Skip tracing is a useful strategy when you need to identify a homeowner as a real estate investor.
The truth is that there are so many properties that are currently not on sale but have the potential to land you great profits if you only get a chance to pitch a sale to the property owner.
So how do you identify a homeowner that would be willing to sell but has probably not thought of selling yet or is too busy to place the house on the market? Well, your answer is skip tracing.
Skip tracing allows you to locate and get in contact with property owners, allowing you to pitch your offer and make massive profits.
HOW DOES SKIP TRACING HELP TO FIND IDENTIFY OF HOMEOWNER?
Effective skip tracing would provide you with the contact details you need to speak to these homeowners.
The aim of employing skip tracing is to discover information such as the email address, phone number, home address, work address, name, or even social security numbers of potential sellers.
Information such as universities, high school, or college attended and the addresses, names of colleagues, previous neighbors, ex-spouses, previous employers, or friends can also help when finding a homeowner.
When you identify a homeowner half of your work is done and you are several steps closer to generating profits.
Employing skip tracing would mean you would get to have the contact details of different homeowners in your hands. Knowing how to identify the ones with high motivation to sell is vital.
Example of homeowners more likely to make sales includes:
- Homeowners being held in a long-term facility
- Old homeowners looking for a smaller property
- Owners with a new addition seeking a larger home
- Homeowners going through a divorce and those that just got married.
- Tax-delinquent property owners
- Owners of abandoned properties
- Homeowners that are falling behind in their tax payments and those at the risk of foreclosure.
FEATURES TO LOOK OUT FOR IN A REAL ESTATE INVESTMENT
There are certain features to look out for in a property to help you predict if it is likely to help boost your investment profile, or even amount to a loss. Some of these properties to watch out for include:
- Crime rate: Everyone wants to feel safe in their home, no one wants to live at the center point of criminal activities. It is important to run a quick but thorough check on the crime statistics of the area where you would like to invest in a property. The rates of petty and serious crimes, vandalism, and overall crime increase or decrease is very important as it can affect how much profit you get from this property in the long run.
- Availability of amenities: The availability of amenities can be a factor that would determine how much a property would be sorted for if placed on the market. Hence, doing a tour of amenities like gyms, local parks, transportation channels, cinemas, restaurants, and other attractive comforts can help.
- Employment opportunities: How developed is the job market in that area? Locations with fast-growing employment chances and business opportunities are likely to be attractive and draw a lot of attention on the market.
- Schools: Although, this is not a factor that many real estate investors consider when looking out for profitable investments. However, it is important to look out for properties with good schools nearby as this can do a lot to add value to your investment especially if it is a family-sized house.
It is also important to find out how prone the area is to natural occurrences like flooding or earthquakes as this can help you determine if it is an asset you would want in your portfolio. Sometimes doing an online search for these kinds of information may not be enough and talking with current residents in the area may help give you the whole picture.
Conclusion: Skip tracing helps you to identify a homeowner and this is a big step in finding properties and assets that would boost your investment portfolio as a real estate investor.