Ok so I am a newbie, and I have the NOD lists and now what do I do? I have tried sending letters to no avail, any tips would be greatly appreciated.
Luv Lucy
The key to mailing NOD's is Repetition! Send mailings to the same people for 3-8 weeks. You've got to remember that they are being bombarded by all kinds of solicitations.
Door knocking can can be a good thing if you are a seasoned investor. If you door knock now and get only 1 door slammed in your face, it may make you not interested in the business any more. However, if you have a few successful deals, you'll understand that it is just part of the business! And you will then go knock on the next door.
So decide what is best for you
A) Multiple Mailings
B) Phone scripts
C) Door Knocking.
You dont have to do all of these, be focus on atleast one and make it effective!
I personally have not tried door knocking yet (to be honest, this former Marine is afraid of getting his butt kicked by knocking on the wrong door). But, I have been mailing like crazy. My opinion is that postcards are more effective than letters. I figure that people facing foreclosure are in "ostrich mode" and won't even open a letter.
BAMZ enumerates the 3 ways to contact defaultees. Really, you should use all three techniques. Having said that, I must confess that I only mail letters.
Perhaps, what you don't realize is that the response rate from these poor devils is very low. There are 2 schools of thought regarding when you will be most successful with your prospecting
Some think that if you're not the first than you've missed the boat. The others (include me in) think that the most productive mailings are those received at the eleventh hour.
As far as calling the people, it's mostly a no can do. Out of all the pre-foreclosures I have called, maybe 5% of them actually had their phone on. I with mailing handwritten envelope letters and knocking on doors. You need immediate contact with these people to get them out of denial. What's the worst thing they can say to you? No. Now did that kill you? I've yet to hear of an accident of a distressed seller attacking someone trying to buy their house, not me or any others. My 2 cents.
Physically Attacking? I have never heard of that either. Verbal Attacking? All of the time! I have been cursed out by using all three marketing ways. It doesnt physically harm you, but it can greatly crush your momentum!
If you feel that you would be vulnerable to that by calling or door knocking, turn up your direct mail campaign, and get'em that way!
I also use a door hanger campaign. It proves to be a very powerful statement for a homeowner. He actually sees that someone physically was at the house and not as likely to quickly through message to the garbage as one of many junk mails.
“Hi, My name is XXXXXXXXXX, I was just passing through the neighborhood looking for investment properties and your house looks like exactly the one I would like to buy. Would you be interested to sell it by any chance?” “Yes?” “Wow! What a coincidence! May I come in?”
Scenario 2:
“Hi, My name is XXXXXXXXXX, and I am a private Real Estate investor. I was in a court house today working on the case for one of my investment properties and came across your name listed by XYZ mortgage company as pending foreclosure. I wanted to step by and see if I can help you in any way in this situation, may I come in please?
You can make any story that make comfortable and let you start the dialog with the homeowner. Don’t be pushy. Let them know that you here to help.
I have some good responses with it. Key point here is to make sure that they are actually delivered to proper people. I don’t usually distribute them my self (don’t have time) but hire local company I can trust and provide them with distribution addresses. First few time though I had to go and check how the work is being done (advertising this way may be more costly then letters and you would not want to waist your money).
I use one of the local printing companies. Sometimes they are also a distributor as well. I am sure you can find one on the WEB or in local phonebook.
I've never done foreclosures before but this is what I've read:
Knocking on doors is most effective.
Know about the comps and the area in question before knocking so you can be more informed.
Decide if you're doing a short sale or a sub-to purchase ( or some other purchase method).
Know how you will make it sound win/win to the seller.
Keep me posted.
Thanks BethE,
But no one will call from my mailings?! Go to their house? Yikes!!
Hi Lucy,
The key to mailing NOD's is Repetition! Send mailings to the same people for 3-8 weeks. You've got to remember that they are being bombarded by all kinds of solicitations.
Door knocking can can be a good thing if you are a seasoned investor. If you door knock now and get only 1 door slammed in your face, it may make you not interested in the business any more. However, if you have a few successful deals, you'll understand that it is just part of the business! And you will then go knock on the next door.
So decide what is best for you
A) Multiple Mailings
B) Phone scripts
C) Door Knocking.
You dont have to do all of these, be focus on atleast one and make it effective!
Best of Success!
BAMZ
I personally have not tried door knocking yet (to be honest, this former Marine is afraid of getting his butt kicked by knocking on the wrong door). But, I have been mailing like crazy. My opinion is that postcards are more effective than letters. I figure that people facing foreclosure are in "ostrich mode" and won't even open a letter.
1. In my case i would have absolutely no problem knocking on doors - what is the average number of doors one must knock on before finding deals?
2. In my state there is a no call list. Are there any ways around that if I would like to look up numbers and make calls to the NOD list?
BAMZ enumerates the 3 ways to contact defaultees. Really, you should use all three techniques. Having said that, I must confess that I only mail letters.
Perhaps, what you don't realize is that the response rate from these poor devils is very low. There are 2 schools of thought regarding when you will be most successful with your prospecting
Some think that if you're not the first than you've missed the boat. The others (include me in) think that the most productive mailings are those received at the eleventh hour.
That is a good point sammyvegas!
A lot of investor friends of mine send mailing after mailing when the NOD is first filed, and then walk away if no calls.
If they aren't going to market to them again closer to the sale, you can bet I will !
Best of Success!
BAMZ
[addsig]
As far as calling the people, it's mostly a no can do. Out of all the pre-foreclosures I have called, maybe 5% of them actually had their phone on. I with mailing handwritten envelope letters and knocking on doors. You need immediate contact with these people to get them out of denial. What's the worst thing they can say to you? No. Now did that kill you? I've yet to hear of an accident of a distressed seller attacking someone trying to buy their house, not me or any others. My 2 cents.
Physically Attacking? I have never heard of that either. Verbal Attacking? All of the time! I have been cursed out by using all three marketing ways. It doesnt physically harm you, but it can greatly crush your momentum!
If you feel that you would be vulnerable to that by calling or door knocking, turn up your direct mail campaign, and get'em that way!
Best of Success!
BAMZ
When is the best time to go knocking on doors. Evenings, Saturday's, Sunday's?
I also use a door hanger campaign. It proves to be a very powerful statement for a homeowner. He actually sees that someone physically was at the house and not as likely to quickly through message to the garbage as one of many junk mails.
Dmitry.
What does everyone say when they knock on the doors and talk to the homeowner face to face?
Call me stupid but what is the NOD list?
Scenario 1:
“Hi, My name is XXXXXXXXXX, I was just passing through the neighborhood looking for investment properties and your house looks like exactly the one I would like to buy. Would you be interested to sell it by any chance?” “Yes?” “Wow! What a coincidence! May I come in?”
Scenario 2:
“Hi, My name is XXXXXXXXXX, and I am a private Real Estate investor. I was in a court house today working on the case for one of my investment properties and came across your name listed by XYZ mortgage company as pending foreclosure. I wanted to step by and see if I can help you in any way in this situation, may I come in please?
You can make any story that make comfortable and let you start the dialog with the homeowner. Don’t be pushy. Let them know that you here to help.
Dmitry.
Dmitry,
That is an interesting idea. Has the Door Hanger proved successful for you?
Where did you get them printed?
BAMZ
Hi BAMZ,
I have some good responses with it. Key point here is to make sure that they are actually delivered to proper people. I don’t usually distribute them my self (don’t have time) but hire local company I can trust and provide them with distribution addresses. First few time though I had to go and check how the work is being done (advertising this way may be more costly then letters and you would not want to waist your money).
I use one of the local printing companies. Sometimes they are also a distributor as well. I am sure you can find one on the WEB or in local phonebook.
Dmitry.
Dmitry,
I placed an order for some today. I will add them to my marketing campaign and we'll see what happens.
Even if it doesnt work in my area, that is a great way of thinking outside of the box!
Best of Success!
BAMZ
Thanks BAMZ,
Best of luck!
Dmitry.