Complimenting Data Results with Offers to Owners (1027)
Steven Butala: Steve and Jill here.
Jill DeWit: Hi.
Steven Butala: Welcome to the Land Academy Show, entertaining land investment talk. I’m Steven Jack Butala.
Jill DeWit: And I’m Jill DeWit, broadcasting from sunny southern California.
Steven Butala: Today, Jill and I talk about complementing the data that we’ve been talking about and the data results with sending offers to owners. All of this data discussion this week and all this data analysis, which everybody in this group loves so much, me included, is for nothing if you don’t actually get an offer campaign into the mail.
Jill DeWit: If you don’t use it, basically. That’s [crosstalk 00:00:42]-
Steven Butala: If you don’t use it.
Jill DeWit: That’s right everyone. You have all this data. What are you going to do with it now?
Steven Butala: It’s like getting a PhD in whatever and then just going to work at McDonald’s.
Jill DeWit: Right? We know people that have done that, right?
Steven Butala: Yeah.
Jill DeWit: Oh, gosh.
Steven Butala: For whatever reason, that’s just their own-
Jill DeWit: It’s true.
Steven Butala: I don’t know.
Jill DeWit: That happens.
Steven Butala: Hey, before we get into it, let’s take a question posted by one of our members on the landinvestors.com online community. It’s free.
Jill DeWit: John asks, “I just tried to get the new RealQuest to get data and it tops out at 1,000 units. I reviewed and re-watched Steve’s video, but I can’t find an option to request more. Has anyone else had this problem?” This is good. There’s a little buoy. This comes up before. I’m going to answer some of the responses here and then I’ll save a little bit more too on [inaudible 00:01:31].
Steven Butala: This is an extremely popular question.
Jill DeWit: Yeah. Kevin, one of our moderators responds. He says, “Hello John, this is a common question. Log on to RealQuest Pro and click on the upper right hand corner. Click on preferences. In the box about halfway down you’ll see a maximum number of records to retrieve per search. Type in the number that you want up to 25,000. I have mine at 25,000 all the time.” Here’s the reason why. When you’re going and downloading the data, that’s when the clock starts ticking if you will. The records that you pull, what you’re charged for per line. We cap it at 1,000 so you don’t accidentally as you’re playing around and you’re learning, and you’re new, and you’re just in RealQuest Pro for the first time, we don’t want you to accidentally download way too much data and then be stuck paying for it. So that’s why we cap it as 1,000.
Jill DeWit: Then we know too, when we know you’re in there, you can get in the back end of that and alter it. You’re learning it and you know what you’re doing and you can change it to the level that you want. Some people put it at 5,000, some people put it at 10,000. And like Kevin, just leaves it at 25,000 because he just wants to be able to pull whatever he wants. He knows how to do the math when he’s doing it and what he’s going to get charged. What I was going to say too is, if you go to your new member guide, it’s explained there, and then also on landacademy.com, on the little buoy in the, I think it’s the bottom right, but there’s a little help buoy you can put in there.
Steven Butala: There’s a buoy everywhere.
Jill DeWit: RealQuest records and the information will pop right up for you.
Steven Butala: Here’s an interesting fact and it’s not fun. If you’re a Data Tree user, if you’re a member of House Academy, one of our other companies and you buy and sell houses, the data cap’s at 10,000.
Jill DeWit: For Data Tree?
Steven Butala: For Data Tree, not for RealQuest. It’s a different data set. We’re also licensed providers there, but here’s the irony. House mailers are way larger than land mailers generally, but it’s capped at half so you really have to start breaking it down by zip codes and all kinds of stuff. Here’s the good news, it forces you to look at that data in that zip code, and it really actually ends up in the end, yields better acquisition results. These huge data sets, pulling them down all at once, unless you’re really good at it, it can get messy.
Jill DeWit: Right, I like that way of looking at it. That’s good, yeah.
Steven Butala: Today’s topic, complementing data results, like we just talked about, by sending offers to owners. Sending offers in the mail to owners. This is the meat of the show. If you spend the time and energy to get a perfect data set or a great data set of owners and you scrub out all the stuff, prove people that you know what, send offers to like the federal government, or First American Title, and all kinds of stuff that gets lopped into a data set. You price it perfectly and then you sit there and stare at that spreadsheet and it’s your masterpiece. You’ve been working on it for two weeks because you’re new, and you’re sitting there saying to yourself, “What if I did something wrong?”
Jill DeWit: Right, “Maybe I should review it again.”
Steven Butala: Then two weeks go by, and then two weeks go by. I’m the first one to say, this happens to me even now. To this day, I just sent out a 21,000 unit mailer in a subdivision in Arizona for houses working with a real specific set of BOG. If you watched our show last week, we had them on the show, on the House Academy Show. I still get that feeling before I send it to 020. We own 020. I’ve sent probably tens of millions of offers in my career, and I still have that little twinge that says, “Man, I wonder if I missed something.” So all this data analysis, you have to have some [huevos 00:05:21].”
Jill DeWit: Well how did you get past it Steve, seriously?
Steven Butala: I’m not passed it.
Jill DeWit: Oh.
Steven Butala: That’s my whole point. It’s very natural and normal for as long as your career goes on. This is the kind of stuff we talked about at the live event, and I went around the room last year and I said, “Who gets nervous about is this mailer going to fail?” And every single person … These are people who make six and seven digits a month buying and selling real estate and they still have jitters. I would assume that the most famous rock band on the planet, they have a little bit of jitters getting on the stage.
Jill DeWit: Maybe.
Steven Butala: Unless your Jill.
Jill DeWit: I don’t.
Steven Butala: No version of stage fright. You’re the only person I’ve ever-
Jill DeWit: Thank you. I don’t get fearful here, but let me tell you why and here’s my trick here. If you are this person, you are getting hung up, you’re a little bit nervous, I’m here to tell you. You can recover. Whatever it is, you can recover from it. What if you priced them all too high and every single person calls you back, signs away, and sends them all in? You’re like, “Uh oh, what just happened?”
Steven Butala: Can you imagine?
Jill DeWit: I’m sure people have done versions of that.
Steven Butala: I have. I’ve overpriced a mailer.
Jill DeWit: I’m like oh shoot.
Steven Butala: I’ve done a version of that.
Jill DeWit: Everybody wants [crosstalk 00:06:39] to sell. Like, “What have I done?” You know what? You can recover. It’s okay to … Start going through them just like you normally would, doing your due diligence. Pick out the best ones and I almost think this is an easier problem to have too when you go back and go, “Look, I know I offered X, but have you seen this property lately? Here’s some of the comps in the area and here’s why. I sincerely apologize. I accidentally priced a little too high. I can offer you this, and if it doesn’t work for you, I totally understand. I don’t want to offend you. I wish you all the best.” And you know what? They know they want to sell and if you come out really nice and sincere and you can really back it up and go, “Look, I thought it was on the road, it’s not. It’s way over here.” Or whatever you want to say about it and give them a screenshot or something, say, “When I said 10,000, I kind of meant two.”
Steven Butala: Don’t make a habit of that because it’s just not cool and it’s not ethical.
Jill DeWit: True, you shouldn’t … You’re going to be too busy anyway.
Steven Butala: But if you sent an offer off at $10,000, you made an honest mistake, there’s nothing wrong with going back and saying there’s really no access to this and it’s got this flaw. It’s worth it for $2,000 for me, but that’s about it.
Jill DeWit: “I know you want to sell …” You could even say it this way. “You obviously want to sell and it really wasn’t what I wanted, but …” You could make it seem almost like you’re doing a little bit of a favor like, “Look, if you really want to get rid of it, I will take it off your hands, but I could do it for this.” Then leave it up to them. And if they say no, fine. They might go, “Aww shucks, I was really looking forward too.”
Steven Butala: Half the time, 50% of the time, they’re going to say yes. That’s a real stat from us from a lot of years.
Jill DeWit: Right, so then the other mistake … Okay now you came in way too high. You offered ridiculously low and you have nothing but mad people. What’s funny is this is, I think, and even easier situation to be in because now you’re going, “Okay hold on a moment.” First when you get them to calm down, which I think is funny by the way, the things they come up with. Like, “Okay, I obviously missed a zero or I missed something here. I am so sorry. You do want to sell, yes okay. Let me go back and re-look at this.” Even say, “What do you want for it?” Then you can make a decision there also because you can get surprised sometimes.
Jill DeWit: You may come in too hot and too low, but what they really wanted out of it is not out of the question. They don’t really know what it’s worth and you kind of got them thinking that it’s only worth $500. So when they say, “I want $1,200 for it,” you go, “Actually I would’ve gone up to $2,000 so $1,200 works great for me,” kind of thing. You can recover from that too. And again, it really comes back to listening, calming everybody down, including yourself. Don’t worry about it, you can recover from this. And then being honest. They’re either going to take it or not, and you’re going to move on.
Steven Butala: Either way, there’s another person below that on a list of numbers that you have to call that day from the mail that you sent out. So that’s the whole point to this. All this data and all this high end … There’s no better place to buy and sell land than Land Academy on this planet. There’s not somebody in New York City that’s got a better handle on buying land. This is it right here.
Jill DeWit: More experience.
Steven Butala: This is it.
Jill DeWit: Sorry, this is it right here.
Steven Butala: There’s not a real estate investment trust that’s got an acquisition team that can buy land better than us.
Jill DeWit: It’s true.
Steven Butala: Some of our Land Academy members, many of our Land Academy members, are executive vice presidents for home builders. They realized they were buying farmland to convert into subdivisions. All wrong for the last 40 or 50 years.
Jill DeWit: It’s true.
Steven Butala: So this is it. My point is, all this data and this energy and intelligence that he put in to pricing these mailers and making the data set perfect, is useless unless … You got to get a pair on you and get it in the mail. I’m the first person to say, “I’m going to delay this a day because I’m concerned I made a mistake.” Get another set of eyes on it. Get your 12 year old to look at it and see if they see … Just whatever it takes to get it in the mail. Don’t you think?
Jill DeWit: I do, I do.
Steven Butala: Hey, we know your time’s valuable. Thanks for spending it with us today. Join us next time for the episode called, “Why Aren’t You Rich Yet?”
Jill DeWit: And we answer your questions posted in our online community at landinvestors.com. It is free.
Steven Butala: You are not alone in your real estate ambition.
Jill DeWit: Do you know it’s one of our shows that I didn’t know what we were going to talk about and then it all came together and I’m really glad that you did this show. This was good.
Steven Butala: Okay.
Jill DeWit: Everybody needs to get that little reminder that you’re not alone. We also say you’re not along. You aren’t alone. We’ve been there, we’ve done that. We have our own things that we get hung up on too and we can … That’s why we’re here. We can help you and solve it and get you passed it.
Steven Butala: That’s Jill’s code way of saying, “That was actually a really interesting topic, but the way that you titled it sucked.”
Jill DeWit: And that is true. Wherever you’re watching or wherever you are listening, please subscribe and rate us there. We are Steve and Jill.
Steven Butala: We are Steve and Jill. Information-
Jill DeWit: And inspiration-
Steven Butala: To buy undervalued property.
If you have any questions or comments, please feel free to email me directly at steven@BuWit.com.
The BuWit Family of Companies include:
I would like to think it’s entertaining and informative and in the end profitable.
And finally, don’t forget to subscribe to the show on iTunes.