As the real estate investment market heats up, the market participants who realize the best returns are those that have the most detailed information earliest. That is why so many beginners are told to consider a real estate sales license. After all, it gets you into the MLS and lets you market properties yourself when it’s time to sell. What about information that leads you to properties that are not on the market yet?
Skip Tracing Software for Real Estate
Private investigators and debt collectors use a process called skip tracing to find people. It involves using available public records to triangulate information about who owns properties and what they have on record for contact information. In real estate, the same information can be used to identify possible motivated sellers, producing pre-market leads investors can follow up on to bring wholesale properties to market themselves. If you check out the reviews for real estate skip tracing software, you’ll find the industry currently has two leaders, BatchLeads and Propstream.
This real estate investment service can be accessed through a regular website from your PC or the app, making its text messaging features easy to access and intuitive. BatchLeads developed the service to deliver the most accurate and up-to-date skip tracing data possible to real estate investors. The system uses only tier-1 data, the most up to date records from the most verifiable sources, to help investors find properties whose owners are likely to be motivated to sell:
- Early-stage foreclosures
- Homeowners behind on mortgage payments
- Homes in probate
- Vacant properties with absentee owners
- Lots with outstanding liens
- Properties purchased by cash buyers
This information helps you figure out who may be looking to walk away from a building you want to turn, and it’s also an excellent tool for selling if you wholesale properties. Cash purchases and ownership of multiple properties in the same area are strong indicators of another investor, and both can be found using the BatchLeads system.
BatchLeads Features & Pricing
The company advertises itself as the most accurate and complete skip tracing database available, attesting to coverage of 99% of property owners via available public records. On top of the raw data, the system uses GPS-aided map navigation so you can look around and get data on nearby properties on the fly.
- Contact features are built into BatchLeads to help you reach out to potential buyers and sellers
- Price breaks on volume contact via postcards and letters
- Maintain thousands of contacts to keep leads active while owners consider options
- Build a database of local investors you can contact with available wholesale properties
- Skip tracing costs per match shrink with each plan tier upgrade
The way pricing works is quite simple. You choose a plan for the subscription, which dictates your cost for tracing matches, the number of custom fields you can add to letters or postcards, and the maximum number of users you can add to your account. Higher tier plans can manage orders of magnitude more contacts. High volume investors may save money on tracing matches with the right upgrade, and paying annually instead of monthly can also help you reduce your costs further.
- Base plans cost $39 monthly and save $9 per month with annual payments, enjoy tracing matches at $0.14 each and add up to 100,000 contacts.
- Performance plans start at $129 per month but drop to $1200 total for annual subscribers while offering $0.12 matches, 2-4 authorized users, and up to 500,000 contacts.
- Performance + service is $299 per month with a savings of $66 monthly for annual billing, offers 2 million contacts, unlimited users on your account, and matches for just 10 cents.
The best part? All plans include onboarding, so you learn the finer points of the system without any hassle or stress. That lets you get the best possible return from this tool from day one.
What Is Propstream?
The other major skip tracing app for investors is Propstream, and its reviews are also largely positive. The company seeks to bring detailed pre-market information to investors and facilitate their use of it through outreach features similar to BatchLeads. Still, the company’s focus in its literature is the power of its integrated marketing platform for putting the data to use, not the accuracy or completeness of its data. That marketing platform has many solid features, but the outreach tools for initiating contact are a little more limited.
Propstream Features & Cost
The data points and search capabilities advertised by this service are very comparable to those at BatchLeads. Still, the company does not represent itself as having access to solely tier-1 data. They do not support text messaging but they do have email outreach, as well as postcard services with volume discounts. Pricing is quite different from the competition, with Propstream cost structures providing fewer savings on the lower end for the individual investor. Plans cost $99 per month at the base, with a $27 list automator add-on that drops the price of skip tracing and an additional cost of $20 per team member per month.
- If you are looking to choose between the two services, here are some points to consider:
- BatchLeads is the only choice with a base plan below $99/month
- The cost of skip tracing for both services is comparable to the plan costs
- Propstream skip tracing does not have the same level of accuracy as BatchLeads proprietary skip tracing
- Postcard costs can be lower with Propstream at high volume, but only BatchLeads offers the option to send letters
- Only BatchLeads offers additional custom fields with higher-tier plans
- Only BatchLeads offers annual payment discounts
If you consider the size of your operation, your needs, and the total overhead from combined plan costs and marketing outreach, the choice should be clear. Each has its advantages, and the numbers will tell you which set of benefits works best for your current situation.