Properties To Clients

Funny thing……. I’ve been talking about “How to Generate Leads”, which many of you have said was helpful,  “Converting Leads to Buyers”, which cleared up the process for many, “Working on Your Buyers List”, which gave many of you new ideas and “Using Facebook to Increase Business”, which many of you are starting to master.

The one area I noticed I forgot to cover is how to present the very properties you are looking to wholesale to your database of buyers, now clients. I will cover 2 of the most effective ways that I present properties to clients. These 2 methods far out perform the standard that many other investors may use; ads in the local newspaper and “for sale by owner” signs.

I will show you how you can simply and easily get these properties to clients while not having to run all over town showing properties to each and every person who calls you. If you show it, you want it to be a serious buyer not just another tire kicker. I’ll show you how to have your email & and phone blowing up with these serious buyers contacting you. Last but not least, I’ll show you how you will save precious time doing this so you can enjoy doing the things you love.

Method #1 – Email Marketing

Assuming you have a website, which you should, but if you don’t get 1 TODAY!!! I buy my domain names from GoDaddy and I host them at HostGator. As far as my email marketing; I use Aweber, they have the best service in my opinion. Now back to the matter at hand, because I have my clients names and emails it makes it easy for me to reach them all with 1 email. I’ll compose the email and make sure I include a few things.

• a catchy title
• property picture
• property address
• property taxes
• property insurance (estimate)
• property features
• needed repairs & amount
• neighborhood features
• area comps
• an ARV
• purchase price
• property video (more later)
• a contact number
• a contact email

When my clients receive the email they have all the necessary information to decide if the property fits into what they want. They will either call or email me to let me know they are interested in the property. This gets my email and phone blowing up. It also saves me time, again I only had to send 1 email total and it went to my entire list. I did not have to send a separate email to each of them. Total time composing the email may take 5 to 10 minuets.

Method #2 – Video Distributing

There is a tool that I have used for some time now that I have kept to myself like a family treasure locked away in an old trunk in the attic. This tool is TubeMogul. TubeMogul is an online video distribution company and they automate uploading your videos to the Web’s top video sharing sites. They can distribute your video to sites like youtube, viddler, revver, myspace, twitter, facebook and many, many more.

I’ll shoot a video of the property, this is in my opinion the best way to get properties to clients. On a side note, if you think you can not afford a good video camera no need to worry. Stop by your local electronic store and buy a Flip Video camera, they range in price from $100 to $250. Ok, Ok, let’s get back to it. I shoot videos for several reasons, the 2 most important are 1. It gives the viewer a look at the property just as I have seen it in its present state. Pictures do not always do this. 2. By using Tubemogul, the distribution goes to so many sites it may attract new clients I may have never reached using other means (newspaper ads, for sale sign). See I’m always working to build my buyers list. There are a few things I always make sure to do when making a video.

• title screen with company name and property address (when editing)
• shoot the outside of the house and give a view of the neighborhood
• pan each room so the viewer gets a feel for the size of the room
• mention what rooms I’m going into
• mention needed repairs
• mention property features
• credits screen with my website & contact number (when editing)

This method gets your email and phone blowing up while creating activity on your website. It does not get any easier than this. It saves you time because you do not have to go all over town showing a property, your clients see it inside and out. This again gives you more time to do the things you love.  The time it takes to shoot and edit the video can vary, depending on how creative you get. I usually spend about and hour total, shooting the video, editing, making changes and watching the final product. Apply these closely guarded secrets and watch your business take off.

I’ve included an example of what your video should look like. Unlike me when doing your videos try to keep them under 5 minutes. Remember these are to 2 best methods for getting properties to clients.

Using Facebook to Increase Business

Using Facebook to increase your business is a step in the right direction. Many investors, experienced and new, lack this much-needed skill. It’s a skill that takes a short time to master but you must work at it.

Over the next few posts I will cover different ways of using Facebook to increase your business.

Upon creating your Facebook account and adding your friends and email contacts, you should do these things so you will experience the biggest impact.

• Complete your profile as much as possible. Provide a picture of yourself, most people like knowing what you look like when they add you as a friend. Provide links to your sites, blogs and explain what you specialize in and how you can help them in their investing.
• Join real estate groups. Any group within your area is a great start. Upon joining these groups add 10 people as friends and also make a post to the groups wall, again, about what you specialize in and how you can help them. You want to limit this to 5 groups a day so your not violating any Facebook rules. You don’t want to be considered a spammer.
• When you have properties for sale list them on your wall and post them in the real estate groups you’re a member of.

These are a few things to get you started in the right direction. These steps can be used for any business, you would just change the types of groups you join. Also remember to post content that is consistent to whatever business you’re doing.

Be sure to join me on Facebook by clicking ———————>>>>>

Go ahead get started using Facebook to increase business.

Working on Your Buyers List

Since the Christmas Holiday just passed I have decided to give a gift. This free gift is helpful information on building and working on your buyers list.

For any Wholesale Investor, their buyers list is the lifeblood of the business. Without a sizable list you could be headed for trouble. Wholesale Investors do not have the luxury of placing their properties in front on thousands of people through the MLS system like a Realtor would do for a typical house seller, because of this one must always, and I do mean always work on their buyers list.

Here are a few things that will help you while working on your buyers list.

• Auctions: attend all the auctions you can even if you are not buying. This allows you to see who the active buyers are, and to put a face with a name. Make sure you have your business cards with you that contain your contact information, pass them out and explain what it is that you do.
• Mortgage Brokers: you are scratching your head on this one. Meet with a few in your area, take them to lunch and explain to them what it is you are doing and that you may need their services. During conversation ask them if they work with any investors; if so see if they would provide names and numbers for those individuals.
• Title Company: at the Title Company you decide to conduct your transactions, ask if they are aware of any investors they may refer you to.
• Bandit Signs: I know you usually hear this one a lot, but I have a different spin on this well-known method…… call each sign you see that says “WE BUY HOUSES” and ask them if you can add them to your list.
• For Rent: all the rent signs in your target area belong to someone who buys and rents houses (landlords). call them and add those people to your list.
• R.E.I.A Groups: your local Real Estate Investors Association or any local Real Estate group can provide a great place to build your buyers list. these are active people and many of them may be too busy to find and hunt for deals….. that’s where you come in.

There are a few methods I personally feel are a waste of time and money. There are more efficient ways of working on your buyers list. These methods may work for you or maybe you just have money to waste.

• News Paper Ads: I’m not a fan of running ads in the local newspaper, even though I know people who have success with this I choose not to do it because I find and feel that the return is not equal to the cost.
• Fliers: fliers are good but not in unproductive places like laundromats. if they can not afford a washer & dryer do you think they are investing in properties?
• Direct Mail: I know I’ll get a lot of disagreement with this one but think about it; most people starting out building a buyers list do not realize how dialed in you need to be when doing mailings. most newbies would just do a blanket mailing to an area or neighborhood where they felt the residents had money and may possibly invest in real estate. For this very reason I say stay away for now, but once you learn the type of people to mail to and how to get the proper list, then knock yourself out.

It is my hope that this helps you in working on your buyers list. Remember, if you never do it, you will never know if it works.

Converting Leads Into Buyers

In any business where you have a product or service for sale your livelihood is based upon the number of leads, prospects and clients you  have coming your way. Without these all important people, your business will eventually come to a standstill killing your hopes and dreams of becoming a viable business. I will cover a few steps to help you convert the leads you have created into clients, plus a few mistakes you want to avoid.

The ability to convert your leads into prospects is a very important step that many businesses must never overlook. Your initial contact can generate the lead, but being able to convert them into prospects is the next step. This can be accomplished several ways.

1. Creating Your Niche: I have 3 within real estate, but I’ll speak of 1. My ability to offer prospects wholesale properties that can be rehabbed/repaired and allow them to remain at or below 50% of the properties after repair value. Making your niche is what separates you from others plus it starts to zero in on what prospects want, this allows you to later convert them to clients.
2. Database: There are many programs and services out there that gives you the ability to build your database of prospects. I personally like Aweber because it fits into my preferred application. With these databases you can capture your leads information giving you the ability to keep in contact with them about any and all information pertaining to your business.

These two things coupled with other aspects allow you to convert leads to prospects and those prospects into clients, but there are some thing you want to avoid.

1. Being to General: You don’t want to be so general that the lead has no idea of what you are offering. We have all seen sales pages that are too long or so general we lose interest in the first few seconds, these can kill you.
2. Not Following Up: This is a big one! You will miss out on many leads being converted into prospects and clients by not following up. In this day and time where personalized attention carries so much weight if you follow-up and speak to them, I mean no recordings, you have went a LONG way into turning that lead into a client.
3. Too Much Contact: During my initial studying and learning of Real Estate Investing I purchased several courses by certain individuals I knew I could learn from. Well, with the purchase of 1 course you were also place on an email newsletter list (fine with me). The issue, I was receiving 3 to 5 emails every other day. As I’m sure you guessed by now, it got on my last nerve and I quickly unsubscribed. So, too much contact can cause you to chase these prospects away.

Convert, Convert, Convert

Enjoy

How to Generate Leads

During my years of studying real estate investing (2004 – 2007) I discovered a very important aspect to the business, creating leads.

I put in the time to learn several methods of investing and it has helped me immensely. I know and understand wholesale’s, short sales, subject 2’s, lease options and fix & flips, but knowing these methods would not have done me any good had I not been able to generate leads.

I spent thousands of dollars, multiple hours, days and months studying, learning, and applying these methods so they would produce results. I stand here today telling you that these methods have been the backbone of my business. Without them I would have been 1 of those people who talk about how and why real estate investing doesn’t work, but I’m not! Again, I’m not that person and I don’t want you to be, so I’m going to give you some very effective ways to create leads for your business.

Lead Generating Tips: BUYERS

1. We Buy Houses – call each of these as they are buying and selling houses, plus the buyer’s list me be larger than yours. Ask what they’re looking for and present those properties to them.
2. Auctions – attend all the auctions you can. Why? they have cash buyer’s. They’re looking for great deals. Introduce yourself to them and pass out your card. Explain to them you have deals similar to the property being sold.
3. Bandit Signs – they should say something like ” wholesale houses in good areas” with your number on it.

Lead Generating Tips: SELLERS

1. Expired Listings – work with a Realtor and ask them to provide you with a list of expired listing that fit your criteria. Offer to compensate them for each property you close or wholesale.
2. R.E.I.A – many of you may say this should have gone in the buyer section. Well, what I have found is that many R.E.I.A members who purchased property prior to 2006 are now in certain situations that require them to liquidate their inventory, creating great deals you can take advantage of. At your next meeting pay attention to how many people have properties to sale.
3. For Rent Signs – if you notice a property with a for rent sign out front for more than a month call it. The owner may be a tired and weary landlord allowing you to pick up the property at a great deal, or they may offer you terms you simply can’t refuse.

Now you know how to generate leads. These are a few methods to get you going so put them to use and witness the results, you may be wonderfully surprised.

If you fail to plan then you plan to fail!

House Jackin’ The Follow Up

In the last episode I showed you the postcard fliers I staple and tape to the doors of houses I find. It works well and creates a lot of leads for the business, but what about the property owners I don’t receive a call from….. what about them.

As I mentioned in House Jackin’ 2.0, it’s important that you keep a log book of all the properties you visit so you can keep up with who contacts you and who doesn’t.  Many new investors miss out on great deals because of their lack of follow through. That log book is HIGHLY important.

Here’s what you do. As property owners call you about the card you left at their property you check them off in the log book. The property owners you don’t hear from within a week, you look up the property on your county’s web site and it will give you the owners name and mailing address. You would then send them a letter stating your interest in their property. I usually use a green hi-light marker and color the address with it so I know I’ve sent a letter. Within 2 weeks if I haven’t had contact with the owner I’ll place my card on the property again and send a second letter (it’s different than the first).

What should the letter say, you ask, well here’s the best part…. I’ll give you a letter you can use.

Dear Homeowner,

Hello, Company Name is/im a real estate investment company/investor that operates in City, State and we buy houses for CASH or Terms in any area or condition!  We noticed your property located at Property Address, and see that it’s vacant. We may have a possible solution to your real estate problem.  If you’re interested in selling this property, please call your phone number.

By the way, if you have experienced excessive expenses while owning this property, we can help you eliminate all of your losses associated with the property. We could step in and take over your payments, cover all expenses related to the house, such as repairs, maintenance, taxes, insurance and marketing to sell the house. If this would work for you please call us NOW so we can explore the options available and see if we can help with what may be a troublesome property.

Sincerely,

Your Name

Your Title

Business Name

Business Address

Phone

“House Jackin” 2.0

Hey….. Real quick while the whole “House Jackin” concept is fresh in your head.  I’ve been asked by a few folks for a sample of the cards I use when I go “House Jackin”.  I’ll show you mine but I want you to keep a few things in mind.

10 things to do when “House Jackin”

• Make sure your cards are colorful so they’ll be noticed
• Always place them in the center of the door at eyes view
• Buy a staple gun & masking tape (staple to wood doors & tape to metal doors)
• Place at least 2 cards on the property
• Keep a log book of the properties you visit
• After a couple weeks follow up with a letter (sample given later)
• Talk to the neighbors and see if they have contact info for the owners
• Place your cards in gas stations, corner stores and any other place within your target area
• Keep your message simple and to the point
• To be effective, repeat, repeat, repeat

House Jackin’

On 6/19/09  I braved the elements and went to do what I like to call “House Jackin”. I’m like the mailman, the rainy weather couldn’t stop me today, plus I always deliver.

Some other investors call it driving for dollars or canvasing an area, not me. I use the term “House Jackin” because it sounds like car jackin, a term used when people go and take a person’s car from them by force. Well, I’m not taking the house from the owner but if I get the owner to sell me the house then I took it away from my competition.

Watch the video as I give you tips to help you become my new “House Jacker” in training.

Wholesaling…. The Education

I’m a firm believer in the saying “Knowledge Is Power”. The more knowledge you have, the more you can accomplish in and out of the world of Real Estate Investing.

I’ll take this time to refer some courses to study on wholesales as well as some of the RE Guru who provide great information, so lets jump right in.

I spent 2 years studying real estate before I decided to give it a go at investing. It took me several months longer to obtain my first deal. I made $1500 on that first deal, which I should have made more if it wasn’t for all the mistakes I made. Some things you will learn by doing, but if you can learn from another persons mistakes, then take heed. There was a course I purchased that I wish I had a copy of during my 2yrs of studying. That course “The New Jack Investor’s Guide”. When I got it and read it I had to laugh, not because it was funny, I was laughing because all I could think while reading it was “that’s me, I made that mistake”, if it had only came out years earlier it would have saved me.

Material I reccommend:

Flip for Profit – Jamel Gibbs

Wholesaling Houses – Jonathan Slater

The New Jack Investors Guide – Kenny Rushing

Be A Real Estate Heavyweight – Dan Auito

Shortsale Riches – Nathan Jurewicz

Ultimate Buying & Selling Machine – Larry Goin

These are just a few that I like a suggest.

Wholesaling Made Easy

The title says it all, “Wholesaling Made Easy”. This is not just the title but it outlines how this specific investing method can become for the person that’s willing to take the time out to study and then apply what they learn. Many new real estate investors tend to over think the entire process of wholesaling properties or refuse to learn how to properly perform and complete a transaction. We, as people always want an easy way or method for accomplishing the task at hand.

1. Do not get emotional about any real estate purchase
2. Start simple then work your way up.
3. Stay away from structural problems.
4. Activity breeds activity.
5. Don’t get greedy.
6. Always get a home inspection by a licensed pro.
7. Contact your local Tax Assessor’s office
8. Don’t talk about your deal until you have a binding contract.

If you are a beginning investor, wholesaling or quick turning properties is a great way to get started. Also known as flipping. First thing first don’t use the word “flipping”. You should replace the word flipping with wholesaling or quick turning. The word flipping caries some negative connotations. Loan fraud, inflated appraisals, straw buyers, and false documentation could all be associated with the word flipping. So avoid that word if you can.

Here are some tips for you to remember as you wholesale property. The first rule and the most important rule is do not get emotional about any real estate purchase, other than your own home. Remember this is a business opportunity not a trophy. Too many beginning investors want the deal of a lifetime. They pass up the smaller deals or end up loosing money trying to go after the trophies.

First impressions sell most houses. If you can’t get them out of the car, no one will see the inside of the house. So make sure that it has some mac daddy curb appeal. A lot of investors spend a lot of time on the inside and do nothing to clean up the yard. There are a lot of buyers out there that drive a neighborhood they want to live in looking for “their” house. You want to get them out of the car. So make sure the lawn is in good shape, and there is some landscaping present. Just add curb appeal!

Change is always good. Any cosmetic changes that you make will draw attention. So when in doubt, throw it out! Look for ways to make some minor cosmetic changes. You don’t want to get in over your head, so make minor changes like adding tile to a kitchen, entryway or bathroom.

The most obvious no brainer is carpet and paint. Never keep either! Putting new carpet and paint can change the look of the home dramatically. By adding these you are going to bring up the visual appeal. You don’t need to spend a fortune, but you don’t want to go to cheap either. Stick to neutral colors. Don’t go with something funky that is going to shy prospective buyers away. Remember if they want the funky colors they will do it after they buy the home.

Memorize rule number 1. Do not get emotional about any real estate purchase.

Start simple then work your way up. Smaller is better at first. The less work you have to do, the smaller the mistakes you can make while you build up experience. Then when you have the experience, go after the big ones. You just want to make sure that you are taking steps to achieve your goals. Don’t put the cart before the horse!

Stay away from structural problems. Leave those to the pros. You don’t want to tackle these, nor do you want to have to pay for them. If it is a major repair and you feel comfortable tackling it, make sure that you have someone on your team that knows and can guide you in the right direction. Make sure that you estimate your cost correctly.

Activity breeds activity. Pre-market the finished product while you’re still working, once people can see the end is near. Don’t market it too soon though. You don’t want them entering the property before you have changed the things that scare people away. So make sure that it is in your final stage of completion. You will get stragglers wanting to know what you are doing, before you even market the property, invite them in. They may be impressed with what you are doing and pass the word around that you are going to sell. You will also get curious neighbors wanting to see what you are doing. Let them know you are only bringing the value of the neighborhood up, and they will then be a little more tolerant with your late night construction.

Don’t get greedy. Take the first offer that hits your financial goal. A bird in hand etc… If you pass up that offer you don’t know when you will get the next. The trick to quick turning is quick. You want to move on to the next deal. Volume is the trick to remember when wholesaling; the more you do, the more profit you have. Don’t wait around for the extra thousand when you could be making ten thousand on the next deal.

Always get a home inspection by a licensed pro. They might find something that the contractor overlooked but was paid for. Most Contractors will gladly come back and address the issue if notified immediately, three years later is a different story.

Contact your local Tax Assessor’s office. Find the Appraiser who works that neighborhood where your house is located and ask him/her what trends they see. Ask them to share the most recent comparables; they watch every deed transfer not just the ones available to your real estate agent through the local Multiple Listing Service.

Don’t talk about your deal until you have a binding contract. LOOSE LIPS SINK SHIPS! If you brag about all the money you’re going to make on a deal your looking at, everyone within earshot is potential competition. Even me J

Again re-memorize rule number one-THE GOLDEN RULE. It’s not playing house, its business!