Real estate agents

Discussion in 'Starting a Lawn Care Business' started by keller's, Aug 19, 2008.

  1. keller's

    keller's LawnSite Member
    Messages: 24

    Is there a good way to get some business from real estate agents. Do I call them, send them a card, a flyer? Thanks for your input.
  2. kleankutslawn

    kleankutslawn LawnSite Bronze Member
    Messages: 1,185

    talk to them face to face& get to know as many as you can
  3. LawnSite Fanatic
    Messages: 8,136

    Or just mow their yard for free, they will probably ask anyhow....
  4. IA_James

    IA_James LawnSite Silver Member
    from Iowa
    Messages: 2,592

    Just start calling around. You might try the broker of the office too, maybe work something out to get put on the concierge list for folks just moving to town.
  5. Mr3Putt

    Mr3Putt LawnSite Member
    Messages: 2

    There is a landscape/maintenance company around here that does a TON of business dealing almost exclusively with real estate companies. Here's his basic model....

    While homes are vacant and listed with an agency, this guy does all the cutting/trimming/snowblowing etc, needed to give the home the non-vacant "buy me" look.

    Here's his hook.

    He doesn't get paid until closing. But, when he does get paid, he gets paid in huge chunks.

    The homeowner/seller loves it because it's not an ongoing out of pocket expense.

    The Realtor loves it because it's an additional service they can provide that adds to their value yet costs them nothing.

    The landscaper loves it because he is always busy and I'm sure gets some of the new home buyers as steady customers. Plus he gets BIG checks when he does finally get the money.

    When marketing to real estate agents you have to show them what's in it for them. Be different than the other landscapers out there. This could be a great way to acquire a niche in your area. You just need enough other cash flow to bide your time till the pipeline fills. Once it's set up, as you get new houses on the market, some of your seasoned houses are selling...

    Properly worked, it's a million dollar idea.
  6. IA_James

    IA_James LawnSite Silver Member
    from Iowa
    Messages: 2,592

    That's alright as long as the house sells. Not trying to rain on the parade, just saying. And how often do you see a house with a person who wants too much money, or is unreasonable, and the house sits there for a year? Happens more often than you think, and it's a long time to wait for a pay check. Plus if he's not charging interest, he's got money sitting out there for free.
  7. Mr3Putt

    Mr3Putt LawnSite Member
    Messages: 2

    All valid points!

    However, you can't assume this current RE market is the norm. I just saw another newscast today that indicated that sellers are finally realizing that they can't base their price points on yesterdays market.

    Every house will eventually sell. You could also put a clause in your contract that if it doesn't close in XX months, you get paid. You absolutely need to do your due diligence for any venture. Maybe more so in this case but again, nothing ventured, nothing gained.

    There is no business without risk. The guy I see doing this is making TONS of loot.


    Because it's a niche market. He's the only guy in town willing to assume the risk of deferred payment. Who knows how many properties he continues to service for the new owners...

    Sometimes you have to think outside the box. (or at least not be afraid to)

  8. B_gerrits

    B_gerrits LawnSite Senior Member
    Messages: 297

    I'd be careful with that strategy, in my area houses are for sale everywhere avg time on market at least 6 months. Before offering a deal like this check to see what the avg time on market is in your area also know what the foreclosure rate is as in many areas a ton of houses are going into foreclosure.
  9. milsaps118

    milsaps118 LawnSite Senior Member
    Messages: 565

    I use to do a ton of stuff for a RE company, the only difference is that the RE Co owned all of the homes I was servicing so I was getting paid at the end of the month.

    The idea of "Floating" the seller on services is great, but like B_gerrits was saying, a lot of homes on the market are getting foreclosed on. If this happens on a property you have been doing for 12+ months, all that time and expense is down the tube. And like someone else said your lending free money, AND labor.

    What about homes selling for less than what is owed on the mortgage? There isn't any Net proceeds left over to pay off any outstanding lien/loans/debt against the home. And if a seller sells at a loss, it's safe to assume if you go after them to get paid your gonna be SOL. Many, many ppl took out 2nd, and 3rd mortgages on there homes and refi'd when the interest rates were hot and now they can't afford to stay in 'em.

    For the guy you know or see doing this, the grass might not be as green on the other side of the fence as he claims it to be or how you see it to be.

    Anyway great concept........but I know I would never extend my services like that. Running a business is a risk as it is, why add more (risk) to it???????
  10. bohiaa

    bohiaa LawnSite Fanatic
    Messages: 5,220

    Dont bother. real estate agents are a PITA, They wont pay, and if they do you wil be shorted, and have to track them down for a month.....

    Whats balck and brown and looks good on a Real estate agent ?

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