You’ve learned from my previous blog posts that the key to accessing off-market deals is to create relationships with brokers. If you haven’t read those articles, do me a favor and go back and read them now. I’ve provided the links below.
Related: How to Find Off-Market Deals
Related: The Broker Script to Unlock Off-Market Multifamily Deals
If you have already started the process of building your team, contacting brokers using my suggested script, and building rapport with your new connections, you’re on the right track. But at this stage, you might also find that it’s still tough to access consistent deal flow for attractive properties.
Here’s the deal. You’ve GOT to stand out from the other buyers on your broker’s list. How do you make yourself standout to land those coveted off-market deals? I’ve got some insider secrets that I’m excited to share with you today.
Secret #1: Follow-Up
When a broker sends you a deal, it’s critical that you follow-up within 24 hours. Even if the deal is a complete dud, you need to provide a timely response to the broker. You owe it to them (and you) if you are going to be taken seriously as a buyer.
I polled my brokers awhile back and they said that only about 20% of buyers on their list will get back to them when they send out a deal. That’s a staggeringly low percentage! But it plays in your favor. You can be in the top 20% of buyers on that broker’s radar simply by responding. Incredible.
Secret #2: Provide Feedback
When you respond to the broker, give them feedback on the deal they’ve submitted. Don’t just respond with, “thanks, but no thanks”. Give them constructive feedback that will help them to assess the attractiveness of the deal. This also gives them greater insight into what you are looking for as a top buyer on their list.
For example, you can give them specifics about the property itself. Share that you’re really looking for a value add deal, a pitched roof, or a property in a different part of town. Or maybe the price and structure is wrong for you, and you can share why and what would be a better fit.
In any case, responding to a deal call is a great opportunity to share with your broker exactly what you are looking to purchase. They’ll take note and you’ll be top of mind when the right property comes along.
Secret #3: Use Video to Accelerate the Sale
As I grew my nationwide list of brokers, this process of following-up on every proposed deal started to take an insane amount of time. Sometimes up to 4 hours. So, I developed a technique called The 10 Minute Offer to help accelerate the process.
My secret weapon is using video to rocket my way to the top of a broker’s buyer list. Video is a fast way to clearly communicate. It’s easy to setup and surprisingly underutilized by most buyers.
I use a free program called Loom that records whatever is on your screen. I record my analysis and talk through it so the broker can see exactly what I’m looking at on my spreadsheet when they view my video.
Let me show you what this could look like:
This stuff actually works. The broker that I sent this to responded and said:
“This is brilliant! I am going to forward this to my clients. We can jump on a call together to discuss and should have some feedback for you tomorrow, hopefully.”
WHOA. Do you see what happened there? He is going to share my video with the seller to help them understand what the prospective buyer is saying. This means that I’ve helped him add value with his client, all while speeding up the sales process.
A day goes by and I received this follow-up email from the broker:
“We have other offers coming in. My clients were pleased with your presentation and the details in your offer. We anticipate a level of savviness engaging you as a buyer, as opposed to the others who we are in the process of vetting.”
Now, this was back in 2007. I was just getting started and didn’t have a deal to my name. But the fact that I responded to the broker, in a timely manner, using an efficient and unique means of communication really set me apart.
This is the same way that I communicate with my brokers today, and I hope you’ll find that it’s an effective strategy for you, too. Don’t forget to download my free e-book for the The 10 Minute Offer, or check out my video on the topic here:
