Sneaky Little Trick To Get Unmotivated Sellers...Motivated!
WOW it has been a crazy couple of months. My wife and I have been traveling quit a bit, I am developing a brand new real estate investing training system called "The Direct Mail Dealmaker" which is going to be the gold standard of lead generation training, and I recently hosted 2 of my real estate VIP mastermind events (one in AZ and one in CA and both were a blast). Plus my investing company opened up a new market in St. Louis so I feel like a brand new investor all over again trying to learn the area, set up my power-team, build a local cash buyers list, deploy my marketing in the right areas, and take calls from hopefully motivated sellers. And this last part (the part about taking calls) is what inspired me to create this post. I want to share with you a sneaky little trick I use to get slightly unmotivated sellers... motivated!
I call my trick "The Relocation Allowance".
It works like this, whenever I have a seller who lives in the property "on the fence", I let them know of a program our company offers that helps them relocate. This "relocation allowance" is separate from any price we pay for the house, but only certain homeowners qualify. Below are the qualifications of my program:
- They have to have another place already picked out.
- They have to pre-qualify with the landlord to rent the property.
- They have to be out of the property I am trying to buy "on or before" the close of escrow date.
- They have to give me a video testimonial of my services.
And I typically give between a $1000 - $2,500 relocation allowance depending on the purchase price that I negotiated with the motivated seller. And I never tell them of this program until I have gone as far as I can during my initial negotiations with the seller. My relocation allowance is my "reason" to call them back and re-kindle the conversation. I lead in with something like "Mr. Seller... I know we talked last week about selling your property on 555 Main St. and we were close to getting a deal put together that you were happy with, and I just can't stand to know that I couldn't help you out of your situation so I started thinking about other ways I could benefit you. We have a program that my partner and I have that can put some extra cash in your pocket to cover all or most of your moving expenses. It's called our "relocation allowance" and I think you may qualify for it. Do you have a few minutes to discuss the program?".
This "twist" is a great way to help you save face and restart a conversation if during your initial negotiations you say things like "$XXX,XXX is the best I can offer... take it or leave it." Plus you will be surprised how many sellers don't take into consideration their own moving expenses and love the idea of having you pay for them!
Well, I hope this little trick helps you get more real estate deals and make more money. Be on the look out for my new real estate investor training coming out... should be ready next month!
Until next time,
P.S. Below are some of my pics from me and my wife's trip to Napa, CA. I highly recommend going to Del Dotto Vineyards!