Got Responses - Now What?
Hi,
I am mailing to Absentee Owners and have begun receiving calls. However everyone I speak to asks me to give them a price range for their property and no one is letting me look inside the property since they do not want the renters to know that they are selling.
How do I screen for motivation? Any suggestions? Also if the owners are so concerned about the tenents knowing, then how can I get my contractors and also other investors (whom I may assign or flip the property to) get an access to look at the place?
Please suggest.
Thanks,
WorkNoMore
Congrats on your response...
As for motivation they are already telling you they have motivation by calling in the first place.
You must use a script every time a seller calls and its your script that will tell you the level of motivation and at what price they would like to sell their property at.
Keep in mind sellers are in fantasyland when it comes to a price. A good script will help them understand the correct price and terms you buy with.
Unless we receive the reason for selling, the price they would like and a commitment to purchase subject to we are not going to waste our time looking a properties.
As for the tenant issue, use this to your advantage... The reason they don’t want you to see the house isn’t because they afraid the tenants will vacate its because they know the house is a Junker...
We use three words to describe houses during our inspection process with the seller. I always make sure the seller is there during the inspection so I can point out all of the repairs the house needs.
The three words are,
Ugly
Uglier and
Ugliest
It is okay to tell a seller that their house is the ugliest house you have ever seen. They want you to, that’s how they can justify selling it to you at a discount.. You must give them the excuse to use when they tell their friends why they sold you the house for 50 thousand dollars less than value.
As for not being able to get into the property that’s okay just make them an offer subject to your inspections and calculate for the worst case scenario.
If you’re running the numbers correctly you should be able to buy a house without ever seeing it.
If you do want to see a property, which you cant physically, look at hire a Realtor to give you a BPO; they usually will charge you less than 60 bucks. Keep in mind a BPO is the value the house will command on the retail market.
Hi Jason, IBuyHouses
Thanks for your feedback. What are the kinds of questions to ask to surface their intentions or motivation?
I typically ask about the property, how long they have had it, why they would consider selling it etc... but the answers are very terse. I am looking for the line of questioning so as to have a fluid discussion.
Any guidelines on some thought provoking questions?
Thanks,
Girish.
Here is our money line questionaire.
May I ask your name?______________________________________________________
Property address___________________________ City ______________ Zip _________
Telephone Number ___________________________ Cell ________________________
How did you happen to hear about us?
 Display  Newspaper  Classified  Radio _________  Infomercial
 TV ____________ Bill Board  Post Card  Yellow Letter  Sign  Trailer
 Referral ____________Other______________________________________________
2) Is the home  Vacant or  Occupied? Occupant Name? ______________________
_____ Bedrooms ______ Baths.
How many Square Feet? ________________
Size of the Garage? ____________________
How did you happen to own the home? ____________________________________
What Kind of repairs does it need?
 Carpet  Paint  Roof  Cabinets  Electrical  Plumbing  Plaster  Sheet Rock
 Cooler  Heater  Air Conditioner  Window  Landscaping  Clean-up  ______
What do you think the repair cost will be?___________________________________
What are you asking for the house? __________________
Is that  Fixed–Up or  ‘As Is’
How did you come up with that Price? _____________________________________
How soon would you like to be sold? ____________Days ______________Date
Is there a Mortgage on the house?  Yes  No
What is/are the balance? 1st _____________ 2nd _____________3rd___________
Are you in Foreclosure?  Yes  No  Notice of Default or  Trustee Sale
Sale Date _____________________ Arrearage Amount ______________________
Sometimes the only way we can buy the houses we look at is to take over the debt and pay you your equity, That means the loan will stay in your name until its sold, assumed or paid off. Is that a problem?  Yes  No
So if we can pay you your equity, guarantee and make your payments and be responsible for all repairs you will sell the home to us, right?  Yes  No
Ibuyhouseinc and Jason,
You have a wealth of knowledge. Thanks for helping build a bridge for us more novice investors.
Nate
Yes, absolutely! Willingness to share the knowledge is a virtue.
Many Thanks to Jason, Ibuyhouseinc and other senior investors who are open about sharing their experiences.
bump