How did you find that deal? That is the number one question I am asked by other investors at my real estate investing seminars whenever I go through different real estate deal case studies. If you are an experienced real estate investor you can probably relate to this statement. The answer is the "Real Secret" to the business. Unfortunately, most real estate guru’s only touch on the importance of finding deals. Touching on the importance of marketing is not enough. YOU MUST SERIOUSLY FONDLE THIS ISSUE! Most of these so called real estate guru’s will give you ideas of how to find deals, but ideas are not enough! I have seen many entrepreneurs fail who have had good ideas. What investors really need is to understand the importance of marketing and marketing systems. Marketing is your business and marketing systems are what bring your deals consistently!
The most successful real estate investors have dedicated their time to learning the details of their business. These people have usually sacrificed numerous weekend vacations and instead spent the time learning more about their business. These elite investors understand that successful marketing takes hard work, continual follow up, and a thorough knowledge of marketing. In this game the most informed players always win and the more you know about the subject the more money you will make.
The top-tier of investors, who are buying 50-100 houses a year, are continually learning, testing, and improving their marketing campaigns.
You are now a systems producing machine! Congratulations I have given you the highest possible compliment one business person can give another business person. You see, the best marketers are systems-oriented people. They understand ideas are only so valuable and without a system you can not leverage and execute an idea consistently. For example, I can give you an idea of how to find real estate deals below market value by telling you to mail people who have recently inherited properties. However, if I don’t show you how to get the data, create a list, and design a system you can outsource then I have not helped you. In fact, I have only confused you and frustrated you which can lead to burnouts and increased male pattern baldness! Developing the systems behind your marketing is the most important thing you can do. Without systems you will continually be short on time and short on quality leads.
Ideas mean nothing to you now unless you can build a system for implementing them. Death to ideas! Your new favorite word is Business Process Automation or BPA for short. (No not T&A… Paul). All businesses are made up of a series of processes which can be automated. For example if you ever had the pleasure of visiting our office you would see that we have a system and checklist for everything. From our sixteen different marketing systems that get our marketing out into the marketplace, to our deal analysis and due-diligence systems, to our rehabbing systems that run our projects, and finally down to the way we market our properties. Everything is a system run by different individuals trained on running that part of the business. These systems are what allow me to travel the country speaking without having to worry about my business producing revenue.
If you don’t understand the importance of systems, you need to rip up this article right now and pick up the book entitled "The E-Myth" by Michael Gerber. The E-Myth, or Entrepreneurial Myth as Gerber laments, is single handedly the best book on how to systemize and run a business effectively. The book does not specifically talk about developing real estate marketing systems, however it does have specific case studies of how some of the most successful business owners use systems within their business. Last time I checked, Howard Schultz the founder of Starbucks, did not serve you your morning "3 Pump Grande Vanilla Latte." One of his employees did. One of his employees who was working the systems he spent years building.
This idea can be directly applied to your real estate business. If you don’t have marketing systems to get motivated sellers calling you every day then you will struggle to find any good real estate deals. Likewise, if you don’t have marketing systems you can outsource to others then you will never be able to remove yourself from your business.
Than Merrill, CEO of FortuneBuilders, INC and CT Homes, LLC is currently a full time real estate investor, speaker, and one of the most successful investors in the nation. He is also the star of A&E’s hit TV show "Flip this House." In the past few years his company has bought and sold over 350 properties across the nation. Than’s clients are some of the most successful investors around the country as a result of the cutting edge marketing and wholesaling systems he has developed. Than is a graduate of Yale University and he currently resides in New Haven, CT. After college, he played in the NFL with the Chicago Bears and Tampa Bay Buccaneers before moving on to real estate development.Than Merrill is a regular guest speaker at CT REIA. Go here for the current list of upcoming real estate investing seminars in Connecticut.
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