If you’re investing in real estate, one of the best ways to make money is to find inexpensive properties. However, this strategy’s problem is that once a house is listed publicly, it usually gets snatched up by another investor. Utilizing the technique known as “driving for dollars” is a method you can use to solve this problem. The method involves driving around neighborhoods until you find a distressed or vacant home that you might be able to buy for a great price.
How to Get Started
If you’d like to get started with this technique, your first step is to pick a location where you can search for possible deals. Planning can make this step of the process easier. It’s essential to know your investment criteria and match your search with your requirements. For example, if your main goal is to buy a house and flip it after fixing it up, you will want to conduct research in neighborhoods where you’ll find those types of homes. If your objective is to find a property that you can use for rental income and cash flow, you’ll need to make plans to visit neighborhoods with a favorable rent-to-value ratio.
Creating Efficiency
Once you’ve planned out the neighborhoods you’ll be visiting, you may want to utilize the driving for dollars app. It helps you target new areas and not double track into communities where you’ve already been. According to DealMachine, “Never drive the same street twice again. Your entire team can see where everyone’s already driven.” Utilizing this type of service should be advantageous and create efficiency you need to find the best deals faster.
Locate Specific Types of Properties More Conveniently
Utilizing the driving for dollars app should allow you to scan specific locations quickly and efficiently. To become even more productive, it’s probably a good idea to target specific real estate properties as well. Finding properties on your list that have a lower than average selling price is your primary goal. If you’re using the driving for dollars app and combining it with this strategy, it should make finding the best deals even more straightforward. Some of the elements you may want to look for when using this strategy include the following:
- Boarded-up windows
- Grass that is overgrown
- For sale by owner signs in the yard
If you’re using the driving for dollars app and find a property with these characteristics, you may want to pull over and jot down the address so that you can check to see if it’s a possible investment. Using the app can save a considerable amount of time and stop you from visiting areas where you’ve already done.
Continue to Research
Once you’ve got a list of addresses and properties you’re interested in buying. You’ll need to research each home by checking the county records. Knowing the year the house was built, when it last sold, and what it sold for can also help you find the owner’s name.
Using the driving for dollars technique will likely provide the best odds of finding a suitable investment that matches your financial goals. Combining it with an intuitive app offers convenience, consistency and greater efficiency.