Am I doing something wrong or are these not motivated sellers?

[Bob C.]

Sooo... I've started doing mailings and the phone is ringing. I've got some (somewhat) motivated sellers. What I'm finding is that when I ask them what they think their house is worth or what they are looking to get - their answer has always been a number that equates to a low retail number. (ex: $220 for a $250 ARV house needing 40k in repairs)

I've mailed about 2100 pieces so far. From that, I've had about 5 of these "hot" leads.   Have I not talked to a truly motivated seller yet (someone who's looking to sell that house for $135k) OR am I doing something wrong with these leads?

Should I be working on these "low retail" people to show them what their house is really worth - less than they think OR do I just need to move on and know that a true motivated seller will call/respond soon?

The thought of moving on feels like I'm throwing away an opportunity.  

Thoughts?