Direct to owner mailers

20 Replies

Hi, I am starting out by sending mailers direct to owners for multifamily properties of 6-50 units. If anyone has a template I could use as an example to send out id appreciate it or even some tips on what it should say and look like.

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Originally posted by @Zachary Olley:

Hi, I am starting out by sending mailers direct to owners for multifamily properties of 6-50 units. If anyone has a template I could use as an example to send out id appreciate it or even some tips on what it should say and look like.

Look if you are going to get a spanking from me, it is all Austin's fault. 

Let me ask you this, and at first this may look like an attack on you for no reason, but go with me on this.


Answer me this... Why did you decide to do "mailers"?

Let's dissect this entire thing as this is the ONLY way it seems for everyone doing this to realize how stupid it all is.

So again why did you decide to do mailers?

Did you do an analysis?

Did you do the numbers for all the possible lead generation strategies and compared them and strategically scientifically decide that mailers was better?

OR... did you just "do it" because 99.99% of the investors out there are doing it?

If it is the latter, let me ask you this... from EVERYONE even the smallest of the small investors out there that ARE doing mailers, how many in % do you think are crushing it with mailers?

0.05%? 

1%?

10%?

Why would you think mailers is a good idea when 90+% of EVERYONE that are doing it fail miserably at it? See my point?

You do not need to convince me, nor justify to me why you picked this method. I honestly do not care one bit. You trying to convince me why this is the best choice (you can not POSSIBLY convince me because this choice is MATHEMATICALLY and universally wrong), is not going to magically make it work for you.

So whether I am right or wrong is irrelevant right? The point I am trying to make is simply this:

Whether I am right or wrong, the question to answer remains. DID you DO the analysis to come to the conclusion to send mailers? If the answer is no... you are WINGING it and you are relying on sheer dumb luck to become successful. Period.

If the answer is yes, and you DID do the research with actual numbers and you conclude it is the right way, I would say... check your numbers again!

Unless you send a TON of letters a month, forget it!

Instead, look towards a credible website, and then use Facebook ads or even PPC (not a fan of PPC to be honest, but it does work(ish)) to drive relevant traffic to your site.

That is the way to go my dude!

Good luck. May the monkey gods be with you slinging pooples at anyone you don't like!

Originally posted by @Adam Lacey:

@Jerryll Noorden have you tried this approach with multifamily (20+ units)?

 I have not.

But know this. You can rank #1 on Google for what ever you like.

If you wanted to rank #1 for people that were looking to buy pink elephants, wearing purple tutus, you can.

The question is how many people are looking for that. Right?

Same applies to the 20+ units. If there are people looking to sell 20+ units, then no problem. I don't buy 20+ units yet so I just don't know how many people own these and how many want to sell them. You would know that answer better, but as long as there are people owning these, this "strategy" will be successful.

The reason why I put quotations there is because it is not a strategy.

It is simply fact. People GO to Google when they need something and 20+ multifamilies is not an exception.

So the answer is a resounding  "yes"

@Jerryll Noorden

Thanks for the advice! I don't feel attacked at all. I appreciate your input. I have tried cold calling from skip traces, googling owners of the LLC, emailing. Most numbers and emails have been incorrect or I could not find a social media for the owner. I think of mailers like this. I know I have the correct home address so sending a good mailer will get to them and they will see it. The google ads is a great idea and I'll look into it more!

@Zachary Olley  A few things about mailers.

We mail 1,000 post cards per week to my 3-state region of Maine, New Hampshire and Vermont and they have worked well.  Right now, I have $21M in active listings.  Of those $14M (66%) came directly from post card mailings and those represent $1.4M in commissions.

Post cards are most often thrown out, but some go into a desk drawer and cause a business owner to call me several months later.  Every time they open that drawer, my card is there reminding them that they should call me.  In fact, one of my most recent listings told me he had held on to my post card for 5 months before calling.  That's a $440,000 listing representing $44,000 in commissions.

The text on the post card has to be brief and right to the point.  Use words like they cost you $1,000 each, because if you don't capture the reader's attention in the first 5 seconds, it's getting tossed in the trash.

Consistency is key.  Don't spend $500 on mailers one time and hope to hit a grand slam.  Decide what level of spend you're able to maintain over the long term and then commit to it.

Know your objective and design your communications to achieve it.  You can't close on a 20 unit building with a post card, so don't aim for it.  Instead, decide what it is you want the prospect to do, and then make it easy for them to do it.  It might be to prompt them to go to your website, so a clearly visible web address or QR code makes sense.  You might want them to call, so an easy to remember phone number, clearly visible, works.  You can buy good numbers.  I bought numbers ending in 3000 and 1000 for about $200 each.  You can also get numbers that spell something memorable.

The same advice holds for when your prospect contacts you.  You can't close the sale over the phone either, so your objective is most likely to get face to face.  Triage to see if the deal make sense and if it does, set up an appointment.

Don't forget to mail more than once.  Our database of business owners in my region is huge, but we will mail at least twice.  On a recent appointment with a prospective seller, he showed me two of our post cards - and yes, I got the listing.

We also follow up mailings with a phone call. We have a VA in the Philippines that we've just started with in the last month. We're still fine-tuning, but she's already set a couple of appointments. I also make calls myself. One of my own calls brought in a big listing that's closing next Tuesday. $288,000 in commissions. From a phone call - and that's why we make them.

Good luck!

@Charlie MacPherson

Thank you! I definitely plan on sending mailers on a consistent basis to the areas we are targeting. We are just targeting multi family so there are only 800 properties that fit the criteria we are looking for in those counties. I've tried calling but can't seem to get accurate numbers since a lot of multifamily are in an LLC which messes up a skip trace. Those commissions are inspiring! I'm currently working in sales and work on commission and would love to get to that level of making a year's salary in a month.

@Zachary Olley Hi I’ve had pretty good success with mailers on sfr and quads I used the services from yellow letters and the other big rei mailer site can’t remember the name. But if you look at there templates you could make something similar and mix it up so they see your name in a variety of different ways stay consistent and definitely consider other strategies (website, cold calling, door knocking) stay consistent and eventually you’ll get your opportunities.

You can definitely find a skip tracing company that can get your accurate information for the LLCs. It's a double skip process. We look up the registered agent or manager of the LLC first and then skip that person to get you accurate information on that contact. Let me know if you have any questions.

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Originally posted by @Bud Gaffney:

@Zachary Olley respectfully. Just not worth the $.

 What isn't worth the money? Using direct mail to find multifamily properties? Can you clarify?

I've tried direct to sellers before and it's never worked for me. I'm targeting much bigger properties and it just doesn't make sense to take someone's off-market offer (usually less than market price). The only real advantage you have is that they aren't liable for a broker disposition fee. You'll likely piss off a lot of brokers if you are trying to circumvent them.

That being said, I'm working on my first direct-to-seller deal right now, but it's because I knew them before this and know the history of their building. I am also accounting for a small fee that I'll pay to the broker he would have used so I can write a check and they do zero work. Win win.