How many calls for a deal?

Question

Hey everybody,

Quick question for anybody who has done deals as a wholesaler consistently.

I started driving for dollars virtually and cold calling those properties about a month ago. I've seen mixed opinions of how long it takes to get a deal, ranging from 1,000 to 3,000 properties. I guess it also depends on the list you're calling, as obviously probate/tax delinquency/preforeclosures have more motivation that some other lists.

My question is roughly how many properties does it take you to get a deal? My fiancé and I have compiled about 600 properties so far driving for dollars, 350 of which have been cold called. Out of those 350 properties we generated about 90 contacts which turned into 3 cold leads. Granted this is in Tacoma WA so it's a tough market. Just wanted to hear what you guys were experiencing in your markets in terms of calls/properties to deal ratio. I believe the national average is roughly 50 leads to a deal?

Jared Hettler · Answer

@Jaron Walling

Yessir, do you have any recommendations for pulling motivation quickly? I noticed I usually have no issue building rapport easily, getting the seller to open up a bit but sometimes it turns into more of a light hearted conversation than anything else where motivation sometimes doesn't come up. I've been cold calling for only about 3 to 4 weeks now so I'm still sharpening my skills and adapting.

Cameron Tope · Answer

Hey Jared,

When I was actively buying in Houston a few years ago, the average lead to a deal was ~30.

A good wholesaler friend of mine in Houston said he's sitting right about 35 leads to a deal in the current environment.

Jaron Walling · Answer

It's not about quantity of calls it's about quality. If you can't find motivation within 5 mins put them on a call back list (if they approve) and move on.

Joe Gonzalez · Answer

Whats going on Jared,

As you mentioned the issue that you guys will encounter is old data - (Houses that no longer look distressed, sold, rebuilt, etc)

In my opinion driving for dollars in person is the best way to get to know your market better & see homes with distress in real time. So should you stop doing it virtually? Nope, do both.

With that being said your conversion rate will depend on a lot more than just calls. Things to consider:

• Time of day you're calling
• Sales Skills
• Follow Up
• Real Estate Knowledge (knowing different solutions to different problems)

Make sure to work on the things mentioned above and you will have success, also go through the pain of cold calling now so you can delegate the task in the future.

Best of luck

Jared Hettler · Answer

@Joe Gonzalez

Thanks for the input Joe. Do you have any advice on sharpening any of those skills that you mentioned?

Cameron Tope · Answer

Hey Jared,

For sure! We have a YouTube channel and a bunch of articles and guides on our website. You should find plenty of helpful information there!

Jared Hettler · Answer

@Cameron Tope

Thanks Cameron. Do you have any advice for becoming a better wholesaler and real estate investor? I'm working virtually due to the lack of any significant investor activity in my local area.

Jared Hettler · Answer

@Ian Walsh

I appreciate the input Ian!

Ian Walsh · Answer

In any type of investing strategy that I have worked on, I have noticed that about 30 leads puts out a deal.  That can vary and the sample size needs to be large enough, but I believe it will fall around that number.

Jared Hettler · Answer

@Scott Bottomley

Yeah I hear ya, some of it is up to chance. My fiancé and I use google maps street view. Sometimes it sucks because we have to screen the addresses against Zillow to see if it was sold recently because usually the pictures are at LEAST a few years old, sometimes even 6 or 7 years.

How many calls for a deal?

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