Marketing with Bandit Signs is one of those old school methods that a lot of new investors overlook.
That’s a pity because marketing with bandit signs is still a great way to find motivated sellers and cash buyers.
Putting out bandit signs is labor intensive though, and if you are in a warm location (or cold location) then it can be pretty cumbersome to put out the signs yourself. It is also not a very good use of your time (unless you like making $12 an hour).
My suggestion is you pay someone to put out bandit signs. If you have teenage kids put them to work!
We pay our guys $2 per bandit sign so if they put out 6 in an hour they are making $12 an hour. We have them take photos of each bandit sign to show where they posted them. We send guys out to drive the areas and spot check them (especially in the beginning). One system that works well is you pay them less (say $1 per sign) and you offer to give them $500 for any house you buy off the sign they put out. This is a great way to tap into bird dogs and you can create a special tracking number for each bird dog (which only costs $3 per number with Call Rail).
The biggest issue with using bandit signs is the legality. most cities have strict ordinances about putting out bandit signs. However some are stricter than others. As a general rule if you are going to put out bandit signs pay attention to a few important considerations:
1. Don’t put your personal number on the bandit sign – rather use a Call Rail Tracking Number, A Google Voice Number, or any number that will not lead back to you if someone were to Google the number.
2. If someone asks you to take a sign down then take it down – immediately.
3. Do not post bandit signs on private property (post only on public property).
Here is a little tip for you. They can’t take down signs on private property. So if you see vacant overgrown lots with nothing for sale on them and you put your bandit signs on the lot they will probably stay up for a very long time.
Remember to use a blank sign with marker to flush out cash buyers.
and a printed sign like in the video above to market to motivated sellers.
Why blank signs for cash buyers and printed signs for motivated sellers? I think that sellers want to deal with someone legit (printed sign). Cash buyers want a deal so a hand written sign looks more like a motivated seller and less like a wholesaler.
And with regards to color, we have tested out thousands of bandit signs. Large yellow 18 x 24 bandit signs with black writing work best. For cash buyers you can use white signs with black marker or yellow signs with a black marker.