My goal for today’s real estate investing training article is to begin to open your eyes to the beauty (and profits) that vacant houses have to offer. By following the tips and advice that I’m about to lay out for you – you’ll be able to turn abandoned property (which are everywhere around you) into BIG paychecks–easily and quickly: without funding, repairs, headaches or hassles.
I know what you’re thinking, – ‘Yeah right Cam, that’s impossible!’ Well, it is possible, and I’m going to show you how. I’ve been doing this for years (too many to count at this point) and I’m speaking from all those years of experience
If you follow my lead and flip just one abandoned property a month, there is a very real chance that you’ll easily cover your income needs. Two deals a month? You can start living a very comfortable life. How about 5 or 10 deals a month? Well, you’ll be rich (and that’s the beauty of real estate!)……..
It’s up to YOU to figure out how many deals that you want based on your needs.
Maybe you like your job and investing is a hobby, so one deal a month is suitable for supplementing your income. Maybe your goal is to quit your J.O.B., or maybe you want to become wildly wealthy through Real Estate.
Whatever your overall goal might be, any and all of those goals can be met by focusing on abandoned property or vacant house deals if you choose.
I am really excited to share this information with you, so you too, can see the power and effect vacant houses can have on your life. We’ll first focus on some basic fundamentals, before going step-by-step into my vacant house flipping process.
First things first…
Why Focusing on Abandoned Property is a MUST!
Some of the best deals come from vacant houses without ‘For Sale’ signs.
And as I mentioned, these can be some of the most profitable deals that you ever do as an investor. The reason for that is because of the lack of competition. You see, most of your competition will see vacant houses and run for the hills.
This is because they don’t know how to find the owners (but we do), which enables you to do more vacant house deals and ultimately bring in more paychecks.
Let’s take a quick peek at some of the types of available properties to better explain my point:
Of course, as you know, there’s tons of active inventory on the huge MLS database, where Realtors list properties. And Since the MLS is available to every licensed real estate agent – that means it’s also available to every client they have as well. What’s more – there’s very heavy marketing for MLS properties.
And where there’s loads of inventory and marketing, there’s loads of competition. (See where I’m going with this?)
Then there are For Sale By Owner properties: FSBO.
Depending on how well the homeowner is marketing their house, those properties are typically not as available to everyone because of the lack of advertising. So there is a smaller audience with FSBOs, but still enough of an audience to generate significant competition.
After all, there is a big ‘ole FSBO sign in the front yard! And word of mouth, too.
Here we are… we’ve come to our pot of gold – Vacant houses or abandoned property without a for sale sign. And let’s face it, hardly anyone knows about these because there’s typically no marketing for them.
So… some inventory with very little (if any) marketing – means there’s significantly less competition.
And this is exactly where your opportunity lies with vacant houses. See, the competition is checking out the entire inventory on the MLS and FSBOs – and here you are, all by your lonesome scooping up the vacant houses.
Let me put it this way – as vacant home investors, we’re contrarian thinkers. The sheep are heading to the low-hanging fruit, while we head in the opposite direction.
You know what else I love about this abandoned property strategy? It works in any kind of market. Vacant and abandoned houses are everywhere! In fact, you can use this free search tool, to see EXACTLY how many vacant houses are in your backyard by clicking here now!
*Pro Tip: Remember vacancy is fluid. A property that was vacant yesterday could be filled today. And a property that is occupied today, could go vacant tomorrow. Keep this in mind when you’re looking at properties that you find in the system.
And keep this in mind too: As a rule, the harder the seller is to find, the more profitable the deal.
Finding Sellers & Competition
Well, think about it this way… the easier sellers are to find, the more likely it is that other investors will go after those same easy-to-find deals.
If it’s harder to locate the seller, fewer investors will even try to find them, which means less competition, and remember, less competition means more opportunity (and more profit) for you.
What About Funding These Deals?
I want to mention something very important here that you may be wondering about: funding.
If you’re flipping the abandoned property to another investor – where are the funds coming from? Are you expected to bring your own cash or use your credit? What if you don’t have any capital?
Well, you’ll be happy to know that none of that matters. You are not going to need funds on any of these deals – there are no banks involved, no hard money lenders, no private lenders…
All you need is between $10-$100 earnest money deposit. That’s it. No, really – that’s it. That is the most you’ll risk on any one deal.
Until then… here’s another impressive reason why I love vacant properties – as if I haven’t given you enough great reasons already?!
We are not fixing these houses. No rehabbing, no contractors, no materials – none of it. We are leaving the house as is. It is possible. My students and I do it all of the time. (I’ll explain it all as we go through my 5 steps for vacant houses deals).
Steady Cash Income Headed Your Way
These are the 5 Steps that you can easily follow to bring in steady cash from abandoned property.
#1. Spot or Locate the Vacant Houses
#2. Find the Seller
#3. Strike a Deal with the Seller
#4. Flip the House to Another Investor
Not so bad, right?
So here are the 5 simple steps to quickly turn abandoned property into paychecks.Once you fully understand this process, you’ll then be able to repeat it over and over again, creating steady cash income for yourself… And that is a beautiful thing.