$10M Rental Portfolio: Off-Market Deal Strategies That Work

Dedric and Krystal Polite built a $10 million rental portfolio by mastering one thing: finding motivated sellers. Their system focuses on properties priced at 40–60 cents on the dollar, and they move quickly once a lead appears. Whether it’s a tired landlord, a long-vacant rental, or a handwritten “for sale by owner” sign, they act with speed and intent.

They stress consistency over flash. Their approach works in small towns and big cities, in buyer’s markets and tight ones. They use both old-school methods like driving for dollars and modern tools like CRMs and AI texting. Their belief: anyone can close their first or next deal within 90 days, without money, credit, or experience, if they follow the right plan.

Want to hear the full story straight from Dedric and Krystal? In this episode of the DealMachine Real Estate Investing Podcast, they break down their exact marketing strategies for finding off-market deals, building a $10M rental portfolio, and closing in any market. Watch the full interview below:

Keep reading for the full step-by-step breakdown of every strategy they shared.

The Polites’ Deal-Finding Formula

• Target motivated sellers, not just low prices.
• Prioritize off-market deals like FSBO and FRBO.
• Build exclusive lead lists with driving for dollars.
• Cold calling, texting, and mail all still work when tracked.
• Pay-per-lead can be high-converting with the right process.
• Target older landlords ready to retire, the “silver segment.”
• Track all outreach and improve based on real data.

Where They Look First: Off-Market Deals Most Investors Miss

1. For Sale by Owner (FSBO): Undervalued and Underpriced

The clearest signal of a deal is often a faded red FSBO sign with a handwritten number. These leads are direct to the owner, and often come with motivation built in. Dedric and Krystal stop every time they see one. Their FSBO strategy:

• Pull over and call immediately.
• Ask about the property’s condition, price, and plans.
• Offer fast cash or creative financing.
• Always follow up. Many deals close on the 3rd, 5th, or 10th contact.

They look for older listings, damage, or signs of neglect. If a phone number isn’t listed, they use DealMachine to pull owner contact info, including skip-traced details. Many of these homes have sat on the market for 200+ days, ripe for negotiation.

2. For Rent by Owner (FRBO): Motivated Landlords Hide Here

The Polites never ignore FRBO listings. Even if a property is listed for rent, that doesn’t mean the owner isn’t open to selling especially if the property has sat vacant.

Their strategy:

• Call the owner and ask about the property.
• Pivot: “Have you thought about selling?”
• Listen for signs of burnout, tenant issues, or income needs.
• Offer seller financing to preserve their income while removing landlord stress.

They source these leads using AffordableHousing.com, then plug the address into DealMachine for contact data. 

3. Driving for Dollars: Build Exclusive Lead Lists

Driving for dollars is still a core part of their business, even years into their career. Using the DealMachine app, they tag:

• Vacant or boarded homes
• Overgrown yards
• Damaged roofs
• Overflowing mailboxes
• Signs of long-term neglect

They drive neighborhoods weekly, adding 30–50 properties at a time. This creates hyper-local lists that no one else has. From there, they skip trace the data and begin outreach.

4. Buying from Wholesalers: Let Others Do the Heavy Lifting

Wholesalers are often overlooked by investors who want to source their own deals. But Dedric and Krystal lean into wholesaler networks hard. Their process:

• Join local real estate Facebook groups.
• Find active wholesalers and subscribe to their lists.
• Train wholesalers to understand seller finance and bring them creative deals.
• Be the go-to buyer that closes quickly and reliably.

This strategy brings ready-made, off-market deals without needing a large marketing budget.

Outreach Strategies That Still Work in 2025

Cold Calling: Start Small, Then Scale

Dedric and Krystal recommend all beginners start by cold calling themselves, even if it's uncomfortable. Why?

• It builds confidence and teaches objection handling.
• It helps you manage future cold callers more effectively.
• It's inexpensive, just your time and a list.

Scaling options:

• Budget Option: Hire a cold caller for ~$100 to make 1,000 calls.
• Premium Option: Use services like Start Virtual for a trained, full-time caller (~$2,000/month).

They track KPIs like:

• Calls made
• Hangups and wrong numbers
• Conversations held
• Appointments booked
• Contracts signed

Without tracking, money gets wasted. With tracking, performance improves.

Text Messaging: Fast, Friendly, and Scalable

Texting works best for owners aged 30–50. The Polites use a CRM that:

• Sends automated texts
• Includes a 24/7 AI chatbot to talk to sellers
• Hands off warm leads to their team

Text script tip:

“Hi [Name], are you open to a cash or terms offer for [Address]? We can close on your timeline.”

Short. Polite. Clear.

Direct Mail: Personal Touch at Scale

Direct Mail still works especially when it follows texts and calls. The Polites send:

• Postcards tailored for different situations (creative finance, land, rentals)
• Messages in English, Spanish, and French
• Follow-ups weeks after initial contact

They recommend using DealMachine to send postcards after multiple failed touchpoints. A simple message, well-targeted, can break through.

Pay-Per-Lead: Only When You’re Ready

This method works best for teams with trained phone reps. The process:

• Buy leads from companies
• Leads are often $100–$500+ depending on market
• Sellers are highly motivated and expect fast offers

Don’t use this channel unless your sales funnel is dialed in. You’ll burn cash if you can’t close fast.

The Silver Segment Strategy: Find Landlords Ready to Let Go

The Polites have a unique target: older landlords. They call this the “silver segment.” These are asset-rich owners who:

• Want to retire
• Are tired of tenants and maintenance
• Want to free up money for family or peace of mind

One example:

Mr. Holt sold one of his rentals to fund his grandchild’s college tuition. The Polites offered $72K, assigned it at $77K, and earned $5K on a clean, win-win deal.

The takeaway? These sellers respond to kindness, clarity, and flexible terms not just price.

Creative Financing: More Offers, More Closings

When cash offers don’t work, creative financing steps in. Their toolkit:

• Seller-financed deals with interest-only payments
• “Subject-to” purchases where they take over the mortgage
• Balloon payments to create short-term flexibility

They also train wholesalers to pitch these options creating more deals that other investors walk away from.

Track What Matters: Metrics That Drive Results

They learned the hard way: if you don’t track your outreach, you can’t improve it.

Their core KPIs:

• Total calls/texts/mail pieces
• Conversations vs. voicemails
• Appointments set
• Contracts signed

Use a CRM or spreadsheet to monitor what works, what needs improvement, and what needs to be stopped.

How to Land Your First Deal in 90 Days

Weeks 1–2

• Set FRBO alerts
• Drive for dollars every weekend
• Join local wholesaler lists
• Start logging leads in a CRM

Weeks 3–4

• Call and text your list
• Hire a freelancer if needed
• Send follow-up mail to non-responders

Weeks 5–8

• Walk properties or book video tours
• Analyze repairs, ARV, and cash flow
• Make 2–3 clear offers (cash, terms, hybrid)

Weeks 9–12

• Follow up with every warm lead
• Lock up your first deal
• Choose your exit: assign, flip, or hold

Real Estate Scripts That Convert

For Sale by Owner:

“Hi, I saw your property at [Address]. Would you consider an offer if I can make this easy and close as-is?”

For Rent by Owner:

“Hi, I saw your rental at [Address]. Is it still available? Have you thought about selling?”

Follow-Up Text:

“Hi [Name], just checking back on [Address]. Still open to an offer? I can close on your timeline and handle repairs.”

FAQ: Common Questions About Off-Market Deals

Q1. What is an off-market real estate deal?

Off-market deals are properties not listed publicly, often FSBO or FRBO. These have less competition and more room for negotiation.

Q2. Can I buy a rental property with little money?

Yes. Creative financing lets you secure deals with low down payments, flexible terms, or subject-to arrangements.

Q3. What is the silver segment strategy?

It focuses on older landlords looking to exit real estate. They often value ease and reliability more than top price.

Q4. What tools do the Polites use?

DealMachine, Fiverr, Start Virtual, AffordableHousing.com, and CRMs with text + AI features.

Q5. Do I need to be in a hot market for this to work?

No. These strategies work in all markets, rural, urban, buyer’s or seller’s, because they focus on motivation, not location.

Final Thoughts: One Deal at a Time

The Polites didn’t build a $10M portfolio overnight. It started with:

• One tired landlord
• One overlooked FSBO sign
• One cold call
• One follow-up

They took action every day. They tracked everything. They stayed kind and consistent. And they closed.

If you want to build a rental portfolio, this model works.

Start where others stop. Talk to sellers. Solve problems. Follow up. Keep going.