Look for people who have specific catalysts and are pulling their hair out, preferably in big clumps.Don't show up with hair spray and brushes.

If we really want to get technical about it would you buy it if they were selling a $100,000 house for $5.That may be splitting hairs but is it any different than when they want $100,000 and it's only worth $100,000. 

I think California foreclosure is on a 21day notice, so you may wait to do pre-foreclosures until you build a pretty decent buyers list, otherwise you may be pulling your hair out trying to find buyers at the last possible moment as they always call the the second before it's too late. 

Worst case the "investors" take a hair cut when they sell.

As I was getting my hair cut (and dyed) yesterday, two hairdressers asked me for advice regarding buying rentals and personal homes.

http://www.biggerpockets.com/renewsblog/2011/08/08/is-your-significant-other-on-board-with-your-hair-brained-house-flipping-scheme/This is the link to @Danny Johnson's article.

The other thing I would do is make sure you tell everyone you know or encounter that you're looking to buy, (family, friends, hair salon, nail salon, literally anyone you can engage in small talk).

I believe what is really bringing down prices is the "silver hairs" or older folks.They have already made their money, and most of them own their homes.

WOW that was a negative affirmation.

If we don't believe it who will..However it also made me think about affirmations...