Where the *$&% are the deals????

Where the *$&% are the deals????

Ok - my frustration has reached an all-time high. I have not posted for a while, but while I've been gone I have been working real estate EVERY DAY. I actually have money for a down payment as well as pre-approved financing and cant find a deal! I read posts here how everyone is finding great deals left and right and I'm going out of my mind. The 'deals' here in my area are still in high 200's-300's for crap that need a ton of rehab. The homes under 100k are in an area nearby where the whole town is being foreclosed on and is completely undesirable. I spent three days last weekend 2 hours from home in Pa. There I found a ton of empty, bank owned homes - some winterized, some with busted pipes and big trouble. While there was some really nice ones for good money -the catch is that there is no demand to turn them over with either buyers or renters. A good deal is only good if you can do something with it! I dont know where to turn now to keep my dreams on track. I write letters everyday to people in pre-foreclosure, post on Craigs list, and drive hours and miles seeking FSBOs, as well as having a great realtor with her eyes and ears open. My first flip was so perfect I really thought I had found my calling. I can still envision it and want it so bad, but what else can I do???
Sorry for a bummer post on this wonderful, positive site but I'm just at my wits end.

My .02

These are just my observations and opinions based on my markets. Other people may feel different.

1) There is a lot of junk out there. I can put any price on my house I want. It just may not sell at that price. Just because some loser realtor says that 250K is the steal of the century for this house, doesn't mean it is.

2) There are a lot of sellers who might be motivated/might want to be motivated but it doesn't matter. If there is NO equity in the property and/or the financing is junk (Option ARM, high interest etc), there is little you can do with the property. These are NOT subject-to deals. There are either short sales or soon to be REOs.

3) I think you need to be prepared to make a lot of low priced offers to "entities" who either have equity or can create equity. This would mostly be banks or owners who are willing to short sale (if you have the patience to deal with these).

4) I would get a BUNCH of these going because your "fill rate" is probably going to be pretty poor.

5) " A good deal is only good if you can do something with it! " If you buy it cheap enough, you CAN do something with it. When in doubt, err on the side of LOWER.

6) I would stay away from ghost towns unless your time horizon is VERY long. My realtor has been sending me houses like this and I just dont want to get involved with them. The asking prices are attractive but not attractive enough.

Im sure others will have some good ideas as well.




Mark is 100% on target. You may want to start looking elsewhere. I locked up 3 deals last week that are totally sweet. (sorry I hope it doesn't sound like I am rubbing it in).

I buy in towns with good economies and a high rental demand and I highly recommend you do the same.


You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!

Mark & CBR

Thanks for the replies, and I of course agree with you both.
I have studied all the teachings carefully and consider myself a smart investor, but therein lies my frustration.
I know what to look for, in what price range, in order to make it work here in my target areas, but the deals just dont exist. (There are a few short sales and REOs I have worked on in the past and am working on now - but they are like pulling teeth and I'm not holding my breath or counting on them to bring me success)
CBR - can you tell me how you locate towns out of your personal area of experience with good economies? What search criteria do you use to identify them?
(Perhaps there is room enough in your town for the both of us Smiling)

A couple more thoughts

You mention properties that need a lot of rehab and properties that are big trouble. And it sounds like you these are properties to avoid. In fact, these are exactly the properties you are looking for.

At the end of the day, you are a problem solver. If the property is super desirable and in pristine condition then why are they going to sell it to you for 50% of FMV? Divorce, probate, job loss maybe. But the reality is that they would probably list it with an agent.

You WANT the problem proprties that you can fix. That is where your value added (and money) comes in.

Hey Mark

I appreciate your encouragement. You are right on all points, and trust me - I am not afraid of handyman specials. My first flip was a total gut, and I loved it! My fiance and I did all the work ourselves (except sheetrock) - so I am always scouting for that ugly house in the good neighborhood! As a matter of fact, I found 2 today within price range - waiting to get in this afternoon and see what insides are like....here's hoping. I am grateful to you and CBR for responding to my post - it has sparked new life and hope in my belief in myself and my dream again.....I must remember not to stay away from my DG family for so long! Smiling


DG Family is a definite pick-me-upper! It may actually be bad for your health to stay away too long. lol

I'm glad you're shaking off the frustration. I think maybe we girls go through more stuff emotionally than the guys, but that makes it all the more sweet when we reach the high points. I hope you find your next beautiful "ugly" house today. Smiling But if not, know that it will be SOON!! (You know it's not a matter of "if" because you won't accept that option. lol)

to your success,


P.S. I look forward to meeting you in Phoenix!!


"Obstacles can slow you down, but they can only stop you with your permission." Dean Graziosi (BARM pg 101)

"For I know the plans I have for you," declares the Lord, "plans to prosper you and not to harm you, plans to give you hope and a future." Jeremiah 29:11

For a little about me, welcome to the site, and a few tips for new DG family members, click on this link: http://www.deangraziosi.com/user/3249

Thanks Rina

You're always a positive boost! I also cant wait to meet everyone in April!


Mark is right on! Believe me I would love to find a house for 70% of fmv that needs no work! But the reality of it is they are slim to none. On the other hand I really don't want a house that needs major rehabbing either. So find that happy medium....but at the end of the day, sweat equity WILL make you money.

good luck


Don't Wish the Past, Create the Future! - DH

Fingers Crossed Here

I'm almost afraid to jinx myself by posting - but here goes:
Got a verbal agreement and just faxed over contract on a lot I found with a crumbling down house on it. 100x100 lot at end of dead end street with nothing behind but nature - protected wetlands.Here's how the numbers will go......
Cost of lot - 120,000.00
Cost of demo/clear - 5,000.00
Cost of new house (3BR/2BA with my contractor - 150,000.00 (3 months to build & includes permits, architect, etc)
Buffer for misc other costs/hold-10,000.00
Total invested: 285,000.00
Current market value for neighborhood in this down market is 385,000.00, and thats NOT new construction! It is 2 blocks from the ferry to NYC - commuters dream!
I am so scared a big developer is gonna steal it - if I lock this up it will definitely be the GREAT deal I've been searching for!


fingers crossed here for you too! Smiling

Only 3 months to build a house! Really?


Just make sure you have your contractor nailed down. They have a tendency to overrun on both time and cost.

Angela & Mark

Thanks for your good wishes and advice! I am very lucky because my contractor is my fiance's brother. He has been in the business over 20 years - in the same town where the lot is. He has a good working relationship with inspectors and the powers that be, and I feel confident he will do the best deals he can for me. And everyone is hungry for work right now too. My realtor and I pulled the land up on satellite - and there is nothing between it and the ocean but protected wetlands. She said if I built a 2 story home that had water views I would pull a price in the 500's without question. I think I'm going to go climb a tree tomorrow and see what I can see haha!

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