Joplin & Springfield Real Estate Investor Association

One of the most important aspects to a marketing campaign is to create a solid mail piece for your business: one that sellers will actually respond to.

Here are the key things to remember when you want to create effective messages:

1. Don’t just explain what you do or what you’re offering;  “touch” your prospective seller with “the dream”, or “the solution” to their problem. You’ll want to touch the basic emotions and the needs of your seller within the body of your letter, whether that is fear, relief, greed, pride, or vanity.
2. Keep it simple. The grammar doesn’t necessarily have to be perfect. You want to reach this person at their comfort level. Keep your letter relaxed, personal and conversational.
3. Use simple language; don’t fill your letter with big words or technical words or “industry jargon” that your seller or your customer might not understand.
4. Don’t make your letter hard on the prospect’s eyes: use paragraphs so that there is a specific break between thoughts and so that the letter just flows better and is more pleasing to the eye.
5. Even though this is a personal letter, I still begin with a powerful headline or first sentence to make sure I have their attention so that they read the rest of my piece.
6. I also list the benefits to the seller of choosing to work with me the investor, as opposed to perhaps listing their home or trying to sell it themselves. You have ... Read More…

“Like mothers, taxes are often misunderstood, but seldom forgotten.” - George Bramwell

Who doesn’t love extra cash? These days, a lot of people need to work more to make it. Call them hustles, gigs, second jobs, or part-time on the side… They all amount to additional employment for a few extra bucks. 

Extra bucks for Uncle Sam, too, in the form of taxes. The government wants those dollars – and sure isn’t shy about coming after them with new rules and new powers of enforcement.

Here’s how to protect yourself. 

New tax and reporting

Almost half of working Americans – some 70 million people – report having a side hustle; tens of millions more want to get one. Lots of extra cash flying around? Not really: A lot of respondents to a recent survey said they make only a couple hundred bucks a month from a side job. 

Too bad there are 12 months in the year. 

Starting in 2022, IRS rules require reporting income for some transactions of just 600 dollars (way, way down from previous levels). The American Rescue Plan Act of 2021 made sure you’re going to get an IRS Form 1099-K if you sold goods or services via platforms like eBay, Etsy, and Uber and if that platform used third-party transaction networks such as PayPal. 

Technically, there was always a good chance you’d get a tax form (and have to declare as income) money that you received for work, no matter how small. This new rul ... Read More…

 Getting money from private lenders is surprisingly easy, once you understand how to find and talk to them, but there’s another very important aspect of private money that touches on legal issues that you need to know about. Let’s go over a few of the basics of how to handle private money right, once you get it:

1. Touching the Money.
2. Co-mingling funds.
3. When do the payments start and end?

1. Touching the Money

Sometimes when people hear the kind of interest I pay, they get so excited about loaning me money that they want to hand me a big check right on the spot. This is not the correct or legal way to handle the situation.

I know that some of you are so eager to launch this new phase of growing your business that you really want to grab that first check, but don’t do it.

Here is why: you have promised the lender that the money is secured by real estate. So, legally, you shouldn’t be in possession of unsecured money. Until there’s a deed ready to secure it against, don’t hold it, don’t put it in your bank account—don’t touch it at all.

This is the correct procedure: have a quick meeting of the minds with the private lender, and then when you have a deal ready to close, have your attorney prepare the mortgage and note, sign it, and send it to the title company that is closing the deal, and have your lender wire their money to the closing agent for closing. Nice, neat paper trail and well-informed lenders.

2. Co-m ... Read More…

We all know that developing an effective marketing strategy is essential to getting any business off the ground, especially as we roll into this changing market.

Educating yourself and discovering how to locate and motivate potential sellers to contact you is a must in making your real estate business a success. You must be able to locate prospects who want to do business with you.

You must find the sellers who need to sell, not just want to sell their properties. This is essential to your success as a real estate investor in any market, but will also determine how your next 12-18 months look: will you get lots of good deals in this softer market, or waste the opportunity?

Know this: marketing is also a numbers game. The more leads that come in, the more opportunities you will have to make deals. You won’t buy every deal that comes your way, but when you develop a “marketing machine” that brings in quality leads, you will be able to pick and choose the deals you want to do.

Let’s talk about QUALITY leads. You cannot afford to waste your money-making time on unqualified leads! Using a shotgun approach such as signage, business cards or generic letters will bring in a lot of leads, but very few of them will be qualified, motivated sellers.

Using a highly targeted approach to locate motivated sellers will bring in fewer leads, but they will be much more highly qualified leads and bring you a much higher number of profitabl ... Read More…

I have 3 truths to share with you.

1. You cannot compete with Big Brand Marketing
2. You shouldn’t even try.
3. You can do it better and see greater results for less effort (truly)

Stick around, this entire article centers around why your brand is NOT the first stop on the lead generation line, but, rather, what is.

If you follow this approach, known as lead generation marketing or direct response marketing, you will crush the big boys without a big marketing budget and flood your business with motivated sellers, qualified buyers, renters, and lenders without sacrificing your time and sanity.

Before we get into the how’s, I want you to understand, that marketing isn’t part of the business, marketing is the business.

The success of any business hinges on traffic and conversions. It’s true for every business, but it’s especially critical in real estate.

The only way to generate enough leads so that you have more deals than you can handle is through automation – unless you want to work more, make less, and not enjoy life.

Which we know, you don’t.

So, you have to market.

But maybe you think marketing is expensive?

How do you compete with a $ 46,000-a-month marketing budget? (that’s the monthly marketing budget for one of the nation’s largest home buyers in St. Louis Market alone)

How do you get your slice of the pie, so to speak?

Well, you have to do it differently. The approach that will work for you doesn&r ... Read More…