I worked with a few friends to develop a simple marketing course called the Z-Code. The Z-Code teaches students how to find leads on Zillow, and Zillow leads are free leads, right? Some students have already taken the course and are very enthusiastic about what they learned.
Z-Code questions… what are they? They’re questions that have been asked by students who’ve taken the course. You’ll hear some of the questions over the next few podcast episodes.
This episode deals with the 1 st question: How much profit can I expect to make on a real estate deal? It’s a multifaceted question. What can I make on a wholesale deal? Can I really make money just using Zillow? If Zillow is buying houses itself in my market, is that good or bad for me?
Answering this question is a little hard because it depends so much on how much effort the investor puts in. But let me try.
For wholesaling, my go-to answer is that every deal should bring in at least $10,000. Not everyone agrees with me. Most feel that $5,000 is more realistic, but don’t listen to them.
Your offer determines your profit. If you’re doing it right, you’re in control. Just don’t chase deals with lower profits, and you won’t make lower profits.
Spend your time and structure your offers to make $10,000. Stick to that plan and you’ll make more money with fewer deals.
On a wholesale lease option deal, you need to set a minimum profit target, let’s say $5,000 for an assignment. Again, you have to walk away from some deals.
With Zillow, you’ll have so many leads you can afford to pick your seller instead of the seller picking you. On a sandwich lease option, you need to decide how much equity and how much rent you need to get.
When talking to sellers, you set the terms and the terms determine the profit. If you allow the seller to set the terms, you’ve already lost.
This is not terribly different from my standard advice regarding tactics. What’s different is the ease of getting leads you can market to. You need to talk to 5 sellers a day and make at least 3 offers a day.
Set this up as a routine instead of wondering what to do every day. You can control how much marketing you do. You can control how many sellers you talk to every day. Be consistent and follow up.
To find out more about the course, go to zcodejoe.com.
Listen and learn:
- Hear about Joe’s new course that teaches students how to find leads on Zillow.
- The episode deals with the first question that students ask when they take Z-Code Joe training.
- The first question is primarily about what profits can be made using Zillow for leads.
- The next few podcast episodes will deal with additional questions students have had.
Mentioned in this episode:
- Joe’s podcasts on iTunes: RealEstateInvestingMasteryPodcast
- Joe’s free book: WLOBook.com
- Get Joe’s new course: zcodejoe.com
- Go to iTunes or wherever you access the podcast and leave a review of The Real Estate Mastery Podcast
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