Door Knocking On Pre-foreclosures
Does anyone have positive experience with physically approaching a property owner (assuming they are in the house or you can find them otherwise) and inquiring about whether they want to sell their house? In this case I am talking about prior to any response by them to an ad, postcard etc. Thx
Mark 
Hi molotov,
I wish that I could tell you that I have had postive experiences with this, but that is not the case. Most homeowners in default are like a cornered animal. They want to be by themselves, but if you get to close, they'll may either BARK or Bite you.
Go ahead and market to them first with letters, postcards, etc. This will soften your approach if you still choose to knock on their door!
BAMZ
Sounds like pretty sound advice. Me personally, I would be insulted if you came to me talking about me selling my house when I am doing all I can to keep it.
Why not first approach with HELP in mind?
molotov,
Door knocking is something I only do in a few, select cases (substantial equity) with preforeclosures. While not all of my efforts have been met with extreme welcome, I have yet to be shot at or run off the porch with a broom either.
If you come across as non-threatening and honestly wanting to help, you will at least be received in most cases with a civil response. My doorknocking has only led to 2 actual deals to date but considering that I will only visit 15 to 20 this year, the %s aren't too bad.
When they answer the door, don't try to be the "big investor" or dress like a banker. I dress like I always do, shorts & glof shirt in summer, slacks and a buttondown in winter. I introduce myself and say something along the line if, "Hi, my name is William. I noticed that your lender has initiated a proceeding against you and was wondering if there might be anything I could do to help?"
MOst times they will say it has been taken care of. In this case, offer your card "just in case" and ask if it is ok for you to follow up with them "in case things don't work out". Sometimes they will say something like, "What do you have in mind?" Then you are in the door. It is much easier after that.
Your goal is to open up conversation. Once this is done, getting to the deal is the easy part.
William Tingle
WilliamGA
WilliamGA - your approach is just as I would have anticipated making to a potential seller. Having an honest conversation where you do not come across with the hard sell SHOULD seem to be a decent alternative to those facing a Trustee's Sale any time soon. As John Locke has stated in other posts, getting to these sellers before the auction provides them with advantages/alternatives they might not otherwise be aware of. Unfortunately, in most cases, they have to contact you. I was just trying to see if anyone had any experience with a more proactive approach.
Thanks all for your comments.
I knock on doors. The reason I do so is that in California, they have been deluged with more mailings then you can imagine. I mean Lawyers, offering to Bankrupt them. The Syndicates trying to buy their houses for U-Haul Money and on it goes. Most of the doors upon which I knock are getting as high as 20 envelopes a day.
I go to help. Just that, I go there to help. And sometimes it is very hard to get them to even talk to you. They are in denial, they do not want to look at what is happening, In many instances they do not even believe it is happening.
You have to break thru all these terrible things that are going on in their mind.
Lady opens the door. I say to her," I received a notice that you are having a problem with your mortgage holder so I came by to see if I could help."
Her reply, "You Bastard!" I looked at her puzzled and a little hurt. "Who told you? Mom said she would never tell anyone, who told you?"
The look changes on her face. "Well", she says, "You better come in cause if you stand out there in the rain, with a head like yours you are liable to melt!" I walk in the door. She is giggling. Now here is a woman about to end up on the street, yet a little stupid joke making and her over riding fears are in control and she can be helped.
When you hit that door attached to a house in foreclosure. You had better be ready to do almost anything to rectify the situation.
Lend Money, Arrange a refinance, a Second, a hard money snatch loan, a transfer of title, a sale of property, a legal action to straighten out a title, A split of title to cure foreclosure, improve property for sale. And the beat goes on. You must be able to do all of these things and as time goes on there will be more.
You walk a fine line, stay legal and the overiding consideration. Do no harm. Corrections of Cause.
My god I am stealing from Dianetics, yip forgive me Ron Hubbard, I know you stole all this stuff but you sure produced a handy little book with all the good stuff from all the religions.
I hope I have been helpful. I think you have to like people to do this PreForcl really well. It is rewarding and oh yes
Occasionaly very profitable.
Causisticaly Lucius
Lufos and WmGA are both K-REKT!
I use a door-knocking tactic whereby I leave a FedEx Overnite Envelope called a HLP Kit Homeowners Loss-Provention Kit.
It has 2 letters and some information on why theyt should select ME to HELP THEMUNCOVER SOLUTIONS they may Not Be Aware of.
My HeLP Kit has a letter entitled:
"12 Reasons You'll Sleep Better Tonight After Reading This Letter?"
and
"The 5 SECRETS Lenders WON'T Tell Homeowners Facing Foreclosure"
I knock on the door and whenever someone answers I state:
"I wanted to leave the FREE GIFT for the Homeowners ---It's an Emergency Kit to Use When Your Lender WON'T Work With You!"
I Say GOOD-BYE!!!! IMMEDIATELY TURNAROUND and LEAVE
When they ask me to stay and explain I SMILE then point to the envelope and say:
"PLEASE RED IT FIRST and CALL if You NEED ANYTHING!!!"
Make it a point to get in front of people and make sure you are super empathetic and HONEST in your approach and ALWAYS LET THEM SEEK YOU OUT ----NEVER Try to use the Doorknocking as an RE Investor 'Dog & Pony' Show!
Hope this HeLPs!
Derrick Ali
Derrick:
Any chance that you can upload those letters to the documents area or e-mail them to me? It would be greatly appreciated! Thanks.
Brian
Newbie
Hea Derrick
Any chance I cam get a copy of the letters that you send out in your kit. thanks
Hi Derrick,
I too would be interested in your package, for I have been on the recieving end of foreclouser and probley
would welcome this package.
Thanks Jim
Ok, I am curious now! I am getting ready to knock on doors and I am contemplating the best strategy to use. I would also like to be able to obtain these letters, please!
In all my reading, I learned a technique that I may give a shot. I haven't tried it yet, but it appears to not be intimidating at all. It goes a little something like this:
"Hi, my name is Tim, and I'm an investor in the area. Do you know of anyone who may be interested in selling their home?"
At this point they can either let you in on their secret, or tell you no, at which point you leave them marketing material.
Gurus out there, feel free to comment on this approach!
I knock on doors. Went to one property and spoke directly with the owner. After the second meeting. he told me how happy he was that i came and spoke with him personally. He then droped a box of letters on the table, (3 of which were mine) and he said he had no intentions of calling any of these people.
Just like any other field, the aggressive make it down the long road. just somthing to keep in mind.
I can't even get through all the posts, but don't be discouraged. You are not out there knocking to close every deal. I like the animal reference, but we use the cockroach analogy. I was at a house in september. I knocked on the door, and could hear the home owner talking on the phone. She said "hold on, someone's at the door". That was the last thing I heard. Once she saw that we were not friends, she scurried away somewhere "like a cochroach"
That night her husband called back, and we came to an agreement. 60k later, I am happy.
The point is to be persistent. Knocking on doors is the best way. try to have a conversation. Ask them a qustion like "have a lot of people been bothering you at your home? would you mind if I made an offer to you to buy your home...people are getting top dollar right now? I know it is a bit strange to have a stranger knocking on your door, may I contact yu by phone to set up an appointment. I am available tomorrow? when they say i have a plan/solution, explain that most people do...you are going to be there back up plan. It makes sense to have a backup plan right? I thought i was doing it wrong too, until I got my first deal.
[addsig]
I like nlsecor idea of being a back up plan. When I first started out I would have people tell me they took care of it, and I would wish them the best of luck,
then I would sit in my car and tell myself,
you should have given them your info. on how you could help them as a back up
plan anyway, so I started doing that as standard procedure. We are kind of like cops and fireman. You can sit with them for hours and they can tell you story after story on how each call is different. That is how knocking on doors is. Each is its own different experience. There is no perfect technique. Its trail and error..But, if this is your niche
KEEP ON U KNOCKIN!!