Thanks, to Cris Chico for making me aware of virtual wholesaling.
I find this a fascinating topic, so i watched ALL his videos. You should, too.
5 steps to first virtual wholesale deal
1. find highly motivated sellers
2. find best cash buyers
3. implement the right marketing
4. work less by using systems
5. make offers and close deals
Step 1: find highly motivated sellers
– lots of ways of finding deals – pre foreclosure lists, eviction lists, divorce lists, etc.. (NO, NO, NO) – lots of competition with these kinds of leads etc… lots of manual labor (bandit signs), high rejection rate, hard to do volume with this method
– go after the abundance !! – the “tired landlord”
– why tired landlords? – easy to find, start small and ramp up as you do more deals, very little competition, poor marketing to these leads can be bad!
– single family, duplex, triplex, fourplex // own property for at least 10 years , landlord must own property in THEIR NAME , focus on zip codes that have most investor buyer activity.
Step 2: find best cash buyers
CRITERIA for the best cash buyer:
> purchased an investment property in last 3-6 months
> target single family houses, duplex, triplex, or fourplex
> narrow down the zip codes to buyers who have bought in that area
Step 3: implement the right marketing
– Marketing is not a generic process
– Good old fahsioned mail is the KEY!
– mail is easy to get started, less competition with direct mail, no need to print anythinf or deal with grunt work, WILL NOT find tired landlords any other way.
– why do investors FAIL at direct mail? – very redundant and unoriginal.
STEP 4: work less by using systems
– Systems eliminate grunt work , allow me to focus on my business, lots less time and efort
– use online tools to find sellers, automated marketing, seller screening systems, buyer screening system, lead evaluation system , closing and collecting money system.
> finding sellers and buyers online: – listsource.com // realquest.com – CONTACT HIM FOR SPECIAL ACCOUNTS
> automate marketing using direct mail – click2mail.com -(we will be able to upload list and use his postcard template)
> Use 24-hour recorded message system – seller calls special number on postcards and listens to my recorded message // only the motivated sellers leave a message // eliminates the explainations , frees your TIME and LITTLE TO NO SELLING INVOLVED.
> CASH BUYERS? -same as seller method (from the 24 hour recorded message, the buyers will be directed to a website OR call a 24 hour recorded message)
* 1200 postcards for $400 – received 285 calls
STEP 5: make offers and close deals
– speaking with seller (use seller lead sheet)
– 15 second evaluation technique (if used correctly- there is no need to worry about repair estimate or looking at the property)
– make an offer right over phone!
– what happens when we find a deal? –
> fill out “risk free” agreement (there is both a seller and buyer agreement)
> sell the deal to buyers – if they say yes, use the asignment contract