Real Estate Investing Mastery Podcast

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Latest Episodes:

Virtual Profits Workshop Part 4 - Finding Buyers & Sellers » Episode 937 Nov 17, 2020

Show notes

Our criteria for a deal always starts with: Can we find a buyer for it? By focusing on what your buyers want and shopping for that target, you’ll always be able to sell your lease options. In part 4 of our Virtual Profits Workshop, we’re going to cover how to find buyers, and how to talk to sellers.

There are two main reasons that you can’t sell a deal. Most commonly, it’s just straight up overpriced. If the house is on the market for a couple of months, you’re going to have to come down in price to get it to move. The second reason is that you’re not marketing it in front of the right people.

So let’s talk about how to get more eyeballs on your property. Facebook Marketplace, Facebook Buy/Sell/Trade groups, bandit signs in front of the house, and the classics Craisglist and Zillow are still great places to advertise a house. Property managers and Realtors are also great resources for helping you build a buyer’s list.

Gavin is a master at helping sellers talk about their motivations for selling. Before you pick up the phone you need to decide: What do you want from your phone call, and how long do you need to talk to get that information? By focusing on the four pieces to a deal, you can decide what kind of offer will work in that situation:

—Situation and motivation

—Price

—Timeline

—Condition

When you pick up the phone, set the agenda up front. Tell the seller what you’re going to ask, and then give him a chance to say no. Gavin and I talk through a couple of role plays so that you can see how to naturally get the information you need to make an offer and then make your exit.

What's Inside:

—You never want to rely on one buyer’s opinion.

—How Gavin creates the criteria for a list to call.

—Why I absolutely love local hard money lenders.

—Hear us role-play a couple of scenarios so you can see just how easy it is.

Why Self Storage Investing with Scott Meyers Is Such A Simple And Powerful Strategy » Episode 936 Nov 16, 2020

Show notes

When a tenant stops paying the rent, a landlord has to get the eviction process started by filing papers with the court. When one of Scott Meyers’s customers stops paying for their storage unit, Scott just puts a padlock on their unit, and then he can sell everything and recoup his costs if they can’t come up with the rent. Self-storage is a whole different ball game in real estate, and that’s why Scott’s been all-in for nearly thirty years.

Forget the picture of tin boxes on the edge of suburbia. Today’s self-storage units are bright and shiny, climate-controlled units in the middle of town next to churches and shopping malls. One in ten households rents a storage unit, and they’ve become so essential that they’re now considered a part of a city’s master plan. When the economy’s booming, self-storage units are in demand to handle all of the extra stuff people are buying. When the economy’s down, they’re still in demand as folks downsize apartments or move home briefly to make it through a rough patch.

For both banks and syndication partners, self-storage units are an attractive asset to have on the balance sheet. The depreciation rate on a self-storage unit is 20% greater than an apartment building, they cost less to build, and they can be rented for 10 cents more a foot. Self-storage facilities also have the lowest default rate of all commercial loans.

How much work is it to run a self-storage unit? For every hundred units, it’ll take 10 hours a week to keep it running. It’s not a set-it and forget-it kind of business, but it definitely only needs a light touch. Scott was dropping all kinds of gold nuggets of real estate wisdom today, so if you’d like more information on how to add self-storage facilities to your portfolio, make sure you check out his websites.

What's Inside:

—The easiest and fastest way to invest in self-storage is by buying an existing facility in a secondary market.

—The strength of the project matters more than the strength of the borrower in self-storage.

—Community banks, credit unions, and savings and loan institutions are better banks to work with on these projects.

—How an SBA loan can be used in self-storage projects.

—Marketing plays a big part in a self-storage facility’s success.

New Market Challenge - What Marketing Is Working Best Today Nov 14, 2020

Show notes

What marketing is working best TODAY? Watch me go live in a brand new market, and start over from scratch, in a 30 day challenge - https://www.NewMarketChallenge.com/30days

Virtual Profits Workshop Part 3 - Simple Marketing Plan » Episode 935 Nov 13, 2020

Show notes

There are two things you can actually control: the market you’re going into and the marketing you’re going to do. By focusing your goals on metrics you can have an impact on, you have the chance to move your business forward faster. In the third part of our Virtual Profits Workshop, we’re going to make a simple marketing plan with actionable goals, so pull out your workbook and commit to your personal success.

Rather than trying out every kind of marketing under the sun, I want you to narrow it down to two choices by asking yourself questions like:

—What does my end buyer look like?

—What kind of marketing works in this particular area?

—Have I given this particular marketing 100% of my effort?

Working backwards, we’re going to illustrate how much marketing you need to do to yield a steady flow of leads from cold calls. Using this strategy, you’ll be able to determine how much money and time you need to spend to get the results you want. You don’t want all of your eggs in one basket, so choosing a couple of different channels will protect the leads you get.

We’re also going to cover how marketing, automation and delegation will give you more money, time, and freedom. I resisted for years the move to a CRM, so if you’re like me, the longer you put off the trifecta of these time management tools, the longer you put off your success. Gavin and I are going to share how we use these tools to create a stress-free life.

Sit down with us, make a simple marketing plan, and take massive action. There are opportunities coming for real estate investors who have a system in place and are ready to scale. Is that going to be you?

What’s Inside:

—The average calls a VA can make per hour, and how that translates into leads.

—Giving the seller more options puts you in a position of trust.

—Why you absolutely need to have a CRM.

—Where are the buyers buying houses in your market?

—Using two or three offers improves your rapport with a seller.

Virtual Profits Workshop Part 2 - Student Interviews (Chris and Chris) » Episode 934 Nov 12, 2020

Show notes

Once you’ve figured out your “why”, then you’ll have yourself centered on the rock-solid reason you want to get up and work your real estate business every day. And in this episode, you’re going to see how important having a “why” is when you see how motivated our new students Chris Arnold and Chris W. are. We’ve only been working with them since May, and you’re going to see why they’ve had such phenomenal success.

Very quickly, Chris Arnold realized that real estate is a numbers game. Once you get this concept in your brain, you can work backwards from there to plug in just how many leads you need so that you know how many offers you have to make every month. In the beginning, Chris sent three offers to every buyer: a wholesale lease option, a sandwich lease option, and a wholesale offer. But even though he adjusted his offer strategy when he found a better way, he never slowed down on how many offers he made a month.

Having this much success in just a few short months was not an accident. Chris and Chris share how mindset and motivation propelled them forward, and they share advice to help other new wholesalers push through the noise they’re going to encounter as they build their businesses.

Don’t just sit back and listen. Take the opportunity to make real, actionable goals as you listen by downloading the Virtual Profits Workshop workbook and plugging in your goals. Chris credits some of his success to a previous goal setting virtual seminar of ours that made real estate strategies suddenly click in his brain.

What's Inside:

—How Chris Arnold used the numbers game to build a strategy that would build on momentum.

—As newer investors, Chris and Chris share their favorite places for finding leads.

—Approaching this as a job has really helped Chris Arnold build up success very quickly.

Virtual Profits Workshop Part 1 - Finding Your “Why” » Episode 933 Nov 11, 2020

Show notes

Make sure you download our workbook for this series, and then get ready to sit down and do some serious planning for your real estate business. You’re not going to sit there and listen to the melodious tones of Gavin and me chat about real estate. This interactive series is going to help you dig down into where you’re at, where you want to go and how your real estate business is going to help you get there.

In this first part, we’re going to get you to focus on revenue-generating activities that will yield bigger returns. Earning big right off the bat will help you keep the momentum going because if you’re not getting to one deal a month, then it’s going to be even harder to get to five or ten.

Your speed to income is directly proportional to the number of offers that you make. That’s why the foundation for success is contingent on how many offers you make every month. I caution you to not try and think for the property owner because you can’t predict what they’re going to do and why. But you can control yourself by making offers.

We’ll talk about strategies to use like:

—Being a deal finder and not a deal creator.

—Finding deals in small towns.

—Searching for better markets.

—Moving to virtual wholesaling.

Having a solid “why” is going to help you stretch out of your comfort zone to make those phone calls when you’d rather be watching TV. Gavin and I are going to share some of our students’ reasons for investing in real estate so that you can get your foundation in place to prepare you for a profitable real estate business.

What's Inside:

—Drilling down on your “why” to help you stay focused even when it gets hard.

—What is the number one rule in real estate?

—The three keys to success in this business.

—How Gavin softens up reluctant sellers.

30-Day New Market Challenge Nov 11, 2020

Show notes

Something exciting to look forward to next week! I'm going to take on a new market challenge where I go into a totally new market - somewhere I’ve never done a deal before - and start from scratch! And I will document the entire process on daily videos so you can watch the entire process, step-by-step, starting from me doing market research to getting leads all the way to marketing for buyers and sellers.

This is only for $100 and if you joined my first New Market Challenge before, you get a coupon for 50% off! You get access to all the videos and I will be doing 4 weekly coaching calls to answer your questions throughout the 30-day challenge. This starts on Monday next week, Nov 16th.

Go to newmarketchallenge.com now!

https://www.newmarketchallenge.com/30days

Deals Gone Bad #4 - What Do You Do When a Deal You're Trying to Wholesale Goes Bad? Chris Arnold » Episode 932 Nov 10, 2020

Show notes

If you haven’t yet had a deal go bad, I can promise you that it’s coming. You’re going to have a deal that’s ready to close, but the title isn’t clear, or you’re going to have a house fire that turns everything on its head. Chris Arnold is one of our coaching students, and after just five months, he’s already got some epic stories.

Chris had lined up a solid deal with an absentee landlord when a tenant’s barbecue grill caused a disaster that sent everyone scrambling. Suddenly Chris had to figure out if the house was salvageable, while he was fighting off the wholesalers who specialize in fire.

The magical phrase that Chris uses for buyers and sellers to keep the deal flow going is “What’s it going to take?”. Listen to how he uses the relationship he’s built with the seller to help everyone walk away feeling like they won.

If you’re a wholesaler who’s making a lot of offers, then you’re guaranteed to see some bad deals. Don’t sell yourself short by offering too low and watching your profit get whittled away as unexpected expenses crop up. Chris suggests you double check your numbers after the seller accepts, but before you sign the contract. But no matter what, you have to keep your word to the seller, even if you only make a thousand dollars. Your reputation as a wholesaler is on the line.

I love Chris’s enthusiasm for real estate and his go get ‘em attitude. If you’d like to work with Chris, you can contact him at cashoffers@cj.properties. Get today’s episode, and all of the notes and resources from my other Deals Gone Bad episodes by texting the word “BAD to 313131.

What's Inside:

—How Chris keeps his marketing momentum going.

—A few ways you can use other wholesalers to find deals and leads.

—What to do when a property catches on fire.

Deals Gone Bad #3: The Whore House From St Pete With Jonathan Rexford » Episode 931 Nov 09, 2020

Show notes

If you haven’t had a bad deal yet, then you haven’t been in real estate long enough. It’ll happen for you, don’t worry. Even with experience, Jonathan Rexford bought a real dud that became the only subject “to” house that he’s ever returned to an owner in thirty-three years of investing. It’s a lesson in doing a little due diligence, especially when it’s a property that’s outside your area of expertise.

When the subject “to” first came across Jonathan’s radar, he had a lot of disposable cash, so he just directed his bookkeeper to write a check for the property. And in fact, every time a problem showed up, he just had the bookkeeper keep paying the bills. But writing a check doesn’t get rid of a problem.

After months of trying to get the house rented, Jonathan finally drove up to see what the holdup was. Immediately, he realized that the beautiful 1920s home, which should have rented for $1422 a month, was surrounded on all sides by low-income apartments. Neglecting to get a street view of the property he’d purchased without visiting ended up costing him about $65,000.

If you’re going to purchase a subject “to”, Jonathan advises you to have multiple exit strategies. Ask yourself:

—Can I rent it?

—Can I retail it?

—Can I owner finance it?

—Can I use a lease option?

After this, Jonathan realized that he needed to always have someone with some skin in the deal with him who could act as his feet on the ground. As the king of the subject “to” world, Jonathan invites you to join him in his Facebook group.

If you loved this story, don’t miss the rest of my Deals Gone Bad. For access to my mind map for this series, text the word “BAD” to 313131.

What’s Inside:

—The minimum groundwork you should lay down before buying a property sight unseen.

—Why you absolutely should not be writing checks to make problems go away.

—Stay ‘til the end when Jonathan shares his 5 pillars of funding.

—What force-placed insurance is.

Deals Gone Bad #2: A Turnkey Investor Sold 4 Bad Rentals To Vamsi Boddu & How He Recovered » Episode 930 Nov 06, 2020

Show notes

The promise of easy money and $54,000 turnkey properties were too much for Vasmi Boddu and his friends to resist. So in December 2017, they purchased a package of four properties in Indiana. With promises from the turnkey company that they would be ready for tenants in three months, Vasmi and his partners sat back to get ready for their mailbox money to show up.

You’re going to get a real estate education in one of two ways. You can either hire a mentor to help you figure out what a good deal looks like, or you can stumble through expensive mistake after expensive mistake on your own. Vasmi chose the latter method, and he’s learned some important lessons, including how to correctly run the numbers on a rental.

How much cash flow is enough? Vasmi thought $200 a month per property would get him quickly to that sweet spot where he could sit back on the beach with his family. But as a real estate newbie, he didn’t know that he needed to factor into those numbers property insurance, rehab costs, property management, and vacancy rates. And when the original turnkey company didn’t even finish the rehab on time, Vasmi’s horror story began.

Don’t miss out on the rest of my Deals Gone Bad series. By texting the word “BAD” to 313131, you’ll be able to access the notes and mind map for this series, including the videos from Bigger Pockets that Vasmi recommends to all of his new real estate investor friends.

What’s Inside:

—Vasmi’s classification system for A, B, C, and D areas.

—What to do with cheaper, lower end properties that are under $100,000.

—We discuss Vasmi’s best options for some of his properties: lease options or tenant buyers?

—How to deal with Class D tenants.