PART 1
Show up in person and be real.
This lesson is about how we get signed contracts on the properties we walk. There is no clever tactic in here. It is showing up in person, hearing people out, and never letting a contract land in someone's inbox alone.
Trust is the thing that is missing.
Go look at the deals everyone else skipped.
You hear these asking prices and at least one or two pillars of motivation is present. 99% of people will tell you not to waste any time on it. That is my starting point. The activity on a deal like this tells you who has already given up on it.
Meet the seller in person and be straight.
This is theoretical and it is my own opinion, but I think we are in a massive drought with trust in this whole space. You can feel it on this call. The rebooter avatar, someone trying to reboot from a failed attempt or a burned student. The distrust is on the seller side and the investor side.
One of the only ways we have been able to cut through that is by going in person and being real people. This is the maximum amount of money we can pay for it. If you want it, great, we will do it. If that does not work for you, we will try and find you solutions.
There are a thousand advanced tactics you can run. Some basic objections and objection handling matter. But being a real person with empathy for what the seller is going through is really all you need.
And I'm sure that there's, opportunities that we've maybe missed out on for, not having, world class, sales processes and stuff.
Talk way less and hear the whole story.
On this one there were two verified contact numbers and it was two brothers. They inherited the property because their dad passed away. One brother wanted $2.40. The other brother was a lot more reasonable, and they knew they had to get it out because it had been vacant for two years.
Hearing them all out, hearing their whole story, that is what got us this deal. There were a ton of other people trying to get it too. There were no fancy sales tactics. If you are super authentic and real with people, that works.
And one of the brothers was the one who said we want $2.40, but the other brother was a lot more, reasonable.
The skipped deal
Almost everyone said don't waste any time.
Never send the contract alone.
Stay on the phone while they read the contract.
This is the rule I would recommend to everyone. I do not send the contract virtually without being on the phone with them and walking them through it. It is not black magic sales.
That's just, good, like, SOPs and processes, more of what I would say.
Golden rule
I do not send the contract virtually without actually being on the phone with them and walking them through. Anything tied to uncertainty is usually what kills deals.
Bring the contract and sign it in person.
When they get the contract and they do not understand something, that uncertainty is a problem. Sellers will push against anything tied to uncertainty, and that is usually what kills deals. You can be there to walk them through it.
That is also why we take the contract with us and try to actually sign it in person. It is one more piece of the same idea.
also why we actually take the contract with us and try and try and actually sign it in person as well.
BEFORE YOU MOVE ON
PART 2
We don't give numbers over the phone.
This part is about what happens once someone says yes to a visit. I go out, I meet them, and I close in person. The lists keep the volume low enough that I can afford to do that.
Ghosting comes from high pressure.
Go to the property and be a normal person.
We can have a less dialed in sales process, go to the properties, and just be normal people. We still close probably more than most teams that have world class sales teams. I like to go out and meet them and talk to them.
We lead really hard with this, we are local people, real and authentic. We grew up here. Most of the guys went to UT. Putting a name with the face is what keeps the deal together.
File an affidavit only when a seller ghosts you.
What he is asking about is an affidavit to block the sale of a home if the contract were to fall out. We send the contract straight to title and go through that whole process. If someone ghosts us for whatever reason, we file the affidavit and that blocks the sale.
Most of the time it never gets there. The ghosting, and the need to do any of that, usually stems from high pressure sales environments. I think we have had one ever, and that guy was just an asshole.
And high pressure sales environments usually cause a lot of, sellers remorse and things like that, which is what leads to all that.
Track how many walked properties turn into contracts.
Somebody asked for the stat. When we go and walk it, we are closing more than half of them. That is the number this whole setup is built to protect.
We are trying to do way less in terms of volume. Part of the reason I hated pay per lead is you get a lot of lead volume. It is really hard to know what is quality.
Less volume, higher close rates.
Work only your top performing lists.
Coming back to doors per deal, the people sitting on these four lists are already motivated. They have a reason they would want to sell, because they are on my top performing list or my top performing first to market list. If there is anything else stacked on top of it, we know it is super good.
That is what lets us put more energy into going to the property and seeing everything. Our EBITDA is really high because we do not have a lot of overhead. We are not trying to have an army of salespeople. Seven people do all of this, and they are all really good.
Meet the seller in person as fast as you can.
Brynn asked how quickly we get in front of them after the first connection. Fast. Fast as you can. Here is a great example from the one I just showed you.
It reminds her of the listing retail world, where you get that appointment as soon as you can. That is Fortune Builders, an OG education company we were both in. A lot of the core principles I learned came from there, in person and local. I think that side does a lot better with the investing side too.
So when they were like, this person wants a callback at 03:30, we called them and then met them that night.
Virtual is not really easy.
Stop treating the biggest decision as a phone call.
Nationwide and virtual wholesaling work. I am not saying they do not. But it is a really good sales pitch for an expensive education product. It is sexy, and it has the perceived value of being really easy. From someone who has tried it and done a lot of it, I just think that is not true.
We have done it virtually and done it successfully. I almost think we can double our results by getting more in front of people. For most sellers this is one of the biggest decisions they make, and you are trying to do the entire transaction over the phone.
Name the pressure tactics out loud for the seller.
One of the guys on our board told me about this. He walked a property where three other buyers were telling the seller their offer expires at midnight. She called him, freaked out, and said their offer is so much higher.
He told her they are totally full of it, that offer will still be there tomorrow, they are just pressing you. He said we are going to be much lower, but we are local and we know we are going to close. Take the shot with them if you want. She went with him.
we walked this property and this person had three other people that were basically saying Our offer's this and you have by midnight tonight to accept it.
Common enemy
The seller went with the local buyer.
The other three people
- What they tell the sellerAccept by midnight tonight
- What happens after signingProbably wholesale your property
- Who she went withOffers at $1.80 to $1.90
Our guy
- What they tell the sellerThat offer will be there tomorrow
- What happens after signingWe're just gonna close on it
- Who she went with$1.45, and she went with him
Point at the common enemy in your market.
There is a marketing idea called throwing rocks at common enemies, and we use a lot of those tactics. A lot of these people are probably going to wholesale your property. We are just going to close on it, and that is why we can pay you a little bit more.
That is how we approach it from a sales perspective. It is very different than what you will see out there.
BEFORE YOU MOVE ON