I'm a flipper.... looking for efficient way to send direct mail

[Michael Miele]

Our company typically flips one property at a time. We try to get 4 done per year. We have set our goal to be flipping 6-8 homes per year over the next 3 years while also holding properties as rentals. The problem we're running into is finding the deals. Every investor is on MLS looking for potential deals and that is driving the prices up to we're its not a deal for us. I drive for $$$ all the time. I send letters to distressed properties, but my problem is I don't consistently send multiple letters to the same house. I usually send one and done. I listened to a podcast on BP a few weeks ago and they were talking about direct mailers. They mentioned how their company sends out thousands of mailers every month. With that said our company has taken that advice and decided thats what we're going to do.

Our plan is to print up a letter and mail it once a month for 6 months to each home in our area that meets our criteria. I looked through MLS public record and found 2,500 homes that work for us.

My question is, What is the cheapest way to send 2,500 letters per month. 

1. Print each letter, address label and return address label on my printer, stuff and label each envelope and place a .47 cents stamp on each. This includes buying all the envelopes, labels and paper for letters.

2. Buy a bulk mailer stamp from the post office which is a one time cost of approx. $400. This will make each stamp about .23 cents. Then do all of the line 1.

3. Have a print company print everything and all I do is stuff envelopes and stamp.

4. Find a company to do everything for me.

I don't have an issue with doing everything myself, I'm just looking for the most cost efficient way to go about doing it. 

Thank you in advance,

Mike 

[Matt McConkey]

@Michael Miele

I run a print, design, marketing and mail shop in Tempe, Ariz. and have more than five years of experience handling print marketing material and dealing with the USPS. Here is some insight on how bulk mail works: 

Typically, mail houses, print companies or large companies who send out hundreds if not thousands of mail a month buy a bulk mail stamp and it works out great for them. For you, I DO NOT suggest you go that route. 

When you buy a bulk mail stamp, you have the ability to mail through what is called standard pre-sorted mail. This will give you that .23 per piece you mentioned, that is correct. However, there is a BEVY of information that is being left out. 

You are going to need a slew of other equipment to ensure your mail is property set up each month. You will have to run your list through NCOA (national change of address) software, you will have to bundle, package and deliver your bulk mail to a special destination at the USPS, not just walk through the front of any USPS and they will weigh and read your paperwork. All of this needs to be exact or they will reject the mail. Sounds like fun, huh?  

My suggestion would be the following: 

Get quotes from a print shop for the following: 

#10 Envelopes
whatever color you want for said envelopes
1/0 black
return address imprinted
qty 15-20k (buy the whole six month supply, best pricing) 

Then you will need a quote for the paper letters: 

8.5 x 11
20# Bond
1/0 black + variable data (you will want to put on their names and address in question) 
qty 2,500 

Then you will need a quote for mailing services, just in case: 

NCOA, inkjet envelopes, stuff, fold, sort, seal, tray and deliver to USPS
qty 2,500 a month for six months
(commit and tell them you are looking to do this for six months, you might get better pricing) 
Then you can use THEIR bulk mail stamp, saving you $400 and all the hassle I mentioned above. 

Cost will vary from shop to shop. 

OR 

You can do it all yourself, but I would still suggest you use an envelope printer to get the envelopes with your return address on there, that will save you time, hassle and money in the long run. 

Invest in a laser printer and Excel software where you can mail merge, then run all the letters at your office. A carton of copy paper (20# Bond) should run you around $35 and that has 5,000 pieces in it. 

If you have any other questions, please DM me and I would be more than happy to discuss and break it down even more.