What are the best leads I should be pursuing using Propstream?

Question

Hi Im new to BP and a new investor with a few dollars to invest. My goal is to brrrr initially (If #'s support) or fix & flip the property if it's still a good deal. I want to run numbers to analyse deals but don't know where to start and what to focus on as a lead. I have a contractor friend in Palm Beach FL who could manage project and invest some capital as well.

When I do a search on Propstream I get the following:  598 Preforeclosures - 47 Auctions - 215 Bank Owned - 5057 Vacants

Which lead source would be most productive to focus on?

Can you call the Bank Owned and get good deals going directly to the bank?

Can you buy the Auctions houses before they go to auction?

What have you have the most success at?

Any help and wisdom would be greatly appreciated!

Thanks in advance... Jeff

Jeff Modjeska · Answer

Thank you for the kind encouraging words I appreciate it! Be well and stay safe!

Jeff

Ben Riechmann · Answer

There is great truth to what John says Jeff.  You don't want to spread yourself out to much especially in the begining!  It is great to become expert in one area before moving on to any others.

Auctions can be tricky in that a lot of time people do bid properties above what a place is worth, especially if there is work to be done on the place and they have not done work on a propery in awhile and don't realize how much building costs have gone up.  There are times you can buy a property before auction but not always, as auctioneers make a lot of money off the people that bid over the price they should.  It is awesome that you have a partner that is a contractor as he can look at places and know roughly how much different things will cost to fix.  If he is also investing, that means he is also putting in skin in the game so that hopefully means you can trust his calls even more.  Most of the time, most us veterans go to auctions and leave with things from the property the owner owned inside that we got cheap like tools and not properties and not the properties due to the bidding.  Like everywhere if you keep looking for deals you will come across some, so it is good to look and if you are going to bid know the most a place is worth to bid on for it to be a good deal.

The important thing is to always be looking for deals in the area you choose and not to kick yourself over the one you misssed or one that didn't go as good as you hoped.  Learn from those things and move on as there are more deals out there!  Even in this hot market there are deals to be found.  The great thing about real estate is there often is more than one way to get a deal done or sell a property.  The benefits of them are numerous as well over stocks.  I invest in both.

Welcome to Bigger Pockets!  It sounds like you have some good foundation work for making some good deals.  There are some good videos on here that are helpful and BP videos you can catch on youtube to catch ones you missed.  There are a lot of helpful people here too, that can offer guidence for different investment ideas or issues.

Jeff Modjeska · Answer

Thank you for your wisdom Jon!

Jon Huber · Answer

@Jeff Modjeska The most productive list is the list you focus on. Choose one and own it. Know everything in the space. Be the subject matter expert in that space. There is a person out there that would be able to justify any list. There’s a probate guy, an out of state owner guy, or a mortgage free guy. I say chose whichever your the most knowledgeable about... and take off. Just my two cents.