when looking for a wholesale deal am i targeting absentee owners?
I just want to make sure before i spend 100$ on a mailing list. i want to make sure i am doing it right.
Depends on your business model.
thanks for that useless answer. wish i could thumb down that one
You haven't determined a niche. Let alone business model. Wholesalers focus on a multitude of customer segments so if you haven't determine what that is, you need to go back to the drawing board. Being that your question provides little to no detail of what you're trying to do, I doubt anyone could seriously give you better advice than "Depends on your business model." Check the blog posts and podcasts on wholesaling, and after listening to those, you should have better idea of what to do next.
I wish you the best with your business endeavors.
There are a bunch of different strategies to target properties that are more likely to turn up wholesale leads. Absentee is one, % equity is another (the more equity someone has the more likely they are to have the ability to take a lowball offer, mortgage origination (same thing), specific zip codes that tend to have houses that flippers like...
I did absentee when I started as a wholesaler. It worked pretty well. I know others have had success with many other methods. That's the great thing about RE. There's no ONE correct way.
thank you i just wanted to make sure i wasnt doing it wrong.
once i get a list do i send a letter to each one of them asking if they may be interested in selling? how much should i write what do i write
A letter to each. Use Microsoft Word and Excel to do a "Mail Merge". You create your letter in Word and have certain spots/blanks where it will pull the names from Excel (so you don't have to do each one individually). Once you write the letter and set it up in Word with Mail Merge, you hit print and all 100 letters will print out, each with the correct name addressed (ie: Dear Mr. Smith) and any other specific information (ie: I'm interested in buying your property at 114 South Ferry St). Google "Mail Merge" and there are how to videos.
As far as content. Everyone has their opinions. I feel the less the better. No one feels like reading a novel. Say who you are, you'd like to buy their property and maybe give a couple reasons why it makes sense to go with you.
Hey Derek, there are some great courses that teach you EVERYTHING you need to learn. I mean EVERYTHING. You should check it out. You will come out of it minting money with Real Estate. They even have all the materials setup, so you don't even have to THINK about what your letters should say.They provide you the secrets of real estate, but for a small fee, that you will get back after your first deal (of many deals). It is pretty much hit send and collect $200 when you pass go.
Hit me up if you want the link. And good luck man!
im a broke a$$ collge kid. i dont have too much money but how much does it cost. is it a seminar or what
@Account Closed puts out about direct mail marketing should help you understand what to do.
I will tell you that being broke makes marketing very hard. Marketing is the life blood of the wholesaling business and you have to be consistent with your efforts. If you get a list from listsource don't think it is a done deal. You may have to mail to that list up to 7 times over a period of time. Some people say I send them mail till they tell me to stop.
You really don't need a course (unless you can afford one). If you want to get an idea of what to put on your letters, look at the example letters at Yellowletters.com. Those will give you a good start to putting your own together.
Hope that helps
ya but if i got that list once of 200 people or so i can just keep reusing the list right?
i have about $300 i planned on spending $100 for a sellers list and $100 for a buyers list.
Great advice from everyone to @Derek LeBlanc
Also check out Click2Mail. They have great templates also.
If you can, at the very least, afford $500/month for marketing then that is an okay start. Just don't rely only on the absentee owner list to find leads for a potential wholesale deal. They are so many more.
Google "50 Ways For Real Estate Investors To Find Motivated Sellers" or do a search here on BP for "50 Quick Actions To Find Motivated Sellers" by Seth Williams.
I'm sure between those two lists, you'll find a few less expensive ways to get started while finding different lists to target.
@Account Closed you should listen to the podcasts. There are lots of good tips on direct mail.
I think 300 dollars in lists and mail might render you a deal, but it is very likely it wont.
Another great podcast for direct mail is the http://therealdealzpodcast.com/
You should listen to all of them before you pull the trigger, even on such small budget of 300 dollars.
One thing I've learned is that you are better off doing a "drive for dollars campaign" and mailing people from that list instead of using the absentee owners list. The absentee list is heavily advertised to and it will be either luck or the best marketing material who will get their calls.
Have you learned how to use your county online systems to see who owns the house?
don't PAY for a buyers list. Market your deals on craigslist, network at local REIAs, investor friendly real estate agents. These are all free. Finding the deal is the hard part, finding a buyer is easy if the numbers work
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