house for rent red sign

Build Repeat Business for Years to Come with FRBOs

Have you ever considered real estate investors as a potentially huge source or revenue?

Think about this: If you could get a relationship going with just 6-8 investors, imagine how it would pay big dividends over time.

This will be our theme over the coming month as we focus on FRBOs: For Rent by Owner investors. There are essentially three pools of FRBO investors:

  1. Individual investors who run their own ads
  2. Investors who own properties but use the services of a property management company to market and show the property
  3. Real estate agents who own their own rental properties.

Most Vulcan7 accounts include FRBO/Investor leads. These homeowners are advertising a home for rent. So why should you call them?

  • Homeowners who own rental properties typically own multiple properties, and are likely to do multiple transactions in the future. The average American buys and sells five homes in their lifetime, whereas an investor could buy and sell more than five homes in the next few years.
  • When you inform FRBO/Investors of the impact of rising prices on this rental property, they may decide to sell rather than rent. Additionally, investors often take advantage of 1031 tax-free exchanges, giving you (or a referral partner) an opportunity to represent them on the buy side of their 1031 replacement property.
  • When you inquire with FRBO/Investors about other properties in their portfolio, you may learn they are open to selling other rental properties presently owned. So, you might ask:  “Do you have other properties you’d like to sell and exchange for something more lucrative?”    
  • Many FRBO/Investors are interested in expanding their portfolio, which means they’re often on the hunt for the next property to purchase. Investors are less emotional about transactions — these deals are all about return on investment. So, you might ask: “If a good deal popped up, would you want to know about it?”

CLICK HERE to watch a brief, one-minute video, of agent Diana Fairbanks, who collects investors through Vulcan7 FRBO’s and lists 5-7 properties monthly, provides an agent’s perspective:

Diana refers to calls to FRBO/Investors as “such easy calls!”, and asks, “If you don’t rent this home quickly, would you consider selling at this time?”

 One final thing we will cover in an upcoming post: with demand far exceeding supply, inventory is extremely low across the country. As such, investors who may own multiple properties might be open to cashing out on one or more of these homes.

Make time to call Vulcan7 FRBO leads, build relationships with investors, and enjoy repeat business for years to come!​​​​​​

Doug Spak has over four decades of experience as an advertising copywriter, agency creative director, blogger, and content creator. He joined Vulcan7 as a Content Specialist in 2016. In addition to ongoing website copy refreshes, Doug has produced over 300 blog posts while developing content for Vulcan7’s social media platforms.

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