By: Jamel Gibbs
Sellers are swarmed with direct mail from other investors, realtors, and not to mention companies that have nothing to do with real estate. So think for a minute, why should they read your mail rather than everyone else’s? Grant it, it’s better if they call you of course. But what if the phone stopped ringing for a couple of days? Are you going to sit around and do nothing? This article will discuss an alternative to direct mail and newspaper ads.
Think about this for a minute…. you find a lead down at the court house or through a bird dog and you try to contact the seller via telephone, but there is no answer. What do you do? In this case why not go and knock on the door.
Door knocking is a very effective way to get deals before everyone does. In fact, the average investor will not think of knocking on the seller’s door first. They will do what everyone else does, which is send a letter to the seller. There are many benefits to knocking on the seller’s door also.
One benefit is you get to see the property right from the start. Being able to see the property in the beginning will give you an opportunity to make an offer before everyone else does. If you have done your comparable sales before you went to the seller’s house, then you can make an offer right off the bat. The seller will not even have an offer yet and you will get the deal nine times out of ten.
Another benefit of knocking on the seller’s door is if the house is vacant you can get a chance to meet the neighbors and ask them if they know anything about the house and the seller’s situation. Neighbors are usually nosy, so they tend to know other people’s business. If the neighbors don’t know anything about the house, maybe they know the best way to contact the seller. Also, bring some business cards and offer the neighbors money if they find any (leads) houses for sale . Tell them what type of property you’re looking for. Make sure to let them know that they will only get paid if you close on the place. I usually offer up to $500.
Keep in mind that you are in this business to be effective so you’re not going to knock on any seller’s door. You are always looking for motivated sellers. This is how you will get the deals. The easiest way to find the right sellers is to go to the court house and find out who recently filed for bankruptcy. Another type of seller to look for is those who are in pre-foreclosure. I wouldn’t use this technique with probates because it would be a little rude, but you can use it for people with tax liens and any other liens on their property as well.
Door knocking can be effective if you apply it the right way. The key in any type of lead generation is consistency. Get good at one type of lead generation then move onto the next. Laziness is not an option. Work smart and defy the odds and deals will come your way.
Copyright © 2008 Jamel Gibbs
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