Real Estate Investing: Overcoming Objections By Motivated Sellers

In real estate investing, you must have all the number to evaluate a deal properly and to make a good offer that both gets accepted and makes you a profit. Most often when I talk to motivated sellers, I find they are not willing to provide some of the information I need to evaluate the deal accurately. Usually they do not want to discuss the mortgage balance among other issues.
So how do you overcome these objections and get all the information you need?

I have learned that in order for my real estate investing business to be successful, I only deal with sellers who are motivated.

By being motivated, they must be willing to provide most of the information I need without pressure. Generally I am not interested with sellers who are luke-warm and are just shopping to see if they can let you buy their house.

Most motivated sellers submit their house information through my real estate investor website. In this case, my website pre-screens them and pre-negotiates with them, so I can make an offer in just a few minutes.

Here are a few common objections and how to overcome them:

<b>Mortgage balance:</b>
When you ask for the mortgage balance, some sellers will ask you "why do you want to know" or tell you it is none of your business. So I have come up with a simple statement:

"In order for me to able to evaluate the deal and make a fair offer that makes sense both to you and me and pay off the outstanding mortgage when I buy it, I must know the mortgage balance owed on it."

Then I go completely silent… say nothing!

Usually they will consider it and give the information.

You must let them know that without mortgage balance, you will be unable to make any offer. They will provide this information if they are motivated. You have no business talking to them further if they cannot provide this information.

A motivated seller is keen to provide any information you need to get their house sold.

<b>Repairs:</b>
Repairs will always be estimated conservatively by the seller. In my business, I always assume that I will need to do paint, carpet, bathrooms and kitchen.

My repair questions go something like this:
"How long have you lived in the house?"

"Have you done any remodeling on it?"

"So what repairs does the house need?"

Usually I will ask about carpet, paint, kitchen and bathrooms. When you take your conversation like this, you are likely to get more accurate answers that you can rely on.

<b>Asking price:</b>
Asking price is the toughest and most important part of your conversation. Of course, you must know the mortgage balance before you can ask this question, or even make an offer.
This is how I ask the question:

"If I can buy your house all cash and close quickly, what is the least you can take for it?"
Once they give an answer, I usually just say, "Hmm…".

Then I go silent.

Not a sound until they speak.

Usually they will talk their way down without me saying anything.

Sometimes I will also ask them "is that the best you can do?

In most cases, this technique works like a charm.

Good luck in your next real estate investing deal.

Simon Macharia is a real estate investor in Dallas Texas, and uses an <a href="http://www.realestateinvestorswebsites.net">interactive real estate investor website</a> to pre-screen and pre-negotiate with motivated sellers. Learn how you can close more deals using less money, time and effort with a <a href="http://www.realestateinvestorswebsites.net/website-types/">website for real estate investing</a>.