Starting a marketing campaign to wholesale properties in Houston. How do I know which areas to target? Obviously I know I shouldn't target to new neighborhoods. I am mainly marketing to probate, tax delinquent and out of state owners. Can anyone give tips and pointers on what part of Houston is hot right now?
Thanks in advance!
If you are planning on wholesaling the properties, you need to know what areas investors are buying in. Have an agent pull cash sales in the last 3-6 months with an excel format. See how many are selling per zip code and the prices they are selling for (either average or per square foot average, whatever you are more comfortable with), and you can baseline subdivisions or zip codes based on what cash buyers are paying for. If you see one zip code with a ton MORE cash sales in the last 3-6 months, you can bet its a hot area where investors are buying. You gotta put in the work, its due diligence. I wouldnt go off someone just TELLING me an ARV, I'd want to triple check it myself. Just like dumping money into marketing, I would just go off of what someone on a forum told me, I'd want to triple check it myself.
Thanks Anson. I appriciate your time : )
@Patricia Mercado from what I've heard and am now experiencing first hand, you're probably better off targeting a large swath of area thats not specific. On my direct mail campaign, I targeted Spring Branch and sent out 1300 letters and I've had an awful response, like 1%. I am on round 2 of the mail out but it's becoming obvious that I may need to switch areas. I may be wrong, but the issue lies in the fact that Spring Branch is a hot area and everyone and their mother is targeting this area. You have big time wholesalers, flippers and retail buyers to compete against.
@Michael Finkelshteyn Thanks for your input Michael. It helps to know. I will send out letters next week and cross my fingers : )
So what was your experience? What method did you use for direct mail? Thinking of doing the same myself.
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