If you want to be a successful real estate professional, find motivated sellers. These motivated home sellers are great opportunities if you want to score properties at a good price.
As housing inventory fluctuates frequently, uncertainties, and buyer-seller relationships, as a real estate investor connecting with motivated sellers has become more important than ever. But remember these sellers prioritize speed and convenience over profit.
The first step is to find out who they are. Then you need to spot them and how to negotiate.
Who Is a Motivated Seller?
A motivated seller is eager-or even desperate-to sell his home quickly, usually due to circumstances that make holding onto his property impractical or undesirable. Motivated sellers are more interested in getting something in return than maximum profits, and they prioritize speed and convenience. A seller’s urgency to sell creates an opportunity for real estate investors. A motivated seller can come from anywhere, and their circumstances often dictate how willing they are to negotiate.
How to Spot a Motivated Seller
There are a few ways to spot a motivated seller, like:
- Homes or properties that look abandoned, neglected or poorly maintained. These are often abandoned because the owner isn’t interested any longer. They think of it as a burden to their daily chores.
- Motivated sellers skip traditional agents to save money.
- Properties that have been on the market for a long time may indicate a seller who’s open to negotiating.
- Sellers who have significant repairs or maintenance to do usually want to offload their home.
10 Types of Motivated Sellers Every Real Estate Investor Should Know
Below is a detailed breakdown of the most common types of motivated sellers, with insights into who they are and how to spot them.
1. Homeowners Facing Foreclosure
The most motivated sellers are people facing foreclosure. Lenders start foreclosure proceedings when a homeowner falls behind on their mortgage payments, which could lead to them losing their house. Most of these sellers want to sell before the foreclosure process is finished so that their credit doesn’t get ruined and they don’t lose all their equity. They might be more likely to take a deal below market if they’re scared of foreclosure. Keep an eye out for pre-foreclosure notices, public records, or properties with steep discounts.
2. Inherited Properties
Some people don’t want to keep homes they inherit, especially if they’re far away, the property needs work, or there are tax or legal issues. Often, they just want to get rid of it quickly. Maintaining an inherited property can be a hassle, especially if it needs repairs or has tax obligations. A good place to find inherited properties is probate records. Some owners may also list their property as “For Sale by Owner.”
3. Divorce Situations
The fastest way for both parties to divide assets and move on after divorce is to sell shared property. They’re more concerned with speed and simplicity than profit. Their motivations: Both parties want to move on with their lives as soon as possible and avoid lengthy divorce negotiations. You can look for recent listings of houses for sale or divorce filings available in the public record.
4. Landlords Dealing with Problem Tenants
Landlords get frustrated when tenants don’t pay rent, damage their properties, or break lease terms. It’s usually easier for these landlords to sell than deal with problems. It can be stressful, time consuming, and expensive to manage difficult tenants. It’s easy for landlords to cut their losses when they sell a property. Look for rental properties with poor upkeep or listed by landlords seeking to “sell as-is.”
5. Vacant or Abandoned Properties
Vacant homes are a clear sign that the owner no longer wants or can afford to maintain the property. These homes often deteriorate over time, further motivating owners to sell quickly before repair costs escalate. Ongoing property taxes, maintenance, and vandalism risks make vacant properties a financial burden. Drive through neighbourhoods to identify neglected or vacant homes. Public records can also reveal absentee owners.
6. Relocating Homeowners
Job transfers, new opportunities, or personal reasons often force homeowners to relocate. These sellers are motivated by time constraints, as they usually need to sell their current home before moving. The pressure of relocating quickly and managing two properties motivates them to sell fast, even at a slight discount. Listings that mention “motivated sellers” or homes priced below market value in stable neighbourhoods.
7. Financially Struggling Homeowners
Unexpected financial hardships—like medical bills, job loss, or major repairs—can force homeowners to sell their properties to access funds. These sellers prioritize liquidity over holding onto their homes. Immediate financial relief outweighs the long-term value of their property. Look for distressed properties, pre-foreclosure notices, or sellers advertising “as-is” homes.
8. Sellers Behind on Property Taxes
When homeowners fall behind on property taxes, they risk losing their homes through tax foreclosure. These sellers are often looking to sell quickly to settle their debts and avoid further penalties. Selling allows them to pay off their tax debts and avoid foreclosure or liens. Public tax lien records can help identify these properties.
9. Expired Listings
Homes that have been listed for too long often frustrate their owners. When listings expire without offers, sellers may become more willing to negotiate or explore unconventional selling methods. Sellers feel stuck and are eager to offload their property, even at a reduced price.
Look for homes that have been on the market for extended periods or listings that have recently expired.
10. Homes Needing Major Repairs
Sellers with homes requiring costly repairs often don’t have the time or resources to make the necessary updates. These sellers are highly motivated to sell “as-is” without investing further in the property. The cost and effort of repairs make selling the better option. Look for listings that explicitly state “as-is” or homes with visible signs of neglect.
How V Leads Services Can Help You Connect with Motivated Sellers
Real estate professionals and investors trust V Leads Services for verified, pre-screened leads. Your business can grow whether you’re targeting foreclosure homeowners, landlords dealing with problem tenants, or distressed property sellers.
You’ll always be one step ahead of the competition with our exclusive lead access. You’ll find the right leads at the right time with data-driven targeting and custom marketing campaigns. Our support will let you navigate negotiations and close with confidence.
