Below market properties are ones that are sold at a lower price than it has been valued at by a real estate valuer based on similar properties in the area, the level of demand, scarcity and transferability. Sourcing a property that may be bought below its market value is usually possible when the seller is a so-called distressed seller - highly motivated to sell due to circumstances, such as end of marriage, bereavement or financial difficulties. Looking for such sellers and buying a property below the market value may seem as an attractive investment but it should not be done without due diligence. Distressed properties that require a lot of work, are in an area without any substantial rental demand or have no cash-flow potential may not generate the ROI you wished for.