If there is one thing that frustrates, burns out and breaks real estate investors more than anything else it is running into lead after lead that goes nowhere. It’s time to change that.
If you’re newer to real estate investing you simply can’t afford to spend all your time on leads that don’t turn into deals. There’s nothing more grueling and you’ll eventually go broke or quit before you make it. Even as a reasonably successful real estate business doing a million or two dollars in deals every year, a dry period with few closings can topple you and bankrupt you.
Unfortunately, we’re seeing more and more of this with the competition out there, high prices, and lack of liquidity from banks.
The Big Problem
Getting real estate leads is easy. It really is. You can buy lead lists. You can send direct mail, post on Craigslist, do Facebook ads, cold call and ask for referrals.
However, just because someone may be willing to sell their property, or even needs to sell the property doesn’t always seem to make it a deal.
You’ve probably run into these issues a lot:
- They’re asking for too much money
- The house needs too much in repairs
- Lenders won’t loan on this property
- You don’t or can’t justify that much cash into the deal
- The cash on cash returns will be too low for you to hold it and the risk is too high
- They owe too much money in mortgages or liens
Maybe you are dealing with one or two of these a day, or maybe you are buried in a hundred of these calls a day. You’re wasting time, marketing, money and energy.
Your Ace Up Your Sleeve
Find the most important need of the seller. Their one main sticking point. Then you’ll find a creative real estate solution to solve it, buy it and make it a deal.
Maybe they just need enough cash to move out into a rental. Maybe they need rid of this debt yesterday. Maybe they are really stuck on the price. Or perhaps they are just afraid of the tax hit or having to come out of pocket to get out of the property.
In all of these cases a subject-to offer can make it work for them, and you.In fact, if you learn how to do this, you could turn many of your old leads into cash too.
