Marketing budget

[Doug Pretorius (ON) 9]

Ok folks, I'm giving this one more sustained shot. I'm going to spend $1,250 on marketing for CAs. What do you think I should spend it on? Here are a few options:

 

1. 3 month daily ad in the newspaper (probably about 75 calls)

2. 6 months of 378 postcards per month (roughly 230 calls)

3. 5 months of 100 bandit signs (about 500 calls)

4. 6 months of blanketing every house in my neighborhood (45 to 180 calls)

5. Some mix of the above?

 

BTW, I'm not counting the gas or time involved in putting up the bandit signs.

[Adam King (MI) 1]

Ok folks, I'm giving this one more sustained shot. I'm going to spend $1,250 on marketing for CAs. What do you think I should spend it on?

 

Networking.

[Doug Pretorius (ON) 9]

LOL networking with who?

[Adam King (MI) 1]

Everyone dude. Realtors, mortgage brokers, attorneys, investors (I know, there aren't any up there)

 

Save yourself some dough and go make appointments. That's all I've been doing lately is networking with everyone. Deals are coming in, buyers are coming in and getting sellers is....hell, they're all standing at the ends of their driveways with their Deeds in their hands bagging for someone to take the damn house!

 

However, if that doesn't work then your plan seems valid. Signs are working like crazy right now as are postcards. I'm even putting together a creative real estate investor education site for FSBOs so they know what they're getting themselves into. And yes, there's a seller form on the last page.

Adam

[Doug Pretorius (ON) 9]

Believe it or not there is one investor here now! They're putting flyers up on poles that look exactly like the ones I put up that we almost closed that wholesale deal from.

 

I've marketed to realtors heavily and haven't got anything of interest--a few calls, but they always say the same thing: "All my sellers want their capital out now."

 

I have tried mortgage brokers and attornies in the past but got the same results. How do you actually get them to bring you deals?

[megabucks41 0]

Believe it or not there is one investor here now! They're putting flyers up on poles that look exactly like the ones I put up that we almost closed that wholesale deal from.

 

I've marketed to realtors heavily and haven't got anything of interest--a few calls, but they always say the same thing: "All my sellers want their capital out now."

 

I have tried mortgage brokers and attornies in the past but got the same results. How do you actually get them to bring you deals?

you grease them lol.

[Adam King (MI) 1]

Dude,

Here's how you work with Realtors that need all cash.

 

Ready?

 

I network with LOs (Loan Officers) to bring me buyers for my properties. I tell them I can offer terms such as seller held seconds or down payment assistance. They bring in a buyer that needs this type of service, they send the lead my way, the bueyr calls me, I show the house and do all of the paperwork. The buyer likes it and we close. Now here's why networking is important.

 

Three days ago a Realtor that I have been working with brings me a buyer that she believes can't get financing. She asks me if I still have rent to own properties. I say I do and to send me the buyer. The buyer calls me and asks me for my properties. Not so fast, let's make sure you're not going to get into something you can't handle. We need to first make sure that buyer isn't going to be putting down their life's savings and not getting it back because we didn't qualify them first.

 

So, I three-way-call the buyer in with my LO that I called to help me sell my houses in the first place. The LO is happy to hear that I now have a lead for her. We exchange numbers, they call each other, talk and run credit. Wouldn't you know it, the buyer is 100% qualified and likes the rate.

 

Now I'll let your mind wander on how the rest of this pans out, but just for a little hint I can tell you it will go one of three ways.

 

1. The buyer gets one of my houses and I give the Realtor a small commission (finder's fee).

2. The Realtor and I go and look for a house that I can control or purchase and sell to the buyer.

3. I give the buyer back to the Realtor since the buyers' now pre-qualified and they go house hunting on the MLS. I get a free lunch and a "I owe you one" pat on the back.

 

This is how powerful networking is. My LOs, my Realtors and my associate investors all have a system and a plan. Keep that in check and you can do anything.

 

Now the other cool part of this is that the Realtor now knows that I can produce. So they start bringing me leads. Whether I tie them up on terms or offer cash the Realtor knows I will be giving what their sellers want. Just like in your market.

 

FYI

I have an option on a property right now for $87K and it's worth $118K. The house has been on the market for a very long time and the price has been dropped many times. Now, I show up with the ability to offer tems. All of the suddent I have opened myself up to a whole other market that isn't in control of our shitty MI ecomony. I am willing to hold a second note AND get cashed out on my option. I then call my LOs and tell them I need a buyer and I'm willing to help with down payment assistance or hold a second or both. This is an easy deal for a LO and they almost always come through for me. But when you are working with 20 at a time the odds are clearly in your favor. Again, networking....

Regards,

Adam

[Doug Pretorius (ON) 9]

Well that makes sense. Let's see... could I kick it off with something like this:

 

Find a house that's undervalued, tie it up with an offer with standard financing and inspection clauses (so as not to spook the agent). That'll give me about a week to call loan officers and tell them I've got this house for sale and I'm willing to hold a seller second for any of their buyers that need it.

 

Show it, let them fall in love.

 

Figure out the paperwork details with my lawyer (some kind of asssignment/cancellation/takeback second as pay-off sort of thing).

 

Rinse and repeat, only this time with a proven track record with that realtor and loan officer.

[Jonathan RexfordFL 8]

TV, Radio, Direct Mail, Referal,

[Adam King (MI) 1]

Well that makes sense. Let's see... could I kick it off with something like this:

 

Find a house that's undervalued, tie it up with an offer with standard financing and inspection clauses (so as not to spook the agent). That'll give me about a week to call loan officers and tell them I've got this house for sale and I'm willing to hold a seller second for any of their buyers that need it.

 

Show it, let them fall in love.

 

Figure out the paperwork details with my lawyer (some kind of asssignment/cancellation/takeback second as pay-off sort of thing).

 

Rinse and repeat, only this time with a proven track record with that realtor and loan officer.

 

That's a nice start....