Creating/Establishing A Buyers List
I am new to REI and interested in flipping foreclosures or distressed properties. I have been reading through the forums and you guys are a wealth of information. I understand that establishing a buyers list is key to a quick flip, but what is the best way to establish such a list?
There are two really good ways to do it, and they both involve newspaper ads.
First, you can start by calling all the "WE BUY HOUSES" type ads in the papers. Be cordial, ask them what areas they work in, are they backed by lenders, how fast they can close... etc. Some will brush you off as a newbie, but for the most part they should be receptive... after all, it could mean a deal for them down the line.
Next, you can place a simple "HANDYMAN SPECIAL" type ad in some different papers. Add a different extension at the end of your phone number for each paper. It's the best way to track your responses.
When they ask about your property for sale, tell them you just sold it, but if they'd like, you could place them in your file so you can contact them when you have another property for sale. If they agree, just ask the same questions you asked when you made the cold calls.
If you'd like, I can send you the questionaire I used for my prospective buyers. just PM me your email address I can send it to you (WORD .DOC format).
This worked for me. After about 2 cold calls, I was as smooth as Barry White after a pint of honey tea. Work on a script for your introduction as well. It'll get you over the intial jitters.
Hope this helps, and good luck.
I do the same thing as Holleratg, I use the news paper, As of 02/16/2004 I spent $60.00 for my ad and have closed over 35 deals this year. I focus on private homebuyers that are qualified for a loan. I currently have over 50 people on my list.
This has been the most effective and cheapest way I've found.
Lori
[addsig]
Dude, check it. I'm looking to flip and lease/option houses. I went ahead and placed an ad in the paper that says "Homes for sale! No Qualifying! Low downs!" I don't have any houses, but I'm building a buyers list. I've had it out for four days and have six people on my list already. Just toss out an ad and they will come. One day I'll get a house to match with my buyers.