DAY 2: Smart Marketing

During my last Maximum Foreclosure Profits Training, a very nice lady got up from the audience and asked me that if I had to name one killer technique that is bringing me 10-15 great leads every month.

I told her that I cannot possibly tell her what ONE thing I do every month to bring me 10-15 leads every month, but I can tell her the 10 different things I do every month to bring me ONE good deal.

And there lies the biggest challenge for all new and seasoned real estate investors - to stop obsessing over one way to bring pre-foreclosures in the door and launch a marketing machine to churn deal after deal every month.

If I dissected every single move I make to bring good, juicy deals to me - that would be a 30 pages e-mail - during my training workshops, sometimes I just spend ONE whole day talking about setting up different systems that can bring you lead after lead , week after week.

But I will give you 2 tested and proven techniques to start locating your first foreclosure deal immediately.

Direct Mail Campaign To Home Owners In Pre-Foreclosures:

Almost everybody talks about it, almost everybody does it WRONG!

If you run your direct mail campaign it is the cheapest and most profitable way of getting motivated homeowners in pre-foreclosures calling you almost every month.

If done wrong, your direct mail campaign - postcards and letters - will go into garbage along with all the other crap other real estate investors are sending out to this homeowner.

One campaign done right will bring you $10,000 to $30,000 per deal.

One campaign done wrong will bring you zero dollars and the negative thinking that this whole “real estate thing” only works for infomercials.

Let me give you the 3 big components of my direct mail campaigns:

First, I have already talked about in the first e-mail you got from me about the Importance of Being Local.

If you have already forgotten that e-mail, I suggest go back to you e-mail program, print it and read it.

Now think about this in context - let say you are in a county where houses go from $50,000 to $2,000,000 (that is millions by the way).

May be you are starting out in you real estate business or may be you have some deals in the past where you stumbled to some cash at the end of the day!

Most investors start marketing to every house going in their area. Truth of the matter is that you cannot possibly buy or deal any house - so this is the first time you are doing this, I don't think trying to get a deed for a $1 Million dollar home is a good idea simply because you probably have no idea how to market effectively to get rid of such a big house.
Or you don't have yet, an investor network that can take the house from your hands quickly.

Either way, there is no point in marketing to a house in that price point.

I will tell you one of the biggest, most important idea that I stumbled into that has made all the difference:

Instead of marketing once or twice to pre-foreclosure homeowners like most investors do, I carefully decide, based on my criterial, what houses do I really want to own and deal, and I market a whole campaign to these homeowners.

This is a huge idea and the results have been astounding.

How many credit card offers you get every month in the mail?

How many credit card offers you get, from the same company, in a three month period in the mail?

Get the picture???

There are three very important factors in getting homeowners in pre-foreclosures to sell their homes to you at a huge discounted price:

1. What your letter or postcard says? I have spend hours upon hour agonizing on what to say in my letter to make the homeowners run to the phone and call me right away. Huge amounts of testing went into this to make sure what I write make the phone ring.

2. When do the homeowners in pre-foreclosures get this letter? As they say, all life is about timing. Pre-foreclosure process striates over couple of months - the correct thing, said at the right time will make the difference in getting the check or not.

3. How many times you HIT the homeowners in pre-foreclosure? A sequential campaign, done at the right time, with the right number of times will position you as the dominant “Problem Solver In Your County” in the mind of the homeowners in pre-foreclosure.

With that in mind, you need to do things really fast:

1. Go to your county office and get the legal newspaper that usually comes out every Friday.
2. Pick out the addresses in the cities you want to market to. (Be Local!)
3. Start a mailing campaign spread over the next 6 weeks to get your first deal.

Day 3: How To Pick Deals That You Can Get