There is no better Real Estate Investment deal than that of a motivated seller. We all want to find those motivated sellers. Those property owners who simply need to make a deal with an investor in order to unload their burden of a problem property.
The first thing we must do as wholesalers or Real Estate Investors is understand what makes a seller motivated. What makes a seller so motivated that they are willing to make any deal possible in an effort to unload their problem property.
Here are some of the circumstances that make a motivated seller.
They desperately need to sell their property because of financial circumstances. The loss of a job, the death of a loved one etc… Something happened that changed their financial situation.
They are in an Adjustable Rate Mortgage and can no longer afford the payments.
They are in preforeclosure and need to sell their property to avoid an inevitable foreclosure.
Your success as a Real Estate Investor or Wholesaler depends on your ability to distinguish between a motivated seller and a non motivated seller. You will never convince a non-motivated seller to turn into a motivated seller. You will be wasting valuable time trying to transform a seller who does not have current circumstances to make them motivated enough to make a deal.
Evidence of a motivated seller depends on the answer to two basic questions.
Would you sell your house for what you owe on it?
Would you let me buy your house by taking over the payments?
If the seller answers yes to these questions they are truly motivated and you should be able to lock in a great deal with owner financing “subject to”.
If the sellers answer is no to these questions then they are evidently not motivated and you will be wasting valuable time trying to negotiate. Move on until you find that motivated seller that is willing to negotiate a great investment deal…
What if you only want to sell the home for cash, and not deal with owner financing? What type of questions should we ask the sellers to pre-qualify them to see what their motivation is and how motivated they are? :smile