How to find distressed properties to rehab

[Enrique Alamo]

Me and my partner have struggled finding our first property to rehab here in the Miami/Broward area in South Florida.

1. We started looking for REOs in the MLS but found prices kind of high and a lot of competition from other investors making it a bid war and most of the time rising the price above listing price which at the end did not make any sense to invest on it.

2. Then we started offering higher prices with the expectation to reduce it based on the inspection, however this was unsuccessful since sellers were firm and with little room to negotiate.

3. We have thought about going online for auctions but we are not very familiar with this field and do not know how to do the right due diligence prior to offering to an action property. Based on the risk we have heard buying auction properties we have stayed away until we are more knowledgeable in this area.

4. We have also been trying to find wholesalers in our are but so far we have not been lucky. We haven't found a good way to build our network if wholesalers.

We were just wondering what strategies are most effective in finding distressed proprieties to rehab based on your experience. How do you guys find most of your properties and what strategy has proven to work in the South Florida area if you know.

Thanks!