anyone still Finding deals on MLS?

Rental Property Investor · Houston, TX · Member since 2018 · 73 posts · 22 votes

Is anyone here still finding deals on the MLS? Or is it mostly off market now?

I have been looking for a year, have made god knows how many offers and have had no luck.

I looked at a property a few days ago in need of a total redo. Nothing could be salvaged. Listed for 225k. According to my realtor the best I can get for rent if I do a nice renovation would be 2k. That would mean negative cash flow. And this was the best deal out of all the other ones I have seen in the past year. I made a lower offer but the owner came back at 200k and wouldn't come any lower even though the property has been on the market for almost a year.

the deals my wholesaler sends me aren't any better.

Where are those deals that everyone talks about with the 1% rule? Heck I can't even get close to that Number.

0 Reply

39 views

Most Popular Reply

Frank Wong

Real Estate Broker · Bay Area · Member since 2018 · 1k+ posts · 3k+ votes

Hi Marsha,

Yes, I still buy and find all my deals on the MLS. I invest in Dallas Ft Worth market which is very competitive like Houston. Just closed on a property last month. Are they harder to find? Yes. They are still out there.

If you have been looking for a year with no success and made countless offers you need to reevaluate what you are doing. You need to look at how you are analyzing the properties, what areas you trying to buy, price point, quality of property, finance terms, contingency term, you need a complete game plan.

6 Reply

See this reply in the discussion

36 Replies

Jump to latestLatest

Sort by

Charlie MacPherson
China, ME · Member since 2014 · 3k+ posts · 4k+ votes
7y
@Marsha Rost Yes - right this minute I have two rehabbed homes on the market - both of which were rehabbed by BPers.
Both properties were found on MLS and both are listed there too (one is already under agreement).
Yes, it takes patience and you won't win every offer. But this is where the vast majority of homes are found, so I think it's wise to make it part of your search strategy.
1 Reply
Engelo RumoraBusiness Member
Investor · Toledo, OH · Member since 2013 · 4k+ posts · 2k+ votes
7y
Originally posted by @Marsha Rost:

Is anyone here still finding deals on the MLS? Or is it mostly off market now?
I have been looking for a year, have made god knows how many offers and have had no luck.
I looked at a property a few days ago in need of a total redo. Nothing could be salvaged. Listed for 225k. According to my realtor the best I can get for rent if I do a nice renovation would be 2k. That would mean negative cash flow. And this was the best deal out of all the other ones I have seen in the past year. I made a lower offer but the owner came back at 200k and wouldn't come any lower even though the property has been on the market for almost a year.
the deals my wholesaler sends me aren't any better.
Where are those deals that everyone talks about with the 1% rule? Heck I can't even get close to that Number.
Hi Marsha,
You need to look into the Midwest.
We still feel like "kids in a candy store" here in Toledo.
We can pick and choose the best deals and have been buying the same product for 5+ years now.
MLS, Craigslist, yellow letters, bird dogs, wholesalers, etc...
When the real estate agents says "Highest and best" we always respond with "we wish the highest bidder all the best" lol
There really isn't a need to pay even a penny more because there will always be another deal around the corner.
You need to have cash and close quickly.
Once folks know that you will perform, you will start getting inundated with deals from a variety of sources.
Much success
Podcast Guest on Show #89
Oz Realty4.5368 Reviews
Website View Page
0 Reply
Marsha Rost
OP
Rental Property Investor · Houston, TX · Member since 2018 · 73 posts · 22 votes
7y
@Mark Sewell
Thanks. That will be appreciated.
0 Reply
Marsha Rost
OP
Rental Property Investor · Houston, TX · Member since 2018 · 73 posts · 22 votes
7y
@Kelly DeWinter
I agree with you on that. I have worked with several agents and they are so hesitant in putting in a lowball offer. and I know it's not because they want to make a couple of hundred dollars more in commission, I don't know why exactly. Maybe it's a reputation thing. I don't know.
1 Reply
Marsha Rost
OP
Rental Property Investor · Houston, TX · Member since 2018 · 73 posts · 22 votes
7y
@Engelo Rumora
Wow. That sounds awesome. What about appreciation? Do properties there appreciate just as well as they cashflow?
That's one thing about Houston. Some parts of town have been appreciating like crazy. But then everyone says you shouldn't count on appreciation but I'm not sure if that rule should always apply. I feel like in a place like Houston, renta are lower hence not very good cash flow but there's so much appreciation that it will make up for it in a few years.
0 Reply
Engelo RumoraBusiness Member
Investor · Toledo, OH · Member since 2013 · 4k+ posts · 2k+ votes
7y
Originally posted by @Marsha Rost:

@Engelo Rumora
Wow. That sounds awesome. What about appreciation? Do properties there appreciate just as well as they cashflow?
That's one thing about Houston. Some parts of town have been appreciating like crazy. But then everyone says you shouldn't count on appreciation but I'm not sure if that rule should always apply. I feel like in a place like Houston, renta are lower hence not very good cash flow but there's so much appreciation that it will make up for it in a few years.
Thanks Marsha,
Betting on appreciation is speculating in my opinion.
No one has a crystal ball.
Appreciation should be considered as the "cherry on top" when investing.
Invest for cashflow and focus on the numbers in the deal.
Focus on the fundamentals of that transaction.
Also, always underestimate your income and overestimate your expenses.
Much success
ps. The Toledo market is known to appreciate at inflation rates so nothing to brag about lol
Podcast Guest on Show #89
Oz Realty4.5368 Reviews
Website View Page
1 Reply
Kelly DeWinter
Member since 2018 · 259 posts · 159 votes
7y
"How do you arrange to meet with the owners?"
If you are represented by an agent have your Agent make the request.
If you are not represented by an Agent, write them a letter or drop by their house in the evening or weekend.
If they do not live in the house check the tax record for Mailing Address
Remember Real estate Agents are constrained in HOW they have to interact with Seller, You are not even if you have retained the services of an Agent.
0 Reply
Jeremy Mahan
Mons, Belgium · Member since 2017 · 21 posts · 2 votes
7y
Marsha,
You should think about looking to the suburbs of Houston if you're having problems finding anything in the city. I've bought a couple of homes off MLS that are located outside Houston and even though they don't meet the 1% rule, they are cash flowing, they've appreciated slightly, they're never vacant, and I've had great tenants.
My strategy: Look for good school zones; find those neighborhoods that are in my price range in those school zones; research and track rental rates in those neighborhoods and how long they are listed before they rent; make aggressive offers.
It won't make me rich overnight, but it got me in the game and I'm learning a lot in the process.
1 Reply
Marsha Rost
OP
Rental Property Investor · Houston, TX · Member since 2018 · 73 posts · 22 votes
7y
@Jeremy Mahan
Thanks for your reply. That's a great suggestion and a good strategy. I think it's time for me to shift my focus on other areas .
0 Reply
Mike Mocek
Property Manager / Licensed Realtor · Toledo/Columbus, OH · Member since 2019 · 244 posts · 262 votes
6y
@Andrew Fidler thanks Andrew, likewise!
0 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.