The Ultimate Guide to Off-Market Real Estate Deals: Why They’re Key to Your Investing

[Jeremy Beland]

If you've ever been frustrated by the bidding wars and overpaying for properties listed on the MLS, you're not alone. I've been there. But let me tell you, there's a better way. Off-market properties have been the secret to my success in real estate investing. I've done over 450 off-market deals since 2017, and I'm here to show you why these types of deals are the key to your success too.

In this post, I’ll explain what off-market properties are, why they’re more profitable, and how you can start finding these deals to grow your real estate portfolio. Whether you're just starting out or have some experience, you’ll learn strategies that can help you find off-market properties and avoid some of the common pitfalls that hold many investors back.

💡 Why Real Estate Is the Best Path to Wealth

Real estate is a proven way to build long-term wealth. Unlike other investments, it provides passive income, tax advantages, and the potential for appreciation. But the real secret to making money in real estate is finding the right properties at the right price—and that's where off-market deals come in.

Off-market properties typically cost less than those listed on the MLS because sellers are often motivated by reasons other than price, like financial distress or personal circumstances. This gives you the opportunity to negotiate better deals with less competition.

🏡 3 Proven Strategies to Invest in Real Estate (Even If You’re Broke!)
✅ The BRRRR Method – How to Recycle Your Money

The BRRRR method (Buy, Rehab, Rent, Refinance, Repeat) is a powerful strategy that lets you use the same money for multiple investments. Off-market deals are perfect for this because you can buy distressed properties at a discount, rehab them, rent them out, and refinance to pull your money back out for your next project.

✅ Seller Financing – Skip the Banks & Get Creative!

With seller financing, the seller acts as the lender, letting you avoid traditional bank financing. This is especially useful for off-market deals, where the seller may be more open to creative solutions if they need to sell quickly but don’t want the hassle of a bank process.

✅ House Hacking – How to Live for Free While Building Wealth

House hacking is where you buy a property with multiple units, live in one, and rent out the others to cover your mortgage or generate additional income. Off-market deals are ideal for this strategy because you can secure properties below market value and maximize your rental income potential.

📈 Biggest Mistakes First-Time Investors Make (And How to Avoid Them!)

Even experienced investors can make costly mistakes if they aren’t careful. Here are a few common pitfalls to avoid:

1. Overpaying for a Property – It’s easy to get carried away in a bidding war or buy a property without doing the proper math. Off-market deals help you avoid this by giving you the opportunity to negotiate directly with the seller and secure a better price.
2. Underestimating Repair Costs – Make sure you account for all repairs and renovations when purchasing a property. Off-market deals often require more work, but they offer greater potential profit if you know how to properly assess repair costs.
3. Ignoring the Numbers – Always crunch the numbers before moving forward with a deal. If you're not calculating cash flow, cap rates, and ROI, you're flying blind. Off-market deals offer better margins, but you still need to ensure the numbers work in your favor.

📊 How to Find the Best Real Estate Deals (My Expert Tips!)

You might be wondering, "How do I find these off-market deals?" The good news is that it’s easier than you think, but it takes effort. Here's how I’ve successfully found off-market properties:

• Direct Mail: You can pull lists of absentee owners, tax delinquencies, probate properties, and more, and send them direct mail offering a cash sale.
• Driving for Dollars: This means driving through neighborhoods looking for distressed properties and either leaving a note on the door or contacting the owner.
• Cold Calling: Use public records or services like Prop Stream to pull lists, then contact owners directly by phone to see if they’re interested in selling.
• Networking with Agents: Many real estate agents work with investors and have access to off-market deals (pocket listings). Build relationships with agents who specialize in investment properties.

🚀 Conclusion: 

Off-market properties are the game changer for real estate investing. With less competition, better prices, and more flexibility, they give you the edge over traditional MLS deals. Whether you're using the BRRRR method, seller financing, or house hacking, off-market deals allow you to maximize profits and build long-term wealth.