Best way to source potential deals? Help!

2 Replies

Hey BP! I haven't posted too much here. But I thought I could really use some advice to get to the next level...

The Plan:

1. Short Term = Buy, Rehab, Sell - Chicago Illinois area, or elsewhere

2. Long Term = Buy, Rehab, Refinance, Rent - Chicago Illinois area, or elsewhere

The Good: 

1.I have a great bank that's ready to finance 100% of given deal (acquisition + rehab costs). They can also refinance up to 80% LTV immediately after an appraisal if I intend to hold. Really nice!

2. I have a great general contractor on board that's willing to personally give estimates prior to purchase and a big enough crew to do quality jobs quickly.

The Bad:

1. The bank lends based on the asset, so they need an address and budget to move forward, I can't just get approval for "X" dollars unfortunately. The turn around time from submitting the budget to getting approval is about 5 days. This means from the moment I find a place on redfin or zillow let's say, I must arrange an estimate with the contractor and come up with a budget, this takes a few days in addition to the 5 days on the bank end. I have missed out on 2 deals very recently because of this turnaround time :(

The Question:

How can I source potential deals more efficiently? Me searching the web is not cutting it.... is this something I should improve upon by myself or would bringing more people on board be beneficial, (like a good wholesaler???! Idk honestly)? I am basically in a position to pull the trigger, but need a target to shoot at. Has anyone ever had similar problems when starting out in RE? How did you conquer this obstacle?

Thanks Everyone!  

I'm not faced with your problems yet - but the podcast section may offer some insight until other more experienced members reply.

I hope that helps. 

Hi Triston,

I am in the Chicago area as well and have the same problem. Same strategy and ready to pull the trigger but no strong target. I would appreciate any advice from more seasoned investors in the Chicago Area.

Michael

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