Are you an investor in the sacramento, ca area? Are you finding deals in this area on small multi-family units (4 plex or less)? How are you going about finding them here in this crazy market? I'm about to buy my fisrt investment property (4 plex or less) and I am open to going off market through direct mailers or what ever strategy gets the best results. I have money ready to go, but I can also wait out the market, if that's what is needed. I'm not looking for more real estate agents to approach me to be their client. I'm only interested in hearing from people who have done buy and hold deals of their own. The more deals you've done, the better.
You have to pay in cash or reduce your contingencies... Demand is at an all time high with the lowest inventory so yeah, expect this. There's really no way around this outside of a bubble crash.
@Tuan Tran do you have rental properties?
I’d say the market is tight even if you are paying in cash. I decided to gamble on appreciation and overbid on a duplex that will have good cash flow in Oak Park after losing another all cash deal (I bid all cash, over asking and was outbid by a buyer with similar terms with an offer “well above” mine on a different property in the same neighborhood. I needed to do a 1031 exchange and the clock was ticking. My thinking was that I felt better about possibly overpaying than sending a boatload of money to the IRS. It was my first 1031 and I just shifted out of the Bay Area market so it has been a learning process for me. I might have been able to get a better deal if I had more time and didn’t need to absorb so much information so quickly but so far, no regrets.
@Brian Sherman if you are patient and flexible on the neighborhood/area it will pay off.
Check out wholesale Sacramento on Facebook that’s one way to connect with other local wholesalers just let them know that you would like to be added to their buyers list.
I personally would not recommend removing contingencies for you first deal unless you have an experience contractor walk the house and evaluate condition/repairs cost.
Take my advice with a grain of salt as I am an agent... but your stance of only wanting to buy direct (when you have not done so before) is going to really limit you. For every one response you get to direct mail agents are hearing of a dozen off market deals... and we are mailing, texting, calling and door knocking all day long because that is our job. Guys with large portfolios work with multiple agents... not try to work around them. The major flippers in Sacramento that do 30-100 flips work through agents, not around them. The buy and hold investors work with many agents to buy and one or two to sell.
@Joe Bertolino You are correct, sir! After talking with you yesterday, I came to realize how much I was missing out. Thanks for your help :)