Newbie property delas keep failing

[Aharon Najafi]

Hi all! Newbie here, I'm Aharon.

I'm based in WA and looking for properties in Atlanta, GA. I haven't acquired any properties yet but I have been more interested in properties that already have tenants. I have been in and out of deals for the last 4 months but nothing seems to stick. Either the seller isn't interested in my "walkaway" number or I go binding and find there is a laundry list of items that I'm not interested in. For me if it's anything more than cosmetic such as fixtures, paint, patching, or roof then I'm out. The other hard thing is that due to these restrictions it has been hard to find properties that will cashflow.

I'm sure your first question will be "Why are you trying to do this from so far away?", well, because I grew up in Atlanta so I'm familiar with the area and I have a fulltime job to maintain in WA.

Does anyone have any suggestions about how to land these deals and still keep cashflow?

[Brenden Mitchum]

Hey @Aharon Najafi, welcome to the BP community!

There's nothing at all wrong with investing OOS as long as you focus first on building the systems and the team before you dive in. Atlanta is a terrific market and that's why competition is so fierce here. 

Don't worry, you're not alone! Your issue is one that many new and not so new investors are having here in Atlanta. There has been such an influx of homebuyers and institutional investors that it is nearly impossible to compete and also find something that cash flows. This is especially true if you're going the traditional buy&hold, flip or BRRRR route. Unless you're going direct to seller for these strategies, you're likely continue to beat your head against the wall. Even if you do start some direct marketing, many sellers know that the market is hot and prefer to sell on-market for highest premiums.

So, what's the answer then? You could just give up and sit on the sidelines like many investors, waiting for things to "cool off." You could adjust your criteria to settle for something with lower cash flow but count on likely appreciation (unless things "cool off"). Or, you could get creative - stop looking where everyone else is...

The choice is yours but if you do decide to get creative and want some help with that, feel free to reach out anytime! Always happy to chat about creative investing solutions here in Hotlanta!