As my wife and I continue to filter through some of the different methods to find properties,last week we did our 1st direct mailing. We mailed to 100 absentee owners in our area. Does anyone want to give feedback on this thought. I understand the concept of direct mail; however, what's your opinion on actually looking (either in person or through Google Maps) at each these properties in an effort to single out some that may warrant a more focused approach to pursue?
@anthony while mailing 100 pieces is better than nothing, a larger mailing will typically yield better results provided your list and mail piece are solid. I don't see any benefit to singling out properties as you described. Your mailing list should take care of that. Each record that you mail to should have certain criteria i.e. equity, SFR, a certain number of bedrooms, etc which it what allows to to flip or wholesale the property and earn a spread.
Dont waste your time looking at these properties before you mail. That will take hours of your time and your time is your most valuable asset. Looking at those properties will also cost you money as you evaluate their worth from a picture. I just sold a piece of crap for $7500, and that sucks, but I only paid $1 for it so I feel ok.
The problem with prescreening your leads is that you have no freakin idea which houses willl make you money, you have a better chance of predictig lottery numbers.
Send your mail out, and field the calls that come back. Let the sellers tell you what sort of deal they will take. You might walk into a pile of equity or a burned out landlord who just wants to give the house away.
Would you rather have a 50k house for free or a 300k house 25% below market price? the correct answer is both!!
Now go send your mail and make some money
Hit a niche that others aren't mailing to. Ask the guys that put out a lot of mail like Michael Quarles or Jerry Puckett.
As you increase you number of mailings consider using www.PropertySkiptracer.com
It's an investigative & telemarketing service that will give you an advantage over the competition.
If you want a more focused approach I would recommend Driving for Dollars, I won't go into it because it's articles all over BP about it.
Basically you would be mailing houses your sure are distressed, it may save you money or time.
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