This list is going to contain all the people in your relationship who are looking for investment properties to purchase. These are investors who want properties that they can market to their own particular buyers or to rent out for income. They want properties that they can buy at a low price to get the highest possible return on their investment.
It’s important to resource these buyers from many different places, so becoming active in your community and with local events is key to your growth. On our Cash Maker program we teach our students how to find these buyers and exactly what to tell them when they meet them, so that they can create rapport and a connection with the people they want to do business with. We also teach them the same thing for the sellers they meet along the way.
Attending local business investment clubs and meetings is a great way to connect with others who are in the same industry, and to also understand and learn where the investors are looking for deals, how much are they willing to pay, and what cash are they working with.
Start looking for buyers through realtors. Realtors are an excellent source for your list. Contact realtors in the areas with whom you are familiar and want to do business with, and ask them if they know of any cash buyers that are looking to buy some wholesale deals. If so, get them on yourbuyer’s list so that they can share your inventory with their buyers. Don’t think that realtors will shut you out due to competitive attitudes. We love to work with realtors who have cash buyers. We do clarify with them what the compensation plan is and many times they decide to add their own commission to the price we market the properties at. However you do it is fine but make sure everyone knows what the splits are beforehand to avoid misunderstandings later.
You have probably seen those “We Buy Houses” signs that people have put up on telephone poles, fences, poster boards, etc. There’s a good reason you see them all the time because they are effective and they get these buyers properties. Call every single one of them that you see and ask them whether they are still buying properties, what types of properties they are looking for, and what areas of town they want to buy in. Also inquire if they know of other buyers who are looking for properties in particular areas.
If you have any current buyers or potential buyers, you should ask them for referrals to other buyers they may know of if a property you have is not right for them. Not all buyers are looking for the same types of properties at the same time. Buyers know other buyers who may be looking for other types of properties you have to offer. You might also offer to pay your buyer a referral fee if one of their connections ends up buying a house from you. This is a good incentive to not only sell your properties but to build your list.
Advertising is another way to find buyers for your list. Place an ad on Craigslist or in your local paper, put up a sign or send out flyers, and create ads on Facebook and other social media. Be creative and you may find ways to find buyers that most others haven’t thought of. You want to let buyers know that you have properties they want.
The more buyers you can get on your list, the more opportunities you have of finding the right buyer for any property you acquire.