Turning a Hateful Mailer Response into a Seven Digit Deal (LA 1829)

Transcript:

Steven Jack Butala:

Steve and Jill here.

Jill K DeWit:

Hello.

Steven Jack Butala:

Welcome to the Land Academy show, entertaining land investment talk. I'm Steven Jack Butala.

Jill K DeWit:

And I'm Jill DeWitt, broadcasting from the Valley of the Sun.

Steven Jack Butala:

Today, Jill and I talk about turning a hateful mailer response into a seven digit real estate deal.

Jill K DeWit:

Which happens all the time, by the way. Isn't that kind of funny? You know what it's interesting? It really depends on how you look at these. We are doing some deals with a certain... I know we're going to talk about later this week, too. We have many partners out there, not just our partners, but we partner with other people and do deals with them, usually through deal funding, but sometimes other ways. But the point is, this other individual thinks like we think, where he's like, "I'm not afraid of hate. What's so bad?" He's like, "We call it the hate. It's not that big of a deal." It's really how you look at it. It was not a hell, yes response. That's kind of an it. It was a no way response. And then we turn it around.

Steven Jack Butala:

Here's the typical anatomy of responses that you get to a mailer. So you send out 10,000 units, you do all your homework, you price it right, do the stuff that we teach in Land Academy 3.0, you send a mailer out, and you wait two weeks for the mail to hit, between one and two weeks. And you start to get, in the beginning, some pretty angry people that immediately open the envelope, they're real unhappy with the price or some version of it, and they call, which I don't understand, but they call and tell you about it.

Jill K DeWit:

Right as they're walking. You can tell they're literally walking with the letter in their hand back from their mailbox. It's the funniest thing.

Steven Jack Butala:

And then as the mailer progresses... So that's the first week. As the mailer progresses, there's a little bit of a quiet period where some people call back and say, "Yeah, I actually really do want to sell my property to you. Maybe for a different price, but we're in the ballpark." And then the third and final phase of the reception of the mailer is back to the sender, which is us, "Yeah. I think I'm just going to... What do I do next? I do want to sell my property. I talked to my husband or I talked to my wife and that's it. I'm ready to go." So you get all that angry stuff up front, then there's some mediocre negotiation. And then at the end you just buy a bunch of real estate. Most of the time, if you do everything right. Jill has a real specific case study on this episode where she's going to take us step by step through what happened with this particular seller and now we're doing the deal.

Jill K DeWit:

Cool.

Steven Jack Butala:

Before we get into it, let's take a question posted by one of our members on the landinvestors.com online community. It's free. And I hope you can now log onto parcelfact.com and see all the improvements that we made in combining two separate sites that we had, where you can do phase one due diligence. It's all now in a nifty little package. And honestly, I don't have to manage two sites anymore. I only have to manage one great one.

Jill K DeWit:

Exactly.

Steven Jack Butala:

Check it out. Parcelfact.com.

Jill K DeWit:

I like to say the test worked.

Steven Jack Butala:

We did a split test and decided they're better together.

Jill K DeWit:

We did a split test and we picked the best one. Exactly. It's great. Aaron wrote, "I'm double closing on a rural 10 acre property in blank state. Is there any reason I should pay for title insurance? It's a simultaneous close, so I won't own it for any period of time. And the end buyer will be getting title insurance." I'm guessing at a later date. "I figured I could save a few bucks, but not sure if that may expose me to something. For example,