How To Pick The Best Real Estate Market
By Matt Theriault
Out of all the questions I get asked the most in real estate, this one trumps them all – and rightfully so!
You’ve got so much pressure and excitement pent up; the lifestyle and income you’ve been wanting for so long is right within your grasp.
But, then it’s time to start.
And you find yourself asking…
“How Do I Find The Best Market?”
I understand your fears – what if you pick the wrong one? What if your market research data was flawed? Maybe the market you’ve already chosen is just not living up to your expectations.
I get it.
After all, you’re probably reminded time and time again of the old adage, “location, location, location.”
You can’t stop thinking about it! Surely there’s a better market a few cities over, right?
I know it’s easy to think this way –
The grass always seems greener on the other side, doesn’t it?
Here, the grass is always as green as you want it to be.
Your Chosen Market Doesn’t Matter As Much As You Think
Don’t worry, I’m not selling you snake oil here –
I’m showing you what actually sells.
See, there are a plethora of questions you’ll go through when picking the right market:
How many people live there? Is it shrinking, or growing? What’s the unemployment rate like? How are the property taxes? Are there vacancies? What’s the crime rate like?
The list goes on – and these are incredibly useful questions to go through. However…
You’re Looking To Actually Sell Real Estate
You might be trying to get out of the 9-5 grind. You might want to create passive income, so that you can actually experience life. Or, maybe you’re just looking for that cold, hard cash.
You won’t get any of that by obsessing over your market.
See, we’re in the business of real estate –
And that’s the business of selling.
So, Here’s How You Do It!
The secret to picking the best market…
Is picking the market that you’ll actually work in.
Imperfect Action Is Far Better Than Perfect Inaction.
As real estate investors, we make money when we buy.
You want to make real money? Then you have to buy at a discount. When you sell your property, the real investment was made at the buy.
So, where do you find the best buy?
Look For The 5%
I’m sure you know that 95% of real estate transaction happen in the MLS (Multiple Listing Service).
Naturally, that’s where you’ll want to look. But…
We don’t make money there.
Now, hang on – I know that’s a pretty bold statement. There are definitely exceptions, don’t get me wrong.
But, I’m not talking about exceptions.
I’m talking about what you can expect. What you can predict.
And that’s always going to be the 5% that isn’t on the MLS.
You don’t want to buy at retail value.
You want the 5%.
What Is The 5%?
These are not the people that want to sell.
These are the people that need to sell.
See, life happens. It happens to all of us, regardless of socioeconomic factors or market boons.
And when life happens to property owners, you have to be there to help.
The 5% Are People In Distress
There are 3 kinds of distress:
- Personal Distress
- Financial Distress
- Property Distress
When you have people in distress, you have people who need to sell.
Remember – life happens to everyone. Which means that…
This Is True For Every Single Market
Remember, I’m teaching you how to make money in your market, now.
There is always time to adjust, to work yourself into a better niche later on.
But, now, you need to sell.
So, you can conduct deep market research and zero in on the perfect spot, if that even exists….
Or, you can.
Follow These 5 Steps To Find The Perfect Market:
- Make Sure There Are Houses
a. Find a Market That:
i. Is within 60 miles of your own residence.
ii. Has plenty 2 bedroom 3 bath single family residences.
iii. Is just below median price point.
Remember, marketplace factors are important as well. Look for neighborhoods that have a good police presence, a school nearby, or a neighborhood occupied by young couples that will likely want to move on to their next home soon.
- Identify the 5% (People in Distress)
- Create Your Message
a. Your message needs to be clear on how you can help them. They need to sell their home. You’re going to do it for them.
b. Don’t forget your CTA (call to action) on how they can follow up with you.
- Deliver Your Message and Automate the Delivery
- Interview Your Prospects and See if You Can Actually Help
Not so bad, is it? Just don’t forget:
You’re There To Solve The Property Owner’s Problems
They’re in distress. You’re going to help them.
You can do this in any market! That, I promise you.
But, it won’t be that easy. Remember, imperfect action is better than perfect inaction.
You have to get moving.
With that being said…
You Have To Be Ready To Put In The Work
There will be competition no matter where you go.
There will be leads no matter where you go.
You just have to know how to find the leads, and work harder than the competition.
The work you put in – the amount, the consistency, and the persistence – determines your success.
Hustle In Any Market Beats The Best Market Without Hustle
So put in the work, and hold yourself accountable!
Here’s how you can do that:
This is our Daily Success Report that’s used by all of Epic Real Estate investors.
This is what keeps investors within our Academy continually working on the right activities, consistently, and persistently.
This is completely free – you have full permission from me to use this as you’d like.
I hope you find the market you’re looking for.
As always, I’ll talk to you next time!