Often real estate investors believe that real estate listings are not good lead sources. They think that people with distressed properties will not have time to wait on an agent. There are lots of investors who spend lots of time and money finding deals alternative ways. These alternatives may include bandit signs, finding deserted properties and running 800 numbers.
But you should not neglect any way that you can get good leads on investment properties. The use of real estate listings might yield better results than you expect. You can determine a certain set of things from a real estate listing. Spotting these things could lead to a good investment opportunity.
Do not neglect a free source of leads. You can and should use real estate listings to locate good investment properties. Keep an eye out for the following flags:
* Look for houses that have been listed for a long time - It is possible that the owners are starting to get nervous. They may be unaware that a real estate agent is not their only option. Your contacting them could be a lifesaver as far as they are concerned.
* Prices that have been recently lowered - Motivated sellers often are compelled to drop their asking prices. If they had time to spare they would wait it out. If an owner needs to get out, a drop in price may be an indicator.
* FSBO signs in yards or listings are promising - Selling a property on your own can be overwhelming. They may be delighted to have any offer than gets them out of their current situation. Since they are not paying commission they may take a lower offer.
* Check out properties that offer owner-financing - Creative financing is an inherent risk. It often involves working with buyers who do not have excellent credit or who cannot get bank loans. Property owners willing to take this kind of risk generally are motivated sellers.
As you can see, the real estate listings are a great source of leads. Pick up your local paper and see how many potential deals you spot in the real estate listings right away.
