1. Length of Ownership
- Why it matters: Owners who have held properties for over 10 years often have a lot of equity. They might be more ready to sell, especially if they no longer live there or inherited it.
- Advice: Look for properties where owners have been there for 10+ years. These owners likely have a big chunk of their mortgage paid off or own it outright. This makes negotiations easier.
2. Owner-Occupied vs. Non-Owner Occupied
- Why it matters: Properties not lived in by the owner are often rentals or second homes. These owners might sell if the property becomes too much to handle or if the market changes.
- Advice: Focus on non-owner-occupied properties, especially if they’re empty or need repairs. Empty properties often mean the owner wants to sell quickly.
3. Equity
- Why it matters: Properties with a lot of equity offer more options for creative deals, wholesaling, or getting discounts.
- Advice: Search for properties with at least 40-50% equity. These are more likely to sell at a discount. This gives you room for profit, whether wholesaling, flipping, or renting it out.
4. Distressed Properties
- Why it matters: Signs of distress like unpaid taxes, foreclosure filings, or code violations often mean the owner is motivated to sell.
- Advice: Create lists based on these distress signals. This could include tax liens, pre-foreclosures, or properties with long-standing maintenance issues.
5. Motivation Triggers
- Why it matters: Life events like divorce, death, or job changes can make owners more willing to sell.
- Advice: Use data to find properties tied to these events, like probate leads or divorce filings.
General Tips for High Returns
- Combine Metrics: Mix equity, length of ownership, and property condition to create a targeted list.
- Test Marketing Channels: Try direct mail, cold calling, and SMS to see what works best for your audience.
- Track KPIs: Keep an eye on response rates, lead conversion rates, and cost per deal. This helps improve your strategy over time.
The “best metrics” vary based on your market, niche, and strategy. Always test and analyze to find what works best!
1. Length of Ownership
- Why it matters: Owners who have held properties for over 10 years often have a lot of equity. They might be more ready to sell, especially if they no longer live there or inherited it.
- Advice: Look for properties where owners have been there for 10+ years. These owners likely have a big chunk of their mortgage paid off or own it outright. This makes negotiations easier.
2. Owner-Occupied vs. Non-Owner Occupied
- Why it matters: Properties not lived in by the owner are often rentals or second homes. These owners might sell if the property becomes too much to handle or if the market changes.
- Advice: Focus on non-owner-occupied properties, especially if they’re empty or need repairs. Empty properties often mean the owner wants to sell quickly.
3. Equity
- Why it matters: Properties with a lot of equity offer more options for creative deals, wholesaling, or getting discounts.
- Advice: Search for properties with at least 40-50% equity. These are more likely to sell at a discount. This gives you room for profit, whether wholesaling, flipping, or renting it out.
4. Distressed Properties
- Why it matters: Signs of distress like unpaid taxes, foreclosure filings, or code violations often mean the owner is motivated to sell.
- Advice: Create lists based on these distress signals. This could include tax liens, pre-foreclosures, or properties with long-standing maintenance issues.
5. Motivation Triggers
- Why it matters: Life events like divorce, death, or job changes can make owners more willing to sell.
- Advice: Use data to find properties tied to these events, like probate leads or divorce filings.
General Tips for High Returns
- Combine Metrics: Mix equity, length of ownership, and property condition to create a targeted list.
- Test Marketing Channels: Try direct mail, cold calling, and SMS to see what works best for your audience.
- Track KPIs: Keep an eye on response rates, lead conversion rates, and cost per deal. This helps improve your strategy over time.
The “best metrics” vary based on your market, niche, and strategy. Always test and analyze to find what works best!