Is There a Common Denominator Among Motivated Sellers

[Jerry Gurley]

We are all looking for motivated sellers. Is there a common denominator among them to help us identify them? A motivated seller is someone who has a problem in their life greater than maximizing the value of their real estate. It seems like those problems come in 3 primary forms,

1. Financial

2. Physical

3. Emotional

Financial problems can come from either the property or their personal life. Property problems would include past due taxes, past due mortgage, property repairs, any property generated by the property itself. Personal financial problems that can be solved by selling the house include past due child support, medical expenses, life itself.

Physical problems of the house usually come in form of expensive repairs vandalism, or city/county code violations. An abusive tenant is always fun.

Emotional problems associated with the property such as divorce or death (inheritance).

Did I miss anything? I am sure I did but I suspect this covers 75% of it.

I have only done a dozen deals over the past year, but everyone was a vacant house. Of the 12 deals, 9 were estates, 2 were owners that had moved on from the property, 1 was a lienholder whose loan had defaulted. When I bought them they were all vacant.

So is a vacant house the first step towards finding a motivated seller? I suspect that 75% of the time it is. Toward that end I filed a freedom of information request with my city for a list of addresses that currently do not have water service and have not had water service in at least 90 days.

Now how to market to the owners of those vacant houses is another matter all together.

Thank you for your time and views. I appreciate the opportunity to learn.