So you found a steal of a deal property and got it under contract, so now what? If this isn't your first real estate rodeo, then you probably have a solid buyer's list put together, but what if you don't?
It's time to put in a little extra work and get one together so you can get your property unloaded quickly and painlessly. Whether you plan to rehab or wholesale, you'll need to build a buyers list. Your buyers list will be made up of the investors to whom you'll sell properties.
If you are serious about becoming a real estate investor, selling properties is something you will need to do over and over again, so building your buyer's list is KEY.
Building Your List
Let's dive into the different ways that we have built our buyer's list over the years.
If you are newer to real estate investing, you should be grabbing lunch or coffee with other real estate investors in your market regularly. Trust me, you will want to do business with people you have a relationship with and trust.
Start by Googling "We buy houses in *insert city*" to find wholesalers advertising properties, rehabbing properties and local REI networking groups. You can also search Craigslist for wholesaler ads and properties they are selling.
A mistake you want to avoid making is calling up an experienced real estate investor and reading off of a script to try and get their buying criteria. They will know you are a newbie and it's an immediate turn off. Instead, I would be completely honest and introduce yourself, say that you are new to the business or the area and see if they would like to grab coffee and talk about business. I love being able to help a newbie and offer them advice about what's working in our market. You never know what kind of great deals they can offer you in the future.
2. MLS Cash Sales
Have your realtor pull you a list of recent cash sales (the past 30-90 days), then take all of the sales near your property and look up who owns them. You can usually find them on your county's tax assessor website. Once you have the owners name, use a resource like TLO.com to look up their contact information.
Give them a call and say something like, 'Hey, I noticed you recently purchased a property at 1234 Main Street, I was wondering if you are looking for purchase more?" Then tell them about your property and see if they might be interested in purchasing it. You could also go to the property they purchased if you know it's a rehab project and see if they are there to chat or leave them a note.
3. Local REIA
Google the local REAI club in your area. This ties in with networking as well, go to a your REAI meeting and see if anyone would be interested in buying a property for $x.xx in your area. You can ask for buyer and wholesaler referrals. Once you figure out who the big players are at your local REAI Club, be social with them and make sure to work on building relationships.
4. Bandit Signs
Bandit signs are signs around your area that you might see off a freeway exit or on a busy street corner. You might not think so, but these signs get phone calls, especially for wholesale deals. "House for Sale" signs with directional arrows would get a lot of traffic to the property.
With the software, Freedomsoft, you can pull a list of cash sales much like the MLS and send the buyers on the list a postcard or letter. FreedomSoft is a complete "out-of-the-box", ready to run and simple to use real estate investing system that hands you instant control over your business and your life. It can not only help you build a buyers list, but it can also help you find motivated sellers, evaluate possible deals and automate many of your daily business tasks.
6. Online Marketing
Create a squeeze page where a buyer can opt in and put in their name, phone number and email address so they can get on your buyer's list. I use Freedomsoft to create mine.
Putting out content about yourself and your business is KEY. A YouTube channel is a great place to start. Post virtual tours/walkthroughs of your potential properties you need to unload. Make sure to include a call to action on how people can get in contact with you if they are interested in learning more about the property.
Facebook is also a great place to market your properties and your business.
As you can see, building a buyers list is crucial to your success because it’s all about numbers. If you wholesale or rehab fifty properties a year and average $10,000 per deal, how much profit would that be? I would take a wild guess and say it’s more than most of you are making today.
If you use your knowledge and your motivation, the money will come.
Notice a Trend?
You may have noticed a trend here within the networking and relationship building. This is incredibly important. When you're just starting it, it's normal to feel hesitant or shy, but you have to work on coming out of your shell. It's something you will need to get good at because you will need to work on these relationships in order to keep getting paid.
The truth is, real estate investing requires a lot of marketing and self-promotion. You are basically in sales and the best real estate investors are masters of selling.
We Can Help
If you want more insight and assistance with building your real estate investing career, we can help. With our one-on-one coaching program, one of our experienced coaches will take you by the hand and help you build your dream business.
They can help you break out of your shell and comfort zone to the find the best deals, perfect your elevator pitch when talking to potential private lenders or buyers, find motivated sellers - whatever you need assistance with, you can get it.
Everyone needs a mentor and our coaches are truly top notch. We'll set you up with all the proven strategies, tools, and foolproof systems you need to absolutely crush it in today's unique and competitive market.
Not just anyone can decide they want a coach, you have to first complete our coaching application to see if you qualify. In just one short phone call, we will be able to identify your pain points and where you need help in your business.
CEO Strategic Real Estate Coach
CEO Freeland Ventures and Freeland Lending
CEO Yellow Jacket Properties