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There are three basic concepts to having a successful and profitable business in Lease Purchasing
or any type of Creative Real Estate. They are Marketing, Marketing and of course, Marketing. (I had
to fit the title in somewhere).
I define Marketing as anything you do that results in an eventual and profitable deal/transaction.
Many people consider marketing strategies as the key to success and wealth creation no matter
what cookie cutter methodology is used.
Advertising is the most often used method of marketing. The majority of creative real estate investors
use the newspaper in order to find and sell real estate. There are some major (and costly) problems
with advertising, however. It is expensive, the desired results are not always achieved, it frequently
does not give a return on the investment, and the target may be too broad (ambiguous) resulting in
too many phone calls or it may be too narrow and you’ll receive no calls whatsoever.
By specializing in the niche of Lease Purchasing (a method of controlling homes with a long term lease
and an option or right to purchase) I needed to develop a common sense approach to finding people and
properties. In order to accomplish my financial goals (yes, I wrote them down) I have to spend about
50% of my time doing the stuff that makes the phone ring. I have developed and use 26 distinct
marketing strategies in order to find properties and Tenant/Buyers.
Here are several ideas for getting results with your marketing program:
A. Newspaper Ads:
I get great results with the small classified ads that run on Sundays in the ‘homes for sale’ and
‘homes for rent’ real estate sections. I have spoken with too many budding real estate moguls who
went broke with splashy and costly ads that some Guru told them to run. I always use the Sunday
edition because that's the highest circulation day. I avoid the cheapofreebie papers that can be
found in the supermarkets. I find them costly and they seem to attract people who don’t have the
money for option consideration and assignment fees.
B. Timeliness:
Your ads must run consistently if you are soliciting for a regular stream of clients. I have run an
ad in the USA Today for the last four years. A common response that I hear from people is that they
kept seeing my ad and were curious. I also believe that a long term running ad lends to the
credibility of your business. A final word on timeliness; don’t run ads on major holiday weekends
unless there are mega sporting events (i.e.: the superbowl, etc.), people tend not to read the paper
on these weekends.
C. Content:
Have a great eye catching title. For example: No Qualifying, 100% rent credited to purchase, Rent Now
Buy Later, Rent to Own, Rent with Option to Purchase, Free Lease Purchase Report, Sell your home in
24 hours! Be creative, take some chances and use capitals or bold type for your introductory or top
line.
D. 800 Number:
I know this is an area for debate, but why quibble over aninducement that will remove any hesitation
for a buyer or renter from callingyou?
E. Phone Technique:
Keep it professional. Answer your phone like Donald Trump. (Does he answer his own phone?) No cute kid
messages on the answer machine. I love kids (got 2 rug rats myself), but I hate cutesy children
recordings on business lines. I usually can’t understand the message or get impatient with the babble
and hang up.
F. Signs:
Nothing beats a good old cheapo homemade sign. Post them by the property and busy intersections. For
example: Rent to Own Your Home (970)726-7979.
G. Budget:
Operate on a shoe string budget. Don’t blow the potential profit on your marketing program. Remember
you’re in this business to profit. Don’tbecome a saint!
Diamond Consulting Group
Success, One Person at a Time !
Claude W. Diamond J.D.
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E-MAIL: CDMENTOR@AOL.COM
Website: www.claudediamond.com
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