@Kirill BensonoffMulti Listing Service looking for distress properties.local investment groups.AuctionsClassifieds like for sale by owner.Meet wholesalers.

I want to get into REI and I hear door knocking on distressed homes and such is a great way to pick up off market deals.As I drive around looking for jobsites I constantly see homes in need of work.

Then you refinance it to pull your money out to do it again somewhere else.If you've never managed rehab before, you can just find a place that only needs a modest amount of updating the first time.Odd thing about it, the more distressed the property, the deeper the discount, which actually mitigates your risk of not getting positive cash flow later once you fix it up.But, like I said, if people are being conservative, you just have to do the analysis and show them.The other option is to find an agent that buys into your goals.

What should I say to distressed property owners on initial contact ?

Taking the funds from other properties like cash flow or cash out refi and then using that to invest in the next property.You can do BRRRR through buying distressed properties with financing or with cash.

Is it the ability to find distressed properties?

@Bhuja Parikh Unless you work with a wholesaler to find you a property in some sort of a distress and be able to acquire it at a substantial discount, you'll have a hard time finding anything close to a decent property (maybe in a C or D area?) 

@Ryan Blake Thank you Ryan, I was thinking if the number is right then i could use hard money to buy a distress and close quicker than using FHA.

I think this is super simple as a licensed agent.. your not a wholesaler.. your an agent working in distressed asset field. 

Even if it were a distressed sale, it depends on the circumstances and the condition of the property.