How to Locate Real Estate Deals

Locating Real Estate Deals

Finding motivated sellers is the key to real estate bargains. The better the bargain, the more you can profit. You should spend 90% of your time locating deals. You can’t make any money if you can’t find the deals. There are several factors to consider when choosing an area to start in. Let’s review some of those factors:

• Price range
• Types of properties
• Investment Methods
• State and local laws
• Growth
• Rents
• Exit strategies
• Desirability
• Proximity to where you live
• Types of neighborhoods

There are 4 basic types of neighborhoods in every market.

“A” Neighborhoods – High Income

• High price point
• Large homes
• Historic areas
• Gated communities
• Highly desirable location

“B” Neighborhoods – Middle to High Income

• One step down from the “A” neighborhood
• Nearby shopping which include chain stores
• Mostly owner-occupied
• Vacant homes stand out
• Fewer rentals

“C” Neighborhoods – Middle Income

• Small businesses nearby
• Mix of older and newer homes
• Mix of owner-occupied and rentals
• More flexible sellers
• Good cash flow properties

“D” Neighborhoods – Low Income

• War zones
• Depreciation
• Good cash flow

Once you determine your Investment strategy, you can then determine which

neighborhood would be best. Check out our Lead Generation software that searches

Vacant Properties, Absentee Owners, Pre-foreclosures, Bank Owned, Trusts, High

Equity, Low Equity, Upside Down and Cash Buyers Nationwide at: www.myreipro.com