BiggerPockets Real Estate Podcast

BiggerPockets Podcast 218: Driving for Deal Flow and Remarkable Educational Marketing with Erik Stark

Expertise:
360 Articles Written

Why is it some investors buy deals every single month, when others look for years without landing a single great real estate deal? Two words: deal flow. On today’s episode of the BiggerPockets Podcast, we sit down with Erik Stark to talk about how he consistently drives leads to his real estate business using “driving for dollars,” direct mail marketing, and a fascinating “education marketing” strategy that you’ll be excited to try for yourself!

Want more articles like this?

Create an account today to get BiggerPocket's best blog articles delivered to your inbox

Sign up for free

Click here to listen on iTunes.

Listen to the Podcast Here

Watch the Podcast Here

Help Us Out!

Help us reach new listeners on iTunes by leaving us a rating and review! It takes just 30 seconds and instructions can be found here. Thanks! We really appreciate it!

This Show Sponsored By

simplisafeCheck out SimpliSafe Security’s DIY home security systems; an affordable, wireless, cellular, and customizable system that doesn’t require a contract!

Try it today with a discount: simplisafepockets.com

Fire Round Sponsor

patchoflandWe just wanted to give a shout out to our podcast sponsor on today’s show: Patch of Land. Patch of Land is a Peer-to-Real-Estate (“P2RE”) lending marketplace that matches accredited and institutional investors seeking high-yield, short-term, asset-collateralized investments to borrowers seeking more timely and consistent sources of funding for rehabbing properties across America.

Learn more by visiting Patch of Land!

In This Episode We Cover:

  • Erik’s background
  • What exactly deal flow is
  • The importance of focusing on the strategy
  • The first step in driving for dollars
  • How to identify a distressed vacant house
  • How he tracks his mailers
  • What systems he has in place, including outsourcing
  • Tips for finding out if there’s existing mortgage on a property
  • The Smart Sell Book he authored
  • What R3 zoning is
  • What’s changed in the past two years since he was interviewed
  • His plan for the next years
  • And SO much more!

Links from the Show

Books Mentioned in this Show

Tweetable Topics:

  • “You need to stop chasing opportunity and start working a strategy.” (Tweet This!)
  • “I don’t want to spend my life trying to tell people why I’m better than everybody else.” (Tweet This!)
  • “If you are looking at properties and not writing offers, it’s like going to the gym and not working out.” (Tweet This!)
  • “Cash is everywhere now. There’s no shortage of cash; there’s a shortage of real opportunity.” (Tweet This!)

Connect with Erik

Show Preview

Real strategies that work for real people seeking to build wealth through real estate investments. Co-hosted by Brandon Turner and David Greene, this podcast provides actionable advice from investors and other real estate professionals, who chat about failures, successes, motivations, and lessons learned.

    Boz Anderson from Oklahoma City, Oklahoma
    Replied over 2 years ago
    Erik, can you not mail your letters on a different color of paper to keep track of what marketing campaign the deal came from? I used this on a 30,000 letter campaign and it worked for me.
    Mohit Madaan Investor from Stockton, CA
    Replied over 2 years ago
    So when the call comes in, do you ask the customer, what color is the letter they are calling from?
    Boz Anderson from Oklahoma City, Oklahoma
    Replied over 2 years ago
    Sorry, I’m just now seeing this. Yes, that’s exactly what you do.
    Larry Russell Rental Property Investor from Whitsett, NC
    Replied over 2 years ago
    Great podcast! Very informative and insightful with filled with nuggets of useful information.
    DG A. Investor from Oakland, CA
    Replied over 2 years ago
    This was a great podcast, I really want to check out the “Smart Sell” book. Any way I’d be able to get a copy of it?
    jason mcdaniel
    Replied over 2 years ago
    Hey Daniel, please pm me if you figure out where to find it, I’d love to have a copy as well!
    Rob Yadrick from Wilkes Barre, Pennsylvania
    Replied over 2 years ago
    If you get your hands on one, I would love one as well.
    Troy Durrette Flipper/Rehabber from Conyers, GA
    Replied over 2 years ago
    Me to
    Topher Vanous Investor from Denver, Colorado
    Replied over 2 years ago
    Me three, please!
    Topher Vanous Investor from Denver, Colorado
    Replied over 2 years ago
    Me three, please!
    Douglas Armendarez Real Estate Agent from Temecula, California
    Replied over 2 years ago
    I would also love to see that!!! Thanks for a great and informative podcast!
    Jake Thompson Rental Property Investor from Brownsville, OR
    Replied over 2 years ago
    I’ve listened to this show twice already! Need to sit down and take notes on it though. There is so much incredible info!
    Tony Wooldridge Rental Property Investor from Walla Walla, WA
    Replied over 2 years ago
    Erik, Thanks for sharing your story! One question though, is that Moonshine you are drinking? (Florida blend) LOL
    Erik Stark from Boca Raton, Florida
    Replied over 2 years ago
    no moonshine for this guy. I am a fan of old school mason jars and water is my favorite blend. lol
    Mark Limke from West Des Moines, Iowa
    Replied over 2 years ago
    Great podcast, worth a re-listen and note-taking. Terrific job by the guest host, too. May I offer one suggestion, which would be helping me now if you did it? Take a peek at Tim Ferriss’ blog, and see how he attached time tags to the annotation. Makes it super easy to jump to the portion of the recording that has that killer tip. Here’s an example from a recent interview of Tim’s. They’re all similar. Show Notes Introductions and “Victor” unmasked. [06:44] Reconditioning an overweight, out-of-shape 64-year-old with hip and shoulder replacements into a flexible 74-year-old capable of high-speed snatches. [07:33] What I need to work on. [14:48] What Naval has learned from Jerzy and Aniela. [16:26] Jerzy shares his age, weight, body fat, and other stats. [17:06] Naval and I recall our first meetings with Jerzy. [19:44] Jerzy tells the story about how The Happy Body program came about. [21:45]
    Chris Gordon Rental Property Investor from Venetia, PA
    Replied over 2 years ago
    Where’s the transcript for this?
    Terence M Sullivan Jr from Mount Airy, Maryland
    Replied over 2 years ago
    To track various marketing efforts, you could always include some tracking number to reference when the individual calls, emails or reply’s. Tracking number generated by using the month, year and type of marketing could help track different marketing efforts over time. For example, a mass mailing, which you give the number 45, mailed in January of 2017 could have a reference number, 012017-45. That way you can trace any leads to that mailing for better tracking of results. You can add any type of reference numbers to suit your different marketing efforts, even including the date you mail.
    Ryan Kraft Residential Real Estate Broker from Dousman, Wisconsin
    Replied over 2 years ago
    Interested in the book as well
    Drew Wiard Rental Property Investor from Fort Wayne, IN
    Replied over 2 years ago
    KILLER show. This is the one I’ve been looking for for a while. Thanks!
    Erik Stark from Boca Raton, Florida
    Replied over 2 years ago
    Thanks Drew. Let me know how I can help you put into place the information you learned. Get ahold of me
    John Oh Property Manager from Huntingdon Valley, PA
    Replied over 2 years ago
    Amazing Podcast, Erik. Your educational marketing is a huge game-changer for me and I’m going to be implementing it immediately. Thank you for sharing!
    Ashley Salinas Real Estate Professional from Houston, Texas
    Replied over 2 years ago
    I was interested in hearing your reasoning for sending out mail to only houses 2008 or newer?
    Kim Stofan Realtor from Sacramento, CA
    Replied over 2 years ago
    From my understanding, he wanted to avoid mailing to homes purchased between 2004-2008 because they likely bought high and it’s less likely there’s much equity there. Homes bought 2008 and on (after the collapse) are more likely to have some equity built in.
    Erik Stark from Boca Raton, Florida
    Replied over 2 years ago
    Hi Ashley, when I do mailings I am looking for equity and motivation. Most people who bought during the markets decline are typically less likely to sell at a reasonable price as opposed to people who may have owned since say 1998. I have tested this and while we do get responses from mailing those who bought after 2008, we find the quality of the lead is not all that great.
    Nathan G. Real Estate Broker from Cody, WY
    Replied over 2 years ago
    Excellent show, guys! I think Erik’s strategy fits nicely with the 80/20 rule. He has great advice for working smarter, not harder. Brandon asked if it is legal to charge more for adding a tenant. The answer is, YES! Fair Housing prohibits discriminating against families with children. It has nothing to do with a husband-wife, two best friends, or three co-workers. Check your local laws, particularly if you live in the People’s Republic of California.
    Lloyd Spencer Investor from New York City, New York
    Replied over 2 years ago
    Erik, you asked about tracking performance of campaigns after the first week. In an unrelated business we use a unique 8 digit leadid on each mail piece, so we can track performance in terms of response and conversion precisely. When people call the first question we ask is the leadid to pull up their record. Hope the helps, cheers.
    John French Investor from Norfolk, Virginia
    Replied over 2 years ago
    Great Podcast!! FYI this episode is missing on Stitcher.
    Jeromy Boutte Specialist from New Iberia/Youngsville/Lafayette, LA
    Replied over 2 years ago
    Incredibly informative podcast BP and Eric. I’ve listened to it 3 times thus far… will definitely listen to it again and watch it on YouTube! Exactly what I’ve been waiting for!!! I’d love to purchase your book Eric.