How Creative Deals Can Save the Day in Any Market

[David Martoyan]

Hey everyone,

In today’s market, it feels like making deals pencil out is tougher than ever. Rising interest rates, slim margins, and unexpected costs can kill a deal fast. But the one thing that you can control is your creativity and how far are you willing to go with risk . 

I’m curious, what’s the most creative or unconventional strategy you've used to structure a BRRRR or Fix-and-Flip deal?

Examples could include:

• Partnering with other investors to share risk.
• Using seller financing or lease options.
• Leveraging creative rehab techniques to save on costs.
• Negotiating with contractors in a unique way to reduce expenses.
• I’d love to hear any stories, tips, or approaches that helped you pull off a deal others might have instantly passed on. I am really inspired by people who a take something that 95% of other investors would pass on and make it work exclusively for them through sheer will and creativity even with bad market conditions. 

[Peter Mckernan]

You need to be thinking outside the box on a deal-by-deal basis. Be an area expert on contracts, zoning, value add components, contractors, and so much more. 
Bought a place a few months ago on market while doing a 1031 exchange.. The property was on the market and went into escrow 2 other times. We got it for $105K off the appraised price, and 45K off the list price with 12K back at closing. 

This place has two SFRs on a lot, needed both to be fully remodeled with AC placed, windows and a lot of other stuff. The property will be cash flowing as soon as the remodel is over and has space for one large extra unit on the lot or two small units on the lot. These are deals that people can find on and off market, they just need to be creative on what they can do to the property to make the deal a deal 

[David Martoyan]

@Peter Mckernan Love the way you did that deal and agree that those deals exist both on market and off market you just have to be able to look for them in an effective way and add creativity.