What works best... start marketing campaign or find buyers?

Question

Hello REI world!!!

I'm trying to figure out what works best for you, as far as starting out in wholesaling. Starting your marketing campaign or finding your buyer? Through the knowledge I have gain, I know marketing is a huge factor in REI and I'm ready to jump in. I want to do my 1st wholesale deal by 11.1.13 and I'm waiting for the next REI club meeting in my area in 3 weeks to introduce myself. So, from the REI point of view what works best, setting up your website, business cards, social networks, & etc. or going out and finding that buyer?

Thanks in advance REI world!

Ellis San Jose · Answer

@Daunte Flowers

Both are important, however having the skills to uncover and create profitable transactions has much more value and extremely rare.   If you know how to find and control great deals regularly, building a short list of active buyers who will take all you can get will not be an issue.  The opposite is not true.  Having a huge buyers list without having anything to sell them is useless.

Daunte Flowers · Answer

@Brandon Turner

Thanks a lot for the article, it is definitely a must read!

Brandon Turner · Answer

Hey @Daunte Flowers  just wanted to point out this article for ya, in case you hadn't seen it! 
	
	Do I Build a Buyers List, or Start Marketing for Properties First?

Shaun Reilly · Answer

Been doing buy and hold since 2007 been doing rehabs and a little wholesaling since 2011.  I have actually gotten most of my deals from the MLS as REOs.  Getting tougher but it has been good to me in the past.

I will be doing more marketing to motivated sellers though as my dealflow has been going down recently.

Shaun Reilly · Answer

Hi @Daunte Flowers

Simple answer to your question in YES  :)

Different people will have different opinions about needing have a buyers list to sell the deals you find to first or if you just have to find a good deal and finding a buyer for it won't be hard.

However I'd say the best idea is to work on both.  Great idea to go to your local meetings and introduce yourself and let everyone you can meet know what you are doing and ask if they want to be on your list and get some guidance to what they are looking for.  At the same time you'll never find a deal until you start looking for them so start some of your marketing now.

As for the things you mentioned specifically:

- Business cards: YES get those ASAP and have them in hand before the meeting.  You want people to be able to get in touch with you and want to look like you are ready to work.  Just go and get starter one if you don't have everything setup you might want to put on there (Business name if you are going to setup an LLC, website since you don't have that yet, a business number aside from your home or cell, a fax number... etc.).  Go to Vistaprint and you can get like 250 for the cost of shipping.  They will only have stock designs and a little marketing thing for them but better than not having anything and you can tell people these are temporary until you get the stuff I said setup.

- Building a website: Cheap and easy to get something basic setup.  Read @Brandon Turner 's article on setting one up free (or paid to upgrade) and easy: How to Create an Awesome Lead Generating Website in Under an Hour with No Technical Abilities

It won't do anything for you if you don't drive people to it but no reason to not get it up and running.

- Social networks are another low hanging fruit.  Setup a Facebook page for your business and a Twitter account.  Get a LinkedIn profile and put what you are doing on it.  Setup a G+ account and a page there too.  Don't waste a ton of time posting there over doing real work but you can try to get friends/followers to get some traction and you can at least post the above website on there at least.

By the way I applaud your ambition and having a set time frame for your goal of getting your first deal done, I will caution you to not be unrealistic.  If you want to do your first deal by Nov (and by "do" I am assuming you mean getting a deal and selling it so you are paid by then) is very unlikely at this point.

If you haven't started marketing to sellers and have not gotten any buyers yet (and are looking to make those connections at a meeting in 3 weeks) you don't really have much time.  Even if drop 1,000 letters in the mail on Monday that would be tough (and I don't have the impression you are quite there yet for that).  To not set yourself up for failure maybe have your goal to be to finalize your first deal by the end of the year.  You still will have to hustle for that but is much more plausible.

If you do get it done by Nov 1st the worst that happens is you crush an ambitious goal of doing a deal in 3 months.  :)

What works best... start marketing campaign or find buyers?

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