Door Knocking on Nicer Homes

[fla2cali]

I'd rather door-knock a trailer all day versus a upper-middle income home.

BUT -- and I have personally struggled with this -- NEVER pre-judge ANY lead.

Case in point -- I remember doing drive-bys to door-knock and I came across this house. Pretty nice, several decent cares in the driveway.

I was pissed -- not the typical FE prospect. So I drove on.

Well, my appointment-setter at the time said they were HAPPY to see me a little later on that day, so she set the appointment.

Results? After 3 months, I sold the wife an $840AP Oxford FE plan and I just got ink on a $100k GUL policy for the husband yesterday. PLUS, I have an "in" to replace their Med Supps when they go up in price in a few months.

So I could have literally PASSED UP on several thousands in commissions, because I talked myself out of seeing them.

Even if 1 out of 10 nice home leads buy -- is it still worth it just to drive-by, door-knock, and see?

reardon, that is great, and I'm glad you got another chance at that one. But you did eventually get an appointment set, and didn't DK. I'm talking about DK'ing straight up. But you are absolutely right never pre-judge a lead.

If I can get an appointment, I don't particularly care what kind of house I pull up to, because if I have an appointment, I already feel as if that's a 'mini-win' because they actually want to meet with me.

With just DK'ing, especially on nicer homes, that aren't expecting me, that's where I have apprehension. I think I just need to have a little courage, and take whatever comes. Thank you though.
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Wealthy people (as a rule) don't finance small purchases.

Lifetime pay FE is simply the worst finance deal on $10,000 and it can never be paid off. It's not in any way attractive to people who don't need to "borrow" the money to have a $10,000 death benefit.

A 10-pay policy is MORE attractive IF you can show them that they will pay in less money over the 10-years than they end up with PLUS have the benefit of death protection during the payment years.

Single pay is usually what wealthy people will buy. You pay $14,000 in today...you have $25,000 paid up. Done. This makes financial sense to them.

This is why wealthy people buy funeral Preneed insurance rather than FE. It makes more financial sense but only IF they can single pay OR pay it off during the same as cash years.

But they will buy FE IF you present the right payment terms to them. NEVER lifetime financing.

Newby, you are right, and that's a good way to look at it. I know Monumental has a pretty decent 10 pay. I just need to find a good competitive single pay to put in my pocket. Thanks. Good ideas.

Between appointments on Tuesday,I went door knocking. At least 4 of the houses, (out of the 6 leads that I had in my hand), lived in houses that you couldn't touch for 1/2 a mil. Didn't get anybody in. One of the houses had a pit bull on the lawn, so I called the guy. He was anxious to see me and made an appointment. He wanted 12K in FE.
I'm much more comfortable calling the more affluent lead than knocking on their door. I find that my rate of appointments are about the same either way.

Absolutely with you. If I can actually get them to set the appointment that would be great.

I learned long ago to not prejudge any lead, person or home but, when I'm running my appointments and I pull up at a $250,000 and up home my heart sinks a little as I know they are either broke and mortgaged to the hilt or they didn't understand what they were responding to.

I don't get many of those that aren't weeded out on the phone but, when I do, and they do actually have meoney they are more along the lines that Newby described. They are preneed buyers or single premium buyers.

We have even stopped mailing a couple of the wealthy zip codes in my coverage area.

JD, I think I'm going to have to have them stop mailing in those areas too. I get leads in my own town, which I don't like, because where I live are like $500,000 dollar houses as well. Only a few lower income places.

I need to talk to my mail company and let them know not to keep mailing in my home town, or other affluent neighborhoods. Thanks

 

[WinoBlues]

So I understand that door knocking is part of the business and is necessary to be successful. However, I'm in Northern California, Bay Area, and some of the leads I get are for some pretty nice homes. $500,000 plus, with a lexus or some other luxury vehicle in the drive way. Door knocking is already difficult for me, and I feel as if I'm wasting my time going there. The sales I've made are typically low middle class, to low income areas. I've knocked on a few, and it's always a waste of time, but I'm assuming maybe I just haven't done it enough.

Has anyone come across this dilemma?

f2c

In some parts on the Bay Area $500,000.00 buys you a little house with a chain link fence around it.

Just a larger "Final Expense" or "Transition" policy. Maybe not SIWL. A good reason to have something else in your bag or Compulife on your phone. Maybe they only need $50,000 - $100,000 to take care of final expenses and transition money. GUL or short pay GUL works well. Or maybe ROP term. My biggest termites live in the Bay Area.

Also what JD said about them being mortgaged to the eye balls rings true.

Lastly Goggle is your friend. Goggle map the address and street view it. You will know ahead of time what the house looks like and be prepared.

 

[joshInagent]

Wealthy people (as a rule) don't finance small purchases.

Lifetime pay FE is simply the worst finance deal on $10,000 and it can never be paid off. It's not in any way attractive to people who don't need to "borrow" the money to have a $10,000 death benefit.

A 10-pay policy is MORE attractive IF you can show them that they will pay in less money over the 10-years than they end up with PLUS have the benefit of death protection during the payment years.

Single pay is usually what wealthy people will buy. You pay $14,000 in today...you have $25,000 paid up. Done. This makes financial sense to them.

This is why wealthy people buy funeral Preneed insurance rather than FE. It makes more financial sense but only IF they can single pay OR pay it off during the same as cash years.

But they will buy FE IF you present the right payment terms to them. NEVER lifetime financing.

Really solid advice, but what's your approach to get in one of those homes?

 

[Mark]

Never judge a book by its cover. I do better in middle to lower income homes.

 

[WinoBlues]

Really solid advice, but what's your approach to get in one of those homes?

What cities are we talking about?

 

[GreenSky]

What cities are we talking about?

I was going to door knock the nicer homes in Fresno but I couldn't find any.

Rick

 

[Newby]

Really solid advice, but what's your approach to get in one of those homes?

Same as any other. You talk your way in.

 

[BenS]

I was going to door knock the nicer homes in Fresno but I couldn't find any.

Rick

Nor will there be any within 150 miles north or south of there. I've got family from the central valley. I always thought it would be a great area to sell FE.

 

[WinoBlues]

Nor will there be any within 150 miles north or south of there. I've got family from the central valley. I always thought it would be a great area to sell FE.

Mean prices in 2009: All housing units: $293,434; Detached houses: $306,938; Townhouses or other attached units: $255,365; In 2-unit structures: $198,140; In 3-to-4-unit structures: $220,484; In 5-or-more-unit structures: $120,955; Mobile homes: $50,197; Occupied boats, RVs, vans, etc.: $44,482

Fresno, California (CA) profile: population, maps, real estate, averages, homes, statistics, relocation, travel, jobs, hospitals, schools, crime, moving, houses, news, sex offenders

Looks almost like a clone of Phoenix
Phoenix, Arizona (AZ) profile: population, maps, real estate, averages, homes, statistics, relocation, travel, jobs, hospitals, schools, crime, moving, houses, news, sex offenders

I prefer to work the Bay Area:

San Jose Housing
Median home price $519,989
San Jose Statistics - Home Values - San Jose, CA

The big bucks are in Encino,CA

 

[VolAgent]

Too bad those single family homes were bought at $600,000 and $1 million, respectively. I can't imagine how far underwater those people must be.