I know this might seem arbitrary but how does anyone go about getting bigger profit deals say 50K plus for example. While I tend to focus on the smaller deals sub 10K land, the profits are rather boring and small. Yes, I can double or triple my money on every deal, but they take just as long to sell and the profits are obviously far less. So I guess my question is how is everyone landing these types of deals. Is it Infill lots or huge rural tracts? I'm just trying to identify some larger type deals I could pursue in the future. Thank you
In my experience, if you send out enough mail and talk to enough people, eventually, these big ones will fall into your lap... but it's not as easy to target ONLY the huge ones and expect to get consistent results. Maybe if you're willing to send out obscene amounts of mail, but you should expect your close rate to go WAY lower than when you are willing to go after the smaller ones.
I know what you mean, the smaller deals (sub $10K) do start to get less exciting after you've done a lot of them, but those "base hits" really do make up a lot of the easy wins out there. You could shoot for a happy medium (say, only going after the $20K+ deals)... but as with anything, if you're only going to accept the best of the best, the search will get a lot more challenging.
As @retipsterseth Noted, it's tough to make an entire business model out of them. Not impossible mind you, just tough. If you're willing to send 10k units a month I don't see why you couldn't land them on a regular basis but don't expect them every mailer. Simply including them in your regular mail batches will yield you something now and again. To increase you're chances: Raise your offer percentage and send more mail. I'm closing on a deal next week at ~90k that a broker just valued at ~250k so the deals are out there. It just takes a slightly different tact and a lot more patience.
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I have been looking at this myself. I think it is a matter of also having more capital to bid on more valuable properties.
With rural acreage, it could also be larger acreage or better areas (think pastureland with water source) rather that desert. Also, larger parcels.
As mentioned before, on the bigger ones you need to go through more deals to find a gem.
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