In Episode #28 of Real Estate Talk Podcast, join host Randy Stedwell as he engages in a riveting conversation with John Wolding, CEO of Unstoppable Funding LLC, shedding light on an extraordinary journey from homelessness and debt to entrepreneurial triumph. John shares his compelling narrative of resilience, recounting how he transitioned from working four jobs just to survive to pioneering a revolutionary lending platform at Unstoppable Funding LLC, which seamlessly merges the reliability of conforming mortgages with the agility of Hard Money lending. Not content with mere success, John's commitment to empowerment led to the establishment of Unstoppable Funding University, a free educational resource aimed at equipping aspiring real estate investors with the tools for success. With millions in transactions closed monthly, John's story serves as a testament to the transformative power of perseverance and innovation, inspiring listeners to chart their own paths to success in the ever-evolving landscape of real estate investing.
John Wolding BIO
12 years ago due to many unfortunate events combined with bad choices, I found myself homeless (literally living on the street) in debt and could see no clear way out.
I found myself going from this to working 4 jobs around the clock and still going behind not even being able to afford the most meager of apartments after Garnishments etc...
The world of Real Estate Investing is what helped me finally make a meaningful change in my life. I began as more or less a bird dog. In that process I discovered the universe of Hard Money and Private money. But I found it extremely
confusing and misleading. I sought to make a difference in a different way, a different company that would combine the aspects that are great about Hard Money with the consistency and dependability and professionalism that was more common in the conforming mortgage world.
I succeeded in bringing what I believe to be the easiest, most straightforward, scalable lending platform one can find anywhere. With Unstoppable Funding LLC. My goal and my intention is to empower everyone that has been told NO with the means to succeed and
begin their path in real estate investing. With this goal in mind, I also began Unstoppable Funding University. A free resource to learn everything from A to Z is completely free. At present we close millions in transactions each month!
My hope is that we can all work together to make each other Unstoppable
John Wolding
CEO Unstoppable Funding LLC
Origination and Processing Team, Unstoppable Funding LLC
*************ANNOUNCING ******* NEW ! 3 GREAT NEW TOOLS!!!! FREE
#1) If you haven’t already Join our growing Community! Search Facebook groups for
Unstoppable Funding University
Join Us at one of our Free Workshops!
#2) “The Insider’s Club” An informal meetup Daily on Zoom from 8:30 to 9:00 AM EST M-F
https://us02web.zoom.us/j/2713665471?pwd=cjNxSURmVUh0YWpEQkgyODYvRjc4UT09
#3) Unstoppable Funding “U” Workshop once a week at 12 PM to 1 PM EST. On Zoom
https://us02web.zoom.us/j/2713665471?pwd=cjNxSURmVUh0YWpEQkgyODYvRjc4UT09
SAME LINK and times always.
TITLE: From Homelessness to Real Estate Investor: Unstoppable Funding's Journey w/ John Wolding - RET Ep#28
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© Randy Stedwell.
Hey everyone out there in YouTube land and our private Facebook
group Metro Detroit off-market Real Estate Group hope everyone is having a
great day uh here in Michigan it we went from 60 degrees last week to 30 degrees
today it's crazy so I I want that 60 degree weather back anyways I today I
have joining me with joining with me John Walen waling I he is a uh lender a hard money
lender as well as he is with unstoppable funding I as well as he went from being
homeless to getting into real estate and doing what he's doing now so we're gonna get the backstory on how did you go
homeless and so we don't prevent that so we don't do that and how did you get to
where you were at so we can get there so anybody who's out there leave a comment
we'll answer them live you are live right now if you are watching the replay still leave a comment in the chat so
that I will definitely get back to you after that without further Ado John how
you doing today doing real good Randy really happy to be here how are you I'm doing great
awesome so I'm really glad that you're able to come on uh the show today and I
I really do appreciate it was kind of last minute uh notice H all might get
last minute notice unfortunately H time always gets away from me so if was more
than a couple days that's like eons for me I mean everything I do like under the gun urgent yeah
so so you're with unstoppable funding okay and we'll get to kind of like what
you do now and kind of going through there but what I'd really like to do is kind of get a sense of how you got there
and how first off what made you homeless give me your backstory a little bit and
then and then how did you Riser from that all right well I'm going to get
into that I I want to say first of all how I got there is a little bit
uncomfortable it's embarrassing um to share but uh no judgment here no judg
but I'm gonna let you know um so I'd been in mortgages for quite a while and I climbed the ladder I was really close
as far as like production and the number of uh employees I had um one of
the really pretty far up the chain um what I was doing and uh this was an
early 2000s as you know around the mid 2000s the house we had the housing uh crash
and the banking crash and so forth um I was in a position when that began where
we had net branches and had I had personal liability so for those who don't know that's really close to being
like a a franchise and so I was personally responsible uh for this long leases and so forth that said that
really wasn't the full reason um I went through a number of other things and made bad decisions you know um I was
going through some emotional things I was going through a breakup a painful divorce and um rather than making some
of the right decisions I kind of like oh well you know I'm not going to deal with that right now and kind of like ignored
this giant thing that was coming and and it's sort of like a temporary insanity
thing and um where you're just not where you just let go of the wheel and uh by
the time I realized what I was doing came back it was really too late and that's really one of the lessons I learned along the way to prevent things
is that as you come down your uh choices and your options change and they
diminish and if you don't make the Right Moves at the right when you if you make
wrong choices adding up over and over and over again they kind of snowball and then they become this like impossible
weight and this that you can't even see your way out of um coupled with that uh
later on I got in a very um serious relationship and she um ended
up getting cancer and I tried to uh tried to keep her going she had lukemia
and um I I I was starting to make a comeback after all that and uh really
thought needed help and my my father at the time I mean still my father but at the time he was like okay I needed help
and he knew it so I went there and I started to do work with him um but she
just had so many problems she went up North and then I got this call that uh she was you know she said hey it's
getting really bad you need to come up here I I really didn't have hardly any money um at that point taking place here
in Michigan this was in uh so I'd gone to Florida where my father lived at the time okay um still does but um I came to
Florida and uh her doors are in Michigan and so she had gone up to Michigan for
about two or three months and I was sending the money that I could make up to her and I got this call that okay
this looks really serious you need to come up here so I packed up the the minivan we had and just started driving
now I want to let you know that I had a lot of other problems on top of this like yeah I mean I I was financially I
mean I owed like a million dollars to the IRS I owed oh my God I had all these
other things I also had a um suspended license for not paid unpaid tickets all
kinds of stuff and so I'm driving up on the suspended license to Michigan with this van this overload of all stuff
transmission goes out I'm in Atlanta Georgia not knowing a soul yeah I met
this guy at uh Cracker Barrel he took me in and Ju Just real quick what for
timing sake what around what year back was this that was
2012 2011 201 12 beginning of 2012 and so I got and so I ended up being
stranded in h Georgia for two months working for a a really incredible man um
Chris pados and um I uh stayed in his
house and uh he gave me work and I slept on his floor I mean I made um 10 bucks
an hour or something like that yeah and you know I had a place to sleep and but I had to send all the money to her
because she needed it for doctors and all that that kind of stuff finally I was able to make it back to Michigan and
I made it the day after she passed away um when I got there uh I had nothing but
a bag of clothes and I and I had to someone took me in for a couple days
on their couch had different other kinds of problems that I felt I had to get out
of there because it was a really really bad environment and so for I wasn't homeless for real long period of time
Randy I was I mean just just it sounds Sensational and it's really no it's good but I slept on the I slept on the side
of like Hines Park uh for yeah um about 15 to 17 days right about there
hey doing it for one day is a eye opening I'm gonna tell you that right now so you know and then there's so many
stages to get out of that you know yeah you know so what I learned from this and
it's and this is why I call it Unstoppable funding um because what I learned from this is that getting out of
these situations when you're it it sucks you have to work really hard and you got
to just suck it up um you know and and it happens sometimes it doesn't happen
all at once you can't ever lose Faith you got to just keep going keep adjusting and and doing things and just
like the bad decisions accumulated to cause my room
good decisions eventually started to lead to other opportunities to led to
other opportunities to led to other opportunities and the biggest thing I found was you need you need people you
need networks you need others to help there so many people helped me in little
ways or small ways along the way that um you know most of them I didn't know beforehand a lot and and I I did exclude
myself Randy because I was very embarrassed you know because you know and I didn't reach reach out to a lot of
the people that I'm sure probably would have given me more uh help um you know
then after and and also people tend to make all these judgments when you get in those situations like they assume that
well you doing drugs you're on you know you're you're drink doing alcohol you're doing all these other things and so the
help just dries up like you know I mean I had friends that I you know I had some pretty fluent friends and we would go
out and it' be nothing for them to throw me $1,500 and and then you know I'd go to
pay back I know to worry about it you know but when I had this kind of situation this bad a lot of the same
people were like that's I can't help you you know and it was and so it's and so
one of the things is really important to me with what I do is what what inspired
me to keep going Randy was that I wanted I kept telling myself that someday
somebody's gonna look at what I did and they're gonna say well if you can do it I I can I can get through it too and I
can make it and that's and so everything I've done and set up is to take that
person that has nothing and show them a way that they can succeed and actually
make it most definitely and uh this uh Taylor
Taylor Marie actually from the Facebook group said a setback is a a lesson learn
just like you did don't beat yourself up trials tribulations grow and understand
and she said something else on here that yes you need people but faith is what
will guide you to the right people and I could not agree with you with that
advice more and you just said it too so yeah amen you know and thing is
sometimes we lose sadly sometimes when bad things happen we either get Faith all of a
sudden or we lose it entirely you know and um say at the beginning um I was
definitely in that second category um I started to feel you know and I had her
death my my cousin uh was had really been close to he passed away and I
remember just being on the street um y you know that the first day and I was
just like God you know why you know what you know what's going on you know and that was when I started to see things
you know and and appreciate you know what I did have and that's the thing that I think a lot of us forget is that
no matter how far down you get yet there's always something for us to be thankful for and and and 100% so how did
you get from being homeless itself to at
like that everyone it's that that first start and like what made you think of I
did Real Estate come in your mind then or did it was it a little bit later it did I mean I was in
mortgages you know as I mentioned for and conventional mortgages for qu quite
a long period of time um but you got to remember I had these gigantic garnishments you know from different
kinds of things right yeah and so um that was a barrier so you can't it's very difficult to work in the financial
world when you have these type of financial things against you and I did
manage to get um some of those positions but I didn't have any clients I didn't have any transportation I I mean these
things right it took like five or six years so the very first thing though in real estate because I mean I struggling
um as a loan officer but the garnish was were making it so I was only getting
like $230 a week um from holy CP combined from the job so at one point I
was working for a nursing home um okay uh and then I was also working for Bank
of England and I was also working for Choice appraisal class appraisal company
and I was also working for K Park so I was working almost 24 hours a day seven
days a week and only seeing $230 uh of that money and Ma and then
when Obama uh Health came out the way that they did the garnishments I
actually had to pay $100 to work so I literally had no means to exist and um
it was at that point where you know you
know it's kind of crazy it's like I I had to figure out you know some other path and um so and up to then I was
still doing it like I was walking like uh almost seven M five to seven miles each
way to work I was walking from Madison Heights to Troy and then I would go from Troy to Birmingham and then i' come back
to Madison Heights and I was doing that like every day and I was considerably
more overweight so that really um all that walking will uh will help
you there but what it was though is that it was like I had these barriers in my mind that I can't do this because I
don't have car I can't do this right and um the truth is that we're all we we we
we get through almost anything it's not we're not GNA like it but we're gonna have to do and so what really started to
make the Chang though was um I knew an individual that uh he said
that he was looking to loan money as a private private lender and so I thought well and so I I I did a
small little advertisement in Craigslist and I got someone to call me and it was in and they were an investor and they
came up with this idea that I could go find houses for them to buy to Fix and Flip okay right so they so you would
call that a bird dog probably right and so that's and so that's what I started to do and in that I started to discover
that there are these um lenders other than this private person that I met um that were starting to offer and it was
pretty fledging then but they're starting to offer these Fix and Flip loans where you didn't have to verify income didn't verify assets and you know
they had these kind of crazy math and so I started out um getting into that and
and uh what I discovered and this didn't all happen instantaneously that took this took a
little bit of a time yeah and but what I started discover is
that there's a whole lot of marketing that people say that oh we can do this and we can do that and you know they put
everything on one flyer you know we have rates at at six% you got zero down and
we loan 100% of the the rehab and you don't need any income the problem what they don't tell you is all those things
are true but you can't do them all on one loan normally okay you don't get them all
together and so I felt like it's like one or the other or yeah so so I felt
like it was just no standardization I'd come from the world of uh conforming
loans and I realized man this Market really needs people that are
professional because I mean it was like the Wild Wild West man they didn't they would just tell you whatever they didn't
care because because in this type of Market you don't have to disclose yeah there's no there's no
disclosure required there's no consumer protection whatsoever so they right they
just lied their butts off all the time and they still do the lenders when they deal with directly lenders in this
business do and so that's why I created this is because I wanted to create a
standard and a platform where people could depend on go to it some of that knows has already gone through all the
yeses and NOS all the yeah you know and take people through in
a true honest way so do you lend your own funds or do you do you um write it
for somebody else no we're we're a broker okay but we are a broker that
different from like other mortgage companies in that uh we don't do any Consumer loans so your regular mortgage
company typically does not have our products like I'm prohibited from Consumer loans um not me personally but
I mean my yeah company I don't I don't mix them because you only do dscr loans
is that right dscr can be offered by conforming loan lenders y but if you are
doing a dscr loan through a non-qm lender you're still normally held to the
standard or bar that a consumer lender is so there's some crossover okay okay the difference is is
that there's no requirement on us to show the ability to
repay got it okay on a consumer loan you have to show the ability to repay in
some kind of way whether that be stated whether that be the rent whether that be
um bank statements or profit and loss statements we don't require any of that
okay necess necessarily okay we do have loans that want that and you get some
different terms but we can we can literally do it without any of the above um
okay um we can only loan to businesses though we can't loan to an
individual okay so so that's kind of your distinction is is you know so that
kind of brings me to my next question is is you know we have a in our Facebook group in our community we have a lot of
new people whether it be new wholesalers new investors people just trying to
learn okay and you know this is one of the reasons why I wanted to have you on
is because I wanted to know hey if they're trying to do their fix and flips if they're trying to do their bur
strategy if they're trying to do all of that uh you know the buy and holds with the burs and things like that what do
they need from you for a beginner who's never done a deal before what do you
recommend they do when they come to you what do they need well the first thing that they
there's several things Randy first thing they want to do is have a real clear idea um when they're talking to you
about a loan they want to have a clear idea of the project so the first thing I teach and say we qualify the
project not the individual all right right and one of the reasons about this for me I had so many beers I kept being
told no you can't do that no you don't have what it takes you don't have what it needs and so everything uh I was
constantly being told told no if I somebody would just help me with my idea right and so I concentrate first on what
is the project how is this going to be a profitable project that's what I start
okay then the next part is um I started asking them questions to find out what
other pieces are they going to need because if you're going to borrow the money from any of the traditional type
um I'm going to call them syndicated lenders there's different buckets so what I've done is I've set up a whole bunch of different buckets okay and so
depending on how they answer the questions they start to filter them so can you buy a house with no money down
yes well that might mean that though that you need to have a credit score
here or maybe and if you don't have that well then you may need to get a partner
into your LLC or start a new LC and put that person on with you so you may need
to pair up um so the first part is you need to have a
clear picture of what you want to do the next part is you need to have a good
understanding of um how much money you have to work with uh because it can be
anywhere from zero to 25 30% down depending on the rest of the story okay
um and then you want to know who who do you feel comfortable working with um another part is you're going to want
to um know who you're how is this house going to be if you're doing a Fix and Flip how are you going to do it how are
you going to do the work you know how are you coming up with it um and then your evaluation so I I've actually start
I actually have a regular training program Ry I don't know if you mind if I bring that up I don't mind at all yeah
please do so every week and so because of that I would get those calls and so many people really had no idea how to
get started um a lot of people that work with me don't have any money
um I even had a a homeless person myself that I've helped now is no longer homeless again over the summer um
and what every Wednesday so it's every Wednesday at noon it's Unstoppable
funding University on Facebook it's a Unstoppable funding University it's a it's a group so just search groups
Unstoppable funding University group and I believe we have those links in the description if you if if you're having
trouble finding it by the way so look in this description I believe we have those there and so every week we have an
ongoing uh class that covers about probably 10 modules I would say each
module is about one to two three weeks long um but we take you through everything like how to evaluate a
property how to how to find a property I started from the standpoint that you don't have anything and you don't have a
clue right you you don't have any resources so first thing I do is start teaching how can you make money right
now and so I used the same steps I did first thing was um uh being a bird dog
and then to do that you need to know how to evaluate properties and filter y the next thing I did was teach wholesaling
okay because that's another thing I did uh to get me jump started okay um then
um after that start getting into the Fix and Flip and all the different buckets that I just described because every
lender is going to have different rules and this is why you want to go through someone like me as opposed to going straight to the lender because when you
go straight to the lender if you don't fit their box they're going to tell you no all right or you don't go to your Reg
mortgage company when you want to do flips just like if you got brain cancer your general doctor is not the guy you
he's going to refer you to a brain cancer specialist if you want to live right or surgeon so I'm very specialized
to offer the very best product possible for um investing in real estate so for
for fix and flips or long-term burs so then we go from that and then we go into the to the Bur method and qualifying for
that um and the different Avenues now some people so we have products and and
they replaced the dscr randing why this is important so a lot of people today would like to they don't want they want
their goal is to fix it up so they can uh do short-term rentals right yeah
there's so much money that can be made right problem with doing short-term rentals is that if you don't have a history of short-term renting on that
particular property or your own well we can't use that rent to qualify you okay
right so if you're stuck with long and a lot of times on the larger loans the
dscr uh method and what that is guys for those of you don't know dscr says that
the new um uh mortgage payment can't exceed your rent so the mortgage payment
including your taxes insurance and uh homeowners association dues cannot
exceed your rent or have to be within a certain ratio either above or below depending on your LTV all right um and
so and you you see that when you get to larger homes so you start to get to 200 300 400 that the long-term rent doesn't
seem to support the mortgage anymore especially where rates are uh in recent months okay so so what we do um but the
short-term rentals make it make sense for a lot of my clients you know I have a guy in iner right he's got 200 houses
in iner he gets 4,000 a month on these houses from short-term rentals okay which is just ridiculous these are
little thousand square foot houses is getting an average of ,000 a month right so what we do is we put them into a loan
that doesn't use the dscr math all right right boom you're out of it you you fix
the house up so you get into it Randy with with uh maybe put 10% down all right to do the fix maybe you're lucky
enough to do zero down every whatever regard you're putting 10% down we fund all of the rehab money right now now
when you go to refinance it we're GNA use the new value okay so you might have paid 100 for but now it's worth 200 you
owe maybe 120 because of the money you put into it we're we can give you a loan maybe up to 150 so now you got not only
the money that you have invested but you even get some cash cash back and I'm able to do that uh without having to
necessarily use the DSR method now you can if you qualify you're G to get a better rate okay right means that it's
there uh as an option that they may not have otherwise now if you have a great job and you have good income you're
going to be able to still navigate it but you're going to have more red tape my loans are meant very quick fast easy
and I try to make it so everybody can get one so so I'll give you a a scenario
that I see a lot and I I'll actually give you a couple different scenarios so
that you can tell me what's the best way to should somebody come to you for this
or should somebody try to figure out if they can work with a family member or
try to find somebody who's done it and partner with them uh whatever the case for a for a Fix and Flip or a burr to me
a Fix and Flip and Burr is going to be the same thing so um so uh first scenario would be uh if
somebody's working their ninetto five okay they have a W2 income okay and they
want to buy a Fix and Flip property okay um and they wanna they
they want to just Fix and Flip it because um they know they can make
$440,000 later on whatever the case may be you know would you you know in that type of
they've never done a deal before okay what would you expect from them if they
were to come to you or would you recommend they try to hit up family hit
up anybody else that they can work with um or any anything like that so would
you expect like a 20 20% down would you expect a 10% down would you what kind of
rates is not you don't have to get specific but things like that so so so
great question so first of all you definitely want to come to us as opposed to a conventional lender and I'm gonna
give you there's so many reasons why it's gonna be kind of mindblowing okay so conventional lender you're trying to
do a Fix and Flip one they're Pro they're going to make you go get um actual like bids and estimates okay
forget that right number two so so real quick before we go further what I'm getting at is is they're looking to do
say a a a quick basically a wholesale deal coming from a
wholesale deal or not either or it's like an all cash off or type stuff where
we have to we have to use a hard money lender or we have to use
family okay so who has cash well if you have a family who has cash man I mean that's hard to pass up I
mean you know if if if you've got that that that golden Avenue um but that can
cause a grief and uh friction among family members but I want you to let you know something okay we don't ask you if
you you know if you qualify for the program and and there is a credit uh there's a credit parameter that you're
going to have to meet so 660 all right okay kind of it for this type of loan I
have other buckets so bucket one which was just last class uh last week's class and I can definitely show you in
PowerPoint because I already have it done um so bucket one uh if you have a a
660 you're gonna need 20% down all right um but remember and if you're above 720 you
only need 10% down regardless of your experience okay remember this program does not ask you where you got the money
you don't know Bank you don't show it to me so you can go borrow it from Mom and
Dad which they might be more comfortable on Al loone you can borrow it from uh
some dude you met at the bar you could you can even get seller seconds um you
know if that if the seller's open to it so from that standpoint um you could
possibly do a do a hybrid but I mean boring from Mom and Dad and from family is always going to be cheaper as far as
actual financially for sure yeah but what we are about is just making it easy
to get qualified get those loans and close fast okay so that program I can generally close in 10 days or less um if
you've been through before maybe as little as five days I'm okay and what do you expect from a new investor 10 20%
like how much do you because I know that hard money lers they want to see the investor have some sort of cash in the
deal you know so they typically so and again so if you're above
720 in this one does require um what I'm gonna call an AOS automated unning
system response that's an accept so 720 and up
is 10% down okay um six uh 680 and up is
going to be 15% 680 to 720 and 6 6 660 680 is going
to be 20% got it um you don't have to have the experience now if you failed
this program then I have to go to other programs and other lenders may ask you for bank statements or may have
additional um requ so if you so if you failed that then it doesn't necessarily
mean your s so it just means let's look someplace else and see what else we can
find and maybe you do need to run out and get a partner um you know or maybe we need to match you up and that's one
of the reasons why I have the group too because it creates this uh environment where they can just reach out to other
investors like themselves and everyone has strengths and weaknesses and sometimes marrying this up in the right
way can create a very strong team to get the job done okay all right so that's good to
hear that at least somebody can come through who's new they have a 9-to-5
things like that you don't really care about where the money's coming from to be honest so even if they're self-employed it for as long as you meet
that criteria as far as the credit score it doesn't matter right correct correct
okay corre and that's the same for my uh long-term rentals too oh okay so I mean
there's no there's no reserves there's no checking your bank account there's like forget about it it's the easy you
know it's almost like I tell other loan officers and mortgage companies about it mind blown you know just what right what
um so so just to let you know you guys you out there is watching this may sound like a commercial or anything like that
this is no this is actually stuff I want to know and I know that people out in my group and my my people they want to know
this hey it may be simple but every time I see a lender and I try to ask these
simple questions well uh uh it just depends on the situation and and the
situation here and and this and that they never get a straight answer like I
seriously have to I I've gone because I thought about doing uh starting doing
some fix and flips myself and I'm like okay well what's your rate if I find the
property you know where do you need to be at where do I need to be at arv
everything 85% 75% uh what do I have to put in you know
things like like that and I just could not get that right that was a great one arv guys uh so arv if you don't know
what that is that's as repaired value okay and so what we do H the reason why you can only be 10% down and I actually
do have lenders that are zero down um the reason why you can be that is because they're looking at the value of
the finished house okay yeah and so we can go up to 75%
arv uh if you pass this uh a US thing um other than that you're gonna be 70 maybe
65 with most um other programs okay of
the arv and so that means but but that you know that that's for us
to navigate for you um the most most of the people do fit in bucket one most of
the okay clients that come to me do fit in bucket one but and real quick do you have a
minimum yes great question so for bucket one it's $100,000 not sales price total loans we
include the rehab the total loan um for long-term rental loans which are the per
I'll call them permanent loans I don't know what else to call them so the permanent loans um 75,000 for most for
for most lenders I do have others and go all the way down to 25,000 but that when
you do that the costs start to get different requirements get different
because I'm having to go into yeah the lenders off so so you don't necessarily
don't have options but like the problem we see is that sometimes in Detroit we
have the lower cost properties you know I do a lot Randy yeah so there's a
there's you know you may buy a house for 25 Grand put want to put 30 to 40 Grand
into it and you know the arv is you know
uh 90 to 100,000 you know
absolutely I started the class because um some of you may have heard of the Lamb Bank team um yes subscribed to so
Charles Nan was one of my clients and so he brought me on as saying this is my guy that you know got me going London Y
and so I got deluged with all these people and he put me in his book too so you know so I had all these people
calling to do these uh land bag deals right um and so for those of you don't
know I mean you could buy a house for like 500 bucks I make thousand 2,000 bucks and the thing is though you have
in Detroit anyway you have to fix it and you have this restricted deed and so I would try to explain and so I found
myself on the phone literally as long as you and I have been talking trying to walk somebody all the way through this
and so well you I'm just gonna do it all at once in a class so kind of created it originally for that and said you know
what everybody can benefit from this and so that's yes the class and and I keep I'm keeping it free and it's totally
free because for me when I was getting going money was a barrier and I don't
want I don't want money to be a barrier for people no one 100% I I agree with that
so I actually am starting I'm going to be starting the coaching program for
wholesaling real estate and as much as I want to give it away for free eventually when I get it
up and going I I'm in beta test with it with um about six people at the moment
um so just to kind of get my systems going like I'm literally swinging by the seat of my pants with this but once I go
through this once it's gonna you know things are going to come back and not come back sorry uh thing my systems and
and my processes and things like that so it there will be a charge for it because
it'll take up some of my time it will also as much as I want to learn PE you know teach people um they also don't
value as much when they don't pay for it unfortunately I think that there there's
some truth to that and um for sure I mean Tony Robbins said that um first time he tried to uh do a seminars he
wasn't you know they're like really cheap and coming and when he put in a bigger price tag yeah the rooms were
filled and definitely you know so you know I definitely toy with that um you
know we're now just concentrating giving the value and we don't teach from A to Z on wholesaling there's a whole lot of
gaps you know you can't cover that much in an hour guys no you know so it's not
you're not GNA watch that and be like an expert wholesaler by any means um you might be lucky but you're not gonna be
an expert at it for sure and you know what I'm only teaching what I do which is cold calling so there's a bunch of
other marketing techniques and stuff you know things like that so it's crazy but
um so we'll get back to uh with you know you're talking about your you know
so that kind of we we went through scenario one and it kind of leads into scenario two which is a somebody who who
has their own business that they're a 1099 you know um they have but they just
don't have a W2 I'm assuming you'd recommend the same program for them as
well oh yeah we we don't even ask if you have a job Randy right okay I don't even
have a clue what my people most my people do um unless we're just having a good old conversation um I I I I don't I
don't I don't know I mean we literally don't get any income information whatsoever wow no doubt have you have
you done some fix and flips yourselves yourself I have I have a live project going on right now in Detroit oh nice
okay and I I completed one just recently just outside uh English
Village um and uh what um I do what I
did with that one is I you rep purchased a home um to show just show the class
how to do it yeah and and I use the same means that I did because everybody
qualified for it um and got it okay so with that that that's awesome
so you know when you're analyzing a property you know hey it says oh it's only gonna be
$10,000 to to fix and flip this hot like really like really a carpet a straight
carpet paint ain't even gonna be 10 10 grand you know so it's uh you know kind
of going from there and and kind of you have experience with all that and I
think that's for for new investors having somebody like you come
in is actually a a a secondary barrier and what I mean by that is is you know
some wholesalers will sell you on the dream I try to be as realistic as
possible okay with my numbers um but you know some people will like oh no it's
only going to be 20 grand that's it and you look at it and you look at the photos you look at this and your lender
whoever it is if they're a good lender and they they underr the property very
well they are a barrier because they do not want you to lose money okay if you have to come through
and say oh it's going to be an extra 20 grand they know that it's got to come
out of their pocket because your funding's already set for
this yeah you know there there safety there's a there's a safety certain amount of safety net you know there that
having a lender you know right and you know lenders are gonna require a whole lot of things like they're GNA require that you get a title policy without
exceptions okay yeah um and you get a warranty deed and you know they're gonna you know those things are so important
and a lot of times people will fight for the lender to prove it a little bit too much much to their
own toin later on you know it's gonna it comes back and they go oh man I wish I
had you know maybe I shouldn't have pressed so hard to do that and and um
because lenders there they are protecting themselves so if they're saying no they're protecting you too you
know in a lot of cases yeah and as new investors you need
that extra protection okay so anybody can be talked into something in the
moment but you got to come down to the Brass tax you got to come down to the numbers and you have to understand what
strategy you're going to do as a wholesaler myself I have to know all the strategies because I got to know who my
end buyer is going to be and what's funny is is that like I've had a property where I know it's a buy and
hold for a Buy and Hold investor like the numbers don't make sense for a
fixing flipper I get that so I try to advertise it as Buy and Hold investor if
you're looking to park your money here and get some cash flow here you go you
know that takes away half my buying pool because it's not a fixing
flip I only can deal with what I got at the moment sometimes I try to do my best
to negotiate as down as much as possible but I only can do so I I do my best um
you know so but I still get people oh you know I so I ask them I'm like what
are you going to do with the property oh we're going to do a Fix and Flip okay you're going to run your number I know
exactly what you're going to be coming up with okay I this is for a Buy and Hold investor but if you want to run
them go right ahead you know I tell everyone do their own due diligence you know but I give them a
little bit piece of advice in the beginning you know so um because I don't
want people wasting their time you know that's the thing you know I I get my time wasted
some a lot honestly and I've gotten down to a science where I I I'll spend 10
minutes with you no problem and I'll tell you whether it's a deal or not or whether it'll go further in and I I I I
need to do a little bit more research but I can usually within a few minutes I can tell whether it's going to be
whether it's something or not you know um just because of my
experience so um so with that what are you so at right now um so we're we're
kind of kind of go into right now what you're doing here with unstoppable funding you have a few programs that
you're doing you're also doing this the the the free classes which is Awesome by
the way hit the links in the in the description I I highly recommend anybody learn about what you need to do and if
you're listening right now and you have questions ask them in the chat by all
means we'll get to them I promise you okay ask the questions in the chat we'll
we'll get to you as quick as possible uh but from now you are
uh you know you're you're working with the private lenders now do you get a lot
of business where you can pretty much analyze a deal or or anything like that
get get somebody approved within a couple days does it take a couple hours like how long does say a pre-approval
take for a property so
um for us the preapproval again is based on the property I I do ask people to
give themselves some amount of time to get out because remember we can close in like seven to 10 days right right um so
generally if they give themselves seven or 10 days on a contract to do due diligence we'll be right we'll be almost
all done you know if we start right at the beginning um so I mean we do the
approval letters really within about a half an
hour with person that and that's awesome to know as a wholesaler because as a
wholesaler our properties go like this okay and we tell you when you go under
contract when you're you're under assignment okay I want you to do all your due diligence before you sign that
assignment okay so if you're looking to buy the property I'm not giving you any
due diligence time I'm giving you the time from when you look at the property until you sign the
contract okay so you need to know then that way you can put in your EMD right
away I only I say you got to put in your EMD within 24 hours okay so I'm I'm fixing flips to
not all under offer this but in program one um you if you have that situation we
can literally because it does go through an automated system yep um we'll have a
decision and as long as the numbers come in um as far as the values yep we're
good to go you know so now do you work what happens so let me explain the process so
the the process um for us is that they're going to go out and do an
inspection of the property take pictures and then they're can compare that with your scope of work all right uh because
they're gonna give us a scope of work say it's going to cost this much and these are all the repairs are going to do a construction feasibility person is
going to look at that scope of work and say yep that's that's what these pictures say this is what it looks like
and that's going to be enough money to do the job all right then the two of those get paired together and then we
get a value of what it's going to be like because I get a composite picture of the two and so that's the piece that
arv that we talked about you know we're I'm I'm I'm good at coming up with arvs
but that's really where somebody needs to spend quite a bit of time uh learning how to do but also have their team like
Realtors and so forth to help them um get a good idea what the arv is and I
can tell you there's some wholesalers that have a radically different idea of what the arv is and what how lenders how
lenders GNA see it and in Detroit you it's a very different way of copying I'm gonna tell you that right now so the
CEO um that's his name on on YouTube so uh it says yeah telling everyone to
limit your homework so many people are copying blatantly non deals for
homeowners that don't even want to sell and they haven't even spoken to and that
is correct people I've gotten so many people well what do you think about this prop I go have you had a conversation
what's the reason for selling well if they just get their price then it's not a
deal you know so and um Dave uh David
Ruffin from uh Facebook says how does EMD work so on our end so e earnest
money EMD stands for earnest money deposit that is when you as the investor
take whatever amount you agree upon okay okay whether it be $2,500 $1,000
whatever the case may be and you depos you give it to the title company that's
doing the title work do not ever give that to the
wholesaler okay the only way and I've seen this happen before is where you
give the wholesaler the EMD EMD and then in turn basically Bally
they're going to give you the contract at the original price which is fine means you've just paid them their fee
before you closed that's all as long as you understand
that what hey more power to you but if you want everything recorded you give it
to the uh to the title company and the title company is everyone who pays out
the EMD goes towards your purchase price on the property okay it will also and
correct me if I'm wrong that will also go towards your down payment as well is that right that's correct and if you and
I can tell you this if you do give the money to the wholesaler and you uh show
that you pay that assignment fee and you can show it um and I mean sometimes
requirements as simple as a letter from the person that received it says I got the money right um and you give that to
the title company we're going to take that assignment price so let's say Randy you let's say your original price is 90
and you're signing it for 105 okay person gives you that 15,000 we're going
to use 105 to determine a loan amount remember let's say we did 90% of that
we're going to be able to actually loan that person 90% of 105 not 90% of 90 so
right so they don't they're not so it can make some sense but they can also put the money down with the title
company too they don't have to give it necessarily straight to the wholesaler yeah when you're first starting off I
always recommend it's in safety give it to the title company okay don't unless
the unless you've worked with the wholesaler multiple times and you've get
you've gotten some trust with them go straight to the title
company okay I won't accept in my I've been doing this for three going on four
years now and I never accepted an assignment fee as an EMD deposit
personally it always goes through the title company myself but I do know some
bigger wholesalers who do do that and I'm not saying that they're wrong but they have the buyer the buyers that
they've worked with on 10 plus deals and they're okay with
that you know um so with that being said
what is so your doing the loans right now you're brokering the loans um you
know how long of a term are these loans that you're lending out and what's the
max term that you can go on to say some of the longer term loans okay so I'm gonna speak amongst all my products okay
so questions because are General so um we have six month 12 month 18 month and
24 months for fix and flips okay and then for uh what I'm gonna call
permanent loans so those are for one and I also do one to four family um and I'm just now added also multifam is another
thing so anyway one to four family um and on those uh your
20 I mean sorry length of time um you need I have twoyear five year seven year
and 30 year okay the rate difference between the five seven and 30 is almost
negligible um like quarter percent maybe half a percent right now at the most um
the two-year is a completely different loan it's literally a two-year balloon
and that's uh meaning that it's duing two years on a interest only or 30-year
amortization and the purpose for that one is to graduate to a uh short-term
rental so it gives you the time to stabilize it um get a short-term um
rental experience so that you can qualify for that permanent loan um I also want to tell you that my DCR loans
you don't necessarily have to have a lease you don't have to have an AR out they can be vac
okay awesome so you know with that being said it it's it's great to see that
you're um you know it's great to see that you're you're doing this and you're
being open and you're doing these classes and and and you're doing everything um you know also as Dave
Ruffin asked are you mentoring at the moment yeah and ab absolutely um okay
and a I would say to you tune in to my um in
addition to the weekly class every morning I have a Meetup that's basically a virtual real estate
Meetup for everyone people like you Randy people that are fixing flippers uh people that are just Real Estate
Investors people are just excited about never done one before and also and we get together every morning
8:30 to 9 I used to call it Coffee Talk um now I call it Insider Edge but anyway it's the same link that I use for my
meetings on Wednesdays and so everybody's welcome Monday through Friday um 8:30 to 9 Eastern Standard
Time I do that every day Monday through Friday for whoever awesome so with you
doing all of this what's your big Vision what's your vision for the future what
do you see what's your you know what's your goals that you that you want to get and specifically how can our audience
here who's listening whether you're listening live and I appreciate you listening live um or you're watching the
replay what can they do to help you reach those goals well one I really want to grow the
group and really add value you know like I'm really trying to concentrate on giving value and i' see that as an
extension of my actual business all right so that working people you know getting their you know creating this
relationship that's more than just I want your business give me your loans it's like I'm trying to give them
consistent value so I see this as very important to growing my company to set of apart from other companies um you
know that other mortgage brokers other lenders you we want to be the someone that
um a trusted source and resource and I intend to grow this as far as I can so
the next step is pro I I've already added uh a new um Branch or region in um
East Coast it's called we call East Coast loans Unstoppable funding East Coast loans but my intention is at some
point to begin franchising and having that all be part of the whole package but what I do want to make sure is we
continue offer a very good quality product across all of our platforms um
we're non commercial I want to take this to the commercial side because I feel like that's also another area that's
kind of like the Wild Wild West and just make it accessible for everybody you know
yeah there's a there's a lot of people that would love to do something like that with some multif family especially
here in Detroit so um kind of go from there that'd be awesome you know uh now
what markets are you currently in or can you go in any
Market all right so um so what separates
us is that uh we are not um so I'm not I shouldn't say I'm
not but some of my products I can't offer in all states so there's um so for
instance I can't offer all my products in California I can't offer them all in Nevada I can't offer them all in New
York okay I do have some products but I don't have the full range um and what
that has to do with different uh state laws and licensing requirements and what they
consider to be Consumer loans so it's under the consumer loan jurisdiction well then
they're gonna imp impose some of the same rules that I talked about that would not allow it so for instance the
biggest one is uh see 20 years ago where you could do hard money and yep you
didn't um and so let's say you had a fixed income $700 a month or something
but you had $200,000 of equity and you wanted $100,000 loan you'd say well you know if if I don't pay you just take the
house right Jud decided that well that's predatory lending because you didn't
make any attempt to make sure they could make the payment so you obviously they plan to take their house okay right make
grand um for what we do uh businesses though are not protected in that way so
that's why we're able to do we're able to do a few things um because of that but not all states interpret it that way
but the majority do so that's why we don't offer now do you care about how
new the businesses no no we don't so if they
just made an C yesterday you you lend on it okay awesome we just can't loan to an
individual so they but you know they got it because we have to have that
separation it used to be that we could do individuals with a B specific business purpose but some of the states
like Michigan for instance changed the law just a little bit and you have to have an LLC now to do what I do got it
or or in doesn't have to be an Aly but it has to be an entity most definitely well I will say this I will be coming to
you uh when I decide to uh start doing my first flick and flip so accomplished
yes 100% um but with that being said right now I'm just concentrating on
wholesaling getting as much of you know value giving as much value just like
this on these podcast um as much as we can through the Facebook group through the YouTube for through YouTube
uh as giving out as much free content as we can um I will be developing that
coaching course as well um so stay tuned on that and you know honestly in my
recommend like if he's offering free classes for you know um I
don't I'm sure he touches more than just Financial you know so you know check them out and and see what they can do
and and you you can learn something from everybody honestly that'd be that's awesome so yeah we we we go through
showing how to F use legal news to find properties we go through okay um you know different places like landbank tax
sales um clearing title quieting title um we cover a lot and that's awesome you
know but it and we'd love to have people like yourself right now love I mean wholesalers are very big part of the
business because a lot of people just don't know how to find them very well or don't have the time I mean Whalers had a
very important role in what I do for sure most definitely and that's the key
is is I give I don't want to call it mentorship at the moment but like it's
essentially kind of is is when I come across um when I come across the you know any
of anybody who's looking to jv on a deal I look at that and go from there so um
ra Meyers from the Facebook group what is the link it is in the description to
his class pull it up and uh post it just in case you're hang on one second I'll
get it for you yeah most definitely and there should be a pres present button down there I if if you want to present
that um on your side of the screen down at the bottom by the settings okay you you go to present and
then sh share screen all right but I want to when I to paste
the link I put over here in the chat is that how i y you can put in the chat and then put the link here and if you want
Randy I do have you if you'd like to see it um I do have uh I don't know how long
your classes go but I do have a uh I do have a PowerPoint on the on on one of my
Fix and Flip programs I have a few things if you'd like me to share I can for sure almost definitely so and let's
see here yeah I'll go ahead and present if you want I'll go ahead and share uh one or two of those real quick um I'll
try to cut it down to like five or 10 minutes and go fast you're at hour I don't know how long here these go yeah
most definitely go ahead and see what you can do and uh right go from there all right all
right okay so I'm G share my screen
and and I just post the link in the you in YouTube as well as the Facebook group
so go ahead and check that out all right all right so but it do it should also be
in the description as well all right so I'm just gonna pop in here so I did want to pull up a couple things to show
people um yep real quick here guys so there was a period of time before I did the walking when I was taking a bus
three hours from Garden City Detroit and so these are actual pictures of when it happened because uh to kind of deal with
what I was going through had to keep good humor and it was a really long trip so I would take pictures along the way
on the bus just to show you some of the history so you see by the date that's 2014 and then 201 I was doing the
walking and so I would take pictures this seven years ago and uh I would walk
um all the way from Madison Heights DET Troy and then from there to [Music]
Birmingham um all right so I'm going to go ahead and share the uh this here real
quick all right so basically this is just about what makes funding your flip
easy with us all right yeah and um first thing is there's buckets there's
different kinds of programs to meet all of our different different strengths and obstacles okay so this is just covering
that Premier bucket I kept talking about bucket one and the main qualifiers are these
loan amount must be above 100,000 which means your arv needs to be 140,000 or
higher so as repaired value needs to be 140,000 or higher for that program credit score must be 680 and above uh
and is a soft pull so they're not going to um they're not going to with
exceptions down to 660 by the way but there there's no inquiry okay um will
not show on your credit report and that also requires an AOS under it um how
does the program work we qualify the project not the
borrower as it stated we concentrate on the project and the future value of your property when you finish the home you're
going to need to have an entity with an EIN number to apply we use the best score of only one
member in your entity so you could have a 580 score but if you have a friend that has a 720 we're going to qualify in
that 720 all right um what else makes this so easy there's
no asset documentation that means we don't ask for bank statements or other asset
information or documentation on most of our programs there's no income documentation or ratios there's no tax
returns pay stubs W2s or other it doesn't matter what you owe no as's
value is calculated um so this is really great for wholesalers Randy is that
there is no Asis value because as you might know if you're buying a home that if you're selling that is in a
dilapitated state the appraiser is going to have a really hard time with coming up with a value there's a big obstacle
in Detroit okay A lot of times because you're they have homes all over the place they selling for 10 20
$30,000 and the banks don't know what to look at or the lenders don't know what to look at and so if you have to
calculate asses value a lot of times that can tripy up um right and then we
fund assignments and we also do double closes okay and we can also provide the
transactional funding if you are doing a double close double closes can be important like you're buying it from a
bank property that doesn't allow assignments and you're trying to wholesale it um project needs uh you're going to
need to provide the estimated property the value and what it's gonna be worth when it's done you provide a scope of
work I don't need business estimates from um contractors and all for so forth
we're going to take your numbers you're going to put them on a scope of work real simple tell us what you expect that's going to cost you purchase
agreements and any assignments that you might have and take picture real quick so the CEO says it's like asset-based
lending for commercial and DSR dscr for residential awesome so is that right
yeah so can you say say that one more time I want to make sure I heard what you said correctly yeah so he said it's
like asset based lending for commercial and dscr for residential is that right
that is correct except for on fix and flips there's not even the dscr part there's no related nothing nothing
nothing nothing zero nothing there's no ratio whatsoever okay so yeah so the
CEO um I really wish I knew your your real name the CEO because you you come in here and you provide lots of uh
questions and comments and I I I love it when you come in here um but I so yes it
is asset-based lending uh the D the good thing is dscr you need to show the
rental income here you don't so at least that's what I'm getting from him correct
that's absolutely correct okay that's that's different dscr means just so you know dscr means
debt service coverage ratio and so what that means is relationship between your monthly
payment and your rent this doesn't use that to qualify so you could and you
don't have to do a Fix and Flip with this program there's a big shocker you can buy it just to acquire you can use
it just to acquire property but remember the longest period of time for this kind of loan is two
years awesome so and he said his name is Pat Pat from Connecticut awesome man
thanks Pat appreciate it you thank you Pat and uh so then I I do
explain some of this is would be a little bit longer to explain and I do have a worksheet be part of the class
but um I just wanted to uh share that with you and I'm gonna problem there um
and turn it back over to you yeah that's awesome so I'm really glad you're able to share that at least um and anybody
who wants to see his class by all means we did post the link um in the chat but
it's also in it should also be in the description as well so uh check it out
um go from there and and I'm happy to uh have John on here we've gone a little
bit over on time but that's great because I I mainly do it to you know
respect the guest times and he wanted to go perfectly fine with me so um if you
have any questions for him put them in the chat and we go from there we also
have in the in the description unst stoppable funding okay um and you know
and kind of go from there so the CEO uh Pat now I know his name thank you guys
I'll dive deep hope to acquire a loan from a from an East Coast loans
Unstoppable funding you know awesome man the the leader of that group over there
is Alfonso Tillman and uh he started out as a mortgage broker that would brok R
deals to us so a lot of mortgage brokers actually are my clients and they will right um send their clients over to me
um you might know like Sean Craig for instance you might know him he does quite a bit with us um and then uh but
Alonso started out like that and he said hey I wanna I I I think I just want to join you guys now so he ended up doing
that so well that's awesome so um and you know again his group is also
Unstoppable funding University on on Facebook so check that out uh and I'm
happy to have uh have you on and you know what maybe we go some through some
stories later on and we get you on again um on maybe some horror stories or and
you know so we can learn and and and kind of go from there so those too I
mean you're this is it's not all easy money I
mean there's going to you know you're gonna expect to have some setbacks when you do this so you mean go into it know
that you're after the the mission at the end and what you really want to achieve for yourself in your life um and you
can't evaluate it by one project um it's the it's repeated effort being
consistent doing it over over over and over again day day by day that will prod when I was in my when I was in my 20s I
always wanted that quick quick reaction I wanted everything to be done right now and and now that you know I just turned
40 not too long ago well it's been six months now so but um you know I turn
forward I'm like you know the thing is is that it's consistency if you
consistently do something you're going to get more out of it versus you know oh
I'm just gonna hit the I give you an example hitting the gym you're you're you're not going to go anywhere by
hitting the gym for one week I'm sorry it's just not going to happen okay you may lose a pound or two but
maybe okay but you're not going to get any significant work done un until
you're consistently working out the same it doesn't have to be five seven days a
week it could be three days a week two days a week does not matter you will if
you consistently do something you will gain so much out of it by that and I
that's the same thing with real estate that's the same thing with wholesaling you know when I tell when I
get a no from a seller I'm excited because it's just one more no to a
yes so I'm gonna end the episode on that I with that being said I'm gonna just
bring you down we're gonna talk after after a moment all right okay you got so
um I wanted to say for everyone here thank you I really appreciate you coming
out uh and I really appreciate uh you watching us live
giving your feedback and things like that if you want more from John by all
means put them in the comments hit them up and go from there let's all do deals
together