My latest deal will show you how to make more money, even on leads you thought were dead. But first, it amazes me how many people hear the word ‘no’ and give up so quickly. It’s because society has brainwashed us since we were little and few people ever overcome this brainwashing. (But those who do, become rich).
For example, early on there was a successful investor who I wanted to work with. He told me he was too busy, didn’t have time and wouldn’t help me, but I happen to be a relentless individual. Finally, he said ‘yes’ to me and helped me make tens of thousands of dollars.
In fact, every time I’ve wanted something bad enough, I have kept pursuing it no matter what. And that’s why I can honestly say I’ve gotten almost everything that I’ve ever truly wanted in life. Now, I will admit you can only go so far. There was a time when I wanted to be mentored by a guy and I kept sending him letters and asking him for help and he got royally ticked off. He told me to never contact him again and I gave him my word that I wouldn’t. (However, I couldn’t respect myself if I didn’t try to work with this person in the first place).
So how does this apply to my latest deal and picking up properties?
Well, often I’ll come across a seller who isn’t quite motivated enough. But I love the property and it’s got plenty of equity and will make me a lot of money. I make my initial offer and the seller tells me no. I adjust the offer to make it a little more sweet, but I still get a no.
That’s when I start following up until I get a call from the seller telling me to buzz off. I follow up every 30 days and I switch up the type of direct mail I send. I will send a letter, then a postcard, then a yellow letter.
Also, most importantly, I just don’t bug the person…
When I send them a letter, I include valuable information they can use. It might be a special report for landlords, or an article I saw in the local paper, anything that I think could help them or I think they will find interesting. This does take time, but if I feel I can make $50,000 from the deal it’s well worth it.
For the record, the longest I ever did this before I got a deal was 8 months. I picked up a nice townhouse with a garage that’s in my buy and hold portfolio today. This latest deal only took 3 months and is a lease option on a single family house. (I like to do sub-2’s but this landlord would only do a lease option).
One more quick note on not taking ‘no’ for answer. I once heard an entrepreneur say that he doesn’t ask his lawyer if something is legal, he tells his lawyer to find out a way to make it legal. I think that’s great advice for us creative real estate investors. If you’re creative there are tons of ways to make more money from the deals you do. Just make sure it’s legal or find a good lawyer who can find you a loophole to make it legal.