The most important part of investing in real estate is finding real leads, but you will also find that this is the hardest part. Converting a lead into a good deal is what will eventually lead to profit. Being new in the real estate industry may seem a little overwhelming, and you might be tempted to give up, but the good news is that there are plenty of ways in which you can generate leads. From word of mouth and cold calling to putting up signs and creating a website, there are plenty of ways in which you can find leads for real estate investing.
The main thing to keep in mind is that you should constantly be prospecting for new leads. Dedicating several hours per week to working on your lead generation tactics and finding new ones is very important. Let’s have a look at some of the ways in which you can find real estate investing leads.
Use Bandit Signs
Commonly known as “bandit signs” in the real estate world, yard signs that advertise your business are a very effective way of finding leads. Strategically placing bandit signs in certain areas that you are interested in will lead to more people calling you. However, when using bandit signs, here are some important things to keep in mind:
- The law. Before you start using bandit signs, find out if the laws in the area allow this. Generally, more upscale neighborhoods won’t allow bandit signs. It is not recommended to break this rule, as this will lead to your signs being immediately removed, and you might also be fined.
- The size. It is very important for your bandit signs to be readable by passing cars. Spend more money and get larger signs, because they will be easier to see by those who drive by, and you will have more room for your message.
- The message. Your message should be short and to the point, making it easier and quicker to read. Originality never hurts; it is actually best not to use the same old “we buy” or “we sell” messages, but don’t go overboard, as this may confuse possible leads.
- The placement. Placing signs near stop signs, traffic lights, and gas stations will benefit you more because these are places where people will stop and actually get a chance to read the sign as well as write down your phone number or website.
Use Newspaper and Online Classifieds
The ‘For Sale by Owner’ section is a good place to look in the local newspaper or on a website. By doing this, you can get in touch with people that have been trying to sell their home or property for a while unsuccessfully, which could result in you getting a very good deal. If a classified ad lists a phone number that is out of area, it usually means that the owner might have relocated for his job or personal reasons, and this puts you, as a buyer, at an advantage, because most of these people will want to get rid of their old home as soon as possible.
The ‘For Rent’ section of the newspaper or website will most likely be filled with landlords who want to get rid of their property or properties. This is one of the best places to look for leads, and where you will be most likely to get the best deals.
Use Business Cards and Flyers
You most likely already have business cards, but it’s a good idea to print some flyers as well. Give them out like candy to everyone you interact with, even to people who you meet at the grocery store. Giving out more than one business card is always a good idea, because you never know which one of the persons that you’re giving them to have a friend or family who might become a lead. Another way in which you may generate leads is by posting business cards and flyers in high traffic areas, such as supermarkets, libraries, or post offices.
Use the Internet
One of the best ways to get leads nowadays is through the Internet. Getting leads online is more cost-effective and time efficient than most old ways. Here are a few ways in which you can use the Internet to your advantage:
- Build a website. Building a website is now easier than ever, and almost everyone can do it even without spending a dime. A website can help you reach your audience more easily, and allows them to clearly find out what you are offering. Possible leads can contact you much easier through a contact form or social media.
- Use social media. Not only is social media one of the best ways to reach people today, but it is also mostly free. Use social media websites like Facebook, Twitter or LinkedIn in order to gain leads or develop relationships that may bring in outside leads.
- Online advertising. By using services like Google Adwords or Facebook Advertising you can target very specific groups and demographics.
Use Direct Mail or E-mail Campaigns
If you have some money that you are willing to invest into your business, a good choice is to start a direct mail or e-mail campaign. You will most likely have to invest in an address list or an e-mail list, but you can also get these for free if you are willing to do the work yourself. However, you must make sure that you buy these lists from a reputable seller, because usually, once you buy a list, your money is not refundable.
When looking for real estate investing leads you must keep in mind that every person you meet is a potential lead. If they turn out not to be selling or buying a property, then maybe they have a friend or family member who might be interested. Making a good impression on people and being creative is very important in the real estate industry, so you shouldn’t be afraid to try out new tactics.