If you are looking into investing in real estate, you are likely trying to get the best deals in the least amount of time and effort. While there are guidelines to make a smart buying decision, “many shots on goal” is a key component to consistently making good buys.
The more opportunities you have, the more likely you will find a great bargain. Professional wholesale real estate buyers make 3 or more offers per day, 5 days a week, and hope to make 3 good buys a month. How many offers per day are you making? Whatever the number, it will be directly proportional to the number of great buys you make each month.
How to Make Your Offers More Effective
Although quantity is king, there are a number of things to keep in mind to make your offers more effective:
- Asking price: should be reasonable and ideally below other comparable properties in the market. By the way, if you feel too confident of the amount you offered, you probably offered too much. Make sure your offer is “just enough” to be considered.
- Repairs: Estimating repair costs is necessary before submitting an offer. This will also come in handy if you need to apply for private money or conventional financing.
- Sellers: Having a motivated seller that is willing to work with you (if you need to ask for an extension to close the property, for example) is a valuable advantage.
- Liens: Take the time to search for any liens the property may have. You can find this in public records or directly with the seller. Any liens found can be a game changer for your financing options and your profit margin.
At the end of the day, the only bad offer is the one that is never made. “Many shots on goal” is the key component to sustainable success in real estate investing. You will be surprised how many goals you can score.