Often real estate investors believe that real estate listings are not good lead sources. They believe that owners of distressed home will not want to wait around for an agent. Investors spend a lot of time and money using alternative methods to find deals. These alternatives may include bandit signs, finding deserted properties and running 800 numbers.
But you should never neglect good sources of leads on investment properties. Using real estate listings can often get you better results than you think. You can determine certain important things from real estate listings. Spotting these things could lead to a good investment opportunity.
Do not neglect a free source of leads. You will be able to use real estate listings to find great investment properties. You can look for the following “flags”:
* Houses that have been listed for a long time are good potential targets - The owners might be getting nervous if a house has been listed for a long time. They might not know that they have options other than a real estate agent. Your contacting them could be a lifesaver as far as they are concerned.
* Home prices that have been recently lowered - Motivated sellers often are compelled to drop their asking prices. After all, why take less money if you do not need to sell at all? Drops in price may indicate an owner’s need to get out.
* FSBO signs in yards or listings are promising - People who are selling their property on their own may be feeling overwhelmed. They may be delighted to have any offer than gets them out of their current situation. They might also be willing to take a lower offer because they are not paying a commission.
* Owner financing is a good sign - This type of risky financing is always more perilous than bank loans. Usually it involves working with buyers who cannot get bank loans. If a property owner will take this type of risk then they may be a motivated seller.
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.
