myEmpirePROIn this lesson, I want to share my personal top 5 best list of potential motivated sellers for wholesaling.
East Orange, New Jersey.
It was my first home buyer’s seminar that I went to after a friend told me about it.
Before I knew it, I had wasted an afternoon looking at properties that would never be prospects for investing.
Luckily enough for me, I stumbled into the Garden State Real Estate Investing Association
which was held at the Sheratons in Woodbridge New Jersey.
A guy by the name of Rich was presenting and I ended up paying $300 for his course
where I learned about targeting a motivated seller list.
Ever since then, with 15 years of experience,
I have come up with a personal top 5 list to go after with the best chances of generating motivated seller leads.
My name is OLA and I am the author of 2 books:
Smart Real Estate Wholesaling and…
Real Estate Money Secrets
Which you can download absolutely for free at:
www.SmartRealEstateWholesaling.com
I am also the creator of myEmpirePRO and the 11 days challenge quick start guide which you can access at:
Real Estate Wholesaling is the art and science of finding deeply discounted properties by mass marketing to potentially distressed property owners.
People in their right mind won’t just turn around and give away a house unless that house represents a liability to them.
So it is counterproductive to go after every random house and knock on doors when databases of lists intelligently built to know information that translates to distress in real life actually exists.
So let’s dive right in.
Motivated Seller Leads Lists #5 – Tired Landlords
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This is a list of properties where the mailing addresses on record is different from the actual property addresses.
It indicates that the property is owned as an investment property while the owner of record lives and receives mail somewhere else.
It doesn’t guarantee that they are willing to sell the property at a deep discount.
What we do know is that most landlords don’t enjoy being a landlord because it is a stressful and full-time job they are usually not prepared for.
Many of them don’t realize that being a landlord and being an investor are two different things.
So having tenants call them at 1:00am because of a busted water pipe without worthwhile return in-sight just makes them tired.
If the timing is right with your outreach and marketing campaign, they may be willing to sell at a deep discount.
With that being said, you can stack this list up again multi-family as an attribute in your list search software and pick up good deals for real investors.
Motivated Seller Leads Lists #4 – Tax Delinquencies
The tax delinquencies contain properties with owners who are behind on their property taxes.
Again, many wanna-be investors find themselves in dip shit after buying into the dream of becoming overnight millionaires in real estate.
When they go online to use a typical mortgage calculator to calculate the monthly mortgage payment,
all they get is the principal and the interest.
So the property taxes (which supersedes the mortgage) and the insurance expenses are usually left out in the blind spot of proper preparation.
Believe me when I tell you as I am speaking from experience of helping clients out of similar situations.
If a property owner is behind for the first time, it’s usually not a big deal because they can catch up easily.
But the more they consistently get behind, the higher the chances they will be willing to get rid of the property because it would now represent more of a liability at that point.
Motivated Seller Leads Lists #3 – Failed or Expired Listings
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So when a normal property owner is looking to sell on a normal day,
they usually consult with a licensed real estate agent sometimes known as the realtor.
After evaluation, a listing agreement is signed to initiate the process of selling the property.
The agent then lists the property on the multiple listing system (MLS) where other agents can see it for exposure to buyers.
The term could be 30 days (which is unlikely) or as long as 90 days. They can also be extended.
Every listing agreement comes with a term which is a period after which the agreement will fail or expire if the property is not already sold.
This is precisely how a property is added to a failed or expired list.
We know that the owner wants to sell and we also know that they are having a hard time selling the property.
Therefore there is an increased chance that they are willing to sell at a significant discount.
Motivated Seller Leads Lists #2 – Vacant Properties
Like I said earlier, no one is giving houses away unless the house represents a liability in their life.
So a property sitting there vacant is essentially a non-performing asset a.k.a a liability.
The good news is that the post office and relevant agencies maintain the list of properties with return mails.
This is gold.
Motivated Seller Leads Lists #1 Pre-Foreclosures & Lis Pendens
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In the next lesson, I will share more about why lis pendes creates the best opportunity to capture motivated seller leads.
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Two, so you can get notified of that video when released.
For now, just know that I may be a little biased because I made most of the money I made in real estate through pre-foreclosures and lis pendens.
Lis Pendens is that point where the property owner is already behind on mortgage payment to the extent that the bank has filed a pending lawsuit to foreclose on the property.
The Main Lesson
Pick one list and focus on marketing to that list until you close your first deal.
Distraction was my major enemy for a long time in this game. Don’t be a victim.