My portfolio as of now consists of wholesaling properties around the Chicago Area I am looking into flipping and owning properties as my goal for the future. I also know that doing any of these you will want to get the property at wholesale prices what is the best way to find properties at wholesale price. (Without Zillow)
@Deonte Palmer - I would check with some other local wholesalers and see what is working for them. I personally don't have any experience wholesaling, but some suggestions I've heard work well are:
- Direct Mail Marketing
- Driving for dollars
- Door knocking
- Cold calling
One caveat with all of the above suggestions is they all require being persistently consistent because it is about being top of mind when that person in finally ready to sell. Good luck!
@Deonte Palmer Mailing is probably the best way to find your own off-market deals. These are people who share motivational characteristics of people ready to sell, but haven't yet done all the work they think they need to list property. The best way to find them is to send out mailers.
Some good lists to target are Absentee Owners with Equity, Seniors with Long-time Ownership and Homeowners with Low Financial Stability Scores.
You can work with a list broker to optimize your list for your area. From there, there are a lot of companies that can help with the printing and mailing. Be sure that you highlight that "selling your house can be easier than you think" with the advantages of working directly with you instead of the more traditional route.
@Jonathan Klemm so direct mail is actually a good strategy. How long does it take to get a response?
@Ryan Lin Appreciate the advice.
@May Emery Like I asked Jonathon what is the usual call back time when you send out a letter.
@Deonte Palmer - Mailers, like any other marketing technique is all about the numbers. The quality is in the quantity, meaning the more mailers you send out the more qualified leads you will get. A lot of wholesalers will send out mailers once a month for a year and target specific neighborhoods. You might send out 1000 mailers and only get 3 calls, but its all about consistency. There's no specific time frame for when you might get a call back, you just have to be ready at all times.
@Deonte Palmer I would suggest carrying out a large scale direct mail campaign. A properly scheduled direct mail campaign can yeild great results. The best way to market would be to take up a multi-channel approach to market to the same people. I use Listsource to generate leads. Let's say I get a list of 3000 leads, I am ready to mail to. After sending out my first batch of mail, I will start tracking the responses I get. The following week I will send an SMS blast to those 3000. Then another week later I will leave RVM (where possible). Then I will skip-trace so that I can Cold-Call the property owners. The scenario I described is how only one month of my campaign will be set up. I will continue doing this for another 6 consecutive months up to a year (depending upon the success). This way I am constantly reminding these distressed sellers that I am a solution waiting for them on their counter-top. You never know at which point a seller will actually decide to take the initiative to sell. Therefore, as we wait for them to come to a decision, we must constantly keep reminding them that we are here to help.
Hope this helps. Good Luck!
@Ehsan Rishat I appreciate it