All Forum Posts by: Patrick Tudor

DO NOT ASK ANYTHING 

Here is why

Direct mail is meant to create a "Call To Action" -- Meaning you didn't get their name and address from thin air. You know they have a problem, and you can be the problem solver. Be it by buying certain lists with certain criteria, etc. Even driving for dollars, skip tracing, checking taxes, foreclosures etc. There is a REASON for your mail. 

"Dear First Name, 

My Name is Shaun. I buy houses in any condition or any situation using Cash. 

I am interested in buying your home at xxx main street in (That Town)

I can close in less than 30 days, and if it helps, I will pay all closing costs. 

Please give me a call or text anytime at:

xxx-xxx-xxxx

Thanks, 

(Your Signature) 

"

Also, put in the damn work. Don't hire some mass mail company who prints out letters and sends them. If you are hungry enough, you will put in the work to hand write them and lick and stick them off to the post office. 

wait.

Why did you decide to do DMM for absentee owners?

It really is not the best list to sent to... in my honest opinion...

But alas... I will answer you regardless, because I am just that good of a dude.

You will write absentee owners the same thing you would write bad tanant owners.

Simply this.

Hey my name is Enigno Montoya, 

You killed my father

Prepare to die.

If you do not know where this is from I am devorcing you right now!

After that you say...

I woul dlove to buy your house. I am an investor and I will buy in cash so there will be no hassles. If interested hunny bunz call me @ 1-800-SexyBum

Yes ... there is no magic letter. You say what you want to tell them. The less trickery, the better it will be received.

The BETTER tip is..

the ONLY point for the direct mailer is to send them over to your website. Have no website? You should NOT do DMM at all till you have a GREAT website. PERIOD. 

The website will do a MUCH better job converting your traffic than the mailer alone can.

Just do as I say. I know all!

Obey The Ape

First, forget anything under about 90 units if you want any resemblance of passivity. The numbers don't work to accommodate professional management infrastructure, and professional management doesn't want that deal.

Secondly, if you are indeed going to adhere to number one, and go after bigger stuff, then you will either run it, which is not passive or invest in it, which can be quite passive. Good luck!

We have a 46 unit MF that is professionally managed.  We give the PM general direction and monitor their performance. We also handle the insurances.  The PM does everything else. Leasing, maintenance, etc.  I think our PM is very good, but this is not as passive as investing in a syndication.  For example, PM's can be more concerned about keeping high occupancy than keeping up with market rent increases, and you may end up charging under market rents.  So, the owner must know rents in the market and work with the PM to strike a balance between maintaining high occupancy and not leaving money on the table.  So, if you want your investment to be maximally profitable, you need to act as the asset manager, or hire one if your holdings warrant that.  Having said all that, we (two of us) probably spend a total of 2-4 hours/month on the property.

Even with a 3rd party manager your work as an asset manager is not passive. It can be a lot of work. It won't be full time but it's not hands off either unless you want your asset to go down the toilet.