How Good Is The "Knock-on-the-door" Strategy?
This is a question to those who PRACTICE this strategy.
I wonder, how many prospects in pre-foreclosure you have to visit before you find one that closes the deal with you?
Let's take visits per month vs. deals per month.
I am trying to work out the most successful strategy, so please be honest.
That really is a tough question to answer because it's like a new race car driver asking an expert how many races it takes before they win one.
It all depends on the driver.
Honestly, if you learn the correct way to do it, you can close 3many deals a month. But if you don't, you may be knocking on a ton of doors becoming more frustrated by the minute. Knowing what to say and how to say it is the key. Having the knowledge is one thing, but applying it in the correct form is another.
Really learn what you are doing, talk to everyone you can, so when you do knock on the door you get a yes versus a no
[addsig]
Quote:
On 2003-11-14 18:44, SolutionsKid wrote:
Really learn what you are doing, talk to everyone you can, so when you do knock on the door you get a yes versus a no
So, here I am, talking. Trying to get statistics from 'good drivers' as well as from the 'beginners'. From those who practice.
You're saying 3 deals a months out of ... how many trials? Are you a 'good driver' ?
Statistics, statistics....
it's a great question - I would also like to here about the ratio's that others have - especially going door to door!
When we did foreclosures we figured it at about $1,400 a person who laughed, slammed the door or just said "no thanks, we've taken care of it". So when you get a cost ratio it becomes less personal and more about the numbers.
Sire
its a numbers game if you knock on 20 doors a day ,you will get a deal out of it. if you zero out you have more days ahead thats the way i look at it could help some or not. [ Edited by REinvestr on Date 11/14/2003 ]
Please concentrate on the question:
visits per month vs. deals per month?[ Edited by Olga on Date 11/14/2003 ]
it's funny because when i knocked on a door the other day, (pre-foreclosure) the owner was there because i heard the tv shut off and i kno they were dodging me because i saw the car tucked waaaaay out back behind the garage. hahaha.
i'm thinkin, who are they running from? it's STILL their house until the sale and i'm not there with a warrant for thier arrest! geez. it's actually a bit unnerving, but i didn't knock long, i realized and left and sent a letter.
knocking is hard sometimes (when you start) but once you become familiar with what to say, you'll be fine. i've only actually knocked on about 5 doors, but the storefront i went into with an fsbo sign, was a deal. i'm shopping for a buyer before i secure it, but he's more than ready. so, for statistics, i'm battin .200.
oh, and i've gotten 1 lead from 1 letter mailed, so far in pre-foreclosures. actually the 1 came from my ad in the paper, but only 1 letter went out, so 1 for 1 there ... battin 1.000 with that. tho, i do not expect that stat to remain constant![ Edited by jackman on Date 11/14/2003 ]
I can save everyone alot of time.
Everything depends on your information.
If you buy "public" lists that Gurus tell you to buy, dont you think those lists are picked thru?
If ten different people write a stupid letter to someone in pre-foreclosure,
what are the chances that they will call you?
( laughing)
Get original.
Get in front of them.
Buy or get good information.
Jason
Hi Olga,
Hopefully I can answer your question. I started doing preforeclosures in may. In the month of may I knocked on 25 doors and got one deal. In June and July, 50 doors 4 deals. Again September and October 50 doors 2 more deals. This is only part time because I still work full time. 6 months out 125 doors and 7 deals.
[quote]
On 2003-11-14 18:44, SolutionsKid wrote:
That really is a tough question to answer because it's like a new race car driver asking an expert how many races it takes before they win one.
It all depends on the driver.
Olga,
This is probably the most accurate answer given to your question. "It all depends on the driver"
You will have your own results, you will have your own numbers because you are your own driver. If you don't knock on doors how many sales will you generate using this method?
Just because this wasn't the answer you wanted, doesn't make it invalid.
I believe I read a post from Derrick Ali on this subject about a method similar to the following approach.
1) Knock on the door.
2) When the person answers the door tell them that your here about the house for sale.
3) When they tell you that their house isn't for sale, you respond by telling them that you're sorry for the misunderstanding but according to public records their lender is preparing to sell their home soon if they are unable to work out a way to bring the payments current.
4) If they don't slam the door in your face, you're going to be able to make your presentation, and make an offer.
I haven't tried this method, I don't know if this would be good driving or not. Do you?
Good Luck,
Jeff
[ Edited by jeff12002 on Date 11/14/2003 ]
Hi, Olga
I wouldn't be surprised if there may be a geography factor involved in terms of total numbers simply because the number of financially distressed properties may vary by area. I suspect that the ratios you are looking for are very dependent on the quality of the leads and the skills of the investor. Please keep me informed on your activities.
Regards,
Ed
[quote]
On 2003-11-14 22:24, jeff12002 wrote:
Quote:
On 2003-11-14 18:44, SolutionsKid wrote:
That really is a tough question to answer because it's like a new race car driver asking an expert how many races it takes before they win one.
It all depends on the driver.
Olga,
This is probably the most accurate answer given to your question. "It all depends on the driver"
You will have your own results, you will have your own numbers because you are your own driver. If you don't knock on doors how many sales will you generate using this method?
Just because this wasn't the answer you wanted, doesn't make it invalid.
Good luck,
Jeff
Jeff, let me disagree, it is not an answer to my question. May be I did not formulate it well (English - second language )The scope of my interest is RATIO.
I'd state 'noblephi' as an example of answers that would be very helpfull to all of us.
As for me... I am not seeking for advise. A friend of mine, who is experiensed in sales and marketing, proposed me a way to approach prospects so the percent of success would be higher and expenses lower (time saving) than "knocking". This needs a couple of weeks preparation from my side before I follow this program. So, I need numbers for comparison of these 2 methods.
Besides, knocking on doors is potentially dangerous especially for women.
[ Edited by Olga on Date 11/14/2003 ][ Edited by Olga on Date 11/14/2003 ]
Olga,
I think that we'll just have to agree to disagree on this one.
You, your particular methods, and the specific circumstances of the people on the other side of the door, on the specific day, at the exact time you knock on it will have a greater impact on your individual ratios than any results that anyone here has had.
Just my opinion,
Jeff
Olga,
The question to your answer could have 30 different answers if you ask 30 different people. I do not think there is a set percentage that one could put on making contact. I can however tell you that face to face contact is and will always be the best form of prospecting in this or any other business. Knee to Knee, eye ball to eye ball, nose to nose beats flyers, mailers, bandit signs and web sites or any form of REI prospecting . No one can sell your product and explain your product better than you.
I have purchased pre-forclosures and have done well doing so. I concider myself to be pretty good when talking to people. I may hit 25 doors and come away with one contract or I may hit 5 doors and come away with 3 contracts.
You will learn from many different gurus, many different formulas. They all work when it comes to making face to face contact. It is a numbers business and you never know when the numbers will be in your favor. The best prospecting tip that I have ever heard is as follows and probably the easiest: If you never knock on a door, no one will ever answer.
If you look at a professional all star baseball player that has a 300 batting average you are looking at one of the best that play the game. He may go into a slump, he may strike out or make an error to loose the game but I can guarantee you that he will be the 1st guy in the field for batting practice 4 hours before the game the following day. That being said, my point is this: It does not matter what formula you use. You will strike out one day and hit a grand slam the next as long as you are out there every day practicing and playing the game.
I wish I can say that 100-10-3 is a formula that works, but I would be lying to you. Those numbers may work for you but may not work for the next guy. He may actually get 3 contract within his 1st 10 door knocks.
Your best bet is to go out and develop your own formulas based on your own activity. The fact is that if you knock on doors you will get results!!
Best of luck!!
Repoman
Hi,
Repoman that was a very good reply, very good!!
To Olga: Given the numbers from my earlier post the ratio is 1 deal for every 17.86 doors knocked on. Hopefully over the next six mon ths I can bring that number down
I just wanted to thank everybody for responding. Will keep you posted about new developments.
One little note: Great comunity, real treasure.
Olga:
I have knocked on one door. I found the pre-foreclosure, drove the neighborhood, saw a realtor sign on the pre-foreclosure home and went up to the door.
The lady said she wasn't who I was looking for (owner is pre-for) but if i was interested i needed to call the listing agent.
so my percentage is 0%