excited about L/O but too many competition... - Posted by klee, TX

Posted by klee, TX on April 02, 1999 at 14:22:46:

Exactly, I couldn’t agree with you more. Well, have you had to go around your competition, get there before they do, improve on your ways of beating them to the deal? Could you share some ideas?

Thanks for your input.

excited about L/O but too many competition… - Posted by klee, TX

Posted by klee, TX on April 01, 1999 at 15:57:55:

I recently purchased Ron LeGrand’s L/O course and, after inhaling all his material, got very excited. However, when I was browsing local daily newspaper ad to decide what section to place my lease purchase ad, I found out there are already a lot of people fishing for those motivated sellers who needs debt relief. I tried call some FSBO in the paper only to find out that they already have received a couple of calls who were asking for whether they would have any interest in L/O deal.

For those who are already doing L/O deals frequently, what do you think about this competition issue, and any advices on being ahead of my competition?

Thanks

It’s all about timing. - Posted by DanM(OR)

Posted by DanM(OR) on April 02, 1999 at 10:35:00:

klee,

The competition is doing the groundwork for you. Selling the idea. By the time you get to them they are starting to believe that this is good idea. It’s all about timing.

As Ron Legrand says"A sellers mind will change with time and circumstance". This is key. What the seller needed/wanted is different today than it was yesterday. He/she who is on the other end of the phone the exact minute the seller is ready to sell wins.

Keep at it. Consider your competition your preliminary telemarketers. They are not working against you, but for you.

Best of Success to YOU!

Dan Matejsek

Re: excited about L/O but too many competition… - Posted by RS

Posted by RS on April 02, 1999 at 01:03:49:

I’ve been doing L/Os for a month now and have two observations. I called the other investors running the “I Buy Houses” ads. 80% of them let a machine answer the phone. Callers want immediate gratification. I answer all my calls personally! I forward them to a cell phone when I’m out of the office. My point is, merely answering the phone will put you ahead of 80% of your competition. Secondly, how many of your competitors are following up with return phone calls? Chances are, very few. If you get a “no” today, call back in a couple of weeks. Like Legrand says, all sellers minds will change with time and circumstance.Do these two things and you should be ahead of most of the pack! Good Luck!

Is the competition in EVERY paper? - Posted by raelynn mitchell

Posted by raelynn mitchell on April 02, 1999 at 24:23:10:

One thing I’ve noticed is, a lot of people will target the same newspaper. Maybe there’s more than one paper. Or maybe instead of a newspaper, how about a military base? Now there’s a source of motivated people! If someone gets orders, usually they have 30-60 days to get their act together, get packed, and ship everything off to their next location. And that includes selling their house. One soon-to-retire Master Sargeant I met was buying every house he could find because people would get orders and he would tell them, “Try to sell it. If you don’t have any luck, give me a call a few days before you ship out.” Most of the time by the time they’d call him they just wanted someone to make the payments; didn’t even look to get anything out of it. Every military base has some kind of “local news” publication.

Even in major cities there are papers that only have one or two “I buy houses” ads. What about companies nearby that employ large groups of people? Find out if there’s a way 2 get a flyer on the company bulletin board.

Re: excited about L/O but too many competition… - Posted by Bill Gatten

Posted by Bill Gatten on April 01, 1999 at 21:16:00:

Did you ever hear anyone say: "Nobody ever goes to that restaurant anyomore, because it’s just too crowded?

Nope. The reason you’re running into competition in this arena is because the idea is an excellent one, the market is excellent, and a lot of others just as bright (or nearly so) as you, and just as willing to become wealthy are jumping on to a sure thing.

The difference between those others and you? They don’t know about the competition: 'never heard’a such a thing… just have to get up earlier, that’s all.

If there were NO competion, then you’d have something to worry about. The key word in your post (if you don’t mind me getting personal) is “some.” When you finally get to the point of being able to say, “I called 100 prospects and got nowhere,” then you have a legitimate concern. However, I will personally guarantee you that you will never be able to say those words! And If I’m wrong, I’ll give all your money back (you haven’t given me any, so that shouldn’t cost me much).

Klee, please keep on doin’ exactly what you’re doin’: just do more of it. And remember… your competition now has you to deal with. There are enough properties out there that you can’t buy 'em all any way.

Bill

Re: excited about L/O but too many competition… - Posted by Keith Williams

Posted by Keith Williams on April 01, 1999 at 20:02:43:

You might engage the people who have already been approached by other L/O investors to see exactly what they were offering. You might be able to offer a better deal - (you might not be as “greedy” as some of the other investors - there is a lot of room for profit - for example an equity sharing arrangement). The conversations will make you more at ease talking to sellers in the future. The seller may also prefer your sincerity. Find out what the seller really needs, and work with them to help design solutions. Don’t give up!

Re: excited about L/O but too many competition… - Posted by johnman

Posted by johnman on April 01, 1999 at 16:42:13:

Klee,

Don’t worry about that. Just keep at it. Place your ad. You will get some calls. Those that say that they have received two or three calls about L/O might just ask you to explain exactly how does it work and that just might be the key to getting the property under contract. Don’t get frustrated! You will have to encounter quite a few NOs before the YES comes along. Be persistent! Be patient! It will happen!

Good luck,
Johnman

Re: excited about L/O but too many competition… - Posted by Dave(Mi)

Posted by Dave(Mi) on April 01, 1999 at 16:27:28:

Hey! don’t put all your techniques in one basket! LOL look for other type deals too! wholesaleing rehabs is the bomb! or It seems as though many are having success doing Lonnie deals

Re: It’s all about timing. - Posted by klee,TX

Posted by klee,TX on April 02, 1999 at 14:41:04:

Great suggestion.
Thanks

Good thinking, Dan! - Posted by Michael Murray

Posted by Michael Murray on April 02, 1999 at 10:50:18:

Nice post.

Re: excited about L/O but too many competition… - Posted by klee,TX

Posted by klee,TX on April 02, 1999 at 01:15:29:

Good points.
Thanks.

Re: Is the competition in EVERY paper? - Posted by Matthew Chan

Posted by Matthew Chan on April 02, 1999 at 16:14:15:

Great idea on the military audience! It just proves that creativity is a key to success!

Re: Is the competition in EVERY paper? - Posted by Craig_NOLA

Posted by Craig_NOLA on April 02, 1999 at 12:34:51:

raelynn,

Wow! Thanks for the great idea about military bases. I have a fairly sizable naval base in my area. I’m definitely going to include it in my marketing plan right away.

Craig

Re: Is the competition in EVERY paper? - Posted by klee, TX

Posted by klee, TX on April 02, 1999 at 24:32:42:

What a great idea. I sure will try to look for other medium(while I still try go head to head against my other competitors as Bill STRONGLY suggests) :wink:
Thanks.

Re: excited about L/O but too many competition… - Posted by klee, TX

Posted by klee, TX on April 02, 1999 at 24:26:22:

There is this really great restaurant in my town that if you go there during the lunch hour, you can’t even set your foot in the waiting area. So, what do I do? I go there either before or after those crowded lunch hours or do a take out. There is no sense of fighting for a table if there are ways to go around it. You still get the same great food.
My concern stemed from a realization of number of competitors fighting for those handful or less of those ‘motivated sellers(and FSBO)’ by using the same approach.
I wanted to get some feed back from someone who might have faced with this and found a way to get around it or a way to have a competitive advantage over the others.
After all, when there are competitors competing against you for a limited number of supply, recognizing the existence and devising a game plan to win over them seems to be wiser thing to do.
Whoever was it that said, “Work smart, not work hard.”

Kevin

Re: excited about L/O but too many competition… - Posted by Bill Gatten

Posted by Bill Gatten on April 02, 1999 at 15:08:49:

Kevin,

You got it! That’s what my post was supposed to convey. Get there first and last. Pick up the newspaper at the newspaper office before it hits the street; call from one and two week-old newspapers to get what’s left over after the competion has softened them up for you; develop an opening line, like “I know you’re probably inundated with people calling on your ad with all the creative financing gimmicks in the world…”; begin your presentation with questions like: “Are your getting quite a few calls?” “How much cash are you looking to get out of the property?” “Have you owned it for quite a while?” What’s the neighborhood like?" etc.

What I consistently suggest in selling any new product, is that the first 25-50 calls should be treated soely as an educational process and fact gaterhing mission, to check out what the competition is saying; what the prospects are countering with; what the common objections are; etc.

Good luck.

Bill

Re: excited about L/O but too many competition… - Posted by JohnBoy

Posted by JohnBoy on April 02, 1999 at 12:19:43:

I think you answered your question with your statement here regarding the restaurant.

“There is this really great restaurant in my town that if you go there during the lunch hour, you can’t even set your foot in the waiting area. So, what do I do? I go there either before or after those crowded lunch hours or do a take out. There is no sense of fighting for a table if there are ways to go around it. You still get the same great food.”

So what do you do? Go around the competition, get there before they do, find out what they’re doing and improve on your ways of beating them to the deal.

Re: excited about L/O but too many competition… - Posted by JPiper

Posted by JPiper on April 02, 1999 at 02:01:46:

Take a look at Joe Kaiser’s course on this site…“Targeting the Tired Landlord”…maybe that would work for you.

JPiper