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Hey guys, it’s the Andrew “The Maestro” Massaro here with another killer real estate investing lesson for you. Today, we’re gonna answer a question asked by one of my students. Sarah wrote:
“I am just starting to get my feet wet in the investing industry and I am having a bit of trouble finding motivated sellers. Any advice?”
Awesome question! So, you wanna know how to find the most motivated sellers… Well, Sarah, there are multiple ways to find motivated sellers, but in my opinion, it all comes down to direct mail and bandit signs.
#1 Direct Mail
When it comes to direct mail, there are a bunch of lists that you can mail to.
I like:
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Absentee Owners
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Landlords
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Evictions (or landlords who just evicted a tenant)
Let me tell you, there's no more motivated individual than somebody who just had to evict a tenant. It's a freaking nightmare. No one ever wants to go through that. It sucks.
When a landlord applies or registers an eviction, it’s then public information through the courts. Also, there's code violations. When properties go into a state of disrepair and fail the code inspection, they become a code violator and are then put on notice. These people typically don't have the money to fix the property up and bring it up to code, so they need to sell it quick.
All of this is public information, which you can get from a list broker. All you have to do is Google “absentee owner” lists and you'll get a whole page or multiple pages full of list brokers from whom you can buy that. Some popular sites are RealQuest.com and ListSource.com.
As far as evictions go, recently, I emailed the clerk of the circuit court in my own personal county. All I did was say: “Hey, I would like to acquire a list of evictions per month. Can you provide this list?” The guy got back to me within 24 hours and said: "Absolutely. We have this list for you. It's $25. You can come pick it up whenever you want."
I was blown away. I mean, how easy was that?!
The only downside is that it wasn’t digital, so I had to actually input the names and addresses individually into a spreadsheet. But, at least you have that list, right? Here’s a tip: You can actually pay somebody ($6, $7, $8 bucks an hour) for data entry to make an Excel spreadsheet that you can simply upload to Click2Mail (my personal fav. for mail campaigns).
#2 Bandit Signs
We all know the grassroots of finding motivated sellers – bandit signs.
I’m sure even you new investors are familiar with them and how to make them, so I won’t go into that much detail about it. Some investors get annoyed that bandit signs take some light work, but I guarantee that they’re totally worth it when it comes to profitability.
Just know that the key to bandit signs is to put out at least 100 each month.
The Bottom Line
I’ll break it down for you…
At least one mailing list should provide you with a ton of leads to go over, a bunch of which should be motivated and/or distressed sellers. So, you should be making some offers.
There are other things you can do to bring in leads, too: online ads, Craigslist, BackPage, passing out business cards, offering cash for referrals, networking with Realtors and brokers, etc.
Look, there are a million things you can do, but the Maestro recommends bandit signs and direct mail – for sure.
Gimme a Shout
Got any comments or questions about bandit signs or direct mail? Talk to me below.
Comb through mailing lists for motivated sellers.
Advertise through direct mail.
Post bandit signs.
Close deals and make tons of money.
Andrew Massaro
, also known as "The Maestro", is the founder of Wholesale Coaching, Inc. and is one of the most sought-after wholesale and REO coaches in the U.S. A University of Florida graduate, Andrewís house flipping career started in 2005, during one of the most dramatic and awe-inspiring real estate booms in recent memory.
After many years of success flipping houses in Tampa Bay, Andrew began also pursuing his passion and purpose: hands on, one-on-one coaching and mentoring other investors. Through Wholesale Coaching, students interact with and are coached by Andrew, personally. He has the unique ability to teach and guide his fellow investors to the results they desire. The one-on-one interaction and partnership is the key and what really sets him apart from others who offer coaching.
Andrew is also a loving husband, father to a beautiful little girl, Charlie Lynn, and an active board member of Current of Tampa Bay, a non-profit focusing on humanitarian efforts and showing love to underprivileged individuals.