Steps to Finding Motivated Sellers
Motivated sellers can be found just about anywhere; you have to know where to look. Here are a few pointers on how to locate motivated sellers:
Create a List
Compile a list of property owners in the region using public data, online research, and networking.
Create marketing collateral
Plan how to reach out to your audience in the most effective way possible and draft example messages.
Send Direct Mail
Send a direct mail campaign to your target group of property owners (with planned follow-ups).
Filter Your Leads: Make a list of questions to ask potential leads and start pinning down motivated sellers.
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1. Create the List
The money is on the list, as the old marketing adage goes. And for investors looking to improve their home seller marketing, it all comes down to obtaining the correct list of motivated sellers and then sending them marketing pieces—usually in the form of direct mail—that urge them to contact you or your team.
There are various lists to choose from, but it’s usually best to start with one or two and expand from there. Here are some examples of different types of motivated seller lead lists you might buy and promote to:
- Lawyers are experts in the field of law (Probate, divorce, estate, etc.)
- Owners who are not present
- Landlords from other states
- People who own their homes outright
- Bankruptcies (Both pre-and current)
- Lien-ridden properties
- Probate property owners
Where do you acquire these tailored mailing lists? Many companies specialize in this industry, but ListSource and Z Buyer are two of the most well-known. You’ll have a tailored list of possible seller leads in no time if you combine these with other segmentation factors like zip code or property size.
2. Create marketing collateral
It’s time to construct your marketing collaterals once you’ve generated your targeted list. In most circumstances, fine-tuning will take longer than seven days. For the sake of this column, we’ll assume that you can produce three essential marketing articles in a single week. These are some of the pieces:
Your direct mail piece is the postcard, letter, lumpy mail, or brochure you’ll send to potential buyers.
Your Squeeze Website on the Website: This is where motivated sellers who want to be reached will come to your page and share their contact information.
Your Lead-Generation System Over the Phone: This might be as straightforward as a Google Voicemail account or as complicated as a customer service department.
Your direct mail piece is the most important of the three listed. Of course, one can always make changes to your phone scripts or website copy as you go, but no leads will come in unless your direct mail pieces contact potential sellers.
It’s outside the scope of this essay to go into detail about specific direct mail marketing tactics. When in doubt, strive to create pieces that delve into primordial emotions like greed, shame, or salvation. Forget about data and statistics. When trying to persuade sellers, start with an emotional response and then back it up with logic.
3. Send Direct Mail
Once you’ve compiled a list of motivated seller leads, get to work and start sending out your first direct mail campaign. On your 28-day motivated seller lead calendar, this is the lightest week. Don’t worry, things will pick up in week four, but this is the week when you send out your direct mail and wait for a response.
Getting a response from a lead usually takes more than one direct mail letter. But, for the sake of argument, let’s pretend your marketing message is appealing and your mailing list is well-targeted and driven. Direct mail has a good response rate of roughly 4-5 percent, so if you send out 250 pieces, you may expect about 12 responses.
The best response rates will come from incredibly individualized letters. For example, consider an envelope with a handwritten address or notes written on lined paper. When writing your letter, appeal to the recipient’s concerns and describe how you will help them solve a problem. Also, make sure to invest in the post office’s “return service requested” service.
So, how do you distribute your work?
If you’re a “solopreneur” on a shoestring budget, you may have to print your direct mail materials and stuff envelopes—or mail postcards—on your own. It could be a viable option. However, if you have the means, employing a service like Modern Postcard or Printing for Less can help you free up time to prepare for the next stage.
4. Filter Your Leads
When that enthusiastic seller leads start calling your toll-free number or visiting your website, it’s crucial to set up a phone call to learn everything you can about the seller and the property.
It contains items such as:
- Why are they looking to sell?
- How long have they been there?
- How much they hope to profit from the sale
- The location of the property
- Who is the titleholder?
- What changes have been made?
Ensure, your aim isn’t to “sell” but to listen and gather information while also establishing a report. The more you can teach a house seller about the process and what to expect along the road, the more likely they are to remember and trust you.
Muhammad Junaid is a senior Analyst and Search Engine Expert. Extensive experience being a lead writer in Estate Land | Blue World City. Work for years with local and international enterprises. Also, represent well-known brands in the UAE.