All Forum Posts by: Michael Spencer

Will,

With inventory being so low here in SoCal what do consider a decent/good wholesale deal (% of market value)?

Also I've heard of Hedge funds buying properties at retail, have you seen or heard of wholesalers wholetail their deals to the hedge funds for a significantly better profit?

REI meetings are a great opportunity to network with local investors

Merry Christmas BP!

I was skimming through the pages and couldn't find a thread on this so I thought I would create one to see how fellow BPers did this year. How many wholesale deals did you do this year? How much marketing did you end up doing? What are you going to do differently next year that you didn't do this year? What goals do you have for 2013 and how do you plan to reach them?

I'm relatively new to wholesaling and will be sending my first mailing of 500 yellow letters to absentee owners on Jan 2. My plan is to send 500 letters bi-monthly and remarket to my leads every 60 days for a total of 4 times per unique lead over a 6 month period. I plan on sending a total of 23,000 yellow letters this year (just shy of $15,000 in marketing costs) but plan to jump that number higher with the help of either VA's or PATLive (maybe both). My 2013 goal is to systematize my wholesaling business and start rehabbing.

Hope all of you have a great Holiday Season!

Mike

Hi Blair,

Do you know your Call-In to Deal Ratio? Also, where do you purchase your postcards?

Hey BP,

Like I've mentioned in my previous posts here I'm relatively new to Real Estate. I'm looking an extra set of eyes to critique my expenses for wholesaling. For marketing I'm using Canary Yellow Letters printed from home using a printer utilizing Variable Data Printing (VDP). As of right now I'm only going to stick to Yellow Letter and Bandit Signs and see where that takes me.

If you guys (and gals!) could critique the Marketing Tab whether you think i'm mailing to the same list too frequently, or if i'm paying too much for envelopes ANY and ALL suggestions are welcome!

Link to document: http://www.biggerpockets.com/files/user/MBSpencer/file/cy2013-expenses-rough-draft

If a cell in this document has a red tab in the top right corner it has a comment inserted in it. To read, hover the mouse over the cell.

Thanks Again and Happy Holidays!!

Hey BP,

I'm relatively new to REI but had a question regarding marketing during the Holidays. Have you seasoned investors noticed a drop in your response rate during the Holiday season? I want to send out my first direct mail campaign of yellow letters to absentee owned properties but wonder if I should wait a month until everything calms down.

If you do market during the holidays, do you find yourself adding things like, "Hope you have a happy Holiday season!" to make it more personal to lead? (I wouldn't add Merry Christmas just for the fact that some people don't like that)

Any and all input on this is greatly appreciated!

Hope you have a happy Holiday season! :)

I've been researching wholesaling for a couple of months now and there is only so much reading you can do before pulling the trigger. My suggestion would be setting everything you need to get started (google voice, necessary contracts, call scripts). Purchase leads and market to them. If you have a good deal under contract it will go fast.

I would suggest only sending out a couple hundred letters (or whatever you decide to use for marketing) to get familiar with controlling and flowing the conversation (mock conversations with friends also help).

Hope this helps! Good Luck!

Remember if you never pull the trigger you will never get a deal.

No I'm not going to put them up around me (Aliso, Mission Viejo, Laguna Niguel area) was thinking more along the lines of Buena Park, Anaheim, Fullerton area

My newbie recommendation would be use that 50k to set everything up to wholesale. If you do everything properly you will have ALOT left over.

1st: Learn about wholeslaing, what is it, what you need to do, and how to do that.
2nd: Purchase leads from a website (I use listsource) and begin to start your marketing campaign. (You can use other methods to not purchase leads, like Bandit Signs, but you should have a mixture of different types)
3rd: Get your feet wet talking to your leads. Only send out a few hundred first until you start feeling more comfortable and figure out how to control the conversation. (There are plenty of threads here and on the internet to show you how to do this)
4th: Lock property under contract and assign it to an investor for a fee
5th: $Profit$

:)

That's just my newbie recommendation seeing as you are focusing on Wholeslaing.

Good Luck!

I am very interested in the response rate from bandit signs. Anyone in Southern California using bandit signs successfully? Whats your response rate for them? How often do you put them out?