Real Estate Investor · Cary, NC · Member since 2014 · 79 posts · 11 votes
Hi guys, I'm planning a direct marketing campaign to owner occupied MFHs and was wondering if anyone had any suggestions, mostly on copy, but any pointers or suggestions in general would be great. Thanks in advance!
Miami, FL · Member since 2011 · 200 posts · 42 votes
12y
For copy - I use Odesk.com. There are some great copywriters there that won't charge an arm and a leg. Make sure that your letter focuses on how you can help them get rid of problem tenants and the aches and pains of being a landlord.
Why are you specifically mailing owner occupieds and not non owner occupieds?
Miami, FL · Member since 2011 · 200 posts · 42 votes
12y
Have you considered finding a landlord eviction list in your area and sorting them for multifamily properties? There's sure to be some motivation there. I think you'll get more bang for your buck there if you can find a list like that.
If that's not possible then I'd say to them a letter of some sort, and follow up with postcards (half the cost) every month or so.
Miami, FL · Member since 2011 · 200 posts · 42 votes
12y
For copy - I use Odesk.com. There are some great copywriters there that won't charge an arm and a leg. Make sure that your letter focuses on how you can help them get rid of problem tenants and the aches and pains of being a landlord.
Why are you specifically mailing owner occupieds and not non owner occupieds?
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
12y
Not sure about your area, but first, multi-family is 5 or more units, I can't think of one here where the owner lives in the units. There are a few duplexes and I know of one tri-plex that's owner occupied. Why would you limit your effort to owner occupied, they may not live there but it doesn't mean you can't if that's the goal. :)
Real Estate Investor · Cary, NC · Member since 2014 · 79 posts · 11 votes
12y
I signed up with a monthly membership where I now have access to lists similar to listsource from AgentPro247. I don't have a ton of money to invest into my marketing just yet, so I figured that postcards that I print at home should work just fine. @Bill Gulley , what do you call 2-4 plexes? I looked for lists of addresses that would give me a reasonable (under 100) number of leads that I could start mailing to. That ended up being 2-4 plexes that are owner occupied figuring some of them might be wondering what the hell they were thinking but now feel like they might be stuck because they have a tenant or decided to "rent" to a relative or something. I'll see if I can't distill another list down and see how much I have to put towards postage. I don't want to do this half-assed, but I need to start figuring out how this all works and what I need to do to make it successful. I should be getting my first round of "business cards" that I'm going to start using to go canvas neighborhoods. I'm using the list website to find areas where if I canvas I'll stand a better chance of hitting some houses with a lot of equity. Later I'll send letters to the absentee owners in those areas, maybe I should do that in this round too. That is what's meant by "farming" an area right?
Lender · Greater LA/Orange County area, CA · Member since 2012 · 3k+ posts · 3k+ votes
12y
Dante - Most of the real estate world uses the following as descriptors:
2- units = duplex (whether a big house with grandma unit or paired houses)
3- units = tri-plex
4- units = quad plex or four plex
5 + units is considered commercial income property for financing purposes.
I have known apartment building owners to reside in one of their units, although I can't figure out the attraction of having tenants able to ambush me for priority attention. Maybe if I were attention starved, for which those who know me will assure you that this isn't the case.
So, it comes down to the size of the market that you've targeted and the message that you've crafted. Those who do reside in their buildings will need a place to go. Does your campaign include a solution for that too?
Real Estate Investor · Cary, NC · Member since 2014 · 79 posts · 11 votes
12y
Well Rick, you pose some good questions. What do you call a mixed group of duplexes through four plexes? Also my hope would be that my targets are either already thinking about where they want to go, and just need that little nudge, or my message gets them thinking about it. That actually gives me an idea for my message. Thanks!
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
12y
Dante, if you have several buildings, 2-4 units each all on one legal description then you'll have residential complex of single family dwellings, that would be commercial financing as well. 1-4 units are defined by HUD, 5 and up are defined by HUD as multifamily. Rick laid out the RE jargon above.
The number of units on one legal description defines the property, not necessarily the building.
You may see "patio home" or "townhouse" these will generally have one unit per legal description, the property line going through a common wall. The patio home (may have other names as well) is a duplex, the townhome can appear as an apartment complex or row houses, the may be 2 or more stories. There are different names used locally, generalizations that's common but the HUD definitions will apply for compliance issues in a project and financing. A single unit home is a "detached single family home" the others are "attached single family homes".
Real Estate Investor · Cary, NC · Member since 2014 · 79 posts · 11 votes
12y
@Bill Gulley That cropped up 2 questions for me...
1). What's a HUD (Heads up display?)?
2). Based on your description a townhouse could then show up as a duplex or four plex so that a separate address attached to the same building could still be considered a "four plex" even though they are all owned by separate people.
That would mean that my idea of marketing to people living in one of those that don't own the other units might not have tenants, right?
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
12y
Dante, LOL, you need to do some basic studying, HUD is Housing and Urban Development, the federal agency that oversees housing.
Marketing by address may get you an owner in an "attached single family dwelling", the may not own the address next door. You need to look at local zoning, you may find R-2 or R-3, or other designations that indicate a single family dwelling allowing 2 or 3 units. Target those owners, if their address is the same as the legal, it's likely owner occupied, another tip will be where tax bills are mailed.
You need to learn the RE basics to develop a good marketing approach, you need to search owners, determine ownership and use, zoning, locating owners and valuing properties as there is no reason to cross into say a high valued home if that isn't in your niche business. :)
Real Estate Investor · Cary, NC · Member since 2014 · 79 posts · 11 votes
12y
Thanks again Bill. I'd heard about the HUD before, and had kind of pieced together what it meant, but nothing concrete. Later this year I'm planning on getting my licence or at the VERY least taking the classes for it. The plan right now is to get a house or two under my belt so that I can take the time off of work to do so (basically work less over time in order to be able to get to class). In the mean time, it looks like I should order the text book and start reading through it. I would assume that the basics (such as what you just described) would show up in there. In the mean time, is there somewhere you'd suggest that has good info like that, maybe without the investing end of it? At least now I know what the R-2's and 3's meant. :)
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
12y
You should be able to obtain the Agent's Study text within a week to study. There are on line courses as well, I really suggest a local classroom, but the online course is probably self paced, you could find that in a day and begin. Go to your local planning and zoning office, there will be a map and you can get the local code designations, they have all kinds of info, like expected growth, future planning, etc. You might get that on line as well in some areas. :)