Are you struggling to find wholesale real estate deals that are not on the MLS? Are you getting all your wholesale real estate offers laughed at or just rejected? Does this mean wholesaling of real estate is dead? The correct answer is NO! It is still alive and well, but you need to tap into other sources for motivated sellers than the MLS. The MLS in most markets has a lack of inventory available and a healthy supply of retail buyers. Now is that really a bad thing? Heck no, you have a sellers market. It is the best time to sell a rehabbed property to a retail buyer, but you need to find other sources to find distressed properties with motivated sellers.
Now, how do you find these motivated sellers with distressed properties that are not on the MLS? Here are some of the ways to find motives sellers of homes in any market.
- Referrals – one of the best sources for home leads come from referrals. I enlist an army of people in any market to refer properties to me. It is less work that I have to do and fewer people I have to know. Many of these people would love to make a few hundred dollars from something they come across on a regular basis, but they didn’t know that it could be worth anything. You want to target anyone doing deliveries, anyone dealing with a regular client base, any one doing health care, anyone working on anything in the property services industry, and so on. You need to guide this group as what you are looking for and where so you get good quality property leads with suffient information ion about those leads.
- Probate leads – The heirs of the decessed tend to me motivated sellers with a property that often needs updating and/or repairs. There are lists you can buy. You can associate with probate or estate attorneys. You can associate with fumeral homes and estate planners. Some courthouses are easier to search than others for locating probate filings. You can locate these leads in the legal notice or public notice section of your local newspapers.
- Divorce leads – the attorneys and legal assistants that perform uncontested divorces will be a good reliable leads for motivated sellers.
- Bankruptcy leads – the attorneys that advertise flat fee bankruptcy filings can be a great lead source for motivated sellers.
- For sale by owners- you should call on all for sale by owner properties. You will want to keep track of this lead, since they may not be motivated enough now, but in the future they might be more motivated to sell.
- For rent signs – you should call on all for rent signs. If the property remains vacant for too long, the seller becomes more motivated. If they are absentee owners, they can be even more motivated to sell.
- Free and clear properties – you can have a title company or attorney do a courthouse search for any of the paid off properties in any given county. They might look for reconveyances or satisfied mortgages. Especially, if they are absentee owners.
- Bandit signs – these signs are usually yellow coroplast signs with a handwritten message on it. You will put these in areas where you want to find properties. You should write a message such as “We Buy Houses and your phone number”.
These are just a few ways that you can find motivated sellers in any real estate market. Now, it is Tim to get up and put some of these approaches into effect, so you can keep your real estate wholesaling or real estate rehabbing business competitive, if not beating out your competition. There are plenty of off market houses out there, you just have to be a little smarter than the average real estate investor.