Is there any hope to win a bid war with a conventional loan in SD

[Michael Ndjondo makadi]

I have been trying to buy my first property which ideally will be either a triplex or fourplex that has some potential and eventually requires some work here in San Diego. Since January, I found 3 nice deals but every time I would get beat by someone with cash. My last bid failure happened yesterday for a triplex in North Park priced initially @ 725K, the price got escalated quickly. Even though I did not bail out, there was yet again a cash offer that was accepted over my 20% conventional offer. I start wondering if it's even possible to close a deal here in San Diego with conventional loan on fixer upper MF? Should I consider using a private lender just to close a deal then refinance right away? Is it even possible to qualify to a private lender with a short term loan?  I was hoping with this current crisis maybe the market will turn into a buyer market, so far it is not the case here in SD. Should I wait a little longer since housing market tends to lag the economy trend.

[Maxwell Ventura]

@Michael Ndjondo makadi

Its tough. Especially w/ inventory as low as it is. I’m starting to see a trend over the past 2 weeks however. Slight bump in new listing. Hopefully that will continue as we just entered phase two yesterday.

We never got the Spring surge of new listings this year like we typically do. I believe there is a portion of owners that have been holding off on coming to marker and are waiting to do so. Starting to see that trend now.

Either way you’ll be competing against cash investors out here as they’re great margins for fix/flip throughout most of the county.