Look for These 5 Types of Motivated Sellers

Motivated real estate investors are always on the lookout for motivated sellers because it’s that motivation on the seller’s end that can cause them to sell below market value. If you’re an investor, you’re probably well aware that locating slightly motivated all the way to highly motivated sellers is one of your primary objectives.

But who are the motivated sellers? What makes these particular sellers motivated? Are there various types of sellers to keep your eyes peeled for?

There sure are and here are 5 types of motivated sellers to target:

Sellers with Distressed Property

Maybe there’s no foreclosure crisis going on right now but bet and believe there are plenty of property owners facing foreclosure. Your first type of motivated seller starts here, looking for the men and women whose property is in default or is just about to default. There are plenty of homeowners who face circumstances where they need to off-load their home quite quickly. Those that are facing divorce, illness, relocation, disability, job loss, and so on – they’re motivated, and they certainly want to close quickly.

Investors that are Retiring

Another group of motivated sellers are those investors that are ready to hang their hats and enjoy retirement without having to take care of a property investment portfolio. Maybe they’ve been managing their properties for years, but aren’t physically able anymore. Or perhaps they need to cash out to cover medical expenses or travel the world. Or maybe they just don’t want their heirs to have to contend with their properties and would rather have the cash to leave behind.

Regardless, they’re ready, and they’re motivated to sell. A great way to meet such investors is to attend your regional real estate investing events and network.

Sellers whose Homes have been Damaged

There’s no shortage of natural disasters these days, from major storms to hurricanes to tornados. Areas, where there are storm-damaged homes, may have plenty of sellers who are motivated to sell.

Maybe their home has had some damage and needs major repairs that they don’t want to invest in. Or perhaps they’re ready to relocate from the area due to so many water-related disasters like hurricanes and floods, as we see in the Gulf. They may be motivated to get out from under such distress, allowing their homes to sell below market value.

Heirs of Wealthy Family with Real Estate

Another group of motivated sellers are the beneficiaries of property that’s inherited from wealthy family members. In case you didn’t know, there’s a vast wealth transfer going on right now, primarily in real estate, with trillions of dollars being left to family members of the baby boomers. And the heirs aren’t loving the idea of maintaining the property, so many are cashing out and going on to live their affluent lifestyle without real estate tie downs.

Investors who have Failed

Not every property investor has been successful due to various reasons, so there’s always going to be those that have failed and are ready to cash out. Maybe they rushed into investing without taking the time to learn the business first or used the wrong strategies. Or perhaps their “fix-and-flip” just didn’t go as planned. Regardless, there are those who are motivated to off-load their properties and might need some help.

Motivated sellers are out there – all kinds. This is simply the tip of the motivated seller iceberg! So, keep on getting out there locating them, helping them, and building your wealth along the way. In our Foreclosure Investing Mastery courses, we teach our students where to find the majority of motivated sellers with very specific parameters to find homes with little to no money down.

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