Marketing Suggestions

[Gary (MO) 0]

I've got a 'fixer upper' under lease. The lease begins 8/1/04. The focus is to flip the contract to another investor - or possible to an end buyer. I intend to put a Rent To Own sign in the yard, use flyers and a newspaper ad. Am I missing anything? I'd appreciate any other suggestions anyone might have.

 

Same way with the second deal (which is a CA) that also starts on 8/1/04.

 

Thanks!

Gary

[-Tony- 0]

Word Of Mouth works okay . I just filled a house this way and it still needs carpet.

[option8 0]

You could add to your marketing efforts the phrases:

Handiman Special!

Below Market Value!

 

option8

[MichaelC 160]

Gary, the two deals require a different approach because one is a Cooperative Assignment and the other is a sandwich lease. You've already got the Rent to Own sign on the property. Depending upon the street layout, it may also be beneficial to have directional signs scattered about the area, pointing towards the property. Your goal is to generate drive bys.......although in south central Los Angeles that probably isn't a good thing.

Flyers are a good thing, too, and you've already got that going on. Where do they go? Well, any flat surface is a good starting point, followed by bulletin boards in local businesses if they allow it, larger retailers may have a public board for you, and don't forget any local apartment complexes. There may very well be folks renting who don't want to be. Show them the light, brotha, and lead them to the Promised Land of Homeownership!

As for newspaper ads, for the CA I would recommend the tried and the true:

RENT TO OWN! 50% rent credit!!

Shady Pines subd, 3/2/1, 1200sf,

only $695/mo. (123) 456-7890....or something similar. Obviously, you'll need to plug in the correct specs, but you get the point.

And for the handyman sandwich deal you locked up:

Lease Purchase Handyman! No Qual!

4 yr term, below appraisal! 3/2/2

$48K, $550/mo. (123) 456-7890...or something along those lines.

Believe me, your phone will ring with those ads.

[Jason (AL) 1]

Hey Mikey!

 

What is that "different approach" you mention?

Could you go into more detail, please kind sir?

 

I'm sure I could figure it out myself, but South Park is keeping me from thinking at this point & time.

 

 

Sorry for my laziness....and plus I try to write whenever possible, before the guards shut the lights out and it's time for lockdown.

 

Thanks.

[MichaelC 160]

Jason, the "different approach" I mentioned was because the two subject properties will be targeted to a different market.

The Cooperative Assignment deal is geared towards an end user type. That is, the folks that will be living in the property with the intent of purchasing it before their year lease agreement expires. With this deal, Gary was able to set the terms at the very top of the market for the homeowner, and will now set about marketing for a tenant/buyer.

The sandwich lease deal Gary negotiated is with terms that work for him. He took control of the property for what is owed: the homeowner's monthly payment and payoff amount on the existing loan, and he also received a four year term. Since he decided he doesn't want to remain in the middle of this deal, he will simply assign it. Either to an end user as above, or to another investor who will see the value of the contract and terms he has already negotiated. There's a lot of value in a contract that has a below appraisal price locked in for four years! Someone will recognize this and be willing to pay several grand for the right to buy Gary's interest in it.