What is a Motivated Seller?
I have developed my multi-million dollar real estate investing business by finding motivated sellers and buying their homes. But, what exactly is a motivated seller?
You might think of a motivated seller as someone who is facing foreclosure. While this does make up the majority, there are many other reasons people need to sell their home quickly.
Definition of a Motivated Seller
A motivated seller is not someone who wants to sell their home, but needs to sell it. This can be for a variety of reasons.
- Facing foreclosure or pre-foreclosure
- A death in the family
- Already purchased another home
- Relocating for a job
- Facing financial problems
This is not an all-inclusive list, but encompasses many of the reasons a seller might be motivated.
Benefits of Motivated Sellers
There are many ways a motivated seller makes an excellent investment opportunity.
- The seller is usually facing something that is forcing them to sell their home quickly, you can likely buy the property at a large discount.
- Aside from the lower sales price, because of the motivation, the seller will want to close quickly.
- A motivated seller will consider non-traditional sales methods, like working with an investor.
The key is being prepared to sit down with a seller and explain how you can help them get out of a tricky situation. If you educate them about the cost and the timeframe of a traditional sale and the benefits of working with you, they will be much more likely to negotiate a lower selling price.
Where to Find Motivated Sellers
You can market to motivated sellers easily once you know the right places to look. To start, you can search expired, cancelled, and withdrawn real estate listings. You can also search for probate listings, absentee owners, and landlords who might be ready to sell.
Once you find motivated sellers, there are many ways to market to them, including:
- Direct mail
- Calling listed phone numbers
- Sending messages or emails to listings you find online
- Putting bandit signs around town advertising that you buy homes
To learn more about how to find motivated sellers and strategies to invest in homes to secure your financial future, I invite you to come to one of my live events or to get started with my Investor Kit.