Driving for Dollars
Learn How To Find Distressed Properties (with no $$$ for marketing)
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Driving for Dollars is just another way of saying driving around looking for good deals. When you find them, you make money.
Why should investors drive for dollars?
- affordable way to find deals simply by keeping your eyes open
- Great way to train your eyes to locate the best opportunities
- Great way to get familiar with neighborhood trends - Rental vs. For Sale, are there a lot of vacancies?
- Another way to market for sellers - drop off mailers, or business cards in areas you are investigating
- Minimal competition - because many people use the internet now, which don't show these properties
Where and What to Look For?
- I wouldn't recommend "war zones" - Boarded up windows, high hassle, low returns areas. Tons of vacancies = harder to sell. Look for working class neighborhoods.
- Driving home from work - take a different road every time and look for "signs" of opportunity
- "signs" - only trash can not out, un-kept lawn, HUD Papers on the window, lock box, FSBO signs, mail overflowing, neglect, vacancy, etc...
- Knock on neighbors doors - if you aren't sure if the home is vacant
- Explore adjoining/adjacent neighborhoods from MLS properties your realtor sends you
- Give your business card to the mailman - tell them you have a referral program where you pay $$$.
- Rehab/contractors - great way to build a contact - investors or contractors - see quality of work
What to do with the leads?
- Create a map at home and pinpoint the properties and areas of interest
- Document the amount of time you drove around and number of deals you found - put a value on time spent. Focus on areas with best potential.
- Take the addresses and put them into the county tax assessor website - you will find the owner - either home owner or investment group/bank.
- Use Phone Book - find homeowner
- Do your research, and pull comps for the area
- Create postcards, use direct mail
- Prepare scripts and benefits for when you talk with the homeowner - the "why" they should sell you their house.
Driving for Dollars is a great way to find pockets of real estate that aren't listed to the public. It's a great way to find properties with minimal competition because the average real estate investor does all their research online: google maps, zillow, county tax records, which are all great, but it won't find you the same type of deals when driving around. By dedicating that extra bit of effort, you will gain much more from it. In addition to the deals my realtor sends me, I'm always driving around keeping my eyes open for that next deal.
Why should investors drive for dollars?
- affordable way to find deals simply by keeping your eyes open
- Great way to train your eyes to locate the best opportunities
- Great way to get familiar with neighborhood trends - Rental vs. For Sale, are there a lot of vacancies?
- Another way to market for sellers - drop off mailers, or business cards in areas you are investigating
- Minimal competition - because many people use the internet now, which don't show these properties
Where and What to Look For?
- I wouldn't recommend "war zones" - Boarded up windows, high hassle, low returns areas. Tons of vacancies = harder to sell. Look for working class neighborhoods.
- Driving home from work - take a different road every time and look for "signs" of opportunity
- "signs" - only trash can not out, un-kept lawn, HUD Papers on the window, lock box, FSBO signs, mail overflowing, neglect, vacancy, etc...
- Knock on neighbors doors - if you aren't sure if the home is vacant
- Explore adjoining/adjacent neighborhoods from MLS properties your realtor sends you
- Give your business card to the mailman - tell them you have a referral program where you pay $$$.
- Rehab/contractors - great way to build a contact - investors or contractors - see quality of work
What to do with the leads?
- Create a map at home and pinpoint the properties and areas of interest
- Document the amount of time you drove around and number of deals you found - put a value on time spent. Focus on areas with best potential.
- Take the addresses and put them into the county tax assessor website - you will find the owner - either home owner or investment group/bank.
- Use Phone Book - find homeowner
- Do your research, and pull comps for the area
- Create postcards, use direct mail
- Prepare scripts and benefits for when you talk with the homeowner - the "why" they should sell you their house.
Driving for Dollars is a great way to find pockets of real estate that aren't listed to the public. It's a great way to find properties with minimal competition because the average real estate investor does all their research online: google maps, zillow, county tax records, which are all great, but it won't find you the same type of deals when driving around. By dedicating that extra bit of effort, you will gain much more from it. In addition to the deals my realtor sends me, I'm always driving around keeping my eyes open for that next deal.
Check Out The Driving for Dollars Bible: Finding Distressed Properties and Marketing
BiggerPockets.com-Driving-4-Dollars
