Measuring Motivation - Which Sellers Do You Tell to Take a Hike?

[Austin Stack]

If you are new to any area of REI (Real Estate Investing) you may have noticed the direction toward success if often clouded. Usually by people who love to talk so much they never get around to taking any action. One thing you will learn in this business is ACTION and consistent follow up is the purest way to a commission check.

There are many tasks which beg for your attention daily. Most of which will keep you making $10 an hour... The only real time you are making $1,000 an hour is when you are negotiating at the kitchen table with a seller. So the question is, how do I spend more time in the big $$$$ area?

Credit InvestorFuse...

There are many ways to get leads - Drive for dollars, mailers, cold call from Craigslist. But once you get the leads how do you know which ones are going to waste your time?

3 MUSTS on Initial Phone

Equity - Do they have the equity to be able to sell to you? A good rule is to take the estimated ARV (After Repair Value) and multiple by 70%, sthen ubtract repair cost and if the equity is there.. proceed

Ex. ($100,000 ARV x .70% - $10,000 (repairs) = MAX contract price of $60,000)

Repairs - Is there a need to do a rehab on this house? If you look hard enough there are repairs the house could use (99% of houses need something).

Vacant - If the house is sitting empty chances are the owner's being charged insurance, HOA, taxes or something is taking money out of their pocket.

**If any of your potential sellers meet 2 of these criteria (Equity must be one) book the appointment and go to the living room with the intention of signing the deal up on the spot.