With the Federal Reserve raising mortgage rates to combat inflation, it’s becoming more difficult to find homeowners who want to give up their property. Motivated sellers and property owners who are ready to sell under market value or with specific terms are a great way to grow your real estate business. These owners may be facing foreclosure, or have inherited a home that they don’t need. Here are six proven ways to find property owners who are motivated to sell.
Driving for dollars
Spend some time driving through neighborhoods looking for distressed properties. Create a list of properties that are vacant or need some care. Search for the owner to discuss selling in this market. Whether you do it virtually with Google Street View or canvass local neighborhoods, driving for dollars is a great way to collect neighborhood data and use that to connect with property owners.
Contact your local attorneys
Attorneys know who is going through a bankruptcy. While they may not be able to give out client names, they can certainly make recommendations to help their clients find a real estate agent. Make sure that neither of you makes any ethical violations of your profession. Establish relationships, and always keep them above board.
Network with county and city inspectors
County and city inspectors also have their fingers on the pulse of real estate in their area. They will know the vacant and distressed properties that may need to be sold quickly. If they know you work with motivated sellers, they’re more likely to recommend you to property owners who may not know the community.
Direct mail marketing
Although seemingly an outdated method of marketing, direct mail can work when it’s done right. Modern direct mail incorporates technology to give you the best results.Many homeowners hold on to postcards for a few weeks if they’re thinking about selling. It’s a great way to build awareness and establish yourself as a local resource.
Visit FSBO sites
Homes that have been listed for sale by owner sites for a long time may have very motivated sellers. Trulia and Craigslist are just two sites where you can check for homeowners trying to sell their home off-market. You can get information about the price and location of the home. Using your knowledge of the local market, you can give the seller info about how you can help them get the home sold.
Review expired MLS listings
MLS listings expire all the time. You can take advantage of sellers who are frustrated and impatient with their potential sale by watching expired listings. Property owners who have not sold may be willing to make concessions to get a deal done quickly.
Target motivated prospects
Real estate can often be a numbers game. You want to get the most people to look at a house to make the purchase, but those numbers can be misleading if you aren’t making sure that you’re reaching people who want to and can purchase a home. It’s the same with sellers. Numbers look good in theory, but it’s just hot air if you aren’t talking to homeowners ready to sell. There are numerous factors that motivate owners to sell, and you’ll want to find those who are the most motivated..
Whether you’re new to real estate or an established investor, finding motivated sellers is key to your success. Take time to understand the top motivating factors and identify the right tools to help you find and connect with motivated sellers first.