How do you source property leads for investing?

[Nick Benjamin]

Curious to see how investors are finding deals in 2023. What ways work best and which ways are not as effective? 

Let's discuss!

[Tyler Fontaine]

Build your real estate network. Let everyone know your criteria and what deals you're trying to buy. Most of our deals recently have been from relationships we've established.

Other than that, go to as many off market showings you can. Even if you can't buy it, you want to start building your brand so people associate you with being a part of that word. Use Social Media to your advantage on this. Show what you're doing, what you buy, and that you're lookng for more deals.

Talking about putting money behind it - you can Drive for dollars and market to those people. You can buy lists of distressed off markets that you can market to. You can build an online presence that you can try to leverage over time.

[Jonathan Greene]

It's not necessarily about what works and what doesn't. People always say the fortune is in the follow-up, but with investors the failure is often in the follow-up. Most sources will generate leads. They get better the more you pay to get assistance on skip tracing, list building, etc., but none work if you aren't ready to talk real estate with the people who respond. You need a follow-up plan, CRM, phone, callers, etc. to be effective.

[Eliott Elias]

Cold calling and relationship building.  

[William Harvey]

@Nick Benjamin We have primarily used Google Ads. I agree with @Tyler Fontaine and @Eliott Elias about relationship building though. In the past we have gotten random deals just from our network and people knowing what we do. Staying top of mind is important for any relationship type of business. 

But, in 2022 for our house flipping business, every deal was off-market generated from Google Ads. We spent about $20k directly on Google Ads and then $12k ($1k per month) for someone to manage the campaign, and in 2022 we generated $286k in profit from these flips. We also bought another property where the lead came from Google that we are now operating as an Airbnb. 

It was definitely a long road to get there, and we still have a hot/cold relationship with Google Ads, but it is clearly profitable and has been working for us to source off market deals. Hope this helps and feel free to reach out with any questions related to this!

[Marty Boardman]

Being an investor looking for deals is like being a fisherman...you want to have as many lines in the water as possible.

As @Tyler Fontaine pointed out, networking is one "fishing hole", also paid ads like @William Harvey suggested is another.

That said, you'll want to have a "go-to" hole where you know you can almost always get a catch. Deciding what your go-to acquisition strategy is will depend on your skill set. @Jonathan Greene talks about fortune in the follow-up. He's right. Part of being a good investor is honing in your sales skills. You can get leads from a variety of sources, but if you don't have the motivation/negotiation skills it won't matter.

If you suck at sales/follow up you're better off networking with wholesalers/Realtors that can provide you deals. Just understand they'll be adding their commission/fee which will reduce your profit margin.

My primary acquisition strategy is pre-foreclosures and auctions (sheriff's sales in WI, trustee's sales in AZ). Pre-foreclosures require follow up, which I can't stand, so I JV out for that. For auctions I also JV, but all that requires is paying someone to bid on my behalf.

Best of luck in 2023 and beyond Nick!

[John Mathew]

Hello Nick! As an investors  I have found deals through a variety of channels, including:

1. Real estate agents and brokers: Many investors work with real estate agents or brokers to help them find properties to invest in. These professionals have access to a wide range of listings and can help investors navigate the buying process.
2. Online real estate marketplaces: There are many websites and apps that allow investors to search for properties for sale or rent. Some of these platforms, such as Zillow and Redfin, also offer tools and resources to help investors find and evaluate potential investments.
3. Networking: Building relationships with other real estate professionals, such as developers, lenders, and other investors, can help investors learn about potential deals. Networking events, such as industry conferences and meetups, can be a good way to connect with others in the industry.
4. Direct mail marketing: Some investors use direct mail marketing to reach out to owners of properties that may be suitable for investment. This can include sending letters or postcards to owners of rental properties or properties that are in disrepair, offering to buy the property or negotiate a deal.

Ultimately, the most effective way to find deals will depend on the individual investor and their specific goals and resources. Hope this helps!

[Milton Chamberlain]

A simple method that is effective is simply being on the look out for 'for rent' signs that have been up for 30+ days. I have a buddy who has bought two duplexes from mom and pop landlords using this method. For good prices.

[Mick Pristas]

Hey Nick,

I find that simply building your network is the best way to find deals. Going to meetups, open houses, and simply calling realtors is a great start. 

I have a great source of properties from my Network I'd be happy to share with you. Also, I am local to Tampa Fl if you are looking in this area!

[Will Clark]

We use a combo of SMS and PPC. SMS is by far our best performing, but PPC is nice because it is so passive. Networking is great and will land some deals, but in hyper-competitive markets, it will be pretty hard to get access to a great deal without being direct to seller. Even if you're a wholesaler or agent's best friend, it will be hard for them to give you a 60% deal when everyone else would pay 75%. Bateman collective for PPC, Launch Control for SMS. If you use our referral code for Launch Control, we help you set it up and give you everything we do to be one of their top performers. Free zooms with our team for a month. Just for using our link.

[Tyler VanDerzee]

It depends how involved you want to be. We run motivated seller PPC campaigns for investors because they allow you to get your message in front of motivated sellers looking for exactly what you are offering - all without you having to lift a finger. You just have to pick up the phone once the lead comes in.

So far in the past few months we've been seeing CPL (Cost Per Lead) dropping and investors closing about 1-in-15 to 1-in-20 leads on average. The best part of this approach is that it is low overhead and you can control most aspects of a campaign with little to no effort. 

Also, unlike other marketing channels, PPC can provide immediate results, with traffic to your website starting from the moment your ads go live. This is ideal for motivated sellers who are often in a hurry to sell their property.

It's also a cost-effective option because you only pay when someone clicks on your ad, making it easy to control and manage your advertising budget.

Overall I'd say outbound marketing tactics are no match for inbound ones. By prioritizing methods that draw motivated sellers directly to you, you'll see the best results.

[Wale Lawal]

@Nick Benjamin

It should be made very clear that learning how to generate leads in real estate is no easy feat; there is no one best way to get real estate leads, and is a skill that is developed over time. One advantage, however, is that there are generations of real estate investors from whom savvy techniques can be gleaned. Three helpful tips for how to get leads in real estate, include business auditing, networking, and focusing on conversions.

Business Audit
Before setting out to hunt for leads, it is helpful to first build a solid foundation by running an audit on the way you manage your business. One such way is to evaluate the key performance indicators (KPIs) you use to track your progress. Some examples of KPIs include the number of leads you contact, the number of calls or meetings resulting from campaigns to leads, and furthermore, the number of deals and profits you make per lead. The purpose of this exercise is to ensure that you are effectively tracking the profit generators in your business. If you are not properly tracking your progress, then there will be no way that you can evaluate how to improve in the future.

A second method is auditing your methods of obtaining deals, in conjunction with the types and frequencies of your marketing campaigns. Are your current methods just as effective as they have been in the past? How frequently are you following up on your leads? Are you investing enough time, effort and resources? What are some strategies being used by your competitors? If you find areas in which you can improve, spend some time refining your strategy.

Network
The value of networking as a part of your marketing strategy cannot be stressed enough. Growing your network of professional relationships will not only provide you with a support system, members of your network can be a valuable source of real estate leads! Start out by joining your local real estate investing club, and attend organizational meetings and events. Building your network requires taking an interest in other professionals and cultivating genuine relationships.

Unfortunately, some of your colleagues may have a scarcity mindset and hesitate to provide you with tips and advice, especially if they view you as a direct competitor. Try supplementing your local networking efforts by going nationwide. There is no shortage of regional and national real estate investing associations, networking opportunities and conferences to participate in. By not being in direct competition, some of your new contacts might be more open when it comes to sharing information and advice.

Focus On Conversions
Anyone who tells you that the quantity of leads is more important than the quality of leads is ill-advised. For example, let us say that you acquired 300 probate real estate leads, but you were only able to make appointments with 3 of these leads. This translates to a mere 1 percent conversion rate, which may not be enough to sustain your business. If you catch the drift, it is that quality is more important than quantity.

Manage your leads in such a way that as many as possible are guided through your marketing funnel. Design your campaigns in such a way that gets as many eyeballs as possible on your website, and provide calls to action that incentivize people to pick up the phone or enter their contact information. You can also divide your leads into categories, a method called ‘segmenting’ in marketing, and implement more specific targeting messages for each. At the end of the day, your goal is to meet or speak with as many leads as possible so that you can nurture those relationships into business opportunities.

Online Real Estate Lead Generation
The widespread access to information and data is a remarkable benefit of today’s internet and technology age. Knowing just where to find real estate investor leads can be a frustrating challenge in itself, but luckily, there are several websites that provide an immense amount of data with just a few mouse clicks. During your next round of online lead generation, be sure to check out the following websites recommended by The Balance:

1. Loopnet.com: Loopnet is a leading source for those interested in obtaining commercial real estate leads, and provides users with access to a large inventory of investment properties.
2. Auction.com: Auction.com serves as a source of auctions for many types of real estate, such a real estate-owned, foreclosures and short sale properties. Investors can attend auctions that are hosted online.
3. Craigslist.com: This site is a great way to find organic leads by region and specific markets. One might find owner leads for distressed properties or for sale by owner.
4. Realtor.com: Serving as the official website for the National Association of Realtors, Realtor.com provides listings from over 800 MLS databases. Users have the option to exclusive search for foreclosures, and can sign up for email notifications.
5. Trulia.com: For investors who favor sites that offer in-depth search criteria options, be sure to test the use of Trulia. This user friendly site allows for simple or deep searches, and provides detailed market data.
6. Realtytrac.com: Realtytrac serves as a central resource focused on foreclosure properties. Use this site from anything to learning about how foreclosures work, how to buy them, and access the latest foreclosure listings across the nation.
7. Propertyshark.com: To complement all the sites listed above, Propertyshark serves as an excellent source of property records. Once an investor has created a list of leads, they will need a way to identify the owner and address, as well as other property information such as assessed taxes and purchase price. This information will assist in devising a targeting strategy, as well as evaluate the potential profitability of the investment.

All the best!

[Bob Stevens]

Quote from @Nick Benjamin:

Curious to see how investors are finding deals in 2023. What ways work best and which ways are not as effective? 

Let's discuss!

I get about 20 a week ,cant close on them all, Its all from my network. I literally just got 12 in the last hour, going through them now. Issue is needing more cash buyers, 

[Nick Benjamin]

Quote from @Bob Stevens:

Quote from @Nick Benjamin:

Curious to see how investors are finding deals in 2023. What ways work best and which ways are not as effective? 

Let's discuss!

I get about 20 a week ,cant close on them all, Its all from my network. I literally just got 12 in the last hour, going through them now. Issue is needing more cash buyers, 

 Any in KC?

[Bob Stevens]

Quote from @Nick Benjamin:

Quote from @Bob Stevens:

Quote from @Nick Benjamin:

Curious to see how investors are finding deals in 2023. What ways work best and which ways are not as effective? 

Let's discuss!

I get about 20 a week ,cant close on them all, Its all from my network. I literally just got 12 in the last hour, going through them now. Issue is needing more cash buyers, 

 Any in KC?

 Sorry no, I do all my business in the Cleveland markets. 

[Patrick Drury]

@Nick Benjamin
Cold calling. Smile and dial

[Jared Hottle]

Networking, driving for dollars, daily consistent action and follow up until the lead is dead.