The heart of a property sourcing business is finding motivated sellers. There are many reasons that make sellers motivated to sell quickly, such as the property being vacant, the homeowner needing to move, downsizing or not having the money to do necessary work to the property.
Think about the potential clues of what would make a seller motivated to sell – is the property empty or is it listed with multiple agents? How long has the property been listed for and has there been price reductions in a short amount of time? To effectively source property deals, finding motivated sellers of suitable property investments is key, so here are six ways to find motivated sellers.
Start any search for a property deal on property portals, such as Rightmove and Zoopla. It can be easy to spend hours aimlessly searching for properties, but it’s important to have a clear focus and utilise the portal’s detailed search features. You can even set up alerts, so the portal will contact you when properties come up that fit your criteria.
Estate agents provide valuable access to motivated sellers. Estate agents are typically the first to know when property owners want to sell their home or property investment. Building strong relationships with estate agents can bring many benefits to property sourcers, such as becoming the person they think about first when a suitable property investment opportunity arises and obtaining access to off market deals.
Letting agents predominately deal with letting management and have access to landlords who may be interested in selling their property investment. It’s important to note that letting agents may not be open to working with property sourcers as letting agents could be afraid that they’ll lose management business if they work with a property sourcer. Because of that, it’s important to be clear and transparent about your role and how the deal will be structured.
Estate agents and letting agents can provide access to off market deals, but your networking base can also provide access to off market deals with motivated sellers. Networking can bring forward leads, but it takes time to build up a network base. Attend property networking events, build relationships with people in a variety areas of the property sector and be active in relevant groups on Facebook and LinkedIn to build your network.
Marketing and advertising
The digital world provides opportunities for you to reach motivated sellers through advertising. Google Adwords and Facebook ads can help you get in front of a large and targeted audience. It’s necessary to test and optimise your campaigns to evaluate your results and lead generation. You can easily scale this up and down as necessary.
Direct mail and leaflet drops are also effective forms of marketing as you can target suitable properties and locations. It can be helpful to keep leaflets in your car. If you see a suitable property with multiple for sale signs, drop a leaflet in the property’s letterbox.
It’s possible to find motivated sellers directly. There are a range of free ad sites, such as Gumtree and Classiads, where people advertise things for sale, such as properties. It’s important to note that you’re likely to have a better chance of doing successful deals through estate agents as the seller is likely to be more educated on market values though their agent. However, it is possible to conduct deals directly through private sellers, but be aware that sellers on ad sites could end up being unreliable.
Keep growing your network and build relationships
To find more motivated sellers, keep growing your network base in the property sector and build relationships online and face-to-face, especially with estate and letting agents, and use and evaluate marketing and advertising campaigns, as these efforts could lead to deals.
At PropertyMenu, we pre-screen and vet investors, so you have access to motivated and reliable investors who are ready to invest. This makes it easier to find and work with investors you can trust, so you can spend more time sourcing property deals and finding motivated sellers.