A lot to a little or a little to a lot?

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Larry Higgins · Answer

@Luke McCann for newer investors I highly recommend being more targeted which it appears you're doing by driving for dollars.   In my opinion vacant houses are the best leads out there.  Even more so for newer investors for several reasons.

I will warn you though that with vacant houses in particular, I would not rely on just mail to contact the owners.  I've seen it happen too many times where the owner may get your letter and have some interest in selling, but won't call you.  Another scenario, especially with truly distressed vacant properties, is that there's a chance the owner or heir to the property may not even think they own it or that they can't sell it for some reason.  If you pursue enough of vacant properties it's a matter of when, not if, you encounter this.

Once you get a deal or two or more, you may look at being a little less targeted and testing different things.  At this point it truly is testing and  you can better afford to take some hits to learn what the most cost effective approach is for casting a wider net.

If you really want to maximize you're vacant house leads I would highly recommend skip tracing and calling the owners.  It will simply get you more leads and deals than just sending mail.

I've talked with a couple of people just in the last 2-3 weeks who had each sent 4-5 mailers to the owners of a vacant property.   One of the guys sent 5 handwritten letters to the owner.   Neither of them got a response.  After they called the owners one got an appt and the other is good position to get the deal once the probate process has been completed.

A couple of questions:

1.   What are you doing with vacant houses when the property address and mailing address are the same?

2.  Are you doing anything with your returned mail?

Braden Smith · Answer

What you are referring to is the difference between going a mile wide and an inch deep, or going an inch wide and a mile deep...

Going an inch wide and a mile deep is a more colorful and engaging way of saying that it would be wise to pick a very specific target market and a niche.

Unless you have money to burn, you are better off choosing a specific target market and drilling down. Mass marketing is for massive companies... think Coca Cola or Pepsi. They have the money to burn and mass market.

Smaller companies use niche marketing, and for good reason. They use their advertising/marketing dollars wisely to target their ideal customer/client, which then attracts more of that ideal client.

By going with the "inch wide, mile deep" strategy you:

- get really good at serving the needs of your ideal customers

- gain a deeper understanding of your target market and their needs

- become an expert with your marketing and copywriting for that niche

- gain immense knowledge in your specialty for your specific target market

- become an expert and thought leader in your niche which will add power to your marketing

Adrien C. · Answer

my current record is 18 mailings (over a 2 yr period) before someone responded. He mentioned the timing was perfect. At closing I joked that he had received 17 previous letters/post cards from us but had no recollection of them. We mail big and consistently. Figure out what your budget will all you to mail every 4-6 weeks and do it consistently. As you make money, increase that size.

Braden Smith · Answer

@Luke McCann to answer your question, my ideal lead is a seller in some sort of distressed situation that makes them truly motivated to sell. My ideal buy is the worst house on the best street. My ideal area is anywhere that I can get my desired ROI.

Luke McCann · Answer

@Braden Smith

Thank you for the wise words. What does your ideal customer/area look like?

Luke McCann · Answer

@Larry Higgins

I've yet to have any letters returned to me, but that is really due to the fact that I haven't done a large campaign. I'm preparing one, but so far have sent one letter at a time to specific properties I come across.

When I see the two addresses are the same, I don't change anything. I send the owner a letter letting them know I would like to buy their property.

What platform do you use to find owners phone numbers? I've heard of a few websites like USA.com but have not found the very effective.

Andrew Briggs · Answer

@ Jeff Foulds  thanks for the creative tips!

Andrew Briggs · Answer

Other than driving for dollars and word of mouth, what are some other ways to get your leads for direct mail?  i.e., houses you are targeting.

Ray Lai · Answer

@Luke McCann

All of us that have done mailings know that you need to mail multiple times to your list because you don't know what their status is and they act when there is distress or motivation and a lot of mailings go unopened. Not sure why you would want to mail a big list once and stop. I have read a lot of posts and have never seen anyone advocate to mail a large list once rather than a targeted list for a full campaign - which means at least 6 mailings over 6 months.

A lot to a little or a little to a lot?

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