Census Tract Mailer Pricing

Transcript: 

Jack Butala:                         Jack and Jill, here.

Jill DeWit:                            Hi.

Jack Butala:                         Welcome to the Jack & Jill Show, entertaining real estate investment talk. I'm Jack Butala.

Jill DeWit:                            And, I'm Jill DeWit. Broadcasting from sunny Southern California.

Jack Butala:                         Today, Jill and I talk about census tract mailer pricing. It's how I actually, the cuckoo system that I've devised, to accurately price SFR mailers.

Jill DeWit:                            Is that your legal term? It's the cuckoo way Jack gets this done. But you know what I was gonna say, by the way? I think it's amazing how you do this. I was trying to think about this. I swear, it's like a third science, I think it's a third art, and I think it's a third experience.

What do you think? How'd I do?

Jack Butala:                         I don't know, you know. I mean, thank you for the ...

Jill DeWit:                            Trying to explain it?

Jack Butala:                         I think that's a compliment, and thank you.

Jill DeWit:                            Yeah.

Jack Butala:                         But I'll tell you, it all was derived out of necessity. We just weren't getting the results that we wanted to get for regular pricing. So the way that we priced mail, the way that we priced purchasing land, it's just not appropriate here.

Jill DeWit:                            Sure.

Jack Butala:                         It's a totally different animal. So I'll try to explain it the best I can through this venue.

Jill DeWit:                            Awesome. And I'll try the best to entertain you, so you don't fall asleep during this.

Jack Butala:                         I was just gonna say, that's the thing. I will try as hard as I can to make sure Jill stays awake.

Jill DeWit:                            Yep. There you go.

Jack Butala:                         Before I get into this, though, let's take a question posted by one of our members on the JackJill.com online community. It's free.

Jill DeWit:                            Okay. Joe M. wrote, "Hi all, I've been exporting comps in Redfin and realtor.com, to determine average days on market for vacant lots in a neighborhood. But I have a feeling there's a much faster way. Have you noticed a correlation between how long your vacant lots take to sell in comparison to SFRs average days on market in a specific area? Also, what are some of your favorite sites to reference when determining your next target market? Any insight would be greatly appreciated. Thanks, Joe M."

Jack Butala:                         Joe, this is a perfect question for our topic today.

Jill DeWit:                            Yep.

Jack Butala:                         It's perfect. I use exactly those two websites, Redfin and realtor. And I use it in conjunction with DataTree. We're a licensed provider of DataTree information, which is a ...

Jill DeWit:                            First American Title's ...

Jack Butala:                         It's First American Title's ... yeah ... data company. And it's by leaps and bounds ... I think, some of the best data available.

So when you use a version of days on market here, in this case from Redfin or Realtor. I prefer Redfin for a bunch of reasons. And you meld it with the data that gets collected by the assessor, and then processed by a world class company like First American, you literally, the result is this ... you to remove probably 98% of the risk that you would incur from a real estate investment.

Jill DeWit:                            Exactly. Now you're talking houses.

Jack Butala:                         Yeah, houses only.

Jill DeWit:                            Now, so his question is, does the house stuff apply to land? Do you ever look at that, Jack?