The definitive advice on how to find deals in a challenging market
For a while now, the real estate industry has been a challenging market. Not only the pandemic changed routines and manners, but also the demand has been higher than the offer. As a result, in the first quarter of 2021, virtually every metro area tracked by the National Association of Realtors (NAR) saw a rise in home prices. And the long-term picture doesn’t look that well either: the U.S. housing market is 3.8 million homes short. Therefore, you might be experiencing a hard time finding deals.
For that reason, Candy Durham – an expert real estate investor currently in the business of Airbnb renting in South Florida – hosted Real Estate IQ’s webinar “Finding deals in a challenging market: There are deals out there!”. There, she shared with attendees the one thing that can’t be missed to succeed in this business. And luckily for you, we’re about to tell you exactly what that is!
The key to success, according to Durham, is consistency. Keep working every day, trying not to deviate from your goals. However, it’s essential to do it smartly. “In our busy lifestyle, we have many aspects to take care of. So while it all comes down to consistency, we need systems for each stage of the process,” explained the speaker.
It’s all about consistency. If you don’t have leads, you don’t have anybody to contact. If you don’t have anybody to contact, you can’t make any offers. And if you can’t make any offers, you don’t get any deals.Candy Durham, Real Estate investor
Systems are helpful with organizing activities, optimizing time, and focusing on what’s truly important. Let’s use lead generation as an example. As Durham pointed out, you can find new leads by driving for dollars or subscribing to a listing. However, one of these methods is more consistent than the other. Driving for dollars is time-consuming, and you rely on luck to get deals. Meanwhile, listings arrive at your inbox on a daily basis.
In a challenging market, it’s hard to find opportunities. And “it’s even more challenging now to find deals on the MLS listings, so we need to be a little more creative. For instance, I turned into short-term rentals; and most of my deals have been off market. Using a lead generation service is one of the best ways to find leads because you have them in your email when you wake up in the morning,” observed the real estate investor.
Ultimately, the question is always time vs. money. Both resources are limited, so it’s crucial to choose wisely. For Durham, “whenever you have something coming to you daily, that’s where your traction is going to be.” Taking advantage of services like Real Estate IQ’s Off Market Leads helps you have consistency (because you receive information every day, at the same time) and optimize your time – since you don’t have to be driving around wishing for an opportunity to appear.
“If you don’t have a system in place, you will go slow. You’ll find good deals by accident because you don’t have another plan other than driving around. And we need to find deals a lot faster than once in a few months. That’s why off market listings are useful. We receive leads consistently, and they let us automate an important part of the process,” encouraged the speaker.
To find out where you’re standing, Durham recommended a little introspection. “Ask yourself where is your focus, and whether it’s spinning or moving forward. If you’re not finding the deals you want, where are you looking? Do you have a system in place?” The answers might help you spot weaknesses, so you can start working on them. But don’t let them discourage you! It’s essential to have a positive mindset.
With a good attitude and a system in place, complications lessen. As a result, you’ll be more creative and more productive. Of course, the work will be complex anyway, but you’ll have a plan to tackle it. And that includes specialization. “When working with off market leads, it’s important to select a couple of them and become an expert in dealing with people in those situations,” advised Durham.
“Focus on the three main steps of a deal: finding it, contacting the owners, and make offers. The rest will come through. Beautiful homes are waiting to be found, even in this challenging market. All you need is consistency. Pick the most important things to do and do them consistently. We’re going to change the old real estate idea of ‘location, location, location’ to ‘consistency, consistency, consistency’,” she concluded.
Disclaimer: The blog articles are intended for educational and informational purposes only. Nothing in the content is designed to be legal or financial advice.