Many people out there continue moving, meaning many homeowners are buying and selling their homes. Besides, there is good evidence indicating that most motivated people who are selling their homes are doing it because of proximity to family and friends, job relocation, and small spacing. With many people regularly moving around, finding a home seller can be the easy part. But you need to focus your efforts on finding distressed seller leads from LeadGeeks.com so that you can get incredible deals. This article is a guide to finding motivated home sellers.
Understanding the meaning of a motivated seller
A motivated seller refers to a property owner who wants to sell their rental property, primary residence, or any other real estate asset fast with minimal problems. In most cases, the motivation for these homeowners arises because of certain situations associated with sudden life events or financial distress.
The unforeseen circumstances usually need homeowners to sell their homes quickly without spending any money or time preparing the property for sale. Many motivated sellers are not usually in a good financial position to repair the property or even stage it so that they can get more money for the property.
The motivated seller can be willing to sell the home below the market value so that they can get the convenience and speed that they want. This is where the term motivated seller arises. Keep in mind that a motivated seller is sometimes called a distressed seller. A home seller can be motivated to sell because of various reasons. These include foreclosure, divorce, code violations, small spacing, financial distress, job relocation, and many more. As you can see, there are many reasons why a seller can be motivated, so you need to know them, build rapport, and find out why they intend to sell the property.
Remember that motivated sellers have a desire to sell their home because they have a problem they want to resolve. This is the reason why any credible real estate investor needs to help motivated sellers so that they can come out of their difficult situations.
An understanding home must figure out the real motivation in order to bring the right offer. This should be an offer that any motivated seller can find it hard to resist as it can assist relieve them of their challenges. Giving a motivated property owner the right solution to their problems while also offering you a profitable real estate chance can lead to a win-win situation. Unlike traditional sellers and buyers, real estate investors help motivated sellers by purchasing the home fast, in as-is condition, in a cash deal, and without doing repairs.
The investor hopes to get a return on this investment by either wholesaling the property, flipping the home, or even leasing the home for rental income. There are endless opportunities, but it all comes to the skills and creativity you possess to find the best solution. Experienced real estate investors can bring creative deals that match motivated sellers’ goals. Unfortunately, this is something that many retail buyers fail or are unwilling to do.
Negotiating with motivated sellers
When you meet a motivated seller, it’s important to ask questions. You need to get the conversation going and understand the situation by asking the right questions. You need to ask the homeowner when they bought the home, why they are selling it, and when they intend to sell it. You can also ask them the money they owe on the home and what they can take for a cash purchase.
It’s important for any real estate investor to understand what motivated sellers desire so that you can get a good deal. If you understand the reasons that are making them motivated, then you can know their goals and plans for the future. You need to offer a deal that can help the motivated seller manage their problems. In this way, you can assist the motivated seller to get closer to their goals. It’s also crucial to listen to what a motivated seller is speaking, but you need to do this respectfully. It’s worth noting that such simple manners may enforce a motivated seller to gain trust in you and it can help to build rapport. Therefore, you need to carry yourself properly around motivated sellers as this tends to determine whether or not they want to give you a hard or easy time in buying their property.
You need to have positive personal qualities and show that you are ready to do anything according to their wishes. This can force a motivated seller to be more inclined to provide better terms. Take the time to step in the motivated seller’s shoes and offer a deal that is mutually beneficial. Consider important factors including the time the seller wants to close the deal and if they want to get a leaseback or rent back after closing the deal. If the motivated seller happens to be in financial distress and needs the cash quickly, then give them an all-cash deal.
When you do this, it means that you have offered a sense of certainty and speed for the motivated seller in exchange for a low price. This is one of the several ways experienced real estate investors negotiate property deals by avoiding traditional contract contingencies like financing, appraisal, and property inspections.
Another thing to tell a motivated seller is that they don’t need to pay a real estate commission if they intend to sell directly to investors off-market. These commissions can take up to at least 5 to 7% of the total sales price. Also, you can remind the motivated seller that they don’t have to list their home, hold open houses, show the home to a stranger, do repairs, pay for home staging, or many other things.
The bottom line is that you must provide an irresistible offer to the motivated seller, but you should familiarize yourself with various elements of real estate purchase agreements. Depending on your assessment of the situation at hand, there is a good chance that you can offer an acceptable solution to the motivated seller.