All Forum Posts by: Justin Silverio

@Michael Oldani if wholesaling is the way you want to go, understand that it is NOT easy. I'm not sure about the competition in your market but if it's high, then you need to basically find properties that other people are not finding. When you put an offer on a house, you have to offer them less than a rehabber because you need to deduct your offer price by your profit. This takes good negotiating skills and the ability to find good deals. Also, you have to understand rehab costs and ARV's. These are the 2 biggest things that wholesalers mess up on. Their rehab costs are too low and their ARV is too high. And if they put the property under contract, they just paid too much and won't find any buyers.

Learning rehab costs is very difficult if you don't have experience. ARV's can be learned after a lot of research and consistently testing yourself.

Having said all of this, wholesaling is usually what people start off doing because it does require less money than flipping. Actually, if you have a lot of time on your hands, you can find some marketing approaches that don't require much money at all (cold calling, door knocking, etc.), but most people start with some form of paid marketing as it's less invasive (direct mail, MLS, etc.).

If you want to reduce the learning curve, ask a reputable rehabber in the area and tell them that you will do all the marketing and wholesale them the property if they will do the walk through with you and teach you rehab costs.

@Kevin Myhre I have a 1 page contract that you can use.  Just send me a PM and I'll send it over.  This is for MA so I'd recommend that your attorney review for any state specific changes.

I wouldn't be able to make that call.  Building a networking in the area will help answer that. 

@Brendon Botelho I'm happy to hear that you found my website!  As Mike mentioned, New Bedford is a completely different market than the one that I invest in.  I don't think I know of anyone who's investing in that area.  Maybe try calling some agents in the area to ask them who they know.  Otherwise, you can do a search on RedFin and look for homes sold within the last 6 months and homes that are on the market.  Search the term "newly renovated", "completely renovated" or look for houses that look like they were just renovated.  Then you can do a public records search of who owned the home (the investor) on www.masslandrecords.com or call the listing agent and ask them who their client was/is.  

I hope that helps.

@Keith Weigand I would highly recommend letters at that amount.  I understand letters are more expensive but they provide a better overall response rate and will provide a better presentation to your prospects.  Happy to answer any questions that you have.

@Keith Weigand how large is your lead list.  I'm not a big fan of postcards due to their low response rates.  The only time I really advocate using them is if you have a big list (20k+).  Letters are more expensive, but should yield better results.

@Matthew Rollo, I actually talked about building lists in my BP podcast HERE.  And yes, I would separate the 2 into separate campaigns.

@Jared Smith I hold a quarterly networking event in Reading.  The next one is on the 2nd Wed of Dec.  If you want to get on my email list, PM me with your email address.

@Dan Barrett great info.  I agree with your assessment and want to reiterate that list selection is huge!  If you sending to a list that everyone else is sending to, expect lower response rates.  I am a big believer in finding niches that others aren't mailing to.  Also, your mail piece will have a direct impact on performance.  If you send the same mailer that others are sending, expect a similar result to using an over used lead list - low response rates.  However, if your mailers look completely different than your competition, you will stand our and get better results.

@Mike Anders - I personally don't like to use postcards unless mailing over 10k.  I don't think you get a good return for the money when doing smaller batches.  $1k per month in letters would get you about 1k in mailers. 

Yes, consistency is KEY!  I mail to my prospects until they tell me to take them off or they sell their house.  I generally send them a letter once every 4 weeks.  Also, look to send unique mailers so you stand out.