Sales Principles of Press Release Work to Sell Land (CFFL 0212)
Sales Principles of Press Release Work to Sell Land
Jack Butala: Sales Principles of Press Release Work to Sell Land. Every Single month we give away a property for free. It’s super simple to qualify. Two simple steps. Leave us your feedback for this podcast on iTunes and number two, get the free ebook at landacademy.com, you don’t even have to read it. Thanks for listening.
Jack Butala:
Jack Butala from Land Academy. Welcome to our Cash Flow From Land Show. In this episode Jill and I talk about sales principles and press releases and how they work the same way to sell land. Let’s take a question posted by one of our members on successplant.com, our free online community.
Jill DeWit:
Cool. Dee says, “I’m reading an article on Bigger Pockets about how marketing a property that you don’t currently own in your name is considered brokering a real estate, and if you don’t have a real estate license you can a fine and a misdemeanor on your record. Thoughts.” Oh good question, good question. Jack?
Jack Butala:
I’m not an attorney.
Jill DeWit:
Take it away.
Jack Butala:
I think that’s a bunch of malarkey.
Jill DeWit:
I think so too.
Jack Butala:
What he’s referring to is optioning property. We talk about it all the time. Our members do it all the time. I do it all the time. You get a signed agreement. That’s what’s missing here. You get consent from the seller to say, “Yes, you can market my property if it’s not on my behalf.” You’re not representing … Here’s the thing about real estate agents, it’s representation. If you want to represent other people in their real estate transactions get a real estate license. If you want to represent yourself, or your immediate family, or an investor, a private investor you don’t need a license. It’s very common … In Bigger Pockets he mentioned Bigger Pockets … Bigger Pockets is a platform for very new people that want to learn more about real estate. Plus, agents love to make stuff up like this. I’m sure a broker or an agent wrote this.
Jill DeWit:
That’s funny. I know, like a little scare tactic. I’ve seen that. It’s hilarious.
Jack Butala:
Yeah. That’s what it is. Well said; it’s a scare tactic.
Jill DeWit:
You know what my first thoughts are? I want to make a phony website that says, “I can give you an online license today. You just fill this out and pay me 50 bucks and you can do it.” You know I mean?
Jack Butala:
Yeah.
Jill DeWit:
There’s so much phony stuff going out there. You don’t need that.
Jack Butala:
It’s just bad advice.
Jill DeWit:
Totally.
Jack Butala:
The right way to do it is to talk to the seller and say this, “Look, your price is not exactly” … This is the reason that we option property, because they didn’t accept our offer, but it’s a good piece of property. Let’s use a 40 acre property as an example. If we offered $4000 and the seller says, “You know what; I can’t sell it to you for 4. I’ll sell it to you for 6.” We all know it’s worth 8, but 6 is just a little tough to swallow, and we don’t want to outlay the cash. We say, “Look, I’ll option it. I own a ton of property. I’ve got a million buyers. I have a marketing machine in place. I’m going to option the property with you.”
Sometimes you pay them 50 bucks, sometimes not. They sign a little agreement that says they are allowing you to … What you’re doing is you’re optioning to buy the property, and you happen to exercise that option when you find a seller. Are you marketing the property on behalf of the owner? No. You’re marketing it on behalf of yourself. You exercise the option; you buy it and immediately re-sell it. If you are an attorney and you can find something really wrong with this, or if there’s some state that really specifically says you can’t do anything like this, I’d love to hear from you, because everybody wins. It’s all in the representation.
Jill DeWit:
Exactly.
Jack Butala:
If you have a question or you want to be on this show call 800-725-8816. Again, today’s topic, the sales principles of a press release and how they work to sell land and why they’re similar. This is the meat of the show. Press releases, for those of you who are over 30, your version of a press release … I always associate them with publicly traded companies. Each quarter they come out with a press release. They say, “Hey, we bought a company. We sold a company. We’re press releasing this new product that we’re going to release.” Drug companies do it all the time. There’s usually, like in a drug company’s case or a publicly traded company’s case, there’s office buildings full of people that work for the company to make sure these press releases go well.
It’s the same thing. You announce it on every corner of the planet. It’s the same concept when you sell property online. You announce that you have it all over the place and you make a big deal out of it. Throw yourself a parade online and get real excited about it. If you’re not excited about the fact that you have a 40 acre property somewhere that you bought for 4 grand and you’re going to sell it 8, which is still way below market, if you’re not excited about it, no one else is going to be excited. Jill, you know this more than everybody.
Jill DeWit:
You don’t title it “press release,” you just say, “This is it. Hey, just acquired” … I get these emails all the time too and I love these.
Jack Butala:
Me too. I do too.
Jill DeWit:
A lot of it might be a home around here, might be an apartment building around here, might be a piece of commercial dirt across the street from our office. I get them all the time. It’s just a, “Hey, look what I just got. Here’s what we’re selling it for. Here are the details.” That’s it. Like you said, Jack, put it everywhere. You might email it to your group. You put it on your website. It’s in all your social media things. There is photos.
Jack Butala:
There’s a whole list that we go over, the places that you need to announce it. Let’s think of Groupon. Groupon, I don’t use it very often, but when they send an email to me that says, “Based on the stuff that you’ve looked at in the past and what you purchased the past, we think that this stuff that just got listed you might be interested in it.” Man, I open that as fast as I can. That’s what you want. You want to get somebody excited about that.
Are you going to sell a piece of land somebody that has no interest in any way for any reason about owning real estate? No. It’s not a used car dealership. It’s not. You want to reach the people. We haven’t talked about reach in a while. We want to reach the people who want to be reached. They’re out there. There are tons of people. Hey, if they’re interested in tiny houses, they might be interested in land to put it on. If they’re end of the world doomsday preppers, they might be interested in [inaudible 00:06:34] land. If they want to live off the grid, they might … If they’re investors. If they’re people who flip property, they might be interested.
Jill DeWit:
It’s true.
Jack Butala:
You know who’s always interested in the property that goes up for sale?
Jill DeWit:
Me.
Jack Butala:
People who are in the immediate area of the property. The statistics are pretty convincing on that. I talk about it all the time. 40% of the houses that get sold get sold to people that are in the immediate area of that house, or friends and relatives of those people.
Jill DeWit:
I’ve got another one.
Jack Butala:
Yeah.
Jill DeWit:
Based on the political things going on right now there’s a lot of people that probably want to be hidden somewhere. You know what I mean, on their own piece of property.
Jack Butala:
Yeah.
Jill DeWit:
I’m not saying one way or another. I just saying it’s kind of funny all the people talking about moving to Canada.
Jack Butala:
My dad threatens to move to Canada every election.
Jill DeWit:
Right?
Jack Butala:
If this person gets elected I’m moving to Canada. He should be in Canada for 50 years by now.
Jill DeWit:
That’s it. There’s your target market right there. Anybody who’s talking about they’re not happy with anything that’s going on right now in politics, they’re your buyers. There we go. That would be good.
Jack Butala:
Hey, this is the technical 2. It’s 2 minutes of property investment advice from our 15 year, 15,000 transaction experience. I kind of gave it away already. The people who own property near the property that you have for sale are extremely likely to buy it, especially if it’s cheaper than the one that they already own or the 20 that they already own. If you’ve got a piece of property, you’re having a tough time selling it, I don’t know why that would be … Well I do know. Probably because you paid too much.
Jill DeWit:
Exactly.
Jack Butala:
Contact those people. If you follow our methodology you know who owns property around it. That’s what data at your doorstep is. It’s an access to database, every property ownership record in the county, 99% of them. Send them a letter, especially with houses. It works great with houses, and especially if it’s way cheaper than what they paid. Guess what? Most of the time you can see what they paid anyway in some states, not all of them.
Jill DeWit:
That’s very true.
Jack Butala:
If you have any questions, you want to be on this show, call 800-725-8816. Jill, inspire us.
Jill DeWit:
Are you setting a good example for the people in your world? I think like your peers, your employees, your kids. Are you walking around setting a good example of … I think for me it’s important as a business. For me it’s important in everything that Jack and I do. That’s why I wanted talk about that for just a minute today. You and I constantly-
Jack Butala:
I’m think we’re leading by example.
Jill DeWit:
I know we do, but we also keep ourselves in check and make sure that we do. It’s funny because I never feel like I’m veering, but there’s times that I go, “Should I divulge whatever information.” I go, “Oh well, heck yeah,” because that’s who we are. I remind myself like, “Why would you change anything now. Yeah, you are going to share that the information.” That’s just one of the things about you and I is we want to be helpful, and transparent, and truly see everybody succeed, and that really is … Sometimes it’s funny because people don’t believe us I think too. They’re like, “Why are you doing this for free.” I’m like, “Just” … It’s the funniest thing. They almost are a little … [inaudible 00:10:13].
Jack Butala:
What do we do for free?
Jill DeWit:
It’s frustrating, because-
Jack Butala:
You’re so much closer to front … You’re talking about Land Academy, right?
Jill DeWit:
Yeah, Land Academy. Here’s what’s frustrating for me. This is good. There’s so many people out there that charge nickel and dime and charge you for every last little thing.
Jack Butala:
Like an airline.
Jill DeWit:
Okay, like an airline. I’m just saying so many pieces of our … People in our world they used to … They come to us and they’re a little bit hesitant. They’re like, “Why would you do it. You mean you’re not charge me $30,000 and have to pay a $500 application, to hope I can pay you $30,000.” What the heck is that?
Jack Butala:
That is not a professional sales organization like the crap on TV.
Jill DeWit:
No, no, no. We’re doing our thing. We’re doing just fine over here. I don’t need that. That’s not what we’re here about. That’s how is set a good examples.
Jack Butala:
This show and Land Academy, we sell a lot more property because of it. That’s what this is all about, and we’re helping some people. I tell you the initial thought for the company that happened in the shower a couple years ago for me was, “Hey, this is a great way to sell property.” Then it became a little bit altruistic. Not in a bad way, but oh wow incidentally we’re actually really helping a lot of people buy some property. We’re about to release a bunch more programs about how to buy wholesale houses, which Jill and I do all the time, and how to buy your next primary residence for half. Think about how many people that’s going to help. I’m really interested, Jill, people say this all the time?
Jill DeWit:
Oh yeah. They are a little hesitant.
Jack Butala:
What do they think?
Jill DeWit:
I don’t know, like maybe there’s a catch, because there’s always a catch.
Jack Butala:
There’s no catch.
Jill DeWit:
No, no, no. Not in our world, but I’m just saying by the time they get to us people are conditioned that there’s going to be a catch. It frustrates me, and it’s sad.
Jack Butala:
Yeah.
Jill DeWit:
This is one of the things that I tell all of our people, “Set that good example too in your business.” That’s my whole point here. Are you setting a good example in your business, in your world with your employees, in your people? Trust me it’ll pay off.”
Jack Butala:
Yeah, that’s real good advice. You can’t walk around yelling at people and being angry. When I say outsource stuff, I’m making your point. I am a huge fan of outsourcing certain stuff, but you need to learn how to do it first and do it yourself first for a while, and then outsource it within reason.
Jill DeWit:
That’s funniest one for me. How can I teach somebody else to do it if I can’t do it myself? That’s not going to work.
Jack Butala:
There’s certain stuff like, I’ll tell you social media, maybe it’s because of my age or whatever, but there’s-
Jill DeWit:
Jack, you know how it works. No, seriously.
Jack Butala:
We hired a social media expert. I do not know how to do that, and I outsource social media and we’re killing it now because of this guy. That’s the right thing to do.
Jill DeWit:
He did bring a lot of good stuff to that table, but the big picture stuff, you got it. You do. You’re smart. You’ll figure it out.
Jack Butala:
I bring a lot of organization to everything we do. I might not necessarily know about social media, but I know that like everything it has to be consistent, it has to in a calendar, things like that.
Jill DeWit:
You’re 100% right about if you put things in a system too, it’s just easier.
Jack Butala:
Exactly.
Jill DeWit:
As much as I try not to have a system. Oh boy. Don’t ask Jack about my calendar.
Jack Butala:
You know what Jill? Jill’s a pilot. In the back of her head she’s always got a checklist. You’re one of the most organized people. You’re very good at making people think, “Oh man, maybe she’s a little flighty.” That’s not it at all. You’re really not.
Jill DeWit:
Are those blonde roots? No, no, no.
Jack Butala:
You’re extremely organized, but you don’t look like that.
Jill DeWit:
Thank you.
Jack Butala:
It’s awesome actually.
Jill DeWit:
Thank you.
Jack Butala:
That’s very attractive to men, trust me.
Jill DeWit:
Which part? Wait, back up.
Jack Butala:
There’s a lot of stuff that’s attractive about you, but the fact that you’re organized … There’s a lot of women who are just scatterbrained man. I’m telling you. There’s emotions are just hanging out of their nose.
Jill DeWit:
As a woman, I’m here to tell you it’s painful for other women too. Seriously. It is. I’ve had those people and I’m like, “Oh, this could be a great friend,” and you get to know them I’m like, “Oh, no, no, no, no, no.
Jack Butala:
I sold a nursing home early in my career in Wisconsin. I sold it from one religious organization to another religious organization; both nonprofits, but very different religions. It turns out there’s wars over religions and stuff, even now.
Jill DeWit:
Did they know?
Jack Butala:
Yeah, they all knew. It was a good deal. My point to the story is we were sitting in the basement of this … First of all you should never have a sit down closing. That was a [inaudible 00:15:18] mistake.
Jill DeWit:
Was it in a church basement?
Jack Butala:
Yeah dude.
Jill DeWit:
[Like cookies 00:15:23]?
Jack Butala:
Yes. No, it was in the basement of a nursing home.
Jill DeWit:
Oh, I’m sorry. [Inaudible 00:15:28]. I’m so confused.
Jack Butala:
The woman that was involved in the sale of the thing was not a professional. She was part of this religious organization as a volunteer. She had no business being involved in this. We would start down the path to get 1 paragraph, 2 paragraphs done or whatever, in the purchase agreement and she would say, “Oh my gosh, I have to take all this stuff down out of the lobby.” It took 2 weeks. It was a 2 week closing, 8 hours a day.
Jill DeWit:
Oh my gosh. That is hilarious.
Jack Butala:
I never did … Back then we call them FedEx closings. That’s all I did after that. I never got anybody in the same room ever again.
Jill DeWit:
That’s good. Now it’s just a closing.
Jack Butala:
Now it’s just email.
Jill DeWit:
Exactly. [Crosstalk 00:16:22]. Exactly.
Jack Butala:
We do deals now … Maybe that’s part of what happened. Why I just don’t want to talk to … These deals close themselves. We put all the information in there and then they click on a button and pay, and they get a deed.
Jill DeWit:
That ties into my thing.
Jack Butala:
Yeah, exactly.
Jill DeWit:
Maybe it should be this easy. Maybe it can be this easy. Maybe you don’t have to pay a lot of extra stuff if it’s the right whatever.
Jack Butala:
Right.
Jill DeWit:
Thank you. I’ll get off my soapbox now.
Jack Butala:
What is this supposed to be about, this show? Oh, press releases. We covered it.
Jill DeWit:
What, huh?
Jack Butala:
To wrap it all up; public companies are experts at how they release information. It keeps their stock healthy. You can learn a lot about sales from press releases.
Join us in another episode where Jack and Jill discuss how to use information, that’s me.
Jill DeWit:
And inspiration, that’s me.
Jack Butala:
To get just about anything you want.
Jill DeWit:
We use it every day to buy property for half of what it’s worth and sell it immediately.
Jack Butala:
When I’m not interrupting Jill, I try to get there first. Good show Jill.
Jill DeWit:
Thank you. This is good. I like that.
Jack Butala:
Yeah.
Jill DeWit:
I’m trying imagine this; you sitting in the basement [crosstalk 00:17:47] what the heck. That is funny. That’s good stuff.
Jack Butala:
We got that deal done, and the religious organization guy who bought it he became a good client of mine. We bought a lot more facilities. We always joke about that. It’s like, “Man, remember with that deal we had to do this thing and there was that.”
Jill DeWit:
That’s funny.
Jack Butala:
There’s a lot of religious paraphernalia that had to be removed because these religious organizations were very serious. They had to walk around the facility and take all this stuff out, and put all the new stuff in. I’m laughing to myself because the residents didn’t change. It was such a strange deal.
Jill DeWit:
Do you think they noticed?
Jack Butala:
I don’t know. Man, if I was living there I would be like, “What.”
Jill DeWit:
Yeah. Wait, I signed up because I’m this religion and that’s why I’m here, and I felt really good about it. Now we’re what?
Jack Butala:
Yeah.
Jill DeWit:
I can see some people not being onboard with that. I don’t know how to say that. I could see some people feeling uncomfortable with that situation.
Jack Butala:
Whenever goes on in the room it’s their stuff but … It doesn’t matter. That’s not the point. The religious thing is not the point. The point is the person that was closing that deal had no … It could have gone south many, many times. I saved it.
Jill DeWit:
Right. That’s one of those times. Sometimes it’s good that when you are involved, so you made sure it didn’t. That’s good.
Jack Butala:
This day and age, at the first sign of that, I would have said, “You know what, we’re not closing the deal.”
Jill DeWit:
I’m out of here.
Jack Butala:
Yeah.
Jill DeWit:
See you.
Jack Butala:
I got 42 more deals right behind this, and I just don’t care.
Jill DeWit:
That’s what we do now, which is good. We pick the easy ones now and we just go.
Jack Butala:
Right.
Jack and Jill information and inspiration; let’s go buy some property.
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