Where to find motivated sellers

1) In the current Real Estate environment, where are the best opportunities to find motivated sellers? And, be able to quickly assign the contract. Obviously there are a lot of motivated sellers in Detroit. However, with the poor job market, I may have a more difficult time flipping the contract.

2) Has anyone utilized those websites that sell motivated seller leads?

Happy New Year!

Jon

Edited: 06/26/2010 at 04:26AM

Eric Foster

Real Estate Investor · Portland, Oregon

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Jan 05 '08, 06:44 AM

Motivated sellers are usually in a situation where they " need to sell" not just " want to sell" ...

These can be foreclosures, divorce, probate, job loss etc.

Go after what you think will be easiest and get started.

Take care!

Edited: 06/26/2010 at 04:28AM

Jon Hill

Real Estate Investor · WI

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Jan 05 '08, 07:06 AM

I agree Eric.

Yet, I was wondering as to actual places in the United States that currently provide the most opportunities to help the people that " need to sell" , and I in turn have a good possibility to make a fair wholesale profit by assigning the contract to another investor in a quick manner.

Thank you,

Jon

Edited: 06/26/2010 at 04:28AM

Eric Foster

Real Estate Investor · Portland, Oregon

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Jan 05 '08, 09:08 AM

Originally posted by "JDH"

...I was wondering as to actual places in the United States that currently provide the most opportunities...

Jon,

I would say there are opportunities everywhere. If you are in, or around an area that has a population of over 50,000 in the county, there are deals there.

Just have to market and go find them.

Hope that is what you meant.

Edited: 06/26/2010 at 04:28AM

Alexis Dedrickson

Real Estate Investor · Issaquah, Washington

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Jan 05 '08, 03:08 PM

" For sale by owner"

FSBOs sit on the market longer and these people are usually very motivated to sell.

Edited: 06/26/2010 at 04:28AM

Jon Hill

Real Estate Investor · WI

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Jan 06 '08, 07:55 AM

Thank you for your reply and suggestions. I appreciate it.

Jon

Edited: 06/26/2010 at 04:28AM

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Jan 06 '08, 06:30 PM

I've been thinking that it would be great to partner with a realtor who can look up expired listings (very motivated and disappointed), you can them and try for a low offer. Has anyone done this? The realtor can just use this partnership as a sideline, and go his merry way doing more conventional deals, feeding you information and also helping when it's time to sell your properties.

Edited: 06/26/2010 at 04:28AM

N.A N.A

Real Estate Investor · IN

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Jan 08 '08, 08:48 PM

Originally posted by "msedwick"

I've been thinking that it would be great to partner with a realtor who can look up expired listings (very motivated and disappointed), you can them and try for a low offer. Has anyone done this? The realtor can just use this partnership as a sideline, and go his merry way doing more conventional deals, feeding you information and also helping when it's time to sell your properties.

You might find a few that way, but if they were truly motivated they would have lowered their price while on the market. Who knows, there may be a few people simply frustrated and willing to sell cheaply however. He wants homes with huge amounts of equity in them in order to wholesale.

My suggestion would be to find people who haven't paid their taxes or are being foreclosed on. You can do that by simply running ads, going to that county's assessors office and asking for a list, subscribing to that county's legal newspaper, going to banks and asking about homes in default, etc...

Edited: 06/26/2010 at 04:29AM

David Sanders

Real Estate Investor · Verne, Indiana

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Jan 09 '08, 06:07 AM

JDH, you mentioned Wholesaling, but maybe consider Lease/Options or Subject To's.

Quick cash can happen with these (like any other deal) where the numbers add up correctly!

Something I have tried in the " need to sell" idea is call people in the newspaper (or where ever) trying to RENT their place... Now these people may need to rent their property for several reasons.

IE.. Lost job, Bought/built a new home and moved in but cant sell the old home, New job in another city and didnt sell the local place prior to the move, Wants to clear some property for $$$ to pay bills/retire etc ....and the list goes on....

Listen to what the home looks like, size, appliances, condition etc.. after talking (but listening more) with the owner simply ask if they have ever considered selling. Then start talking the idea of a L/O or Sub 2.

I have had some success with this, about half will be interested in selling so .... some will - some wont.

Try it and remember they posted the ad so they are looking to have people talk to them about their property and situation for " renting"

Good luck :idea:

Edited: 06/26/2010 at 04:29AM

Charles Whitaker

Real Estate Investor · Amarillo, Texas

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Jan 10 '08, 08:51 AM

Jon,

Everyone here has stated a different path to take when searching out the deals, in actuality, the deals are everywhere. As an investor you will have the most success in following all of the motivated sellers; for whatever the reason. You can easily watch probates, foreclosures, tired landlords, expired mls listings, active listings, sheriff's sales, etc all at the same time.

Success is in the numbers. If you were to watch the active listings on the mls for say a year and that's all you did, you'll probably come out with a few deals. If you kept track of all of the probate real estate for a year then you would probably find some deals. See where this goes. Look everywhere and never stop, always tell people what you do. This is purely a numbers game, some talent but mostly numbers.

Good luck

Edited: 06/26/2010 at 04:30AM

Jon Hill

Real Estate Investor · WI

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Jan 10 '08, 11:35 PM

Thank you to all for your input,

Valid points. Many different ways to find motvated sellers.

My head spins with all the information here at BiggerPockets. The more I read and informed I get, the more adjusting I do to my action plan.

I need to take action, start the ball rolling and adjust as I go. Otherwise I'll just be a talker, spending the rest of my life putting together the perfect plan.

Thanks again,

Jon

Edited: 06/26/2010 at 04:30AM

Doug Block

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Jan 11 '08, 01:19 AM

I'm a motivated seller! I own a condo in Florida, have a wedding coming up now, and am looking to get out of it. Havent enlisted the help of a realtor yet, but I guess thats my next step. If you'd like to discuss, let me know.

Edited: 06/26/2010 at 04:30AM

Ash Seth

· NY

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Jan 11 '08, 07:55 PM

Is there anyway to know the preforclosure list in the area (that will be auctioned in few weeks) ? Any one can refer any good online service please?

Edited: 06/26/2010 at 04:30AM

Brian Chiorello

Real Estate Consultant · Williamstown, NJ

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Jan 11 '08, 08:47 PM

[ADVERTISEMENT REMOVED - THE ONLY PLACE TO PUT ADS IS IN OUR CLASSIFIEDS]

Edited: 06/26/2010 at 04:30AM

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Feb 09 '09, 09:20 PM

Thought I would bump this thread, since Im in the same boat - lining up resources to find motivated sellers. Has anyone managed to find sellers who are in bankruptcy but about to be kicked out of bankruptcy ? Then look for those sellers who have equity. However, I would think the sellers would hold a grudge of some sort against me if Im buying their home/property at pennies on the dollar ?

Edited: 06/26/2010 at 07:13AM

Kris Barnes

Real Estate Investor · Germantown, Maryland

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Feb 11 '09, 10:17 PM

I was thinking as I was reading this and thought I'd share a few thoughts. Though its great to find motivated sellers and then getting these properties locked up, but does you no good with out an end buyer. I was taught, just because YOU think a deal is a good one, doesn't mean OTHERS will think the same way. I say this mainly because of the quickness Jon Hill wishes to make a profit. I was always taught to start with the ends in mind. So first start with creating a buyers list to which you can market too. By finding out what specifically your buyers are looking to buy, and how much they are looking to make, you can refine your searches to those specific properties. Lets say for example an investor is looking to make 20k off each deal and is looking for homes that are between 1000-1800 sq ft, 3 bd, 1+ bath, in a decent neighborhood, from here you can target your searches according to this info to find your motivated sellers. And generally with that kind of criteria in this market you can find those deals all over the place. All you need now is to find 10-15 motivated sellers that fit the above description, submit offers based on the numbers you have from your analysis of the property, and since they all are motivated, at least one will accept at which you assign the contract over to your end buyer for the amount you want to make on the deal. Everybody wins, its a quick deal, and no time is wasted.

Where as finding a motivated seller first and locking the property up, could take you FOREVER to market to an end buyer, simply because not everyone will think that the deal you have is a good one. You could spend months finding a buyer. But if you build your list first, and find what they are looking for, you can close a deal faster that way.

Just my two cents and has been working for me. Try it out.

Edited: 06/26/2010 at 07:14AM

Owen D.

Real Estate Investor · Carter Lake, Iowa

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Feb 12 '09, 02:10 AM

I'm thinking about opening a bar for motivated sellers, that way they'll be a lot easier to find... Maybe I'll call it "Pink Slips" or "The Bailout Bar".

I'm envisioning coasters made from newly printed taxpayer dollars, daily lunch specials like Pork sandwiches, and free upside-down "house" margaritas for homeowners that bought in 2006.

No cover charge, just sign over your deed at the door...

Edited: 06/26/2010 at 07:14AM

Just Don

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Feb 12 '09, 06:29 AM

good one Owen,,,let me know the address and i will beat a path to your door. Ha Ha

Edited: 06/26/2010 at 07:14AM

Nick J.

SFR Investor · Scottsdale, Arizona

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Feb 12 '09, 07:19 AM

Originally posted by Doug Block

I'm a motivated seller! I own a condo in Florida, have a wedding coming up now, and am looking to get out of it. Havent enlisted the help of a realtor yet, but I guess thats my next step. If you'd like to discuss, let me know.

did anyone notice there was a motivated seller right in the thread?

Edited: 06/26/2010 at 07:14AM

Will Barnard

Rehabber · Santa Clarita, California

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Feb 12 '09, 07:48 AM

Seems everyone missed that Nick.

Edited: 06/26/2010 at 07:14AM

Will Barnard, Barnard Enterprises, Inc.
E-Mail: info@barnardenterprises.com
Website: http://www.barnardenterprises.com
info@barnardenterprises.com

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