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Chris Piper
  • Wholesaler
  • Mishawaka, IN
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The fastest ways to build a cash buyer's list as a wholesaler

Chris Piper
  • Wholesaler
  • Mishawaka, IN
Posted Aug 28 2016, 01:05

Every wholesaler uses different methods to build their cash buyer's list. If you are a new wholesaler, or just can't seem to find cash buyers, there are several ways to build your list quickly. Typically, when you are just starting out, most people don't have any money to spend, or very little at least. Even if you have a lot of money to get started, you don't want to spend it in the beginning because you don't know what you're doing yet and what type of marketing will get you the best results.

Every time I see someone ask what the fastest way to build a cash buyers list is, the answer people give them is the same 100% of the time. Get a list and send them a yellow post card. First of all, you have to buy a list. Then you have to mail eveyone on that list a postcard. And mailing to each person on the list one time will not accomplish anything. Typically you have to mail to each person 4 or 5 times before you will get a response. So, if you spent say $200 on a list for example, then you mail to 2,000 possible cash buyers at $.50 per post card, then you've spent $1,200 right away, plus you need to spend another $4,000 if you mail to each of them 4 more times. It is worth it when you can afford to do that, but in the beginning, it's not a realistic way to find cash buyers. I  will cover some free ways to build your list, as well as some paid ways. 

FREE

1. Craigslist(Search)

Look through the "Real Estate Services" section for cash buyers.

    Craigslist(Post)

Post a ghost ad to get cash buyers to call you. When they do, get their name, email, and cell number. Tell them to email you their buying requirements. A ghost ad is basically a "fake" ad. Go to Zillow, pull up a property from anywhere in the U.S., save the pics of the property, and then create a post on Craigslist in the "Real Estate for Sale" by owner. Make the price very cheap for your area. In the title of your ad, put something like "MUST SELL!!!" or something like that. It works every time. When someone calls, you tell them the property has been sold, but you get several properties a month. Then get their contact info, and find out their buying requirements.

2. Go to your local REIA meeting. Most cities have them, and if not, find the closest one to you. Talk to people there and let them know what you do.

3. Tax Sales/Auctions

See who is bidding on these properties, and try to talk to them after the auction is over. These guys have DEEP pockets, and are always looking for deals.

PAID

1. Bandit SIgns

This is my #1 favorite way to find cash buyers. You get as many signs as you can afford to buy(White or Yellow plastic corrugated signs 18"X24" and H-Stakes). Put them up at busy intersections around town, or in the zip codes you are focusing on buying/selling in. NOTE: Most cities do NOT allow bandit signs, so put them up Friday after 5pm, and take them down Sunday night. That is when the city offices are closed. Hand write all your signs with a huge sharpie marker. Basically you write the same thing you might use for your Craigslist ad. EXAMPLE: 3 bed 1 bath 1,200sf MUST SELL!!! $19,000 CASH ONLY Call 555-1212. Only get your signs online, or they will cost you a fortune in town. Check Dirt Cheap Signs online. I think they run about $1.35/ea. If you buy them at Home Depot, you'll pay $5/ea not including the H-Stake.

2. List sites/Yellow Post Cards

You can buy lists from List Source and other list sites. They can be expensive depending on how many people are on the list. Once you buy a list, you find a service online that will stamp and mail your post cards for you so you never have to do anything but pay for them. Mailing can be quite expensive, but if you get enough cash buyers, you won't have to keep mailing once you build that list.

3. Cash Buyer Websites

You can pay to get a list of cash buyers, similar to using list source. The only difference is, you get the list for life, it will give you cash buyer's from the entire U.S.(every city/state), and the list gets updated on a regular basis. It also tells you how many properties they have bought within whatever time frame you search by. This can be quite expensive. I purchased the cash buyers list from Find Cash Buyers Now a few years ago, and I think it was around $2,500. If you have the money to do that, that's great. But keep in mind, they give you the cash buyer's info, but not a phone number, so you still have to mail to them, just like as if you bought a list from List Source. EXAMPLE: I just logged into my findcashbuyersnow account, and pulled up cash buyers in New York, NY. There were 2,469 cash buyers who bought at least one property cash in the last 3 months. Screenshot below. That's a lot of buyers.

Well those are the top ways free and paid to build your cash buyer's list as a fast as possible. Remember, the most important thing to remember is to buy at the right price, and have accurate figures. If you say a property needs $10,000 in rehab, and turns out it needs $30,000, your reputation will look very bad, and no one will want to work with you. Good luck everyone!

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