Short letters VS postcards VS bandit signs

[Gaston Barua]

Hello All!

I am a new investor and am looking for that first wholesale deal! I am preparing a marketing campaign to find a seller quickly. 

Between short letters, postcards, and bandit signs which would be the most efficient to begin my campaign with? I live in Los Angeles by the way and I have heard you may need a permit to post bandit signs. 

Any direction would be much appreciated.

thanks and happy Investing!

[Dev Horn]

Bandit signs don't work well in LA anyway.  Man, you are in the MOST EXPENSIVE MARKET IN THE UNITED STATES when it comes to the cost to generate a motivated seller lead.

In LA, it costs over $200+ in advertising to make the phone ring (one lead),  and your "marketing cost per deal" can easily be $5,000 (you'll need maybe 20 leads to bag 1 deal).  And guys out there will spend $5K per month ALL DAY LONG to bag a heavily discounted house for cash.

I'm not trying to discourage you, there is some chance of getting a deal by putting some signs out or sending out some letters, but you are in a SHARK TANK there in LA, filled with guys dropping $10K, $20K, and more on marketing for motivated sellers.  HomeVestors is probably spending $150K to $200K per month advertising in that market.

I'd say, pick an area you know and concentrate on that "zone" (a town, set of zip codes, etc.).  Focus whatever marketing $ you have on that and hopefully expand your footprint once you've made some money and can amp up your marketing.  Postcards are much cheaper than letters.  You might also think about just getting a bunch of door hangers made and walking thru your target neighborhoods putting them on doors.  In doing that, you might meet a lot of people and tell them what you're doing, asking if they are looking to sell or know neighbors who are.  That's how you can beat the big guys right now - by getting OUT there instead of just sending out some postcards and waiting for the phone to ring like everyone else does...

"There's plenty of intelligence in the world, but the courage to do things differently is in short supply." ~ Marilyn vos Savant