For many investors flipping houses finding more cash buyers tops their list of wants and is one of the biggest challenges they face.
Even if you have plenty of lookers and other home buyers, those that require financing can be a lot more work, be more of a pain to negotiate with and be far riskier to contract with, not to mention take longer to close.
For those flipping houses solid contracts and flipping fast is key to not just profits but maximizing the potential of current market. So how can you find and attract more cash buyers?
If you consistently find that you are not generating real cash offers perhaps the first question to ask is whether you have the product that cash buyers are looking for? If not, could you dramatically pump up your profits and income by switching up niches?
Secondly, question whether your ads are targeted and written well to connect with and appeal to cash buyers. Marketing to first time home buyers is probably not the biggest pool of cash rich buyers today. May be investors or wealthier repeat move up buyers or those downsizing would be a better fit.
Can you build or acquire better lead lists? You might be scooping up large numbers of contacts for pennies but if they aren’t leading to the offers, sales and flipping the number of houses you’d like may be honing in a little more is the smarter thing to do.
Are you capitalizing on the huge influx of foreign buyers and investors? These international buyers come with plenty of cash and while they have made up a sizable percentage of buyers over the last few years, they are set to be an even bigger force in 2013 and are becoming more willing to invest in new areas.