Many real estate investors will spend hundreds of thousands of dollars a year on direct mail and yet the benefit on this marketing choice is next to nothing. But the smart real estate investors are turning to skip tracing to provide a much higher quality process for locating buyers and seller. Larry Higgins is a skip trace expert for real estate investors and he is willing to explain how and why his process provides such a great return on investment.
In a very competitive market, such as the one we are in right now, it can be difficult to find good quality buyers and seller. The money spent on letters and postcards is pretty much wasted. But skip tracing allows you to find the people that you are looking or to make those great deals. Traditional skip tracing was created to find people who have skipped out on their debt. Creditors were trying to track them down to get paid.
But in the real estate investment field, you are simply trying to find the person who owns a specific property. You might want to purchase a specific property, or you could feel that the house looks like it could have a motivated seller if you could only locate the person. Often times this applies to vacant homes which are not listed for sale so you have no way of contacting the owner. But in the time you would spend writing out a mailer or letter to leave on the houses in the neighborhood, you could locate the owner and have a phone number in your hand.
Skip tracing can also be very useful when you determine that the owner of a house that is looking particularly rundown is deceased. Now you need to use your search skills to locate the heirs of this homeowner and see if they are ready to make you a great deal on the property. Using free resources on the Internet such as obituaries, free people finder sites, social media, and even Google can be a great way to determine who is in control of a home for an estate and how you can contact them to make an offer on a house that is sitting empty.
The short version is that focusing your time and money on realistic opportunities is far more rewarding than mass marketing attempts with mailers postcards to random zip codes.