Finding Motivated Sellers
Would you believe this happens over and over again?
A smart-thinking investor with an eye towards building wealth buys a rental property. Or, a couple move into a new home and decide to rent out the old one.
Now, I love that investment strategy, but many people don’t do it right – and it opens up the doors for us fix & flip guys to make a fortune.
What happens so often is these owners don’t live anywhere near their rental properties! They figure that with good tenants a rental property can be pretty low maintenance.
And it sometimes is.
But, sometimes it turns into a complete nightmare. They get needy tenants who require too much effort for someone living far away. Or, the owner shows up to find the place is completely trashed after not seeing it for two or three years.
The point is, managing properties from another state is a massive hassle, and many of those owners would be willing to offload the property if someone brought them an offer. I’ve found that many of these people haven’t even thought about listing their property yet (because they’re in a “buy and hold” state of mind), but they jump at the idea when you present them a solution.
So, my favorite and most profitable strategy for finding properties to fix & flip?
Out of state owners of rental properties – especially with a targeted direct mail campaign.
Targeting All Owners
Another landlord-related strategy that I love is to target any owners that you can find in your area. While you likely won’t have the response you would from out-of-state owners, this strategy is easier and cheaper.
For this, you just want to find owners.
And they’re not hard to find – head on over to websites like rentjungle.com, rentler.com, or 100 others. Grab phone numbers for those people and start calling!
The idea here is that many of these owners are constantly buying and selling properties. Among their collection, they might have one they’re ready to move on from. Maybe it got trashed or the neighborhood went downhill, and they’re motivated to sell fast.
And if they’re not quite ready to sell, you’re still making valuable contacts for your real estate investing career. In fact, be sure to ask those owners what types of properties they’re most interested in, and if they’d like you to notify them when you have a property for sale.
Property Managers and Landlords
Sometimes with those phone calls you won’t be able to get owners on the line. Instead, you’ll get a landlord or a property management company. Don’t look at that as a lost opportunity – ask them if they can pass along the information of the owner. Often they’ll say no, but it doesn’t hurt to ask! In fact, I’ll often ask those property management companies if they wouldn’t mind passing along a list of properties I have for sale to the owners as well.
Those strategies are a good start, but you realistically need several strategies in your arsenal that you can pull out and use at any time.
Ready to learn how to find motivated sellers? I teach over 30 of them:
Register and attend our next webinar to learn how all this works.
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