Subdivide and Thrive: How Neil Clements Plots Success With Subdividing Land
Mar 26, 2024
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Neil Clements, an expert in land subdivision, shares insights on maximizing profit through creative marketing, navigating regulations, and finding promising land opportunities. He delves into challenges, strategies, and the importance of due diligence in successful land development projects. Discusses unconventional land uses, profitable subdivision strategies, and efficient real estate marketing.
Subdividing land can lead to higher profits by creating smaller, more valuable parcels.
Starting with lower offers to sellers may not always result in successful deal conversions.
Exploring diverse strategies like seller financing and unique value additions is crucial to maintain profitability in a competitive market.
Cold calling can be an effective method for securing land deals quickly and efficiently.
Deep dives
Transitioning to Land Investing
Neil transitioned from being a real estate agent to diving into land investing, starting with house flipping and ultimately focusing on land deals after realizing the potential profitability.
Importance of Subdividing
Neil emphasizes the profitability in subdividing land, highlighting the concept that smaller land parcels can command higher prices per acre due to increased demand, leading to substantial profit margins.
Challenges in Offer Strategies
Neil discusses the challenges in offering lower percentages of market value to sophisticated land sellers, noting that starting with lower offers did not yield successful deal conversions initially.
Adapting to Competitive Market
Despite increasing competition and declining margins, Neil underscores the need to explore diverse strategies like seller financing and unique value additions to properties to maintain profitability.
Maximizing Profit with Strategic Approaches
By focusing on high-demand areas and finding innovative ways to add value to properties, such as through unique development projects, Neil aims to continually maximize profits and scale his land investing business amidst market challenges.
Efficiency in Selling Properties
The speaker emphasizes the efficiency in selling properties due to minimal effort required for disposition efforts. With access to MLS and a dedicated operations team, selling properties takes only a handful of hours per week. The speaker highlights the advantage of being able to swiftly sell properties, generating capital for reinvestment in acquisitions. By focusing on fiercely competitive markets, subdividing properties becomes a seamless process, resulting in continuous acquisitions and prompt sales.
Cold Calling Strategy for Acquisitions
The discussion delves into the speaker's strategic use of cold calling for acquisitions in their land investing business. The speaker emphasizes the proactive approach of cold calling as a cost-effective method to secure deals. Despite the intensive effort and time required, cold calling provides immediate results, enabling swift tracking of leads and property purchases. By leveraging American callers over virtual assistants, the speaker underscores the effectiveness of voice-to-voice communication in securing lucrative land deals.
180: Today, I'm talking with Neil Clements, a seasoned expert in the art of land subdivision. Neil has extensive experience taking properties and dividing them into smaller, more valuable parcels.
In our conversation, Neil provides a wealth of practical insights into this niche, from locating promising land opportunities to navigating local regulations and negotiations. We discuss his nuanced approach to due diligence and adaptability when maximizing returns. Neil also shares subtle and creative marketing techniques he's refined over the years, including cold calling to drive interest.
Whether you're new to land subdivisions or have some experience already, Neil's real-world perspective on this promising niche will be invaluable.
