How to Find Motivated Seller Leads for Wholesalers
The market is hot and where and how to find motivated seller leads for wholesalers is becoming a bit more difficult, but not impossible. No matter what the current market conditions are, there will always be motivated sellers. There are a number of softwares out there that can help you find leads, and if that isn’t working for you. Then it’s time to re-evaluate your strategy. There might be something you aren’t doing or something you’ve stopped doing that could work for you now.
How to find motivated seller leads in a hot market
The real estate market is so hot right now, some people don’t think there are any deals to be found. The truth is, there are always deals, no matter how the market is doing.
If your mindset is limited, your opportunities will be too. However, if you are constantly innovating and trying new strategies, you’ll always find those opportunities. Sometimes, you have to go back to basics.
3 Strategies for finding motivated seller leads for wholesalers
1. FSBO or FRBO
FSBO means for sale by owner and FRBO is for rent by owner. Homeowners that have posted their homes FSBO or FRBO are likely to be motivated to sell their homes. They may not actually know how to sell their own home and this is where you can help provide solutions. They may want or need to sell their home as soon as possible for a particular price and they probably don’t want to list it with a realtor. When a homeowner uses a realtor they usually pay around 10-15% for closing costs. In addition to the high fees, realtors will still need to get the house show-ready and even when a buyer is found, it can take up to a month or longer before escrow closes. With our strategies, you can close on a house in as little as a week.
Many times, you can catch the homeowner at the correct time when they are tired of trying to sell and their motivation is high. It is all about timing and their situation.
2. Expired Listings
Despite it being a hot market, some homeowners are expecting their homes to sell quickly. This isn’t always the case. Sometimes the homeowner and realtor expect the homes to sell for top dollar, but no one is willing to purchase it for that amount. The comps just don’t support it. So the property stays on the market, the listing expires, and the homeowners are frustrated. This is where you can come in and present to them another option where you can buy their home fast for a price that is a win-win for both of you.
Absentees are homeowners who do not live at the residence. They may have inherited the home and are not interested in keeping it, maintaining it, or renting it out. This is a great population to advertise to convert. You can do a search at the tax assessor’s office and pull the list from there or buy from a list provider like listsource.com
How to find motivated sellers in your database
If you have a database or a bunch of emails in your inbox, get them together because there are some powerful ways to connect and revive a dead lead. Sometimes these leads may not have been ready to convert, but they are now.
If you’re not maintaining open lines of communication with people you’ve talked to or people you’ve done business with in the past, this is your chance to establish communication and fill your pipeline up again.
3 Strategies to change dead leads to motivated sellers
1. Using valuable content
Since you may not have reached out in a while, you may not want to spam them with a direct sales pitch. People are aware and will be put off, instead I recommend providing valuable content that will engage the cold lead that can lead to a response.
2. Highlight new trends
Establishing yourself as a thought leader is a great way to build credibility and have people feel confident in you. I recommend sharing something with your leads that can be useful and timely. You’ll quickly see calls and emails coming in.
3. Get Personal
Perhaps the previous strategies may not work for you. That’s okay, you can instead focus on your leads. If you haven’t already, connect with them on social media. See what they’re up to, create an organic conversation about what’s happening in their lives. They might have received a promotion at work and need to move. This might be the best time to reach out as they might be looking to sell their home. It’s all about timing and creating a relationship with your leads.
With these 6 strategies, you should be able to generate leads in the next 30 days. Once you find motivated sellers, you may want to see if a subject-to deal might be reasonable. If so, this allows you to use their financing, so you don’t have to use your own credit. You can learn more about this method through my Investor Kit.