YesTalk-197 - Where to Find the Best Motivated Sellers in 2020 (PART 2)

Welcome to Kevin Ward's Yes Talk for Realtors. This is Kevin Ward. Today I'm bringing you part two of where to find the best motivated sellers in 2020 and beyond, even in the middle of this crisis. And if you've not yet watched part one in the link description, in the description, I'll put the link there so that you can go and click and watch where to find the best motivated Sellers, Part one. And in this video, I'm gonna talk about another incredible place to find the best motivated sellers in 2020 and beyond. And it is in one simple word. It is downsizers. It is people who are looking to downsize. Now, I'm gonna give you three different groups of downsizers that are massively hard hot targets right now. And when I say hot targets, I don't mean like you're trying to take them out. I'm just saying they're great opportunities because many of them are wanting to sell and they're wanting to downsize. So there are three groups. Number one are vacation home owners, and that is people who own their second and own second and third homes now for the same reasons I talked about the previous video on how to find the most motivated sellers. Many, most of these homeowners who own second and third homes. So if you live in a market where there is a lot of vacation homes, a lot of, you know, a lot of retired people come there. A lot of people come there. They, they are almost all baby boomers. They are in their 50s, 60s, 70s, and they bought second homes. Finances have been good, the economy's been good. They're financially strong. But now they're looking at what's happening in the economy, and they're going like, okay, you know what? It is time to sell. Because you want to sell when it's high, when the market is high. They bought the property 10 years ago or 20 years ago or whatever. It's appreciated like crazy. It's right here. And they're looking around, they're going like, we've had 33 million unemployed in the last six weeks. The economy has been shut down. They're talking about countless bankruptcy, corporations going bankrupt, small businesses closing down. We are worried about what's going to happen in the economy and home prices dropping. We're selling now. Now, the good news is home prices don't drop as quick as other parts of the economy. So home prices are what we would consider a lagging indicator. So home prices don't fall that fast. So if they take action in the next few months, they're still good. They're going to be able to sell high as long as they have an agent that knows what they're doing and how to help them get out. But they've owned that second home, that lake home, that vacation home, and they're like, you know what? Time to get out. That's group number one of people who are looking to downsize their portfolio and go like, you know what? We're just going to get our home. All right, number two are vacation rentals. So the first was vacation homes where they went, but vacation rentals is the second where they're downsizing. And in a sense they may also be considered investors. And that is people that have vacation rentals like Airbnb, vrbo, Vacation rentals by owner. There are countless. There was an article in the Wall Street Journal recently about how many of these homeowners who bought properties to do Airbnb's because Airbnb's allows them to get, allowed them to get much higher cash flow than a traditional long term rental property. And so they were buying all these properties and leveraging themselves up to the hill because they're like, you know, normally I'd be able to rent this property for, you know, $3,000 a month, but with, if I do it as a vacation, I can get $5,000 a month from it. And so they're like, man. And they were going in and leverage, leverage, leverage, leverage. And all of a sudden, guess what happened to their cash flow over the last two months? Zero Shut down. Airbnb owners, their house, their properties are sitting there vacant and they're like, you know what? This is not what I signed up for. And they, and a lot of them can't make the mortgage payments. They're, they're going to be selling fast. The good news is they have equity. It's not like in 2008 where everybody's buying with no money down. They, they bought, they put 20 or 30% down. So they have equity and they realize, I got time, I can sell now, get my money out and I'm good and I can survive this whole thing, alright? And again, most of these people are baby boomers. They're not in their 20s and 30s. They're looking at it going like, I don't want to take a chance of a repeat of 2008. So, so we're selling out and we're going back into safe havens with our money. And they bought low and looking to sell high. Vacation rentals, my friends, there are massive, massive amounts of them that are going to be selling again. You go out, you find non owner occupied properties, absentee owners, you contact those owners and you reach out to them and say, hey, notice that you had an Airbnb. Your property's been an Airbnb. I know a lot of, there's, you know, a lot of vacancy and I wanted to find out if you are interested in selling it. I can help you sell it and get the most money out of it. Just reach out to them. You can call them, you can mail them, but get in touch with those people. Number three. And this one, my friends, is a long play. This is not something just that was going to be a great opportunity during the crisis. This is a long term play that I think will be for the rest of the decade. And that is empty nesters who are looking to protect their financial nest egg and downsize. Now here's who that is. That is people that are in their 50s, late 50s, 60s, they bought a house back in 2004, 2001, 1998, they bought it in 2010. Whatever it was, they bought it. They raised their kids there or their kids had their kids there during their teenage years. They've graduated, they've gone off to college, they got their degree. Now they're out on their own. And now this couple has this 3,600 square foot house or this 4,200 square foot house or 6,000 square foot house that they're rattling around in. And they've been fine in it because the markets continue to appreciate. And they're like, as long as we're living here, we'll make, I mean, when we get ready to sell it, we're going to make more money. But guess what? Now they're looking and going like up. We're at the top. And they're baby boomers. So guess what they're doing? They're paying attention. They remember 2008. And they're like, in 2008, we were good. We had time to recover. We're not taking that chance. Now. They're followers, A lot of them are followers of Robert Kiyosaki. They read his stuff and they're like, you know what? Him and a lot of his cronies, people that are like that, are in the same vein as Robert Kiyosaki are saying. We are probably heading into a massive downturn in the economy going, could be a depression. It is time for us to sell this big house, get our equity, protect our financial nest egg and downsize. And that, my friend, is a tremendous opportunity. Now here's the best Part of that opportunity, empty nesters that are in their 50s, 60s, 70s, that group, they tend one, they tend to have a ton of equity in their house. So they got great equity. They just want to protect that equity. They have great credit. Okay, just that FICO that I saw a report last week that the average FICO score in America right now 702. But only people fit in the 50s and 60s and 70s have average FICO scores of over 700. And they're, they're like in the 730s to 760s, the average of people in their 50s, 60s and 70s. So when you find a seller that is downsizing, that is an empty nester and they're getting ready to downsize. The beauty of it is they have equity, they have good credit and they're used to being homeowners. So guess what happens when you help them sell their house. They're going to be buying another smaller house. So you get a double dip. You get to help them sell and then you get to help them buy. So there's tremendous opportunity. They also, then you get into their personal circle and their relationships. They've been homeowners, they've lived in these neighborhoods for a long time. Guess who they know? Tons of other homeowners in those same areas, their same age, all of them looking to downsize. My friend, you want to succeed in real estate. While there is a ton of agents that are reeling in panic right here where I've just talked about the best motivated sellers, downsizers, Downsizers, downsizers. They are gold if you know what to do and how to get them. If you want more help on that, more training on that, that is what I train in my coaching programs. You're welcome to check out my coaching, go to yesmasters.com, click on the coaching tab. Check out our coaching opportun and we can help you master how to find and win with motivated sellers. Even in a crisis, the opportunities are huge. And when you take advantage of them and take action, you can always expect Yes, I hope this video has been helpful for you. If it has, give it a thumbs up. Comments? Questions down below, where do you see other opportunities? Put those in the comments below. Make sure you subscribe to the channel if you haven't done that yet. And I look forward to seeing you on my next video. Hey there, it's Kevin. I hope you enjoyed today's podcast. Are you tired of getting no after no when you're out there trying to get listings and trying to inspire sellers to say yes to you. Then I'd like to invite you to download a free copy of my no BS listing presentation. This presentation will guide you through exactly what to say that will have motivated sellers saying yes to you over and over again. Stop getting stumped with skeptical seller objections or the famous we need to sleep on it. Eliminate the resistance and have sellers ready to hire you and give you the listing before you even finish your presentation. To get a complimentary copy of my proven listing presentation, go to yes masters.com forward sl download again, that's yes masters.com forward sl download to download your free copy today.