Hey, it’s Joe. I’ve got another question.
“I was reading your article on building a buyers list and I think I understand how to
build a database and use the autoresponders and the web pages but I don’t know which of
your buyer marketing strategies work best. Could you tell me how to get started building
my list and which of the ways would be the least expensive to start using?” – Illona,
Alberta, Canada. Illona, there’s a couple of ways. One of the
basic, down to earth, really organic ways is that we use these ugly signs that you see
around town that say, ‘Rent to buy – no qualifying’ and a phone number. Those are probably the
cheapest cost per lead advertising that we do on anything that we do. It’s just amazing
how inexpensive it is. You can get a lead for 50 cents apiece. For a dollar a piece
you can get buyers to come into your marketing system, so it’s a very good method.
We’ve got a whole way that we do this where we drive them to a voicemail. We’ve got a
special script that we use. If you just use that script and get people to come into it,
you’ll get a lot of leads. People also tell me, ‘I saw those ugly signs. I’d never buy
from one of those people.’ I’ll tell you – people do buy from those. And as a matter of fact,
we’ve tested the ugly handwritten signs versus the professional looking printed real estate
signs, and the ugly signs work a whole lot better.
I know you’ve got some restrictions because you’re an agent about putting your name on
there, so you’ve got to figure out how to make that work for what you’re doing as well.
Feel free to ask me on those (I won’t get into how to deal with all of that stuff) – there’s
lots of ways that you can do that. You can partner up with people that are investors
that aren’t realtors who can help you build your database; there’s lots of ways that you
can solve that problem. So that’s one of the ways.
The other way that’s been very effective for us is using Craigslist, and if you offer rent
to buy properties in Craigslist, you’re going to get a lot of people that way as well.
So finding buyers is not difficult. Keep in mind that one in ten of the people that call
on a rent to own sign or a classified or ad on the internet (and there’s lots of other
internet techniques to get buyers a swell but I don’t have time to get into those) but
one in ten of all of those people that call are actually going to qualify for a real mortgage.
They just don’t think they do. How many times have you talked to a buyer
that thought, ‘Oh no, I had a bankruptcy three years ago. I can’t qualify,’ and then you
do the credit and you know they only need two years after a bankruptcy to qualify; they
just don’t know that – they think that their bankruptcy is going to be on there for ten
years. A lot of these people have established credit again, so you can use some of these
people and take them into the MLS and get it done.
There’s also a way that you can go in and take these rent to buy people into the MLS,
since you’re an agent, and find them rent to own properties through the MLS. Just set
them up so that you keep the lease option fee, and it doesn’t go to the buyer, and most
of these sellers aren’t looking for lease option fees, but if they are, you can negotiate
it with them and make sure that you keep it and you can take them on an offer so that
you get that. I’ve got people who are doing it. It’s a very
effective. It’s a good way to make that happen, plus you have the potential of making a commission
on the back end if the option is exercised. There’s a lot of details here that I’m trying
to get into a three minute video. Hopefully I’m giving you an idea of some of the things
that we’re doing. I hope that helps. Thanks.