Business Owner/Investor · Framingham, MA · Member since 2015 · 8 posts · 2 votes
Hi everyone!
I am new to REI and have been studying/researching/attending seminars but feel that the right coach would make all the difference as I have yet to do a deal. I am trying to make my first wholesale deal but cannot seem to get it done. Any help/referrals to a coach would be great. Thanks!
Developer · Andover, MA · Member since 2008 · 1k+ posts · 489 votes
11y
Welcome to BP @Matt Dupee. While a coach can be helpful, I am one who believes that you don't need to spend money to make it in this business. There are tons of resources online and locally that will help guide you. For instance, local investor meetings are a great way to meet and discuss with active investors. You'll find that most are happy to share their knowledge. There is a Black Diamond event in Waltham this week that you should try to attend. @Ann Bellamyis one of the hosts.
Developer · Andover, MA · Member since 2008 · 1k+ posts · 489 votes
11y
Welcome to BP @Matt Dupee. While a coach can be helpful, I am one who believes that you don't need to spend money to make it in this business. There are tons of resources online and locally that will help guide you. For instance, local investor meetings are a great way to meet and discuss with active investors. You'll find that most are happy to share their knowledge. There is a Black Diamond event in Waltham this week that you should try to attend. @Ann Bellamyis one of the hosts.
Lender · Tyngsboro, MA · Member since 2009 · 3k+ posts · 2k+ votes
11y
Hi, Matt, and thanks, Justin.
Matt, the Black Diamond event is Tuesday, link in my signature. I am on vacation this week so won't be there, but you'll find that between 75-100 other investors will be. There are 4 Black Diamond partners, so two of them will be running it. Bring lots of business cards.
There is also lots of posts on BP about mentors, do a search here on the site and you may change your mind. If you do get one, make sure they are local.
Real Estate Coach · New Zealand / USA · Member since 2014 · 296 posts · 82 votes
11y
Matt Dupee - perhaps you'd like to share why your deals are not coming together?
Is there a specific issue you face each time? Ie. Negotiating or things falling apart at the closing table etc?
This is a great place to discuss any problems which keep occurring!
Business Owner/Investor · Framingham, MA · Member since 2015 · 8 posts · 2 votes
11y
Hi @Steve G. Great idea! My problem seems to be finding the deal. I understand how to negotiate, close, etc. but I can't seem to find that "First" deal. I feel like I'm missing something. I went to/am going to seminars, have joined groups, made connections, flyers, business cards, websites...but can't get that first deal started. Any advice?
Real Estate Coach · New Zealand / USA · Member since 2014 · 296 posts · 82 votes
11y
@Matt Dupee - So are you using Direct mail, a Website, AdWords, Drive By's etc etc.? What does your marketing campaign look like on paper?
Maybe we can start by finding out what you're doing to find leads, and how many (ie: are you posting out 100 letters or postcards a week and if so, where did you get your list and what criteria are you using for your lists)?
When you say: "...but can't get that first deal started" . . how many motivated sellers have you spoken to in the last few weeks - and I'm asking about "Real" motivated sellers, and not just sellers with no motivation to sell or equity in their property?
Once we understand this info, it'll become clearer why you're struggling to get that first deal done!
Business Owner/Investor · Framingham, MA · Member since 2015 · 8 posts · 2 votes
11y
@Steve G. I'm using a website, AdWords, drive by's and sending mail to the driveby's. I have used lists in the past with little success, do you have a recommendation for motivated seller's lists?
I looked at bandit signs but have heard mixed reviews. thoughts?
I have not found any motivated sellers. It makes me think and the conclusion is that I don't understand how/where to fine motivated sellers!
@Dev Horn what's your take on the minimum ad spend for a Google Adwords campaign targeting motivated sellers?
In New Jersey, you're probably going to find that leads from AdWords (i.e., FORMS completed and lead received) will cost you maybe $150 each after all the impressions & clicks.
If I want 10 leads per month to work, with the expectation of landing 1 in 10, and my avg cost per lead is $150, then I need an AdWords budget of $1,500 per month. And that's a pretty good budget. That's a $50 per day budget.
At that level, you can afford the CLICKS that get you to the leads. The cost per click on the keyword "sell my house fast" might be $10, maybe $15. And you see once people click on the ad and come over to your landing page, maybe only 10 or 20% of those guys will fill out the form. Leads / Budget = your Cost per Lead, and I think you can assume that's $150 for now. Build your account, fund it, and it will optimize itself and you'll be tweaking the ads and keywords, and in a month or two you'll have a good idea of your cost per lead and if your budget is driving enough opportunity for you.
"If we fail to adapt, we fail to move forward." ~ John Wooden
Real Estate Coach · New Zealand / USA · Member since 2014 · 296 posts · 82 votes
11y
@Matt Dupee - Finding a great list for direct mail is difficult when you start out - I'll attest to that! Following what I considered to be good advice when I started (not too long ago), I purchased a list and simply specified "Vacant houses" in several zip code area's in the same city.
My 1,000 postcards went out - I received 3 calls & nothing at all worthy of putting under contract! Ouch!
List 2 was "Vacant houses with 70% equity or more in zip code area's where the investors were buying (I used ListSource to find where cash buyers had purchased in the previous 6 months and created a graph in excel for ease of reference).
A slightly better list - I had 5 calls and got 1 under contract.
List 3:- "Vacant houses, with 70% equity or more, owned by out of state owners" - 7 responses and 2 under contract.
So Direct mail works, but there's definitely an art to understanding what criteria you need to filter for to target the really motivated sellers in your chosen farm area. This criteria will certainly change from state to state & city to city, and it's a matter of testing testing & more testing until you find which one (s) works for you.
As @Brian Gibbons outlines, sending out to the same list many times over will reap the best results. A one shot campaign is bound to fail without further follow up campaigns. Like a new lawn, the ground needs to be prepared, and seeds need to be sown, watered and nurtured for months before you reap the rewards - same with Direct Mail.
Brian also provides a short list of some excellent marketers on BP. Check out their posts and blogs on the subject and seek out others.
As for websites, content, Adwords, SEO etc etc., this is another area of marketing which requires money and testing. I'll leave that to the experts for now as I'm also going through the process and devouring all the info on BP I can read on the subject.
Just remember it's only a numbers game - the more people who are exposed to your marketing, the higher the chance of you getting a better response, whatever form of marketing you choose to embark upon!
I'm happy to pass on my list provider to you outside of the forum - PM me for details.
“Many of life’s failures are people who did not realize how close they were to success when they gave up.” - Thomas Edison