As a real estate investor, finding motivated sellers is critical to your success. Propelio offers a suite of lead lists designed to help investors like you identify opportunities in the market. These lists are built using fresh, cross-referenced data pulled directly from public records. Whether you’re targeting pre-foreclosures, probates, or other niche property types, knowing how to work with these lists can give you an edge over your competition.
Below, we’ll break down the key lead types offered, explain how they work, and share practical tips for marketing to each category.
Pre-Foreclosure Lead Types
Understanding Foreclosure Processes
Foreclosures involve two main processes, depending on the state: judicial and non-judicial. Judicial foreclosures require court involvement, while non-judicial foreclosures rely on a set of pre-established legal steps. The type of foreclosure governs how and when certain documents, like notices and appointments, are filed. Propelio tracks these filings daily to create accurate, actionable lead lists for investors.
Appointment of Substitute Trustee
The Appointment of Substitute Trustee list is ideal for investors targeting non-judicial states. This document is filed when a lender replaces the initial trustee on a deed of trust with a foreclosure attorney.
- Why It Matters: This filing often signals the early stages of foreclosure, making it a “pre-pre-foreclosure” lead.
- Challenges: Not every appointment means foreclosure. Sometimes, the trustee change is procedural and unrelated to default.
- Marketing Tips:
- Direct approaches, like door-knocking and cold calling, are key.
- Be prepared to explain the homeowner’s status if they claim they aren’t in foreclosure.
By acting quickly on these leads, you can reach homeowners before other investors even know about the property.
Notice of Trustee Sale
The Notice of Trustee Sale is the next step in non-judicial foreclosures. This document provides the date, time, and location of a foreclosure auction.
- Why It’s Valuable: Unlike trustee appointments, this notice indicates the homeowner is in default and foreclosure is imminent.
- Marketing Strategy:
- Highlight the urgency of the situation: “Do you want to sell your house on your terms or the bank’s terms?”
- Focus on solutions, such as helping the homeowner avoid foreclosure by selling to you.
This list allows you to target leads further along in the foreclosure process, where motivation is often at its peak.
Lis Pendens
For investors working in judicial states, Lis Pendens filings will be your go-to pre-foreclosure lead. Lis Pendens, meaning “pending lawsuit,” signals that a lender has initiated a court case to begin foreclosure.
- Key Differences: Judicial foreclosures take longer, often nine months to two years, giving you more time to market and close deals.
- Marketing Tips:
- Remain consistent with follow-ups over several months, as the timeline for judicial foreclosures is longer.
- Use public records to verify the property’s ownership and equity status before making contact.
Probate and Inheritance Leads
Probate Leads
Probate is the legal process of distributing a deceased person’s assets. When property is involved, it often presents a great opportunity for investors.
- Targeting Executors: In probate cases, an executor (or administrator) is appointed to handle the estate. Reaching out to them is your best bet.
- Marketing Approach:
- Use a professional, service-focused tone. Avoid overly sympathetic messages, which can come across as insincere.
- Highlight how your services can simplify the process for the executor.
Since many probate properties are left vacant or have deferred maintenance, administrators are often motivated to sell quickly.
Affidavits of Heirship
When someone dies without a will, ownership of their property is transferred to heirs through an Affidavit of Heirship. This document bypasses the probate process and is a cost-effective way to transfer title.
- Challenges: Many properties in this list type may already be in the process of being sold. However, the few that aren’t can be excellent opportunities.
- Tips for Success:
- Market directly to heirs listed on the affidavit.
- Present yourself as a knowledgeable resource to help them liquidate the property quickly.
Additional Niche Lead Types
Tax Delinquent Lists
This list targets homeowners who are behind on their property taxes and at risk of losing their home. These leads are strong indicators of financial distress and potential motivation.
High Equity Lists
High equity properties are often owned by individuals who have held onto their homes for many years. These leads are ideal for investors focusing on fix-and-flips or long-term rentals.
- Key Metrics for Targeting:
- Owners with 15+ years in the property.
- Areas with strong ARV (After Repair Value) potential.
- Marketing approach: Cold calling or direct mail.
Water Shut-Off List
Homes with water shut-offs are likely vacant or facing financial distress. This list is particularly valuable for finding off-market opportunities where the homeowner may be ready to sell at a discount.
Marketing Tips for Lead Lists
Be Quick to Act
Speed is key when working foreclosure and distress leads. The faster you make contact, the better your chance of closing the deal.
Diversify Your Approach
Combine door-knocking, cold calling, and direct mail campaigns. This multi-touch approach increases your chances of making contact with the homeowner.
Overcome Objections
Expect objections like, “I’m not selling,” or “I’m not in foreclosure.” Respond calmly by framing your services as a helpful resource, not a sales pitch.
Propelio’s platform offers tools to streamline your lead generation:
- Fresh Lead Lists: Updated daily for accuracy.
- MLS Comps: Generate precise property valuations to create strong offers.
- Investor Websites: Build credibility and connect with sellers online.
With Propelio, investors can access all these tools for one flat monthly fee—no contracts and no hidden upsells.
Final Thoughts
The right lead list can make or break your marketing strategy. Propelio simplifies the process by delivering fresh, targeted leads that help you connect with sellers effectively. Whether you’re focusing on pre-foreclosures, probates, or other niche property types, understanding how to work these lists will set you ahead of your competition.
Ready to take your investing to the next level? Check out Propelio’s free trial and start accessing the tools you need today.
