Struggling finding a property - Good investments on MLS vs. off market

[Doug Davis]

I am not doing very well so far in my search for a good investment property.

I have been looking for the past couple months for anything on the MLS that would be a decent investment. At most I'm seeing about 2% 5 year rate of return when I put the numbers in the calculator. I've heard it's hard to find a good deal with the rates now. But, I'm also wondering if there's something I'm missing. Two real estate agents I've talked to in two different cities are not finding very profitable deals.

What are ways you use to compare markets and find the best one for you?

Also, what are some good ways to learn how to buy an off market property and/or buy subto? I've heard that some mortgage types aren't eligible for subto, such as VA loans. I'm wondering if I should find someone that is local and see if I can follow what they are doing.

Or maybe I should just try some other way to make money with real estate?

Any advice?

[Stuart Udis]

@Doug Davis I believe its helpful to understand the criteria you rely upon. I've gone out of my way to understand how most investors on BP approach their puchasing criteria and in most cases it's completely flawed. By way of example, cash flow is largely relied upon which leads most to invest in zero barrer of entry neighborhoods but the appoach is narrow minded and fails to account for the qualities that are more indicative of a properties performance over time and where the true gains are realized. I beleive @Russell Brazil raised something that went overlooked by follow up forum posts but more investors should take note of what he shared which is to focus on quality assets in quality locations. Assets with barriers of entry is what you should be chasing and most fail to realize that. There is more nuance to this and not necessarily visible on a spreadsheet but those who are most succesful in real estate can identify these opporutnties.