Why everyone should pretend to be a wholesaler...

I know I know, wholesaling has received a bit of a bad reputation these day. Mostly due to the annoying Guru's teaching their junk, "wholesalers" slinging crappy deals and using grey areas to close deals.

When I say you should pretend to be a wholesaler, what I mean is that you should learn to MARKET like a quality wholesaler.

Most investors, whether they are flipping or renting, should understand the discounts that a few mailers and a website can provide. Although it may cost $10k let's say to market to your target group, you could save hundreds of thousands off of the MLS by marketing yourself... Here is how.

I live in Columbus, Oh and I want to use 4 properties that we've purchased as an example of what I mean. In the past year we have closed on 3 Ohio State University campus properties, and I just made an offer an another one yesterday (fingers crossed).

3 out of these 4 deals came from owners who called in from absentee postcards. I did 5 or 6 mailings on this group of potential properties, and here is how it laid out.

#1 - Website Lead - 6 bedroom rental - Cost $125k, value, $180k

#2 - Direct Mail - 6 bed duplex - Cost $109k, value $160k.

#3 - Direct Mail - 5 bed rental - Cost $65k, value $135k.

#4 - Direct Mail - Seller financed offer of $138k, Value $180, Rents for $2000/month.

At the time of deal #1, I had spent about $400 on Pay Per Click ads for my website, now I spend much more. Now I market to more then just campus, but let's say I am a cash investor, and I only like campus, what would these campaigns have cost me? I pulled the list (2 zips, absentee, 40% equity or more and bought 4 years ago and before), took the price of the mailers and multiplied by 6 for my six mailings (even though bother of these deals came before the last mailing).

The grand total cost for the list, the 6 mailings for these 2 zip codes in the campus area... Drumroll please...

$816 DOLLARS -- add that to my $400 on website and we have a $1216 cost for these 4 deals.

So in summary, I have spent $1216 dollars on this OSU campus campaign, and I have created a total of $176,000 in equity on the 3 properties I have closed, not including the offer I made yesterday.

My final question is this: why NOT market for properties you're looking for??? What do you have to lose beside $1216 dollars?