Covington, GA · Member since 2014 · 295 posts · 93 votes
10y
I would say it depends on the List Price. But why stop at 10%...why not 30%+? You goal is to analyze the numbers and make offers based on what your investment strategy is to the point were it's beneficial for you and/or your end buyer. If it ends up being what the seller considers low, you'll have the numbers and market analysis to back up you reasoning.
Contractor · Fort Worth, TX · Member since 2015 · 379 posts · 740 votes
10y
You want to put in offers below list in Frisco? Possibly the hottest market in the entire U.S.? Why waste your time? You won't get an offer accepted, and if you keep doing it, you'll end up burning out a real estate agent who works with you.
You're absolutely not going to find a deal in that area on MLS in Frisco/McKinney/Plano. The market is crazy hot right now, and it isn't likely to slow down as long as job growth stays strong here - people will keep moving here for jobs. Hell, the market is crazy right now, and Toyota hasn't even started moving its headquarters to Plano yet!
If you want to buy off MLS, you'll need to pay market rates and just hold long-term for appreciation.
If you want something where you can buy it at an advantageous price, you're going to need to:
Find a good wholesaler (not one of the two "NW" companies - in your area, try stevenbuyshomes .com - he's very good), or
Learn to buy properties at the monthly trustee auction (check out Roddy Foreclosure Listings and their online webinars and monthly educational seminars) or
Look into other areas. Either buy rentals in upcoming areas and hold them till gentrification hits, or spread out further - up into Denton, east into Murphy/Sachse/Terrell, south down into Ellis County.