Would you like to know how to find real estate deals like a professional?
The most successful real estate investors have several marketing campaigns running at any given time. The key to finding more real estate deals is to have a variety of marketing strategies. This will allow investors to increase their customer base and maintain a competitive edge.
Tips for Finding Real Estate Deals
You’ll need to put in some extra effort to find the best real estate deal. This means marketing in ways that your competition isn’t. You should focus on what is successful in your area and what is not in order to find the best customers. By researching different marketing strategies and testing them in your area, you can start to see which ones work best for you. You can find options that are both cost effective and efficient through careful planning and implementation.
1. Direct Mail
The rise of technology has led to a change in the way marketing is done, but that doesn’t mean that older methods are not still useful. One example of an effective way to find real estate investment properties is through direct mail. There is a special feeling people get when they receive a letter in the mail. If you’ve never done a direct mail campaign before, here are three steps to get started: creating a list of potential customers, designing and sending your first letters, and following up to increase your response rate.
Begin your campaign by finding a list of the best possible sellers. A well-planned list helps you focus your efforts on the properties that are the most important to you. A list of foreclosed, probated, inherited, or expired properties, as well as out-of-state landlords. Properties that are in pre-foreclosure or have already been foreclosed are usually owned by motivated sellers who want to sell their homes quickly.
Once you have created your list of potential sellers, take some time to design the marketing piece that you will send out in the mail. You could express your affection for someone by sending them handwritten letters, postcards, and other things. Try to find ways to send a powerful message while still being economical.
After you have decided on your list and design, you need to stay committed to sending out your mailings regularly. If you want to run a successful marketing campaign, you need to have a clear strategy with multiple steps. Don’t give up if your first mailing doesn’t result in any inquiries. The more times you mail out, the higher the response rate will be.
Facebook is a good platform for marketing to a lot of people. It could be said that this is the most user-friendly and cost-effective way to reach a large number of people with your marketing. If you haven’t started using Facebook to market your business, you’re missing out on a great way to generate leads.
To begin marketing your business through Facebook, you will need to create a Facebook page for your business. Be sure to include important information about your company on your profile page, such as a company description, website link, mission statement, and contact information. You may also want to include some pictures of your office or logo. Explaining what you do and how to contact you will help users understand your business. The best way to start generating leads from Facebook is by posting articles and other helpful information to your feed in order to grow a following in your market. You can also run advertisements and join groups to interact with other real estate investors.
3. Other Real Estate Professionals
Other real estate investors can be seen as competition, especially those in your market area. I encourage investors to think of other professionals in the same field as valuable contacts rather than competitors. The people you interact with on a daily basis could either turn into customers or provide you with referrals. This is something to keep in mind when meeting new people for business purposes, as the person you meet could be the one who provides you with your next business opportunity. That said, do your best to network with the following contacts:
- If you connect with other investors, you can set yourself up to get properties they can’t manage. This means that you could find opportunities to enter into a business partnership. It is beneficial to create strong relationships with other investors as they may be able to help you in the future.
- Build strong relationships with both real estate agents and loan officers. These are the people who can help you buy or sell a home and get a mortgage, respectively. The real estate agents are the people who are mostly aware of a property being put up for sale. This makes them a valuable potential asset to any kind of investor.
- Many people hire attorneys to help them sell their property for various reasons, such as avoiding foreclosure, bankruptcy, probate, evictions, and divorce. They are a good source of information for houses that have just come on the market.
- It’s always a good idea to network with contractors when you’re working on a project. After all, they have first-hand knowledge of other real estate projects going on in the area. Whether you work with the same contractor on a regular basis or have several lined up, you should aim to form positive connections with them. They can not only contribute to any existing deals, but they may also be able to point you towards your next ones.
A good way to get real estate leads is to consider anyone with a connection to the housing industry. You should always try to improve your relationships with title agents, insurance agents, hard-money lenders, building department officials, and even friends or family members.
4. Driving for Dollars
This method involves driving around looking for distressed properties. You only need a car, a notebook, and a little hard work. Search for houses that look like they need work or have been on the market for a long time. If you see a property with messy looking shrubs, debris in the front yard, and generally unkempt, it may be a sign that the homeowner is struggling financially and looking to sell.
If you see any potential leads while you are not driving, make sure to write down the address as well as a description of the property. If you’re feeling confident, you can try knocking on the door to start a conversation. Make it known to the owner that you are interested in purchasing a home in their area as an investor. Make sure you leave your contact information with them so they can pass it on to anyone they know who might be interested in selling. After you have compiled a list of possible properties, include the addresses in your direct mail campaign. One enthusiastic homeowner is all that is needed to turn a real estate deal into a success.
Craigslist is a popular website for landlords and real estate investors to find housing. Look for rental properties close to where you live and contact the landlords – you never know who might be wanting to sell. You can also use Craigslist to look for houses that are for sale. You will be able to contact property owners directly, which may lead to finding investment opportunities.
When it comes to Craigslist, you need to check the listings regularly and follow up with contacts when necessary. The website is known for its potential to generate leads, not its ease of communication. Try resending your message with your contact information if you don’t hear back from an ad. This will give the seller a chance to respond. The more people you contact, the more likely you are to find someone interested.
6. Town Hall
There is a lot of information available at the local town hall or courthouse. Between records of eviction notices, probate listings, tax liens, and other taxes, there is a lot of information that can be found. After you have collected the relevant contact information, you can communicate with the property owners by sending them a letter, making a phone call, or even paying them a visit in person. When you know the source is reliable, you can be sure the information is too. All that’s left is to get the person’s attention and seal the deal.
7. Bandit Signs
Bandit signs are 18 x 24 signs that are often seen in popular downtown areas or at major intersections. This is a great marketing strategy because you can buy a lot of signs for a low price. Having fewer words on the sign gives you more control over the message. This is often more effective than having a lot of text. The reason for this is that drivers who see these signs don’t have enough time to take in a lot of information, even if they’re stopped at a stop sign or red light. All you need is a simple message that says “we buy houses” or “quick, cash closings” along with a phone number.
The key to a successful bandit sign campaign is to target specific neighborhoods or high-traffic areas. It is important to check with your local government before posting any signs, as some towns will restrict where you can place them. Bandit signs are a good investment of your time and resources.
8. Real Estate Websites
There are many websites that can help you find good deals on houses, such as Redfin, Zillow, and Trulia. There may be some potential deals that require some effort to find, but they can be yours if you’re willing to put in the effort. Look for rental or for sale posts that have been active for a long time. In the case of rental units, landlords may not be actively trying to sell, but if the right offer comes along, they could be open to it. If your tenants are having difficulty renting, it may be an opportunity for you to purchase the property. You can also focus on posts from sellers who are not using real estate agents. These people may be looking for a quick transaction.
To get the most out of real estate websites, be prepared to contact the people listed on the site via email or phone. Don’t give up after just one try. Experiment with different messages to see which gets the most responses, and plan your follow-up accordingly. After you establish an effective system, the process will only take a few minutes out of your day. If you can get just one deal from your efforts, it will be worth pursuing. You should have a few leads to work with from all the available websites.
9. Newspaper Ads
Not too long ago, if someone wanted to buy, sell, or rent real estate, newspapers were the best source to look at. In recent years, ads in newspapers have become less popular, but this doesn’t mean they are meaningless. If you’re looking for an untapped lead generation source, you may want to consider newspapers. Many investors are likely ignoring these ads, making it a great opportunity for you to swoop in.
Ask anyone with a rental property listing or who is selling their property if they need help. When you’re talking to potential customers, be sure to have a plan for what you’re going to say, and always make sure you give them your contact info so they can follow up with you later. Also, be aware that it is unusual to get an answer from your first phone call. If you’re hoping to get a response from a newspaper ad, you will probably have to reach out multiple times.
How to Find Cheap Investment Properties (Low Competition)
Setting Your Investment Criteria
You can’t start looking for a property until you know what you want.
To generate leads, you should create a list of criteria that you can give to real estate agents, wholesalers, and others. This will help them understand what type of properties you are interested in.
It’s okay to have multiple lists of criteria for different types of properties (single family homes vs apartment buildings).
For example, your criteria list for single family housing may include:
- Year built
- Number of bedrooms
- Number of bathrooms
- Square footage of the property
- How many stories
- Basement or no basement
- Exterior material – siding, brick, etc.
- Small or spacious kitchen
- Attached or detached garage
- How many car garage
Your criteria list for an apartment complex might include:
- Year built
- Number of Units
- Breakdown of each types of units (beds, baths, square footage)
- Square footage of the property
- Amenities (pool, laundry room, game room, fitness facility)
- Do you prefer buildings with elevators or prefer only stairs
- Condition of building (Renovated, Some Distress, Major Distress)
- Occupancy Level
There are plenty of factors to consider when choosing a property and the aforementioned lists are simply a starting point for your thinking. Be sure to also take into account any additional criteria that come to mind.
What are property leads?
They are selling investment properties. You will analyze the property to see if it is a good investment.
Your real estate agent can help you find a property by setting up a search in the MLS. This will send you notifications for any new listings that match your specified criteria.
Maybe a wholesaler will find you a deal they have under contract that would fit your criteria as an investment property. While you may look for leads on your own, savvy investors build networks and rely on others to bring them leads.
If you use a broker, it will save you time searching for deals and you will be able to focus more on screening and analyzing them. The lead management systems that are simple to use usually have the most competition. If you focus on perfecting the more difficult lead generation techniques, you will have less competition.
Sources for Generating Property Leads
It can be difficult to find the right property to purchase, and it may take a lot of time and effort.
You will have to look at a lot of different properties before you find any good deals. It’s a numbers game.
How Do You Get Real Estate Seller Leads?
#1: Realtors & MLS System Leads
Before you start looking for a property, you should have a real estate agent that you are working with as part of your team.
You should be able to provide your realtor with helpful information about what you are looking for in a property that you want to purchase, now that you have created your goals, strategy, and criteria list.
Your realtor can look through the MLS, which is a local database of properties listed for sale by other realtors, to find matches to your criteria.
Your realtor will then contact you to schedule appointments to view the properties so that you can assess their condition before making any decisions.
As new properties become available for sale, your real estate agent will keep you informed.
Many agents have email portals that allow investors to search for properties on the MLS.
The software allows realtors to track their clients’ property preferences and receive feedback.
You can set up your MLS search criteria so that you will automatically receive an email notification whenever a new listing that meets your criteria is posted on the MLS.
Don’t worry about paying the real estate agent.
It’s the seller’s responsibility to make sure the property is in good condition, so be sure to use the help of a real estate agent. It costs you nothing, and agents are experts in their local market area. If you use a computer, it will save you a lot of time.
You shouldn’t only get leads from the MLS because in hot markets everyone is trying to get them and it becomes very competitive.
#2: Online Listing Websites
They are all websites that give users information about different properties. If you’re looking for information about properties, you might want to check out websites like Zillow.com, Trulia.com, and Realtor.com.
There are online listing websites that allow people to access information about properties from public records. These websites provide quick access to this information.
The more tedious method to find out this information would be to pull public records yourself from your county’s appraiser website. Thankfully, a site like Zillow.com gives you all the information on number of beds, bathrooms, square footage, year built, etc.
These websites are easy to use and allow you to set your desired search parameters.
For example, you can set filters such as minimum and maximum price ranges, the number of bedrooms and bathrooms, the square footage range, as well as many other characteristics.
A map of your city will come up with several dots or symbols representing houses for sale once you hit search. You can click on them to bring up more information.
#3: Direct Mail Campaigns
Direct mail campaigns can be useful for finding sellers who your competition is not yet aware of, as this information is not readily available online through sources such as the MLS or Zillow.
Not everyone can see sellers who haven’t listed their property for sale yet. MLS listings and different property websites only show properties that are already for sale.
What is a Direct Mail Campaign?
A direct mail campaign is a marketing campaign in which you send 500 or more letters to homeowners in your area, asking if they are interested in selling their home.
You will target homeowners who meet certain criteria, such as those who live in a specific location or neighborhood. You may also target out-of-state homeowners who are using their property as a rental or letting it sit vacant.
- Absentee Owners
- Vacant Property
- Existing Landlords
- Probate Owners
- Pre Foreclosures
Why Does it Work?
You are increasing awareness among a large number of home owners that you buy properties and that you are an investor.
If you regularly contact the same people each month, they will eventually see that you are serious and reach out to you about selling their home. It can’t be a one and done campaign.
It usually takes multiple letters before the homeowners warm up to the idea of selling their house to the real estate agent.
Why Do These People Suddenly Want to Sell?
This depends on who you are targeting.
If you are writing to property owners who live in a different state, they may be landlords who are ready to give up and your letter may be the thing that motivates them to sell their property and be done.
Maybe they want to sell their property so they can bring the money back to where they live.
You will have to ask questions to the owners to determine their motivation and find a solution where everyone wins.
Find Real Estate Deals With The Right Mindset
Making a success of real estate investing requires time, energy and money. There will inevitably be difficulties along the way. It is important not to lose your enthusiasm or passion. Do not be discouraged if you are having trouble finding real estate deals right now. Instead of dwelling on your past failures, think about why you got into real estate investing in the first place and use that as motivation to keep going. The most important thing for investors to do for long-term success is to understand the role of mindset and how to stay focused.
Investors will experience a period without success at some point. When this happens to you, it’s not a sign that you’re a failure, but rather an indication that you need to change something. One way to change your point of view during this time is to read about the success stories of famous entrepreneurs and investors. Try to find examples of times when the person you are researching struggled and what they did to try to overcome those obstacles. More often than not, the lessons you learn from past failures can be applied to your current situation, helping you to go after new deals with more confidence.
You can improve your mindset by taking some time to think about and evaluate your business. Don’t be afraid to revisit failed marketing strategies to learn from them. You can improve your future performances by identifying the mistakes you made in the past. The process of refining will be necessary for your future success. Marketing requires continual improvement through trial and error, especially in lead generation. There is no reason you cannot achieve success if you learn from your mistakes and remain positive.