Recently, someone came up to me in one of my real estate investor association meetings that I organize locally and asked me this very question: How do I build a buyer’s list? There are there are two basic strategies that you’re going to use to find real cash buyers in order to build your buyers list. The first strategy you’re going to use is networking. You’ll find out very quickly that if you’re going to be successful in wholesaling real estate, you’ve got to learn to be a great networker by talking to people, letting other people know what you do, and by being able to present yourself professionally.
There are several places you can go to network to find cash buyers. One of those places is an auction. You can go anywhere real estate might be involved, such as a foreclosure auction. The reason for this is there are usually cash buyers at these auctions because in an auction setting, you have to buy a property for cash – you have to have money in place very quickly, typically within 24 hours. Since you have to be a cash buyer to purchase property at an auction, that’s a great place to network and find cash buyers.
Another place you can go is to a Real Estate Investors Association (REIA). If you go to a local real estate investors association in your area, usually there are cash buyers in those meetings. Why? Two reasons: they are there looking for rentals and they’re there networking to find deals.
You can also find buyers at landlords’ associations. In most areas, there are landlords’ associations and of course at that association you will find cash buyers looking to buy properties for cash. This is yet another great place to network to find cash buyers.
So, how do you build your buyers l? The first strategy you can use to build your buyers list is networking. The second strategy you’re going to use is marketing to find buyers and here are some ways to market:
Bandit signs – The first strategy you’re going to use, which I’ve been successful within my business, is bandit signs. If you drive around your area, you won’t have to go very far until you see signs that say, “3 bedrooms, 3 bath, $40,000 cash,” or whatever the wholesale price point is in your area. Those signs are from wholesalers looking to find cash buyers for their properties. You can use the same strategy that they’re using to build your buyers list.
Direct mail: You can buy a list of people who buy properties for cash in your local area and send them a letter in the mail letting them know that you have properties at wholesale prices in the area that they’re interested in. You can either provide a web address where they put their information in, allowing you to collect leads and you can have them added to your buyer’s list or you can provide a phone number so they can give you a call. So, using use direct mail is a very effective way to attract cash buyers.
Yet another way to build your buyers list is by using Craigslist. Cash buyers regularly scan Craigslist and a lot of investors systematically scan Craigslist looking for good real estate deals that can buy for cash. Also, other wholesalers usually have properties listed on Craigslist and you can do the same thing.
Remember, there are three basic strategies to build your buyers list: networking and marketing. I guarantee if you put these strategies to use in your business, you’ll have real cash buyers to purchase your properties very quickly.
Thanks for taking the time to learn how to learn about strategies that will help build your buyers list. If you’d like to learn more, check out my free video series, where I’ll show you how to go from Zero to $25,000 in 14 days flipping houses.