Helping sellers who are facing imminent foreclosure is the main focus of our teachings, finding sellers in pre-foreclosure and helping them get their house sold quickly. In fact, if you’re in the business of buying distressed homes, you probably have a pretty big heart and good business sense at the same time.
There is indeed the opportunity for success within the pre-foreclosure niche, and to be successful, it requires taking time to prepare, plan, and execute the strategies that we teach. If you’re doing things like building rapport with sellers, explaining the ins and outs of how you can assist them, and empathizing with their housing situation, then you’re on the right track for sure.
Always about the sellers
When you’re helping sellers facing foreclosure, remember always to make the conversations about them and not about you. Not all sellers in distressing circumstances understand the various options they have. They might think their only option is to let the home fall into foreclosure. This is why you’re quick to let them know that you’re in the business of NOT letting that happen.
So, as you begin to build rapport with the sellers, listen to their stories. Come to understand why they must sell their home quickly. What life circumstances have occurred to put them in this situation? Show empathy and compassion, because if you are merely spewing out information and not relationally connecting with them, they’re likely to stop listening.
Create a win-win situation
You want to create a win-win situation for them and for yourself. As you listen and then share how your business works, you’re offering them a solution that’s usually pretty easy for them to get on board with. And, keep in mind that they’re probably going through some heavy emotions and undue stress too. They may feel angry, sad, ashamed, frustrated, and so on.
If you’re dealing with sellers in emotional distress, think of yourself as the empathic real estate investor that can offer them light at the end of the tunnel. You might not be a counselor, but you can provide caring counsel and give them hope that there is a way out of their distressed selling situation that doesn’t involve bankruptcy.
As a real estate investor, take the time to do your due diligence and offer the sellers a way out of their painful home situation. Be sure the numbers work, so you make a nice profit and at the same time offer them a better alternative than foreclosure. By you purchasing the home from them, they avoid falling into bankruptcy, and thus, the negatives that come along with such. When you can get the sellers to realize this, they’re likely to be ready to sign the contract in no time.