Evening all,
Just wanted to share with you people my first wrap expereince. and seek some advice. I ran an ad in Fridays paper (the main paper for this town is on Friday) and with Steve McK’s help (thanks Steve) it sounded pretty good. I got two calls Friday and one today (Saturday). Not quite the quantity but it’s a start. I phone screened all of them and found that I talk too much. Something to work on. I guess I need to sit down for 1 hour and write a scripted /point form chat guide to aid me. I do find though that I end up just chatting with the prospects about all sorts of stuff and I can feel them relaxing into the conversation. I guess as Steve said it is all about relationships.
This is a wrap where I purchased for 61,200 and the rent for the area is $145-150/week. So I aimed to wrap it for $145/week plus rates/insurance ($30-35/week).The first fellow only had $1000 deposit. While this was a little disappointing he was very open and honest and seemed worthwhile persuing. He is a cotton chipper (seasonal) and his family own the contracts for the area. He said that when it isn’t season he gets around $800/fortnight income (plus alittle cash), in off season most money is from Pension, Dole and Atsic payments. A few times a year though he gets anywhere from 5-15K frm the cotton work. As I said he offered $1000 down now but suggested at christmas he would be able to put a further $3-5K down. Interested me as maybe I could make that part of the contract. He also said that he was keen to pay it out as fast as possible and would he be able to use the FHOG (in a years time – Qld rules) to pay a two years worth of rates and give the rest to me ? mmmmm. Didn’t have to think long there. Anyway sent him all lthe stuff (intro, FAQ’s and an application form) and we will see.
The second person was a lady. She was also very keen and when she heard where the property was she said that her husband and her had been looking at it when it was for sale and wished they could buy it…ding ding ding. Furthermore hubby works across the back block and across a road (my guess 300 m) she was keen. She said that she could probably scratch together $2500-3500 and that they earn a combined income of $1550/fortnight (hubby $500/week, mum 550/fortnight including $150/fortnight rent assistance). I explained that she would lose her rent assistance and she said that she didn’t care she just wanted a house to live in. Again sent the stuff off to her and we will see.
Wow. I guess this stuff might really work. Hopefully I will hear back from them in the next week or so and take it from there.
What I would love to hear form you guys (non-gender specific) is your thoughts on the deal. This is only number one so any assistance you can offer I would greatly appreciate.
I was thinking of calling them both tomorrow to say that the info is in the mail and had they ahd a chance to drive by the property ?Anyway it is late and I have just finished two night shifts so I had better sleep.
Thanks to Steve for the help so far and all you others I have enjoyed your threads on th forum and have learnt heaps.
Hope this finds you all well
Enjoy
AD
Andrew Deering [:0)]A great deal of talent is lost to the world for want of a little courage. Every day sends to their graves obscure men whose timidity prevented them from making a first effort.
-Sydney SmithEdited by – [email protected] on 25/08/2002 12:08:50 AM
Hey great start Andrew! 2 out of the 3 calls are potential prospects? Our ads have generated 5-6 calls maybe, but none of them qualified. Most are pensioners, or do not have a sufficient deposit. On another note, I’d like to share a story with you all.
I’ve visited every agent in the town where we intend to wrap in, & some of them (the younger ones) have not heard of the concept. However, one was very sceptical, and said it’ll be illegal soon. He claimed to be a witness in a lawsuit between some consumer affairs group & a Doncaster (Melbourne) based company who wrapped to people who simply did not have the capacity to pay, and proceeded to repossess the properties. He did not want to disclose the name though.
A 2nd agent told me a similar story regarding bad press in the area surrounding the concept; he said a company was wrapping in the cheaper towns surrounding the area, buying houses for $25k & wrapping them for $50k. He told me the name of the company, and I suspect both agents are referring to the same mob.
Anyway, fast foward to Friday. One guy responded to my ad. “I’ve got a house I bought on vendor finance, and I want to refinance.” I was a bit surprised, but upon further chatting, he revealed that he did indeed buy a property from the same group that agent #2 told me about. “I bought the house off them for $35k, and recently found out that they only paid $9k for it!” That totally blew me away. And I thought putting a 20% margin on my purchase price was ripping them off!
To a certain extent, I guess we can argue that the company was unethical in their transactions, legal issues aside. However, if you think about it, there’s no way it’s gonna be worth their time if they placed a 20-30% margin on a $9k house! Bottomline though- the bad press may be a big enough reason for the poor response from our ads. Anyone has any further thoughts/stories?
Cheers [
]
WeiWay to go AD [
],It looks like the ball is rolling.
I would be interested to know what type of info you send out to prospects.
Are their any other wrappers currently/previously working in your target area?
Are you planning to do more than a couple of wraps?
Cheers
And
Good luck with your wraps.
wattoCheers
watto
Melb FreestylerHey Watto,
haven’t talked to you for ages…hope all is well. []No body else where this property is but a town of only around 15000 people. At present I am very excited about the posibility of wraps so I am hoping to do a few more than a couple. [
] We’ll see. I have just contracted another property a little closer to home that I am going to try vendor financing as well.As to the info I have used what steve suppllies as my base (on the website http://www.propertyinvesting.com/files/wk.asp?cid=faqhome
I put the fluff around the putside of it. Drop me a line if you want to know more.Enjoy
AD [:0)]
A great deal of talent is lost to the world for want of a little courage. Every day sends to their graves obscure men whose timidity prevented them from making a first effort.
-Sydney Smith
]
]
] We’ll see. I have just contracted another property a little closer to home that I am going to try vendor financing as well.The topic ‘First Wrap……maybe.’ is closed to new replies.
