How to build momentum in your flipping business?

Question

How are you building momentum in your flipping business? How do you keep your pipeline full?

J Scott · Answer

If you want to scale reliably, you need to control your own acquisition marketing.  You can't rely on MLS or wholesalers, which are out of your control.

Focus on off-market acquisitions -- direct mail, cold calling, door knocking, advertising, etc.

Once you can control your own marketing/acquisitions, scaling is simple...

J Scott · Answer

How are you marketing for leads?

May Emery · Answer

@Austin Works It might be worth trying a mail campaign again but with a different list.

It could be that you were mailing to the same people on every other investor’s lists. Absentee Owners have been popular for a long time, and are apparently still somewhat effective (people are still mailing to them) but they are getting multiple offers to buy their home. It's hard to stand out.

There are some owner-occupied segments with people who share motivating factors for selling their home.

Seniors with Long-time Ownership: often ready to downsize or transition to assistance.

Homeowners with Low Financial Stability Scores (FSS): Struggling financially and likely ready to cash in on their asset.

Both these categories have additional advantages in that they probably don’t haven’t been updated and may have deferred maintenance. They won’t be expecting the same money as their neighbors with the shiny new kitchen and fresh paint.

A good list broker can help you sort things out.

Greg Dickerson · Answer

@Austin Works you mentioned you had a good 2018. What did you do? What was working for you on 2018? Whatever that was do more of it and be relentlessly consistent.

Also make sure to follow up on all old leads that didn’t turn into a deal.

Austin Works · Answer

@J Scott I am actually following your sample business plan that I downloaded from 123flip.com - in the business plan it states to focus on inexpensive marketing. Would you say that due to changes in the market, it is now necessary to incorporate more expensive means of marketing? I've tried direct mail before with poor results for several months consistently.

Austin Works · Answer

@J Scott, currently, I am posting on Craigslist, networking with wholesalers and realtors and occasionally driving for dollars, though I have not made this regular practice. I've had a great 2018, but I'm still at the mercy of wholesalers and the MLS for the most part. I'm looking to become proactive in building a steady flow of leads so that I can scale my business, rather than being reactive to leads if/when they arise.

How to build momentum in your flipping business?

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