Where are all the deals???

[Matthew John]

Just trying to get a feel for how everyone else feels right now. I'm in Metro Detroit area scouting for my first BRRRR or multi family house hack. I've kept my options open, just focusing on the numbers. Currently I'm looking on MLS and Zillow & cannot find anything that makes sense. Using the 70% rule as a general rule of thumb, then subtracting repair costs from that there is nothing even close that fits this criteria. I've found a handful of deals, but the expenses would add up so high that it turns into a bad deal. The only one I've gotten close to in the last 2 months was an Auction where I lost the bid at 134k where the ARV would have been 210k. Is it safe to say most people get deals off market? Is this just the current market we're in that sucks for investors? With interest rates getting a bump up, everyone in my area is jumping on these houses days after they hit the market. 95% of houses are ABOVE market value & the ones that aren't, are only 10-15% below market value which doesn't work with the BRRRR. Is this the reality of BRRRR? People make it sound so damn easy, but I can't find any deals. Looking for some feedback! Thanks guys

[Corby Goade]

There are always deals to be had, but it's much tougher to find them in a hot market. When things are going gangbusters like they are now in much of the country, money is plentiful and deals are hard to find. When the market is in decline, deals are plentiful and money is hard to find. It's all relative and you have to be patient and adjust your expectations. My bit of unsolicited advice would be to NOT adjust your buying criteria based on the market- it's better to adjust your timeline and wait for the right deal. When the market is hot and new investors adjust their criteria just to get in to the game, they either end up stuck at one property because they don't have the equity to move in to another deal, or they end up bankrupt because they don't have the cashflow to hold the property long term, especially through a down turn. Be patient and keep pushing, you'll find something eventually!