Posted 7 days ago Tips to Find Motivated Sellers for Real Estate Investors Despite the pandemic and uncertain economic conditions, the real estate market remains strong in most parts of the U.S. With less inventory available, real estate investors look for creative ways to seek out motivated sellers. With the right strategies, you can continue to locate potential properties and grow your real estate investing business. Just like you need a strong buyer’s list to find success in real estate investing, you need a solid plan to find motivated sellers regardless of market conditions. The goal with real estate investing is profit, which comes by purchasing below market value and selling for a higher amount, creating passive income with rentals or wholesaling. To make a profit, you need to start by identifying properties that leave room to make money. What Classifies as a Motivated Seller? Simply put, a motivated seller is a property owner willing to sell the property below market value. In most cases, the seller’s motivation is to get rid of the property. This is due to many different reasons from financial hardship to inheriting an unwanted property. As a real estate investor, when you locate motivated sellers you can create a win-win scenario for you and the seller. To maintain a positive reputation as someone sellers desire to work with, prioritize clear and honest communication while creating offers that are fair and trustworthy. This creates goodwill that helps with your long-term business growth. Remember, real estate is a relationship business and your reputation matters! Two Main Criteria of a Motivated Seller: 1. Willing to sell below market value2. Sell with favorable terms When you work with a motivated seller, the deal moves much quicker than a traditional real estate transaction. This is one of the benefits for the seller who wants to unload a property quickly for cash. How to Find Motivated Sellers Often, motivated sellers want you to find them, but they are not real estate experts and don’t know the best options for selling the property. As the real estate investor, you need to understand how to find motivated sellers. Create a plan to find and connect with property owners that want to sell. Real Estate Tools to Locate Motivated Sellers -The MLS (Multiple Listing Service)-Purchased Lists-Websites and Apps – Zillow, Craigslist and others-County Websites and Records -Your Real Estate Investing Network Property Conditions with Motivated Sellers -Foreclosure and Pre-foreclosure properties-Tax delinquent properties-Probate properties-Properties with a high number of days on the market-Expired properties-Absentee homeowners-Inherited properties-Distressed properties Even in tight market conditions, you will find motivated sellers if you have a good strategy in place. Locating motivated sellers is key to success in real estate investing. How to Reach Motivated Sellers Once you figure out where to find motivated sellers, you need a way to connect with them. To increase your capacity for connection use marketing strategies to create greater reach. Instead of limiting yourself to phone calls and meetings, expand your efforts to increase leads. First, you need to build a list of motivated sellers by using your real estate tools to pull out the types of properties most likely to have motivated sellers. You can opt to purchase a list or create your own. You may also use a mix of the two. For example, you can pull a list of probate properties in a specific county or properties with greater than a certain number of days on the market. Decide on your marketing strategy for each type of lead, and create sub lists for each marketing strategy. For example, create a list for email, phone and direct mail. Most of the resources to locate motivated sellers include contact information for the property owner or their real estate agent. Use this contact information to reach them. Direct Mail Direct mail continues to work as a productive marketing strategy for real estate investors. With direct mail, you can reach a large volume of prospects. Plus, direct mail works in combination with other marketing methods, like email and social media ads. Website Your website is essential for good marketing. You need a place to send leads to connect with you. Unlike other marketing methods that have regulations and limits, your website is yours to develop with the brand image you want. Dialer Calls While it may be best to personally call strong prospects, using a dialer connects you with more sellers. With a dialer you can call the property owner and leave a recorded message with your contact information. Email Email is one of the most popular marketing tools because it is effective and cheap. However, there are regulations for sending emails to lists. Email works to remind interested leads of the benefits you have to offer and provide a specific call to action. Motivated Sellers Are the Key to Real Estate Investing Growth To find success in real estate investing, you must locate and connect with motivated sellers. With the right understanding and plan, you can gain leads and close deals for your real estate investing business.