Idea for building a buyer's list

[esk456 0]

We all know that in today’s market, the name of the game is finding qualified buyers, even more than sellers.

 

Add to that, another piece of information that I’ve heard in various forms in various places:

 

“Bandit signs are dead. Well, for sellers. They’re GREAT for finding buyers”.

 

For purposes of this discussion, let’s just assume that last part is true, since this is only about finding buyers anyway.

 

So then:

 

- I need to find buyers to sell houses to, and

- Bandit signs are good for this

 

Now, going one step further:

 

We know that we want to make things easy for people. And simple. People are busy. If it’s not easy, or simple, they simply won’t do it.

 

So, I see signs like this at traffic lights all the time:

 

“3/2, 1400 sq. ft., low dn pmt, bad cred. ok, call xxx-xxxx”

 

Sure. Sweet, simple, and to the point. BUT, it requires the buyer to take multiple steps. They have to call a number, and then either have a conversation they’re not prepared to have, because they’re tired, and it’s been a long day, or they are out with the family and the kids are too noisy in the back.

 

Or, leave a voicemail if you don’t answer it, but who the (*&(& leaves voicemails these days? No one, that’s who. I’m BUSY, caller id should be ENOUGH, dammit! And if you don’t call me back, then to hell with you!

 

Or, perhaps they will find a pen, or even better yet, use the voice memo function on their phone, then later on that week collect that information from their dialed-in, closed-loop time management system and schedule an appropriate time to call you for followup.

 

Not. Gonna. Happen.

 

So, what if, instead, our bandit sign says THIS:

 

“3/2, 1400 sq. ft., low dn pmt, bad cred. ok, text ‘lowdown’ to 123456”

 

Aha! Now THAT’S something our buyer can do! And they can do it right then and there. EVERYONE has their phone available with them in the car, right? Of course, that’s when you’re SUPPOSED to talk on the phone, is when you are driving! Hellloooo, obvious!

 

So then, now it’s a one-step thing they can do immediately without thinking about it. They send a text, and instantly get back a more detailed blurb about the house or program, along with my phone number, and website URL for even MORE info.

 

Now then, what if I take a short video of each property, and put that up on the website, and then promise them live moving pictures, in the SMS autoresponder! Click for video and pics! Wow, I just made it simple, and easy, AND I gave them something to watch on YouTube when they get home to boot?

 

I just might be the Chosen One.

 

But even if I’m not – that’s ok. Because now, I’ve got their phone number.

 

Viola! Everytime I sign up a new property – SMS blast, baby! Instant, real-time updates for new properties, price changes, or even sales (“Oops, you missed out on this one, but plenty more to choose from!”)

 

What do you all think about this for building a buyer’s list? No, they’re not pre-qualified in any way, except for A) they must have SOME interest in a house of that type in that area, and they can at least afford a cellphone. So, actually, I guess they are pre-qualified, at least a little bit.

 

What do you all think?

[Jason (AL) 1]

Yep.

Not a bad idea.

Matter of fact, it's something I've incorporated with local businesses as well (for mobile text coupons).

 

Something I previously discussed here.

[MichaelC 160]

I think your idea rocks. High tech, maybe too high tech for an old school guy like me. But I understand technology is rapidly changing and you've got to stay in step. My only question is texting and driving. Isn't that a detriment to someone passing by your sign and trying to plug in the numbers on their keypad?

[Jonathan RexfordFL 8]

This sign has made me more money than any other form of advertising.

 

Owner Finance

2&3 Bedroom Homes

Problem Credit OK!

772-xxx-xxxx

 

And here is the KEY...TAKE THE DARN CALL even tire kickers. I get so mad when I hear people talk about 800 or VM systems. If you don't want to take the call then hire a VA and have them do it.

[MichaelC 160]

Why, Rex, you old school fool!

[baron14 1]

Hi Johnathan,

 

With the advertising:

 

Owner Finance

3BR Homes

Problem Credit OK!

772-XXX-XXX

 

When you advertise "Owner Finance" do you mean -

 

If you are doing a CA L/O with the homeowner, then you would owner finance

part of the assignment fee with the T/B?

 

and

 

If you were doing a pure option with the homeowner, how would you do the owner financing

with the end-buyer?

 

Also, in this tight money economy, how does one get the credit challenged buyers financed

and how do you structure owner financing for them?

 

Thanks,

baron14

[Jonathan RexfordFL 8]

I always identify anytype of TERMS owner finance. Meaning that if it is a Lease Option it is OWNER FINACE in my world. Remember it is a set of TERMS. If it was a pure option then I would make sure that my agreement had some type of owner finance terms that I can carry over.

 

This ad/sign is a general lead generation, not as much as a specific property.

[baron14 1]

Oh I see. You just carry over or "flip" the existing owner financing to the end-buyer.

 

Since a lot of homeowners want cash now, is there a way to get a pure option on the property,

then sell for a profit to a "credit challenged" end-buyer?....getting them financed in this tight money

economy seems like it would be difficult.

 

Thanks,

baron14

[Jonathan RexfordFL 8]

Baron,

 

I think you may misunderstand. I am the type of guy that doesn't approach a seller with a "Just one way" to do the deal. Sure lease option, option, sub 2, owner finance, assignment, short sale, wholesale..etc. All these have a hole to go into a deal. The each lead that comes in the funnel. I try to approach each deal on the idea that I am going to make money somewhere.

 

Back in 99-2000 when I started using this form of advertising, I got buyers who though they could not qualify for a loan. Well when I got them into the office and showed them they could it was a different type of buyer.

 

OWNER FINANCE is just a lead generation tool. Yes I do have houses that I owner finance. You can see them on my website at http://www.jonsellahome.com they are either lease option of agreement for deed. Most of the properties we move before they get to the website and that is because of my buyers list. Now I don't do many of these Lease Option Flips AKA CA's and I have said many times here on this website that I have not. It is not that I am really trying hard. Basically when you pin point your marketing for a specific niche you are leaving hundreds of thousands of dollars on the street.

 

The goal of any investor should become a Engineer of Transactions.

 

HTH.

[<Steve> 82]

Jonathan-

 

Have you completed any wholesale deals lately, how are you wholesaling as an investor in today's market?

Just curious

[Jonathan RexfordFL 8]

Short Sales mostly. We just dropped 5 into the hopper today. Cooking about a dozen other offers. Got to wait until they get done.

[<Steve> 82]

Your roll'n Jonathan