Many of you will have heard the famous phrase by Victor Kiam “I loved the product so much I bought the company”.

Well this is truly the case for me…

After years of enthusiastically buying their leads, I am proud
to announce my acquisition of Rapid Property Buyers, the UK’s
favourite lead seller.

I would like to thank all my property friends for their encouragement
and support. Special appreciation must go to Robert Clark,
Christine Or, Paul Leavers, Richard Shepherd, Ramnik Singh,
Cassie Dullea, Hilary Higgins, Gavin Williamson, Chris Cooper and
Darren Hunt. Working amongst such positive and professional
people is very uplifting.

I credit lead buying with a lot of my success in property and have
been a raving fan of buying leads for a long time. Basically as lead
buyers we can outsource all or some of our marketing to experts,
saving time and money in the process.

My goal from the very beginning in property has been “to acquire
and sustain self-financing assets for nothing”. Lead buying allowed
us to complete a large number of fantastic property acquisitions
whilst generating an income from turning leads into deals for
other investors.

So what have I learnt that may help you? How can you profit from
buying leads?

Firstly set a healthy budget to start, I would suggest
£1,000. Like many marketing projects, lead buying is a
numbers game and it is important to look at the overall
project picture rather than the micro outcome of 1 lead. In
other words, do not judge the results on the first or second
lead that you buy, whether the outcome is positive or not.
Instead look at the big picture. Many leads will not work
out or not go anywhere but go through the numbers to find
the gold nugget ones.

Once you have invested time and money into a lead, don’t
give up on it too easily. Research the property thoroughly
and build a relationship with the client. If you are buying
the property, great, and in many cases you will acquire
a self-financing asset for nothing, but how else can you
profit from this lead? How else can you help the client?
There are numerous ways to profit from most leads. I am
sure that you will discover more, but some possibilities
that you can look at include….

• Buying the property using a structured finance scheme.
• Buying the property with deposit (Whether your own capital or borrowed from family, or investors).
• Buying the property for cash (Whether your own capital or borrowed).
• Buying the property with a JV partner using any of the above.
• Buying the property using a Lease Option and Power of Attorney.
• Buying the property using vendor finance, deferred payments or profit sharing with the vendor (perhaps after works).
• Negotiating and agreeing a discounted deal, securing it with exclusivity, arranging a private survey and then selling a Ready Made Deal. Finder’s Fees for Ready Made Deals vary from around £2,000 - £12,000 per deal, this is a very lucrative avenue to pursue and the demand for good deals is immense.
• Renting the property with consent to sublet or multi let for cashflow.
• Controlling the property using a Lease Option and selling it on to a Tenant Buyer or cheaply via an  state Agent.
• Recommending an Estate Agent that they could sell through. Receiving a referral fee of course, typically 0.25% selling price (£250 on 100k house).
• Recommending a Letting Agent who may let the property for them. Receiving a referral fee of course, typically £100 upon instruction.
• Recommending a Claims Management Agent (Cartel or Loancheck) who will investigate miss-selling and overcharging of their mortgage and/or other loans. Receiving a referral fee of course, typically 50% of upfront fees (Average commission of £250 per client).
• Recommending a Mortgage Broker to investigate the possibility of them refinancing or getting mortgage for new house. Receiving a referral fee of course, typically 40% of proc fee (Average commission of £400 per client).

Speak to experts for advice at every step, attend networking
events and become a known member of an online
forum, so you have property friends you can turn to when
you get stuck.

Help the vendors move on with their life or stop their
repossession, this is priceless and you will also benefit,
directly or indirectly, from the goodwill created.
Treat every lead as practice; go back to stage 1 with a constantly
improved set of strategies.

Be clear on your criteria, but look for what other buyers
may have missed, particularly underestimated values.
Don’t be afraid to gamble on a lead, if you buy a few possibles
you will get a definite.

Check the lead sites regularly, daily actually, so you can
get a feel for the type of leads, properties and areas. As
well as my own shop www.rapidpropertyinvestment.com
be sure to also visit www.bmvpropertyinvestments.co.uk ,
www.networkpropertyinvestment.com, www.acinvestments.co.uk and the other
advertisers in YPN.

In total support,
Phil (I’ve got a friend) Martin

This article is taken from the fantastic ‘Your Property Network’ magazine - the fastest growing property magazine in the UK. To get your FREE 90 day trial of Your Property Network, click here.