I'm looking to find my first rental property but I'm at a bit of a loss as to the best place to find it and I was hoping for some pointers.
I've decided to 'pop-my-cherry' in real estate investing by finding a single-family home. My aim is to find something at a reasonable price point (<$75k all-in) whether it be turnkey or something that needs a little rehab. I'm not interested in buying a total clunker that would require a complete gut job, and I intend to purchase the property in cash with no lender. The goal is to get something at $.60-$.70 on the dollar.
So what are some tips and tricks in finding something?
- Search the MLS/Realtor/Zillow and find properties that might be on the market for long durations? The idea would be sellers are eager to get rid of the property and, therefore, more willing to take a lower price.
- Search Craigslist for FSBO's?
- Something else?
I assume Sheriff sales are a stay-away, given my lack of interest in buying a total disaster.
Good rentals with light work are harder to find right now. You'll do well finding one for .85 to .90 cents on the dollar.
To do better, you'd have to get a marketing campaign going. Based on experience, most the deals that come in from marketing tend to be clunkers needing a lot of work.
I'd look for existing landlords that are either retiring, or selling a few properties.
Narrow it down a bit more to an area . Then get out and talk to neighbors in the area , ask them if they know anyone who wants to sell . Also , ask your friends , neighbors , and co workers .
All of my " deals" have been drive bys or word of mouth , Nothing from the MLS . One I bought from a neighbor , one from a drive by while doing service calls , one from a customer , and one from a friends mother after she went to assisted living .
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