Since 2008 and the "great recession", the housing market has ostensibly changed and the real estate industry, which has lagged behind the past 10 years, shows signs that it is not ready to lead the economy in any measure or market. That is OK, because when it does lead the economy, it merely follows trends and reacts to other economic factors that have it tied up with regulations, fees and or other restrictions that generally constrict the real estate markets.
The fact, however, that real estate like no other industry has continued to make millionaires at a faster pace than other industry may be why so many young people are looking to get started in real estate investing, and as active real estate experts in [market_city] [market_state], we get asked to share our secrets quite a bit.
Fortunately, I like to share :-)
My name is Peter Westbrook and I am a local real estate investor and I have been buying and selling houses in Stockton for going on 10 years. I am the owner of Westbrook REI and Westbrook REI Construction (CSLB 1047535) and I might understand the nuances of the Stockton and Sacramento real estate markets from the ground level. What is my niche? I am a Cash home buyer and I usually buy my properties from homeowners directly. It allows me to cut out the middleman and it allows the homeowners that I buy from to put more cash in their pocket.
The first secret that I share is also the biggest truth... Real Estate Investing is NOT a Get Rich Quick Scheme. It is a business that needs to be worked every day and it requires someone willing to roll up their sleeves and dig in to help people with problems and issues that need serious attention.
I'll share another little secret, I have come to the conclusion that even if I drew a road map of how and what I do, I am not sure that most people would follow it let alone execute on that plan. Its not because I am smarter or because I have money. It's NOT. Its because even when I had no money, I had three things that money cant buy. Determination, Resilience and Tenacity.
One of the biggest questions we get from new local investors is " How Do I find investment properties in Stockton, California?"
With the wave of foreclosure all but dried up (compared to to the crash of 2008 - 2012)... investors are having to get work harder and get more creative in finding the best values on great local Stockton Investment Properties.
Here is the dirty little secret... there has never been a single source of properties for investors. We find our properties from a variety of marketing sources... online, offline, direct mail, cold calling, etc... so there is no one way that is the best way to find good investment properties in Stockton, without hard work.
Forget the latest technique that worked for the webinar Guru one time. Stop the habit of buying every program or database, downloading the latest app for investors, just so you feel like your are doing something towards your goal. The truth is, nothing will help you find let alone buy a property if you are not prepared to work and then execute on the purchase.
Finding properties is all about recognizing the "onetime" event from a homeowner does come your way via a phone call, text or email. Its recognizing the opportunity. Its having your resources ready. It's understanding that everyone that owns a property that they want to dispose of, has a different objective and motivation and with that a different way of approaching the dilemma and solution. Some will just call a real estate agent. Some call the number on the We Buy Houses sign down the street, and others respond to the post card that they received in the mail, but most will Google, "who buys Houses Stockton?"
As an investor you need to be ready because there is not one thing you can do until either the phone rings, you receive a text message, an email, or you go Knock on Doors.
But, in spite of all of that, the information below will guide you through some ideas that you can put into action to find great properties to add to your investment portfolio.
Most investors are afraid of competition – they think that if they give any information away, someone will steal their ideas from them. (Remember when I said... even if I drew a road map of how and what I do I am not sure that most people would follow let alone execute on that plan." Well, its mostly true).
But fortunately, that’s not how we work. We work with other investors to accomplish things together that we can’t always do alone.
We share our learning and our philosophies here because we want to improve the quality of investment in Stockton to build stronger communities. Ultimately, we’re all investing in the same places, so it makes sense to do it right and let people know what it should look like.
How to Find Investment Properties in Stockton
There are a few tried and true core principles that are important to understanding if you want to get involved in real Estate Investing and find the best investment properties available.
First, think long term.
Real estate is a big giant. It moves slowly and unless there is a crash in the general economy it doesn’t act or react like the stock market. Real estate is literally where people live, work and play – its not just ticker numbers on a screen.
With that said... It’s virtually impossible to make a huge amount of cash in a short-term real estate transaction, the truth is that those rare opportunities come few and far between.
So don’t expect to get away with slight of hand or roll out with fancy tricks, or think that you’re smarter than the people who have been doing this stuff for years. Thinking long-term means learning from the past to better anticipate the future so you can anticipate what the market is going to do.
It also means that if you don't find the local investment properties you're looking for right away... just know that this isn't a sprint... it's a marathon.
That's why it's a great idea to find several sources of properties that fit your criteria (like our Stockton Investment Property Buyers List >> ) so you have a greater diversity and flow of to find great deals to look at. When I first started, an "Expert" told me that you will have to make 24 offers to get one accepted. That was in 2009. It is 2019 and if you live by those numbers you better keep your day job. Back then I was looking at 150 properties a month. Today I am lucky to look at 10.
Second, focus on relationships.
The investment community in [market_city] is much smaller than most people think.
There are only a handful of brokers and investors who conduct most of the business in the investment marketplace and some of the most successful investors are invisibly conducting their business, away from the small crowd.
But most investors are used to working with the same people on a regular basis. It’s worth the time and effort to find them and learn from them. If you can, work with them. They’re your best source of good values, now and in the future.
How do you get to know them? Go to your local Real Estate Investor Group and find the people who are active and talk to them. Ask them which real estate agents they use, what wholesalers in the area are active (and get their info) and let everyone you can find know that you are looking for investment properties that fit your criteria. Learning how to find a good investment property in [market_city] isn't a hard thing... but relationships can be a key element in getting some of the best deals on properties that no one else has access to in the [market_city] [market_state] market.
Who should you get to know?
- A few of the top investment friendly real estate brokers in [market_city]
- A couple real estate appraisers who deal w/ the types of properties you deal with
- The top handful of property wholesalers in the area
- The top handful of property rehabbers/flippers in the area
- Title agents that deal with investment properties a lot
Third, identify your target investments.
Investment are like many other aspects of life – the people who are the most focused will generally succeed. You have to find your niche. Some people make millions just in parking garages or storage units. (I don't own either)
Others specialize in single family residential, others apartments, while others deal strictly with retail residential. If you take the time to do your homework, you can analyze the different segments of the market to see which opportunities are truly the best for you. Remember your resources guide your investment. Once you find exactly what you want to own, you can create a plan to find out who owns it and make sure that they know to call you when they want to sell that property.
This takes a lot of work, but it’s a tried-and-true method for creating long-term investment strategy. Also know that not all things happen in a sequence that resemble your plan and that you may need to be flexible. It also means that you may have to pass on some great deals until you have the resources yourself to land the big investment. That is why its important to know other investors. You are looking to monetize all transactions that come your way, advancing your strategy one step at a time. It isn't easy, its hard work.
Finally – use technology.
Sign up for our list of exclusive properties, and we’ll notify you instantly when we have a great investment opportunity for sale.
Every once in a while, we find properties for deep discounts, secure them and then sell them for a discounted rate to the people on our list who are ready, willing and able to invest. There are other ways to get notified about properties on the open market – you should get familiar with searching the multiple listing services with the rest of the herd because every once in a blue moon a great deal shows up. I know because I have bought them with in that past 30 days.
We don’t deal with average deals – we only pass along great deals to our partner investors. We’re not real estate brokers, and our business is a niche within Stockton.
If you’re looking to seriously invest in Stockton, we’d love to talk with you to learn what you are looking for. We don't always have properties on hand that we want to remove from inventory, (we rehab most of what we buy locally) but when we do, we also want to sell them fast.
I am hopeful that you have a better understanding of how to find great investment properties in Stockton. If you have questions give us a call or join our buyer's list below!