What are some creative things we could do to locate cash buyers?

Question

Hi everyone!

My name is Ardray and I am located in Brooklyn, NY area. I have a question specific to marketing strategies used when looking for cash buyers. One of the reason why we're all here, it's to learn from the hard work of others but also to learn how to work smart.

I'm sure we're all pretty familiar with the most common marketing campaigns used when trying to locate cash buyers. It varies between going to the county court house, newspaper ads, RE clubs etc.

A lot of investors are already doing all those stuff and it makes it harder everyday to find a buyer interested in our deals. My question is, what are some of the creative strategies we could use to attract cash buyers; in other words what are some of the things that we could do to lead them to us instead of us chasing them one by one?

( I'm not ignoring the efficacity of those common strategies, I'm just looking for more creative and smarter ways to market for cash buyers)

Will Barnard · Answer

In CA, real estate transactions are a matter of public record. In other areas, even if they are not, title companies and the like have access to closed transactions. Have them send you transactions that closed all cash. Then cross reference the name of the purchaser. If it is a corporation or LLC, it is more often than not an investor who pays cash. You can even have them run searches on those corporate names to see if you find multiple cash transactions in one year. This would defibtayely equate to an all cash investor buyer.

David Dey · Answer

My mentor taught me years ago something that has made me a truckload of money over the years.

"David," He said.  "You can market all over the world, but your real buyer is just a stones throw away."

I have found this to be the case over and over to this day.

First the low tech.  A bandit sign out front of the house will bring you droves of buyers.

The next option, which is slightly higher tech will have you finding them virtually.

Every property appraiser has a database of every single property in that county, along with every sale that takes place and where they took place and what type of property was bought and sold.  The good news is since this is government based, it's public record and you have a right to have and use it.

Many appraiser's sites are online so you can do this virtually.  Take the grid that your property is in and pull up all the sales that took place this past year.  Now keep only the corporations and LLC's that bought, along with the obvious investors.  These are the individuals that have multiple homes in the same grid. (Having your summer home 2 blocks away seems a little redundant) 😜

Also, if you see the same property sold more than once in the same year, chances are you either have a wholesaler or a fix and flipper.  Again a good buyer choice.  (Ex:  I bought a house the other day and immediately looked up the neighborhood, right across the street was a house that had just been sold for top dollar earlier this past month, and had been bought 6 months prior for 70k less.  This told me that I had a fix and flipper.  I looked him up, very easy to do, and he came over the same day and put my house under contract)

I have done this on numerous occasions and have been able to sell every one of my homes within my contract time frame or within days of my closing.  Based on which I chose to do.

Another way, to gather info is to look up all the deed transfers in your county for a one month period.  Again, you're going to look for corporations, and obvious investors, but If you have a lot of activity, chances are you will come across a few buyers that buy and sell on the same day or within days of buying.  These are wholesalers.  Once you locate a name, look their deeds up specifically and you will now have their buyers list.  (The list that counts that is. Yes we know wholesalers send their property out to hundreds of people, but usually end up selling to the same 15-20 buyers over and over again)

Hope this helps

Curt Davis · Answer

In my market I can purchase a specific list from our local newspaper that can give me a cash buyer list. Maybe see if you can do something like that in your market.  I dont think there are any ways to locate cash buyers from the obvious ways.  If you get a deal and its a good one then surely you will attract the right buyer.

Good luck

Account Closed · Answer

The most creative way to find cash buyers is up to you. CREATE  a great deal, leave some equity on the table, advertise it right and the knowledgeable buyer will recognize  a great deal and the buyers will come.

If you do that, your buyers list will grow along with your cash flow ........I always say, "Buy Low, Sell Low and do it Often!" I have change it a little over the years...."Control Low, Assign Low and do it Often"

Charles

Ardray Donaus · Answer

Thank you so much guys. We are all from different places and it never hurts to share best practices with each other just to see how we could improve in our daily operations.

I know you don't have to do this but I truly appreciate it.

@David Dey I really like how you breakdown every aspect pertaining to those public files,and how you could filter the most serious and active cash buyers. I think you captured what I was looking for originally, which is using a creative mindset  to find the right people for our deals.

Charles Parrish Thank you all guys. You guys have shared some golden informations on here and I'm certain that not only myself but the platform could benefit from it as well.

I'm working on putting a couple properties under contract right now and hopefully we could all keep in touch along the process.

Thanks!

Mike Watkins · Answer

yes. I would do that. No one will take you seriously with a deal on the hook.

Mike Watkins · Answer

the cheapest and easiest way I've seen is to find out when your county holds its foreclosure auctions. Be there with a deal. The county pays to have market to these people who need cash to even be there. You should go and when they lose a bid, ask them to take a look at your property.

Jeff Rabinowitz · Answer

Find great deals and offer them at prices that allow your buyers to make money. You will soon have plenty of qualified buyers (and some who are not qualified). How many buyers do will you really need if you find 2, 3, or more who will buy 1/2 dozen or more every year?

Aaron Mazzrillo · Answer

Do you have a deal? Based on your profile, unless it is out of date, I would say you don't. So, finding cash buyers is really putting the cart before the horse. You should focus your time on learning to find deals. Put together a well purchased transaction and cash buyers will crawl out of the woodwork like cockroaches in a dirty rental house.

As I like to tell newbies trying to figure out how to incorporate when they barely have any reason to even file a 1040EZ form, no need to learn about asset protection if you don't have any assets.

Ardray Donaus · Answer

Thank you guys for your insights, I really appreciate them.

What are some creative things we could do to locate cash buyers?

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