How to use letter campaigns to secure off-market properties

Are you tired of competing with other investors for properties on the open market? Have you ever wondered if there's a secret way to gain access to properties before they're even listed for sale? Well, the secret is out - letter campaigns  ✉

Off-market properties are the key to unlocking hidden gems in the real estate market, these properties are not actively being advertised for sale but may be available for purchase if the right offer is made. This is where the tried and tested method of running a letter campaign comes in. 

Five expert tips on how to use letter campaigns to secure off-market properties

1. Know your target market: Identify the types of properties you're interested in and the geographic area where you want to invest. This will help you narrow down your list of potential property owners to contact.
   
   
2. Write a persuasive (yet personal) letter: Your letter's goal is to convince the property owner to sell to you. Make sure to include information about why you're interested in the property, and any other relevant details that may be of interest to the owner.  
   
   ⚡Feature-tip: We've created templates for you to use as a guide to starting your campaign, best used alongside our helpful off-market guide. 
   
   
3. Use direct mail: While email may be more convenient, it's often less effective at generating a response. Use direct mail to give your letter a personal touch and increase the chances of the property owner responding.
   
   
4. Follow up: If you don't hear back after sending your initial letter, don't give up. Follow up with a phone call or another letter. Persistence is key.
   
   
5. Be prepared to negotiate: If the property owner is interested in selling, you'll need to negotiate the purchase. This may include the price, closing costs, and other terms that are important to both parties. Make sure to consult with a real estate agent or attorney to ensure that the terms of the agreement are fair and protect your interests. 

In our experience, once you've found 100 viable sites that match your search criteria and send out 100 letters to owners with an expression of buying the site, you're likely to receive between 8-15 responses. Don't be disheartened if half of these responses aren't interested, you can always circle back to them as a part of the negotiation stage. 

Want to increase your chances of success even more? Here are five additional tips to take away. 

1. Research the market: Before starting your letter campaign, research the local real estate market to get a sense of current property values and trends. This will help you determine how much to offer for a specific property and whether it's a good investment.
   
   
2. Look for motivated sellers: Motivated sellers are more likely to consider an offer, so try to identify property owners who may be more open to selling their property off-market
   
   
3. Personalise your letter: Instead of sending a generic letter, try to personalise your message to the specific property owner. Mention any unique features of the property or how it fits with your investment goals
   
   
4. Be flexible: Off-market properties can be more difficult to negotiate, as the owner may not have a set asking price. Be prepared to be flexible and be willing to negotiate on terms such as the price, closing costs, and financing
   
   
5. Build relationships: Building relationships with property owners can be key to securing off-market properties. Try to develop a rapport with the owner through your letters and conversations, and show them that you are trustworthy and reliable. 

By following these tips, property developers can increase their chances of securing the best properties or sites through off-market letter campaigns. It may take time and persistence, but with the right approach and a little bit of luck, you may be able to find and negotiate the purchase of an off-market property that meets your investment goals.

Get there, before the competition. 

Don't let your competition beat you to the next hidden gem, start searching for off-market sites with a free trial of Nimbus.