Setting up your list at listsource

10 Replies

Hi everyone! I’m about to request my first list for owners absentees and I wanted to get some suggestions as to how do you guys set up your filters for a request. Thank you and enjoy the weekend!

Filters I'd recommend:

  • Equity, no reason to waste your time on properties folks can't sell at a reasonable price
  • Property Type, most folks stick to residential, and often just single family homes
  • Estimated Value, stick to a price range you can afford, and/or for which there is demand if you plan to flip or rent
  • Location, this is best way to control size of your list. Lots of ways to select location, which one is best depends on your particular area.

Beyond those, I also recommend using additional filters to better differentiate your message from competitors sending to all absentee owners as if they were the same.

  • Equity, like above, except separate free & clear from those who have a loan, and use different messages for each group, as their issues and motivations are often different.
  • Age, someone managing rentals in their 70's or 80's is going to have different motivations then someone in their 40's or 50's.
  • Owner location (based on mailing address), a owner that lives far from the property has different issues then someone next door or down the street.

LOTS of possibilities, but hopefully that gives you some ideas. The more unique your list and message, the more likely you are to improve your response rate. 

I meant Sean!!!! I don’t know what went through my mind. That’s good advice!

Sean, What % of equity do you look for? anything over 50%? also do you own propertyradar??? I'm using reipro right now but thinking about switching over!

Originally posted by @Sean OToole :

Filters I'd recommend:

  • Equity, no reason to waste your time on properties folks can't sell at a reasonable price
  • Property Type, most folks stick to residential, and often just single family homes
  • Estimated Value, stick to a price range you can afford, and/or for which there is demand if you plan to flip or rent
  • Location, this is best way to control size of your list. Lots of ways to select location, which one is best depends on your particular area.

Beyond those, I also recommend using additional filters to better differentiate your message from competitors sending to all absentee owners as if they were the same.

  • Equity, like above, except separate free & clear from those who have a loan, and use different messages for each group, as their issues and motivations are often different.
  • Age, someone managing rentals in their 70's or 80's is going to have different motivations then someone in their 40's or 50's.
  • Owner location (based on mailing address), a owner that lives far from the property has different issues then someone next door or down the street.

LOTS of possibilities, but hopefully that gives you some ideas. The more unique your list and message, the more likely you are to improve your response rate. 

@Jonathan Tang , yes, I'm the founder and CEO of PropertyRadar, happy to answer any questions. As for % of equity, it depends a bit on your business model. When I was investing I was highly vertically integrated and was oriented towards doing volume so I could work with a pretty small equity %. Netting 5% on a deal that I turned in 60-90 days gave me annualized returns on capital of >20%, which fit my business model. If I was doing a few deals a year and was relying on outside vendors, I'd look for MUCH higher returns. That said the typical advice is to look for at least 30% equity.

Also keep in mind that all vendors equity numbers are based on computer models, meaning they are estimates. As such they work amazing for narrowing down a list to properties that are LIKELY to have equity, but you will still get calls from people who don't actually have equity. Also, that criteria will miss some people that actually do have equity - the most common case being people having unused home equity credit lines (HELOC), as the computer model has no idea what the current balance is, and many are zero, but the computer models assume the worst case that the credit line is maxed.

Hope that helps.

Great question. You are light years ahead of people starting out in property investment. We have sent countless millions of offers to owners since 1999 using assessor data consolidators like RealQuest Pro (the back end of Listsource).

For houses I current filter

1. SFRs - leave out all other types of residential

2. 80-100% equity

3. Make sure you collect all owner types, not just LLCs or vacant homes etc (you are not looking for a property in distress, you are looking for an owner who wants to cash out today - they don't own a vacant house - they live in that target property). I just wrote a blog about this yesterday here on  BP.

4. MOST IMPORTANTLY, send an offer to the owner of record that contains your price, closing time frame, and a signature block. PM me if you need the one we have used for years with great success.

We purchase a house according to our acquisition criteria (net $25K immediately on wholesale), for every 3000 offers sent.

Hope this helps and I wish you the best of success.

Hi Jack could you possibly send that to me?

Thanks!

Originally posted by @Jack Butala :

Great question. You are light years ahead of people starting out in property investment. We have sent countless millions of offers to owners since 1999 using assessor data consolidators like RealQuest Pro (the back end of Listsource).

For houses I current filter

1. SFRs - leave out all other types of residential

2. 80-100% equity

3. Make sure you collect all owner types, not just LLCs or vacant homes etc (you are not looking for a property in distress, you are looking for an owner who wants to cash out today - they don't own a vacant house - they live in that target property). I just wrote a blog about this yesterday here on  BP.

4. MOST IMPORTANTLY, send an offer to the owner of record that contains your price, closing time frame, and a signature block. PM me if you need the one we have used for years with great success.

We purchase a house according to our acquisition criteria (net $25K immediately on wholesale), for every 3000 offers sent.

Hope this helps and I wish you the best of success.

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