Finding Sellers on a Budget

Finding Sellers on a Budget

When it comes to investing in real estate, working with motivated sellers is a must. This is why so many investors spend thousands of dollars on their marketing efforts. However, if you can master the art of finding sellers on a budget, you can keep more money while finding the right deals. Here are just seven ways you can maximize your marketing efforts while spending very little money.

Read the Classifieds

The classified ads in newspapers are a great source when it comes to finding the right seller. You should look over the rental listings to see if they want to sell as there are landlords who may be ready to get out of the business. There are a great number of homeowners and other investors looking to sell, all you need is to find the right one and all it cost is the price of a newspaper or spending the time looking at craigslist ads.

You can also look for garage sales in the classifieds and craigslist.  If someone is holding a garage sale, this may be an indication that they may be looking to downsize or move.  Why buy their coffee pot when you can buy their entire house?  It never hurts to ask someone that has a garage sale if they are interested in selling their home, the worst that can happen is they say no.

MLS Listings that have Expired

By using a real estate agent, you can find a number of sellers looking to get rid of their properties at low prices. REO and foreclosure listings are popular, but expired MLS listings can lead you to sellers who may be desperate to get rid of their properties.

Mortgage Brokers

Another excellent source for sellers who are motivated are mortgage brokers who run across many applications each week that look to refinance their home. When the applicant does not fit the lender’s guidelines, selling might be the only option.

Email Lists

For every email, business card, or personal contact information you should be building a list. Every few weeks, send out a newsletter or information that helps keep them in touch with you. You may find that one or more of them may have something to sell. This approach is virtually cost-free and can provide you with many valuable leads.

For Sale by Owner (FSBO)

Homeowners selling their properties for sale by owner are good sources for investment opportunities, although it may take time to bring them down on their prices. Basically, you want to catch them after the property has been on the market for a while and has not sold. It may take several months, but you can wind up with some very good deals using this method because over 90% of FSBO’s fail to sell!

Use Bandit Signs

You can invest in small yard signs that read “We Buy Homes” or “Fast Cash Closings” and place hundreds of them around your city for a very low price. Place them in approved locations and check local ordinances so you do not get in trouble.  This is a very inexpensive way to get leads and help boost sales.

Drive Around Town

Take a couple of hours each week to drive around town and look for distressed properties. A tax search at your town hall will identify them for you and a quick postcard will alert them to your interest. You can find a lot of distressed homes and leads in this manner by just driving around town.  If you don’t have a car, bike around town!

Finding sellers on a budget is very easy, it just takes a little time and effort.