Your Buyers List: Why it Matters, and How to Create One that Works (Part II)
In my last post, I explained how important creating a buyers list can be to your success as a real estate investor; along with that I gave you the first three steps for creating your own list. Today, I’m going over the final three steps, which will help you see how the whole plan fits together.
Step 4: Fine-Tune your List
You’ve done the truly hard work of casting a wide net and creating a long list of potential buyers. Now it’s time to edit. Catering to a broad base of potential buyers without knowing how committed, or how ready, each buyer is can be a waste of valuable time and resources. Go over each name on your list carefully. Keep only the serious buyers who have funding at the ready. This may mean going back and doing some additional research. I promise, it’s worth it in the long run.
Keep in mind that while going for the sure thing is wise, it’s also a good idea to keep the names of those who seem lukewarm; keep those who seem interested, but not quite ready to jump into the market, for example, on a separate list. You can check back with them periodically to see if things have changed. And, who knows? You may just stumble on a property that is so ideally suited to them that they won’t be able to pass it up.
Step 5: Get Organized
To streamline your list even further, I recommend separating it into categories. Arranging potential buyers by property type such as condos, single-family homes, commercial buildings, or multi-family homes, and buyers’ requirements such as cash flow rental properties or flips can save you time and money. When you do find a hot deal, rather than pitch it to everyone on your list, you can just skip to those few you know will be most interested.
Step 6: Keep your List Updated
Once you have searched for potential buyers, then compiled and perfected your list, you’re done, right?
I can’t say enough about how important it is to keep your buyers list fresh and updated. An outdated list could mean wasted time trying to work with people who are no longer interested in buying, or with buyers whose needs have changed. It could also mean missing opportunities to match great properties to new potential buyers. This is why it is essential to regularly set aside time to seek out, and evaluate, new potential buyers, as well as to check in to see what’s new with those already on your list.
So with these six steps, you’re well on your way, not just to increasing your business, but to becoming a better wholesaler overall. Maintaining a buyers list will do more than improve and organize your business. Given time, it will help you hone your marketing skills and develop great intuition about potential buyers and their needs. It will also keep you in contact with your buyers, and help you build trust and a good rapport.
With that said, I’ll leave you with a bonus tip: Be sure to stay on radar with your buyers by utilizing your basic marketing techniques such as social media interaction, periodic follow ups via email drips, and regular “snail mail” marketing and connection efforts such as thank you cards, holiday and birthday wishes, as well as steady (but not annoyingly overly-abundant) mailers.