How do you know when the offers you're sending out are low enough?

Here's one good indication...

This letter was in response to an offer I sent to a tax delinquent property owner (note: the name of my company is "Landmark Properties" - hence "Dear Landmark"). Notice how even though he laughs at my offer, he is still interested in doing business? ...interesting.

I keep a small collection of letters and voice mails like this in my office (one guy even tore up my contract and mailed it back to me). I've learned to laugh it off - it actually provides good entertainment value and keeps things interesting. Most importantly, it helps reassure me that my offers are low enough (for my business model, anyway).

The kicker is, I have a much larger collection of contracts from people who have accepted some ridiculously low-ball offers (usually around 10% - 20% of market value).

As laughable as my offers may be to some people (e.g. - this guy above) - some people take these low-ball offers very seriously. It's not uncommon for me to come across people who act like they've won the lottery after receiving my offer for a few thousand bucks.

Just because I wouldn't sell a property for next-to-nothing, doesn't mean the current owner wouldn't do it.

How do you get properties for this cheap?

You send ridiculous, laughable offers to everybody.

I've learned that you just can't make assumptions about who you're dealing with until you've put your cards on the table. You don't really know until you KNOW. Sometimes you'll get a response like this guy above, and sometimes you'll get a free and clear property for a CRAZY cheap price - so don't be afraid to make a low ball offer (and once you think it's low enough... lower if further). You CAN hit the jackpot and when you do, you'll be glad you didn't make assumptions!