Marketing 101 The $80,000 Newspaper Ad!

By: Dan O'Connor
Submitted: 12:40PM on Monday 18 August 2008

A funny thing happened recently. I received a phone call from a nice lady who wanted to buy a house form me and stated that she had $80,000 as a down payent.

Huh?

Let me back up a minute and explain a little bit.

You see, I had a couple of houses for sale that I’m offering “soft” owner carry terms. I placed my usual fool-proof ad in the local Thrifty Nickel for $62.00/month and have received a TON of phone calls as a result.

Now, understand that not all of those callers had cash on hand but they do all had one thing in common…they all wanted to buy a house with owner carry terms for one reason or anoher.

I had received calls from several folks who have anywhere from $3,000 to $9,000 as a down payment or Option Consideration (I usual prefer the lease option method whenever I’m selling a house) and I was culling that list of prospects to see who was the best fit for my property when I received a phone call from “Sally”.

Sally explained to me that she sold her home of 25 years and was soon to be without a house at the end of the month, after the closing was to take place. She also mentioned that she and her son absolutely loved the house I’m selling.

During our conversation, Sally shared with me that she would have approximately $80,000 to put down on a house after closing. That’s right, I said $80,000...the most any buyer has ever had to put down on one of my properties!

Well, I told Sally that I felt we could probably work something out and that I’d be happy to meet with her to discuss the matter in person with her and her son.

What does all of this mean?

It means that Sally would be able to move in to my house whenever she’d like without having to hassle with dealing with any banks or applying for any loans. I, on the other hand, will receive a check for $80,000 ( a little more than the equity in that particular house, by the way).

This ends up being a really sweet deal for the both of us! Sally and her son end up happy as can be in their new home and I receive an $80,000 interest free loan as a result. Not bad all the way around, right?

And if Sally and her son decide not to buy the house within the agreed upon time? Well, let's just say that it'll be open for re-negotiation but it will definitely work out one way or another.

I know you’re dying to find out what the $80K ad in the Thrifty Nickel. It was the same basic ad that I've been running for years now whenever I want to sell a house quickly. No latest and greatest strategy, just some good ol' Marketing 101.

The $80,000 newspaper ad:

No Bank Qualifying-Owner Will Finance
This Beautiful 3/2/2 Home Today.
Call 1-800-555-5555 (free recorded message)

Feel free to test this ad out for yourself the next time that you have a house for sale with owner financing.

Remember, first build a solid foundation for your real estate investing business that includes the core fundamentals before trying to learn more advanced investing strategies.