Houses being sold below market value are out there, its just a matter of knowing where to look and the buying strategies you use.Browse here Buy Houses Dallas.
So where can I find houses being sold for a discount?
Find motivated sellers. Some examples of these sellers are people who have experienced death, divorce, bankruptcy, the less intelligent, people who have deadlines, and are developers.
When bankrupt an individual will have the option of selling their house to a third party, most likely at a cheaper price than market value because they need the money fast. If an Individual is bankrupt and the bank is the creditor, the bank will take the asset (the house) and have a foreclosure sale. You will often find a cheap price there as well.
Although this may seem like profiting of someone else’s misery, its not really. If the house is not included in the persons will, it must be sold, someone has to buy it. If the deeds to the property are transferred to someone else there is often a good chance they will not want to hold onto it and want to sell it quickly.
When couple breaks up things often get nasty and they both want to be separated as soon as possible. They will often settle on selling their house for a lower price but quickly.
Sometimes people are selling properties with out the help of a real estate agent and will not know the exact value of their house. They will usually price their houses too high because of emotional attachment to it. On the flip side they might be ignorant of the real market value and sell it for less than its worth.
Often the best place to find deals. People with deadlines need to sell their property quickly. They may be going overseas or need the money fast. Almost all people with deadlines will sell their houses at a discount.
In some circumstances property developers may have over extended themselves on a project and need to cut their loses. You can pick up discount houses from their mistakes.
Always ask why the house is being sold so you can determine whether the seller is motivated or not.
Great places to look are under the classified section in the newspaper, look for things like “Urgent” or “Heavily reduced”. What I love about ads under the classified section is that real estate agents are not often involved. This is good because real estate agents will often try to push up the price of a property so it is above market value. People without real estate agents often do not know the true market value of their property.
Just because there isn’t a “For Sale” sign on a house does not mean the home owner would not sell for the right offer. Although chances of finding someone to sell there house through this method aren’t very high, you can find great deals by making offers that a home owner might just take.
If you’ve been to auctions or looked at properties which have not sold in a while and are being no longer advertised, follow up on them. After so much hassle of advertising the house and no sale, the vender may be tempted to sell at a discount.