Motivated Sellers
Hi. I've been doing a lot of reading about REI for a while and I was wondering how to attract motivated sellers.
I've found that reading through the local newspaper and looking at the real estate section yields very limited results, especially with sellers wanting top dollar for their homes (which is NOT telling of a motivated seller, and is not a way to find a bargain), and dealing with offers made by other people.
Would anyone have any advice on how to attract motivated sellers?
Practically all of the basic "how to invest in real estate" books give the two main ways to find motivated sellers.
One is thru advertising with a "we buy houses" type ad. Sellers will then call you.
The other is thru "bandit signs." These are the signs you see all the time at stop signs and crossroads advertising something. In this case, it would be "we buy houses, call xxx-xxx-xxxx." or something of the like. The main problem with this is that many places have outlawed them, so putting them out may get you fined, heavily in some places.
There are other ways as well. It really depends on what area of REI that you want to concentrate on.
Roger
I don't think bandit signs are banned here.
I'm seriously considering running ads in the newspaper and the free newspaper as well. It seems like that would be a good option for me. Would business cards and flyers help, too?
Right now, wholesaling sounds like a really good way to build up money for me.
WOuldn't I need to figure out what I would want my ad to say, though? The purpose is to attract a motivated seller, right?
There's only two ads for 'real estate wanted' in my newspaper.
thanks for replying.
[addsig]
If you're consdering wholesaling, then advertising in the paper for motivated sellers will be a waste of time. To be a successful wholesaler, you have to buy at steep discounts so you can resale at high discounts. Most homeowners will not have that kind of equity in their homes. You'll also need a good list of investor buyers available for quick resales.
As far as the ad goes, it could be as simple as the "We buy houses, Call XXX-XXX-XXXX." That's what you're wanting to do, right? Others I've seen: Sell your house fast, Cash for your House, Quick closing and top dollar without a RE agent, Call Now.
Roger
You're right. I'd want to have at least find a property I can gain for at least 15% below value.
While I'm a bit confused as to why advertising in the newspaper would be a waste of time?
I'd just like to find something that works and just do it, you know?
'Is your house stressing you? Quick close and fast cash. Call xxx-xxx-xxxx.'
Something to start, at least.
Nope 15% wouldn't do it. You'd probably want at least 40%, if you're wholesaling, 'cause you'll make your money, then there's gotta be some in there for the wholesaler. Wholesaling, I think, is HARD to do. And not easy. It's hard to not pay too much, then there's nothing there for an investor, so you can't turn it, if you're not careful. I'm not trying to be discouraging at all, it CAN be done, and you can make a lot of money at it, but it's just tuff, I think. Personally, I think buying, fixing up, and retailing is easier, but then that's just MY opinion, and what works for ME...
40%? That's more than what I expected.
I'm sure it can be done.
I like challenges.
But since I"m starting off, I would imagine that retailing may be a better option..?
I would like to attract motivated sellers within the next month. I'm not sure just looking at the newspaper every couple of days is going to do it.
I don't mind walking through my area looking for abandoned houses/properties. But is there other things I can do?
I'm sorry for the questions. I feel like I can do this. And I want to get rid of any fear and doubts as well.
Thanks for the replies.
You may want to check out the advertisement on this site below the property feed on the left / top of site. It is yellow with black letters and says " Looking for Motivated Sellers?" It is great inexpensive way to get sellers who will sell at a discount. It will set you back $25.00 per month.
Funny you should mention that site. I bookmarked it the moment I looked at it.
( : Apparently it MUST be worth the $25?
Maybe I should develop a marketing plan?
I take in as much info as I can daily so when the time comes, I can just go with what I know. I don't like to be be unprepared.
I agree with Jam200. I think wholesaling is harder to do, but it can be done. If you can't do the work yourself, contract out. Just knowing the cost of things is an obstacle. But hey....we learn through our mistakes!!
Chris G
>>>Even if you retail you shall review or assess your deal before even making an offer. There are many variables that can make or break the deal. I have an application that might be useful to you.
Makes perfect sense to me. Doesn't seem too wise to make an offer on a property whose numbers don't seem right.
What should I do for my first ad?
Something like...'Is your house stressing you? I can help. Quick cash, close and more. Call xxx-xxx-xxxx'
Can someone give me the website link spoken of in this thread on how to attract motivated sellers? If you don't mind, post it as well as PM me with it. Thanks in advance.
Quote:
On 2004-04-26 09:27, 3698 wrote:
You may want to check out the advertisement on this site below the property feed on the left / top of site. It is yellow with black letters and says " Looking for Motivated Sellers?" It is great inexpensive way to get sellers who will sell at a discount. It will set you back $25.00 per month.
:-D