On Episode #3 of Real Estate Talk w/ Randy Stedwell we are bringing on Ron Walraven. We will talk about is 24 years in real estate and all the ways he does his business.
Ron is married with 4 children. He has been in Real Estate for 24 years. He was first licensed in 1999, sold REO’s for banks till 2012, then went into wholesaling. He has completed about 4500 transactions. Has completed many types of deals. Currently pursuing large portfolios of single family along with researching Assisted Living homes.
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Hey everyone how you doing out there happy that we are
live for another event here on uh real
estate talk with Randy Stedwell I have
that so I have here uh the great Ron
Walraven wrong way uh Ron Walraven and
awesome guy I'm so you know uh he has about 24 years of experience
and we're about to talk about most of them but again this is real estate talk
with Randy Stedwell uh if you haven't yet check out the YouTube channel if you're on the YouTube channel make sure
you hit the Subscribe I if you're on the Facebook group either go over to the
YouTube channel hit subscribe or stay here whichever you prefer
and with uh without any more introduction here's Ron
Ron how you doing today hey Randy how are you I'm doing good doing good so
really want to say thank you for coming on with us and and joining
joining us to join us uh you know with our group our
Facebook group as well as the YouTube channel so and kind of wanted to you know you're
a big player in the Metro Detroit area for wholesaling and just real estate in
general so I wanted to bring you on and and see if I can add some value and you can
provide some value for the group and then at the end we'll see how we can add some value to you so
okay all right awesome so you know let's kind of get started a little bit and by
the way anybody who is out there if you have questions for anybody
please do put them in the chat and then we can uh go from there like
we can answer them as we go and I you know and you'll get my perspective as
well as Ron's perspective on this so on any of the questions all right so with
that being said Ron tell us you know tell us the back story the origin story of how Ryan
got into real estate and and what happened what got you in there
well if we go all the way back to high school which is a long time for me by the
way uh I'm 59 years old I'm gonna burn been
around a little bit longer than most in our world okay I came straight out of high school
and became an auto mechanic I went to 12-month uh Automotive School in Livonia called
motec which somebody may know what that is oh I know what that is I went to
WyoTech so yeah same idea Chrysler was it was a Chrysler sponsor at school at
the time I was a 12-month uh technical school that you got to
basically get a certificate when you were done yeah and you could get like get your license from the state of Michigan to be an auto mechanic and in
those days it wasn't that the license wasn't the license wasn't that prolific you just needed it to work
but anyway I came out of there did it in 11 months instead of 12 got out a little
bit early I uh then went straight into a car dealer as a mechanic okay I worked
there from worked at a Ford dealer initially then uh uh uh Jeep Renault
dealer in Southfield and then jumped out to Rochester to a brand new Jeep dealer worked there
for a little while bumped over to Sterling Heights for a little bit came back to Rochester Bill Fox Jeep in those
days okay uh and then ended up hurting my back
uh really bad during while working because we were doing a bunch of there was just one particular air conditioning
repair we were doing a lot of and it just took my back out and I woke up one morning couldn't
couldn't work I hurt my back and uh while I was sitting around
recouping I went and took the real estate class trying to figure out uh how to uh how to make six figures again
because I was humping on cars pretty good right when I came out of surgery for my back at that point the doctor
said hey you can't do any you can't work on cars anymore so I said oh shoot I can't do that anymore
livelihood that you're living yeah it was a good thing and it was a blessing and a curse all at the same time I was
very good at it was making a bunch of cash and just had to kind of quit so I took the real
estate class which I was always interested in doing anyway and beginning of 99 I got my license
and hooked up with a local broker that was doing foreclosures for banks Okay I
uh got one account from him who
turned out to be ameraquest which is a b and c lender back in the
early 2000s and of course the world was imploding foreclosure wise in the
Midwest so I took that one account turned it into two three four had three four
hundred uh sales a year for about 10 years had 40 50 listings any given month a
team of nine people and then of course I'll wait until nine happened and things imploded from the
from the the bank World in other words they started helping everybody yeah because the government was doing what
they were doing and so it kind of took my business model and threw it out the window
I've done hundreds of thousands of values for houses in Detroit and the suburbs
I sold roughly 3 500 houses out of the city in that 10 years
and then we bought it about nine and ten when things when I was coming out of
that I decided you know what I got to do something in real estate and is using my uh using my property management skills
in a lot of ways because that's what we did for banks we took care of everything okay I decided to start wholesaling
I don't know I took that four or 500 database of buyers started looking for
deals um took me a long time to get the uh get the community so real quick before you
did that did you even know what wholesaling was like how did you figure out what wholesaling was because not a
lot of Agents know what wholesaling is well in those days there wasn't a big deal to be a wholesaler you know it
wasn't a known technique in a sense of course the grocery store is a wholesaler
right he buys a loaf of bread puts it on the shelf and sells it right paid all right so it's not a the concept of
buying low and selling a little bit more is is not new in that sense
but it wasn't a technique that was very well known um there were four or five guys even in
Detroit at the time that were because the reos were so prolific you didn't have to you could snatch
those things off the MLS on those days you didn't need to Market and do all the things that we do today right about
marketing you didn't have to do that and uh so when I I just took that
prowess in that time and the database of buyers and just turned it into a
wholesale list now you know at the beginning of that it wasn't that simple of a process meaning
I just didn't think about that overnight and started doing it it was more me just
understanding contracts and knowing how to maneuver through that
so even then it was more like a it was more like a listing in a sense meaning I
would pull deals off the MLS send them to Local investors and and then that's
kind of how I it kind of developed into the wholesale when I realized that I
could make you know five or ten Grand on a house as opposed to making a simple
commission right you know in the REO days if I made eighteen hundred dollars on a deal that was a lot
so obviously today that's a different and of course I was selling 300 deals a
year at that number because it was listings it wasn't me looking for the business right
so it's a lot different it's the wholesaling technique is just different of course I developed it my own way of
doing it and I got involved with a bunch of masterminds and things like that at a
higher level so then I took that team of eight REO people and it dwindled
and built it back up to a team of eight or nine through roughly 14 through 19
was kind of our Heyday okay there's the deals you know we did 160 deals in 2018
just under 119 and you know so obviously covet comes by in 20 and so forth but by
the time that covet came I was very good at it all right with a lot of business and had a partner at the time
that uh you know we both complimented each other very well he was a marketing kind of guy I'm a dirty down and deep
you know down a dirty deal kind of guy I work with investors as well as I can empathize with a seller in his living
room and you know which kind of goes back to my days as an art as an REO
broker I didn't really have or even a mechanic I didn't have to be a sales guy
right I just had to just had to kind of just get to get the assets and then of course when you start
wholesaling truly you have to become a sales guy in a lot of ways right right
I've learned how to speak to Sellers and learned how to be empathetic and
understand the numbers and do the formula and all the stuff that we do yeah I'm very very uh it's easy for me
to it comes out of my mouth naturally now I don't even have to think about it in regards to how to respond to a seller
so you mean you don't just get on the phone and be like hey what you want for your house no no you have to have some
empathy right you have to understand who your audience is I guess for lack of a better term and your audience was either
a family member with a with a with somebody who's passed or somebody who hasn't paid their taxes or their
mortgage is upside down or whatever the stress is you just have to be able to solve their pain right because that's
really what it is you're just like hey I know you're about to go in foreclosure but hey what you want huh how much you
want yeah now now are you are you looking to maybe sell your house yeah
yeah well why do you call me well your name's public record you know all those things exactly yeah I get that a lot is
because I my primary channel is either either javine or cold calling so I get
that a lot how'd you get my number right was public record it's public record so
the worst one is when you get the daughter's cell phone you know when you consider cold call to
daughter cell phone and they're all over you because how did you get my daughter's phone number oh don't you own
the phone yeah well sorry oh by the way do you want to sell
your house yes even and they're yelling at you you before you get off the phone you ask
them do you want to sell your house right or no right yeah yeah that's hilarious I I everything can
get it go we can go on for ages on stories for sure so so after you've
figured out like okay you can wholesale these for more than you can sell them for just putting uh you know putting on
the market how did you get around the banks saying that you know
because there was a stipulation you can't assign in in the Banks contract they don't want to see
that yeah well there's a technique that a couple guys perfected or figured out did
you just buy it in the LLC and then you you sell the LLC to the other guy so if you if you buy a bank
REO which there's not very many of those around today right but back in the day when there was a
lot and I was on the broker side that was the way that those guys did that they just sold the LLC
or they just tied it up you can change the name which the banks didn't like
you know at the end of the day I was always the buffer you know I would kind of because I really just wanted those
guys to talk to me yeah tell me what you're doing so that if you if so that we can put this deal together so that
you can get a house and I can get paid essentially you wanted to be in the room with them correct no yeah and
it didn't realize until in the beginning it was just okay how can I get paid but
then after a while you're like okay no tell me your processes I want to know what you're doing because I want to do
that later on and there was a lot of people that asked me that question too like why don't you
invest Ron because if I was selling 300 houses a year listed wise you know that's a lot of hard work right
to do that many deals you know to do 300 wholesale deals you have to be pretty good at it and you
have a staff you have a big staff if you're doing 300 wholesale deals to sell 300 reos
it wasn't they it wasn't as difficult as it would be to sell 300 wholesale deals
right I was they would always ask me and I would just tell them well you know I came out of being an auto mechanic into
real estate and I got bills to pay I'm just trying to make a living and trying to feed my family and of course the just
as when I hurt my back that forced me into real estate the implosion of the
REO Market forced me into wholesaling so I I'm I'm I'm an entrepreneur I just go
for I can make the cash and I just figure it out because even now with our Market changing it's a lot different
again you know meaning everybody everybody could just breathe in wholesale a house and and list it and
sell it the last couple years now we're kind of back to some you actually got to know what you're doing to sell out yeah
I actually got to know the numbers right you got them yeah and you can't just uh
you know throw something against the law and see if it sticks yeah yeah now I like to do that but I just like I just
reach my hand out and grab it when it falls off the wall that's what I do and you know I've done enough that
understanding what the banks are thinking meaning even from the listening perspective understanding what an
agent's thinking on both ends right because I buy houses too and then put
them on the MLS and sell them and a lot of Realtors you know they don't understand uh you know what that
looks like as a you know like you just bought that house the public record says it's John Smith and I said well I'm
buying it well how much did you pay I'm not going to tell you that right then they figure it out and you know if I'm
selling it for 75 and just paid 50. they'll say well you can't do that and I said well yeah I can and don't you wish
it were me like hey you could do exactly what I'm doing I don't see the problem yeah don't
count my money by the way you know count yours not mine right and some you know what sometimes the thing is is that we
we do try different things because like we do push the envelope but we do it methodically you know and and it's like
okay we're not just gonna uh hope and pray because that's not a good business
strategy no we're doing a methodical we know the num the number we're asking for
is a little bit too high for you know what it is but if we're going for a
homeowner like if you're putting on the market and you're actually going for a homeowner we may be able to get that
you know and a lot of times even our wholesale deals that we don't take down yeah you know for more for the better
part of my beginning of my career we used to buy everything yeah I'll put it on the MLS we'll you know covet taught
us how to be better taught me how to be a better wholesaler a true and so putting it on the MLS when you're
not the owner is a is a technique that you have to be good at yep because when
that agent's calling you going well you know what is a wholesale deal how come I can't you just take a sign off on my
contract so then you have to explain to them why yeah that your contract started
to Ball but here's the dock you need to sign and here's what's happening and it has to be cash got it well why is that
to be cash well let me tell you why um there is a high level technique to get a mortgage buyer into that and that
could be a you know we can talk about that if you'd like um but generally when you when you put
it on the MLS you got to tell the agent that you have what we call Equitable interest yep right you need to do that
otherwise because you can't represent the fact that you're this that you're working for the seller because you are
not right the fiduciaries to yourself so you have to that agent needs to know
that that they're negotiating with me as the agent or as the you know the
contract holder and that's what I'm selling and I am going to pay you EU commission I'm going to do that because
it's not unless I have to yeah you're going to come down so I'm not cutting you out of the deal or the broker or
anything I want a lot of and a lot of Agents they're all they're concerned with is how am I going to get paid right
for sure that's it yeah so I mean we all should be concerned how we're getting
paid but at the same time you know a realtor's fiduciary is not to themselves it's not to their paycheck yeah so that
buyer and or seller I guess in this case it would be the buyer and my fiduciary is not to the seller I don't have a
listing contract with a seller I have a purchase agreement right I don't want to
take your deal I just pull it off the market you're talking to me you're not talking to that seller so so let's break
it down real quick while we're talking about wholesaling explain obviously I'm
a wholesaler so I know what wholesaling is but explain to the people the new people out there it your words exactly
what is wholesaling well a whole a true wholesale is is simply selling a contract not the house
and you have to and you have to make sure that that's what you're putting out there so so to get the seller you have
to outbound Market to them in some way figure out what their stress is there's lots of internal ways meaning online
products to be able to find out and find a stressed seller hasn't paid the taxes the mortgage is
backwards uh code violations water bills all kinds of different ways and uh and
so there's different techniques for that marketing you have to have the right message to them I'm going to call you
right so then when they call you you then have an empathetic voice well how
can you send me this white postcard well it's because I'm interested in your house you're looking to sell yeah I've
been thinking about it and so what how does it work I say well what we're going to do is come look at your house we're
going to determine what we can sell it for if we fix it I'm going to figure out what it needs to
update and then we're going to you know give you a fair offer based on the repaired value minus the repairs and
then me making some money to feed my family Mr seller don't you want to feed your family yes I want to feed mine too
that's how I do it years before here's how the math works out right so then after you get a
contract then you go out and Market that contract to the investor world
okay for a real buyers list right but everybody tries to go get first and not
the deal you know the kind of a side note you guys that are trying to start off go find deals don't go find buyers the
buyers will come out if you have a deal the buyers will find you it's like it's like the chicken or the
egg buyers you you will find buyers if it's a good deal but you're not going to
uh find sellers when you have buyers like that just doesn't happen so at the
end of the day you're taking you execute that contract you're the buyer yep then Market that contract to a list you can
do that on Facebook you can reach out to me I got a list you can send it to my list for a fee we all have ways to do it
you just call me say maybe I want to buy it but here on I got this deal and so on so what do you think and if I'm
interested or I know a buyer you know maybe I bring that buyer and we do what you're what you're very good at is jving
yes right yeah so jvian is a very is a very bona fide valid technique of
sharing in the wealth instead of hoarding the wealth and you make sure
that you have a contract you know don't just go out there and throw it into the world and say I got this seller I
talked to and he might sell and here's the number you know you want to have something that you can actually sell to
somebody else and that's a very important thing out
there if you do not have it under contract you should not be advertising
it period now I have as a wholesaler I have a few pocket buyers that I go to
that I'm talking to a seller we're in negotiations and I sent it off to one of my buyers
that's not me marketing it out to the world that's sending into a few trusted buyers that I trust not to go behind my
back and steal the deal right you know I don't recommend that for anybody to
do I always recommend if you're going to put it on put it in front of a buyer I
have it under contract I even go so far as to bring buyers with me those trusted
buyers is bringing with me on the appointment as a contractor they zip around through the house and
then they leave and then they go down the street do their numbers and text me back the number and then while I'm standing with the seller
I negotiate it backwards and build my fee into it and buy and sell owls all in
the same 10 minutes so I've done that more and I I even got one on one guy that'll actually stand
there with me in the book and be in the negotiation and I trust him that he's looking out
for me he's okay with whatever I come up with so if I come up with a number that may seem to be too high for him then
he's not he's not worried about it it's just not his number right because I'm looking my
my job at the appointment is to make the deal exactly that's my job is to get a
contract yep and and do that truthfully and with Integrity tell them what you're gonna do tell them that you're a
wholesaler and that you you know you're you're this is what you're gonna do and this is why you do it
you know if you're not going to close meaning Mr seller you know this is how I
operate if I don't find the end buyer then we'll have to renegotiate is that okay with you or you can do how I do it
is is uh have hard money guys set up and then you can you can get a better discount if you guarantee the close in
other words your your Spiel to them is to say Mr
seller if you take this deal I will close but my main exit is to wholesale
this and not me be the buyer yeah so at the closing it may not be me a sign in
the papers but the contract that we have is going to be the same number there's no
difference because the buyer on this side pays me for bringing the deal to them and when you're upfront with that
and then when you're calling bringing 10 buyers to the house they don't like what are you doing like why are you calling
me to have appointments why are we having an open house on a Saturday why are all these contractors coming into my
house right yep and then you just all you do is blow up your deal that way if
you're not being you know honest with them and of course when you pull up to the house as a host later don't pull up
in your Escalade there's one thing that I don't
understand like I there's a lot of virtual wholesalers out there that you
know They Don't Really disclose that they're wholesaling which is fine you can do whatever you you like but they're they
only can get people in the house a limited a number of times before they start asking questions
yeah to continue down to you know to answer your question is once you find a buyer and you assign it to them yep you
have a single document that that takes that purchase agreement puts the buyer in between you and the
seller for a fee correct so if you buy it for 50 and you're selling to your guy
for 75 the assignment doc says 25 000. how does the buyer know that it's
equal on the 75. you got to give them the contract in other words because he's going to
honor all of those terms which are him paying the closing costs or whatever you
negotiated with that seller okay so you so you put in your assignment contract
the fee yeah okay I don't hide anything in regards to the buyer and or silver yeah so I don't
hide it but what I do is I put the assignment like for instance if we have
we we got under contracts for a hundred thousand and we're assigning it uh for 115. so I actually put in the assignment
fee in the assignment I put 115 and then the contract is a hundred and I
so the title company just gives me the difference they do the math yeah yeah I
mean I've I've I've never had a buyer bulk at the fee because we negotiate
because they don't know that number up front meaning yeah they don't know what the underlying contract is until it's
over yeah so when I always tell them if they start barking and squealing at me I
say look you got this is your one shot with me if you don't want to do this deal that's
fine but you'll never get another deal from me I I had one I had one guy actually do
that with me and I haven't sold another house yeah
I don't like you know as soon as you start counting my money right more than
likely it's not gonna happen and I had a House in West Bloomfield probably six
seven years ago but I made 90 000 on the wholesale deal and I sent uh I sent the purchase
agreement and the assignment doc to the guy he didn't say a word so that and all that guy you know he's a
very Bonafide buyer so I already knew that he probably wouldn't squawk anyway but he knew not even to not even digest
in it but just signed it and in that particular he actually wholesaled it
again you know we jumped it again you know and there was enough room in
there right yeah you know shame on me in a sense of not getting enough yeah but the other day I'm okay with that so I
needed to be just as cordial to him and the fact that he had another buyer
that up sold it for another 10 right right and it worked out well and that that guy bought lots of houses from me
and we've been obviously in he's passed away since Jeff bitwitz if anybody knows he uh
he's one of the one of the best guys in town and he would he was a lender and everything else as one of the there's a
core guys in in Detroit there's probably 10 12 of us that really kind of play the
circle yeah hi John you know Tommy Desmond Tom harderman and
you know you could go on and on right oh yeah well there's a good there's a good set of players that just do we just do
what we're supposed to so now to kind of get down the roads once you get that assignment you give that to the title
company the title company you know knows what to do with it you need to find it pretty you need to find a title company
that likes assignments because some of them don't and even some of them have recently
have these have decided that they want to disclose to the seller what the fee is before they'll close and I just say
if for some reason the wholesalers or the buyers using that title company because we agree to that
and they do that then we just don't deal I'm not going to tell the seller
when I'm making not on purpose right so at the closing is two statements there's
a seller statement and a buyer statement so neither they don't cross yeah and if you have a good title
company they won't they should not and you should have that um we've had a problem before where uh a
title company accidentally showed the buyer statement to the seller and the seller statement to the buyer and
it was I mean we we got it through it but oh my God yeah yeah typically if I
have a solver I think is going to be kind of squirmish I'll actually go to the closing because I don't generally go to the closing if it's never I've never
been to a closing in two years I've been doing this you probably should go at least to understand it
so I've been in my own closing for my own personal house but that's about it when I was doing
reos we used to go to all of them you know because the bank at the bank found out I didn't go to a closing as their
agent that's a problem yeah so I wasn't going to cut off the hand it was feeding me you know some some when I was doing a
lot of business 05 and 06 it was tough to get there every closing because sometimes we'd
have multiples in a day so I just started selling staff but my point being is there's no reason for you
as a wholesaler if you're jumping jumping the contract there's no reason for you to go right unless you think
that the seller just you know it's a report building thing too you know you you know that's a really because it's
not like a realtor it's not like you're bringing them a gift right like a realtor might do and you're
just there to if you're there it's the support the title girl you know trying to because sometimes
there's an explanation and I have a very good assistant that that is in total communication with the seller right
after the closing and generally I'll call her and have me to kind of get clarification so I'm she's a good buffer
for me and then of course if there's some money issue with that that has to be decided then of course my assistant texts me and asked me the question
um kind of thing yeah so uh Nicole tender said hey guys
how's it going how's it going Nicole and then uh
um Tara Lynn from Facebook also said that a quality buyer wants the
wholesaler to make a lot of money yeah and I caught 100 agree with that
and yeah and then uh trying to see who ah here we go Shyla Johnson
wrote uh so many big players in Detroit seems Seems saturated uh does an
individual wholesale even wholesaler even have a chance before they jump on
all the listings uh list with their robust resources you know
so I'll let you answer that since well it's you know Detroit is a very
residential area and as you point out there's players in
town that we've been doing this a while there's more houses to buy than we can buy we can't buy them all right
supporters don't always like everybody they they they do business with people they like and Trust
so sometimes it's not about the price and of course the the buyers that you're
not the the sellers that you normally might be competing with are calling everybody in town anyway
right so even if you have an online presence and at Google who buys houses they're going to find the top five or
six guys yeah their websites and or we've sent them a postcard or we've
texted them or cold called them or whatever you know so they usually have some stress if there's a stress on their
life somebody's finding that and then if they're at a at a Crossroads themselves then they're Googling so on
on that with somebody who's just starting what would you recommend they
do as far as a marketing channel and going with you know so everybody going
after the same things what would you recommend I mean I have what I would recommend but I want to
hear from you well right now it's working up best for us is just simply texting and you know there's platforms
to do that with uh lead Sherpa patch leads you know there's there's a lot of
you know other kind of uh services that do the texting you need
to make sure you're compliant with the texting and the cold calling yep you need to make sure you're not selling
something because if you're if you're texting and cold calling and you're selling something and you're on that do
not call list that's a violation yeah so there's certain parameters you
need to do I think I think the most effective long term is Direct Mail
because you sent them a postcard the postcard if they're if it's a probate or some other type of thing
where they're eventually going to sell their house that postcard laying on the table with the 20 other ones is still effective yes
so right so they're gonna pick it up sooner or later I tell a story is that we stopped
doing a lot of direct mail roughly around October of 19. we just kind of
stopped we were doing 100 000 a month right up until then so that's a lot and
that's expensive and right so there's you know that's a little bit different process when you do that much mail
but even even and even until to even today we still get a call from that one
of those postcards sitting on somebody's table the last Royal Oak house I did about three months ago came off a
postcard that two other acquisition guys that I was using are no longer with me their photo was on that postcard and
picked it up because she liked it then yeah and wrote a note on there
and she just had some she had some stuff to work through in regards to the state right so she finally decided it was time
to sell so she went through those cards and ours was on top and we put that deal together and uh you
know and then texting what I like about kind of the the main thing that I do is a combination of those two I text that I
get a list I text that with well I skip trace it first right so the
the you get a list of names you then skip Trace those upload the those cell
phone numbers into the system you then take you know do a string of text to them so one of the three things is going
to happen with the text it's either going to get blocked or they're going to tell you to go pound sand don't ever call me again I call them Angry Birds is
what they call those people and or and or this just uh they'll reach back out and say hey you know I want to sell my
house right yep so the ones that get blocked you take them take that list and scrape
it off and then you send them a postcard because you because for some reason
maybe that cell phone is not theirs anymore right like North or they'll block it right
so then when you send them the postcard then you're getting the real touch to them and then a lot of times by the time you
do that because they get a bunch of texts from you and always be transparent on your text tell them who you are don't
be safe don't say just hey I'm looking for houses to buy call me and with no name no nothing they're not going to
call you this is right um so but put your name stuff in there and then you send them the postcard if
it uh because the Verizon phone Verizon system is very is very volatile against
uh those types of texts and the system will block it you know and you can work
around it with a system called twilio but twilio is expensive you have to pay
us you pay you know like a half a half of a half a penny for each text and we
do a thousand a day roughly cost us 20 bucks a day just to send all the textbook along with the platform right
and it attracts it yeah what's important is to track what you're marketing
so you can track the inbound to know what's working and what's not working so the biggest thing is is first
off yes that's 100 you know tracking what we're tracking what you do so you
know what's working what's not working your cost per lead right you know
um but so if somebody didn't have much marketing dollar too much marketing dollars or
anything like that they're just starting off they wanted to get just get a proof of concept at the moment
in my opinion I think a driving for dollars list is
the best way to go now what is a driving for dollars list is a you driving the neighborhood that
you're going now sometimes you can do it virtually but we'll start around your neighborhood wherever you're at and
you're taking down addresses that are in Rundown condition they're look
distressed and now they may not come up on any mainstream list because they may
be all caught up on on their bills and you know or anything like that but so
that's one way I think to get started get the proof of concept
ready and uh then you take that list skip trace it and in my opinion you can
you can text or you can cold call I would recommend cold calling because
that way you don't have to worry about a lot of that stuff but if you're not a some people are texters then do the
texting you know and I think the cold calling gets you a lot of experience of how to talk to a
seller right yes because if you get one that's live and wants to sell then what do you do that's always used to joke
about when I was first a realtor you know you cold call listening and listings right you want to sell your
house you want to sell your house when I sell your house yes you need to know what to say when they say yes because the majority of them are
going to say no right so if you're cold calling to have your I'm not going to call it a script but just have something
in front of you that kind of gives you like an order of questions right right you can ask them because when they say
yes what's the next thing you should ask them well tell me about your story you
know tell me what's up right you don't have to be very what's the matter do you pay your taxes you know that's not a
good thing to say you just people tell me your story why are you looking this up well my grandmother died and you know
the Grandpa's living in there and we just put them into the nursing home and now the family I got two deadbeat
brothers that doesn't want us you know whatever right so but of course while they're talking you need to be typing
someone something or those notes to kind of and then you know I think at first
when you're doing it go to every house you can get into qualifying them is always what you
should do 100 but going there just get the experience of number one figuring
out the value and understanding people's responses to you and of course the gold the Gold's in
the follow-up right we all know that yeah at the time they're not ready when you first touch them you got to keep
calling them and calling them and then build that report so they call you back if it's finally ready so that because if
you're calling them because you saw long grass and tags in the window there's a
lot of other people doing the same thing well yeah yes and I'm gonna say that yes
and no yes there's other people doing the same thing if they're on a list
if they're not on one of those you're behind on your taxes you're
it's a flight ticket or anything like that right if you're not if they're not any of this and the house just looks
wrong down you're gonna be the only one contacting them you know so the only
competition you have is other people doing driving for dollars you know and they make software to do
that it's called deal machine right right yep you can actually send them a postcard right from your car exactly and
of course that's that's a low entry cost too it's really not even that expensive right yeah so first off I want to say hi
to Terry uh Terry Penny uh she said hi guy so
and then uh Nicole tender uh Tedder said do we do uh creative Finance deals
currently okay and 100 do Korean financing oh yeah 100
yeah because you uh you know obviously lease options land contracts sub twos
all kinds of things like that there's all the different techniques to do that and of course that's a question you
should ask them right you should get into the Habit if they say no to your cash Hammer which most of the time they
normally do right off the get-go they never want to take your cash offer unless there's got to be a lot of stress
for them to take it right off the geeko and usually if they take your first offer that just means it's too much it
does exactly so going down the road with the other is always the good thing to do
yeah so and then I'll answer this real quick this was
Kevin uh he asked me uh you know what is my JV business look like on a day-to-day
Kevin if you want to uh get a hold of me privately I'd be happy to talk with you about that my number's here my my emails
floating around the bottom but for the most part you know I I
work with other wholesalers I you know basically you know we come to terms on a deal
whether the assignment fee is 50 50 usually that's what it is
where I bring the buyer if I don't bring the buyer then we don't JV so there there's no
sense of it you know if you bring the buyer and I you know all the stuff that
I did basically means nothing to me so because I didn't do anything I didn't
bring you a buyer I didn't add value you know so the technique that I use for
jvian in a sense is uh is a little more involved on my end meaning especially
new people when they find something that they don't know what to do yeah because if you give that to me and just get out
of the way I'll give you 25 and you've done nothing except give me the address exactly yeah so and sometimes you know
if you want to Shadow me and or my acquisition guy at the appointment that's fine so you can learn I'm all
about the learning yep so I love to and I love to teach meaning like I like to be able to read
into you and give you some feedback on how you're doing it I can remember when you first started
too Randy I remember yeah meeting you a couple years back I remember that yeah yeah hopefully I wasn't too uh green on
that no it was good I told you the other day I thought that you've you know you're you have a humble Spirit you're
learnable and coachable and that's what I look for in anybody that reaches out to me is how coachable
are you yeah you know it makes a difference in being coachable right don't come to
I'm not saying I'm the best guy in town because I am not so I'm in a handful of those but if you come to me and ask me a
question and I think that you're just digging for gold with me I'm probably gonna ignore you on the second round
exactly you can smell it pretty quick you know and and that's one thing that I
actually offer for new people that hey if you want to do where you bring me a
lead I have no problem talking to the seller getting it under contract going from
there in that scenario if we do that then whether you bring the buyer I bring
the buyer we're fully JV so in that scenario
you know I'm adding value because I've had value or JV whether you find the
buyer or I have to find the buyer more than likely I'm going to be finding the buyer anyways so
but I I at least you know I do offer that for new people uh for anybody
actually who wants to do that I had one guy that I actually brought on here
he he was new and he was bringing in leads but he just did not know how to talk to people too well so
you know I would go on the appointment and I would get it under contract I you know I would talk to the
seller we'd get it under contract and then it was actually in one of my one of my buyers end up buying uh purchasing
the property so sometimes sellers look at your age when you're young yeah and you look like a
kid and you are a kid it's difficult to overcome that age I remember when I first started even just doing real
estate in general and I go on a listing appointment and the seller would say well how long you've been doing real
estate uh like two months I always like to kiss a death like they're not going to hire you to list their house oh yeah
there's creative ways to like reframe that in a sense but that's you know for
me I'm old enough and look like I've been weathered and probably can't pay cash for your house right you show up
when you're 18 years old you know jvian or bringing somebody with you is always
a good thing to show that credibility at least at the beginning so you can kind of get your feet wet oh 100 and this
kind of goes back to so I Shayla Johnson uh you know she came through she's
saying sometimes it feels like all the good leads get snatched up before I even start
um but I guess there there's not there are enough deals out there for all of us 100 true that there are enough deals for
all of us and don't feel like they get snatched up I the worst thing you can do is feel
like you're losing on the deal and up your price and then you can it stales and you can you can't sell it
stick to your numbers yeah yeah because you get a reputation of
sending out your deals that are too high people don't even look at your deals every time I've gone out of my formula
and I can pretty much guarantee like every almost every single time I've gone
out of my formula and I'm like well maybe I can push it out there and get a little bit more you know okay and just
just to get the contract it's backfired right yeah it's always backfired so
um 100 I recommend you do that I you know just
stick to your numbers no matter what and it what will happen is is they will if
they don't sell to you they'll it'll come back around you know and if it doesn't there's always another
deal you know so yeah for sure and then
oh yeah uh Kevin we're kind of replied to that and said the deals get snatched
up by people who consistently follow up right that is right
the money is in the follow-up I will tell you that right now just keep
following up so if you're not embarrassed with your
your offer is low enough uh if you're not embarrassed by your offer it was not
low enough yeah that's Terry who said that sometimes you have to be careful with
that too because you like that seller if you really Jam them up and sometimes I
do that on purpose yeah I just don't know you know and if it's a house of fun anyway you know because of some reason
I'd rather get them to say no than me say no for the most part but I'm not opposed to
I just said no to a guy that's got a piece of property on the water on Cass Lake that I just told him I said
I'm not your best buyer and I'm not even your best listing agent because I don't I don't work that kind of you know
seller right or I'm sorry buyer so and I even tell I even tell the
sellers that hey sometimes I may not be your best buyer for this why hey why are
you not putting this on the market right you know well you called me out of the blue that's usually all I get right yeah
and I'm like okay that's fair enough I I understand but you know
if you want that price you're probably going to have to list down the market and it's probably going
to go there I'm gonna have to stick to my price because I got costs associated with
everything that I do and you know the Market's only going down at this moment you know and of course that works to
your advantage too right if that guy you know just gets the deal because he over bid it over yours yep then it doesn't
close who guess who what do you think you're calling exactly we're calling the next guy in line or that they thought
that's credible to now actually close it because they wasted 30 days and you know what and that brings to another point is
is when you do that you stick to your numbers you stick to what you say you're doing you tell them this is the key you
give evidence of why you're lowballing that offer because this property this
property this property sold down the street I'm gonna have to put x amount of dollars into yours in order to get it up
there I'm gonna have to feed my family I'm gonna have to do all that
you know so when you do that now to that buy to that seller you've just
become a creditable person yeah yeah you need to you need to frame your
responses to them you know using their word term low ball
just like just gives me the cringes you know like yeah that's a bad word yeah no
you don't ever want to use the term you lowball order for a discount there you go this or that right
so and somebody that from like negotiating find a guy named Chris Voss
we wrote a book called Never split the difference you read that book and it plays on the psychology of what is what
a seller thinks or you know he he was a an expert uh hostage negotiator hence
the point never split the difference because he couldn't split the difference when he was trying to save somebody's life and right I mean I to this day I
listened to a couple of you know YouTube videos every week and I just learned something from him on how to label it he
calls it yep or you know seems like you're irate right that seems like helps
it kind of frames it a little different for you to their to their mind yeah 100
and I will say another uh another wholesaler in the area that is really
into the the whole psychology is and he was actually on the panel uh at the
Meetup which is on Phillip Lake oh yeah he is I've had him on the channel I'm
gonna have him back on the channel as well since we renamed it but
he is all about the psychology of of all
of it so yeah there's no but it's not always about the price no you know if
you're not like fixated on the price you know the cash Hammer as I like to call it you know get away from that it's
not you know I generally walk through a house and get to it and say okay so what kind of number were you thinking right
and just let them talk a little bit and then kind of maneuver through that sometimes well that's why I called you
know crazy Target price checker kind of person right right you know so usually I
give them a couple more shots at giving up the number before I just give it up and of course I I lowball it in a sense
you have to Anchor it down so we can come up right that's the whole point and usually those kind of people they
usually you don't get to the Middle with them anyway you know when they're really harsh and they're really harsh on the giving them
a number yep usually it's because their pain point isn't isn't hard enough yet in regards to that or they're just when
you're cold calling you get a lot of those guys well give me 500 000 I'll sell to you right and of course the
houses were too right they'll always say that to you especially with texting I
get that back so many times and uh so you just have to you have to
have the thick skin with that and yeah get in the door with them yeah walk with
them is BET is the experience you need to do at the beginning Yeah because sometimes
they say yes even though they'll tell you they want 500 and you get there and you're saying well it looks more like it
feels more like a 250 to me they'll say yeah I was kind of thinking more like three anyway right you just
all of a sudden you think well what what the heck yeah but you told me five right so you didn't if you hadn't gone yep to
it you wouldn't have known you know you wouldn't have known exactly and that and that's the thing like if
you're a new wholesaler uh you need to you need to get the experience of
talking with them going to the appointments if you're on the phone with them that's great you know get that
experience but also be in person you know you can only get so far of
being with being on the phone with somebody there's a lot of these virtual wholesalers who who do this full-time
virtually and all over the phone and that's great but
you know in my opinion you need to be face to face yeah you know you'll get
more you'll get better deals and close more exactly you're standing in front of them you know I think and of course the
virtuals those those their technique is is only set up just to get contracts
right and I I hope that most of them tell them that's the seller that's what they're doing
you know because sometimes I get because I get those virtual guys that call me all the time yep you know they're from
Arizona or someplace not in Michigan they Google and find me and they they
call up and say do you like co-host sale so I always know that's what it is when I get that get that question yeah well
of course I do you got it under contract well I'm just kind of shopping at old and call me back when you have the
contract yep I had one call me today from in town she's from Michigan she has
this house and she she wanted to know if I co-host say oh I said yes send me that you got it under contract yes I said
well send me the details and sent me four photos and no price like I'm thinking did you I don't
understand that's a big thing with the four photos
like yeah you should be having the price but and we I hate I hate it when they
have like two photos or four photos and they expect they expect you to be able
to sell the property on that not to mention that they got those photos from the seller yeah they didn't do it
themselves they got a color and they don't you know so tell us tell her to take a photo of the front of the house
just give me a front house like the one I got all interior stuff like I had to
look it up on Google to figure out what it looked like yeah so Kevin uh actually at uh asked uh
Ron how to how do you decide whether you go on the appointment versus offer over the phone
well why I'm on the phone with them listening to them I just do a quick I do a quick value search generally I use
Zillow it's easy it's quick it's usually close these days because zillow's
numbers are their system has a lot of historical data now which is how their
algorithm Works in regards to getting numbers yeah you know in a lot of ways because I've done so much business I
kind of can I can kind of tell if zillow's like all wet but even even zillow's sold data comes off our MLS
right so if it's close and around the property then you can get a ballpark and
then you kind of gauge their you know their price checker system right or they just yeah
or are they really serious about possibly selling their house and you gotta
I don't think there's a true hard answer to that question it's more being able to smell it meaning yeah no and
understand their motivation you know usually like somebody says I'm coming
into town my mom dad passed away I'll be there for three days and I'm I'm gonna have four people come through the house
do you want to come and they'll usually say I'm having an open house right so I I'll go to the open house you
just can't hurt and usually I go at the end so that everybody else has been first because they're not going to sign
a contract as much as your heart Adam at the beginning they're not going to sign it
so going in last as much as you can is always the best bet in my opinion you
don't want to be the first guy in the door because they'll never sign with you if they got three other appointments they just won't
that is true yeah it's they won't sign the first one because they'll you know
so if they say that they're having an open house yeah I come right and if you say
something to the fact that when I walk out the door the offer is not valid anymore they're not calling you because
that's a pressure tactic that car sales venues you know you get bombarded all
day long with that kind of stuff on the radio and television you know just just don't do it if your
number's right you just wait it out yeah so usually when I how I respond to that is I say
hey my offer is good for a little while I'm just letting you know the Market's changing yeah for sure every month
every week so you know if you call me back I'm I may have to if it's a some
time difference I'm gonna have to rerun the numbers but for the most part I'll
try to stay around the same area so I'm just keep in mind this Market's going
down and you don't want to catch a falling knife and you need to be out you need to use that at your advantage yeah
about the market falling like if you wait a couple more and that's that's an honest response yeah not like you're
making it up exactly hey you know 60 days from now I may have to reevaluate that number
you know if you're really serious about selling it today at this number then we need to do this now because as a
wholesaler you're looking about velocity anyway right if you contract today you're just gonna hopefully sell it
tomorrow that's what your that's the point of what you do yeah you know so you know unlike a rehabber which is why
you have to in a falling market like we have now you need to build in that extra
little piece for the rehab guy because he's the one the guy you're selling it to he's the one that's gonna have to be
out 90 days 120 days and he's worried which is why a lot of the rehabbers are
hunkered down a lot of the guys that buy a lot of houses now they're just finishing up their inventory
because because they don't want to buy yeah there's a lot of them right now that if they do buy uh flips they need
them in a severe discount right um so a lot of people are buying right
now are are buying holds where they want to add that value so that they have that
extra equity but they're gonna need a still a decent discount you know and of course you've
got the one-off guys too that yeah but they just need to keep their Crews busy you know those are the best ones because
they'll pay more exactly because they just want to keep their Crews moving and they'll make 15 000 instead of 30. you
know so which you know I just do this like really sorry you know I'm sorry I couldn't get
it cheap enough for you right so yeah so with that being said you know
how are you finding your buyers now with your experience and everything
you I mean I'm sure you have buyers coming to you and and you go to network
meetups and you do a lot of Outreach and things like that but say you were to
have to start over Okay how would you go about finding your buyers in today's
world Facebook is a great place to find buyers you know we have a very good Facebook page in Detroit that is very uh
honest you know sometimes brutally honest yes you know so and I'm okay with that and I
do what I do I've got a track record of buying good out getting good deals and how do
you how do you differentiate in the Facebook posts
somebody who's a buyer versus another wholesaler trying to J like daisy chain
the deal ah I don't know if there's a science to
that there's an art to smelling somebody you know asking you know
you know I don't Facebook a lot of deals because my list is pretty good right wait and my list is very
intuitive like I the system I use to blast that list
I can tell who opens the email and how quickly you know my experience as of late is the
you know usually within the first 10 15 minutes whoever's going to open opens it
and then if and if Jessica my assistant doesn't get a call back from one of those then you know the price isn't that
good it doesn't mean it's not good it just means that the guys that are always looking at my list they just don't want
it right and recently you know I've been because I'm a real estate broker I have
access to the MLS so I have access to all the Realtors emails and stuff I've been I've got a
list of realtors that have investors and that's kind of like my third tier
send is ascendant to the Realtors because then I got to pay a commission to do that or I just tell them right up
front that I'm not paying the commission in general buyer yeah and of course
if I send it to them well I'm going to pay the commission because I'm I'm not desperate but I'm looking for the buyer
right and the house I had in Roseville and patao that's how I you know I was
having a hard time wholesaling it I end up buying it and then still having a hard time when I put it on the MLS I
sent it to a list of Realtors and I got to it was an investor guy that just happened to be on my list and meaning
the meaning the realtor list and he bought it right the upside to that is
he's buying it for himself so he doesn't want the commission anyway so it's just like me selling it's actually better for
me to sell it to a realtor with no Commission because then I'm still paying the closing costs again but I'm not
paying the three percent on the on the listing or on the on the buyer commission side got it yeah and I always ask them too if
they're Realtors buying them for themselves I always ask them are you taking the commission or not because that has a lot to do with my calendar
I mean when I counter them I take that into consideration what they're doing you know how they're going to take the
commission or not right so
how do you [Music] how are you working with uh agents
besides just paying them the commission have you as far as on the acquisition side do you
reach out to them to you know try to get their off-market deals or anything like that sometimes I do it's not I think
it's more it's becoming more a technique now because the market is
slipping so getting on the MLS to figure out what property has been on the market for 90 days plus and we're the you know
where the numbers are you know the MLS is very good at data
so you can figure out where all the cash buyers are buying by simply doing a search for cat of cash sales in the last
30 days so then you can look up and get a buyer's list from that or the realtors that sold in that house send them an
email and say hey I got this property
or you know you can kind of work backwards the
square foot number so in other words if you look at all the pretty houses that sold let's say they sold for 100 bucks
of course the general formula is 65 minus repairs right so right not that
difficult to then go look up all the listings that are 65 percent of 100 a
foot right and find the listing that way even if it's an expired one
yeah if it's expired because and then trying to you obviously need to figure out whether it's sold or not because a
lot of times it doesn't sell in the MLS but it was there just look at the public record to see if there's a d transfer
and call that call that particular skip Trace them and call them don't necessarily call the realtor first
because you don't want to you don't want to have to put yourself in the position not to pay the realtor but if that's the
only way you can find that seller then do it yep I know a lot of Realtors is from all the reos I sold so a lot of
guys that have investor friends I know the ones that are still in the business
um and there's a handful of guys that used to do what I do some of them still do it in regards to
because there's a handful of them out there um so I build off of those relationships for years just as you you knew who I was
when you first met me yeah you know I've been around a while so and I haven't hopefully I have a good reputation of
doing what's right and not barking at you too loud or biting you know sometimes if I if I bit you that's
because you deserved it first time and that's one thing is is that if somebody
like Ron I or any of the bigger you know they if they if they
gripe at you about something or you gotta you better pay attention to it and
you better re-analyze what it is you're doing because I've done that before
and it's funny because you know I was on the Facebook group that you were talking about and and I
looked at that somebody had a wholesale deal and I'm like I I think it was like for he's trying to
sell it for 40 Grand it was one in Detroit and and
um I go I commented on there like dude I tried selling this for 25 Grand and I
got no traction period like blah blah blah and Todd you know one of the first guys
that I had jv'd with private messaged me said don't do that
right he's like you don't need there's no reason you need to call out people like that you don't want to be that guy
all it does is show everybody else what you're like exactly right so you don't even if that's what you're thinking
don't yeah put it under and you'll learn right meaning yep the good guys that are
going to stick around they learn how to react and how to how to have some in Tech and it's not even in a type of
issue it's just being a good person yeah you know don't argue and little people
just do what you're gonna do you know and there's a couple people that do that and it's like now I understand why not
to and there's not and so now if they come to me privately and ask me my
opinion I'll give them for sure but the whole thing is you get more bees with honey than you do vinegar exactly it's
it's true it's true in every in every aspect it's gonna be nice about it so now with our Facebook group you know
Metro Detroit off-market Real Estate Group we're trying to add value as much as much as we can we we're by doing
these lives uh by bringing people on like you and and showing you know that
you know we are trying to make the group better as well and we're trying to make
uh you know I'm trying to make it where the I you know all the scammers and and
all trying to make it not a seem I want people posting deals in there you know I
want to see the deals that's a full-time job by the way yeah so that is it's
definitely so if you've been kicked out because you've posted too many of your advertisements you know or usually if
it's just that I'll just delete the post but if you consistently do it then then I ban you from the group but for
the most part you know how many people you got in that group now so we're up to about 2500
right now yeah oh good that's good that's you only been doing it for a couple months right uh since April yeah
so that's good that's a that's a good engagement for sure yeah yeah so which is yeah it's it's good and I can't I
I'm happy with the engagement that we have I have a goal of 5 000 by the end
of the year okay so I think we I think we can make it you know
um and I think by us doing me doing this every week and you know kind of bring
some some good awareness hopefully you know yeah [Music] so but I'm out there trying you know at
the investor meetups trying to do as much as possible actually the one that is this
Thursday we won't I won't be able to go to because I'm out of town but the
the the one at mcv's Pub yes but
you know anybody who does by any means who you know if you're local to the area
go to all the meetups more than likely you'll see Ron there say hi to him you
know and things like that so uh who was
who's the one I say so Kevin sit put in here he said another great sales book is you can't teach a kid to ride a bike uh
at a seminar uh it's for sales training and works perfect for a wholesale
process so we're good okay but what was the name of the book
that that you were talking about never split the difference is that the name of the book yes yeah okay so the first boss
was the author ized uh so breathe that is the name of
the book I believe that's what you're asking yeah he has a he has a YouTube channel called uh Black Swan
that has all kinds of good content free oh that's awesome yeah it's it's a
watch it a lot in the car when I'm driving or not watch it of course I don't watch it I listen to it
but it's a very good YouTube channel it actually shows up on my home page all the time because I watch it so much
but it's a great content about psychology of sales you know how to the latest one I just
got you know it's better to get no answers than a yes answer yeah because they're always the answer like think
about that for a second you've got this person who's been ghosting you right you ask them 20 times hey did you
sell your house did you sell your house so when they find you so the next question instead of saying it like that
you say like I bet you didn't sell a house did you right yep they I it works like yeah yeah
I did sell it or no I didn't sell it and then of course you so you get them to engage you again which is really the key
so that so that Steve train has a uh script and in her and in his script you
need to get their attention within the first 30 seconds and in his script he goes hey I don't
suppose you have time to talk about your property on blah blah blah right like literally right you get the no answer
instead of saying got a minute right yeah because generally they won't respond or listen if they say no
that means they really say no but if you say I bet you don't have enough time for me for a minute do you right right so
and they're like what do you want to know about right you know so right now I'm waiting for
people to start using that on me and we're kind of catching into it right because I'm you know sometimes I can be
baited into things for sure and not even realize it you know yeah 100 so
so with that being said you know you know anybody who's watching here whether
you're on here live or you're watching on the replay you know what is your plans for the
future and then how can we help maybe move you towards those plans well I
think that I'm trying to kind of maybe switch up my thought you know my wholesale plan
wholesale wholesaling pot you know pays my bills yep you know kind of thing and
I've been doing it long enough that it doesn't thrill me as much you know Gary Keller talks about and I used to be a
Keller Williams agent talks about an entrepreneur gets Restless about every 10 years yeah I think back to my life as
a mechanic at about the 10 12 year mark I was Restless which led me to get hurting my back which led me to real
estate I was an REO broker for about 10. okay wholesaling for about 12. so it's
like I'm ready to kind of make a make a level up in some way so I'm trying to
transition out of that into more you know a lot of guys are running at multi-families
I think that I'm you know trying to maybe look for a large portfolios as singles from from some tired landlords
yep being able to get good at that acquisition side and analyzing it
I'm in the process of underwriting one now and I've learned so much in the last two three weeks on how to look at
that yeah see it and how to how to do the numbers because I'm so used to the
mail right yep arv times 65 minus repairs that's been doing that I can do
that in my sleep so doing it with a with with income producing assets is a different animal
for me I've done it before but I'm not at a high level yeah so you know if you
if you come across the landlord who's got 20 30 houses that he's just trying to unload because he's ready to get out
of the business and he's looking to take turns you know land contract or seller
financing of some sort I'm all ears I'm very good at
you know you know deal structure you know especially with seller financing
and if you come across deals with sellers that you know you can't pay that much cash
and you need some help to figure out how to buy that house you know with some creative financing give me a shout
I guess I could have probably put my cell phone number up there I didn't think that you would do that but or you
could do that yeah reach out to me at 586 413
-6190 that's my cell phone bye basic
413-6190 you texted me and said Hey Ron got a minute just if I don't if we've never met or
whatever just remind me in your name and I'll tell you when I can call you back have a conversation I have a calendarly
link you know that I can send to you that has my calendar for a 30 minute free
consultation I'll send that I can send that to you if I'm busy for the next day or so and we can set up a modified time
to meet or to talk on the phone you know kind of thing if you want me to go on an appointment with you I have
another link for that that sets it all up gives me all the details if I go with you it's going to cost
you half the deal you know if I go with you in the house and talk about it it's going to cost you half your com your fee
that's I think that's fair and so I mean at the end of the day
to answer your question I'm trying to transition into some more you know maybe wholesaling those
portfolios you know which I'm very good at wholesaling obviously yep you know to
get bigger to get bigger fees with less work right so you're looking to wholesale the bigger deals not
necessarily keep them for yourself well it depends it just yeah it just depends on the deal yeah and I've got I've got
an agenda to collect some cash you know I've got some I've got some baggage to take care of that I'm trying
to you know glean that off quickly it's easier to if you can get a hundred thousand dollar commission or a fee it
goes quicker than selling a ton of them right yep so that's kind of my agenda initially but I would like to get some
cash flow I'm not a I'm not a Bonafide cash flow guy but I can see the value in
it you know in regards to cash flow every month and you know looking at things from purely like how much do I
make in a month as opposed to the cap rate you know because it does matter you know if you if you have 100 houses and
you make 200 Grand a month and the values are lower high there's a whole
different way to look at things yeah also the depreciation as well so and and
not to add to the way to do I'm I'm also looking to get into some assisted living facilities meaning okay like six to ten
beds as opposed not necessarily the big stuff yeah it seems the bigger stuff is
more memory care and medical end of life kind of stuff that's not what I'm interested in I'm more interested in
like foster care where you have six to ten beds in a house and a neighborhood
and they have their own caregivers and things like that I'd like to find some properties like I don't want to be the
operator I want to own the real estate and Subway the operator you don't want it to be
like a 10 unit apartment building you more want it to be like a house with 10 bedrooms or two houses with five
bedrooms each you know yeah and of course there's a very specific look to an assisted living house right they're
usually on slabs you don't need a basement and a house like that they usually have big circle driveways for
all the parking a lot of times they're built side by side so that you can have more beds with less with less exposure
in a sense right to have a big 10-bit building is a different animal than uh
two six beds and the licensing is different and the stuff you have to do is different
and so but my point is is I'm I'm trying to learn how to do the assisted living and the analyze big portfolios so I'm on
the hunt to learn that well so that I can kind of I can take the wholesale
business and hand it off to you know some staff I have that just pays the bills and gives us a decent you know
that's awesome passive stuff you know I'm I'm looking more for the wholesaling side to be the passive thing not the not
the rentals at the moment that's kind of where I'm at yeah so I'm I'm trying to
learn more about how to underwrite a apartment buildings yeah
it's hard to do that it's it's very hard and everyone seems to be different and
it's all area based as well you know like you know what I might pay per door
in Royal Oak is going to be different way it's going to be in White Lake for sure 100 so yeah
it's kind of like okay well how do you figure that out you know there's not too many comps you know so hope well
there's I mean comps for uh multi-family stuff that's not you're not going to find a comp it's all income based yeah
so how much does it make based on your cash in exactly I'm trying to learn all that you know
like we learned at that meetup on Saturday yeah he uses a 10 cash on cash return instead of a cap rate yeah so you
got to do one or the other you have to be able to evaluate that property's value and of course at the end of the
day what you want to do is get money out right you buy the discount fix it
and then refi it out to get your money back out with some cheaper long-term financing for it to cash flow right
that's the yeah the whole process that's what you do yeah or if you do that or if you find
you know somebody who's willing you know what I'll give you your price if you do the seller finance deal yeah for
sure yeah you know where I don't have to do that I don't have to refinance you out and we just give you you give me the
terms that I want you know right so and that's an art negotiating stuff like that it's a whole different thing than
standing in front of a stressed out seller family house it's just different
it's a different sophistication to that seller when they own Apartments you know because they didn't get that
apartment building because they're a regular homeowner right they have right sophistication to them already
and the people who do that mainly they actually know what seller financing is
and they do you know they're and they have a specific goal whether they're choosing not to do it or to do it is
because maybe they need to get into something else you know right so for cash another project for sure exactly
yep you know so you know so uh that's awesome we can you
you know we can put out there like however they can get a hold of you say your
number again just so that people can uh get a hold of you five eight six
four one three six one nine zero okay my email address
is Ron Erwin at waymark homes.com okay I prefer you text them to
email or maybe you can text me that you emailed me I get a lot of email because it's
just coming and going and every couple months I just unsubscribed to 30 emails
in a day because it just kind of gets out of hand so I would rather generally if on my phone I sit down at
night and go through my phone and if there's a text I didn't respond to then I do
all right because it's just kind of easier gotcha and I learned just recently I learned it on an iPhone you
can actually take the text and make it unread did you know that yeah yeah I
was like that was like my final week
because sometimes I just not read it because I how do you unread it or read it but I realize that you can like hold
it down the little menu comes up and this is red yeah just like your email
and you can actually put people in a like a in a bubble so like say you
haven't talked to somebody in a way in a while but they're the main people you talk to be but you had like 20 different
texts you can keep them up at the top like for instance your wife your if they
call if they call that phone you can keep them up at the top and then any text message or anything like
that it'll just show the notification there my wife had to teach me that
I have special tones for my wife and my kids yeah you know because so I don't because of the normal one I just someone
ignore it initially gotcha it's because it's just always going off but when I hear that the one from my
wife then I usually look at the phone right you know because she's obviously texting me for a reason
awesome so if you're watching uh live or you're watching the replay I
want you to comment below and tell me whether this add value to you I if you
like more videos like this we're gonna do these type of videos every single week
um also I want to know what type other type of videos you're doing you want us to do and and we'll go from there now
so with that being said I really appreciate you Ronnie coming on here with us uh and giving us your wealth of
knowledge so you know any any last words
uh for the audience out there
just don't be afraid to reach out to me I think sometimes like you know I'm not
calling myself a pretty girl but sometimes a pretty girl never gets talked to you because you're so pretty right you know don't be afraid to come
up to me like I don't think I'm going to be at otterman's meeting on Thursday yep
I think I have uh or something else I already I can't think of it now but I won't be there but if up to if you see
me at a meeting and you want to you haven't met before just come up to me and tell me who you are what you do and
if there's a way I can help or we help each other you know text me you know if you know
I'll generally respond to you and don't think you're bothering me if you retext me right because sometimes it just gets
buried in there and I don't do it on purpose at least I try not to right you know
so so Terry Terry asked about the Meetup and on Thursday at mcv's Pub in Troy 18
under 18 and uh Rochester Road 18 and Rochester and they had it's it starts at 6 30
but you get there right around six and maybe get some food and then it should all it is is a meet and greet and
there's no speakers or anything like that it's just a meet and greet so it I
actually really like those type of meetups and I'm actually I'm in talks
with trying to talk with some other people about creating my own Meetup
um you know either that or doing an event just a big event yeah for sure wow
um but it's still just in the talking stages at the moment so
um but if I there's two different sides to that whether we do a meet up or whether we do
a full out event where I have like I bring like 10 people out to speak and so
on and so forth so yeah back last reminds me back last March I did a eight
hour boot camp wholesaling boot camp that I have eight hours of video
um if you reach out to me I'll give you a pay link and you can pay me because
I'm kind of reselling it okay and uh so if you just reach out to me through that
text and say hey Ryan can I have that you know we'll go back and forth uh I won't disclose the price here just
because I don't if I don't mind um but uh if you reach out to me that
way I'll you know just send you the Dropbox pay me
um and I've been thinking about you know if I haven't really kind of disclosed this to anybody but it's doing like a uh
uh like a role-playing class yeah right so we're you know I've got
hundreds of hours of audio of recorded phone calls with sellers that could be
very beneficial and we just sit in a room on this role play me be the mean seller and you be
the you know the the new wholesaler and let's talk about it that's one thing that Todd Chun I did with Todd Chun was
it's a boiler room yeah Todd was good at that you know he
doesn't do that so much anymore but yeah well he's calling people yeah he does it
with his with his students oh okay he does it with his students he just saves it for with his students for versus
everybody yeah so um you know but that's something
definitely I think that adds value and um if you want to do something like that
I I'd definitely be interested in uh working something with you and then we
can charge a fee to come in there and you know be a a Saturday class or
something like that yeah the boot camp I did I actually fed them
and it was cheap the room was cheap and the lady made the food and subs and it was it was a good
and got eight hours of content on YouTube and uh a zoom call or a zoom
link that got recorded So but anyway yeah just reach out to me yep we'll see and then I'll just we'll
talk about it and then Terry asks uh the group that we're talking about it's a
metro Detroit Real Estate Investors Group that's the Meetup for that so
but just to let you know on that and you know hey we're talking about making
new things doing new things and and you know we'll just keep uh you know keep
looking looking out on our Facebook group as well as anything that we post out and we'll keep you guys informed on
what we come up with so as well as obviously we're here every
week so I'm happy to you know obviously as we announce it we're gonna share it
here probably here first so uh you know Charles I appreciate you watching every
week and you know he said I he watches live and always and he said thanks Ron
for pouring her for pouring into us so you know
but we really appreciate it and I hope you guys had you know got some
great information out of this and we'll see you next week uh on the next broadcast
all right all right bye-bye yay