Professional direction need

32 Replies

good afternoon, I'll get right to the point. I've been looking all over the threads and wholesale forum looking for some advice on alocateing my funds on marketing.

$2000.00 Marketing budget. I know there are tons of different marketing plans, just wanted a pro's take on how i should spend the funds when it comes to marketing my wholesale services. I had to fight my wife tooth and nail for that $2k...lol

If there is a thread already with the info im looking for, I appologize in advance. If so would you please send the link.

Thank you.
Kenneth

I'm not a wholesaler, but there are inexpensive ways to market. Advertising on craigslist is one. I know that some use a title company to prepare lists for mailers as well. There are also many still using bandit signs.

I'm sure that you'll get several wholesalers hat will reply as well.

Are you marketing to find potential homes and/or to build a buyer's list? It may help to clarify this point. There are a number of threads that can be useful in building a buyer's list.

There also is a good thread on finding properties not on the MLS.

Thanks Charles, and you make a good point, thank you for asking that question. I'm marketing to find potential homes/motivated sellers.

You want Ryan Webber to pipe in, he is the resident wholesaling expert, but until then I will tell you have I had good luck with direct mailing marketing. Other ideas are bandit signs, expired MLS listings, probate lists, absentee lists, foreclosure lists. etc.

Thank you guys for the info. Steve thank you for the link, i read the entire thread, I was soo disappointed when I saw that I couldnt read the ones by Ryan Webber, the link is down do to forum upgrade back in 2008.

Or maybe someone has a copy of it? Or anyone have solid WORKING marketing plan you mind sharing?

Kenneth,

Did you navigate to the second page of that thread, and look for my post where I re-did Ryan's post with clickable links? I just did that and the links still work - but you have to find my post for that.

Great thread, thanks again Steve.

Ok heres what i've decided to do unless otherwise advised on my $2000.00

Buy 100 Bandit signs per week @ $1.05 a piece 24X18 and cut them down the middle giving me 200 signs,

I BUY CASH 4 INVESTMENT
HOUSES YOUR HOUSE HOUSES
CASH !! 713-XXX-1234 WANTED
713-xxx-1234 713-XXX-1234

I want this to be my niche, to learn the game of bandit signs.
But back to the topic at hand. My hope is to have some longevity, and by doing it this way I can pace myself. There are tons and tons of threads about bandit signs, and yes you find Mr. Ryan Webber in most of them, that dude has the keys to sucess.....im trying to drive a car right off that guys lot. lol

Thoughts? Good Idea? Bad Idea?

I Buy
Houses
713-xxx-1234

CASH 4
YOUR
HOUSE
713-XXX-1234

I BUY
INVESTMENT
HOUSES
713-XXX-1234

This seems like a great place to start. I recommend http://eVoice.com for your phone numbers. They are the least expensive and the most value.

You also might want to set up a blog. You can get one on this site and I also have a source for setting up quality Wordpress Blogs for free if you are interested.

Excellent advice Jason...thanks! What do you guys think.....could be on to something? good idea?

I would say don't use eVoice when google voice is free... you can even pick your number. For example I got 504-SAVE and 549-SELL to use for my signs. Don't cut your signs in half either, you want to represent your business well! If you have 2k to spend, you should close a deal before you need to worry about cutting signs in half to save money

Agreed Johnny..........free is my favorite price, thanks. So far so good, anyone feel its a bad idea?

Wow, with that kind of hype I have to chime in here.

Before you jump in too heavy with bandit signs, you need to research Houston's city codes and enforcement around them. Larger city's usually have well established protocol with bandit signs. If they take them down within a day or two, you might be wasting money on a bandit sign campaign. Some cities are also very strict about prosecuting people that put them up. There are even some cities that allow you to put them up if you pay a per sign fee.

As for cutting them or not, I think 12x18 is fine. I've had success with bigger and smaller signs, so I don't think its paramount. I actually don't like them too big because they end up bending in the Panhandle of Texas wind and aren't readable. You might not have that problem in Houston, though.

No matter what your budget is, I'd recommend you start driving your farm areas. Look for vacants and make phone calls and send letters to the ones with equity. Not only can you get deals this way but it will also help you learn your areas. You need to know your farm areas intimately or you will be wasting a lot of your time chasing deals that aren't deals.

As for a blog or evoice, I think both are a waste of your time right now. A vanity number has some value, but I wouldn't get hung up on it if you don't have one.

Your time and your money needs to have a laser focus. And that laser focus needs to be on finding MOTIVATED sellers and CASH buyers. Right now 80% of your focus needs to be on finding MOTIVATED sellers. 20% on finding CASH buyers. Once you find a deal, switch those.

Now as for specific marketing strategies of where to spend your money, I have to admit that I am not always as forthright on BP as I could be with this particular subject. This being a public forum and with several of my direct competition being on here (several of them I helped get started), I don't like giving up the goods on my specific marketing campaigns.

See with wholesaling, once you've established a good buyers list, the only real key to it is finding deals. The business becomes 95% finding deals. At my stage, this business is ALL about my marketing edge, so I don't really like to publicly discuss my edge. This is the first time in 4 years of being on here that I've even admitted this reservation. I normally just don't chime in when people are asking specific questions of how to spend X amount of dollars.

So point being, I still ain't giving it up. What I will tell you publicly is that there are no "golden" strategies to find deals. There are some silver strategies that will get you 3 or 4 deals a year, and there are some copper strategies that will get you 1 or 2 a year, and there are some that might get you a deal a year. The key to building a sustainable income from wholesaling is to start doing 2 or 3 strategies consistently and persistently. Then after you get those going, add 2 or 3 more, and then 2 or 3 more, and 2 or 3 more, until you have 15 or 20 different strategies that you are working consistently and persistently. Evaluate each strategy's effectiveness after doing it for at least 6 months.

Different strategies in different markets work differently at different times. You have to be open to experimenting with different strategies. Try them out for at least 6 months consistently and persistently and then evaluate their effectiveness. I have seen that some strategies will work for awhile and then fizzle out for months or even years, and some will not work for 6 months and then they will pop a deal or two. You have to be open and creative, consistent and persistent.

Also understand that many markets experience strong seasonal shifts in activity. My market dies in the winter time. Going to Vegas is a better investment of my money than spending it on marketing in the winter time. I've been told that not all markets are this way.

Kenneth, you are welcome to call me and I'll be glad to privately help you with some particular strategies for your particular market.

Originally posted by Kenneth Lee:
Ok heres what i've decided to do unless otherwise advised on my $2000.00

Buy 100 Bandit signs per week @ $1.05 a piece 24X18 and cut them down the middle giving me 200 signs,

I BUY CASH 4 INVESTMENT
HOUSES YOUR HOUSE HOUSES
CASH !! 713-XXX-1234 WANTED
713-xxx-1234 713-XXX-1234

I want this to be my niche, to learn the game of bandit signs.
But back to the topic at hand. My hope is to have some longevity, and by doing it this way I can pace myself. There are tons and tons of threads about bandit signs, and yes you find Mr. Ryan Webber in most of them, that dude has the keys to sucess.....im trying to drive a car right off that guys lot. lol

Thoughts? Good Idea? Bad Idea?

I sold homes for a builder here in houston and we put out bandit signs to generate leads. Phones blasted off the hook!!! Laws were passed by good ol Bill White to cut down on street pollution and even set up a bandit sign enforcement team that WILL come looking for you. Builder would give us Nextels so they'd look him up and he would pay fines as part of his "Advertising Budget".... I'm up in Spring TX starting out too and have found a ton on distressed homes just by driving around listening to some Tom Petty. Gonna spend the weekend getting their contact information so I can sell these eskimos some ice :wink: Then I'm gonna sign them up and advertise my killer deal anywhere and everywhere. Hell, you might see it here. Soon as I get a bite and cash in, I'm gonna sign up for this BP teleconference I keep hearing about. And repeat....

I agree that free is great but doesn't Google Voice put you on a waiting list and sometimes the wait time to get a number could be a while. I've had problems with Google Voice...

Love everything else they do though.

in that past you had to wait for a good voice invite, that is no longer the case, you can sign up right away with any gmail account

I'll have to check them out again. Thanks for the update Johnny!

Hi Jason, great thread going on here. I've been using Google voice for almost a year now, just wanted to add that another great thing about Google Voice is that you can use multiple numbers for your signs and have them all forward to any phone so you don't have to be anchored to your office the whole day.

One word......."Amazing." Multiple numbers with google voice. Great info Releaf. That's a magical amount of money to save!!! $45 per month or more.

So far out of $2000.00, I dont have to pay for 2 cell and land line, because now.....its FReE :cool:
Buyers list marketing .......so far, FREE, back pages, craigslist , facebook etc etc. :cool:

So far soo soo good.

Thanks guys.
P.S with a little creativity, i could see someone doing this with very very little money!! $2000.oo should carry me for a while at this rate.

This was a great thread, I learned a lot just from following it. Thanks Kenneth Lee.

First -- if you want to make money as Wholesaler--need to have several buyers first --investors / rehabbers and cash buyers --undersatnd what they want and how much ( % ARV ) they will pay you - also line up funding - transactional or hard money.
What will you do if you have a seller who is ready to sign contract-- waht price will you buy at ?
I believe I had answered one of your question few days ago-- You need to also understand pricing wholesale deals --read some posts in Wholesaling and Rehhaber forum --also Justin's latest article on cost for rehabbing and wholesaling costs --

Now back to Advertising Budget -- Fist are you going to stay in this business for three months or three years or for ever --as Invetsor Carreer --there is no limit --or budget for marketing.. McDonald is very famous for 100s years still spend lot of money on advertising --- Point is you decide --you want to make $5000 or $10,000 per deal per month ? --do the numbers and concentrate in certain price range homes --where you have enough profit margin and many hoems -- called farming -- then spend more money more effectively in that area -- Do not cut bandit signs in half- have a Website --with auto responder and landing page -- use google voice with answering --script --screen callers --get only motivated sellers -- direct mailing letters and post cards --hire students at $5 per hour to make phone calls - FSBOs -- and research Criags list -- place ad on Craig list, local Sundays paper - community papers and Penny Savers papers --

You are buying a Business and Freedom with lot of income -- you pay like Franchise Fee for
Subway or Mail Box etc --so $ 5000 or
$ 10,000 is not too much --if you have time and willing to work full time 60 hours a week until you Flip two deals --then let other employee do all work --

I assume --you said you are only Marketing for Motivated Sellers --meaning you have lots of Cash to buy your self and do rehab or Flip ?
Is that right ? If that is the case --have a Bank Balance Letter ( proof of fund) and talk to some experienced Realtors who specialize in HUD, Foreclosures or Short Sales --- and you make them partners and they will find deals for you --give them full commission -- make offers --20 per week ----you will not need to spend on marketing -- Good Luck

One more --If you have cash and or partner with cash --say $1.0 million plus--you can specialize in Luxury homes Wholesaling --
Over $500,000 --there is no Seasoning required --because it does not have to meet FHA / Govt guidelines - also that's going up --from 6 % in 2009 to almost 13% in 2010 - taht are now 90 days behind on mortgage and will be more coming soon --buy $850,000 house for $550,000 cash and sell for $650,000 in 30 days --usually very little rehab is required --

Champak, that has awesome written all over it.

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