Real Estate Investing Mastery Podcast

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Latest Episodes:

I Need Systems with Gavin Timms » Episode 967 Jan 19, 2021

Show notes

Even though Gavin and I offer coaching programs, we know that some of you don’t need a coach. What you really need is someone to help you set up your systems so that you can plug yourself into it and take off.

Gavin is taking half of what he does for his one-on-one clients and offering it as a standalone program. If you’re looking for a better system or any system at all, connect with Gavin. You can hash out where you are and where you want to go, so he can help you fill in the missing pieces to get your real estate business moving along.

Gavin is going to ask you questions like:

—What is your situation?

—Are you overwhelmed?

—Are you stuck somewhere?

—What are you having trouble with?

And you’re going to work together to get you unstuck. Make sure you like and subscribe to Gavin’s channel for more of his current deals. And be sure to check out his website for building out a real estate system.

What's Inside:

—Fill in the gap in the middle of where you are and where you want to be with a system with Gavin.

—How Gavin’s new website gives you personalized one-on-one attention to give your business a boost.

—Why a system will help you scale up faster.

Creative Financing Lab - Free Coaching Call With Joe McCall & Matt Theriault Part 2 » Episode 966 Jan 18, 2021

Show notes

This podcast was your chance to ask Matt Theriault and me anything about creative financing, and we gave it to you straight. From questions about evicting tenants to whether the bank will repossess a subject-to loan, we clarify any confusion you might have about how creative financing works. If you’ve invested in a few real estate courses, it can be easy to get overwhelmed with all of the information coming at you. I want you to find the answer to your questions today, and then go out there and start talking to sellers.

Different markets are going to require different strategies. While Texas won’t allow sandwich lease options, that doesn’t mean that creative financing strategies are completely off the table. It works that way across the country; creative financing gives you options to meet whatever situation you come across in markets all over the country.

How do you find subject-to homes? I used to go through list providers looking for homes that had been bought in the last 3-5 years with FHA or VA loans because I knew they had little to no equity. And then on top of that I’d just layer some additional motivation, like needing to move, and you have a list of people who might agree to a subject-to.

Building a real estate side hustle while you’re still working a full-time job can make marketing harder. After all, how are you going to answer the phone when your boss is standing next to your desk? Just a short phrase on your postcards inviting sellers to call your toll free number 24 hours a day is a simple solution. People have no problem leaving a message, especially if they can leave it any time of the day.

Do I prefer Trulia, Zillow, or Redfin? How do I build my own lists? What’s the best marketing for lead gen right now? I’m laying down the knowledge for free in this episode, so don’t miss it.|

What's Inside:

—Which is better for your real estate strategy: Regular tenants or tenant-buyers?

—Because this is a marketing business and not a real estate business, you have to learn to talk to sellers.

—If you’re new to real estate and you’re just completely overwhelmed, this is the one thing you absolutely have to focus on.

Understand Why You Chose that Path with Gavin Timms » Episode 965 Jan 15, 2021

Show notes

What is it that you want your life to look like? What’s your ultimate outcome? When you have this vision fixed in your mind, it’ll help you push through the mental barriers you and maybe even the people around you will try to throw up constantly. Gavin says deciding on your ultimate “why” is also going to help you fix on a strategy that moves you toward your goals.

Some real estate investors want that huge team all set up in a swanky office, and others want to stay lean and mean throughout their whole careers. What you decide on is totally fine, but it’s going to influence your real estate investing strategy. Teams build different portfolios than a one-man crew.

Do you want to be a buy and hold investor? Maybe a fix and flipper? Or some other flavor of real estate investor? No matter what you decide, there are two questions that Gavin and I feel every real estate investor needs to ask and answer for themselves:

—What is your “why”?

—What is your exit strategy?

In the beginning, you’ll need to decide if you have more time or money. Because whatever you have more of is going to help you determine your strategy too. When we get down deep in the trenches of real estate, we have to have a solid hold on our “why” so that we can make decisions that help us build the kind of life we want.

What’s Inside:

—How to match up your marketing with your real estate investing strategy.

—Gavin talks about how you have to adjust your marketing if you have more time than money.

—Why Gavin thinks having a solid “why” is going to keep you going when things are tough.

Creative Financing Lab - Free Coaching Call With Joe McCall & Matt Theriault Part 1 » Episode 964 Jan 14, 2021

Show notes

Don’t get sidetracked by the news about the retail market. Matt Theriault and I want you to focus on off-market conditions because that’s where real investors play. When we market to sellers, we’re looking for disease, divorce, distress, death, debt, and all of the other reasons that homeowners get desperate to sell.

If you’re not marketing correctly in a distressed market, you’re missing these sellers. That’s why Matt wants you to separate on-market data from off-market decisions, and he shares some of his insights for how that will play out in the next year as the market pretty closely mimics the 2002 real estate market.

Are there situations when a different kind of creative financing works better? Or just makes more sense? Matt and I spin out some scenarios based on our experience that should help you see the flexibility that creative financing offers distressed sellers.

A big question you’re going to keep coming up against is: Do you need equity in a home to buy it from a seller? Depending on the market, I say that if it cash flows, then it doesn’t matter how much equity it has. Supply is still down so much that real estate investors are going to be able to create deals that they couldn’t have even dreamed of after 2008.

Stay tuned for part 2 when we continue to answer your questions about navigating financing in the 2021 real estate market.

What's Inside:

—When should you use the three option letter of intent?

—Why you need to separate on-market data with off-market decisions.

—When house cash flows, it doesn’t matter how much equity it has.

—Adjusting your marketing will help you continue to find people who haven’t listed their homes yet but are struggling with the 7 Ds.

Sending Cash Offers In Your Postcards - with Rick Ginn » Episode 963 Jan 04, 2021

Show notes

Do you think direct mail is dead? Rick Ginn thinks you’re wrong.

Disruptive marketing like texting and cold calling is being legislated out because the public hates them so much. But direct mail is still a legal and acceptable way to get in front of a lead.

Rick has spent tens of thousands of dollars testing his Rapid Offer System. He wanted a unique and creative marketing system that engaged prospects and gave him a chance to make an offer on their house. Every response Rick got to his postcards boiled down to: “Take me off your list” and “What’s your offer?”.

That’s when he had his “Aha!” moment.

Rick created the Rapid Offer System to help real estate investors improve their marketing and learn how to talk to sellers confidently. You can follow the links to the bare bones of ROS if you want to get started on your own, or you sign up for the whole course which includes:

—5 modules

—Weekly live training

—Deep dive into seller psychology

—Personal Coaching

For anyone who puts in an order with me, Rick will send you a free t-shirt for getting in on the ground floor. I’m not saying you need to hurry to purchase the ROS system, but I do want you to know that early adapters always beat out the competition. Get your Rapid Offer System up and running before everyone else realizes that direct mail is not dead.

What's Inside:

—The biggest thing you need to understand about sellers is that they want to be engaged.

—Offering too little and too much is going to affect your response rate, but Rick has some tips for deflecting the negative engagement for a seller that’s insulted by your offer.

—The writing is on the wall for certain unpopular forms of lead gen marketing, so don’t be caught unsurprised when you need to pivot away from them.

Learn the Right AND Wrong Way to Invest In Real Estate, with the Legend, Michael Jake! - PART 2 » Episode 962 Dec 30, 2020

Show notes

In part 1 of my conversation with Michael Jake, he laid on me a lot of the mistakes that he made through the last recession. If you want to know how to navigate through this next recession, be sure and check out that podcast. Part 2 is all of his advice for newer real estate investors who are learning the ropes. Michael’s been rubbing elbows with real estate legends for years, and he drops names and resources like crazy, so if you’re ready to take your real estate education to the next level, listen up.

Eventually, everyone settles on a real estate strategy that they love because it fits their needs and their market. For Michael, who’s in a market with a large military population, that strategy is buying single family houses. At the height of his investing career, he had over a hundred houses, and he and his wife managed them by themselves. Even if you’re just a beginner, you need to understand property management. Michael drops his favorite tools for keeping track of his properties and his tenants.

This piece of advice is for anyone who finds themselves underwater: Even if you’ve ill-timed the market, if you hold onto the house for long enough, it’ll rebound in price. You need to worry less about the equity of a home and think about the bigger picture. As your tenant is paying down the principal, you’ve got depreciation, amortization, and growth as factors that need to be considered over just the straight income.

And finally, one of Michael’s favorite investing strategies is using a Roth IRA to purchase real estate. There are strict rules around what you can and cannot do, so check out any of the seminars, books, or gurus that Michael recommends. If you’ve got a creative deal that you’d like a fresh set of eyes on, connect with Michael on his website.

What’s Inside:

—By having less houses, he has more cash flow simply because there are less expenses and less maintenance to deal with.

—Michael’s criteria for a subject-to deal.

—How does he protect himself from the mistakes he made in the last housing downturn?’

—You don’t want the cheapest home with the income factor; you want the house with the biggest growth factor.

Learn the Right AND Wrong Way to Invest In Real Estate, with the Legend, Michael Jake! - PART 1 » Episode 961 Dec 28, 2020

Show notes

The best investors to learn from right now are those who’ve gone through at least one downturn because they’re the ones who are prepared for the next one. When the country slid into the Great Recession, Michael Jake owned 78 houses, and he was sure he was recession-proof in a military town.

Almost overnight in 2008, Michael’s houses dropped 20% in equity. And that’s when he started to get worried. He tried to keep tenant buyers in the house and hold on tight. He bought credit repair kits for his tenants and his wife taught finance classes all in an effort to get the tenant buyers over the finish line.

Gradually, Michael and his wife started to change their management style, moving from rent-to-own to a more traditional property management. They started charging less money, but went to a much more rigorous application process. Tenants, Michael says, are like employees. They’re just another point of leverage in your business. If you want to bring in rockstar tenants, then you need to learn how to attract them to your properties. Today, Michael's’ tenants stay on average for 4 ½ years, and they have less wear and tear on their homes.

Knowing now what he does about real estate, there are a lot of things Michael would’ve done differently to make it through the crash. He was so focused on the drop in house prices that he forgot to factor in how depreciation and a buy-and-hold strategy far outweigh a temporary price drop. Pay attention to how his real estate philosophy has changed as he’s matured. And don’t forget to tune in for part 2 of our conversation.

What's Inside:

—Credit repair kits, classes, and mentoring are just a few of the ways that Michael tried to help his tenants qualify and purchase the homes they were living in.

—Michael’s partnership with his wife means all of his ideas are grounded in reality.

—Why Michael completely changed the kind of tenant buyer he put in his houses, and how that’s helped slow down his turnover rate.

—Dealing in a market saturated with VA loans and transient military families, Michael has extensive experience with sellers who have no equity, but who must sell.

Live Interview with Brandon Turner from Bigger Pockets and Open Door Capital » Episode 960 Dec 24, 2020

Show notes

Brandon Turner is passionate about teaching others how to invest in real estate so that they can build their dream life. As the author of several real estate investing books and as a podcast host, he’s created reliable content for years that real estate investors turn to on the website Bigger Pockets. But after a conference with some friends, he realized that he needed to level up his business.

There are dozens and dozens of ways to become a millionaire in real estate, but so many investors get stuck on trying out every niche. As a result, they’re spread too thin to really dig down and create a scalable system that builds wealth. Brandon decided to start investing in mobile home parks, not because he thought it was the absolute best niche, but because he was ready to focus on one segment of the market.

Starting with the big picture and working backwards, Brandon realized that he needed to build a syndication to meet his goals, but he’d never done it before. Some of you might be in this same spot, so listen carefully to how Brandon found the right people to help him raise $5 million. Once he’d bought some property with the fund, he went back to work to raise $10 million more so he could keep growing.

Brandon never stops teaching. This episode is full of advice for new and seasoned investors, plus Brandon drops the names of books and websites that he’s read or written that will help real estate investors with their marketing, investing strategies, property management, or raising hard capital. Do yourself a favor and connect with Bigger Pockets for more of Brandon’s knowledge.

What’s Inside:

—Leaving Washington state pushed Brandon out of his comfort zone and forced him to strategically design a real estate business that didn’t need him in the day-to-day decisions.

—Rather than spreading yourself over a half-dozen different kinds of real estate, Brandon advises you to focus quickly on just one.

—With no experience in joint syndication, Brandon lays out the steps he took so that he could raise his first $5 million.

—The best (and worst) real estate deal that taught Brandon why he’s worth more than $10 an hour.

Deals Gone Bad #20 - When Derek Dombeck Purchased a Defaulted Note from Hell » Episode 959 Dec 22, 2020

Show notes

Derek Dombeck loves creative deals, so when a friend offered him a defaulted note that he wanted to unload, he jumped at the chance to be in first position. For only $4500, he was poised to take possession of a 4-bedroom, 2-bathroom house on an acre of land in Wisconsin.

But this wouldn’t be the Deals Gone Bad series if something terrible wasn’t about to happen. The first hint of trouble was that the owner didn’t want to meet Derek at the house. He chalked this up to a slight hoarder problem, and he ordered the dumpsters to get ready to clean out the house. Then he found out about the back taxes. And then he got into the basement.

This house had $125,000 in ARV, and the back taxes equaled about $18,000. It was a solid deal. But it wasn’t hooked up to city water or sewer. In fact, the ten inches of water in the basement indicated that it wasn’t hooked up to anything really. And the contractor Derek had hired to clean out the house refused to touch the floating furnace and open pit of sewer.

The work Derek had to put into this house to get it ready for anyone else to buy it was tremendous, but he couldn’t have done it without his local networks. We talk about how much stronger an investor can be when they are plugged into their local REA or mastermind. If you’re not a part of a real estate investor network, then you absolutely should stop putting it off. Newer investors have no idea what it’s like to have the real estate market go south, and they’re going to need that mentoring to get through the next year.

If you’re in Wisconsin, or you’re interested in Derek’s Generations of Wealth cruise in 2022, send him a message at Derek@bestREIfunding.com.

What's Inside:

—Why you want to have an open relationship with the town treasurer, tax department, or city hall.

—How to spot a hoarder in 2 easy steps, and why you need to be prepared for the worst.

—The importance of a local REA, local networks, or relationships with local real estate investors who can help out in a pinch.

The Easiest Way To Save On Your Taxes In 2020? » Episode 958 Dec 16, 2020

Show notes

Nothing is worse than paying too much in taxes, or forgetting to pay your taxes and having the IRS on your tax for back taxes. I could tell you some stories about some of my tax planning mistakes, but I’ll save it and instead let Prime Corporate Services lay down 3 ways you can save on taxes this year. I’ve loved using Prime Corporate Services for 20 years, and I recommend them to all of my clients.

Every serious investor needs to understand how to set up your business the right way, but they often put it off until some imaginary goal is met. Whether this means an LLC, an S Corp, or some other structured entity, getting legal protections around your business will also save you in the tax department.

When you call and schedule a free consultation through the link on my website, Tommy’s company is going to cover:

—Saving more money on taxes.

—Protecting yourself from business liabilities.

—Taking advantage of different funding options for your business.

|Some of these tax strategies are going to address deductions and depreciations, while others will focus on contributing to retirement funds and HSAs. If an expense is an ordinary or necessary expense for your business, it can often be justified as a write-off. Tommy and his team are going to help you find these expenses to save you money.

Start 2021 off right with a little tax preparation that will help you keep more of your money. Prime Corporate Services will give you support for a full year if you sign up with them, and while I do get a commission if you go through my link, I want you to know that I recommend them because I love working with them.

What's Inside:

—It’s not about how much money you make, but about how much money you keep.

—Deductions and depreciation strategies that will save your business money in 2020.

—Why you need to build up a separate credit profile for your business.

—The benefits of a SEP IRA, including why you should consider flipping deals inside the SEP IRA.