2nd wave of letters

2nd wave is Lumpy Letters.

Monday 2 September 2011 I mailed out 82 letters to people I have already mail 103 letters to.  I removed some properties that already responded.  I also noticed that some properties I sent letters to had a low retail value so I choose to no longer send letters to those properties.

This batch of letters were hand written without the people names on them.  I then photo copied them.  Each one looks hand written and just not yet personalized.   So at this point I have a stack of letters that do not have Antone's names on them and also a stack envelopes with just the return address on them.  

I went through my updated lists and added the persons name to the letter to make it personalized for them.  I added there address to the envelope and closed the envelope with the letter AND a piece of candy in it.  A piece for each person who was on deed. 

When they receive it, the letter is Lumpy.  They are thinking, What the Balloons?  They open it just to find out whats going on.  Once they open it they are more likely to read the letter.

As you can see in the picture the letters are not flat.  There is candy in them.  The candy should my a hard and not messy like chocolate.  M&Ms in letter is a bad idea.  Big Bags of M&Ms in Boxes of Care packages for people you love is a very good idea.  Why?  Lettuce is Perishable.  Back to Lumpy mail, with like hard Butterscotch or Werthers will work.  Cheaper is better for your wallet. 



Course I put some cool stamps at got at the post office. I recommend highly colorful stamps

I mailed them Monday morning and got the 1st call Tuesday Afternoon.  2nd call was Thursday so far I'm at about a 2% response rate which is OK. 

Some of the feedback is that some of the home owners are getting lots of letters.  They called me means they are reading my letters.

Post comments about what your doing and whats working for you.

HOW I created My Yellow Letter

What is the success behind the Yellow Letter? It’s that it’s hand written.

Why do people don’t like the Yellow Letter? It’s that it’s hand written.

You could higher the letter writing out, it just cost some money. For some that’s a good choice. For others just starting out this may not be an option. Remember that the letter and the envelope hand writing should match. So if you higher this out make sure that the same person who is writing the letter also writes the envelope.

Use dark blue pens.  I prefer Gel Pens.  Use a good quality Blue Gel Pen.  Try a few out in the store.  get something that is bright and easy to read.

At first I had the name and address ready as I wrote each letter. SO I would add the name and address as I wrote the letter. I found I made many mistakes as I wrote the letters. This wasted a lot of time. I also wasted a lot of time looking and making sure the name was right. I sometimes rewrote the same name a few times and thus had to rewrite the same letter.



How can you avoid this? Here is what I learned, follow my simple system.



Just write the generic letter without adding the person’s name and address. Just leave those areas BLANK. You just add them later.



The person writes the entire letter without names or address and continues to just write the letter without names or address. It will speed up the process and will reduce the number of mistakes. The writer gets used to writing the same thing over and over and really doesn’t have to give it their full attention after a while. The writer will get into a flow and their speed increases and they become more accurate. It’s when a person who is changing something constantly that makes the most mistakes. When they are used to writing something is the one that makes the fewest mistakes.



After you have a large stack of letters without people’s names and address on them. THEN you go back and add the homeowners name and address. The writer is then on high alert and pays attention more while doing this. Since the writer is focusing on just the names and addresses that person makes fewer mistakes.



The envelopes you can use the same basic Technique. First just write the return address on the envelope and that is it. Later you can go back and add the names and addresses.



The next step is adding the stamps. The stamps are also very important. It’s easy to get stamps from ATMs, local store or even the stamp machine. The best stamps are the ones behind the counter at the post office. Just ask them to see any interesting stamps they have. They are usually in a book and come in sheets of 20. It attracts people’s attention. Many people collect stamps and will open the envelope and read the letter just to get the stamp.




Final step is mailing the letters.





Andy Carson

321-297-8089

MrDowntownOrlando@yahoo.com

103 letters mailed

I invested over a week HAND writing yellow letters and the envelopes. I made many mistakes and I still got 103 done.

I mailed all 103 out Tuesday (9 Aug 2011) Morning about 8am.

Wednesday afternoon I got my first call. Just about 36 hours. Not a serious seller yet. Would not give me the information I needed to form a good offer.

Thursday I got 2 calls, one to let me know that he was doing a loan modification and if that does not work he will give me a call. The second one was a good candidate. I am working with him now. We will see.

Overall, so far I have a 3% response rate and that’s pretty good on just the first letter. Stay tuned for the next letter.

On Monday 22 Aug 2011 I got a call from another person who wants to sell.  That brings me to 4% responce rate.

On Thursday 25 Aug 2011 I got a call from a REALTOR for the property I mailed to.  I did not realize it was listed.  Sorry, I dont buy properties that are listed unless its a killer deal.  He got my letter from the homeowners.  So they opened it and took action.  So far that brings my responce rate to 5%.  Much better than I expected.

Yellow Letter

In this Dynamic Real Estate Market houses are being bought and sold every day. The question is how do we get the sellers to call us? Yellow letter campaign is one of the most effective ways to market to find houses for sale. Its basically it’s a way to contact owners to see if they want to sell. Yellow Letters is a proven to get some of the best responses from people who need to sell.

The Cutting Edge is the Yellow Letter to find opportunities. It is mainly used for real estate and it could be used to buy other products also.

It does not matter if the Real Estate Market is going up or down, the Yellow Letter works for you. It’s best to look for owners who NEED to sell.

• Keep the letters personalized. Use the owners names.


• Hand written is best. Does not mean you have to write them. You can hire others to do this. Disable, Retired, Work at Home or even Kids just to name a few. I’m sure you can think of others also.

• Be sure to put you own contact information on your letters. I would prefer that you put mine in your letters. (thanks in advance if you do)

• Be sure the handwriting on letter and envelope are the same. Not two, three or more different styles of handwriting. UNLESS you use it as a gimmick. Like having your child write something like “My Daddy/Mommy wants to buy your house!” or “Mommy/Daddy/Papa buys houses!” In crayon of course.

• Use interesting stamps. Using a stamp machine will drastically lower your response rate. Buy a Roll stamps that EVERYone uses and it does not work. Go to the post office up to the counter and ask to see what kind of stamps they got. Use stamps they normally don’t see.

• The envelope should also be hand addressed. If you use labels or the addresses in window will lower your response rate.

• Keep it Easy, Simple and Cheap.

• Write your letters with a Wicked Punch. Catch their attention and hold their attention. Ya gotta make them to WANT to read your letter. Make them feel that if they don’t call you that they will lose an opportunity. People open mail over the trash. That is the one place you do not want you letter to end up.

• The type and quality of paper is critical.

• The type and quality of ink should be Dark and easy to read. To light and it’s hard to see.

• Create an emotional need to call you.

• Find your nitch.

• Experiment.

• Be Creative.

It’s time to Create your Massively Successful Campaign.

74 Calls.

I have been building a list for last wew weeks.  People who are in foreclosure.   These people NEED TO SELL!   Look for people who NEED TO SELL.  Not people who want to sell.

People who need to dump there property now.  WHen they need to sell you can get great terms and or Price.  You make your money when you buy and collect it when you sell.  People who need to sell want their problem sloved.  Money is not the issue.  Their problem is the issue and when you talk about solving their problems creates the opportunity.

If you call people who just want to sell there is no real reason for them to sell.  They are really focused on getting their price.  They dont have any problems they need solved and they dont need you.

Work with people who need you and really want to sell. 

In just 2 hours I called 74 numbers of people in a destressed sittuation.  THey NEED to sell.  They most likely have money issues.  Most of the numbers I called were disconnected.  Many did not pick up and screening their calls.  I expected both of these.  I talked to one person who is doing a loan Modification.  Wants me to call back in 6 months.

I will call them all again.  I am also planning to mail each address repeatedly.

I will explain the Yello Letter soon. 

Focus on people who need to sell NOW!

Basics of a Successful Call

1) Be Prepared.

         A) Have Notes or Agenda of WHY your calling. Property Information you’re calling about.

         B) Have several Pens Ready and Plenty of Paper.

         C) Be Organized.

         D) Make sure if using a cell phone that it is charged and ready for use.

         E) Be Prepared to TAKE effective NOTES. Date you are calling, Who you talk to, When is best time to talk, Information about people and also the property, WHY they are selling, Financial information about property also when you will be following up with them. ALSO record when you do mailings to property and when next mailing should go out.



2) Talk to the Seller or Buyer on the phone. Not just leaving a Voicemail and waiting for them to call you back. You may have to call seller/buyer several times before you actually talk to them on the phone. Call at different times to get best results.

          A) Call at different times to find best time to call. People may call screening.

          B) Always ask “Is this a good time to talk?” or “Do you have a few moments to talk?”

          C) Always talk to the Decision Maker. Other people may try and blow you off. If Decision maker is not there then ask when is a good time to call to talk to them.



3) Build Rapport. (People have to feel like they trust and like you.)

                                        --WHY you should build rapport?

            A) First Impressions make or break deals.

            B) Everything goes so much smoother.

            C) People Trust People They Like

                                       -- Techniques for building rapport

               A) Mirroring – Understanding and Urgency. Increases your relatability to people.

                          1) Match their Tonality

                                      a) Match their Tonality (Loud or Soft= Match it- If they talk loud - you talk loud)

                                      b) How they Pronounce Words – pronounce them the same

                          2) Follow their rate of speech- They talk fast you talk fast. They talk slow then you

talk slow. IF you talk fast to someone who talks slow they think you’re a slick salesman after their hard earned money. If you talk slow to someone who talks fast then they think you are dumb or stupid. This is why you want to talk at the same speed they do.

                         3) Repeat and Approve.

So simple and often overlooked, it helps everyone in the conversation to prevent miscommunication. Repeat a very brief synopsis of what is said.  This prevents misunderstandings and keeps everyone on the same page.  When they approve, it proves you are listening.

                        4) Body Language - Match their body language

                                   a) Posture/Body Movement: Wait 10-15 seconds, and shift your body to the same as theirs.

                                   b) Gestures: Use same ones they use, when it’s your time talk.

                                   c) Facial Expressions: Match their facial expressions instantly.

                                   d) Shrugs: If they Shrug you shrug instantly.

                                   e) Head Nods: Instantly

                        5) Eye contact – Maintaining eye contact builds trust. The directions of a persons

gaze may indicate to others where their attention lies. It is a non-verbal Communication and in an important sign of confidence. Custom will vary widely from culture to culture. Eye contacts conveys emotional and

social information. Eye contact is also an important part of flirting. Do not get into a staring match. If a gaze is held for long periods of time that it is perceived as a threating gesture.

                        6) Reciprocity –  Giving gifts or doing favors without asking triggers a feeling of Obligation.

                       7) Commonality - Deliberately of finding something in common with the other person in order to build a sense of camaraderie and trust. Shared interests.

                       8) LISTEN and ASK QUESTIONS – be an active listener.

                                 A) Empathize with their situation.

                                 B) Get them talking about themselves and situation.

                      -- Favorite rapport-building topics- (May be visible around office/home/Other)

                          a) Kids/Family                 g) Health                       m) Pets

                          b) Hobbies                       h) Weather                    n) Hope and Dreams

                          c) Their Home                 i)  Holidays                   o) Where they want to Live

                          d) Neighborhood             j) Time of Week/Year                         

                          e) Work                           k) Overall Area, City or State

                          f) Local Sports Teams     l) Marriage


4) Verify Information

            a) Address and the house size (Is same as Public Records? If Different then WHY?)

            b) Lots size and does it have a view (type) What’s behind house?

            c) House condition and anything special about it.

            d) Names on the deed. (all people who must agree and sign for the sale to go through.)

            e) Names of the Mortgage and Mortgage information. (will need a release of information for contacting bank if you have to talk to bank)

            f) Run the Numbers. Does it make sense on paper? Does the deal work? Did you account for variables? Misquotes or Don’t knows of owner? Are you emotionally attached to property? Or is the deal based only on the numbers? Can you buy it for less than your (MAO) Maximum Allowable Offer so you make money?

5) Close the Deal

            a) Explain the deal. (It’s best if you Present 3 offers- All Cash Big discount no terms. – Some cash some terms. -- NO CASH ALL TERMS)

            b) Negotiate the price and terms.

            c) Answer Questions and Overcome Objections

            d) Walk them through the process

6) Set the Appointment

            a) Schedule the SOONEST POSSIABLE TIME to take care of the paperwork.

            b) Offer a choice of times.

7) Sign off with Enthusiasm

           a) Don’t rehash the numbers. Do not go over MAO at any time.

           b) Set Expectations.

           c) Talk about how great this is going to work out for everybody.

           d) Give a Congratulations!

 

Ways to find Real Estate Deals to BUY

 

1) Sphere of Influence- People you know – word of mouth

2) Real Estate Agents- MLS – Multiple Listing Service- Being sold by a REALTOR- Most Banks, Credit Unions, HUD properties, VA Homes are sold on MLS Now.

3) Driving For Dollars- Driving your neighborhoods. Abandoned Properties

4) Calling For Sale Signs

5) Calling for RENT signs- Could be a tired landlord. (Could have more than one property)

6) Other Investors

7) Door Knocking

8) Putting out bandit signs- “I Buy Houses CA$H 321-297-8089” “I sell Homes- 321-297-8089” Could be Code Violation.

9) Property Tax Rolls.

10) Other Investors

11) Flyers

12) Business Cards

13) Car Signs- “I Buy Houses CA$H 321-297-8089”

14) Referrals from past customers

15) Auctions- Risky - learn before how before you buy.

16) Private Lenders- Who want to sell property they have already took back.

17) Buying Bad Paper- Going to a lender and buying their notes that are in or about to go in foreclosure. Could be a Bank, Credit Union, or Private Lender

18) Buying Tax Certificates

19) Buying at Tax Deed Auctions- very risky

20) Mailings to a Farm Area ( a very specific area that you become an expert in and work)

21) Pre Foreclosure – can buy list and market from them

22) Shopper Papers- Penny Saver or Thrifty Nickel - Rare

23) News Paper Ads –For Sale By Owner - Rare

24) News Paper Ads you place stating “I Buy Houses CA$H 321-297-8089” Risky – Best when done for extended time period.

25) Bankruptcy

26) Yard Sales – Many times people are thinking about moving

27) Contractors

28) Attorneys

29) Insurance Agents

30) Insurance Adjusters

31) CPA’s and Accountants or Tax Attorneys

32) Postal People- They knows which ones are empty.

33) Delivery People

34) Title Agents – Know who owns more than one property or who is buying or selling.

35) Small Banks & Credit Unions may talk to you if they think you are a serious buyer.

36) Bails Bonds – People will sell their home to help a family member out of jail.

37) Out of State Owners

38) People who have owned their home longer than 20, 30 or longer years. They probably own it without a mortgage. Owner Financing?

39) Damaged Property – Fire, Hurricane, Sink Holes, Earth Quake or other.

40) Divorce

41) Death - Estate Sales – contact Executor or Heirs

42) Dislocation – People that have to move- Military, Got better job that start in 30 days Need to sell. Want to move badly. Have to stay in contact with them Call them on day 1 and find out when they have to move. Call them near deadline.

43) Tired Landlord - Can Market Directly to this class.

44) INTERNET – Craigslist, Facebook, Twitter, or other.



Andy Carson 321-297-8089 Central Florida



If you know of any others please let me know. Let’s increase this list. You have some great ideas.