One way to create bargains in real estate is to make low offers on properties. It’s the old story of buying low and then selling high.

Many successful investors will make a series of lowball offers on different properties, perhaps 10 or more, in the hope of getting just one seller to accept.

However, it’s important to understand that sellers are not usually willing to accept lowball offers when there’s a strong market. They know that if they don’t sell low to you, chances are that another buyer will quickly come along with a better price. Your best chance of getting sellers to accept lowball offers on good properties is in a stagnant market (neither declining nor increasing in price) where there’s a large inventory and it takes a long time to sell a home. Look for sellers who’ve had their properties on the market for several months and are getting eager to move. Beware of making lowball offers in a declining market.

When prices are falling, your lowball offer of today could rum out to be a high price tomorrow as the market moves further down.