The 5 Best Property Types to Target for Motivated Sellers

This article breaks down the five property types most likely to attract motivated sellers—why they work, what to watch for, and how to spot the winners.

Blogs

Jul 7, 2025

Intro: It’s Not Just About People — It’s About the Property Itself

When most real estate pros talk about motivated sellers, they zero in on life circumstances — death, divorce, debt. But motivation isn’t just about what’s happening to the person. It’s also deeply connected to what they own.

Certain types of properties naturally generate more pressure, more fatigue, more urgency — and more opportunity.

And if you know how to spot them, you’ll consistently uncover leads with built-in leverage — before anyone else does.

This article walks you through the five property types most likely to produce motivated sellers, why they work, and what to watch for. Not all deals are created equal — but these five make the short list for a reason.

#5: Condos with High HOA Fees (and Low Resale Value)

Why They Produce Motivation: Condos can seem like a hands-off investment. But when monthly HOA fees rise faster than appreciation — or special assessments hit — they quickly become liabilities.

Watch for:

  • HOA fees over $600/month with no luxury amenities

  • Signs of deferred maintenance in common areas

  • Properties in declining or stagnant condo markets

  • Buildings with legal issues or low owner-occupancy

Common Seller Motivations:

  • Cost creep: HOA eats too much of the net

  • Selling fatigue: Multiple price drops without offers

  • Vacancy: Tough to rent due to building rules or caps

  • Resentment: “I didn’t sign up for all this red tape”

Pro Tip: These sellers often welcome creative terms — subject-to, seller finance, or cash with fast close — especially if the unit is sitting empty.

#4: Properties With Problem Tenants

Why They Produce Motivation: Being a landlord isn’t always passive income. For many sellers, one bad tenant can tip the scales from “I’ll hold it” to “I’m done.”

This is especially true in cities with:

  • Strong tenant protections

  • Slow eviction processes

  • Landlord licensing or regulatory headaches

The Telltale Clues:

  • Seller mentions “tenant issues” in the listing

  • Unit is occupied but shown poorly (or not at all)

  • Rental rates are far below market

  • Property has legal notices or code violations on record

Why It Creates Motivation:

  • Landlords feel stuck and emotionally drained

  • Many owners don’t know they can sell with tenants

  • They’ll often sacrifice price to offload the problem

Pull Quote: “Motivated sellers don’t always want more money — they want less stress.”

How to Approach It:

  • Be respectful, not dismissive

  • Ask about the lease terms, tenant behavior, and history

  • Offer options (cash for keys, lease-backs, etc.)

These deals take finesse — but they often come with less competition and more upside.

#3: Inherited Properties (Especially Out of Area)

Why They Produce Motivation:
Probate, trust sales, or informal inheritances are emotionally loaded — and logistically challenging. The person who inherits the property is often:

  • Unfamiliar with the local market

  • Overwhelmed by cleanup or estate management

  • Eager to “be done with it”

High-Motivation Variants:

  • Multiple heirs who don’t agree

  • Executor lives out of state

  • Home hasn’t been maintained in years

  • Property still full of furniture or personal effects

The Key Shift: You’re not just buying a house — you’re solving an emotional burden.

“My parents lived here for 40 years. I just want to move on.”

What Works Well:

  • Cash offers with flexible closing dates

  • Offers that include clean-out services or estate sale support

  • Kind, clear communication that balances professionalism and empathy

These sellers are often deeply relieved to work with someone who simplifies the process — and doesn’t make it about squeezing every last dollar.

#2: Vacant Properties in Livable Condition

Why They Produce Motivation: Vacant doesn’t mean destroyed. In fact, some of the best motivated seller opportunities are in homes that are just fine — they’re just sitting unused.

Vacant homes can quickly become costly and vulnerable:

  • Insurance premiums go up

  • Utilities still need to be managed

  • Vandalism and squatters become a risk

  • Taxes, code enforcement, and HOA fines add up

Common Seller Profiles:

  • Relocated homeowners

  • Investors in over their head

  • Seniors now living in assisted care

  • Owners mid-renovation who ran out of money or time

Motivation Triggers:

  • “I don’t have the bandwidth to manage it anymore.”

  • “It’s been vacant for 9 months, and I’m paying for nothing.”

  • “We were going to Airbnb it, but that didn’t work out.”

Pro tip: Always check utility status. If water or electric has been cut off, you’re closer to motivation than you think.

Bonus: These properties are usually easier to access and inspect — and they’re more likely to close quickly, since no one is living inside.

#1: Small Multifamily (2–4 Units) Owned by Burned-Out Landlords

Why They’re #1:

  • They look like great assets — and once were

  • But they often represent a high-friction, low-reward situation today

  • And the owners are usually independent landlords with no formal team

These are the sweet spot of motivated sellers. Why?

Because they’re:

  • Too small for big hedge funds

  • Too complex for most retail buyers

  • Too exhausting for their current owner

Look for signs like:

  • Deferred maintenance

  • Below-market rents

  • Self-managed properties

  • Vacant units or uneven occupancy

  • Older owners or absentee landlords

Most common motivators:

  • Retirement

  • Health issues

  • Tenant turnover fatigue

  • Regulatory pressure (especially in rent-controlled areas)

“It used to be a cash cow. Now I just want to move on.”

What Works:

  • Clean, simple terms (no lowballing without reason)

  • Creative options: seller carryback, delayed close, repairs credit

  • Showing that you understand both the numbers and the people involved

Why It’s Ideal: You’re often solving multiple problems:

  • Unstable income stream

  • Need for liquidity

  • Desire for simplicity in a complex asset

If you specialize in this segment, you’ll never run out of opportunity — especially in cities with aging landlord populations.

Bonus Section: What to Avoid (Even If They Seem Motivated)

Not all property types are worth pursuing, even if they check the “motivation” box. Here are three you should think twice about:

New Construction in Oversupplied Subdivisions

  • Builder competition can undercut resale value

  • HOAs often restrict lease options

  • Limited upside unless you’re getting a major discount

Fractional or Timeshare Units

  • Legally complex

  • Hard to resell

  • Often involve ongoing fees that kill cash flow

Properties with Major Environmental Liens

  • Septic or well violations

  • Soil contamination

  • Asbestos or lead abatement — these can drag deals for months

If motivation comes with too much baggage, it’s not worth the drag.

Final Thoughts: Focus Where Motivation Grows Naturally

There’s a reason some property types produce more urgency, more often. It’s not random — it’s structural.

Look for:

  • Friction (tenant issues, financial bleed, family conflict)

  • Fatigue (landlords, long vacancies, high upkeep)

  • Finality (inheritance, divorce, transition)

These aren’t people in distress — they’re people in motion.

Your job isn’t to predict who’s struggling.
It’s to spot the asset types that amplify stress or complexity — and be ready to offer clarity when they need it most.

When you get that right, you won’t just close more deals.
You’ll do it with less resistance, less guessing, and way more confidence.

Written By:

Austin Beveridge

Chief Operating Officer

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Join Thousands Of Satisfied Operators

Discover why top teams rely on Goliath to find motivated sellers. Get everything you need to prospect, nurture, and close more deals.

679

Live Users

$
23
M

Closed Deals

11
%

Satisfaction Rating

11
+

Markets Live

Discover

Join Thousands Of Satisfied Operators

Discover why top teams rely on Goliath to find motivated sellers. Get everything you need to prospect, nurture, and close more deals.

679

Live Users

$
23
M

Closed Deals

11
%

Satisfaction Rating

11
+

Markets Live