1/ If you're a real estate investor who's having trouble accessing real estate information from the county or your Propstream/Reonomy lists suck or you bought some 'hot leads' & no one on the other end of the line knows what you're talking about
Rejoice!
Let me tell you why👇🧵
2/ RE investors make real money on spreads offered by inefficient markets.
You're willing to rehab a property the other guy wants turnkey? Get paid.
You're offering good housing in a market national investors are afraid to operate in? Get paid
You've got inside info? Get paid.
3/ The fact that buying off-market properties at below-market rates is hard is GOOD!
Embrace it!
Prioritize for it. Learn it. Build tooling & systems around it. Get good at it.
But don't wish it away. Don't wish for a 'magical dashboard where you press a button to get deals'.
4/ If that 'magical dashboard' existed you would not be the one to benefit from this.
A national homebuying compary or PE fund would buy that thing in 30 seconds flat, flood it with capital and buy everything.
You would be left with nothing.
5/ So be happy that it's hard bc 'their hard is your margin'.
Build processes & workflows to buy off-market.
Outcompete other buyers in your market. Learn to use tools. Set everything up & execute.
But be happy it's tough because money's made in those inefficiencies.
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"Jake, so what are these automated and semi-automated direct-to-seller real estate acquisitions systems you keep talking about"?
So let me take a second to address that here:
2/ These systems are some combination of outsourcing, procedures/templates/workflows & technology, stacked together in a way that produces more deals for you to buy.
3/ Of course there's levels to them, so I openly say that most are semi-automated.
The 1st level is to increase outreach volume while making sure that you don't give yourself a new job.
This means, in most cases, setting up outsourced cold calling w/ robust follow-up sequences.
2/If that didn't yield results we append/enrich, meaning we use software like FullContact and others to add work phone numbers, work emails, social media profiles and other points of contact to reach out.
A VA or junior employee will usually do this.
⬇️
3/ Now we send the records we still don't have good numbers for (callers are going through the first two sets & calling all known phone #'s to see if they have a good number. If they don't, those records get recycled back into the original database) to a dedicate skiptracing VA
1/ Want to use LinkedIn to get a lot more residential real estate deals?
Merrill @stillwell gave me permission to use his business as a use case so I'll share the play-by-play of how'd I leverage LinkedIn to buy more properties in Colorado ski towns for luxury redevelopment.
The problem that needs solving, as with most investors, is how to buy more good properties at a good basis on good terms.
3/ Some background re this exercise:
Merrill's amazing. Lots of experience. He really knows what he's doing. He grew up in these mountains.
- I've been here 7 years. I know the area he invests in well enough, but ofc not as well as him.
- We'll use LinkedIn as the sole strategy.
1/ Lots of GPs & brokers say "become the buyer every agent wants to bring deals to".
But brokers bring deals to their favorite 5-20 buyers.
Your chance of becoming a favorite buyer in your market are slim.
Even if you do accomplish it it'll take years + even top brokers churn.
2/ If you're not investing corporate (family office + HNWI) money you chances of out-competing those who are are even smaller.
Plus a broker's interests aren't aligned with yours. They don't make more money by bringing you a better deal so many focus on dumb money.
3/ Work with brokers, but make sure you know it'll take a long time & you might do some deals you don't love just to prove you're a legitimate buyer in your market.
Also, build your own acquisitions strategy and rely on that. You have to have control over your own deal pipeline.