Finding Good Deals is Overrated. Create Good Deals Instead!

June 3, 2022 melissa Real Estate Comments Off on Finding Good Deals is Overrated. Create Good Deals Instead!

Finding Good Deals is Overrated. Create Good Deals Instead!

Many investors build strategies to find the best deals. Sure, they do work, but not always. Sometimes, you just need to create the deals for yourself. Did you know that you can turn a “bad” lead into a good one?

The points below are from the 28th episode of The Real Estate JAM, where we talk about how we do marketing, how we find (and create!) good deals, and much more! Tune in to the full episode on YouTube, Spotify, or Apple Podcasts.

 

Good Deals Come From a Good Connection with Your Leads

Regardless of the marketing strategy we use, whether it’s Facebook, Craigslist, texting, or whatever it may be, we’ll get a lead through them in the form of a call, email, or a message. We then take those leads and turn them over to our “company lead specialists” (or “lead manager”). Their job is to develop rapport with them and qualify those leads. If there’s some connection (and if the lead is qualified), it’s also their responsibility to schedule an appointment for us to view the property or schedule a follow-up call to continue building the rapport or answer more questions. You need to get as much information as possible while nurturing a good relationship.

 

Creating Good Deals

The idea here is that we’re not “finding” good deals, but we’re “creating” them instead. We try to understand the homeowner’s problem. We help them find specific solutions to their issues. Whether that’s somebody who needs a bunch of antique furniture moved out of their house or someone who needs a shed built in their backyard, we’ll do our best to create VALUE for them, therefore adding that value to the deal from their perspective.

Nobody in America thinks that the quickest and easiest way to sell a house is through a real estate agent. But everyone knows that they exist and serve a purpose. If somebody is calling us – and they’ve already thought about going through a real estate agent, there must be some reason why they’re not doing that. They either don’t want the payment fees and commission or have this problem that we need to solve. It could even be something personal or emotional.

In our experience, every single deal that we’ve created has been from people who have problems that nobody else was interested in (or had enough resources) to help them fix, like city liens and code enforcement. Of course, we’re also running a business, not a charity. If you want to know how we identify which deals to create, you can listen to the full episode on YouTube, Spotify, or Apple Podcasts.

 

Outline of the Episode:

  • [00:47] We start fresh with a few updates: getting short-term rentals painted, getting rid of our property management company, hiring an acquisitions specialist, and moving into another office.
  • [05:43] Finding good deals and making sure that they meet our needs and criteria. We started our marketing with Facebook, then mailers, then texting (which has been huge, by the way). How long should you be doing a particular marketing strategy to know if it’s working? What does “turning things over to lead managers (or acquisitions)” look like?
  • [07:34] Instead of finding good deals, why not try creating good deals? Understand people’s needs and issues, then create solutions for them. If you add value to the deal, you’ll be sure people are going to come to you! How do you identify those problems to fix from homeowners?
  • [18:34] We build in profit in our deals to cover six months. Why? And also, what does that even look like?
  • [23:29] To wholesale, to flip, or to wholetail? What should you do, and what do these mean? Should you go for a short-term solution, or a long-term one?

 

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