OK, this sounds like the typical novice from back 2003 and 2004.I mail all the owners and ask if they want to sell. This has worked pretty well for a mailing. For example I just sent out 100 letters and got back 8 calls, (as of today) and should make 4 offers. However I'm finding that most people are just holding tight for unreasonble high numbers.
The way I see it I'm having two problems:
1. I need to get more interested sellers to call me.
2. I need to get them to actualy sell for a reasonble price. I can't pay twice what a lot is worth, just doesn't work.
When it comes down to it I just need to work with more possible sellers to find the motivated ones.
...
So unless I can find a better way to motivate these sellers I'm going to have to branch out. I can't keep waiting for people to literally die for stuff to become available.
I have been dragging my feet on working another city because its a major commitment.
These seminars were telling people to work with motivated sellers.
and to make offers that were reasonable to them, the investors/buyers.
Problem was... the market was simply not there.
They were begging sellers to give them their properties away, to hand them a gift.
To sell them a property with FMV of $500K for $$350K.
Well, it was not that simple.
Oh, and the punch line, and the way to keep the novices working and spinning their wheels? "these sellers are simply not that motivated"
Well, why would they?
If you can sell for $500K in a month, or $450 in a week, why would you sell for $350K?
Actually, I am pretty sure the potential sellers from your list know they can get more. They simple need to list it a little bit under FMV and will get a buyer or two. Why sell it to you at your 'reasonable' price? --of course, your offer is 'unreasonable' to the seller, don't you think?
This was happening back then when appreciation was outrageous. The limited resource were properties.
It sounds to me like the limited resource in your area is buildable land.
Maybe the market reality is that land is more expensive than what it used to be, and maybe this reality is a huge threat to your existing business model.
How would the numbers look for you if you pay close to the "unreasonable" price they are asking for their land? Couldn't you sell higher with this new cost included?
Maybe your current business model is not effective in your local area in the current market conditions?
Maybe you are trying to still use the same model while the market has changed?
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These questions I am asking are meant to give you a different perspective about your business model. Why do I ask? Cause I fell for similar reasons... I tried to make it work with the "proven method" I had, and failed to see the market had changed.
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Another question...
Maybe you are right... the money is in another city... and saying it is a major commitment sounds to me like a lazy approach to reality. If that is where the money/deals is, why remain in your current city if the deals are simply not there?
Why behave like an ol' union auto worker from Detroit, when it is clear the job is not there anymore?
Maybe it is time to adapt to a new reality....
I know you have a lot of experience, and your uncle is an expert on this in that same area... what is his opinion?
What is your assessment of the current market condition?
OK, I will shut up now, too much rambling and I am not proposing any realistic solution anyway....