Hi! In this video I want to show you how to research a cash buyers activity. To make sure that you are in an area with enough cash buyers activity or investors activity so you can start to market in this area.
Let’s pick San Antonio for the sake of this example. A good place to choose which market is good is to use the service Turnkey-reviews. Then go to Market. It will give you a list of markets. I would just use San Antonio for this example.
San Antonio is a big enough market. The population of 1.3 million people which is considered a good enough market. You can also google it. Search for San Antonio Metro Population. So it is 2.3 population and it is a big enough market to work leads there. A great place to start.
Next, we want to go Reisource.com. This is the homepage. You go to Create your own. In the Geography go to MSA. Select your state. I will choose TX. It will give you a list of all the metro area. I will look for San Antonio then add.
Next, I will go to Property tab and select property type. I will select only single homes because that would be the main type of property that I want to target. Next, I would like to Last Market Sale Date. Click on the last 3 months. Click Add. I want to see that last cash activity on the last 3 months just to get an idea on how many transactions we had. Go to the Options tab and select absentee owned so that means that is investors.
Then on the Corporate-owned properties, you want to make sure that you click No preference to make sure you include all the LLCs and the Corporations that investors buying properties. So, that is the activity now, you have 2,247 investors transactions. We don’t know if that is cash or not but we know that is absentee-owned which means investors buying. If you want to know and make sure that how many of these are cash transactions, you can go to property tab and click Equity percent. Type from 100 % to 100% which means that they purchased this with cash and there are no liens against the house. So it will drop the price here. So, it is now 1182. Definitely a good market.
So, bonus tip. You know that this is a great market and you want to know the most active zipcode. Go to Purchase list. Then go to Purchase partial list. This is where you will see the most active zipcode. This is where you are going to focus your marketing dollars to get the seller. So, I just custom selection by zip code and this will break down the 1182. We can just scroll down and see anything with the highest number. All the zip codes that are high will be a good zip code. If you want you can export this list. Click export and put your email address. They will send you this list in excel spreadsheet.
On your spreadsheet, you can filter it by ascending so that the top zip code will be shown on top. Basically, I will target all these top zip codes. If you want you can have it by percentage and divide it by the number of the transaction. So it is 4% in all the transaction on this zip code. I will focus my marketing budget on these zip codes where most cash transactions happen.