Which sellers should I target thru direct mail with $1500 budget?

6 Replies

Hi!

I am getting ready to send my first 2000 direct mails. I chose few zip codes that I plan to target. But I just don't know which sellers to target. I would love to hear your opinions, here's are my options:

1. List of absentee owners with 40% equity or more from listsource.
2. List of tax late, vacant, divorce from Citracado or Flipthisrealestatelist
3. Combination of both 50/50

I am leaning for option 2. I think these niche sellers would be a good starting point for me. But my only gripe is that I don't know how reliable are these lists from both Citracado and Flipthisrealestatelist. Has anybody any experience with them? or do you know any other list provider who could provide these niche seller lists?
Thanks so much for your help!

Hoestly I wouldn't do direct mail with only an $1500 buget.  $1500 may not get you a deal and then you are out of money.  What would you do then? Is that $1500 a month or is that all the money you have? 

Direct mail, while effective, is also very expensive.

@Ariel Lee I can't give you much of an opinion on who to direct mail to. I have tried direct mail and I am not very good at it. 

The one thing I can tell you is testing and repetition are important.  Test different headlines, colors, text, font etc to see what works best.

We do have some direct mail experts here Like @Jerry Puckett and @Michael Quarles (I hope I tagged the right Michael Quarles) You might want to follow them or look for some of their posts. They and others have written some very good stuff here about Direct mail..

Originally posted by @Ariel Lee :

Hi!

I am getting ready to send my first 2000 direct mails. I chose few zip codes that I plan to target. But I just don't know which sellers to target. I would love to hear your opinions, here's are my options:

1. List of absentee owners with 40% equity or more from listsource.
2. List of tax late, vacant, divorce from Citracado or Flipthisrealestatelist
3. Combination of both 50/50

I am leaning for option 2. I think these niche sellers would be a good starting point for me. But my only gripe is that I don't know how reliable are these lists from both Citracado and Flipthisrealestatelist. Has anybody any experience with them? or do you know any other list provider who could provide these niche seller lists?
Thanks so much for your help!

 Hello and Good to meet you

As an investor who buys at 65-70% of “As Is” value it is important that I only market to properties which will produce that ability.

The following is the criteria I like the most

  • 30 Plus % of equity
  • 5 plus years of home ownership
  • No corporations
  • No trusts unless in a high trust state
  • Single Family Residences
  • Accessed value not to exceed the area’s median home value.
  • Absentee out of state owners

Because this list is typically small, mainly due to the filter of out of state absentee owners, I will add this list as well.

  • 30 Plus % of equity
  • 5 plus years of home ownership
  • No corporations
  • No trusts unless in a high trust state
  • Single Family Residences
  • Accessed value not to exceed the area’s median home value.
  • 50% Absentee
  • 50% Owner Occupied

If my budget was such that I could send to all home owners then I wouldn’t care what percentage of absentees to owner occupied there are.

Once I have the list I would market to it 6 months in a row using six different mail pieces. At the end of the six months I would rerun the list and start over.

Thanks so much for your help @Michael Quarles

Do you get your list form listsource.com? if so how do you select for the criteria "accessed value not to exceed the area’s median home value"

I'm trying to narrow down my list from listsouce.com to fit into my budget, and I think that might help. I'm planning to target 4 zip codes near my area.

Also is there a reason why you would go for absentee owners instead of other niche targets?

Thanks so much for the clarification Michael!

Absentee tend to be burnt out landlord or inherited etc.. 

when I was in the timber business my best deals came from those out of state.. most had inherited the land and had never seen it..

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