UNLOCK FREE TRAINING
How To Find Off-Market Properties In Alabama

How To Find Off-Market Properties In Alabama: The 5 Best Sources

real estate marketing real estate markets Jun 06, 2024

Going off-market is one of the best strategies you can use in Alabama's real estate market if you are looking to acquire a subject property. With most investors focused on on-market deals, understanding how to find off-market properties in Alabama reduces your competition significantly. It also grants you an upper hand in purchase price negotiations. However, their off-market nature means investors must deploy a unique marketing strategy to find them, which begs the question: How do you find off-market properties in Alabama?

In this comprehensive guide, We'll tell you everything from the "what" to the "how to find off-market properties in Alabama.” So, read on to discover game-changing off-market investing secrets in Alabama, starting with the following:

Understanding how to find off-market properties in Alabama is just the first step in mastering real estate investing in the Heart of Dixie. Enroll in Real Estate Skills' free training program to increase your industry knowledge and take advantage of all the opportunities in today’s market. This course will help you build on your foundational knowledge and equip you with the skills needed to succeed in the competitive real estate landscape.

What Are Off-Market Properties In Alabama?

Off-market properties in Alabama are homes for sale that are not publicly advertised. These properties, also known as pocket or quiet listings, are usually on the market but not on traditional marketing platforms like the Multiple Listings Service (MLS) and Zillow. Instead, the seller usually enlists a real estate agent or Realtor to market them to private networks, often composed of other real estate agents, brokers, and investors.

Investors should consider off-market properties in Alabama because these deals often have less competition, allowing for better negotiation and potentially lower purchase prices. Off-market properties can also provide unique opportunities that aren't listed publicly, increasing the chances of finding undervalued gems. Additionally, direct communication with sellers can lead to more flexible terms and creative financing options, enhancing overall investment returns.

Why Do Some Sellers Not List Their Properties?

Since publicizing a property sale tends to speed up the process, why do some sellers go off-market in Alabama? Reasons vary from individual to individual, but basically, sellers who choose not to list their homes do so because of the following:

  • They're Not Available: An on-market listing usually involves house showings. Typically, sellers hire an agent to handle showings. However, some sellers prefer to handle showings themselves due to the sentimental value they place in their homes, the desire to control the sale, and other reasons. As a result, they'll choose to wait to list the property until they're available.
  • Seller's Market: When demand for properties is high, but the supply is low in Alabama, some sellers will hold their property off-market until the right offer comes knocking. Staying off-market, especially in a seller's market, creates an aura of exclusivity, driving competition among buyers who may feel they're getting a special opportunity, thus motivating them to make good offers.
  • Pocket Listing: Some sellers in Alabama prefer to sell their properties as pocket listings. In a pocket listing, a seller engages an agent or Realtor to market the property privately. The agent/realtor then contacts individual buyers directly. This approach gives the seller greater privacy and more control over the sale.
  • Coming Soon: Other sellers don't opt out of public listing altogether. Instead, they'll upload the property as "coming soon" on the MLS to create buzz and test the market demand for their property.
  • Foreclosure With Tenants: Property owners with tenants often forego public listing to avoid the public exposure that comes with traditional listing. Such sellers usually want to discreetly transfer the ownership of the property and the existing tenants because doing so bumps up the value of the sale. Publicly advertising the sale would alert their tenants to the management change, potentially affecting the seller's plans.

how to find off market properties in alabama

How To Find Off-Market Properties In Alabama

Despite presenting some unique perks, off-market property listings aren't usually readily available. You have to put in some work to find them. In the past, this would involve asking for referrals and manually building lead lists. Thankfully, technology has made things much easier by providing real estate software to expedite these processes. Here's how to find off-market properties in Alabama using ground-breaking software and websites:

  • PropStream
  • DealMachine
  • com
  • Mashvisor
  • BatchLeads

PropStream

PropStream is an all-in-one real estate software designed to ease lead generation for all types of investors. The software provides access to over 155 million property records nationwide for those seeking off-market homes for sale. Furthermore, PropStream provides users with a range of off-market-friendly filters, such as property type, pre-foreclosure filings, public auctions, tax liens, bankruptcy filings, pre-probate, divorce filings, and flippers.

The vast data and myriad off-market-friendly filters allow off-market real estate investors to seamlessly generate accurate and current information on various off-market leads. It also increases the chances of finding profitable off-market investment opportunities that span different types and locations in Alabama.

Once you generate results from your search, PropStream offers an option to generate an instant lead list to easily follow up on each result later. And when you get the time to follow up on this list, PropStream provides tools like MLS comps, a rehab calculator, and an ADU calculator. These tools simplify deal analysis, allowing you to follow up on leads with excellent profitability potential.

On top of all these features, the platform has an API that allows users to connect and access all their investing software under one platform.

Read Also: PropStream Review

DealMachine

If you Drive for Dollars, DealMachine is a real estate software you'll want to check out. Once you install the mobile app on your phone, it automatically logs your location every time you drive for dollars; this helps you avoid the same route twice and seamlessly track the areas you've covered in Alabama.

The app has a map feature with custom filters, enabling users to highlight properties that match their target off-market investments whenever driving for dollars. For example, suppose you're targeting off-market homes for sale by owners in specific Birmingham zip codes. In that case, you can set this filter up so that these properties automatically pop up on your map whenever you drive; this significantly eases the endeavor, as instead of driving aimlessly, hoping to see a property that seems suitable for investing, you're directed to an actual off-market property.

When you get there, DealMachine has a feature that lets you upload a photo of the property and its address, generating a postcard accordingly. You can then drop this postcard into that property's mailbox, initiating marketing campaigns while still in the field. Even better, DealMachine supports virtual driving for dollars, meaning you can find off-market investments suitable for your investment portfolio right from the comfort of your Alabama home.

Read Also: DealMachine Review

Foreclosure.com

Foreclosure listings make some of the best off-market investment properties in Alabama. Unfortunately, they're always few and hard to find. If you target these properties as part of your off-market investing venture, you should consider adding Foreclosure.com to your tech stack.

Foreclosure.com is a Florida-based website with over 1.2 million foreclosure-related listings. These include foreclosure, pre-foreclosure, bankruptcy, for sale by owner (FSBO), cash buyers, and even tax liens listings throughout the country.

The website aggregates listings from various sources, including the Department of Housing and Urban Development (HUD), Fannie Mae, and corporate sellers. It makes them available to investors like you at $40 per month. The website has a search function and filters to streamline the search process.

Each listing comes with detailed physical property information and owner contact information, so it's easy to reach prospects once you identify a promising deal from its database.

Read Also: Foreclosure.com Review: Is It Worth It For Real Estate Investors?

Mashvisor

Mashvisor is a software company with a real estate marketplace that could significantly ease lead generation for off-market properties in Alabama.

Mashvisor's marketplace features off-market houses spanning the entire U.S. housing market. These include bank-owned homes, short sales, pre-foreclosures, and auction homes.

Mashvisor further provides detailed property information, such as sqft, border lines, and owner contact data, such as phone numbers and email addresses. It also features tools such as an Investment property analysis calculator, a Mashvisor rent estimate, and analytics for deal analysis.

 BatchLeads

BatchLeads is a lead generation software for investors, brokers, lending professionals, and every other real estate professional looking to generate leads. The platform, rolled out in 2014, provides access to various tools and data that simplify lead generation. These include a database with over 100 million property records spanning 3100 counties, including various locations in Alabama.

Since manually browsing the data would be hectic, BatchLeads provides users with over 300 data points to refine and narrow their searches to yield the exact properties they're targeting. You can also upload an existing seller or buyer list to refine it. And suppose you identify a promising off-market opportunity. In that case, BatchLeads has a comping tool that allows you to run comps and generate shareable comp reports to negotiate a good offer.

Other BatchLeads features we found useful for off-market real estate include:

  • Drive for dollars
  • Skip tracing
  • Deal analyzer
  • Built-in outreach tools: messaging, email, and a dialer

Read Also: Batchleads Review


*For in-depth training on real estate investing, Real Estate Skills offers extensive courses to get you ready to make your first investment! Attend our FREE training and gain insider knowledge, expert strategies, and essential skills to make the most of every real estate opportunity that comes your way!

Free Real Estate Investing Training


Alternative Strategies To Find Off-Market Properties in Alabama

Beyond the above tools, here are additional strategies you should consider employing to find off-market houses for sale in Alabama:

  • Engaging with real estate agents and brokers
  • Networking with other homebuyers and investors
  • Local courthouse and public records

Check out the detailed breakdown of how the above strategies come in handy when seeking off-market properties in Alabama.

Engaging With Real Estate Agents & Brokers

Real estate agents and brokers are a great source for off-market properties in Alabama. They boast extensive local market knowledge and may know homeowners considering selling but have yet to decide. Engaging them can give you early access to such information, allowing you to capitalize on deals before they hit the market.

Beyond insider knowledge, these professionals often have a vast network of contacts where they exchange information about upcoming listings or sellers looking for discreet sales. By connecting with them, you can tap into their networks for access to such information.

Whether you already know how to flip houses in Alabama or how to wholesale real estate in Alabama, cultivating relationships with these professionals ensures you'll be among the first investors to learn when off-market opportunities come up.

Networking With Other Homebuyers & Investors

Network with other homebuyers and investors. Active homebuyers know where to seek good off-market deals and can provide tips and information on upcoming sales.

On the other hand, networking with established investors can help you gain access to off-market deals through introductions. Better yet, is wholesaling real estate legal in Alabama? Yes, it is. By building good relationships with these investors, they may even consider you for joint off-market ventures. So, join real estate investment groups or clubs and attend local real estate seminars, workshops, or meetups to meet and network with savvy homebuyers and investors. These groups and events provide an opportunity to build relationships that can lead to future off-market investment opportunities.

Local Courthouses & Public Records

Local courthouses usually feature distressed records of properties, such as

  • Foreclosure homes
  • Probate listings
  • Tax lien and tax deed sales
  • Divorce settlement properties
  • Bankruptcy filings homes
  • Properties owned by landlords looking to sell due to tenant issues

Regularly visiting the nearest courthouse in Alabama can access these off-market listings before they are even up for sale.

Local courthouses also tend to host foreclosure auctions occasionally. Regularly dropping by one increases your chances of learning about and participating in these auctions, thereby securing an investment property. In addition to the local courthouse, comb through public records for off-market opportunities. Check out local newspapers, the HUD website, and bank websites.

Alabama MLS Listings Vs. Non-MLS Listings

Off-market properties are a great option for both newbie and seasoned investors. They serve as a secondary market where you can always strike a good deal even when inventory levels are low. However, MLS listings are equally as crucial.

The Multiple Listing Service remains a powerhouse of real estate deals. In Alabama, the MLS brings together all types of real estate players, from regular and distressed house sellers and wholesaling investors to homebuyers. It creates a hub for finding your next investment property and connecting with like-minded professionals. These listings are always available, making them a reliable source of leads for your pipeline when off-market deals are hard to find.

Moreover, MLS-listed properties typically involve real estate agents and realtors who will facilitate a transparent and efficient acquisition process and provide the professional guidance you may need if you're new to property investments. However, note that to maximize the MLS fully, you must navigate it competently.

This is where we come in. At Real Estate Skills, we're committed to the professional development of our investor readers, and as proof, we offer a free training program on the MLS. It extensively covers how to invest in real estate via the MLS, including how to access the MLS without a license and strategies like wholesaling real estate and house flipping. Whether you're a beginner or a seasoned investor, this course will equip you with the mastery needed to maximize MLS listings' full potential.

Read Also: How To Get MLS Access In 6 Ways (Even Without A License)

Pros Of Off-Market Properties

Finding and investing in off-market properties in Al grants you the following perks:

  • Reduced Competition: Off-market properties in Alabama are often advertised to a limited pool of private buyers, such as other real estate professionals and investors. This reduced market exposure makes investing easier by eliminating the bidding wars you'd have to contend with for a similar on-market listing.
  • Lower Sale Price: If you already know how to buy foreclosed homes in Alabama, you know about the discounts they offer. Fewer potential buyers are aware of the property, which usually results in reduced competition and demand for it; this usually results in the price being sold at a lower sale price, consequently allowing investors a decent profit margin.
  • Smoother Negotiations: When fewer buyers are vying for the same property, not only do you enjoy reduced competition, but you also get a smoother negotiation process. In addition to the price, such negotiations can lead to better terms and conditions, such as favorable financing terms and additional seller concessions.
  • Flexible Transaction Timelines: Unlike MLS listings, off-market property listings aren't bound by strict deadlines or expiration dates. Sellers don't have to worry about properties sitting on the market too long, creating transaction flexibility.
  • Unique Investment Opportunities: The exclusivity of an off-market listing allows investors to acquire properties that are generally not accessible to the general public, leading to better returns on investment.

Cons Of Off-Market Properties

Off-market properties, while great, do have a share of their drawbacks. These include:

  • Limited Availability: Off-market properties for sale are generally fewer than on-market investment properties, meaning you cannot fully rely on them to fill your real estate investing pipeline.
  • Difficulty Finding Properties: An off-market property's strongest perk, exclusivity, is also its greatest downside—it is difficult to find. Add in that off-market properties are generally fewer, and you've no option but to put in extra effort to find off-market investment properties.
  • Challenges With Inexperienced Sellers: Most individual property owners are not well-versed in the ropes of the real estate market. When they choose to sell their properties off-market, their inexperience can significantly slow the closing process and complicate the transaction more than necessary.

Final Thoughts on Finding Off-Market Properties in Alabama

Learning how to find off-market properties in Alabama can open up a wealth of lucrative investment opportunities. Investors can discover hidden gems unavailable on the open market by leveraging strategies such as networking with local real estate professionals, exploring public records, and employing direct marketing techniques. These off-market deals often come with less competition and more flexible terms, allowing for better negotiation and higher potential returns. Those who invest the time and effort into perfecting these methods will be well-positioned to secure great investment deals and build a successful real estate portfolio in Alabama.

Now that you've learned how to find off-market properties to invest in, take the next step towards success by enrolling in Real Estate Skills' free training program. This course will equip you with the knowledge and skills needed to excel in real estate investing. Don’t miss this opportunity to boost your expertise and achieve your investment goals. Sign up today and start your journey to becoming a successful real estate investor!


*Disclosure: Real Estate Skills is not a law firm, and the information contained here does not constitute legal advice. You should consult with an attorney before making any legal conclusions. The information presented here is educational in nature. All investments involve risks, and the past performance of an investment, industry, sector, and/or market does not guarantee future returns or results. Investors are responsible for any investment decision they make. Such decisions should be based on an evaluation of their financial situation, investment objectives, risk tolerance, and liquidity needs.


free real estate investment training

Unlock Our FREE Webinar Training

Founder & CEO of Real Estate Skills, Alex Martinez, reveals the systems and processes used to wholesale and flip houses without doing any marketing!

  • Completely FREE training video.
  • No prior experience is required to start.
  • Begin investing with no cost for marketing.
  • Learn to invest in any real estate market.
  • Discover how you can close deals consistently

Enter your information below to unlock the FREE webinar!

By providing my contact info, I give express written consent to Real Estate Skills to email, call, & send text messages for upcoming events & reminders. By opting in you agree to RealEstateSkills.com's Terms of Use and Privacy Policy.

Reviews & testimonials from students like you.

No matter where you start, you can become a successful real estate investor. Listen to these amazing stories from the students in our program!