One mistake I see quite a lot is investors using the same sourcing method year after year, regardless of what is happening around them.
They get comfortable with one routine. Usually that means sitting at the kitchen table, going through Rightmove every morning, and telling themselves they are “looking for deals”.
Now, to be fair, that is better than doing nothing.
But it is not enough.
Because property is not just a website business. It is a people business. And the way opportunities show up changes depending on what is going on in the market, the economy, lending, and with sellers themselves.
That is why I think investors need to stop asking, “What’s my favourite way to find deals?” and start asking, “What sort of sellers and opportunities is this market likely to produce?”
That is a much better question.
In a softer market, for example, you tend to get more motivated sellers. That might be because people have lost jobs, relationships have broken down, mortgages have become harder to afford, or the figures no longer work for them. In those conditions, sellers are often more interested in solving the problem than squeezing out the very highest price.
That is where speaking to estate agents properly, asking about urgency, and asking whether they have empty properties can be very productive.
Empty properties, by the way, are often worth paying attention to. Not because every empty property is a bargain, obviously. But because an empty property usually suggests some sort of issue, and where there is an issue, there is often motivation.
That is one angle.
Another good source of deals in changing markets is tired stock that has gone stale with estate agents.
These are the properties that have been sitting there for weeks or months, usually because they were overpriced, poorly presented, badly marketed, or simply ignored when they first came on. Some investors skip past them because they assume that if a property has not sold, there must be something terribly wrong with it.
Sometimes there is, which can make the property quite exciting.
But very often, there isn’t. Sometimes it just means the seller was unrealistic at the start, or the property needs work, or the photos are dreadful, or buyers have become more cautious.
That is where patient investors can do well. Not by chasing whatever has just come on and getting dragged into competition, but by looking at what has been overlooked, what is going stale, and where the seller may be getting more open to a sensible conversation.
So again, same sourcing route, but a different tactic depending on the market.
Then there is direct-to-vendor marketing, which I think many investors either overcomplicate or never do at all.
When interest rates are higher, homeowners are under more pressure, and finance is tighter, direct marketing can become more responsive. A simple leaflet, a simple message, and a phone number can work very well. Not because leaflets are glamorous. They aren’t. But because they get in front of the right sort of person at the right moment.
And no, that does not mean pestering people or taking advantage. It means making yourself visible as someone who can solve a problem, if a problem exists.
Word of mouth matters as well. In some markets, especially tougher ones, people do talk. If you tell enough people over a long enough period that you buy property and can move quickly, leads do come through. Not all of them are useful, of course. Some will be rubbish. But property is a numbers game. That has always been true.
The other thing that changes with the market is not just where you look, but what you look for.
If finance is tight for first-time buyers, for example, then certain flip deals may become less attractive, because your likely end buyer is under pressure. In that sort of market, you may need to think more carefully about area, price point and buyer type. In a stronger lending market, the same flip may look much more sensible.
So market conditions do not just affect sourcing methods. They affect property type, target seller, target buyer, and even your preferred exit.
That is why flexibility matters so much.
I would never want to rely on one technique only. Rightmove, yes. Zoopla, yes. Estate agents, definitely. Direct-to-vendor, where it fits. Word of mouth, always. The more methods you are comfortable with, the more likely you are to spot opportunities other people miss.
And that is really the big takeaway.
Good deals are not always hard to find.
Often the harder bit is using the right tactics for the market you are in, rather than the market you wish you were in.
Because the investor who only knows how to find deals in one set of conditions is going to struggle as soon as those conditions change.
The investor who adapts usually does much better.
Here’s to successful property investing.
Peter Jones
Author, property investor and ex-Chartered Surveyor
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