One of the most frequent questions new investors ask is, “How much do I need to start”? Well, to answer that question it all depends on what your trying to achieve. In the beginning you want to start off by marketing and using the most inexpensive ways to market for sellers. You can easily do this by marketing on the internet. Such as Craigslist, Backpage and other real estate classified ads. They won’t give you the best results, but in some cities they work better than others.
You do need to plan out a budget for your marketing however to achieve success quicker than later. Budget doesn’t have to be huge. I personally work on a small budget. You can have ad printed out in the newspaper for fairly cheap. Get flyers made to post up around the city. Another way is to do direct mail such as letters or even better postcards to motivated sellers. Postcards are very inexpensive if you use click2mail.com. The cost is around 40 cents a postcard which includes postage.
As you start closing deals, you should commit to put a percentage of the profit back into your business. This will take you from closing one deal a month to closing 4-6 deals a month. Make sure to write down your goals and your budget. Most people will just try to remember it in there head but that’s not good enough. There are several ways to market your real estate investing company. Test different methods out, and make sure to track your results. If one thing isn’t working and you have tested it out for 3 months straight with little or no results, try something new. You have to focus on what will provide the best ROI on your marketing budget.