{"id":1140,"date":"2017-06-02T02:00:40","date_gmt":"2017-06-02T09:00:40","guid":{"rendered":"http:\/\/olddawgsreinetwork.com\/?p=1140"},"modified":"2017-05-31T17:30:21","modified_gmt":"2017-06-01T00:30:21","slug":"106-how-to-use-direct-mail-to-find-great-apartment-deals","status":"publish","type":"post","link":"http:\/\/olddawgsreinetwork.com\/106-how-to-use-direct-mail-to-find-great-apartment-deals\/","title":{"rendered":"106: How to Use Direct Mail to Find Great Apartment Deals"},"content":{"rendered":"

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SHOW NOTES FOR EPISODE\u00a0106 \u2013\u00a0HOW TO USE DIRECT MAIL TO FIND GREAT APARTMENT DEALS<\/h2>\n

One of your goals in finding great properties is to purchase an \u201coff-market\u201d deal significantly below market price.\u00a0 And although most people say brokers are the best source for\u00a0off-market deals, EVERYONE is\u00a0pursuing\u00a0brokers for the same purpose. \u00a0In this episode, Bill explains how direct mail can also be\u00a0a\u00a0powerful strategy for\u00a0finding great off-market deals.<\/p>\n

Introduction<\/h2>\n

Your goal in finding a great property to purchase is to get an \u201coff-market\u201d deal.\u00a0 And although, most people say they find off-market deals or \u201cpocket listings\u201d from their commercial broker, EVERYONE is trying to get their broker contacts to give them their off-market deals.\u00a0 In today\u2019s highly competitive environment, you need to find other sources for these deals.\u00a0 In episode #093 with Michael Becker, entitled \u201cWorking With Brokers and Finding the Best Off-Market Deals,\u201d Michael outlines in great detail how to get those off-market deals from brokers.\u00a0 Also, on my episode May 10th<\/sup> Blog Article entitled \u201c10 Best Ways to Find Great Investment Properties\u201d I share a number of ways you can find off-market deals, of which direct mail is one.<\/p>\n

Direct mail is relatively easy to do, low cost and can be easily targeted.\u00a0 A typical campaign can cost you $1 per letter (sometimes less) and, if done properly, can yield you a 2-5% response.\u00a0 So, for $500 you can mail to 500 highly targeted apartment owners and should get anywhere from 10 to 25 responses.\u00a0 If just one of those responses ends up in a deal, that $500 was a cheap investment.\u00a0 I know people who are just starting and some who have large organization looking for 2-300 unit apartment buildings that do direct mail.<\/p>\n

Now, keep in mind, the larger the apartment asset the more difficult it can be to reach that key decision maker via direct mail, especially if institutional investors are involved, but you still never really know.<\/p>\n

Nonetheless, it is important to have a multi-pronged marketing approach that will cast a big net and include multiple different techniques that might include regular broker calls, craigslist ads, internet searches, driving for dollars\u2026. to find the really great \u201cdiamonds in the rough.\u201d<\/p>\n

Here are the basics of Direct Mail.\u00a0 Keep in mind, with direct mail, results may vary and you need to continually test and track your results.\u00a0 Revise, test and track again.\u00a0 And repeat.\u00a0 Over time, you will eventually find what works well for you.<\/p>\n

You can get people to do all this for you: from your kids or grandkids who want to earn extra money, older people in retirement homes to professional services.\u00a0 Put an ad in craigslist to recruit.\u00a0 Pay 10-12 cents per envelope.<\/p>\n

Who do You Mail to?\u00a0 –\u00a0 Determine Your Target Audience<\/h2>\n