http://www.REIClub.com - Expired Listings Are A Source To Find Good Deals. Here’s How Real Estate Investors Find and Use An Expired Listing...
Hi, this is Frank Chen with REIClub.com, the only site you need as a real estate investor. Today I’ve got a quick video on how to find and use real estate expired listings
What are Expired Listings?
An expired listing is simply when a listing agreement between a Seller and a Realtor expires. It’s cause could be due to many reasons.
- was it the right time to sell?
- was it priced too high?
- was the marketing done correctly?
- how motivated was the realtor?
- how motivated was the seller?
- were buyer objections ignored
What’s interesting about mls expired listings, it’s a good way to find motivated sellers. Usually these listings have been on the market with minimal activity for 90-120-360 days. So you’re probably thinking, if its this hard to sell, why should I be interested? Which brings us back to the questions I mentioned before. Maybe the WRONG people were working on it, and you know exactly how to sell it RIGHT.
How do you find an Expired Listing
- Hire a realtor - preferably with expired listing experience, knows how to work with investors, knows how to work with sellers, and gets the questions YOU need answered
- Search and print out listings for properties of interest that are about to expire - make a calendar
- Once the listings expire, start making your contacts - marketing strategy is key
- FSBO - are sometimes the result of a failed listing
Benefits to Using Expired Real Estate Listings
- Good chance the seller is motivated - looking for a way out
- Good chance you can bargain the price down
- Inexpensive - pretty much free to get a list put together
- Great place to start generating leads
- Marketing to expired listings is relatively inexpensive - and the leads are more qualified
- New listings every day
Cons to Using An Expired Real Estate Listing
- Previous agents are your biggest competition - some re-list with the existing agent
- You will possibly need to go through a TON of leads to find a good deal, but its still possible
- Follow-up, which is probably the most important - can be tedious, takes persistence (remembering dates)
- Potentially dealing with skeptical sellers - bad taste left in their mouth
- Without a good marketing strategy - post cards, flyers - low conversion rates
- Time-consuming if not done right
Expired listings are a good source for finding leads, and is just ONE source to find motivated sellers. But, it’s important that you remember, homeowners are NOT interested in you, they are interested in their problem (i.e. why their house has not sold), and they want the solution to that problem. So approach and present them with a solution and you will increase your chances of success.
