Ep 573: Building Agent Relationships

Introduction: The Importance of Teamwork in Real Estate.)
0:00
it's crazy how fast this all came
0:02
together you know when you have a good
0:04
when you have a good plan when you have
0:05
a good plan a good plan and a good
0:13
team bro I don't know why people try to
0:16
do this on their own this is the best
0:17
team game you could play because the
The 100-Acre Deal and Creative Structuring.)
0:18
deals are so massive yeah for sure so
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this one you know send some rvms out to
0:24
agents because I just wanted to talk to
0:27
people to be honest I felt like you know
0:29
going through list things online it just
0:30
wasn't the best use of my time so I was
0:32
just trying to spread the message out
0:34
there what I was looking for you know
0:36
got a bunch of listing sent to me so I
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have like you know more properties to
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even send offer to because you know
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there's a bunch of these agents all
0:43
these agents are looking at you know a
0:45
bunch of deals every day so anyways
0:47
somebody brings something in front of me
0:48
you know I get really cool with the
0:49
agent he's really motivated to sell the
0:51
property because he wants to get paid
0:53
too it's a 100 acres you know they had
0:55
it at 13 an acre and then I talked to
0:57
the agent he's like look man you know I
0:59
think the the take 10 an acre they just
1:01
wanted to see what the market would
1:03
would do if we did it for 13 but they'll
1:05
take 10 you know we knew it was a deal
1:08
and then we offered 12 months to close
1:11
with
1:12
$10,000 and EMD released straight to the
1:15
seller so you know they got it it got it
1:17
got them to dance with us for a little
1:19
bit we went back and forth a couple
1:21
times but we ended up selling in for you
1:24
know $10,000 an acre 2% EMD released to
1:28
the seller and then that b bought us 8
1:30
months to close so they know exactly
1:32
what we're doing they know we're going
1:34
to be marketing the property pre-selling
1:36
tracks and uh looks like we might have
1:39
you know go willing all the tracks out
1:42
soon so this has all been in the span of
1:44
a couple
1:45
weeks so the day we contracted 100 acres
1:48
for a million cash this was roughly like
1:51
what 14 days ago or less yeah 14 or less
1:55
okay and then we think we have offers
1:57
coming in for the whole entire property
1:59
by tomorrow
2:00
exactly exactly so yesterday on Labor
2:03
Day I went out in the morning there was
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about 20 people there six seven
2:08
different families and uh they want to
2:11
buy all of it and kind of do like a
2:12
family compound so super super cool that
2:15
we're able to to help them make this
2:16
dream come to life
2:18
too boom right place right time right
2:22
price perfect setup we had eight months
2:24
to move it seller knows we're selling
2:26
the property so there's no slide of hand
2:28
there's no dishonesty you know like with
2:30
wholesaling where you got to try to pull
2:31
a fast one just straight up clean deal
2:35
and then uh what what what should all of
2:37
those offers come in at for the property
2:39
if if uh if we get what we were asking
2:41
and it sounds like they're going to make
2:41
the full price offer what do you think
2:43
we're what do you think we should net on
2:44
this one
Profit Potential and Market Timing.)
2:45
roughly somewhere around 600 Grand
2:49
$600,000 in 14 days that's not a bad
2:53
business to be in man so that's why I
2:56
try to tell everybody like I know it
2:58
gets frustrating I know it gets old I
3:00
know deals fall apart deals take time to
3:02
close but once a year twice a year you
3:05
get this happens you know it happens
3:08
often in this business and of course if
3:11
you're doing what Allen's doing and
3:12
you're going after volume you know it
3:14
starts to happen at more fastpaced like
3:16
I said he already threw out another
3:17
offer on top of this so I think when
3:19
people get a deal or they get a contract
3:21
they they rest on that deal because they
3:22
feel good like they got something in the
3:24
bank but I think that's the opposite of
3:26
what you should do you should do what
3:27
Allen does he goes out and he's going to
3:28
go find another of these you know in the
3:31
next 12 months and I wish everybody
3:33
would just do that Kyle does it you know
3:35
some people do it some people don't I
3:36
don't know what it is that's switching
3:37
your brain but when you have something
3:39
in your hand a contract in your hand a
3:40
deal in your hand it's not time to rest
3:42
it's time to go harder and then you'll
3:44
come across deals like this more often
3:47
so uh dude yeah congrats man you're
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freaking smoke and killing it and we're
Agent Relationships: Key to Faster Sales.)
3:50
really super proud of you man I'm glad
3:52
to be working with you and yeah it's a
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perfect combination it's exactly what H
3:55
mind was designed for you you brought
3:57
your your aame to the table brought it
3:59
to the table we help make a crazy offer
4:02
help sell it boom you that's a perfect
4:05
partnership it's a team effort team
4:07
effort for sure I love it man it's the
4:09
best business best company that I've
4:10
ever been around the best people the
4:12
most honest genuine people nobody in
4:13
here is going to steal your deal
4:14
nobody's going to beat you up for your
4:15
deal you know so it's a cool group that
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we've assimilated but like I said it's
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it's tremendous I don't even know what
4:21
N9 to-5 jobs pay anymore but to make 600
4:24
Grand in two weeks you know it it kind
4:26
of you can catch up 10 years of life in
4:28
that business you know and make it that
4:29
amount of money so congrats
4:33
dude what are we going to cover today
4:36
Daniel is Kyle going to take this one
4:37
over or what yeah I think Kyle wants to
4:40
cover relationships agent
4:42
relationships and I think he wanted to
4:44
cover some deals
4:48
today I think knowing what you're
4:50
looking for is everything absolutely
4:53
everything makes this business super
4:55
super fun and interesting
4:59
yo what's up guys first of all Alan
5:03
great job of finding that deal bro it
5:04
was a great one someone on our team I
5:07
want to talk about agent relationships
5:09
and this goes both on the buying and the
5:11
selling side for us on the buying side
5:14
obviously you find someone that's
5:15
motivated and they understand our
5:17
processes and they understand how we
5:19
operate and uh they want to get a deal
5:21
done with us they're willing to give us
5:23
a discount they willing to give us time
5:24
they understand the full extent of what
5:27
we're doing as far as marketing and and
5:29
just whole entire business model in any
5:31
way they can help so that's on the buy
5:34
side on the sell side the families that
5:37
were there over the weekend or yesterday
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I'm sorry we someone on our team did a
5:43
campaign an agent blast texting campaign
5:45
campaign that uh I think he sent out 100
5:48
texts found this agent she goes you guys
5:50
are undervalued I want to add my fee on
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top and bringing an entire family to buy
5:55
this thing on the individual lots and
5:58
that was an agent relationship just just
5:59
on touching a certain agent after 100
6:02
tax she was ready to go um I've heard
6:05
that phrase a couple times where she's
6:06
like I'm going to sell this whole thing
6:08
and so I kind of took the great assault
6:10
but she went out there she brought 20
6:12
plus people out there she walked the
6:14
property she's ready to write contract
6:17
she said send me an example contract do
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you guys use what terms do you guys want
6:21
like she's she's gain for whatever she's
6:23
like I don't even want a commission I'm
6:25
going to add my fee on top so she's like
6:27
I know you guys are undervalued I'm
6:28
going to sell it to them at retail I
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said I don't give we like I don't give a
6:31
because you know you're paying us
6:33
what we want actually what's really cool
6:37
is she doesn't want to be paid she wants
6:40
one of our lots that has a house on it
6:43
in return for her work which equ
6:47
equivalates to like she's adding like 35
6:50
Grand on top of each individual lot and
6:52
it equates to the basically the purchase
6:55
price of the house in the lot and that's
6:57
what she wants in Return of payment she
6:59
doesn't want to get paid she literally
7:00
just wants to house in the lot so her
7:03
Niche was
7:05
Finding motivated seller her her we're
7:08
the motivated
7:10
seller well yes yeah we're the motivated
7:12
seller obviously but her Niche was she
7:15
was a badass agent out of Houston she
7:18
has she's from India she specializes in
7:21
working with people from India to get
7:23
housing here Houston and she knew people
7:26
that are ready to kind of move more
7:29
towards that lifestyle of being outside
7:31
the city she puts together family and
7:33
friends that uh know each other all past
7:36
clients that want that land all grouped
7:38
together kind of like a little compound
7:40
and that's her Niche and she said she
7:43
has about 80 to 100 more people that
7:45
would like to do this so anything
7:48
outside of the Houston area is is
7:50
obviously something that's really good
7:52
right now because it looks like she's
7:54
going to come through uh God willing
7:56
she'll come through um but she
7:57
definitely looks like she she's moving
7:59
so talking about agent relationships
Current Market Dynamics and Strategic Pricing.End)
8:01
it's not just on the buy side for us
8:03
it's on the S side so the guy that sold
8:06
it for us on the team's name is H he's
8:08
in Belgium so he's sleeping right now
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he's probably getting around $60,000 in
8:12
commission just from selling the whole
8:14
thing because he brought that age in
8:15
relationship and and that's someone he
8:18
can use that's someone he can use
8:19
forever as long as she keeps bringing
8:21
those groups
8:22
of you can basically print unlimited
8:25
commission just off of having that
8:27
relationship with her so he basically
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she's basically monetizing our land
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we're basically monetizing it from our
8:34
seller she's monetizing us monetizing it
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from monetizing it from us as us being
8:39
the seller because we left meat on the
8:41
bone for her so right now we kind of
8:44
notice a shift we kind of noticed a
8:46
shift in the marketplace I think with
8:49
election coming up with holidays coming
8:50
up uh the marketplace kind of slowed
8:52
down as far as buyers so we started
8:54
pushing stuff around 65 to 75% of retail
8:59
and and things have been moving better
9:01
Max Steel and Tyler has been moving well
9:03
Allen steel is moving well so those are
9:05
two deals that are moving well and Le is
9:07
flying too man yeah L is going well so
9:11
just just things that we're we're
9:13
staying undervalued on and competitive
9:14
on with the market place we're doing
9:17
well and a lot of the so a lot of the
9:20
buyers are coming from Agents from what
9:22
I'm noticing a lot of the buyers are
9:24
coming from Agents and uh working with
9:27
agents on um the buying SES for buying
9:31
our Lots like even if you guys are doing
9:33
Acquisitions like let's say you find a
9:35
really really cool agent that likes our
9:36
business model you know ask them if they
9:38
have anyone um in their office that has
9:41
buyers you know always always be
9:42
benching what we're doing you know don't
9:44
keep it oneid it kind of keep it almost
9:46
like a dual pronged approach because
9:48
with the change in commissions and
9:49
everything as well agents are going to
9:51
look for more opportunity to get paid um
9:54
either that or they're just going to
9:55
exit the business so I think it's a huge
9:59
opportunity to and Amy I think Amy's in
10:02
here Amy had the same opportunity as
10:03
well um unfortunately the property was
10:07
sold but she was talking with a agent on
10:12
another property and fortunately that
10:14
one just didn't really work out for the
10:15
business model um but she asked if if
10:18
they know of anything or if they have
10:19
anything else that fits this criteria
10:22
and B he sent her something like right
10:24
after they got off the phone um
10:26
unfortunately had like been under
10:28
contract for a couple weeks I think
10:30
after he sent it to her but it on
10:31
land.com it was still active but that
10:33
agent basically did the work for her did
10:35
the marketing for her same thing with
10:37
Allen uh the other one that we're
10:38
negotiating he did an rvm drop and this
10:41
agent's not even the listing agent he
10:43
just found one that fits our business
10:45
model that's on the market and he
10:47
basically brought it to Allen you know
10:49
on a silver platter without him having
10:51
to go surf the MLS so a lot of times it
10:53
can be a headache and I've done it I've
10:55
looked at thousands of properties on MLS
10:57
over the past five months
11:00
and it it can get brain foggy it can get
11:02
everything but if you guys are asking
11:04
these agents and kind of showing them
11:06
what we do especially the cool ones
11:08
there's going to be ones that are very
11:09
standoffish U but especially the cool
11:11
ones they'll bring you opportunity and
11:15
that's something that you guys should
11:16
leverage because if you have a team of
11:18
five to 10 agents and uh you know you
11:20
can realistically be making a few offers
11:22
a week by not even looking at the damn
11:23
MLS just by them bringing it to you I
11:26
may try to make a small loom video on
11:28
that for what we're looking for or you
11:31
guys can use some of our land IDs um our
11:33
land IDs are good representations to to
11:35
show agents on what we're looking for so
11:38
I can drop a few of those in the uh
11:39
Facebook group as well but same thing I
11:43
think we had another property in Freer
11:45
where uh an agent brought us like a
11:48
buyer for 40 acres or something I
11:51
believe he brought the deal too I don't
11:52
remember I believe brought the deal and
11:54
a buyer so these agents are dual pronged
11:56
approach and I think
12:00
I I think the the main way that we can
12:02
make some more deals happen and we can
12:04
make some more sales happen is is just
12:06
by leveraging agents more and I don't I
12:08
don't think we give them enough credit I
12:11
think that there's a lot of shitty ones
12:14
out there but when you find a good one
12:16
or you find someone you're having a
12:17
really really genuine conversation with
12:19
don't forget about them write them down
12:21
save them in your phone text them every
12:23
couple weeks ask them if they have
12:24
anything else or if they know of
12:25
anything else like put them in your CRM
12:27
or whatever it is on a drip don't forget
12:30
about these guys because I'm telling you
12:31
the cool ones will make will make your
12:33
life easy does anyone have any questions
12:36
on that on agent
12:39
relationships or about this
12:46
deal is there anything in the
12:51
chat you want to talk about that deal
12:53
that the other one you made an offer on
12:55
you don't have to give the address but
12:56
you want to tell us a little bit about
12:57
the deal the size of the deal the offer
12:58
we made terms yeah so it's 92 Acres it's
13:03
about an hour 20 outside of San Antonio
13:04
an hour 20 outside of Austin in the
13:06
Texas triangle it's one of those
13:08
counties you can do a 5 acre subdivide
13:10
it has three sides of Frontage I think
13:12
we're getting it close to like 12,500 an
13:15
acre targeting closer to 100 or $20,000
13:18
an acre exit since we can do fives
13:20
becomes a little bit more affordable so
13:23
and that one comes with a like some
13:25
structures too and some utilities on one
13:26
of on one of the Lots same thing with
13:29
the El Campa one it came with the house
13:30
and a lot obviously that one is what the
13:32
agent wants as her payment um so we're
13:34
going to give that to her but how do I
13:37
say it this one comes with a structure
13:39
as well so we can kind of up the price
13:42
breaker on that as well because it has
13:43
Utilities in a structure yeah we can do
13:45
a 5 acre subdivide on that there's a few
13:46
counties you can do that vanzan fan in
13:49
and lavaka county you can do 5 acre
13:51
subdivides in without approvals same
13:54
thing as the 10 acre subdivider rule
13:55
except some counties have a 5 acre
13:57
exemption rule so those are Three
13:59
Counties to Target as well and I'll put
14:01
those in the chat unless Anthony or
14:04
Daniel want to put those in the chat
14:05
while I'm talking but yeah that one
14:07
looks pretty good so I think we're
14:08
getting we shop our 12 months
14:11
close I think right now we have a verbal
14:14
for six pushing for8 to nine I'm trying
14:16
to Teeter that thing up you know because
14:18
Anthony said the other day six months
14:20
with these types of deals sometimes
14:21
feels like two months these larger
14:23
properties because you have times for
14:25
you have time for surveys you have time
14:27
for headaches and 6 months really it
14:29
really does feel like 60 days like for
14:31
the Tyler property we're almost 90 days
14:32
in already um if not we we're about a
14:35
week away from 90 days so can we talk
14:37
about that Kyle timelines like why why
14:39
do we need six months to close everybody
14:41
in here they're like man if I get a deal
14:43
six months that sounds like way too long
14:45
what happens during those six months man
14:47
because I'm on the front line of it all
14:49
I'm dealing with all the dude
14:51
there's so much you know you got to
14:52
figure out driveway spacing you got to
14:55
have to figure out surveying you know
14:57
surveyors might lag behind you might
14:59
have like right now our surveyor is like
15:02
I'm out with Co well when are you going
15:04
to be back I'll be back in the field
15:05
next week what the well now we're
15:07
we're now we're down seven days already
15:09
paid you like half of the survey fee so
15:11
like what about this El Campa one right
15:14
we got it two weeks ago we're we're
15:16
probably going to be sold out in one day
15:17
first showing 600,000 profit now what do
15:21
we got to do to get our money what are
15:22
the next few steps what's what what do
15:23
the next timelines look like till we get
15:25
a check so next timelines look like so
15:29
on this one honestly like this one's an
15:30
anonym so we already had a meets and
15:32
Bounds survey so tomorrow she's drafting
15:35
the contracts we did 90 days or before
15:37
just so we have time to get all the
15:39
individual lot surveys some people are
15:41
going to come in with bank financing so
15:42
we're doing 90 days or before and that's
15:45
just obviously we're going to try to
15:46
close it out as quick as possible but we
15:48
also have to match up timelines on when
15:49
everyone can close so that way we don't
15:51
have to raise any of the money it's just
15:53
a double close from
15:55
there beautiful 600k profit on a double
15:58
close we got eight surveys coming back
16:00
for all these
16:01
families yeah eight or it'll be yeah
16:03
eight surveys for the families and then
16:05
the ninth one will be for um the agent
16:08
will figure out the legality behind
16:09
giving it to her probably a trust and
16:11
sign her beneficial interest or
16:12
something so the agent doesn't want any
16:14
money at all there's a house on property
16:17
she said she'll take that house as
16:19
payment so that she didn't come in and
16:22
make us a lowball offer she raised the
16:24
price of every track $35,000 on her own
16:27
nobody instructed her her to do that
16:29
that was her compensating the math in
16:31
her head to keep that
16:32
house so you never know what these
16:34
agents want man some of them are really
16:35
good and creative I really love working
16:37
with agents I've had a lot of great
16:38
experiences with them I literally told
16:40
her I said I I love the way you work and
16:42
she was like dude your business model is
16:45
so cool she's like you guys are you guys
16:47
are doing cool things like I love the
16:48
way you work too she's like bring me
16:50
another one of these because I got like
16:51
80 to 100 more people that are uh ready
16:54
to go for for you know as a family buyer
16:57
but the same thing Tyler waiting for
16:59
surveys to come back who has a ton of
17:00
buyers ready to go I mean we already
17:03
have some Lots pre-sold on that but we
17:05
have the one thing about working with
17:06
agents is this this this girl she was an
17:09
anally obviously but you can Co you can
17:11
coach agents into what we're doing hey
17:13
you know look we we're waiting for sur
17:15
to come back we can make a contingent on
17:17
this it doesn't put your you or your
17:18
client at risk because of XYZ like
17:20
always using disclosures which we
17:22
touched on I think last week or the week
17:24
before always using disclosures is
17:26
something that we we do all the time but
17:28
we used disclosures all the time we
17:29
coach agents on how to write offers we
17:31
coach agents on on the process like
17:33
we're very transparent about we what we
17:35
do and agents appreciate that you know
17:38
and a lot of times that a lot of times
17:39
we're paying the commissions personally
17:42
so you know I think it's it's something
17:44
that these agents appreciate the good
17:46
ones um some of them are going to want
17:48
surveys some of them are going to want
17:50
certain things they by the book um but
17:52
you're going to find that badass one
17:53
like on this one in Al Campo and they'll
17:55
change your life like you know this girl
17:57
like I don't know correct me if I'm
17:59
wrong Anthony and Daniel I mean I'm I'm
18:01
fairly new to the business model but in
18:04
the last 3 to five years if you guys
18:06
ever sold a property this fast of this
18:08
of this size not 600,000 profit in a day
18:12
nope not even close no not a seven
18:14
bigger property this is the biggest one
18:16
like we're gonna make a big case study
18:18
off of this one because this was defin
18:20
think about it this is we picked up one
18:22
deal and created nine pieces of
18:23
inventory and we're we're going to sell
18:24
out in a couple weeks like that's pretty
18:26
impressive for this business model CU a
18:29
lot of the times sales don't move that
18:30
quick but like I said with us pushing
18:32
things below market value we could
18:35
really Teeter that scale to moving
18:36
through deals quicker and getting
18:37
everyone paid quicker and still
18:39
generating massive profits and and safe
18:43
very safe hey you touched on that Kyle
18:45
and but I want to see if you can dive a
18:46
little bit deeper on that we recently
18:48
started uh aiming at lower right so we
18:51
would buy something for closer to retail
18:53
and we were comfortable selling it at
18:55
90% 85% of retail and uh now we we we
18:59
even scaled that back right now so what
19:01
would you say to the people on this call
19:03
like what what do we need to buy at
19:05
roughly to be able to exit where do we
19:06
need to exit so I would say still
19:09
shooting for 50% obviously the the
19:12
biggest the bigger the discount the
19:13
better uh 50% is still good like let's
19:16
say you underwrite something or you look
19:17
at something uh retails 10,000 an acre
19:20
let's sell that thing to like 7,500 an
19:22
acre as a 10 acre lot you know and and
19:24
you could tell based on comps and you
19:27
could tell based on availability you
19:28
want to beat out the marketplace so
19:30
Tyler we're we're crushing the
19:31
marketplace like there's nothing of that
19:33
nature at that price point on the market
19:35
El Campo like you're not even close like
19:39
the the next closest one is 20 an acre
19:41
on a dirt road so like you have to be
19:43
competitive right now with the
19:44
marketplace and availability if you want
19:46
to you know Teeter the buyers in your
19:47
favor so that's something we're doing is
19:50
we're kind of moving more toward like
19:51
the 70 to 75% exit price still shooting
19:54
for underwriting as 2x based on retail
19:57
but we're we're we're moving towards
19:59
trying to sell them quicker um but still
20:01
underwriting it as a 2X but moving it
20:03
more as like a a 1.7x is still
20:07
underwriting it as
20:08
2x but with our with with how fast we're
20:11
moving things just to touch on that R
20:13
again with how fast we're moving things
20:14
our cash on cash is really it's insane
20:17
like with Tyler our cash on cash is
20:19
going to be crazy with Al Campo it's
20:21
like virtually in infinite returns you
20:25
know because I think we put like 20
20:26
grand EMD and then it'll be like 15,000
20:29
for the survey so it's going to be an
20:31
extremely extremely high cash onh return
20:33
for getting $600,000 profit so that's
20:36
something to touch on too the faster we
20:38
move stuff the 2x is is valuable but it
20:42
also doesn't matter when we're moving
20:43
things at extremely fast pace yeah we
20:47
almost did that on this one you know we
20:48
saw that stuff was going for 20 and
20:50
right above and then after talking about
20:52
it I said man let's just dump it quick
20:54
like let's just hit it for like 169 like
20:56
let's just be under ret massively under
20:58
retail
20:59
and for sure like I said the first
21:00
showing sold out and that has never
21:03
happened before but um it was that was a
21:06
that's kind of where the market is right
21:07
now I think even if we see stuff at
21:08
retail for 20 we don't want to sell for
21:11
that so that's something you guys got to
21:12
consider when you're looking for deals
21:14
you know we don't want to be anywhere
21:15
close to retail like Kyle said maybe 75
21:18
Max 80 uh that's our Target exit price
21:22
the Market's softening so you want to
21:24
undercut everybody every there's there's
21:27
some uncertainty with the election
21:28
there's uncer some uncertainty with the
21:30
economy right now so you have to kind of
21:32
play into favor with that and kind of
21:33
feel the market shifted and you just
21:35
have to play along with that also
21:37
holidays are coming up too so it's a
21:39
good opportunity to also pick off some
21:40
stuff on the acquisition side because
21:42
investors and developers are going to
21:44
you know kind of Hit the sidelines right
21:46
now with holidays coming up so for the
21:48
next four months or so you might be able
21:50
to negotiate a good deal agents are
21:51
going to want Christmas money you know
21:53
so you might be able to find a nice 5
21:56
acre lot that's worth a 100 you pick it
21:58
up for 50 because this agent wants their
22:00
their Dam Christmas money or something
22:02
so that's something we do too is is
22:03
quick lot flips you know try to get 50
22:06
60 cents on the dollar and flip it those
22:08
those you can move a little bit closer
22:09
to retail or a little bit under retail
22:11
because it's more of an affordable price
22:12
point but we still we we still do push
22:15
through those a little bit under market
22:17
value but that's something we're looking
22:18
for too is just quick Arbitrage flips
22:20
you know buy something for 50 60 cents
22:22
on a dollar and sell it you know close
22:23
to retail 90% or so on those smaller
22:25
smaller ones you got a question in the
22:28
chat
22:30
can you give us a short example of what
22:31
your conversation with an agent
22:32
explaining our business model yeah just
22:34
tell them that we do uh subdivides you
22:36
know 10 AC subdivides I essentially just
22:39
tell them that we do larger timelines to
22:41
make sure that we have enough time to do
22:43
surveys uh we always pre-market stuff
22:45
because you know we can't just
22:47
willy-nilly buy something and expect us
22:49
to turn around and sell it on the market
22:51
so we need some time to premarket it
22:52
we're more than happy to put down
22:54
non-refundable money just little things
22:56
like that I explain I'll them examples
22:59
you know anything that comes up I mean a
23:01
lot of the times you don't even really
23:03
have to explain a perfect business model
23:06
you just kind of really just say what I
23:08
said you know we do ranchets you could
23:10
represent both sides as intermediary
23:12
there's no reason for us to bring in
23:13
another party that's if you're calling
23:15
the listing directly obviously if
23:16
someone brings you something on the
23:18
buyer agent side let them represent the
23:20
buyer agent side but realistically I
23:22
just you say I go on the call and be
23:23
like hey you know we do ranchets U we do
23:26
quick subdivides we typically look for
23:29
it depends on the deal but we typically
23:30
look for XYZ in closing time we'll do
23:32
non-refundable money and that's really
23:35
it see if they want to play
23:37
ball yeah I think it's the same
23:39
conversation over and over and the more
23:41
time you come to these calls the more
23:42
you're going to hear us say the same
23:43
thing and I don't know what people think
23:46
when they come to this call but I feel
23:47
like maybe they think we're holding back
23:49
to secret s but what we talk about on
23:51
these calls those are exactly the offers
23:53
we're making and if you're on this call
23:54
and you're like well that offer sounds
23:56
ridiculous who would accept that I mean
23:57
we're locking stuff up weekly now you
23:59
know so and Allan has a lot of a lot of
24:03
experience with some smaller land stuff
24:05
so obviously has some experience there
24:07
but you know it's it's and Alan correct
24:10
me if I'm wrong but it's a it's an easy
24:12
game like the negotiation becomes easier
24:14
because these are El liquid properties
24:16
like you don't need a true business
24:17
model pitch like you don't need to be a
24:19
super pitchy salesman like you tell them
24:21
what you tell them what we do you know
24:24
if it doesn't work out it doesn't work
24:25
out you know that's it like they're just
24:27
not the agent they're just not the for
24:28
you but there's plenty of sellers out
24:30
there just waiting for us to make offers
24:32
and and they're out there you know it's
24:33
it's not it's not a big needle in the
24:35
Hast stack like the L cample one was on
24:36
the market for for 6 months at almost 12
24:39
an acre and then we got them down to 10
24:41
like it's not a huge needle in the Hast
24:43
stack they're there again you utilize
24:46
agents that help you find stuff utilize
24:48
people that are in the marketplace
24:49
already and they maybe they know of
24:51
something their colleague has something
24:53
they have something off Market I don't
24:54
know leverage these agents to work for
24:56
you does doesn't mean don't go look on
24:59
MLS because you still have to find those
25:00
agents that are going to work for you
25:02
you can do text blasting you can you
25:04
know do some coold calling to find some
25:06
agents that want to work on your work on
25:07
your behalf on the Byer side but they're
25:10
out there that want to work for
25:11
you yeah I think it's just about making
25:14
that first
25:15
Contact and then following up right
25:18
because a lot of these people don't say
25:20
yes on the first go so when people shoot
25:24
you down like who cares that's just part
25:26
of the game we just keep keep on going
25:27
you got to have thck skin just just
25:29
expect to hear no but you have to touch
25:32
enough deals or you have to touch enough
25:33
people to get a yes right and then like
25:36
Kyle said once you have that agent on
25:37
the phone like oh no I don't think they
25:39
would ever accept that okay well Mr
25:41
agent since you're out there looking at
25:42
land and you're you're in this business
25:45
do you think you could help me find
25:46
something even possibly off market right
25:48
have you heard of anything around there
25:50
where where they could take 100,000 down
25:52
you know I I I sat with a very seasoned
25:55
land investor who does subdivides very
25:57
well connected very well capitalized a
25:59
couple weeks ago and I told him that we
26:01
would give down 50,000 100,000
26:03
non-refundable and he looked at me like
26:04
I had a hole in my head he's like you
26:06
don't even do any due diligence or are
26:07
you don't have an option period I don't
26:09
need it we've been doing this long
26:11
enough I'd rather lose the 50,000 than
26:13
lose the deal right and I've lost 50,000
26:15
a couple times but you know the upside
26:18
is tremendous in this business so 20 to
26:20
50,000 becomes a nothing number so yeah
26:23
just making the offers being intelligent
26:25
communicating with the agents don't
26:26
forget the agents are people don't treat
26:27
them like a robot you do your pitch and
26:29
they're like no they're not going to
26:30
accept that or hey they said no okay and
26:32
that's it you're done now get back in
26:34
there and say hey what else do you know
26:36
out there that's similar to this have
26:37
you heard of anything else like this you
26:39
know if I bought another Ranch in this
26:40
area do you have buyers that are looking
26:41
for 10 acre tracks or 20 acre tracks I
26:44
had an agent tell us one time she said
26:45
if you cut this thing up into 10 acre
26:47
tracks I got five or 10 buyers ready to
26:48
go right now and now it makes it makes
26:50
that deal a little bit more interesting
26:52
because if they're serious and they can
26:53
get me a handful of Lois before I sign
26:55
the contract then I'm in on that deal
26:57
and maybe we can can afford to pay a
26:58
little more if we know we're going to
27:00
have it sold quickly so just about being
27:02
creative I I say ask crazy questions
27:04
make crazy offers you never know what
27:06
somebody's going to say yes to you never
27:08
know what people are interested in and
27:09
don't assume I think a lot of us assume
27:11
that oh no they're never going to accept
27:13
that oh no that that offer sounds too
27:14
low like who cares I mean it's just it's
27:16
just part of what you do with your
27:17
business we're not trying to cheat
27:19
anybody we're just telling them like hey
27:21
look nothing's moving at that price but
27:23
we can buy it you've been on the market
27:24
for 6 months you've been on it for a
27:25
year you can go to Zillow or redin or
27:27
any of those guys and you can switch the
27:29
filters on to show you what's been
27:30
listed for a year two years and just
27:32
start making offers working Your Way
27:34
backwards start at two years and start
27:35
working Your Way backwards there's
27:37
something wrong with it or they just
27:40
they're they're at a price point that
27:41
they're just it's just not sellable
27:43
right now so if you can get it on terms
27:45
or you can get it you can get a nice
27:46
discount like Allen steal was already
27:49
almost 50 cents on the dollar of retail
27:51
value for a 10 acre lot like there there
27:53
are deals out there where the
27:54
negotiation becomes very easy because
27:56
they're already a good price or they're
27:57
already open open the seller financing
28:00
there's a lot of things that are working
28:02
in your favor you know just by asking
28:04
questions and and knowing what to look
28:06
for go ahead hey think about that this
28:08
property is listed on the market for six
28:11
months at almost half of retail and it's
28:14
still wasn't moving we come in and pick
28:16
it up and sell it for full retail price
28:19
but broken up right so that's the Magic
28:20
in what we do so the the main thing
28:23
about that too is the price point so we
28:25
talk about this every once in a while is
28:27
that the higher the price point the less
28:29
buyers there are so even us and even the
28:31
marketplace knows it's Below Retail
28:33
there's no buyers at that price point
28:36
you can tell agents that hey there
28:38
there's very little buyers at your price
28:39
point but we'll play and we'll play with
28:41
non-refundable money but we need
28:43
time this is what I think we have the
28:46
power guys if you're on this call you
28:47
have the power because we have access to
28:49
the capital right and we're smart we're
28:51
not going to throw a million dollars $2
28:52
million into one deal but we'll put 50
28:54
to 150 or 200 no no matter what you have
28:57
a deal raise that money for you there's
28:59
no chance that that capital is not going
29:00
to be there for your deal so you have
29:02
the power you have the negotiating power
29:04
when you're on the phone because you
29:05
have the cash so when you're talking to
29:06
these agents just what Daniel said right
29:08
now there's no buyers coming to save you
29:10
guys you've been on the market for nine
29:11
months we're making you an amazing offer
29:13
we're we're offering you you know pretty
29:15
much close to what you're asking you
29:17
know why would you guys be opposed to
29:19
that if you know it's not going anywhere
29:20
nobody's coming to save you this agent
29:22
one time she got me frustrated and I was
29:24
just I was done with her already and I
29:25
said okay that's fine I said don't worry
29:27
about it I said I'll call you back in
29:28
about three or six months and check on
29:30
you guys but it's my offer is still
29:31
going to be the same possibly a little
29:32
less sure enough a few months later and
29:35
and our offer was a little lower so the
29:38
same thing is just like just just be
29:39
real with these people you don't have to
29:40
beat them up you don't have to get
29:41
flustered like I did but uh yeah just
29:43
just make your offers and just let them
29:45
know nobody's coming to save you it's
29:46
not it's not happening nobody's going to
29:48
come and write that two or three million
29:49
doll check so you have the power because
29:51
you you have the power to write a check
29:52
right away
29:58
[Music]