We've all heard the adage "Knowledge is power". In the realm of real estate investing, few things embody this statement like skip tracing. With guidance, skip tracing can be the key to acquiring a potential goldmine of information, thereby bridging the gap between you and your prospective clients, and ultimately helping you start cold calling effectively.
Understanding Skip Tracing
Skip tracing is a strategic method used to locate information about individuals or entities that are not readily available to the public. Despite its slightly clandestine-sounding name, skip tracing is not a covert or illegal practice. Private investigators, bill collectors, journalists, and particularly, real estate investors like us, can use it in accordance with law and ethics.
Check out our comprehensive guide on skip tracing in real estate.
Why Skip Tracing in Real Estate Investing
In real estate investing, skip tracing can provide you with invaluable information that points you towards potential property deals. With the data skip tracing provides - homeowner information, contact details, address history, etc., you can tailor your interaction with potential sellers or property owners, leading to more fruitful cold-calling sessions.
Starting Cold Calling with the Help of Reliable Data: The Step-By-Step Guide
Finding the Right People with Skip Tracing
The first step in harnessing the power of skip tracing for cold calling involves identifying the right audience. Who are the distressed homeowners or property owners you'd like to reach? Seeking out absentee owners, inherited properties, and tax delinquent properties - this is where skip tracing comes into play.
Screening and Analyzing the Gathered Data
Now that you have a list of potential sellers with the help of skip tracing, the next step is analyzing the gathered data. Review the contact details, evaluate the owners' motives and financial position, and understand the property status - all the knowledge you need to anticipate their wants and fears is at your disposal now. Overcoming analysis paralysis is crucial at this stage.
Also, the accuracy and context of your data are paramount at this stage. Make sure your skip trace has the context of who you are calling. The more demographic information and knowledge on who you are calling can only help you. So be sure to lock in with a real estate software that is going to be the most help to you.
In DealMachine, not only do you get all of the contact data for a property without paying pesky skip tracing fees we also have demographics on each of the contacts. This is not true of all software out there. Also, the icing on the cake is that DealMachine has an overall 85% contact match rate including those pesky corporate owners.
Your Cold Calling Game Plan
Based on the knowledge gleaned from the data gathered through skip tracing, you should be able to come up with a solid game plan for your cold calls. Remember that the key here is establishing rapport with the person on the other end of the line, so try to sound empathetic, friendly, and respectful when the seller calls you back. Knowing what to say to the seller is crucial.
Role of a Good Script
While you don't want to sound like a robot reading off a script, having a well-thought-out script can be very valuable in handling objections, asking the right questions, and guiding the conversation towards your intended outcome.
Also, AI can swoop in to help. DealMachine has an AI-powered dialer that provides real time sentiment analysis of your call. So if something the seller says trips you up, you can just click the "What should I say next?" button.
Handling Rejection and Moving Forward
J.K. Rowling was rejected by 12 publishing houses before Bloomsbury picked up Harry Potter. Every 'NO' brings you closer to a 'YES'. The most successful real estate investors have mastered the art of handling rejection.
Remember, rejection is not personal. Persistence is key to successful cold calling. Here’s some motivation from someone who overcame obstacles to achieve their first wholesale.
Advantages of Using Reliable Data for Cold Calling in Real Estate Investing
Without question, skip tracing brings a sense of precision and direction to your cold-calling efforts. It sharpens your focus, helps you target only high-quality leads, and enables you to personalize your interactions, thus enhancing your chances of securing a good deal. Discover how to invest in real estate, even from afar, with reliable data.
Let’s conclude with a quote from renowned author and business strategist, Michael LeBoeuf, who once said, "A satisfied customer is the best business strategy of all." By using skip tracing in your cold calling efforts, you're well on your way to creating a list of satisfied customers and successful real estate investment deals.
