It seems that every post I read here is about getting sellers…well my question is how to find BUYERS. We are in the Atlanta area, and it is a serious buyers market. We have sooo many short sales we can get without any work at all. Our problem is find people that can pay with cash or can even get financing since you have to have a note from Jesus Christ himself to get a loan these days (funny side story, my parents just bought a rental home and they have an 814 credit score, and they were put through the ringer just to get a loan).
What is the best method you guys have found for selling properties wholesale? What kind of bandit signs have you used? Using an agent? putting it in MLS yourself? I am hesitant to spend a lot of money marketing a house that I just have a short sale contract on… if it does not sell within the 30 days per contract, I am out all the marketing money. Like I said, we may have 10 -15 short sale contracts at a time, but have not had success hooking up with (qualified) buyers.
Great question… You’re right we always talk about buying a rarely selling… Here is how I sell my properties
Price is always the main motivator… Inside of price are concessions. Inside of concessions are fees paid for buyer and fees paid to agents. Inside of fees paid to buyers are reduced prices or costs paid on buyer behalf.
So currently I am offing the houses at 85% of value and offering a 4% Selling Agent commission. If a seller needs their fees paid I will bump the price and pay as much as the lender allows , even a seller carry if they don’t have the total down that the lender requires as long as the lender is aware of the note.
I also have an ad in the newspaper that offers the house for sale. As a broker I can have my cake and eat it too and if you’re not just enter into an “Open Listing Agreement or an Agency Listing agreement” and you’ll be able to sell yourself if you find the buyer without paying commissions. The one you don’t want is an Exclusive right to sell.
By the way I always put my for sale sign up. Even hung banners on the garage…
There are those that profess to add spiffs onto the deal… maybe a car or vacation… Builders offer pools all of the time… Just make certain the lender allows it.
As for network marketing and selling. You should be telling everyone you know that you have a house for sale. The following is a list of types of people in your sphere of influence and most definitely take advantage of them.
• mother and mother-in-law
• father and father-in-law
• brothers
• sisters
• former and current brothers-in-law
• former and current sisters-in-law
• past and present CPA
• past and present attorney
• past and present real estate agent
• landlord
• hair dresser
• manicurist
• massage therapist
• workout trainer
• tailor
• pool service rep
• gardener
• doctor
• all members of a charity organization you might belong to
• church members you know
• anyone you have donated money to—ever
• co-workers
• former co-workers
• former employers
• current employer
• current customers of your current job (be sure to first get approval from your supervisor)
• former customers
• drinking/social buddies
• college friends
• high school friends
Probably the most important thing to do is answer the telephone when it rings and ask the series of questions to qualify the prospect. Make sure you don’t give out the price until you gather their information.
Call you title company and ask for the addresses in the neighborhood of Absentee Owners and mail to the address a flyer…
Call Lenders on a weekly basis and network… I like calling 2 each week and introducing myself to them and see if they have a buyer who may need seller concessions to qualify.
Make no mistake about it, in today’s market it is much more difficult to find a buyer… and we investors need to learn how to sell using seller financing deals…
Good Luck
wow Mike, with all sincerity that had to IMO the best reply of yours that I have seen, solid info…
allow me to add 1 thing I use with much success, and that is I create a buyers/agents list of emails. every person that calls me I ask for their email and permission to send them info on REALLY GREAT DEALS… 99% say yes, gladly!
this is done best via the internet (squeeze page) and is by far the way of the future, yoour favorite truly successful guru does this…
oh… I seldom market one property, instead I market ‘discounted nice homes’ multiple properties at once which attracts owner occupants who are looking for a great deal on a home!!! a good realtor & mortgage broker can make life investing a God-send for savvy investors…
Word of mouth, closing cost assistance, (basically new houses), and PRICE is how we are getting ours sold. We are taking some hits on our pricing but we just had 5 offers on one house last week. For those looking for top dollar, or feel their price is reasonable you may be missing buyers because of resistance to change and addapt with the market.
I like what Michael talked about regarding the types of people you can influence. The one thing I am concerned with is minus your direct family, your chances of getting decent funding from those other sources would be pretty difficult, meaning you would have to pretty much tap all of those resources he listed to get the appropriate funding. Personally speaking, that would be a nightmare to know that I owe all of those people back money, which they will be sure to remind you of in your encounters.
Then again, if it’s either this option or not getting the money, then I guess that’s the way it has to be. Beggers can’t be choosers…
Product - absolute best product on the market in that category
Price - best price for a home like yours (usually lower than all the others like it)
Preparation - stage it, make it feel like a home, have brochures and flyers about the house there for people to take with them