When choosing the area you’re going to invest in a lot of people don’t create a large enough radius around where they live. For example, one of the best ways to be successful in this business is to mail a lot of letters and postcards to highly targeted lists. And sometimes when an investor tries to order a list around their home town they might only come up with 300 names. When that happens, you need to enlarge your radius because mailing 300 names will never make you wealthy.
What is the ideal radius? Obviously, it depends on where you live. If you live in the city you might not have to go far, but if you live in the country you might have to drive for miles. Personally, the radius I use is 60 miles around my house. Why such a big radius? Because some of the best deals–the bread and butter houses–are that far away from me. And when it comes to making $5,000 to $30,000 per deal, 60 miles is nothing.