  And that's another key point; where you start is not where you have to exist forever. Many of us have changed models over the years, myself included. I started out a home flipper in the upper middle class bracket. I then shifted to D-class sec8 rental properties. Then edged into multi's. Then, then, then.....
  But at start, you must have a singular focus.
  When I was flipping I got offered luxury, condos, and all other sorts of flips. I stayed focused, I did upper mid market flips, that's it. And I was able to scale and do amazing performance due to my focus.
  Pick your REI model, then us the correct analysis for that model. And then the correct lead sourcing for that model. Each also has there own most viable lead sourcing.
  There is honestly very little in REI that is universal across the various segments. REI is a giant ocean of an industry full of countless nuances.
  And that is also why there is always opportunity out there. Every market cycle, every everything is a golden opportunity in some way, and a dead-lock another.
  2 Reply
- Dan H.Pro Member
  Investor · Poway, CA · Member since 2015 · 7k+ posts · 8k+ votes
  8mo
  Quote from @James Hamling:
  
  Quote from @Kyle Hoppman:
  
  @Michael K Gallagher
  I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
  
  How about sharing that here, your calculations. That way we can best understand what target your trying to hit, and can lend feedback how to best hit it, or if your out unicorn hunting.
  
  >or if your out unicorn hunting.
  I suspect I am unicorn hunting but this is a tough RE market. I do not invest in RE to do only a little better than passive options. However, my high expectations/standards also explains why my last purchases were 4 years ago.
  Note I do not need to buy RE. if it does not project an annual return significantly in excess of 20%, then it typically is not worth my effort/risk.
  I did make an offer on luxury sierra cabin that projected less than 20% return, but it was something the family could use and escape to if the $hit hits the fan.
  Good luck
  2 Reply
- Kyle HoppmanPro Member
  OP
  Madison, WI · Member since 2019 · 37 posts · 23 votes
  8mo
  Quote from @James Hamling:
  
  Quote from @Kyle Hoppman:
  
  Quote from @James Hamling:
  
  Quote from @Kyle Hoppman:
  
  @Michael K Gallagher
  I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
  
  How about sharing that here, your calculations. That way we can best understand what target your trying to hit, and can lend feedback how to best hit it, or if your out unicorn hunting.
  Biggerpockets wouldn't let me upload the PDF so I took a screenshot of it. Here is one I found in Milwaukee WI. I found alot in the midwest where the asking price is so high compared to rents that it wouldn't make sense unless I drastically lowballed the owner. I appreciate any advice you have! I did find some where the numbers are a bit better but this is a good representation of what I'm seeing as a whole.
  
  Ok, so I am sure you've heard of property classifications; A, B, C etc.., right?
  Each class is a totally different asset, it is. And being different assets, that means strategy is a bit different, and that means also analysis needs to shift a bit.
  When a person is looking for good cash-flow rates, day-1, ok that's simply not ever going to be an A class property. Sure, 1 in a million it can happen, but it's not a viable thing to expect and search for.
  D class cash-flow NEEDS to be there, day 1. Now way too often people never ask why this is. It's because D-class has high operational expenses, high risk tenancy class (yes, some great operators have created way to operate in this space with lower then normal risk factors but that's reflective of them, there operations, NOT the segment). Also, D Class has very low to no appreciation outlook, if not negative appreciation. Appreciation is heavily dictated by revenue and capex. Because these are areas, for most part, people have-to-be not where people want-to-be. That's why they are cheaper vs rents. If strong OO desire, OO's would drive price UP where the spread vs rents diminishes.
  When I do an A-class deployment analysis, were looking at what things are yr 1-10. And our focus is on yr 5-7.
  In A-class it's an action all about ROI. And for that appreciation is our primary profit driver. Rent revenue is how we float a hold at 0 capitol, or as limited capitol as possible. Because someone else, the tenant, is paying our carry cost. It's NOT a play to make wealth off rents, no, no, no. It's a play about protecting capitol, and growing wealth via math based market factors.
  Rarely in A class is there any tangible cash-flow on rents yr1, more or less yr 2 or 3. And even then it's so little, a hundred bucks here, a couple hundred bucks there, really it's all but pocket change. Our focus is on that 10k, 20k, 30k annual appreciation, THAT is substantial. That moves the wealth needle. $2,400 a year..... Sorry that's simply not worth the venture.
  Hormozi recently put out, IMO, the BEST YT vid he's ever done, which was all about the different shapes of business sectors. It was so spot on.
  The different classes of investment real estate is exactly the same, the different classes have very different investment models.
  Different how they operate, where there profit comes from, how to scale, how to analyze etc etc..
  I say stop looking for paychecks on sale.
  Start by dialing in what your exact REI model is that your going to run with at this stage of things.
  And that's another key point; where you start is not where you have to exist forever. Many of us have changed models over the years, myself included. I started out a home flipper in the upper middle class bracket. I then shifted to D-class sec8 rental properties. Then edged into multi's. Then, then, then.....
  But at start, you must have a singular focus.
  When I was flipping I got offered luxury, condos, and all other sorts of flips. I stayed focused, I did upper mid market flips, that's it. And I was able to scale and do amazing performance due to my focus.
  Pick your REI model, then us the correct analysis for that model. And then the correct lead sourcing for that model. Each also has there own most viable lead sourcing.
  There is honestly very little in REI that is universal across the various segments. REI is a giant ocean of an industry full of countless nuances.
  And that is also why there is always opportunity out there. Every market cycle, every everything is a golden opportunity in some way, and a dead-lock another.
  
  I appreciate this information, it was very informative. Thank you.
  0 Reply
- James Hamling
  Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
  8mo
  Quote from @Dan H.:
  
  Quote from @James Hamling:
  
  Quote from @Kyle Hoppman:
  
  @Michael K Gallagher
  I have started to go back and send offers based on properties I've analyzed. Typically when I do so, I'll also send the agent my calculations so they can see where I'm coming from and how I arrived at the number I have.
  
  How about sharing that here, your calculations. That way we can best understand what target your trying to hit, and can lend feedback how to best hit it, or if your out unicorn hunting.
  
  >or if your out unicorn hunting.
  I suspect I am unicorn hunting but this is a tough RE market. I do not invest in RE to do only a little better than passive options. However, my high expectations/standards also explains why my last purchases were 4 years ago.
  Note I do not need to buy RE. if it does not project an annual return significantly in excess of 20%, then it typically is not worth my effort/risk.
  I did make an offer on luxury sierra cabin that projected less than 20% return, but it was something the family could use and escape to if the $hit hits the fan.
  Good luck
  
  Fair enough, right. That's freedom, true freedom, the ability to do whatever, including nothing. Because it's what you choose to do.
  For "I do not invest in RE to do only a little better than passive options." I present a point of interest to ponder: Warren Buffet and Berkshire.
  Warren is, and always has been, a passive investor. And by his own testament, a value investor. Appreciation vs cash-flow, just sayin.......
  
  1 Reply
Kyle HoppmanPro Member
OP
Madison, WI · Member since 2019 · 37 posts · 23 votes
8mo
@Ben Fernandez I've had started speaking with the listing agents and providing offers that make sense due to numbers. I'm also sending them my calculations to show how I arrived at the numbers I have. Thanks for the advice, I very much appreciate it!
0 Reply
- Ben FernandezBusiness Member
  Realtor · Lancaster, PA · Member since 2025 · 169 posts · 97 votes
  8mo
  @Kyle Hoppman No problem
  [email protected]717-945-7040
  0 Reply
Ethan HaiglerBusiness Member
Real Estate Agent · Charlotte, NC · Member since 2019 · 111 posts · 58 votes
8mo
@Kyle Hoppman almost all of my purchases at this point involve wholesalers. I learn the areas, build my financial analysis tools and then work with local wholesalers. DM me if you’d like to chat further. I can provide some responses.
[email protected]704-607-2078
3 Little Pigs Rental Management
Website View Page
Ethan Haigler Realty
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1 Reply
Elizabeth Pyle
Realtor · Chicago, IL · Member since 2020 · 17 posts · 34 votes
8mo
You could pull a list of expired / cancelled buildings for the last 6 years. In many markets, a majority have sold but some didn't. It's probably a small enough list you could mail to or cold call. Those owners put their hand up that they wanted to sell. Conditions or timing probably weren't quite right when they listed them back thenNow maybe the time is right! Happy Hunting!
3 Reply
Elizabeth Pyle
Realtor · Chicago, IL · Member since 2020 · 17 posts · 34 votes
8mo
I'm a realtor and had a client sell three 6 unit buildings in 1 year (18 total units). She paid the taxes on one building and did a 1031 into a REIT with the proceeds from the remaining 2 buildings.
1 Reply
- Kyle HoppmanPro Member
  OP
  Madison, WI · Member since 2019 · 37 posts · 23 votes
  8mo
  Quote from @Elizabeth Pyle:
  
  I'm a realtor and had a client sell three 6 unit buildings in 1 year (18 total units). She paid the taxes on one building and did a 1031 into a REIT with the proceeds from the remaining 2 buildings.
  
  What REIT did they put their money into? I'm curious to see if that's a good route to go.
  0 Reply
Giovanni Choisne
Investor · Nashville · Member since 2026 · 37 posts · 11 votes
8mo
Wow a lot of knowledge in this thread.
Off-market does seem to be where more flexibility is right now, but I get the hesitation. It's more work up front, and not every lead turns into a deal. That said, the people having the most success lately seem to be the ones combining both MLS and off market.
1 Reply
Moris Eureka
Member since 2026 · 14 posts · 2 votes
8mo
This has been a common theme lately, especially for 1031 buyers.

A lot of investors I talk to are finding MLS deals hard to pencil unless they're willing to compromise on cash flow or hold long-term. What has worked more consistently has been:

• Light off-market (direct owner outreach, tired landlords, small multifamily owners)

• Properties with some form of friction (deferred maintenance, management issues, estate situations)

• Working with agents who see deals before they hit MLS

• Being flexible on structure (seller carry, delayed possession, etc.)

Off-market doesn’t have to mean heavy marketing — sometimes it’s just having conversations earlier in the process.
1 Reply
Alfath AhmedBusiness Member
Real Estate Agent · Columbus, OH · Member since 2022 · 1k+ posts · 1k+ votes
8mo
Quote from @Kyle Hoppman:

Hi all, how is everyone finding deals right now? I have a property for sale under contract currently that I'll be doing a 1031 with. I should walk away with around 250k from this sale. I have been searching the MLS for weeks and haven't found anything that makes sense. How is everyone find properties where the numbers make sense? I'm not sure I want to mess with off market, but maybe that is the best route to go. Thanks in advance.

Connect with good investor-focused agents that have cold-calling teams or that can source good deals from the MLS or off-market via pocket listings, wholesalers, or cold-calling teams.
You have 45 days to identify a property and 180 days to close ion the replacement property. You need to start searching now and identify something asap.
[email protected]614-802-5698
ReafCo | Ahmed Group 536 Reviews
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1 Reply
Bo SmithPro Member
Hinton, WV · Member since 2026 · 1k+ posts · 373 votes
8mo
Smart pivot. The motivated seller angle is where the meat is now - distressed situations, life changes, inherited properties. One thing I've noticed: most investors focus on finding these sellers but drop the ball on follow-up. Someone says "maybe in 6 months" and never gets touched again. Are you staying in front of these leads consistently or mostly hunting fresh ones?
0 Reply
- Kyle HoppmanPro Member
  OP
  Madison, WI · Member since 2019 · 37 posts · 23 votes
  8mo
  Quote from @Bo Smith:
  
  Smart pivot. The motivated seller angle is where the meat is now - distressed situations, life changes, inherited properties. One thing I've noticed: most investors focus on finding these sellers but drop the ball on follow-up. Someone says "maybe in 6 months" and never gets touched again. Are you staying in front of these leads consistently or mostly hunting fresh ones?
  Hi Bo, I'm doing my best to stay in front of leads. I take good notes and set reminders.
  0 Reply
Bo SmithPro Member
Hinton, WV · Member since 2026 · 1k+ posts · 373 votes
7mo
MLS is brutal right now, especially with that timeline pressure from the 1031. One thing that's helped me: focus on days on market 60+ and look for price drops in the last 30 days. Those sellers are getting desperate and might take 15-20% under ask. Also check expired listings from 30-90 days ago - call those agents directly. Are you looking in specific markets or casting a wide net?
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Dave FosterBusiness Member
Qualified Intermediary for 1031 Exchanges · St. Petersburg, FL · Member since 2013 · 9k+ posts · 9k+ votes
7mo
@Kyle Hoppman, It's best to have a pretty good idea of the market you're looking to reinvest in before your property is sold. But a successful 1031 exchange still comes down in part to being at the right place at the right time. But that being said, you don't have to panic at the short 45-day identification period. You can start making offers before your old property is sold. You wouldn't be able to take title to the new property till the old property is sold, but you can be under contract for your new property before your old property closes.

As others have said, motivated sellers are key right now (or at least realistic sellers!!). But I always tell people to do the hard thing first. In your case, the hard part is finding a new property. So do that first and then complete your sale. Use contingencies on the sell or buy side. And if the numbers make sense, you can always do a reverse exchange to control the new property first. Sometimes, even a seller will let you lease the property with an option to buy.
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Todd AndersonPro Member
Real Estate Agent · Cape Coral, FL · Member since 2023 · 392 posts · 175 votes
7mo
@Kyle Hoppman,
There are off market deals to find.
I work with a number of investors with 1031 exchanges. We find when we look around that the New Construction market is a good landing place for the exchange. With the market that we are in now many of the builders that I work with have inventory that is finished and ready to move. Many times it has renters already installed.
Most of these deals can beat anything on the MLS because builders are able to build incentives into the deal that just cant be done on the secondary market. We are seeing interest rate buydowns to the mid 3% and free property management on many deals. We are also able to find deals that can close fast and easy. This helps in the 1031 Exchange.
Good luck in the sale and let me know if I can help identify.
[email protected]651-492-5652
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Eric FernwoodBusiness Member
Realtor · Las Vegas, NV · Member since 2014 · 995 posts · 1k+ votes
7mo
Hello @Kyle Hoppman,
Before shopping for properties, define what a “good deal” means to you — because that determines what and where you should buy.

If your goal is higher initial cash flow, I would look for low cost properties in a city with declining population. Such property is the most likely to give you a higher initial cash flow. But that's where it ends with such properties.

If your goal is long-term financial independence, choosing the right property is more complex. Long-term performance comes from three factors:
- City matters most. Rent growth is driven by the city, not a property. Invest where population and demand support rents rising faster than inflation.
- Tenants income reliability. Properties don’t pay rent — tenants do. Focus on attracting stable tenants who stay longer and pay reliably. Identify where they rent today and buy similar homes. Your best source for identifying such properties is by interviewing multiple property managers and asking a question similar to, "what parties would you buy if your goal was to attract a Tenant segment that stays many years, and pays the rent on schedule?”
- Use a repeatable process. Once you know your tenant profile, property selection becomes systematic and scalable — not guesswork.
The goal isn’t finding a cheap property. It’s buying assets that attract the right tenant in the right market, producing reliable income over the years.
[email protected]702-358-8884
FERNWOOD Team, KW VIP Realty520 Reviews
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