Like most single-family rental property investors in El Segundo, you’re keeping your eyes peeled for great real estate deals. Even though there are a lot of different ways to come across that good bargain property, some of the most successful strategies take a more creative approach. No matter what it is you’re looking for in a rental house, dodge the competition by using these four creative ways to find that next El Segundo real estate deal.
1. Contact Absentee Owners Directly
In a competitive real estate market, good deals on a property may be tough to come by, especially when the deal has been listed on multiple listing services. With the current situation, there are a huge number of people searching for affordable housing. Hence, you’ll be competing with other investors, and individual homebuyers, too.
In an environment as competitive as this, it would only be right to consider a different approach. One creative tactic used by many successful rental property investors is to contact absentee property owners directly and ask them to sell to you. Absentee owners are property owners who don’t live in their property. So, it’s either the house is being used as a rental or it’s vacant. The key is to ask. And if you’re thinking about how difficult it must be to track down those absentee owners, don’t — it’s really not. You could drive around looking for houses that look vacant, call ads for rental properties listed by mom-and-pop landlords, or check through public records. What happens when you’ve stumbled upon potential property? Bring your offer to the owner and negotiations might take place.
2. Try Bank-Owned Properties
Foreclosed properties can usually turn out to be a source for great real estate deals. For the most part, foreclosures happen because the bank has repossessed the home due to the nonpayment of the mortgage. What ends up happening is the bank will oftentimes sell the property to recuperate some of their money. They have no interest in holding a foreclosed property. That can mean major savings for a savvy real estate investor.
There are, however, a few things you should know before you purchase a foreclosure. The foreclosure process can be long and complex, and bidding and buying a foreclosure is different in many ways from buying a property from a private seller. Make sure you have a good grasp of the process before you make the purchase. Also, foreclosures are notorious for being in disrepair, so you’ll need to be prepared to make improvements on a foreclosed property.
3. Watch for New Listings and Very Old Listings
In real estate, sometimes, a motivated seller will accept the first offer they get. Because of this, it would do you well to do whatever it takes to be the first in line. Make it a point that you are already pre-approved for financing. You can then work with your real estate agent to set up alerts when new properties are listed so that you can be one of the first to make an offer.
Another option might be to search for listed properties that have been on the market for a long time. A lot of times, these properties end up being shelved because they’ve been on the listing for so long that their owners are becoming desperate for offers.If you can manage it, and if the property fits your profile for a good rental house, you just might negotiate your way to a great deal.
4. Wait for the Right Deal
In the process of acquiring your next investment property, you should be looking at a lot of real estate deals. For a professional investor, finding great deals in El Segundo is usually about playing the numbers. You are going to sift through a couple of potential properties before you can narrow them down to the ones that show enough promise for a deeper analysis. Out of all of those, you will most likely only be able to make less than ten offers, with only one or two being accepted. Still, if that one “yes” is a great bargain, it’s definitely worth the effort.
Follow these creative approaches to find a real estate deal, and then build your wealth at a faster pace by securing instant equity in each new property you acquire. Hence, you’re protected from future downturns while ensuring a solid financial future. Once you have your property, Real Property Management California Coast would be happy to help you manage it. Contact us online today to learn how we can help you save time and money.
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