Pre-foreclosure Letters

6 Replies

Good morning BP community,

My wife and I are trying to establish a niche in the pre-foreclosure space (i.e. trying to get our first deal) and we are having a slight disagreement about how to contact homeowners via letter.

My wife is very good about finding a lot of personal information (i.e. family history, interests, education) about a homeowner via Facebook, Linkedin, etc. She uses this information to write as personalized and sincere of a letter to try to connect with the home owner to make us stand out from other investors and try to make them feel comfortable reaching out to us. We only use information that is directly related to the homeowners as we do not want to be overbearing or cross a line. A typical example is that we see that one of the homeowners is a serviceman and we acknowledge that detail and thank them for their service or that one of the owners has recently deceased and we offer our condolences.

I can see the potential power of this, but I can not help being the devil's advocate to this approach. I am almost leaning towards sending a general and "cookie-cutter" letter to these homeowners because I don't know how I would feel receiving a letter from a complete stranger with some personal details about my life and family. I do not want us coming off as "stalkerish".

What is this community's opinion about these two sides? What other advise does anyone have about reaching out to distressed home owners?

Thank you all in advance for your help!

@William Nagle Pre foreclosures in Colorado get a lot of mail, from both brokers and investors. It can also be a delicate situation as you don't know about what caused this to happen. If they want to sell the home to you, they could care less what you know about them. IMO this is more likely a deterrent than a way to stand out. If they want to sell, they are interested in how you are going to solve their Real Estate problem, and that's it. Can you pay cash? can you close? Others may have a different opinion though. Hope this helps

@Stuart Birdsong, Thank you for the insight.  That is what I was thinking, be direct and to the point.  My wife and I will have to talk about altering out letter strategy.

Mail, call and knock.

While you spend inordinate time with spouse debating the approach, others are taking action. 

Send the letters. Don't worry too much about customizing yet. The problem with your first attempts at copyrighting is that we superimpose our erroneous perceptions on others and think we know what bothers them. Tip: it's not what you think.

Seriously, get the mail out, lower your expectations of callers, and ask questions from those callers you do speak to that reveals their longer term plans and show them how, with your help, they can reach their objectives. Also, goals and objectives do not mean the same thing.

Thank you all for the input.  I greatly appreciate it.  The overall theme I am getting is at least take action now and fine tune it along the way.  The last two days we have sent out about 30 letters with varying styles.  We will see what comes back, if any.  In the mean time, we will just keep sending them out.