21 Types Of Real Estate Investor Leads Explained
The 21 Types Of Real Estate Investor Leads
- Absentee Owners
- Active Listing
- Cash Buyer
- High Equity
- Bankruptcy Leads
- Private Lenders
- Free And Clear
- Low Equity
- Active Investor Owned
- Upside Down
- Tax Delinquent
- Bored Investor
- Long Term Owner
- Inherited/Probate Leads
- Vacant Listings
- Zombie Property
- Flipped Properties
- Lien Properties
1. Absentee Owner Leads
Absentee Owners, simply put, don’t actively live in your target property. Maybe it’s an occasional vacation home or maybe it was gifted to them - there are so many different reasons a property isn’t lived in.
Regardless of why, absentee owners may not have sold because they don’t know where to start or they haven’t even considered selling. But this property isn’t on the market, which means they likely haven’t been approached about selling - and this is your competitive advantage. This is what makes them one of the ideal real estate leads for investors.
2. Active Listing Leads
This is a traditional, “on-the-market” listing that is listed on the MLS. And while many people can see this listing, it’s nonetheless important to analyze any and all investing opportunities available to you, whether they're on or off the market.
3. Cash Buyer Leads
Cash Buyers are property owners that likely paid cash for their property, making them great leads for real estate investors.
4. High Equity Leads
High Equity real estate leads are property owners that bought their property using a mortgage and whose properties have a loan-to-value ratio is less than 60%.
5. Bankruptcy Leads
Bankruptcy leads are usually motivated sellers; they are property owners that have recently filed for bankruptcy, and are potentially looking to offload their property fast.
6. Private Lender Leads
Private lenders are real estate leads with significant capital, ready to deploy on potential deals. This makes them a great source of funding when you’re looking for ways to fund bigger, better deals.
7. Renter Leads
Renters are a type of real estate lead that currently rent, and that may be open to purchasing a property if presented with the ideal purchase scenario.
It’s important to remember, renter leads vary widely in their ability to purchase a property, and just because someone rents an average apartment doesn’t mean they don’t have the capital to purchase a property (they may actually be renting a modest property while they save up to purchase).
8. Free And Clear Leads
Free & Clear leads are properties that are owned outright by the property owner, and for which there is no outstanding mortgage debt or any money owned to the bank. These property owners may be empty nesters or may just be looking to downsize, and the fact that they own their property outright makes it that much easier to sell.
9. Low Equity Leads
Low Equity real estate leads are property owners whose property still under mortgage, and their loan-to-value ratio is greater than 80%.
10. Active Investor Owned Leads
Active Investor Owned leads are properties owned by a known real estate investor. As real estate investors are in the business of making money, this indicates a lead type that may be willing to sell their property.
11. Upside Down Leads
Upside Down leads are real estate leads that owe more on their property than the property is worth. This means the loan-to-value ratio is greater than 100%.
This can happen for many reasons; one of the most common involves property owners buying at the height of the market. The real estate market can also mirror the overall economy, which means if the value of a property drops drastically, it can indicate overall economic sluggishness, which may have affected the current property owner.
This can leave them unable to make their payments, and they may be more than happy to sell quickly in order to recoup some of their losses.
12. Tax Delinquent Leads
Tax Delinquent leads are property owners that have recently fallen behind in their property tax payments. This can absolutely just be a simple oversight on the property owner’s part; but it can also signal larger problems.
13. Bored Investor Leads
Bored Investors are property owners that have owned the target property for a long period of time, but haven’t lived in it. There are many property owners out there that simply don’t want to go through the hassle of initiating the sale process, which means you may be one of the only investors to reach out to this off-market lead.
14. Foreclosure Leads
Foreclosure leads are properties that have undergone the foreclosure process and have been foreclosed on.
15. Pre-foreclosure Leads
Pre-foreclosure leads are real estate leads that have begun, but not finished, the foreclosure process. It usually happens when the property owner defaults on their mortgage payment, and needs to sell their property quickly (and often at a discount) in order to avoid going through the foreclosure process.
16. Long Term Owner Leads
Long Term Owners are leads that have lived in the target property for 30+ years, and who are the outright property owners.
17. Inherited/Probate Leads
Inherited/Probate Leads are properties that show telltale signs of going through the probate process of being passed down.
These are fantastic real estate leads for investors, as many who inherit a property don’t necessarily want the headache that goes along with the legal process of inheriting it - and they may not even be able to afford the property taxes that go along with it.
18. Vacant Listing Leads
Vacant Listings are properties that nobody is currently living in.
19. Zombie Property Leads
Zombie Properties are properties that underwent the foreclosure process, but the process was not completed for some reason or other. This means these properties are sitting vacant and can often be purchased for a great price.
20. Flipped Property Leads
Flipped Properties are properties that have been identified as being recently flipped, which indicate the owner is likely looking to sell it soon.
21. Lien Properties
Lien Property leads are properties with tax liens on them. A lien likely indicates financial problems, and Lien leads represent excellent opportunity for investors.
How To Generate Real Estate Investor Leads
Ok - so you know what the different types of leads for real estate investors are - so how do you go about finding them?
Lead gen software like Leadflow continues to be the most valuable tool to help investors scale their business and consistently generate leads.
2. Skip Tracing
Real estate skip tracing, while time consuming, is an excellent way to find contact info for potential real estate leads. While it’s not necessarily a scalable process for fully-fledged investing businesses, it’s a good way for small inventors to get started.
3. Driving For Dollars
Driving For Dollars involves driving around neighborhoods and looking for distressed properties that may be owned by property owners interested in selling.
Should You Buy Real Estate Leads?
There are plenty of companies that will sell you real estate leads in bulk. The problem? This is a finite supply of leads, and your business relies on these external companies for their lifeblood (leads).
Real estate investing is challenging, rewarding and exciting. And Leadflow is there to help you every step of the way.
With 20+ real estate lead types, billions of data points and next-gen marketing tools, resources to help you start investing and more, Leadflow is the ultimate in real estate lead generation. And right now, you can try it free for 7 days