Here’s what hasn’t missed for me since Reagan was in office — a super narrowly defined database, from which you can call or write, and eventually email. Stop rollin’ your eyes, as this isn’t what you might be thinking. The concept of ‘narrowly defined’ has taken a beating, to the point it means almost nothing these days. I mean a concrete set of parameters, ALL of which must be present for a home to be in the database.
Who’s most likely a potential seller in your market? What facts will be in evidence on tax assessor records? It’ll be a little different for each region, each neighborhood. Sometimes you’ll need many factors, while other areas might need only a few.
For example, in my neck of the woods, San Diego, my Virtual Farm contains real estate investors who share ALL of these factors.
They bought in the spring of 2003 or earlier They haven’t refinanced — OR — LTV is 70% or less The property(s) is 1-4 units They’re located in a small subset of zip codes They live outa town
You can mail all these folks every month for less than $100. Budget super tight? Do it quarterly, or monthly, or to half of ’em each month. When I used to do this, before I stopped doing business in San Diego back in late 2003, it produced like clockwork. Rarely did a letter generate nothing. My best year produced six figures — from 104 names. When I had their phone numbers, my batting average zoomed, big time. But then, I don’t cry when folks reject me, so I’m willing to make those calls. 🙂
Let’s use a baseball analogy.
When constructed as narrowly as I’m advising, this database will be populated by nothin’ but the kinda reduced velocity, straight-as-a-string fastballs delivered on 3-0 counts with the bases loaded. What’d’ya think the batting average is for hitters on that particular pitch — especially since even Grandma knows exactly what’s comin’ — and where? I don’t know, but my experience watching MLB since the fifth grade, plus my years of umpiring at a relatively high level, leads me to believe it could approach .500 or so. For Heaven’s sake, where do ya think most grand slams come from? It’s certainly not from 91 mph Randy Johnson sliders. 🙂
Look, you know your area pretty well, or know somebody who does. Construct a set of parameters that’ll yield this micro-database of 3-0, bases loaded fastballs. In baseballese they’re known as cripple pitches, and hitters live for them. Marketing/prospecting to a database populated by a buncha guaranteed 3-0 ‘please-hit-me’ pitches is nothing if not several leisurely trots around the bases.
Thomas Johnson says:
1. Sellers with 20% equity
2. Sellers with 20% equity
3. Sellers with 20% equity
10% for the sale, 10% for them.
It’s that simple and that complicated.
Now, to find the data.
May 14, 2010 — 10:47 am
Jeff Brown says:
Thomas — I shoulda said some areas only have one parameter. 🙂
How ’bout those out of your area, but with second homes there? Or those with rental homes/condos who meet your standards?
May 14, 2010 — 10:51 am
Brian Brady says:
150 San Diego service members, ranked from E-5 to 0-6, who responded to a Craigslist ad in 2009. Six transactions in 2010 thus far.
Best conversion tool? Yellow post card.
May 14, 2010 — 2:40 pm
Jeff Brown says:
Brian — Sounds like Kennedy to me, right? Six loans from a small group of 150 — and there ya go.
May 14, 2010 — 2:51 pm
Brian Brady says:
It is GKIC-like, Jeff but it wasn’t by design. I had to mine my email inbox for all the names/email addresses, last December. I didn’t even THINK of list building when I was running those ads.
Lesson learned.
May 14, 2010 — 4:52 pm