One of the best ways to maximize your Texas Fix and Flip Loans is to select cheap homes. If you want to pay rock-bottom prices, learn how to pick up properties before they hit the market.
1. Neighborhood farming. Real estate agents who switch to rehabbing are probably already familiar with neighborhood farming. This is the technique used when an agent seeds a neighborhood over a period of time in order to become the authority for its residents. If you’re going this route, spend time researching which neighborhoods are best and suit your personal preferences. Then, craft a long-term strategy which involves repeat contact with the residents.
2. Advertising. We’ve all seen those “I buy ugly houses” signs. They’re arguably a bit overdone, so you may want to find your own wording or test different phrasing to see what works for you. This is one method cheap advertising that can get you leads, but there are others, from print ads to mailers. You can also work in the digital marketing realm, offering to be a guest poster or guest on a podcast for a related company, such as a moving or loan company.
3. Networking groups. Many rehabbers who leverage Texas Fix and Flip Loans utilize various networking sites or social groups. While it may seem odd that referrals occur in this realm, they happen all the time because rehabbers have distinct preferences. One may like working on million-dollar properties, while another may lean toward small inner-city dwellings. One might like working on historic homes, while another prefers hoarder homes or those with fire/ flood damage. The more you connect with other rehabbers, lenders, real estate agents, brokers, appraisers, and others in the industry, the more referrals you get. Just remember to reciprocate! Drop a note to someone when you think a project is something they’ll want to sink their teeth into.
If You Can Go Off-Market or Pre-Market, You Can Save Some Serious Cash
Sellers don’t always want their homes to be listed. These properties are often referred to as “off-market,” “pre-market,” or “pocket listings.” There are many reasons why people go this route. Perhaps the person is trying to sell on his or her own to avoid losing a chunk to a real estate agent. Sometimes, the seller simply doesn’t like the idea of having all sorts of tours and open houses at inconvenient times, which is quite common with people who have families or pets. Others may be simply dipping their toes in the water to see what their home will sell for. In any case, this is a great place to apply your Texas Fix and Flip Loans because competition is minimized and will typically let you pick up a home for much less than one that’s traditionally listed.
You should brace yourself for the pitfalls of pocket listings too.
Even though you can score a real deal with pocket listings, which will make your go Texas Fix and Flip Loans further, you could face unique challenges. For example, the seller is not typically receiving any expert advice, which means he or she could have unrealistic expectations about the value of the property or what the process entails. However, if you bring your leadership and management skills to the table, you and the seller can still have a great experience even under the most challenging circumstances.
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis Dahlberg Broker/RI/CEO
NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave | Austin | Texas | 78701
About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.