Kailua, HI · Member since 2016 · 11 posts · 2 votes
I am in the beginning stages (just setting up website and getting business cards) and I was thinking that leveraging the older marketing of the "We buy ugly houses" might be a good idea. I settled on the name Steve Buys Ugly Houses, but what do you think about this approach/name? Is the word "ugly" off-putting to potential sellers or does it make people think I might be less than honest?
I'm in Hawaii, so I could also use SteveBuysHawaiiHouses or something similar. My company name is Cole Properties, LLC - I could brand it as www.ColePropertiesofHawaii.com...
Thanks for he reply. I have to admit a certain lack of pride in a company that calls others' houses "ugly". Must be the desire to stay positive that makes me not like a negative company name :)
I am faaaar from a marketing expert, but I assumed the word "ugly" was frequently used because it weeded out people delusional about value/condition of the home, and attracted people that were realistic/motivated.
If you take that word out and as a result attract a bunch of people trying to build their emotional attachment to their late grandfather into the sales price, that isn't going to help you.
Thanks. @Michael Borger - Cool that you're doing deals in Kaneohe, too. I agree that the word ugly will exclude a lot of houses with decent equity. I'd like to chat sometime via email about your marketing/acquisition methods and numbers if you don't mind. Looks like you're doing well here.
@Chris Mason - that makes total sense. Thanks for your opinion.
Today you saw one of the 40+ houses I am flipping on Oahu - it's pretty ratty-looking, yeah? (Good to see ya, by the way!) While most of the houses I buy can be considered ugly, to me... they're beautiful! As investors, we know it's another 6-figure paycheck a few months down the road after we apply a bit of 'rehab magic.'
When it comes to the marketing aspect, I think that "Steve buys houses" is going to be more effective - and more accurate. Why take the chance you could inadvertently offend a seller who may otherwise provide you with your next deal? Also, some of the houses I buy are not distressed at all - sometimes it's just the owner that's distressed financially.
Thanks, @Michael Mazzella. It was great seeing you again, too. You're right about the house I saw yesterday - although ratty, I saw the potential more than what it looked like now. That's going to look great when it's done. I'll definitely re-think the company name I use for wholesaling / marketing for motivated sellers.
Please don't take this the wrong way, but I personally wouldn't use my name in a business. The reason I say this is because the purpose of an entity is for protection and tax purposes. The more anonymity you have the more distance you create between you and a litigation. Speak with an attorney for more in depth protection and legal advise.
As for the word ugly, I would say use it only if the title can be spun in a positive way.... such as "Ugly Duckling Homes"
@Stephen Cole Since the people that own all of the related trademarks read these forums I would not suggest using anything that might be... "leveraging the older marketing of the "We buy ugly houses".
The people that own the "We buy houses" and "We buy ugly houses" trademarks really do enforce them.
Not that I am passing judgment on their trademarks but I can certainly say the Trademark office says they own them.
There has been a fair amount of chat about this on the biggerpocket forums.
I am a franchise HomeVestors of America the "We Buy Ugly Houses" guys and can say that the term "Ugly" works, unfortunately you have to be a franchise to use it. Were a 786 office national presence and our legal department does strongly enforce and protect that brand.
@Rob Orazi those signs on the side of the road are called Bandit signs and illegal, if they says "we buy Ugly Houses" on them it's trademark infringement. HomeVestors of America, Inc. corporation behind the "We Buy Ugly Houses" brand does not put bandit signs up, and I agree they are unprofessional. We have full billboards and national TV advertising, plus an exceptional direct mail program. We're a top 50 franchise company and have bought and sold over 75000 homes on the past 10 years.
Thank so for the feedback, everyone. When I said I wanted to leverage the marketing, I was just talking about the sound of the phrase. Using "Steve Buys Ugly Houses" should not be a trademark infringement. Regardless, I have decided not to use it, simply because it is not in line with my vision for my brand.
You may want to consider having a few different DBA's under your actual company name. Different marketing names will appeal to different customers. If I was a homeowner looking to sell and see "Ugly", I would assume they're going to make me a low ball offer. But it obviously works for some people. Some people will be attracted to the advertising that seems like an individual "Steve Buys Homes", while some will prefer advertising that seems like a large company "XYZ Homes", etc.
For example, with my real estate investing, I use the following DBA's:
4Lease4Sale - Main Real Estate marketing Co., primarily geared towards investors and selling properties, plus very easy for people to remember.
"XYZ" Cash Home Buyer - geared towards motivated sellers; XYZ being multiple different DBA's to target local clientele, such as Oklahoma, Texas, local area codes, cities, etc.
Also, try different approaches on your marketing, and just because it wouldn't work on you, don't assume it won't work. I can't believe some of the approaches that we use that works. There's no way I'd ever respond to many of them, but people are all different. I'd never call off a bandit sign, yellow letter, craigslist ad, etc. but they all work with the right people.
My biggest suggestion and the thing that exploded our business, was putting money into SEO to drive pre-qualified people. I don't want lots of leads of tire kickers, I want a few very qualified leads of motivated sellers who are realistic.