Professional investors do this by sending thousands of mailers to distressed property owners, or building local "We Buy Houses for Cash" websites that rank well locally in search results. 

So far I have sent out 85 letters to absentee homeowners and distressed properties.

I don't think I will find a distressed seller in this neighborhood.

I'm currently working with a realtor to purchase a property that is completely distressed and will need significant rennovations inside (almost an entire gut; but not quite).

maybe it legal reasons, but they don’t seem to be holding their portfolios is separate entities.I realize my example is of distressed properties..

The short answer is distress, but specifically it was what I call the trifecta:1.  

Just sent the first 17 letters to the owners of distressed properties on my long list.

Once you find the area/neighborhoods that are in demand I would focus my search for distressed properties there.

With over $150 billion idling in real estate private equity funds, there's ample liquidity to acquire distressed assets and loans.

i've seen a few 2 families on the MLS In my price range. out bidded on one and the rest were too far gone for the price the sell was asking. but I'm working towards finding off market properties, auctions, whole sellers etc.... if I can find a distressed property thats priced correctly I will try my best to grab the opportunity.