Justin Colby
Appearances
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Like being single was not hard for me. Right. And I say that outwardly, like I did very well as a single man. Right. I mean, that's just because it's not hard to just be authentic and say, my name is Justin. What's your name?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And that value add because of my presence or your presence on Apple and Spotify, it immediately creates a value for them because most of them are just entrepreneurs and want to be bigger brands. Right. That now is kind of the go-to for me.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah, I have two. I'm rolling.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's it. Yeah, dude. Well, so the thing about Dan, which is great is he let everyone kind of do that. Cause it was intimate. So there was like 20 people on a yacht. So it was like, everyone do that. So the thing I actually said is I'm a real estate investor. I have two top rank podcasts on Apple, one business, one real estate. I run a coaching business, blah, blah, blah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So I definitely highlighted that. Yeah. And it actually became the talk. Most people came up to me. That's what they want to know about. So it wasn't very hard for me to go talk to people. They would come up to, Oh, what podcast do you do? How did you do that? Like, I've been thinking about it. Right. So then again, it just gives you a door. It gives you a way to offer value to them. Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So we talked about, I think everyone should do it. If you're a real estate and I'm not real estate, but a business owner. Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah. I mean, in other ways you can almost be an affiliate for them. Hey, listen, I want to feature you. You're selling great donuts. let's have some coupon code with me. Right. And then, then it becomes a revenue stream for you too.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Right. Law of reciprocity, or you say, Hey, I want to blow up your donut shop. Let's go.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I've tried not to do it.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I go good every time. So I'm very trusting, right? And so I will trust you until you give me a reason not to. And I'll give you 100% trust, right? Like I will go sit in my office all day and I don't care. Give me a reason not to trust you and then it's broken, right? And I forgive, right?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
One of the nice parts of my childhood, which my first coaches and mentors were my parents because they were exactly who I didn't want to be. Alcoholics, didn't love me, didn't... I don't want to say that, but like... They cared more about the alcohol than they did about me. Yeah. Right. Leave me at baseball practice. Forget to pick me up from school and all that.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I say that because I can forgive really easily because of what I went through. Because forgiveness, carrying around hatred or whatever, that's a debt to you. Oh, sure. That only affects you.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So I give everyone the 100% trust. You are a great human until you show me otherwise. You get all my trust. You break it. You don't get my trust anymore, but I'll forgive you because I don't need to carry around that hatred or hurt or pain. I forgive you. You just won't get my trust.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I always assume.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's right. And I'll give them an affiliate link. So I will, another thing I'm changing in this space is, If they bring in Fred, because Fred's like, dude, how are you getting this done? They say, go join REI Live. They will start making $50 a month as long as Fred stays in. I'll pay them to do that.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So if they find four people because it's $200 a month, they essentially aren't even paying me anymore to be in this group, right? Because now I'm paying them $200 a month. Then this is the kicker that no one I don't think has ever done this. Let's say you come in, we get some deals going. Your best friend wants to come in too. Great. I'm paying you $50 a month.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
You're not overly excited, but you're like, all right, whatever. But then your best friend, Fred is an all-star. He does everything. He's bringing leads. We're crushing one to two deals a month. Every deal Fred does, I'm going to give you 10% of my side just to say thank you because you brought Fred.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah, thank you, dude. Because it's legit. I'm flipping you on its head.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
In perpetuity for every deal he ever does while he and you are both in the system are in the group. Because I want to say thank you. And I want to finance. I will start paying members to be in this group versus them paying me. Because when I give away that amount of goodwill, it'll change people's lives.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And what I'm doing it for, I'm in my life cycle of, I care more about what the impact is than me getting rich. Selling 10, $20,000 has made me a lot or 10 or 10,000, $20,000 made me a lot of money. But now I'm in a life cycle probably because new dad, right? I have two little kids and whatever. And I'm just like, dude, it's about the impact. Yeah. I want to make a lot of money.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Don't get me wrong, but I can do that while they get a lot of money too.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I would argue that is very collaborative.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
There you go. Right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That is the interesting side. And I told you on my podcast, I'm getting licensed because I actually want to change the frame of that too. Yeah. I want them to understand what they're already doing. If they figure out... my side of the investing space, they will make more money, but they will do more because they'll find more ways to collaborate amongst each other
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
as realtors, but also as investors.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
It's about time. It has to, right? I mean, and I make the argument all the time. I think we genuinely, for the most part, like 98% of the time, we're serving different clients, right? Are there some times that we get a similar client that an agent could list? For sure. But typically we're dealing with busted properties. Like I call them dumpster fires, typically, right?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And so like most agents don't want to have to deal with a fire or a home that has a hoarder living in it. And now the hoarder just had to go to an old person's home and now all the stuff's there. Like what agent wants to do with that listing? Not many, but an investor loves it. It cost me $1,500 to clean out that home and now I have a great flip because the agent didn't want it, right?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So the collaborative effort needs to start happening. Agents have to be getting in the real estate game. And they are. We talked about it. It's more now than ever. But the reason I'm getting licensed is to make sure that every agent understands how they can do it legally, ethically, morally, keeping their license, and being a great real estate investor.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Fortitude. Just one word. Just keep fucking going. Just keep going. keep your head down, keep going. And then maybe another word, iteration, adaptation. I, just like you, my secret is like, I can kind of see around the corner for the most part. And when it's getting creepy, I can start to adapt and pivot quicker. And in my younger years in business, I didn't, right?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Like the, we're buying most of our flips from the auction. The hedge funds came in and like crushed my business. I don't know if anyone really saw that coming. I don't know how I could have said. No, that was wild.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah. I mean, shame on me for not seeing it, but kind of how did I know? But anyways, but then things like we were heavily leaning into direct mail at one point of our career, and I started slowly seeing the numbers creep down in response rate. I'm like, okay, we got to start to pivot into other channels. So we started picking up PPC, right? And so adaptation or, you know,
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
different iterations, but then just, you're going to take your lumps. You just keep going. There's nothing. Success is long. It's longevity. It's over time, right? Yeah. There's overnight Bitcoin success. Fine. Prove me wrong. I get it. It's gambling. It's gambling. Yeah. Go do it. Awesome. Yeah. You can do that in one year. You can become a multimillionaire. I got it.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
But in general, the John Gafford's of the world, the Justin Colby's of the world is because we've just done it long enough.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
No, I buy it and just let it sit there. How do you have time to understand that pink pantyhose is going to be some boom thing?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I don't even know.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I don't even know that I can get it in my wallet.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I would tell you I am leaning a little bit more into crypto only because of Trump. And I genuinely believe... Trump is going to put some laws and lay down some smackdown on the crypto world. And I think it's going to start to change, not just the United States.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I think because of what I believe he's going to do, and I have no way to totally support this, he's going to go so heavy into crypto, other countries are going to have to. But here's my question about that, right?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Right. Or a financial advisor.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Dude, you know what Grant's doing, don't you?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
If he figures this out, and I think he's close, he's now doing, and I don't know the total details.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
No, he's bringing in Bitcoin as part of his raise for his funds, and you get the upside of the real estate, and you get the upside of the Bitcoin on the exit.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah, and then also it's, you know, he knows what Trump, like he's getting close to Trump. So he's leaning into it. And dude, so I'm really close with Jared Glant, his right-hand man, right? He explained it to me and I'm not the crypto wizard, but bro, I was like, I'm not smart enough to really know. But Grant, what I did understand was the real estate side.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And bro, if you were an investor that you also gave Bitcoin into the fund along with your cash, you get the upside of the real estate, but then where Bitcoin's going to go, you get the upside of the revenue from the Bitcoin as well.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Desperation, brother, you know, classic story came through the crash of the real estate crash. I was a realtor that had no skills, zero. I was blessed by connections. Now I can go off on that. You'll make more money with the people you know than you will make by just doing marketing, right? You can spend all the money you want. Because of connections, I've been able to create the lifestyle I have.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah. And by the way, I hope I'm not, you know, Grant, sorry, brother, if you're watching this, but like, I know enough because what I was told, but like, I'm like, dude, this could be, that's a hell of a way to raise money.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Advanced screening.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah, it's, but I think Bitcoin, so I'm leaning a little bit more into educating myself. I had a, I would refer him as a guest for you because he's awesome. He's young, he's 24. He started his own platform that is now a huge competitor against Coinbase. Talk about printing money. Yeah, no kidding. So I interviewed him on my episode, bro, and I think he'd be great here, but he blew my mind.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
He thinks Bitcoin's a $100 million coin. Holy smokes.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's because his whole point was when Trump goes all in, it's going to change everything about it.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
It's magic. It is. He just has the cojones to do it, bro. I know. right? Everyone else doesn't. He just doesn't care. He's not a politician.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
It will be a fun ride.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
R-E-I-L-I-V-E dot co. Not dot com. Dot co. Dot C-O. R-E-I-L-I-V-E dot C-O.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Dot co. R-E-I-L-I-V-E dot co. It's $197 a month. We do deals together 50-50. I'm going to change the shape. I give referral fees when you bring people in.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
and then instagram the justin colby go follow me yeah um and listen to the podcast both of them yeah science of flippings real estate entrepreneur dna business in general and they're both great i love it man well again dude
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So one of my closest friends in college, his dad was a developer. So he's like, dude, let's start a brokerage. We'll sell my dad's homes. Duh. Now I have this great degree from UCLA. Great. Now I'm going to be a realtor. Didn't need my degree. My friend and I started this brokerage, still the highest performing California boutique brokerage in California. Nice. Still around. W Real Estate.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
They're amazing. And so, but I didn't create any skill sets, right? Because I would sit in a new home build. I'd get 18 offers a day on the weekends and we'd choose the highest one and I'm done. I did nothing.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So when the market crashes, so do I, right? I have zero skillset to be a realtor, right? I passed the exam, but I've never built a business. I didn't do anything. So when the market crashes, I crash. I had $120,000 car. I had a $500,000 condo. I had $40,000 of credit card debt because I was printing money. So I didn't care. I threw everything on an Amex. Gone.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So 2007, you know, we didn't have Facebook. Maybe we had MySpace, right? All the stuff that you and I are aware of now, podcasts weren't around. And so we didn't have the resources, but there was YouTube. And I saw some crazy kid with leopard hair flipping short sales. And in his YouTube video was an ad for this thing called Freedom Soft, which is a mutual friend, Preston Ely's old software app.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I called my grandfather to borrow a thousand dollars. Remember I'm sleeping on a couch. I am broke. I don't have a thousand dollars. He gives me a thousand dollars to buy the product. The product leads to an invitation to an event where I am the guy in the seat at the event. Like so many of you have been getting sold coaching for three days.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And I call a friend to borrow $25,000 a friend to pay for this coaching. So first that friend is a really nice friend. Right. Because there's not many people that will do that. Number two, it's always about being resourceful, not having the resources. I could have been everyone else is like, oh, I can't afford coaching and I'm just going to go suck. Right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
But I said, no, dude, I know my friend has money. And if I deliver the message in a way that I think he would like, I think he would do it. I call him, said, dude, I'm going to pay you back. Right. The whole little, he's like, all right, give me the money.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I mean, I have a lot of people that have the money.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's what I'm saying. I don't, not as many as people would think. Yeah. I would guess five to 10.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
If I had to have it, I could go. You could get a million dollars.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I think it's the best thing you do. You'll make more money with those people. I guarantee there will be something from tonight's dinner, and I won't say in a month or even a year, there will be some business transactions at some point between the four or five people that we have at dinner. I guarantee it.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Well, funny you say that. So you started with this intro about what I'm doing. I'm flipping the whole coaching model.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I don't want people. Now, by the way, I've been coaching in that model. $10,000, $15,000, $20,000 a time, pay me, I'll teach you. I've done that for a decade now, a decade. I'm flipping it as of January 25th or January 1st, 2025. I now, and this is exactly the question you're asking, instead of you paying me 10, 15, $20,000 to coach you, I'm just going to do it with you.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
You're going to pay me $197 a month and you're going to be on the phone with me on Zoom every single day, two to three hours a day. And me, my general manager, my acquisition team, actively talking to sellers, negotiating deals, comping deals, getting offers out, So far this year, and I think today's the 8th, we have contracted 12 deals. Doing this. In this group.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Because I'm actually taking people who are mostly brand new, but some have done deals. They just couldn't keep getting them going. And they're frustrated. And I'm getting them over the edge because they're watching someone myself who have done this 18 years. Yeah. right? They see how I position the call. They see how I frame myself.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
They see why there's always a good, like a setter and a closer type model, right? I come at it very soft. I talk about how I'm the analysis guy. I'm looking at spreadsheets all day. I have glasses on. I'm geeky guy in glasses in a dark room. I need to make sure our numbers are right, Mr. Seller.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So all I'm trying to do, do you mind if I ask you just some questions so I can dial in these numbers so we can move forward? Mm-hmm. Every seller's like, yeah, okay, that makes sense. And then there's always a funny joke after that because I always talk about being the geeky guy with glasses. Oh yeah, I spent the last 10 years of my life being the geeky guy. So I totally get it.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah, what do you need? Every seller reacts this way. So they're watching me, my general manager, my acquisition guys do it with them, not just teach you, talk at you, say, here's what you should go, go do it. We are actually just doing it with you. Imagine if everyone who wanted to be a top agent in Vegas came to your office every day
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
and had open access to you, and you would just walk out of your office at random and say, hey.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's it. I'm not buried behind secretaries. That's right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Shocker, you have the second highest ranking. Yeah, shocking. Weird how that works.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Because you're doing exactly, I'm just doing it in this space.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I'm saying, listen, imagine all of you. We all run a business together. We're in the same office. And I'm going to plop down next to you every single day at random and say, all right, give me the phone. Who are we calling next? How much further along would you be on your learning, on your confidence? That is essentially what I'm doing.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So I'm basically going to flip the entire coaching model on its head. I'm going to build a massive... essentially community of people doing deals and do it with them. We'll share it JV 50, 50 until they're so good that they're actually ready to just go out and leave the nest.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And shocker, you're the number two brokerage.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Because of that. And I just, I'm so fired up about it. I mean, genuinely, People ask me like, what keeps you going? Stuff like this. Like it is so cool to see a woman. She's a nurse full-time. She's paid six figures into coaching. Never done a deal. She joins my community in the first week. She gets her first deal. Like the emotions she had are insane. Yeah. Right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And she's like, I can't believe this worked. Yeah. Like, yeah. And now she's gaining this confidence. Like now she's like blowing up the community. Hey, I just talked to the seller because there's a lot of, I force like communal activity and then I reward it. So like the top person who gives the most within the community, that's not me or my general manager. I'm going to fly him out to Miami.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
We're going to go on Spofford's yacht and spend the day. Just say, thank you. Thank you for being a goddamn leader in this community because we are lacking leaders in business.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah. You were on that. That was great. Talk about connection. I know.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
It was everybody. You knew probably everyone on the, but like, yeah, it was crazy. Gottlieb was there. Brad Summerock was there. Yeah. Myself. uh, Irish Fleischman, Spofford, uh, coach Stormy. I mean, it was, it was the who's who let's talk about.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
It's a, You and I are the same person. I have no problem going up and saying, what's going on? I'm Justin Colby. None. And I'll do it all day long. And that is not true for everyone. You're the same way. You could go do that. I am John Godfrey to anybody, anytime. That is who we are innately. So it's hard for me to really say, how do I do it? Because I just do it.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
It is literally innate in me to not give a shit. I was a kid. I'll give you a great story. Everyone should appreciate the story. eight, nine years old, girls are starting to become kind of thing. You start paying attention a little bit. Me and my couple of buddies were riding bikes on a Saturday. We're going around to the grocery store in the park and whatever, and just doing our thing.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
So ladies and gentlemen, welcome to the program. I was waiting for the hair comment. You know I've been around a long time. Yeah, this is Justin Colby. What's up, brother?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
This group of girls are at the park. My buddies are like, right. Cause we're like nine. So we're starting to look at girls, you know, I just ride my bike over to them and introduce myself, have a little conversation. I forgot what all, you know, but what I remembered is when I came back to my friends, they're like, how did you just do that? What did they say? Oh my God.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Like, and they were blown away. Like, I just went over and talked to them. And I've been like this since I was a kid. This has just been who I am. And I said, I didn't say anything. I said, hey girls, I'm Justin. What are you guys doing? I didn't have a line. I'm nine years old. And it's still the same way.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
You go onto this boat and you have people who are doing more than you, less than you, but all successful, whatever. Just introduce yourself. Say, hey, my name's Justin. I'm a real estate investor and I have a good coaching program. What are you up to? What do you do? And then you'll hear, oh, I have apartments or I have a marketing agency or I have a... Awesome. Right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And then find some alignment. If there's a value add that I try to give in that conversation, I try to. And just like you, it's about usually the Rolodex. So usually what I'll try to do.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah. Hold on, dude. You know what? Let me connect you right now.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And I do it right then in front of them. And I connect them immediately. And I say, dude, I think he can help you do the thing or whatever. And it immediately gives goodwill in the relationship.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
How about it? That's it. Now I understand that is not normal for everyone to feel comfortable enough to do that. I just have always had like what I call a shoulder shrug mentality. Like, what are they going to hate me? Like, what are they going to do? Punch me in the face by saying, hi, my name's Justin. What's your name? Like, you know, so, so like being single was not hard for me. Right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
I'm excited to be here, dude. It's always an honor to be on your podcast.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
And I say that outwardly, like, yeah, I did very well as a single man, right? I mean, that's just because it's not hard to just be authentic and say, my name is Justin. What's your name?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
Yeah.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's right.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's when?
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
That's right. Someone just did that to me too. I was like, I keep forgetting to do that.
Escaping the Drift with John Gafford
Transforming Real Estate Education: Networking, Resilience, and the Future with Justin Colby
We just talked about this on my podcast, but one of the things you and I have going for us at this point is in rooms like that now, the value add could be like, bro, I would love to interview. Would you want to be on a podcast? I mean, we get a lot of people listening. So, bro, anytime, let's exchange numbers. Boom, boom, boom.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Then it's like, all right, as long as the paperwork's there, I would have a lawyer do it because the last thing you want to do is have a discrepancy of what does the loss mean to everybody? Because that's where it gets sticky is when it's all going great, everyone loves each other. Of course. The one deal that is an actual loss, then you have to deal with it. So I would tell people.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Oh, yeah. That's it.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Wait as long as you can. And then I would also then say, if you were going to do it, I wouldn't always do it on flips. And how I would structure it on flips, if you're going to do it anyways and not listen to me, that's what people do. I would give them a return. Let's just say I give Dan a 10% return and or 25% of the profits.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That way he has an opportunity that is more enjoyable for him that like if we hit a good deal, he's gonna be making more money by having the profits. So you have kind of a lever that gives you both opportunities and then do it more in the BRRRR model than The fix and flip model.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Because the BRRRR model, at least you have the opportunity to fix and flip or keep it as a rental because you're renovating it either way. So you need to underwrite to a BRRRR because that way if Dan and Justin found a deal that the contractor took too long, the city stopped us, whatever, whatever, we can say, hey, let's just hold this together. It's not ideal, but at least it's not a loser now.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yeah.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yeah.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That's why I like it.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yeah.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I have one unit I would love more. It was brought to me by a storage unit. He's a partner. I'm a partner in the deal, obviously, but that's his main business. And so he basically came to me and said, hey, I'm looking at buying several. I could raise some capital. Do you want to be involved? And I was like, absolutely. But the idea of why I want more is because of what you're talking about.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
All that. I mean, at the end of the day, the biggest hurdle I think people think about, and it's a myth, is that you need to have money or you need to have credit. You can fix and flip homes today, right now, in Miami or Scottsdale or anywhere you want with no money and no credit. I do it still to this day. I have money. I have credit. I still don't utilize them on transactional real estate.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Like, it's a pretty straightforward business. You want to there is a CapEx side of that. You want to create the valuation really fast to go as high as it can really fast. And then you kind of just are going to end up sitting there. So things like security systems paint a gate around the complex. Those are like your rehab, right? I mean, that's really the extent of it.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
You essentially don't have any tenants. You do in the sense of you have a client that pays you every month. But if they don't pay, you lock their stuff and then sell it in 30 days. Like it's the most easy transaction is so spreadsheet driven that anybody that is good at spreadsheeting math, like at a little bit can look at something and say, that's a good ROI.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
It's that simple because you don't have the variables you would with a single family home or an apartment. You just don't. There's not the human component of it. And so I love them. If I had more time in my life, I would probably focus more on that. But I've invested so much energy time in the residential space. I'm there. Right.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
But I would say most people like a Dan Fleischman watching this, listening to this, have some intrigue in storage. It is a great place to put your money.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I just like storage units. The storage unit industry is so unique because you have the big box storage units that we're all aware of, those massive ones, right? It's hard for us little guys to kind of do that unless we build them. But you can build them. So one of the things that my partner and I were looking at is we were looking at an old, is it a Toys R Us in Vegas? Oh, really?
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
But then you build, so you pop the top of the Toys R Us, take it to five stories, as long as the zoning can happen. And then you build an internal storage facility and everything's inside the store. Right. So there's a door just like a store. And then all the storage facilities are inside and it takes a boatload of money.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I think it was like a 20 million dollar raise we were going to have to do if we wanted to do it. But oh, my God, it is just it prints money after that. And it's all inside because Vegas has that extreme heat and whatever. And so outside storage is an ideal.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And then you lock it and then sell it. And it's just, I love it. But there are different verticals, right? Like the really kind of small mom, pop, stop people you want to, like you and I would only really want to be looking at 50,000 square feet or more would be where we would want to be investing or buying or whatever.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
But there's a lot of these like 20,000 square foot spots in Tulsa, Oklahoma that you could go make four or five grand a month. And maybe that may not feel like a lot of money, but like. Compounds, yeah. You go get fucking 100 of those things. Right. Right? And it's like really not. And you don't have to even do everything I just talked about.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Like those little ones that are 20,000 square feet, no real need for security. They're smaller. You guys all know the ones we're talking about. Like usually kind of on the side road of the freeway. Like it's just awesome. Right? And so I'm like you. I have this like want and more to do it. I just got to find the time.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Right now, so last year I bought four apartment complexes, but they're all burnouts essentially. They're all like vacant and just destroyed. And so a lot of my time right now is turning those, right? Because they are great upside opportunity if done right.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That is different when I buy apartments. It's different when I buy storage, et cetera. But the biggest myth I do believe on the transactional side is people think they can't get in. They can't flip homes. They can't do whatever because they don't have the cash. Not true. I've proven it time and time again.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
No, there's no tenants right now.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So all the equity I raised is equity. No debt, meaning I don't have to pay monthly. And it's all for the upside. So again, you call a day and say, hey, dude, I know you need a tax write off because you're going to own it with me. You want the upside. You want a resume that has commercial on it. We'll have an exit in about five years.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I can't pay you monthly in a loan style debt, but I'm going to give you the equity that gives you all the other stuff. In fact, I'll give you a pref. and I'll give you 10% of your money while it's accruing. And then when we refi out with the bank, I'll make sure you get a minimum that your interest that you're owed, plus whatever appraisal we can get, I'll give you as much as your principal back.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So your principal, or I'm sorry, your interest plus your principal on the refi, there's a chance you get 50, 60, 70, 80, 90% of your principal back on the refi if it's done right. and you're in it and have all the upside, all the tax write-offs, all everything. So I like the vacant model. The downside of the vacant model, there's no money coming in. Right?
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So when things go bump in the night, you're like, oh man, there's like, I just got to stroke a check for that. There's nothing to do. There's no money coming into the company. Right? But there's pros and cons to both. Right? I think the next one I'll buy will be performing to some level because when the bumps go in the night, you go, oh no. Okay. Daddy's got to go cut that check. Right.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
but the upside is also that like we can really incentivize the value so we're taking a general area that probably would have a two million dollar type of apartment and because of how we're building the units we're gonna get it to like 3.5 million which will then lift up that area and then my thought is if we can start to control more of that area we'll kind of have this resource of a like a localized like economy that we built that lifted the values because the town of birmingham city of birmingham
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
They're going through a massive gentrification. The city's putting like $50 million in to create this entertainment district and our apartments are right there, like a mile away. Wow, okay. So it's strategic in that sense of like, if we can just value add this whole area, that's the game.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I've been coaching for 13 years exactly how to do it without any of your own cash and credit. Anyone can do it in any city sitting from the couch. I mean, this is an industry literally very similar to what we were talking about social media. Real estate you can do anywhere. You don't have to live in the city, which is another myth. Like, I don't know if my market's the best market.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Oof. Something I think about daily, you and I are younger parents, right? Our kiddos are young still. So I think about it. I was just, so I have a philosophy. You only fly first class kids. It happened again last night, flying home from Phoenix, flying first class. I happened to be sitting next to the coach of Ryan Serhant.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And so next, you know, now like we're talking about Ryan coming, speaking at this event that we're, so that will be a big surprise. I don't want to be leaking it, but he has, anyways, I say all this to say, Um, one of the flights was a financial advisor. He was in his seventies.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
He looks at me and we're having a great conversation and you know, we're just talking about life and money and blah, blah, blah. And he says, I'm going to give you the best advice I could ever give someone invest in current living. And as I just said that to you, I got shivers. Invest in current living.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
He was like, I can't tell you how many incredibly wealthy people I have managed their money, been there financial for, including myself. And at the end of their life, they could care less about all of it. And all they wanted were the memories. All they wanted were the moments, the experiences. We have a mutual friend, Kent. He just talks about collecting moments.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And the older I'm getting, the more I'm like, fuck it. It's not about what's left behind. I don't want entitled children. I don't want the trust fund baby. I'm not saying they're bad, but more often than not, they become entitled and they don't know how to work like you know how to work and I know how to work. And I'm leaning towards, like, I'm going to let you work for it.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And if there is a payday at the end of this thing, you're not going to see it until you're a lot older. And so that's where I'm leaning. I don't have a set number and whatever, and you're going to get it all. And I think it's more of a, like, I'm going to teach you how to work. You're going to go get a job, and you're going to go to college or not. I'll probably say do whatever you want to do.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And, yeah, you'll get it later on in life just because I just – I want to invest in my life, right? And with them, I want them to be along that journey while they're young and into their teens and twenties. Like I want to take family vacations with my 25 year olds and, you know, pay for them and do that kind of stuff. Like I'll pay for that while I'm alive and they're alive.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
You guys want to go stay at the Four Seasons and wherever the hell? Great. Daddy's got it. I'm all over this shit. But like leaving him that kind of money, I'm not the biggest proponent of it at this point. I just, it's really hit home. Invest in current living.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yeah.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Creators Cashflow Conference right here in Miami, April 18th and 19th. It's an event that your boy, Dan Fleischman, will be speaking at. This is for anyone and all people who are creators. Many of you guys are out there creating content already, whether it be Instagram, TikTok, podcast, or otherwise, but you're not creating a business out of that same content.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So it's an expense to your bottom line and not a revenue generating activity. Many of you are brilliant. Your mind and your heart are in the right place and you have something to give the world. But in exchange for the value you're giving the world, you should be looking at it as a business and creating income from it.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
You don't have to live there. You could be on a beach in Fiji or Thailand living incredibly well and doing deals in, you know, Oklahoma. Doesn't matter. So that is another thing is people have to realize like this is as virtual of a business as you have ever wanted, especially if you're not fixing flipping. If you're transaction wholesaling, you could do it absolutely anywhere.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So all of you out there right now that want to see Dan Fleishen, myself, Dean Graciosi, Ty Lopez, Coach Stormy Wellington, and I think a couple of special guest other speakers that we just talked about. We are going to be live in person here April 18th, 19th. And there is a virtual option as well that if you can't make it to Miami, you can actually get the virtual option.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
It's going to be in the Move studio where we're recording this right now. I'm so fired up because as someone who's finally figured out how to monetize my brand, monetize my content, I want to empower all of you. It doesn't matter if you're doing YouTube, TikTok, podcasting, create that value for others, but then create it for yourself by monetizing it and not just making an expense.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Creatorscashflowconference.com.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I would tell anyone, if you're gonna be in Miami, make sure you're doing your podcast here. The Move Miami, go to the social media, go to Instagram, go find Drew at The Move Miami. He and I are putting this on together because he understands how to create a profitable business around what we're already doing, the lights, the camera, the action, the content.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
There's a revenue stream right here for you that he's going to teach you how to do it yourself. You have a studio. It may not be this big, but you can find four people who will probably pay you to use your studio that now make your studio free or revenue. So again, The Move Miami right here in Miami. If you're here, make sure you're renting.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I wouldn't encourage fixing flipping virtually until you have some some resume behind you, to say the least.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yeah, that is a very transactional. You don't need any money, period, anybody's money. You don't need any credit. There's no loans. You are essentially assigning your interest in the contract over to another buyer. So like this is very common in a lot of different industries. Most notably is the car industry. Assignments are very common there, right?
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
2005, 2006.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I did that.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
$5,000.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
But you are contracting a property with a homeowner. And then that interest in that paperwork, you are assigning over to another buyer. So all the terms of that paperwork transfer over to the other buyer and you take a fee in the middle to do so. And so to some extent, it's similar to being a realtor, even though a lot of realtors hate us. They think we're stealing their business.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
We aren't you realtors. We're not. We go after different types of clients typically. But There's a fee in the middle, and it's because we put the deal together, we put it all together, we found the buyer, we lined up the seller just like a realtor would, and we collect a fee in the middle.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yep.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Yeah.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So this is another, when you pose the question, that's another reason people don't go out and go get it is because it's so overwhelming and all of our mutual friends are out there on YouTube and podcast, whatever. And to some extent they all have some different version of a very similar content strategy. Right. But again,
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
The reality is if you just remove the minutia of overwhelming, like drinking from a fire hose, our business in real estate is no different than any other businesses on the planet. It is about going and finding and lead generating. That is it. You are trying to lead generate for motivated sellers. If you can find the sellers, everything else will fall in place. But you need to be a great marketer.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
You need to understand who your avatar is. And then you market to them. direct mail, TV ads, PPC, TikTok ads are great for this right now. I mean, there's literally the same business model you would use for any industry right now you would use for this. And by the way, just a little known fact, everyone in my space talks about you need to go find a motivated seller. No, you don't.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
They are everywhere. They are on the MLS. That is what it is, is people trying to sell their home. Those people are motivated. They're already actively trying to sell their home. Call the agent. Find a way to negotiate a price that works for you as an investor. From there, you have a free deal. You assign that deal for $2,000, $5,000, $10,000.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
You have an infinite return on your investment, which is your time, and you've found the motivated seller.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So that's where you create a fund, right? And so you syndicate based around the investment. And there's a lot of different structures. So I don't want to... I'll talk pretty generically. But, you know, there's a fund that you put your money in and that fund typically will give you a preferred return. And some funds take ownership and equity, which would give you the same ownership and equity.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And then some funds are just a debt fund. It really... depends on who set up the fund, what they're doing. But that gives you an opportunity to be in people's world. So Grant Cardone has done this brilliantly, right? There's a lot of people who have done syndications. He's just probably one of the bigger names. And so I have I've owned several different funds.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I don't do long term syndications currently. I actually would rather almost self-syndicate, meaning, hey, Dan, we have an apartment building in Oklahoma. You want to come in, have ownership, have the tax write-offs, have all the upside, have everything. Let's put you in the operating agreement. You're now an owner with me.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So currently, I like almost self-syndicating, just one-by-one kind of hand-to-hand combat, if you will. A larger fund syndication brings in, you could have hundreds, if not thousands of people invest into the fund.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That's right.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Teens. If you can get to teens, to high teens, I think that would be a good fund.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I think that would be a solid fund. I think if, and that's really what you're trying to target is a return on your investment. So if you're going to go into a syndication, most syndications just want to give you a pref on your investment, right?
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
And so if you have someone offering somewhere in the teens, total IRR, like you could get into the 20s, especially if it's a debt or equity fund, depends on, again, there's so many of these, I'm going to speak in generalities.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Internal rate of return. And so I just think there's, I like the idea of investing in real estate passively for those that aren't day-to-day in the grind or don't want to be, right? The Dan Fleischmans of the world are not going to go out there and comp an apartment that might be a great investment for Dan. No idea. But he's like, Colby, what? Colby, here's some fucking money.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I don't know what you did here. Because that is the right way to do it. It's just give me a return on my money and I want it protected. So like I own blue chip stock only. You do speech after speech about diversity like investing. But I'm not a stock guy. I love Amazon. I love Tesla. I love Facebook. I throw my money at them because it's safe, it's secure as it can get, and I'm out.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I don't look at it, right? Same thing with crypto. We talk a lot about crypto when we're sharing stages. You go deep in that. I love crypto. Love it. I don't day trade it. I just throw money at it and say, let's keep going, guys, right? And so for me, real estate is a lot more of the... I enjoy it. I love the art of it all. But it is never passive. That's another thing I would tell people.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
People are like, oh, I want to get into real estate because it's passive. It isn't until you get to scale where you can be hands off because there's enough revenue coming through the machine that will pay for the property management and overall management of everything. But until you can get to scale and scale is. say minimum 100 doors, none of it is sexy on the way to 100 doors.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
It's just not, right? You will not make as much money. I literally have an apartment right now, 32 doors. That apartment is going to make me roughly $40,000 a year. I'm bald because of this apartment. Not really, but like, it's just a pain in the butt. Like that's not a sexy return. But if you have 20 of those, now we're talking about a nice little day.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So I just also want people to understand, like, I think everyone should be, everyone should be in real estate. It should absolutely be some level of diversity within your portfolio. Um, should everyone be actively transacting in it, like wholesaling or fixing flipping? Um, I love it. So I'd say it is something fun to do. The challenge I see is TV is really romanticized fix and flipping.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So many shows. And when you speak to the actual people that you and I know, The numbers aren't totally add up, right? And so you go, there's a lot more loss in the world than there is profits. So I'd really rather people like the Burr model is probably my favorite to suggest for a newer person. What's that? Buy it, you rehab it, you rent it or you buy it, renovate it, rent it and refinance.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Let's go. So I've been an entrepreneur since I got out of college. Graduated in 2003 and went straight to door-knocking sales. Turned that into a business-to-business door-knocking sales company. Caught pneumonia because I was doing it in Boston, Massachusetts. Then turned that into the real estate empire I have today, but it didn't come without a cost. Lost my home to foreclosure.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
I love that model. Because then you are effectively kind of doing that whole ecosystem of the sexy part and you're buying it and rehabbing it. But then you're asking for a bank to take your money back out. Usually the bank will give you 75% of that number. So you want to be all in for about 75%, maybe 80% if you have the right bank. You can own an asset for no money in.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So talk about a brilliant way to invest. I'm going to make an initial investment within six to nine months. I'll have 100% of my investment back. I might only be making $200 a month, which will not change anyone's life, but it's an infinite return because there's no money in the deal anymore. That is a model I really can lean into when talking to like newer individuals.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That's right. And then you'll have a family that wants a nice home in a nice area.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That's exactly right.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
RuPaul man took my car, sleeping on a couch, and just decided what I wanted, which is the life I have today and who I needed to be to get it. So the last 18 years, I've been grinding it out, working, hustling, putting together systems, operations, and built what I have today.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
So I don't love, so here, you know, it's funny after, I don't know how much money I've raised over time or real estate, but a lot. I don't love when people don't quite have the experience to bring people in. For sure. Because now you're creating a friendship that Dan and I can be the closest friends of all time. And then the one deal, the one deal.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
Right, that takes 14 months instead of nine months. And it becomes a loser. And you go, sorry, Dan. And then... Now the taco nights aren't as fun for me and Dan. And it's like this. So I'm really cautious there. I'm not saying you can't. But if you do it, I would say be extremely prudent. Make sure they're well aware of like, you're an investor. There is risk of loss.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
If we lose together, you will eat 50% of that loss. And I will eat 50% of the loss in paperwork, in writing, notarized on documents. Because the one time I didn't years ago, I found myself in a three-year lawsuit. And I would say that because I've raised a lot of money, but I keep it very straightforward of like, it is transactional. You're looking for a return. If there is a loss, we share.
The Money Mondays
Focus on ONE Skill Or Stay Broke Forever | Adam Sosnick (SoSTalks) & Justin Colby 💵 EP119
That's it. So I think it's up to them. I have a private client right now that just did this with a friend. He wants to be a little more ambitious. I'm pulling him back and saying, hey, your guy has the checkbook. I get it. But like do one or two with them. Let him create the certainty that this is going to work for you guys. And then let him lean into like, hey, let's open this up.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right. We have a franchisee, though, Justin, that throws this all out of whack. He sends out marketing in West Texas, and it just seems like anybody that calls is an opportunity. So his ratio is through the roof. What city was that again? I'm going to have to just... So the beautiful thing about this is this isn't so much where you're starting today.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
It's identifying, getting a baseline, and then the data allows you to make improvements. But if you know that, all right, I'm only converting leads to opportunities at X amount of ratio, then I can drive to make that, you know, I can... I have a higher percentage of live answer. I can have more urgency and follow up to get in touch with people.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
One of my favorite metrics, because it seems to be one of the best indications of success, is driving your ratio of appointments. What percentage of the opportunities do you attend appointments on? The higher that number is, in fact, early franchisees, we say hit 100%.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Now, that's not realistic, but if we set in their mind that you just need to go on 100% of the appointments or opportunities that are created, you need to attend 100% of them as appointments, offers equivalent, you know, getting out and meeting with sellers.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, and I love the challenge of it, right? We all get into our businesses and we realize, oh, wow, I've got a lot to learn. But you're also grateful for the journey and the road and everything that's led you to that point. But yeah, I feel the challenge of being a CEO, of being an entrepreneur every single day.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
You're setting them up with the experience, the training, get the marbles out of the mouth, perfecting the system, and ultimately giving them the highest probability of success.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I'm going to take one step back first because then I want to talk about the value add. But we actually are very protective of the Joe Homebuyer brand because that's essentially what we're offering is to streamline and to bring, you know, a brand that then they can leverage. Right. But we're really looking for brand ambassadors. So
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Gone are the days where we'll send, they say in the early days of franchising, you only sell franchises to family and suckers, right? That's the only people that would ever buy your franchise, right? Because it's new, it's unproven. Well, gone are those days. So we're very much looking for the right fit. And that goes both ways. We're not naive.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We realize that we're not the right fit for everybody. But we also understand that we're not just looking for anybody. We start and we lead out with those that can embody franchise. And really raise our community by supporting our culture. And that's, you know, for example, our four core values are we use the 4-H system, right? So honest, humble, hunger, and heart for others.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Super ambitious to accomplish a lot more, but grateful for everything I'm experiencing. It's awesome.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And we're looking for those that kind of embody and complement that and bring it and thrive in that environment. And when we find that... Then they're attracted to, sure, we can help build out a blueprint for somebody that is struggling to have consistent deal flow. That's where we thrive.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We can help create a system where you have consistent and deliberate efforts in your marketing to drive, you know, take out some of the lumpiness in the business. Yeah.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, it's just the perfect complement of strengths, right? For those that don't know Cody Hoffine, he is just a whiz at developing ideas, just seeing, you know, removing caps or limits, right? And then I'm the one that is tasked with the responsibility of putting it into action and filtering, right? Not all the ideas that he floats out there are going to be doable. Shocker.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, we are looking for a French, uh, the, the ideal franchise candidate or somebody that we'd run with is somebody that has done a handful of deals. And the reason for that is, uh, we can't, uh, you know, really want, or I guess our interest is not working with somebody that's still trying to figure out if they're committed to the business.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
If there's, they're trying to figure out if, uh, this is going to be long-term for them. They have to be past that. They have to say, I've done it. I've got my teeth kicked in and guess what? I enjoyed it.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Like I actually had a good time getting my teeth kicked in. I understand how challenging real estate is. I also understand how fortunate and grateful I am to be in real estate and I want more and I want to continue to grow and thrive in that space. So somebody that's done a handful of deals. Is that five? Is that 10? It's really based off the individual.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We also want a franchise individual that is going to lift. In other words, we're looking for people that plan to enhance the community. I mean, I have to tell you, Justin, one of the things I underestimated when we first started the franchise is the caliber of individuals we'd be surrounding ourselves with. And I know people talk about community, and it's just different.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We're not trying to be anybody else. We're just Joe Homebuyer.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And our culture is powerful and different, and I'm grateful for that. Our franchisees are powerful.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, I'm going to give you a taste of it. To anybody listening, go to thejoeway.com.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah. And that will give you, that's right, thejoeway.com.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And it's going to give anybody listening some framework for what I believe to be the most dynamic sales process as it relates to the negotiation. Mm-hmm. how to get the deepest discounts and the best deals while providing a meaningful value to the seller. And it has training videos, complimenting training videos, and a complete instruction guide to compliment. You'll find it all on thejoeway.com.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But that's an indication of one of the assets that they get, just extremely high-level how-to sales training. But it's ongoing. You have a deal you're trying to get over the finish line, you call in, you get help from the support team. You have a deal you're trying to disposition and optimize revenue, you talk, you attend the disposition support line. But then it's things like... aggregated data.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Look, we have a CRM that all of us use collectively. We're in multiple markets throughout the country. We know what's working. We're able to combine both the data from our strategic marketing partners. And that's the other thing is we save you time and energy and money, frankly, with our strategic marketing partners, our buying power.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
You use our marketing partners, you save on every single one of those partners. You don't even pay their going rate. You pay the Joe rate. So there's just, there's lots of assets.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, we encourage them to think, well, internally, let me back up one step. Internally, we actually have an ambition to create world-class leaders. You know, you could say, well, what is the purpose of Joe Homebuyer? You could say that the purpose of Joe Homebuyer is to become the largest homebuyer in the country. The way we get there is by creating world-class leaders.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And so they don't have to come in as, you know, I'm a CEO, I'm the, you know, top of the world today. We want those that are humble, though, and are teachable, and that developing as individuals, developing as leaders is, you know, what... the track that they're on, who they want to become. Because imagine this, Justin, and it's happening.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right. And actually, one of the things that I've learned is I have strengths as an integrator, but I've actually plugged in a COO at Joe Homebuyer that actually has strengths that I don't have. And so really, business is about surrounding yourself with incredible people. So I was fortunate. Cody and I met more than 10 years ago. We've been partners now in real estate for 10 years. But
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
You have 80, 250, 500 franchisees across the country that are world-class leaders. The impressions, the impact they're having on their homes, their families, their communities... The byproduct is they're buying lots of homes. They're extremely successful in real estate and they're doing it the right way. They're improving the lives of the families that they're providing the services to.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But it starts with who they're becoming. And so, yes, we actually have infrastructure in Joe. And I get nobody's attracted to this. Nobody's going to buy a franchise because I want to become a better leader. In fact, not everybody even identifies that they need to become a better leader. But the truth is we all need to become better leaders.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I love it. In fact, Justin, you need to join us next week. We're in San Diego. We have our annual conference. We actually have Brent Daniels, who's a franchisee, Jerry Norton, who owns several franchise locations. They're going to be out there. Even Pace Morby is going to join us on stage out at our conference in San Diego. So we were really excited.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
The events bring everybody together, really strengthens the community.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But as it relates to specifically leadership training, actually, uh, there's a lot of support we have within our repository of library of content. There's a lot of content where you're just driving down the road and you just want to be uplifted and encouraged.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And then Cody does an incredible once a week, you know, mastermind, bring your, your ideas together, personal development strategy call every single Thursday. I'm sure he'll talk with you about that, but yeah, Yeah.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
It's one of those things where, and I would even argue, you mentioned that, you know, Hey, if you don't want to build a business, then maybe leadership in, if you're going to be a solopreneur, but at some point you got to lead yourself. And that's where leadership starts is what is your morning routine? What is your, and I know you're big into these things.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
The Joe way.com.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
So I think watching a YouTube video here and there and that to me, that's great. But at the end of the day, do you actually have the habits in place to get predictable, consistent results?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Since then, in order to actually expand and grow, we've had to bring on a local COO for our real estate flipping businesses throughout the country to manage those. And then we brought on a COO to help us manage the franchise. So great people make all the difference.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, the event's actually next week, and you have to be a Joe Homebuyer franchise. So we're putting the carrot out there for people to realize, no, this is like, you know, I mean, the people speaking from stage, the workshops, the things that we're going to be working on. Because it's not just a venue where you're going and hearing from speakers. It's actually we're working on our businesses.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We're moving our businesses forward. And we have an annual event, and it just happens it's next week in San Diego.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, it starts with the daily non-negotiables, right? Which is talking to sellers, talking to buyers, going on appointments. It's these activities. And then it includes, you know, marketing and staying consistent with your efforts there. And talking to sellers and those things are a form of marketing, but it's the actual investment. So when a franchisee comes in, we're really...
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
building out not just the roadmap but we're identifying are they on track right you mentioned you know what benchmarks do they need to hit it's are they developing the daily habits that are going to get them consistent results and then just having honest frank conversations with them like
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
hey you're not on track because you're not attending appointments or you're not picking up the phone and it's helping them identify what activities will afford them the consistency and the results that they want and and that's you know what it is you know i think of like um uh you know personal trainer at the gym or anybody that holds you accountable for anything um and you know this this is where you make your bread and butter you provide this value to so many people but it's a
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We all do better when there's accountability, right? We all do better. You know, even I started using an app on my phone just to track my nutrition each day. And by virtue of committing to do that, I'm eating better, I'm consuming more protein, I'm staying on target, and I'm saying no to other things.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And so that's the framework essentially that Joe Humbert provides is what to do, what habits to create, and then a natural community to help encourage that accountability so that you can get the results that you've tasted, but now you want to become more predictable, you want to be more consistent. Expect those results.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Literally, there's, I mean, every single day there's something that they can have direct support, direct access. And then 24-7, I mean, we have, when I say 24-7, you know, our support channel. Yep, that late, huh?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I better not oversell that. That's right. I mean, really, we have virtual assistants and different things that are steering them to the learning management system. And then, obviously, the learning management system has a lot of content where they can search, hey, what's an answer? Here's my challenge. They can search, and it can pull up and oftentimes answer the question.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But in terms of a live person that they can interact with every day, essentially.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah, I love that. Dynamic real estate investor.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right. Yeah. So each of our franchisees are trained and there's infrastructure around all three because we want our franchisees to accumulate assets as well. You know, some see rentals as their path to passive income and wealth. Others see it as just a vehicle to create some additional, you know, appreciation, some tax advantages, benefits.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
uh, additional assets that they can then leverage in the future. But, uh, it often starts at a lot of our franchisees start to build momentum with a higher percentage of wholesaling. Uh, but others come in with the expectation and the focus of, in fact, we're working with a very talented individual right now that, um, is pursuing Joe home buyer and we're at the finish line. And, uh,
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
They did 37 rehabs last year and they're coming to Joe to learn the wholesaling side.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And on the flip side, we have people that come with wholesaling experience and they come to learn the flipping and the renovation side as well as, you know, want to have a system to then take down some rentals. So I love the dynamic three. I've never coined it that way, but that's very much our approach as well.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's, I love that question.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
One thing that I like to highlight here about Joe Homebuyers, Cody and I, We're still in the game. So we didn't just used to do wholesaling. We didn't have that experience at one point. Or worse, we're not a CEO of a franchise system that's never actually done wholesaling, rehabbing. And I mean, we have active rehabs going on right now. And I highlight that because...
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, as far as giving up, I mean, well, I'll start with what I've retained. I'm still responsible for culture, for people, for finance. But the COO is responsible for operations, making sure that, you know, we're hitting metrics. His word of the year right now, Vance Courtney, he's our COO, just a really talented guy. His word of the year is execution.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
we are in three markets ourselves. So we reside in Salt Lake, but we have an office in North Carolina and we have an operation in Dallas as franchise territories, part of the system, because we want to know and experience what the franchisees are going through. We want to leverage and test all of our strategic marketing partners and their techniques, their strategies.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
So that's one of the differentiators as well is we're not just doing it in theory. We didn't struggle at wholesaling so we became a coach. We actually are continuing to do it today. How is that quote?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well, the journey. It's just when you're endeavoring to go down anything that's important or that has potential lots of upside, you have to remember. By the way, as I'm saying this, Justin, I'm preaching to myself. I realized as I was driving down the road the other day, this is a true story.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Um, and I look at, and I'm driving behind a car that's going 35. And as I look off to my right here, the speeds limit sign says 45. So we're going exactly 10 miles below the speed limit. And it's not a road that I'm supposed to pass.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And so I'm, I'm, I'm looking at, right, maybe I'm going to pass this person, not because it's legal, but because they're going 10 miles an hour below the speed limit. And then I had this epiphany, this light bulb, the true story. My girls, I have a wife of 22 years.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Isn't that amazing?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Beautiful wife, 22 years. And I have a son who's actually serving a mission in Detroit. So he wasn't in the car. And then I have three daughters. They were all in the car. And they were singing a song, right? And here I was. I was going to cruise and speed around so I could hurry home and get home sooner. And then I realized, what am I doing?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I'm exactly where I need to be right now, listening to my daughter singing a song. And I sat back and I started to enjoy the process. So the Joe Homebuyer franchise, this business, don't get into it because you see all these shiny numbers and all these exciting opportunities. I mean, sure, that's what attracts a lot of us.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But you've got to be committed to the journey, the process, everything that it can challenge you to become, the journey of growth, individual growth that it will require. If you're committed to that, then this is a great opportunity.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
my word of the year is advance. And not just advance the business forward, but actually his name is in my word of the year, advance. So we added him, he's adding value, but we're advancing, we're moving things forward. And he effectively does that for us.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Nope.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Well said.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yes, please. Thejoeway.com. Check us out.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah, thank you, brother.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
So as a CEO, I have lots of responsibilities, but to be able to have somebody I can trust that is executing and moving things along, it's made all the difference.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
When you're endeavoring to go down anything that's important or that has potential lots of upside, the Joe Homebuyer franchise, this business, don't get into it because you see all these shiny numbers and all these exciting opportunities. I mean, sure, that's what attracts a lot of us.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah, great questions. So the benefits of a franchise are really in the eye of the beholder. We have some franchisees that have already done dozens and dozens of deals and they want to scale their business. They want to help learning what the next triggers are to get to the next level, right?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's been one of the areas of greatest strength for us is helping business owners take an existing wholesaling or real estate investing business and take it to the next level. We help build them a roadmap, right? Yeah. A lot of it is boiled down to two things. It's marketing and sales.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And you have to have a streamline of leads, right? So we have strategic partners. We really optimize our franchisees' ability to generate leads, to take out the lumpiness, to help them develop consistency in their business. And then my favorite is acquisitions, the sales process. There's so much money in the proper use from managing a lead at the very beginning all the way through dispositions.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I refer to that whole thing as the sales process to optimize revenue. In the heart of that is the acquisition process, right? So when somebody buys a franchise, they're getting an operating system to optimize revenue and to know which habits, what activities are going to yield them the best results and optimize their efforts. So... how it compares to licensing or things that other coaches do.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I can't speak to that for sure, but I love the franchising model. For this reason, I like the partnership. For the franchisor to be successful, the franchisees have to be successful first. That's right. So our entire motivations are aligned in their success.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
So our entire infrastructure is building a plan around their success so that they are ultimately bringing in revenue, thriving in their business, and then the franchisor succeeds.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Become a franchise.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But you've got to be committed to the journey, the process, everything that it can challenge you to become, the journey of growth, individual growth that it will require. If you're committed to that, then this is a great opportunity.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah, so the three core, we call them the three core strategies, which is not going to be a surprise to anybody, but you have cold calling done correctly. Sure. Done ethically. Then you have direct mail and all the various techniques and strategies, leveraging a good strategic partners there.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
And then all the forms of web, PPC, SEO, Facebook, and all the activities to go into there to have a presence online.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
I'm going to share with you a little insight on what we help our franchisees track. It's actually called a LOAC. LOAC stands for Leads, Opportunities, Appointments, Contracts, and Closes, right? So that's the acronym. So we help our franchisees drive leads. Now, each market and each marketing strategy will yield a different amount from a quantity perspective.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But what we help them learn and identify in their business is the ratio of leads to opportunity conversion. That's an indication of how well you're managing leads. You know, the opportunities that come in, your speed to lead, how, you know, how much urgency you have as far as chasing people down.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
The opportunity to appointment conversion is a metric you have to be aware of because you need to get your face, your body, your feet in front of somebody as often as possible. We have virtual franchisees, so that can be done over the phone. Optimally, it's in the living room. It's knee-to-knee, belly-to-belly, face-to-face, where you can build that human-to-human connection. Sure.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
But that LOAC, that acronym allows us, it's not just tracking leads, opportunities, appointments, contracts, and closes. It's the ratio and how they speak to each other. And it's identifying, okay, what triggers do I need to pull my business based off of tracking these things? So we help our franchisees just by naturally using their CRM.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
It updates their LOAC, these metrics daily so that they realize to the day, to the week, how is my business doing? What's the health? So those are the, you know, the... I think of them as like the vitals.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Justin, it's this idea that like if you go into an emergency room, they're very likely you have a broken arm, you're holding your arm, you're moaning or whatever. They're interested in your arm. They're going to fix your situation with your arm, but they're going to check your vitals first.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
They're going to make sure, is this person at risk of dying or something worse than what I'm seeing with the arm? The vitals of the business in my mind are the LOAC. And that will tell you everything in your business. And that way you're able to make decisions, calculate decisions on what pivots to make.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Our team did.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's right.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
What's up, brother?
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Dude, it's good to be here. Thanks for having us.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Less leads managed well is better than an abundance of leads managed poorly.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Less leads managed well is better than an abundance of leads managed poorly.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Man, it has been. I didn't know what this was going to become, but it's exciting. And we're just at the beginning. It's awesome.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Yeah, percentages are probably the most helpful. So from a lead to opportunity conversion, or another way to say it is a lead, to me, is any inquiry. An opportunity is a yes or a maybe or even a soft no. An opportunity is somebody they're going to have some level of follow-up to.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's another way to describe it. Or another way that people describe opportunity is net lead.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
So of your net leads, of your opportunities, that conversion ratio really needs to be... 30% are better, but that's so subjective because if you're in a market where you're doing a lot of cold calling, it's going to be low. I was going to say. If it's PPC, it probably needs to be 80%. Yeah. So when I say 30, 30 encompasses all three core strategies. It also is just kind of- It's a blended ratio.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
It's a blended ratio. So thank you for clarifying that because anybody listening, I think if they identify 30, then they're probably not doing enough. But if it's a blended ratio, it also accounts for somebody calling from a direct mail piece saying, pound sand, take me off your list.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
We're technically referring to that as a lead because we're still trying to identify what percentage of the people that inquired, whether they were telling you to take it.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
Become an opportunity.
The Science of Flipping
Scaling to 80 Franchises: The Power of Systems & Teamwork | Mark Stubler
That's exactly right.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Because the members you're talking about, you're like, well, if they had a list of 300 tax deeds that you could go buy for $5,000, $7,000, $8,000, and someone could say, I'm going to go take a million of my cash and dump at it. Why would someone not want to do that, I guess, is a better question.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
That makes sense at least, right? I guess in theory they could go do it, but then they're going to end up with some rural land pieces and they're going to end up with just a bunch of nonsense. And there's a lot of similarity to what you've already said within just a normal traditional real estate business in the fix and flip business and buy and hold business, right?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So even when we were going back and forth via text, Again, let's just say you bought it for $4,800 and I think you said you put it in roughly $30,000 and the home was worth $80,000. I mean, that's exactly what normal, and I'm not saying tax liens is not normal. It's just a different way of acquiring it. Yeah. But there's a lot of the same similarities.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So if you can learn what Tony does, and by the way, Tony, let's... Where can they learn more about you, US, TLA? Like, where do you want to have them go? Because if you can learn from the expert Tony, I am not the expert in this. Tony is. then you can understand how to find properties that, by the way, Tony has the golden goose, meaning like 99% of my world is not gonna go do what Tony does.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So if you wanna learn what Tony does, go find Tony. And so where do we want them to go find you real quick?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Freecrashcourse.com.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And so there's a lot of similarities in what we're doing. You just have the right way to find a deeply discounted property, right? So even when I'm coaching my community, we're always talking about motivation and getting the right number. There's no difference there, but you have the secret sauce and how do you find that actual asset? So when you have a list, right?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
I'm assuming you treat it very similar to if I had pulled the list of homes in any level of neighborhood. I want to know the type of asset it is. I want to know how much construction I'm going to need. I want to see some picture. Right. Is there any difference once you kind of have the list or are you looking at the same?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah. Um, you send me a list like that, Tony, after 18 years of business, I'm still going to go. I don't, I don't even know what to do here. You know what I mean?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
When you say the word auction, I've bought a lot of homes at auction down in Phoenix in the more traditional sense, right? So are your members or students, are they looking at making bids at auction or are you suggesting or advising or coaching to wait until it gets turned over to that other entity and then buy the deed from the other entity?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah, so when you said over-the-counter, you meant once it's already turned into a deed, go to the counter, buy the deed, be done, right? That's it.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And then your strategy, again, kind of with the similarities, because I want people to understand, this is no different than what I teach, except the major except is he's targeting one very niche type of list that there takes a system, a structure, and a process that he is the expert at. I am not, he is.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And then you can burr the property, you can fix and flip the property, you can keep it as a long-term, like there's no difference at that point, correct?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So we just keep- Well, Tony, I'm gonna tell you now, next thing we gotta do after this episode is you gotta send me all your, because I'm a buyer, right? Like a real buyer. And so it's just as hard for me. Yes, I have a marketing budget. Yes, I have a team. finding good deals is still hard finding good deals. So the next conversation we're going to have partner is like, Hey, what do you got?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Like I need to buy some stuff. Right. So that'll be the next place.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So listen, one of the things that, you know, a lot of people know I went down the path of kind of like quick claim deeds and in being able to stop foreclosures. And I went down that path for quite some time.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
He basically flipped $9,000 three times and made like $100,000. Yeah, just about. Right, because the most expensive one you said was $8,800, so let's just round that up to $9,000. Yeah. He bought one, flipped it for 30, bought one, flipped it for 22, bought one, flipped it for 30. Right. So you're just go 30, 30, 30 for sake of example. Yeah. And it's not that clean, but call it $85,000.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And he took the same nine grand he had from the beginning and just flipped it each time. Right. So he needed less than 10 grand in his pocket to do this business. And he made $85,000.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Well, I agree 100 percent. And you and I are been in this business for a long time. And there's a lot of newbies to our business of education. And, you know, it's because they go and do a couple of deals and then they want to educate. Right. And they think it's easier to be a leader and an educator. And that's just not the truth either. Right. And so I can appreciate that.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And I want to relate similarities and disassociate the things that aren't necessarily similar with like, what is going to be the difference between your bank normal trustee foreclosure versus maybe a tax lien property, a tax foreclosure and the differences kind of between the two?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And again, what is the free crash course dot com? Right. Free crash course dot com. Part of that is you actually showing what we're talking about, right? You're showing deals, HUDs, settlement statements. Like you're actually showing that to say, guys, I'm actually doing this business. My members are actually doing this business. I'm not teaching theory.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah, which is great. And again, I think in the age of YouTube and podcasts and everyone getting very squirrely, right? I think that the challenge is people get very squirrely about where to start, what to do, how to handle the real estate space, because there's so many different things now, right? Novation and land and tax liens. And it's just a lot, right? Yeah. Yeah.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
being able to find a niche that people it isn't easy for people to enter not saying what you're doing tony is difficult but there's layers deeper than just pulling a list from you know any list provider and start cold calling right you're you're a layer or two deeper than that then you're going to find some gold that most people won't find right i mean that's the reality
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Let me ask you another, you know, as most coaches will say, they'll suggest certain lists to pull, lists to work, cold call, direct mail, whatever the movie. So these lists on like REI Lead Machine or PropStream or Batch Leads or any, name the name, right? When they go and see tax liens, What are they seeing? What are you advising against? What should they do?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
What shouldn't they be doing when they see tax liens on a list provider? Um, they should be concerned. Okay. Um, so if they see a, if they see a tax lien on, you know, they, they, they pull and they see a tax liens, right?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
The question is like, they go to, you know, prop stream or they go to batch leads and there's a list that if you click it, it's all the tax liens in so-and-so city, Dallas, Texas for wherever. And so there's 2,000 of them. What can they do? What should they do? Where is it at in the phase? How did they get recorded and grabbed by Batch Leads or PropStream or any of these providers?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Where is that property at?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah. OK. And that's the answer I was kind of looking for, hoping for, too, is like, you know, people are always saying find motivated sellers and use tax liens. That's a great lien because, you know, they're senior to the bank lien. You're not wrong, but you don't know where in this trajectory it is. And a lot of these homeowners can make up the tax debt. Right.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And you don't know if it's going to foreclosure. So I think there's a lot of unknowns there. What do you say is a bad list, though? I don't know if I'd say it's a bad list, but it may not get you to where Tony would suggest to get.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
What do you say if there was a landlord that had a tax lien at a state landlord with a tax lien, that might be a better filter?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Or even less, right? You don't know when they're pulling the list. They could be dealing for 30 days and on day 60, they're going to get a paycheck and pay it off, right? You just don't know where it is.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah. And I like that you're not just going to the auction to bid on the certificate or, you know, buy that. So let's talk about that a little bit. I think that might even be a little bit of a known vertical or model, right? Is buying tax liens for the return, right? Talk to that. Like, how do you look at that? How do you view that? What are your thoughts on it?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
You're not even keeping up with inflation at that point.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah. And then I guess the only upside, if someone were to do that, is at some point foreclose on them if you don't get paid type of idea.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah. So when you go and everyone needs to go to free crash course dot com, watch what he does in his three three modules. But when you do go and acquire this, let's just use the deal that that I'm thinking about that you text me like, look at what I just did. You buy it for $4,300. Can you wholesale it before you actually have to fund it or do you have to fund it?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Okay. Yeah. And can you use like transactional funding if you had a buyer already for, let's just say you call your friend and say, Hey dude, you're going to love this flip. You know, I'll sell it to you for 20 grand. And he's like, yeah, bro, I'm in. You go fund it for 24, 48 hours of transactional funding and sell it off. Are there any regulations on length? Right? Like,
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
That's great. And then you can just resell it. You can put it on the MLS. You own the home. You're now the owner. You're now the owner. And you're getting at such deep. I mean, in my world, and I am really good at what I do. There's no properties I'm buying for five grand or six grand or eight grand or like your student. He bought three properties all for under nine grand.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Like that doesn't exist in my world. I don't care what market. I don't care how bad the condition. it just doesn't exist. Right. And so, uh, I can't kind of emphasize this enough and why I'm excited to have you is this is, this is a very real strategy. You've been doing it for 31 years. Right. And you know, so there's people who talk about it and then there's people who do it.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So I can vouch for my guy, Tony known each other for years now. And, uh, you know, freecrashcourse.com. Where else do you maybe want to push them or have them be, or is that kind of the main place of point of contact?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah, I was just going to highlight that one last time. Like if you want to actually see, you know, we're doing a podcast right now, but if you want to see some of these case studies, you actually feature them. You show them, you show HUDs, you show deals, you show this again to vouch for actually really doing business versus just talking about it. Absolutely.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Well, Tony, I appreciate you coming on. Excited for all my listeners, all my viewers to understand this strategy, because like I said, I've done this a long time and I'm not buying properties for five, six, seven, eight, nine thousand dollars. Right. And you are and your and your clients are right. And your members are. And that's really important. It's one thing for us to do it.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
It's another thing for our members to be able to do what we're able to do and to find a path to do that. So. Thank you for coming on, my friend. I really appreciate it. Go to freecrashcourse.com. And if you thought this was worth sharing, then please do share this with at least two of your friends and be ready for the next episode. Tony, I appreciate you. I really, thanks, Justin.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Appreciate you too, man. Bye, y'all. See you on the next episode. Peace.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah, and at some point, you have the opportunity to foreclose because in the right states, you take the senior lien over even banks, right? Absolutely correct.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
What is up, the Science of Flipping family? Welcome back to another incredible episode. I have a guest that I've known for years. It is a strategy that he has been using for over 33 years. In fact, my guest, Tony Martinez, has been the founder of the United States or U.S. Tax Lien Association, U.S. Tax Lien Association. He has done thousands of tax lien properties, buying and selling them.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And so that's where, so one of the questions I was going to ask, where and how do you find them? So where do you go buy those deeds directly?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So in a general sense, are there just better markets? So I mentioned something I don't have 100% clarity on. Maybe you can refresh me. But there are certain states where a tax lien is senior to a bank lien. I don't believe it's all states, correct? No, it's all states. It is all states. Okay. So is there any priority in what markets could be better?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And I'll give you an example because I get asked this all the time. So I'm more traditional. I'm more find a property of good value, fix and flip it, buy and hold it, do the BRRRR method, just traditional. But people ask me. You know, what market should I choose, Justin? And I have my answer because my answer is a lot probably simpler than yours is going to be. My answer is follow the money.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Ever since the hedge funds broke into our world, which was definitely not around in 1991, let alone in 2007 when I started. When they broke into our world in 2016-ish, 2015, they had a lot more money than all of us. So they were able to break into markets like Phoenix, which crushed me, the Vegas, the Phoenix, the Dallas, all these different.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And so I just started to say, okay, I'm going to go follow the big boy money. And so now I always suggest markets like the Sunbelt in a more traditional real estate investing manner, fix and flip, buy and hold, North Carolina, South Carolina, Florida, Alabama, Georgia. Tennessee, Texas, Oklahoma. I love these markets for the more traditional, right?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Not saying you're not traditional, but the verticals, the way to acquire is a little different. Do you have a reason behind the markets you choose? What's your answer?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
In fact, I wanted him here because it's an underutilized vertical in our space. So Tony, what's up brother? Hey man, how's it going? Great to be here. Super excited to have you. As I just mentioned, the reason why I think this is so valuable for our listeners and if you're watching this on YouTube is because this is a strategy that obviously after 33 years, you have proven time and time again.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
You know, because every, well, I mean, right? So-
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So I know you and I, you know, we know each other for years and we were going back and forth via text and you're like, look at this property. I just picked up for like five grand and it wasn't exactly five grand, but it was 4,000 or 5,000 or some change. Like how, so when you go to these, the, the County, I think it's a company that actually turns it into a deed, right?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
So do you just make an offer in the same function or do they say, hey, Tony, if you want it, it's $4,891,000. Like what, how does that work?
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
But not a lot of people know about this strategy within the real estate space. The whole thing is it has been around for a long time.
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
Yeah. And that's incredible. I mean, I've bought properties at really great discounts. But when you're able to get a $100,000 property or thereabouts, right, and you can pay $5,000 for it, I mean, you just – you have a winner. You can't lose in general sense, right, in subtle –
The Science of Flipping
The Hidden Gem of Tax Lien Investing with 33-Year Expert | Tony Martinez
And so what would stop someone, let's just say you have a million dollars in cash from going out and say, I'm just going to go buy it bulk. I mean, is there any particular reason you would say that person's not really thinking and here's why?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Mm-hmm.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
You have stuck to that and I will vouch for you. You have stuck to that for every deal we've done. The ones that you say, Colby, I don't love it. I mean, I see the numbers. I don't love it. You've stuck by me when you were right and I was not. And I was like, bro, but look at these numbers. And right. And sometimes you get like, oh, shit, the numbers did make sense.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
But you didn't do X, Y and Z, which made it not make sense. But you've stuck by me that whole one terrible deal we're talking about. Like you do what you say you're going to do. You kind of wish I hadn't funded it now. Oh, yeah. I do, because I wouldn't have been able to get it and I would have given up on it.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
But I say all that just to give you the kudos that this is who your company is, is who you are, is what you stand by. And so that STARS acronym is true for you.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
You guys have heard me say this a bunch of times here on this podcast, but I just genuinely believe it. Tim and I have gotten increasingly close over the last three years or so because of Boardroom, Mastermind, which is just an incredible room. I believe it's the best in the industry. But there was a time probably 12 years, 10 years ago that Tim didn't know me. I didn't know Tim.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
But I was invited to a Dallas meetup, RIA, whatever we want to call what you guys were running at the time, right? Yeah. And there's this guy in a suit with no tie, and you had 1,000 people in the room? Was it the REI Expo? Yeah, the biggest one of those was 1,800 people.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Right, and you're up there, and I don't know who Tim Herridge is, but everyone's like, dude, the guy who runs this thing, he's the man. We're there? Yeah. You never told me this. I'm telling you now. So you're in a suit, no tie. You're up there. You're kind of giving your thing, and I forget what you were talking about, but you had a slide deck, the whole thing.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And I intentionally sat in the back because I was invited by one of my private clients who lived in Dallas. So I would fly to my private clients once a month. I would work with them. So we lined it up to go to this because one of the points I always make to everyone for the over a decade is the more hands you shake, the more money you make. Amen.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And I said, you need to get intentional with going to every damn meetup. I don't care if there's 10 people in the room or if there's a thousand at this Dallas expo, get in the room. And so I went with them. Now, I intentionally sat in the back because I wanted to kind of see what you guys were doing as a speaker myself. But it was an incredible point of like, you need to get in these rooms.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
You need to meet people. You need to shake hands because a decade later, here we are, you on my podcast. You didn't know this story I'm telling you. But this is a very real reason that you always want to put yourself out there because you never know.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
when that paycheck comes right my first mentor in real estate said take every meeting even if it doesn't lead to a paycheck in your pocket right now you never know where that meeting takes you in a decade and it's just true because we've done a lot of deals now together we're now business partners together with turnus like it's just a cool transition to see everyone needs to go follow tim first of all go to his social media page he's putting a lot of effort in right now so i'm watching it
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
But go check out Ternus, but then connect with him, right? He's a real guy. He really does deals. He's very active. And I just wanted people to hear that because it truly is. I've made more money from people, knowing people, relationship capital than I've ever made from direct mail, PPC, Facebook ads, etc.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Rich like mahogany.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
It's been fun. And a little background on that, guys. About 13, maybe 15 months ago, him and I have a couple cocktails, jump on a private jet headed to Dallas, I believe. And he says, Colby, I need you to poke holes into this business model. I said, tell me why this doesn't work. That's right. Tell me why this doesn't work. And I couldn't. I couldn't think of one.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
What's in it for me? What's in it for me? Ken talks a lot about that, right? So I tell people all the time, every conversation that is not an enlightened person. So when you talk to Tim Herridge, he's very enlightened. He's not thinking what's in it for me. 99% of the human race will be thinking, what am I going to get out of Tim Herridge? What am I going to get out of Justin Colby?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And that's how people think. And it's kind of natural human condition at this point. Absolutely. But if you go into it, even if you might be thinking it and you actually say, okay, how can I genuinely start a relationship, build a relationship with no agenda? The agenda becomes clear down the road. And this is why I talk a lot about giving yourself runway.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
I mean, I literally was like, okay, the challenge would be is, you know, you have a rookie investor. But to your point, if you are the one running this and running the ship and you're willing to buy on pictures and comps, why can't you lend? And I'm like... bro, if you have that much confidence and there's no reason this doesn't work.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
If you give yourself enough runway, Tim didn't know me 10 years ago. I didn't know Tim. I saw him speaking at his own event. I was forcing my client to go kind of engage in what we're talking about now. Um, 10 years later, we become very close friends. Now we are business partners. You are my main lender and all these different synergistic things. You're a shareholder in Ternus?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
I'm a shareholder in Ternus. Which is so fun to say.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Mm-hmm.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Essentially, yes. I mean, literally dollar for dollar, yes.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Not ideal.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And you're not actually caring about the people. And what they did so well for so long was they cared about the people. They became very inexpensive flights with great value ads that were quick, cheap, fast flights. I used to fly them. Living on the West Coast, I'd fly them all the time. Yeah. From Dallas to Phoenix, Phoenix to Vegas, Vegas to LA, like all the time.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Flights are ridiculous. That's another... I looked at a flight today to go to Tampa. $400 each way. Not first class, just like to Tampa. It's a 40-minute flight.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And to your point, you know, I'm very still active after 18 years. You're still active. You are still buying deals. I called you the other day and you're like, dude, I might want to buy this damn thing, right? Like you're not, you're not a lender in the way that we think of Kiavi or we think of some of these bigger, again, institutional funds.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah. I'm legit like, why don't I take a Brightline, which is a train down here. It's a three-hour to Orlando, an hour Uber to Tampa. I'm just working the whole time. I'm on the phone. I can actually use it versus a plane. Anyway, sorry. We're digressing, people.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
So because I don't want people to get lost on this, can you explain terms for Ternus? Just because people are like, well, dude, what does a normal loan look like?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
100%, rewind that, 100% financing up to 70% of LTV of end value.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
You are on the streets, in the trenches, teaching and not just teaching, but like creating an opportunity for us, right? your client to be a part of something really special at Ternus?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
First of all, 100% lending is incredible. Buy it right. Understand how to comp the property. Understand what the actual ARV is. Just buy it right, and they're going to give you 100% of the money you need. They do it very fast. Yesterday, you texted me. You said you need to be able to cut the check by today. You said, hey, you got to solve for this thing that my team needs.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Literally, my general manager replies, hey, that's on the deal. And then you're like, great, I can't send the wire until you guys give us a thing. That wire will hit today. And literally, you brought it up yesterday. We're talking about one day and we have- I brought it up last night.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yep.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Guys, if you aren't getting the gist here, Ternus is the company. Tim Heritage is the man. There's opportunities not just to get loans that are...
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
relatively fair market right like may not be the total cheapest but is the easiest the fastest coming from a true operator yourself your wife like guys I don't know how else to sell what I'm saying right now besides if you're following me and watching this you got to trust that Ternus is the company that I use and if it's good enough for me it's damn sure good enough for you Right.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah, I think everyone understands who always wins in every transaction. The lender. The lender. The bank, right? I mean, and you and I were just talking about this off camera. I don't want to go be a bank, but if I can just cut a check to Ternus and own shares and be your partner in that, I'm effectively getting the win I want without having to go build what you are building.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And that's what everyone wants. They don't want to do the work. They don't want to have the labor. They want the baby. And I just want the damn baby, Tim. And so if you guys are out there, I don't want that either. But if you don't want the labor of like building a lending business, but in knowing that that's a great space, cause it is right. And getting 10, 12, 15% and great.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
But if you don't want the labor of doing what Tim has to do, then take a strategy like me, like be an investor, right? Get shares because now I can just have the baby with the payoff and not have to go through the labor.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Hmm.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
No way.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
I think. I think we have one. Yeah, I don't know. I didn't force you to do it in seven days.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Guys, I want to see you guys watching this and listening to this at the shareholding meeting in September. That's what I want. Because I want you and me. to be able to help this man create a product that is needed in this space, because it doesn't exist. What you've done at Ternus and what you're building and the direction you're going with your thesis
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Now, out of the gates, people are like, all right, what's the company? So let's hit it out of the head. Turnus. And where can people go find, fill out applications? I mean, obviously, Turnus is the name of the company, but what's the easiest way for them to start the process of getting in your world?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
is a product that doesn't currently exist that makes my life, your life as an investor, and your guys' life as an investor way easier, faster, and smoother. So my encouragement, find Ternus, go to their website, but also I want you guys to join me in helping this man on the journeys on, and we can do that as shareholders. That's how we make an actual dent in how lending is done moving forward.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
We'll take it back. And so I appreciate you joining me today, and we have a long journey, but it's going to be fun.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah, man. All right, if this was pretty cool and you think there's two people that need to know more about Ternus, hard money lending, the space we're in, or just need money, then make sure you share this with those two friends and we'll see you on the next episode. Peace.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
direct the future of finance for real estate investors so this gives me shivers a little bit because i'm one of those people that have now ownership in turnus and for all of you out there you too can have ownership this isn't just because he's my buddy like quite literally if you go to turnus.com there's opportunities for anybody listening to this watching this on instagram to be an owner and have shares of turnus and i think that's cool for here's the big takeaway for me
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
I'm out of control when it comes to the lending space. I'm not the lender. I can present you the deal and give you the comps and you can say yes or you can say no. But I have no skin. Like I'm not in any level of control and I can't help you become a better lender to me. By the way, not you. The Kiavis of the world. I can't help them become better lenders.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
You are flipping that and saying, Colby, specifically you, but then the rest of you, make me the best lender that could possibly be lending to you for all purposes, whether it's flipping, long-term rental, short-term, make me the best by giving me the feed act and having ownership in the company.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
The science of flipping family. Fuck the big banks. Decentralized financing. These are mottos that my next guest lives by. This man is a very dear friend of mine, but over 10 years ago, he brought Wall Street to Main Street, and now he's reversing the whole system he helped build and bringing back that money into Main Street. Tim Herridge is here with Ternus. What's up, dude?
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
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The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah, this is going to be fun. So you are, your mottos, I call them like trigger words, but fuck big banking, right? Decentralized finance, decentralizing finance. This is now your new mission, but you're the motherfucker that basically went out and started the whole thing.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah. You don't want me working on your loan. My team. That's right. Yeah, the company. The company. But I'll tell you, as a company, you guys are some of the fastest, easygoing, most flexible. I mean, we have a couple of deals right now that like Kiavi would not have been ideal, right? Or I'm using Kiavi because they're known as probably one of the largest. Well, they're my target. Right.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
And so, but if you keep that level of flexibility, you keep that level of like, you know, being adjustable and fluid depending upon the asset, the borrower, the whatever, you will have more clients you will ever know. You will beat Kyavi because they are so stringent. They are so by the book. They are so New York Wall Street money. They have a box. If it's not in the box, even an inch,
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
It doesn't fly with them. And you have made my life and all of your borrowers. And I know you have a hundred something loans current. Like it's easy to work with you. It is just as easy to work with you as it is to give, Hey, here's the property. Here's comps. Here's pictures. Let's buy it. And in seven days we have money type of idea.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah.
The Science of Flipping
F*ck Big Banks: How This Man is Flipping the Lending System | Tim Herriage
Yeah. It's not true to asset based lending. And that's the difference right now. Right? Like I, that's why I would tell everybody to go to turn this.com because if you're buying any level of asset fix and flip long-term hold shirt, like it is the asset. They underwrite the asset for the assets, best potential. And you lend on it if it has good potential.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
You may not have any flips or wholesales going now. You may be in the middle of trying to get them to go. So again, the progression of where your business is at is always going to go. The thing that I think most people aren't aware of that I think you can help them with and just the understanding of the owner's tax bank account. Yeah.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
I think a lot of people think just because they have an LLC and just because they might have an S corp that owns said LLC somewhere, somehow that money doesn't trickle down into their hands. Um, and they use their corporate credit card for everything and they pay off the, they pay off the credit card with the money that hits the LLC.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And I think their mindset there is something I really want to touch on because many people I think do this and I know do this. Uh, and I was a victim of this in my younger entrepreneur life where I was like, Oh, I made a hundred grand and I spent a hundred grand all through the LLC. So Justin Colby doesn't get taxed. Well, yeah. Ladies and gentlemen, that is not the case.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
That is all going to trickle down into actual income into me, even though for me, owning it with an S-corp does give me some tax savings. Because I own the waterfall owned by me, I will be taxed on all of that revenue. That is the importance of having this bank account that is owner's tax account. Now, speak a little bit to that because some people might have
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
different formats of how they own the company. They might have an LLC owned by a C Corp or an S Corp, or maybe they own it themselves. Probably not very likely, but talk a lot about that one because I think there's a lot of people out there that just feel as if, oh, dude, I don't pay my car payment. My company does. Brother, you're going to pay tax on the income that pays your car payment.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
I don't want you to forget that.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Yeah, and there's no doubt. I was definitely in ahead there because I believe real estate is the only vertical. And that is my belief that you can make a whole lot of money. You can build a whole lot of wealth. You'll never be able to pay taxes again or have to pay tax again if you do it right. And you're protecting your downside. So what do I mean by that?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
I believe, and I know this to be true because I've had to do it. When times get tough, you have equity in these assets, right? You can lean on that equity to protect your downside. Right. And I've had to do the very same thing. And so there's no other vertical I'm aware of. Now, you can make a whole lot of money in crypto. You can make a whole lot of money in stock and forex trading. I get that.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
But where's all the other categories, like not paying taxes? You're going to pay a lot of taxes with crypto. You're going to pay a lot of taxes with Forex and stock trading. You're going to pay taxes. Where's the opportunity to accumulate wealth? Well, you're probably making all the money in those categories and then putting it into real estate, okay? And then where can you protect your downside?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Where can you say, hey, either I need a $500,000 right now, by the way, tax-free, another benefit. Right. Because I need to do whatever it may be, potentially even pay your tax bill, potentially even pay your tax bill. So what if you had 20 rentals, right? And I'll just say, hey, you have a $100,000 tax bill and you lean those 20 rentals, you get a HELOC, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And you borrow that money tax-free to pay your tax bill and you pay it back over time. There's no other assets, right? So this is why I lean into everyone needs to be in real estate. Even if they're not a full-time real estate investor, even though they're not acquiring a rental a month and all these who gives a shit statistics of how successful you are, they have to be in real estate.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And if you're going to be in real estate, then you're going to want to read the book. You're going to want to treat it like a business, even if you're doing it part-time. Let's lean in a little bit more to the book. Beyond just the bank accounts in and of themselves, what are some other golden nuggets that you can leave here with this audience about the book?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
I just had this happen to me, by the way. Oh, that sucks. Incorrect bookkeeping. I've had my bookkeeper for years. Yep. And he got me, right? My account was like, wait, what just happened? Like, did he... And they've worked together for years. So even when you have someone good, there's still mistakes that happen in that reality. And I forget what it was.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Right.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
the the thing that i would tell everyone is first of all go follow david even the simplicity of just following him all over his social medias um simple cfos company profit first for real estate investors but don't be someone who's listening to this or watching this and doesn't do anything you can be that person but then be aware that like you're having you're gonna have no results
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
If you're even just getting started in real estate investing, this is likely one of the first books I would tell you to buy. Not because it's going to teach you how to get the deal. It's going to teach you how to set it up as a business from the beginning, even if it's a part-time business, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And that way, the financial mistakes that I definitely made in my first probably five years of business and basically just running all money in, all money out, I don't care, like do more deals, you're going to avoid that trap.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Even the highlight I tried to point out about the taxes personally, you're not aware unless someone like myself or Davis mentions to you like, hey, the money, gross money that's coming into your LLC trickles down to you at some point.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And if you aren't set up the right way and you're not pulling out owner's taxes on every deal, on every dollar, even if you're pulling out 20%, which you're going to be taxed more than that, but even if you pull out 20% of those dollars, you're going to have a good head start to make sure that the tax man is actually going to get paid, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And again, David, you've worked with thousands of investors. You've seen it all the time. They're built on sand.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Let me tell you what he's saying without saying this. Don't just make money to pay yourself 100% of it so you can go buy the car you want or the watch you want or take the vacation. Ideally, you will have that kind of money to do those things. That is our perfect world, right, David?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
But he's not saying this, but it is underlying on everything he is saying, is it takes time and you need runway, right? If you're doing a deal a month, you're going to be able to buy cars, you're going to be able to buy watches, take vacations, because you're setting it up the right way. You're accounting for the dollars.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
But if you do one or two or three deals, and maybe you make like 30, 40, 50 grand or more, and you're like... Fuck it. I'm going to go buy my car or I'm going to go, you know, to Vegas or I'm going to go whatever. Then you're just going to get in trouble later on down the road. That's all we're saying. Right. We're basically saying we are big brother. We are seniors in high school.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
You are a freshman. There's a way to play this game. So you are, you know, senior prom king at the end of this game. Yeah. Or you're the guy scared to go to prom your senior year. Right. You get to play the game however you want. But David and Justin are going to help you become prom king and And be the best of the best, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And I just, I want people to understand where we're coming from here is I've made these mistakes. David's made these mistakes. This is why he wrote the book, Profit First for Real Estate Investors. What was that website again, David? Simplecfo.com forward slash JC. Simplecfo.com forward slash JC. He gives, I mean, there's a bunch of free giveaways on the website, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Done deal. Well, brother, I appreciate you. I know I'm going to have you featured in a lot more of my intensives and masterminds. If you're a part of my world, you're going to see a lot more, David, because this is a – It's like an epidemic, right? I mean, it really is just, I see it all the time. People make money and they have no money.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And so if you're sitting out there like, dude, this relates, I relate. I don't like, what the hell did I do? I didn't buy the car, but I still don't have any money. Like I didn't do it wrong, Justin. You're telling me don't go buy a car. I didn't buy a car. But I still can't find the money. I get it. David gets it. There's a way to handle this. So make sure you follow David.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Go to simplecfo.com forward slash JC. Bro, I appreciate it. Let's keep spreading the word. Let's keep getting you out there because you're going to change a lot of lives. Yeah, I appreciate that. I appreciate you letting me spread the word. And thanks for having me. All right, man. See you guys.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
By the way, if this was helpful and you think you might know one or two people who could be a better business owner, make sure you share it with those two people. I appreciate you. Make sure you give a lot of love, likes, and comments on this. See you guys in the next episode.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Well, like anyone, you had enough pain that you had to do something differently. And so from the pain came this amazing opportunity and amazing business that you now run. But really, just like so many of us, the pain is what created the need to do a deep dive, go down a rabbit hole, get understanding of finances and
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
how to run a business, manage a business by the numbers, be a real CFO, which by the way, you and I both know, all these people out here, there's always the presidents, there's always the CEOs, there's always the founders. No one necessarily, and I don't wanna say nobody, but for the most part, Many of the real estate investors that I'm aware of, they don't have a true CFO, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And they don't know how to be a CFO. And that is where the rubber meets the road, ladies and gentlemen, is when you make money and what you do with the money. So you're not just making money and feeling broke. I'll tell you my story because the reason we resonate is when I was introduced to you years and years ago. I had a very similar example.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
We had a very high performing year, multiple seven figures. And my personal paycheck was like a single digit percentage of that. And that's insane, right? And to be able to make that much money, build that team, do that much volume, lose a whole lot of hair doing it, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
And to be able to look and be like, dude, I could have worked at pretty much any corporation and made this kind of money without this much stress, right? is a very real thing that us professional, full-time real estate investors go through. And so let's talk a little bit about the nuts and bolts, because I think, first of all, everyone needs to go get his book.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Where do you want to send everybody to learn more about the book, take a look at it? I know it's called Profit First for Real Estate Investors, but I know you put together a website.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
What is up, everybody? What is up, my Science of Flipping fam? This is gonna be a good one, because if you are in real estate, if you're doing deals, if you're making money, but you still feel broke, and we've all been there, including myself, then my guest, David Richter, is here to help you. He is the author of Profit First for Real Estate Investors. He thinks like a CEO.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Simple CFO.com forward slash JC. So if you're hearing this and maybe you've done a couple of deals or maybe you're doing a couple of deals a month and you're like, I'm making some money here, but where the hell's my money? then this is a very real episode, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
This is one you really want to make sure you're tuned into, dialed into, share with friends if you know they're going through it, right? So let's talk about the fundamentals here because I think, you know, the people want to know, right? What are the things that they should be doing? What are the roles that should be having, you know, what bank accounts should they be setting up?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
All those good things that you and I are both aware of. So let's dive in.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
He helps us think like CEOs and CFOs. So, David Richter, what is happening, brother?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Yeah, I'm excited to have you. You know, I had you come speak to one of my smaller group events and people loved it. And I said, it's about time you come and join the podcast and make sure everyone in my world knows who you are, knows your book, reads your book, but starts acting like treating it like a real business and not just a hobby, right?
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
So the income. Just for some clarity for people, right? The last one you spoke about, the fifth one, income. Yeah. This is all wires from title companies, wires from closing lawyers, true gross revenue for the company. That is the only thing that goes in that account. And from there, you can start to disperse into the other four.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Into the other one. There's a lot of people that I think when they hear OpEx, they think that's going to be your main bank account. Right. It shouldn't be. There should just be your main bank account that is collecting all revenue. Exactly. From there, you delineate or distribute, I guess, to the other four.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
So tell us a little bit about your story. Where did this come from? How did you develop this idea, concept of making sure you're running a business with Profiting First? Because obviously it seems pretty like a no-duh statement. And as you know and I know, it is anything but a no-duh statement.
The Science of Flipping
The Bank Account Setup That Will Change Your Real Estate Business | David Richter
Well, I think a lot of people, what they need to understand is it is a progression, right? So if you're not where I'm sitting and having six bank accounts or maybe even more, because I do have a lot of private lenders, then I get that. And David does too, right? And so then you have to decide, do I need all five? Well, you may not, right? You may not have any revenue coming in.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Given the state of technology these days, I just, I don't believe that much anymore. And I'm not saying some operations shouldn't be large, but if you want to be making $100,000 a month, you don't need more than five people in your business. five people right now. Again, I'm talking to the transactional real estate investor here. I am not talking to the apartment owner.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
If you want to stop grinding and start growing, Joe Homebuyer is your competitive edge. Because that's where I think you need to start. I don't think any of us as entrepreneurs go into entrepreneurship to make less than 250 grand a year. But somewhere along the lines, people want more, they want to get bigger, they want to have employees, they want to do more.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I'm talking to the transactional real estate investor. If you have one or two acquisition people, you have one or two disposition people and yourself, you should be able to run A full fledged a hundred thousand dollars a month transactional business between wholesaling and fix and flipping for sure. I would even make the argument.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
If you do it the right way, you could take those acquisition people and turn them, not turn them into, but they, part of their job is transactional coordinating. They got to make sure all the paperwork is done, right? All the paperwork is submitted to the cell, uh, the title companies or closing lawyers. And then I'd also make the disposition people be transactional coordinators as well.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Make sure all the job's done right, the earnest money is in, the assignment is in, the loan is done, whatever the case is done for the back end of it. But you wouldn't need more than five to get this done. I have a client, I do from time to time, I do one-on-one consulting, right? I take on one real estate investor, one business, and I help them build out their business, right?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And I have a guy still to this day in Phoenix. It is just him and it is just an executive assistant. That is it to this very day. And he does well into the six figures a month. Well into it with two people. And I'll tell you, he does not work very hard. He is choosing to do the bigger, better deals. If it makes a small dollar amount, he doesn't care. He's only looking for the big winners, okay?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And because of that, he doesn't need a lot of people because he doesn't need to do a lot of deals. He doesn't need to brag about, oh, I did, you know, 30 deals this month. He doesn't need to do that. He'd rather do one or two deals a month and make, you know, 50 grand per deal than do 20. And I can't blame him.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
As someone who's built out an operation myself, having construction management, having operational management, having TC management, having listings in property management. I mean, God, we have investor relationship management. I mean, I have a full-fledged business running.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
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The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
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The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
If you're serious about turning your side hustle into a business that thrives, General Homebuyer is your path to scaling fast and winning bigger. As you know, accurate data and meaningful conversations with sellers drive revenue in real estate. If you can't reach the right homeowner or property, nothing really matters.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
But more doesn't mean net profit either. This is why I want to expose this kind of myth or people talking about how like, grow bigger, you know, and all this other stuff. I have so many points to just basically point out that It's not always the case. What is up? What is up science of flipping fam? We are going with a solo dolo hardcore tactical real estate advice from yours truly.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
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The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
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The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Experience the Quality Skip difference. Visit QualitySkip.com now. But I would tell you guys... you got to make a decision on what you want because just to do the social media flex doesn't make a lot of sense. Just to be able to say you have this big business or this office or this amount of people, it's really, no one really cares.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
You know, I tell a lot of people, people always ask me, when should I hire? When should I start hiring? And my first question, and I want you guys to hear this question. Are you putting 250 grand a year in your pocket? Not in the company, in your pocket. Are you actually doing that level of business? Because that's where I think you need to start.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I don't think any of us as entrepreneurs go into entrepreneurship to make less than 250 grand a year. Right. But somewhere along the lines, people want more. They want to get bigger. They want to have employees. They want to do more. But more doesn't mean net profit either. Right.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
This is why I want to expose this kind of myth or, or, or people talking about how like grow bigger, you know, and all this other stuff. I have so many points to just basically point out that it's not always the case. And you know, one things, one of the things that people aren't always thinking about is their bottom line.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
You know, there's definitely been years, especially, you know, eight, nine, 10 years ago, we made a whole lot of money top line. We didn't make a whole lot of money bottom line, right? I mean, it was very cool to talk about the millions we were making all over social media. It wasn't very cool to know that I probably could have made more being a manager at a Starbucks, right?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And so we start a business, we start being an entrepreneur so we can buy our time back. Well, the only way you can buy your time back is if you're making money, right? And that's the point. So if you're listening to this and this is maybe triggering you a little bit, then you got to really look at that. Because I talked to an individual just yesterday.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
He actually applied to work with me one-on-one. And this guy is doing really, really well. But he has a really small functional team, right? He's spending $100,000 a month and doing roughly $300,000 to $400,000 a month, give or take on the month. And that's a very high-functioning team. Now I'm not suggesting all of you guys go spend a hundred grand a month.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
But what I'm saying to that is he doesn't have some, you know, 18 person office. It's very functional, very, the best word I almost want to use is like, they're like snipers, right? Bigger is not better. The shotgun approach in this case isn't better. The rifle is. They know what they're looking for.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
They know the areas, they know the deals, they know the profit margin spreads and he's transactional and he fix and flips and he wholesales. And so I encourage you from this episode to audit what you're really wanting, right? I mean, you guys have heard me say this time and time again, right? The first law of success is you gotta decide what you want and then who you need to be to get it.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
You know that to be the first law. And then you gotta commit to that. And I guarantee all of you say, I want an office with 100 people and I'm making 100 grand a year. No one's saying that. That's not what you want. You wanna be rich. You don't want to be working as much. But the interim to get there is you do need to work a lot, right? But then you need to work smarter.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
So I'm going to take a step back. I'm going to bring this conversation back to leads and conversion. You don't always need more leads. You need to convert more. And you're not even capturing the ones that are going to your website because you're not using a company like leaddetector.io.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
The Justin Colby. Now, if you're not following me on Instagram, you probably should. I am giving away incredible content right there on Instagram. Go follow me at the Justin Colby and go follow everything and you'll see some great stuff there.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And so the whole cycle of this bigger and more, all of it, like everything I'm saying at this point would tell you, and I know this to be true, in most cases, I mean most, it is not better. It is actually worse. You will be worse off.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
You will make less money because you will hire more people, you will have more costs, you'll have operational bloat, and you won't have the conversion of the leads at the pace you want, And you're not going to make as much money growing and going big. And by the way, this isn't even to mention about, you know, being able to increase profit per deal. We haven't even talked about that.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Now, this doesn't have anything about being bigger. But if you focused your time, energy, and attention not on hiring and training and all that stuff but actually increasing your margin of deal right instead of averaging 10 grand average 25 grand you don't have to get bigger you don't need more deals you're making more more money per deal and that is just creating efficiencies and so you know
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I want you guys to realize there's a lot of technology, not that that's unknown, but there's a lot of great technology like lead detector.io, like Rocketly CRM, like Rocket Skip. There's a lot of AI, you know, and you combine that with an opportunity out there to have like AI data. which can get you the most highly motivated sellers out there. REI Lead Machine is another great resource.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
They have lists that have AI data working behind it and scrubbing 400 billion data points.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
400 billion and like almost half a trillion data points finding out who's the most highest likelihood homeowner to sell you start to combine all this technology and creating efficiencies bigger just ultimately will always point to not necessarily better in our space there are a few examples that you can say bigger is better for sure But my experience has been stay small and you can keep it all.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
The Grant Cardones of the world, they weren't inherent big real estate moguls, but they surrounded themselves with people who are. So my point to those that do want to scale a business, there's difference between growing a business and scaling a business. Most of you should focus on just starting and growing a business.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Now, I want to dive in to some tactical myths, the myths that I think need to be broken here in the real estate investing space, as well as I want to talk to lead and conversions, right? And so there's a lot of myths that I think that are out there that fly around from people that probably have never really built a big business and probably are just solopreneurs and
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
But if you do want to be the next Grant Cardone or whatever and scale, then you need to make sure you have someone by your side. You need to have experts in the field. Grant is not the financial expert. He is not the real estate expert. He does a very good job surrounding himself with people who are. And he doesn't even have to train those people. So he will pay them handsomely.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
So if you're going to do that, then you have to pay the people handsomely. Again, going back to operational bloat. If you are at that place financially, fine. My argument being is most of you probably aren't. Okay. And so I'm not trying to be negative. I'm just trying to say, be smarter. Why don't you just go get rich? Like real rich. And then you can go buy your own apartments.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And so I want you guys to focus on that first. And it comes down to operational efficiencies. Heavily leveraging technology and AI in today's world. I still believe you guys need to have a human component of the sales. You need to be negotiating. You need to be underwriting. I don't suggest to leave up analysis to technology. I know there are people and companies that are trying to make that work.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I don't like it. Um, I do believe you as the owner operator should be operating the business a whole lot longer than you think. I think there's a lot of opera. I know there's a lot of operators out there that just get a little worn out. They're tired of being a solopreneur and they start hiring out the acquisition role or they start hiring out the role of dispositions or whatever.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Those are the two roles that make you the most money specifically in the wholesaling space. Why are you going to use those two roles as the first place to hire? It doesn't make any sense. So you want to really think through some of these. Now, I have a great group. If you guys are newer, I'm not sure if you guys are newer yet. REILive.co. My joke is I couldn't afford the M. REILive.co.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And we have calls every day, two, three hours a day, Monday through Friday and Saturdays for the premium side. If you are new and you're trying to figure out how to get a deal, You don't need a coach to sell you on 5, 10, 15, 20, 25, $30,000 of coaching. You need someone who's willing to do the deals with you and get in the trenches with you. That is what REILive.co is. That is what it is about.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Great community of like-minded, aspiring investors trying to break in and grow a real estate investing business. And I am right there by your side, holding your hand, shoulder to shoulder, doing it with you and sharing in the deal 50-50. So if that's something that you're on the newer side of this and that appeals to you, go check out REILive.co.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
If this was helpful and you think you know people that need to utilize some of these technologies, some of these services, the things I've mentioned as kind of a... Rewind or reminder, I guess, is the best way of saying it. I talked about LeadDetector.io, which is a great software that sits on a website and captures non-opt-in leads. LeadDetector.io.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Rocketly CRM that comes with AI nurture sequences. So if you're bringing in leads, you don't have to be the one responsible for... nurturing all the relationships. The AI can, so your conversion rate can go higher. You have... What else did we talk about? REI Lead Machine. REI Lead Machine, great list pulling and comping software that you can use to...
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Pull data that is the highest likelihood of a homeowner looking or interested in selling. REI Lead Machine has AI data built into it. And what else did we talk about? There's just incredible software out there right now. Rocket Sites, if you don't have a website, go to Rocket Sites. It's already pre-built for us investors. Make sure you go to Rocket Sites. And then lastly, if you're newer,
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
You're struggling. You've been out there. You've been trying. You just need someone to do it with you and you want to do a 50-50 deal split. Go to REILive.co. REILive.co. All right, y'all. If that helps and you think someone needs to hear some of this stuff, make sure you share this with at least two of your friends. We will see you on another episode of The Science of Flipping. And...
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
you know, say things that they think to be true, but that aren't true. Right. And so starting out with this idea is bigger is better and more is better. Now you talk to Grant Cardone and he's going to tell you bigger is better right now. He's done something pretty spectacular. And many of you guys probably read books just like I do.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Make sure all people know about the podcast. Also, as a reminder, there is a book I wrote. It has become a bestselling book, Flipping to Wealth. Flipping to Wealth is found on Amazon. It is out there for you guys. Please check it out. It will help greatly. It goes over my entire life story of the last 18 years in building this real estate business. So glad this helped.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Share it with two of your friends. We'll see you on the next episode. Peace.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And there's a great book out there by Dr. Hardy, you know, 10 X is better than two X. So I'm all in alignment with that. But I think from my own 18 years of experience, anytime I go way outside my realm, outside my expertise, without individuals around me in that expertise, I find that I always feel some pain, right? Sometimes it's just growing pain. Sometimes it's some bigger pain. But
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I think there's a lot of people that want to get bigger and more and more deals and more money and more and more and more. And I don't fully subscribe to that. Now, I always want everyone here listening to me and watching me on YouTube and Instagram to push themselves. I always want to encourage to grow. I think it just needs to be framed in the right way, right?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I want to talk specifically about more deals, more leads, and I want to kind of frame it in a way that I think you guys are going to appreciate. Because whether it is a myth that bigger is better and more is more and better or not, I'm tired of people... really kind of making that the narrative.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
What I do believe specific to the lead and deal flow side of what we do, mostly in the single family space, okay, I'm talking mostly in the single family, and then I'll circle back to some commercial and apartments. But there are services that can help you actually do more deals with what you already have.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
So a lot of times we as wholesalers and fix and flippers and transactional investors, we need more leads to do more deals. We need more leads to do more deals. We always want to keep investing in marketing to do or to get more leads to do more deals to make more money, right? But I think there's some efficiency. So the first thing I'll tell you to write down right now
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
is I want you to look into leaddetector.io, leaddetector.io. If you are one of those investors that has a website, and you push any amount of traffic to the website. And by pushing traffic, I mean if you do pay-per-click Google advertising or Bing advertising, if you do Facebook ad advertising, if you do TV commercials, and or even if you do direct mail with your website on it.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
If you are driving traffic to your website, then leaddetector.io is a great service that will help you capture roughly 20 to 30% more leads than if you don't use lead detector. I'll give you an explanation about this. There's roughly an industry standard that we see roughly 1% to 2% of those that visit our website opt in to our form, give us information, want us to call, roughly 1% to 2%.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Well, so what happens with the rest of those people? Where do they go? What do they do? What happens to them? You know, I have a website. Literally, I run TV commercials to this website. It's called Justin Buys Bama, okay? We spend a lot of money every month doing TV commercials for the greater Birmingham area and Tuscaloosa area. And so... On that website, I have lead detector.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
For those that do not give me their information out of the gate, the only reason they're going to that website is because they saw my commercial and they want to do something with their home. Or maybe it's a rental home. Maybe it's the home they live in, whatever. Why else would anyone go to Justin Buys Bama?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I don't think there's a person ever in the United States of America, let alone the world, who has Googled Justin buys Bama without seeing that TV commercial. Or maybe even without someone telling him about it. So for me, I want to figure out if you've landed on my website, you have some level of interest.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
to be there because it is your classic website saying we buy now, we buy fast, you know, we buy cash, no appraisals, no fees, no, you know, classic real estate investor website. So we are getting roughly 20 to 30% of those people that just visit our website. We are getting them dropped into our CRM with their contact information because of leaddetector.io.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Not only can I get their contact information, I can actually enrich the data and I can actually pay for their credit score. I can pay for the credit utilization. I can pay for the credit availability. I have access to be able to understand who is this potential client? What is the scenario?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And then from there, I can keep my sales team focused on the people that we believe to likely have the most financial pain. And when you can harness who your sales people should be focusing on, you ultimately are going to win the bigger war, not maybe just the battle, but the war because your sales people will convert more. So this goes back to the more is better, bigger is better.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
In this specific example, I do not always agree that you need to spend more on Google, spend more on Facebook, spend more money on TV. You need to have tools like leaddetector.io sitting on your website so that when people visit your website, they can actually be captured.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And not only that, spend a couple extra cents on enriching the data so we know who would perceived to be the most financially needing, if that's the right way of saying it, person, right? Who's in the most pain financially, right? If your sales team or you can focus on those people, you have a much higher chance of conversion. On top of which, you're getting more leads anyways.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
So even if you're not the best salesperson, if you do not have to pay more for these leads, you are just simply going to convert more deals out of a lot of averages. The more homeowners you talk to, the more chances you have to get a deal. and you're not spending another $250 per lead on Google.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Staying fresh isn't just a preference, it's a necessity. But let's face it, after back-to-back meetings, juggling two kids at home, and the hustle and bustle of everyday life, body odor can become an issue. But here's the deal. Mando has revolutionized how I stay fresh. This isn't just another deodorant, it's clinically proven to control odor better than a shower alone with soap.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
my favorite scent bourbon leather it's fresh is subtle and doesn't clash with my clone and i was surprised by how well the solid stick works even after an intense morning workout mando starter pack is perfect for the new customer it comes with a solid stick deodorant cream tube deodorant two free products of your choice like a mini body wash or a deodorant wipe and free shipping
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
As a special offer for listeners and new customers, you get $5 off a starter pack with our exclusive code. That equates to over 40% of your starter pack. Use code COLBY at shopmando.com. That is S-H-O-P-M-A-N-D-O dot com. Please support our show and tell them we sent you. Smell fresher, stay drier, and boost your confidence from the head to the toe with Mando.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Attention real estate enthusiasts and investors. Are you ready to transform your investment strategies and skyrocket returns? Join Jason Hartman and his team at Empower Investor Live. This isn't just another conference. It's your gateway to mastering the art of property investment with insights and strategies from the industry's best, including our host, Jason Hartman.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Keynote speakers include Sharon Lecter, Mike Maloney, Tom Wheelwright, and more. There's no sales pitch, just real, innovated, actionable content and tools. Whether you're a seasoned investor or just starting out, you'll discover secrets to creating lasting wealth through real estate. Know what is coming next. Learn market trends, innovative tools, and network with fellow investors.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Still treating your real estate business as a side hustle? At Joe Homebuyer, we help real estate entrepreneurs scale to full-time with right strategies, training, and community. Join a winning community of go-givers. Get access to weekly strategy calls, leadership training, and industry expert masterclasses. Plus, we'll help you get more deals across the finish line and increase your profits.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Secure your seat now and be a part of the movement that shapes the future of real estate. Empowered Investor Live is the opportunity to make 2025 the year you break all barriers to success. Visit empoweredinvestorlive.com today for your ticket to financial freedom. Don't miss out because spaces are filling fast. Go to empoweredinvestorlive.com now. Empowered Investor Live.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Invest smarter, grow faster, transform your future. So when it comes down to the idea of a bigger marketing budget, depending upon your specific scenario, who you are, how much experience, how big is your team, you know, whatever.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
I highly encourage individuals who are doing any type of online marketing, not to necessarily spend more money, but to take a service like leaddetector.io and put it on their website. Now, for some of you, you might not have a website. So there's a great website would be Rocket Sites. Rocket Sites. They're affordable. They are very specific to what we do as real estate investors.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
They're there for you. They have the right message pre-built. You don't have to do anything. You put lead detector on that Rocket Site and you have a killer combination. Now, let's go back to talking about conversion. The conversion of these leads is typically what people underestimate the value of. And some don't. But a lot of people just want to keep spending more, right?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
They want to get up to $40,000 or $50,000 a month marketing spend. But if I were to audit their CRM, I would almost guarantee you I'd find leakage in conversion ratio.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
And this is why I would tell you more is not always better because any good sales rep right in our space, they're really converting one out of every 20 leads at worst, some really good one out of 10, but they can't hold more than I would say 70 to 80 leads at any time.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
So if you look at your operation and you might be out there listening and watching this that you are the only part of your operation, you are the operation, you might realize I have too many leads. Right. I'm not even being efficient in what I'm doing here. And I need to focus on conversion. So then you say, well, how am I going to follow up with I'm going to make up a number here.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
How am I going to follow up with 500 leads in my CRM? knowing that you are the only person working those leads. Well, that's where the cool technologies of today have come in, right? So like Rocketly CRM has automation within it that nurtures the sequencing of communication with those individuals. Now, typically that nurture can come through email, texting, or you could physically call, right?
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
Now, we don't do any outbound within Rocketly CRM. That's, you know, obviously all those laws have hit pretty hard. But if you need some sort of nurture sequence, leveraging AI is the way to go. Again, this is why I'm not totally in belief of more is always needed.
The Science of Flipping
new draft: 2025-05-30T04:26:45.510Z
If you use AI for the use case and it's there and built in a way that's communicating with the seller to rehash the conversation or bring them back to the table, then you don't need more leads. You need the AI to work so you don't have to. Now, this also goes to this idea and myth I want to break of bigger is better with your operation.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
This is 2025. This is a brand new year. This is a new chapter. It is a blank page. Think that through a little bit. Don't leave this episode and just, all right, Justin, that was nice. That was good. Change, collaborate, accountability. Got it. No, no, no, no. Like, what does this year mean to you? Are you ready to go into the trenches? Are you ready for war? right? Are you ready to fight?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
What are you actually trying to collaborate on? And I can't answer that for you. You have to answer that. What I can tell you is if I collaborate with more of you guys in REILive.co, I will do more deals. You've heard me say it before on other podcasts, but in November, I had the opportunity to have a couple weeks of just kind of silence.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
We have collaborated on 10 deals in the last two weeks, 10 deals. Me and the members of REILive.co have collaborated on these deals even as of today. we got another contract signed by a seller on a beautiful duplex in Mobile, Alabama. Now that is the first two. And the last one is given change and given collaboration, who is gonna hold you accountable?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And I spent a lot of time just internally understanding what I wanted to do and whatever. And the end result of that was God or my gut intuition or energy or higher power, whatever we want to call it, kept saying, do more deals. Well, guess what I created? REILive.co to do more deals. not charge you guys 10 to 20 grand to teach you, but actually just do deals with you and share the revenue 50-50.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
That's where I landed at. And so my collaboration is with you guys. I wanna collaborate more with you guys. I want you and I to collaborate more on real estate deals. That is the intention of my collaboration going in 2025.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And if people like Amy and others can be a part of that collaboration, I would love to do that, to grow the biggest baddest ass community of doing deals in person every single day, five days a week, Doing deals creatively, doing deals, you know, as wholesales, doing deals as fix and flips, buying holds, buying more deals. So that is my intention. And I was very clear going into 2025.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
I took a lot of time to sit and think and understand and refine and write down. So I ask you guys to do the same thing. What are you trying to collaborate on? Why collaborate? A lot of people get into business partnerships because they think their friend or family member has a skill set that they lack or don't possess, which could be a good thing.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
But the reality is you could just collaborate with people that have a strength where you have a weakness and you don't need a business partnership. And again, that's what REI Live is, right, is my strength is 18 years of doing deals, negotiating, underwriting, finances, raising money, having buyers. And your weakness might be a lack of that experience. So why wouldn't we collaborate?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
If I can show you where to go find them, you do 50% of the work, I'll do the other 50% of the work. We share profits 50-50. That is clear, intentional collaboration. So how would you be collaborating? Maybe it's you joining REILive.co. I've talked a lot about it because I know exactly how clear I am about how far that needle is going to move.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
We've done a lot of deals through the holidays, by the way. In the last two weeks, we've done 10 deals. Many of you guys are like, oh, the holidays, no one was doing anything, no one was working. We were. Because everyone else wasn't, right? And so when you get clear on the collaboration that you want to be able to do, you can actually start to move your own needle. It can be clear, right?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And maybe it's an acquisition person. Maybe it's a marketing agency. Maybe it's a buyer's group. Whatever the case may be, get clear on that. And then the last part of this episode is going to be the accountability part. You said you're going to make these changes. You still got to write them out, by the way.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
It's great for you to be listening to this in your car or on an airplane or wherever you're listening to this or watching this on YouTube and to hear it, shake your head and nod. Yeah, no, that's a good idea, Justin. But then to actually not write it down and to actually not do anything about it is bullshit.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Like these are good ideas because I've done this a long time and I've gone through, you know, a lot. And by the way, I've paid a lot of money for coaches and masterminds over the last 18 years. So these aren't, new ideas about creating change, right? And collaborating and creating accountability.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
But there are three things that I believe most of you aren't doing accurately or just not doing at all. And so who's going to keep you accountable? How do you keep yourself accountable? What levers and triggers need to
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
be given or what what do you need to have for that now the first thing is obvious accountability partners like my reilive.co group there's people in that group that have called them called each other and started to hold each other accountable hey do you make calls you make the offers and things go out right is it a family member is it a friend is it maybe me calling you out on your shit or do you actually have the fortitude to do it yourself do you think you
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Would be able to hold yourself accountable. I don't know. I would tell you accountability is probably the hardest thing to hold yourself accountable for, right? Like you need to write shit down on the mirror. Sticky note or one of those markers, like a whiteboard marker and hold yourself accountable because every day if you look in the mirror and all of you look at that mirror,
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
So between change, collaboration, and accountability, that is what this episode is about. That is what 2025 is about. So the first question you need to ask yourself is what is gonna change, okay? Are you doing what you need to be doing? And then, you know, first you need to understand what should you be doing?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
You'll at least remind yourself you got to do this thing or this is the most important thing. If you haven't heard me say this, I'll say it one more time. There's the big six. Write it down. The big six. Three non-negotiables, three must-dos. Maybe every night you go into that bathroom mirror and you write down the three non-negotiables for tomorrow and the three most important things.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Three non-negotiables are exactly that, totally non-negotiable. If you can't get to the most important, they get pushed in the next day, they turn into your non-negotiables. Pretty self-explanatory. But accountability for this is going to be huge. And I tell you to be a part of a community that can hold you accountable. Because the easiest thing for us to do, it's the same old, same old, right?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
New Year starts, people get all fired up. Oh, I'm going to change my body and my life and my fitness, blah. I'm going to go to the gym. By the way, I was on the gym yesterday and today. There was less people at the gym in the last two days, the first and the second, than I've seen essentially as long as I can remember. And I don't know if it's because everyone's on vacation.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Or just there's not as many people doing this whole bullshit, oh, I'm going to go change my life as there used to be, right? But kind of a side note, very funny to think about. But the reality is that's why most people by day 30, they're not even going to the gym anymore. Accountability is very difficult. So I tell you to hire a coach. And even cheaper, go to reilive.co.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Get involved in my community. Let's do deals together, but be held accountable. Right, get a coach, get a fitness coach, get a real estate coach. I don't do it often, but if you want to talk about one-on-one coaching, I'm happy to talk about it. We can figure it out if it's going to be a good fit. Don't sit there and not hold yourself accountable for the change that needs to be made.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Don't sit there and not hold yourself not accountable to collaborate with the people that you need to collaborate with. I'm a part of two masterminds every year. Those two masterminds combined are almost $100,000. It's a lot of money to spend, but guess what? I have a lot of collaboration with masterminds.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
A lot of people in my Rolodex have a lot of opportunities that come out because of these masterminds. And so I'd tell you guys the accountability of what you need to do, how you need to do it. This is the missing link, everybody. Because too many people do not understand how to hold themselves truly accountable because there's no repercussion.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
If you're going to hold yourself accountable and then not punish yourself for not doing the thing you need to do, then you're not going to be able to be good at it. You're not going to be a good accountability partner to yourself. So find someone else, right? And what I'll tell you is people pay attention to what they pay for.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
So if it's fitness, if it's real estate, if it's business, hire a coach because you will pay attention because you cut a check to do it. And then still, and still some people don't do it. But that is the closest thing to be able to give you guys that accountability that you probably need. Now, again, this is 2025. This is a brand new year. This is a new chapter. It is a blank page.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And for many of you, you might be in different segments of your real estate investing journey. And so this episode isn't about telling you exactly what you should be doing, but I can tell you a great way to understand what you should be doing is looking at your bank account. looking at your bank account will quite literally describe what you should be doing and where you should be focusing.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Think that through a little bit. Really. Don't leave this episode and just, all right, Justin, that was nice. That was good. Change, collaborate, accountability. Got it. No, no, no, no. Like, what does this year mean to you? Are you ready to go into the trenches? Are you ready for war? Right? Are you ready to fight? Are you ready to make change?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Because I'll tell you, if you sit around and wait for change, it's going to change, but you're going to be left behind because it's going to be progressive change and you're not going to be doing anything. Are you going to force yourself to change? Are you going to fight for change, right? Are you going to go to war with yourself to be a better person, to work harder, to wake up earlier?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
These are all little battles in the war, right? What are you going to do in 2025? I want you guys to succeed at such high levels. And none of us are perfect. I'm not sitting around saying I'm perfect. But I have some fundamental foundations that I've set over these decades. And I hope to impress upon you a lot of those foundational rules, principles,
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
laws whatever they are because it's really helped me over the last 18 years and i hope to do the same for you so if this was helpful and you know someone that might need to be able to hear this so they can actually go win in 2025 make sure you share it with them uh also i will be in charlotte north carolina charlotte north carolina january 25th if you want to be invited to that one day intensive um
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
We're going to be crushing it with my REILive.co community, REILive.co. If you want to be invited, let me know. Hit me up. You can find me on Instagram, the Justin Colby. You can find me on Facebook, Justin Colby. And by the way, would love to get more reviews on the podcast. Give us a review. Smash the five stars. Give us a great review. Appreciate you guys. I'm excited for you guys. It's 2025.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
It's the year to go win, but you got to create it. There's a lot of opportunity. You still got to go create your own win. Love you. See you on the next episode. Peace.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And most of you probably are not where you want to be with your bank account. Then the first thing you need to be doing is focusing on revenue generating activities. That is the very first thing and probably the only thing you need to be doing out of the gate.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
So revenue generating activities could be calling realtors, could be calling homeowners, door knocking, going through your CRM, calling the leads back on REILive.co. So if, again, you go to REILive.co, we had a member, Carol, literally she's been working this lead that we reviewed today to put in an offer. She's been working the lead for two months. This lead came in two months ago.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Then there was a lead that came in that she's been working a year ago. And she says, tomorrow, we want to call this lead that she's been working for a year, or at least the lead came in a year ago. Now, what happened is, you know, after a couple back and forth with the seller, this seller lead fell off the face of the earth. Right.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Are you ready to make change? Because I'll tell you, if you sit around and wait for change, it's going to change, but you're going to be left behind because it's going to be progressive change and you're not going to be doing anything. Are you going to force yourself to change? Are you going to fight for change?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And literally as of new year's week reached back out to Carol because the seller changed her phone number, changed her phone, um, and was able to find nurture outreach via email, uh, to get back in contact with Carol. And so I say all that to say is, is maybe what you need to be doing is nurturing the lead that you already paid for that you already brought in.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
The thing that you should be focusing on is revenue generating activity. Some of you might be doing deals with wholesalers. So how many wholesalers did you reach out to today? How many offers did you make? How many buyers did you bring to other wholesalers deals? right? So again, you need to understand what change needs to happen.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
But most of you in this journey are probably not satisfied with how much money you're currently making or how many deals you currently have done or want to do. And it all goes back to the same thing. If you need to be focusing on revenue jittering activities, and if you do that, you will start to see change. Now, again, I don't need to tell you on this episode exactly how and where,
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
but understanding the priority, okay? Priority is the key. I made a comment on Facebook a couple of days ago about, you know, who out there's feeling like, you know, the day gets away from them, they're spun around all day and they're very rarely able to achieve the things they want to achieve, right, in the given day. And they don't get to focus on the real estate business.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
There was a lot of people that said, yeah, that's me, you're talking directly to me. Well, my answer to them was as simple as saying, hey, listen, you need to prioritize the priority. What gets prioritized gets done. Right.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And I know it sounds a little morbid and we don't have to be all morbid, but like, listen, at the end of the day, our children, for those of you who are parents are our priority. So if your child is in harm's way, your priority is to get your child out of it. It's extreme. But I just want to paint the picture of what is priority gets done, right? You will sacrifice your own life for your child.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Are you going to go to war with yourself to be a better person, to work harder, to wake up earlier? These are all little battles in the war, right? What are you going to do in 2025? What is up, everybody? What is up to the Science of Flipping podcast? We are officially in 2025 as I record this. So excited to be moving into the new year. New directions, big changes, big momentum.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
You will make it done. And I say that say all those out there, and maybe you're one of those, maybe you're one of those people that right now is saying, man, I just, I don't know where to find the time. I feel like I'll have the time and then nothing gets done or I can't get to it or something pops up or whatever, right? Well, that's because you're not making it an actual priority, right?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
You say you are, but you're not. So the first thing of change is priorities. And if I'm you, I'm sitting there and writing that down, priorities.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Because then later today, if you're listening to this in the car, or maybe you're not in front of a notepad, but later today, then you need to go in and start to understand what are the actual priorities that you need to be focusing on every single day, including weekends. For you real estate investors or aspiring real estate investors, weekends aren't time to take off.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Real estate is historically known to be a weekend business. I mean, realtors have literally been driving buyers around on weekends since the dawn of time, right? Open houses have typically been held all weekend long, Saturday and Sunday, since realtors were realtors, right? I mean, the point being is weekends aren't a day off for us. Weekends are work as real estate investors, right?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And honestly, those of, not you, but maybe you, that do take the weekends off, that helps people like me get a leg up. That helps me get the deal that you won't get because you're not working on a Saturday or Sunday, right? So when you're thinking about going into 2025, you gotta start with change. What does need to change? Is it your activities? Is your actions?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Maybe you are not a part of a community like REILive.co. And maybe you need to collaborate more, which brings you into the second level of what we're talking about today is collaboration. Maybe that's what needs to change. Maybe you're just trying to do it all yourself. Maybe you're just stubborn. Maybe you're just like, I'm going to figure it all out on YouTube.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And maybe you haven't actually done anything, but gone to YouTube and watched a lot of videos. So maybe collaboration is what needs to change. I can tell you out of my own personal experience, 2025 and onward is all about collaboration, all about collaboration, not competition.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
How can I work with people who I want to be working with to do more, to get more done, to make more money, to have more fun? Give you a great story today as I record this today, this morning. longtime friend and I, her name's Amy, by the way. So big shout out, Amy, you know who you are. Been friends for a long time and kind of have circled each other. She's also in the education space.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And, you know, we've both been in real estate a long time. And, you know, today we kind of sat down and had a Zoom, but how can you and I collaborate more? And there was no like Let's try to work business. It was literally, she was talking about what she was doing and I was talking about what I was doing. And literally we had people in our phone. This is how simple collaboration can be.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
When we were talking on Zoom, she mentioned something that she needed something for this reason of something. And I literally put her together with two people right then and right there. And I said, hey, I think one of these two people will probably be the right fit for you. And right there on the phone. A couple minutes go by.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
She's talking about something else, specifically real estate and cost seg. And I was like, here, let me give you, do you have a cost seg guy? No, I don't. Here, let me give you my cost seg guy. And I just started offering up value to her, not because she asked for it particularly. She was just telling me what she's up to. But I had resources I knew she would likely like.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And we've been friends a long time. So I gave it up to her. Well, you know what happened the rest of the conversation? It started to turn around and she started asking me what's been up with me and what's new with me. And I've been describing to her about what I'm up to and this and that. And then all of a sudden she started putting me together with people in her network that
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
you know, would be of value to me, right? I didn't ask her to. I didn't say, hey, I'm looking for this thing. She said, hey, you should reach out to this person. I'm going to put us together on a three-way chat. Oh, you know what? I need to introduce you to so-and-so because of this reason. Let me put us on a three-way chat. And it just started happening. And that is the movement I'm going on.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
This is your day to start anew. It is a new chapter. It is a new page. It is a blank page that you can write on. This new year, at this very moment, as you are listening to this or watching this,
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
The collaboration of what Amy and I can do is one example. I mean, just the Rolodex I have and the Rolodex she has and the different people and the different scenarios that we could just share with each other and offer value. Because if we offer each other enough value, something good is going to come from it from both of us.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
I say that to say now I know Amy and I are going to collaborate a lot more because really at the end of it, then we said, hey, why don't we do this thing? You know, we're going to do a training together. She really focuses on raising private money. I really focus on doing deals. And guess what? Deals need money, right? And so it's a perfect collaboration.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Now, we didn't go into that conversation thinking collaboration of business and training. We just said, hey, let's connect. Let's see what there is out there for us to put together. Now, that is what I would impress upon all of you today. So if there's something right now you guys can take, I would take this.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
So three to five people is what I would tell you to connect with because you don't know what they're up to. Maybe you haven't talked to them for a while. You don't know what people in their Rolodex that could help you with whatever you're going through and dealing with. And so it's good to just connect with people because part of it is network. The network creates the ability to do more.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
You don't need to ask for something. Just understand what they're doing. And if you understand what they're doing and they understand what you're doing, you might say something like, oh, I'm going to do this thing just like Amy did. And I said, oh, man, you should talk to these two people about that thing. And I just connected her. She didn't ask for.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
So make sure you're actually reaching three to five people a day, whether it's social media, Facebook, Instagram, Twitter, whatever, and reach out to them. Because if you are going to collaborate, then collaboration takes intention. Now, the thing about collaboration that you guys need to understand, first of all, REILive.co is all about deal collaboration.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
I'm not charging you $10,000, $20,000 for coaching. I'm going to bring you into a community, and we are going to be doing deals together 50-50. If you are not a part of REILive.co, you need to be, starting today, starting right now. In fact, because it's the holiday of the new year, I give away a week for free.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
rei live.co a week for free get in there we contracted i think two properties today uh i think 10 in the last couple weeks we're doing it together 50 50 deal split but collaboration takes time takes energy takes effort the challenge i see a lot a lot of times with some newer individuals they don't want to be patient They want that collaboration to immediately turn into money. Like right now.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
is yours to create now i want to go into this episode with this in mind what changes are you going to have to make what changes need to be done for you to hit your goals in 2025 who are you going to be collaborating with in 2025 how are you going to be collaborating for example We have members in my REILive.co. If you haven't checked it out, you should go to REILive.co.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Hurry up. And so they take this, they listen to this episode, they watch this episode, and they don't have patience to collaborate. They don't have patience because they need a deal right now. They need money right now. But that's short-sighted. If you want the long play, then you need to collaborate.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And so the change I'd tell you guys to make, and I know I've already done this is I'm making a big change and I don't need to just be, you know, on top of the mountain. I want us all to be on top of the mountain, doing it together, eating together, making money together, right? Make money, have fun and create value. And if you can do that, you're going to win. So that's my motto going into 2025.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And that's my change. So I want you guys to figure out the change that you need to make. What is it exactly? So for some of you, you guys are, you know, waking up too late, staying up too late, right? You still watch TV and Netflix and chill and you're not going to the gym or you're still not eating good or whatever these things are.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
You need to start to make the change because what I can tell you is those of you who are not happy with their bank account, you got to look in the mirror with that. If you're not happy with your body and figure, you got to look in the mirror for that. All your problems, all your issues, you can solve all of them. And so then this episode is about, well, how do you do that?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Well, collaboration is one of them. In the real estate space, finding leads is the biggest thing. Finding sellers. I don't care if it's through an agent, a wholesaler, a direct to seller, finding sellers. So then what changes do you need to make to go find more sellers? I obviously have tens of thousands of people listening to this.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
I don't know what you guys are all doing, but whatever you're doing likely isn't working to the level you want it to. Maybe it's even working. Maybe you're making a couple bucks. Maybe you're making five, 10, 15, 20 grand a month. Maybe you're making a couple bucks. You're like, okay, it's working, but it's not working at the level I want it to. Again, what needs to change?
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
I'm being redundant because people, it's like the squeaky wheel, right? It gets the oil. Like you say, you know, but do you know? Because you haven't done anything different, right? So I want 2025 to be different for you. If you're not happy with the scenario, and again, like I said, you could be making a couple bucks, but you want more, then you need to be changing.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
In my own world, it is about collaboration. It's about doing more with more people, good people that I choose to do business with. And people offer more opportunities. Right? You've ever heard Bradley say, the more hands you shake, the more money you make. Right? You've heard the scenario, shaking hands and kissing babies. The more people you talk to, the more opportunities you're gonna have.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
And so find a way to talk to more people each and every day. That's what I told you. Three to five people, Facebook, Instagram, whatever, reach out to them, say what's up, see what they're up to. What's new? How's 2025 gonna be any different? Right? Whatever the questions are, like re-engage with people, reach out to people. because you never know what they have going on.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
So in terms of collaboration, you need to get clear on what you'd collaborate with. Right? So we've talked about change. You get it. You need to make change. Now let's talk about the collaboration part. You heard my story with Amy. There was no real intention for this call on, you know, let's find this collaboration. But just organically, that started happening.
The Science of Flipping
Kickstarting 2025 with Change, Collaboration, and Accountability
Now, her and I are very similar levels and years of experience. And so naturally, some collaboration is going to take place. But if I'm you guys, I need to be clear with what do I want to collaborate on? Is it finding deals? Is it negotiating deals? Is it raising money? Is it building a business? Is it marketing? Is it finding buyers? Is it collaborating with a contractor on a rehab?
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
what is up science of living family it is your boy Justin Colby and I'm super fired up for this episode because I'm gonna talk about what the most valuable thing you can be doing going into 2025 is for your real estate business now if you're an experienced real estate investor you need to listen to this entire episode you're gonna completely
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Now, as a real estate investor, how would someone come into us? Well, I use TV ads for one, I do PPC for another, and I do direct mail. So when those individuals come into us, then I immediately enrich the data to understand who I'm talking to. Now, let me take a step back because I need you to understand what I mean by enriching my data.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I get way deeper personal information than just a cell phone. But I do get a cell phone and I get a home phone. And by the way, getting the right data is most important. Just using some skip tracer to go get eight phone numbers that you don't really know which one is which without any type of guarantee of what is an active cell phone versus what isn't. That's not good data.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And by the way, I'll tell you guys now, stay tuned for part two of this. This episode is going to talk to you about the power of getting good data and enriched data in part two. I'll be actually telling you exactly the softwares, tools, companies, and technologies I use to do this in my real estate business. So make sure you also listen and watch number two. Now, that being said...
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
So if I have people coming into my world through an opt-in on my TV commercial, through an opt-in on my PPC, through calling me or opting into my website through direct mail, I immediately get things like their credit score. I get things like their mortgage balances. I get things like their income. I get things, you know, do they have multiple properties?
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
understand what i'm saying and you'll be able to make real-time pivots right now today if you're a brand newbie maybe you're an aspiring real estate investor maybe you've never done a deal maybe you have a w-2 this is the creme de la creme this is going to be the most important part of you making decisions moving forward and figuring out how you can go get your very first deal
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I get such enriched data that I immediately understand what is of higher value for my business and what is not. If I get a lead that comes into my website through direct mail, let's say, and I get the income score for that person, we'll have a range usually, let's say it's $150,000 to $200,000, probably not in incredibly high motivation financially to sell their home.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
So do I put this at the top of my list of leads that are extremely motivated, extremely hot or not? Now, another opt-in might come in from my website from direct mail or maybe my TV commercials. They might have a income score that is less than 50 grand. Do I feel like that person might be in a financial position that they might be needing to sell their home? The answer is yes.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And so what this has really done for our team is we remove a lot of the guesswork. We remove a lot of the actual brute effort that my team personally as humans have to go do. And we can rely a lot more on technology and AI.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
So for example, the individual who comes in with a high income, do I need someone to call them right away or do I need my AI bot to maybe start communicating with them about their level of interest in selling? Well, the answer is I would rather my AI bot start communicating with them and start sending out some emails through automation to engage with that person out of the gate.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
At the very same day, I have someone who has an income score less than $50,000 a year. Do I want the bot to work that person or do I want a person to give them a call? Well, the answer is I want a person to give them a call. Now, it seems easy. It seems like that's the obvious. But what you need to start to do is create the efficiencies in this. Now, I want to go a couple layers into this.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
So you got to stick with me. If this is foreign to you, stick with me. You'll understand it. Now, I also can pull a list of data from REI Lead Machine. REIleadmachine.com is where I pull all of my lists from high AI data to absentee owner data to divorce to probate to you name it, right? I pull all of it from REI Lead Machine. Now, I can take that same list.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
At most people, you just go skip trace it and you either cold call it yourself or you give it to a VA or you give it to a cold calling company. Well, the reality is that's the old school way of doing it. You're not focusing on the data because there is technology. There is software. You can take that same list and enrich that list.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
You enrich the list so that you can actually have the data that I'm talking about, like credit score, like income, and so many other data sets, right? Credit availability, whether current on paying bills. I mean, honestly, guys, to some extent, I'll tell you right now, what is out there that is legal to get, it is scary how much information we can get on people.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
But if you're going to pull a list anyways, why wouldn't you actually know who you're calling? Or even better, be efficient with how you communicate with them, right? I get a lot of deals through realtors. I get a lot of deals through wholesalers. Now, they are bringing me the seller. I don't have any real communication with the seller themselves.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
But when I get deals that are directly to the seller, I would rather communicate with people who have high levels of motivation to sell rather than don't. Now, obviously, if someone is behind on their mortgage payments, or maybe they owe back taxes, that's great.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
But why wouldn't I also enrich a lot of that data to really have an educated conversation with them about how much value I can provide them and where? And a lot of that data will come back when you feed that data in to the technology. Now, I want to take another step, and I want to change the frame for you guys. This is in the real estate space. Let's just talk about business in general.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
All right, so now I know you're thinking, what the hell are you talking about, Justin? What is the most valuable asset going forward for 2025? It's plain and simple. It is data. Data by far, hands down, in today's world with technology and AI, is the most valuable asset and most valuable concept I want you guys to wrap your heads around.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I run a very high volume coaching business. Well, I want to bring the best of the best people into my world so I can actually move their needle, so I can get them their first deal or I can help them grow and scale their business. So doesn't it make sense to be able to enrich the data of a potential customer? And the answer is obviously yes. So this doesn't just pertain to real estate.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
It pertains to business as a whole. This technology is out there. The AI is out there. The communication and systemization of that communication is out there. Now, you're listening to someone who's been in this business for about 18 years. And I've built a really big business and I've scaled down the business and grew a medium business and scaled down the business.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And I'm of the belief bigger is not better. efficiency is senior to bigger, right? Meaning I don't need more people. I need efficiencies in this type of stuff, operational, right, efficiencies. And so some of this operational efficiency comes in, who are we working? Where are we spending our time? Are we looking at the data set
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
of what deals are actually getting done and then cross like pinging them is what I will say. I ping through what are the different layers that are all similar or the same. So we did these five deals. What are the commonalities in all five deals from the data sets that we can start to target more? And that helps us make further decisions. So right now, the other component of this is
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
When I want to pull the trigger on do I want to spend more marketing and in what channel do I want to spend any marketing, right? Or do I want to do a little more grassroots given what the data set is giving to us? We now are in a place of societal technological AI like heavyweight stuff, right?
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And unfortunately, what's scary is people are getting weeded out of this scenario because I don't need as many people in my own business. I just don't. Because a lot of this can be systemized and strategized in a way that I can use the technology to get 90 yards down the field. And then all I need is a closer, someone who knows how to analyze the deal and actually make the offer.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And get that actual deal. I don't need a setter. I don't need a junior closer or any of these other scalable sides. I literally just need the right data. And then I can transform that into a deal. Because more data doesn't necessarily mean you're going to get more deals. I hear this all the time, especially from more seasoned veterans, right? I need more leads. I need more leads.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I got to do more PPC and PPL and commercials and direct mail. I need more. That's not always true. You need refinement. You need to be efficient on the data you're getting. So if you're out there and you're an experienced investor, if you've been around, if you've done deals, if you got something moving, the thing you need to prioritize going into 2025 is data.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
If you focus your time, energy, intention on creating efficiencies with the data you are given from your marketing and the data that you are pulling, right? You will actually not need as much lead volume to do more deals, right? And if that is going to be your focus going in 2025, you're going to actually win. There's four or five different softwares and tools that I use to do all this stuff.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And none of it is exorbitantly expensive. But if you are... a seasoned veteran, and you do have a business running, then you need to be using these too. And this is what we're going to go over here on part two. If you're a newbie, these tools aren't very expensive. And really, for most of you newbies, you're thinking, Justin, getting started is the hardest part.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
This will absolutely change how you approach real estate and business going into 2025. Now, I know here I have people on both sides of the aisle, meaning some are brand newbies, never had a deal. And then some are some seasoned veterans. You've done deals, you have a business, you're making some money. Both it is true for. Both of you need to be focusing on your data. Now let's talk about that.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I'm hard to get, you know, I haven't made any offers this month or this year. Well, if you start to focus on the right people, who are the right people? It starts to make everything else easier because you can actually target the people that will actually sell you the deal versus the people who just want top dollar.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
The biggest problem in our space, period, as real estate investors, as a moment in time, is not interest rates. It is the sellers who do not want to waver on their top dollar price. That is our hardest challenge. And yes, you can take every sales program ever invented and that will get you somewhere.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
But what will really move your needle as a newbie and an experienced investor is targeting the actual right people that might not even be motivated anymore. They might just be over the home. They might just not even care anymore.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
And so if you are targeting the highest of high motivations that has such enriched data points and AI technology pulling those points over 40 years of real estate transactions and pinging the commonalities there, and then you give that person a call or you knock their door or you send them a piece of mail, the likelihood of you getting that deal goes way up. Goes way up.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Shoots through the roof, really. rather than just pulling some random list, giving it to a cold call company and spraying and praying is what I like to say, right? You're just using machine gun and throwing it around everywhere versus using a rifle.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
In today's world, the technology is so great and the AI is so great that if you are not being a sniper of sorts, you're not going to really be as efficient as you need to be in 2025. You might do okay. But if you want to win at a much larger level, then your most valuable time, energy, and effort needs to be focused on data. Data enrichment and understanding the data you're pulling from the list.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Because you can easily just pull a list, upload it into some of the software, and it will enrich the data immediately. And then, by the way, it spits that data right back into my CRM. It spits it right back into my CRM, and then in my CRM, I have a bot that starts the communication relative to the scores that the data gave that homeowner.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
So depending upon whether it's a 0 to 20, 20 to 50, 50 to 100, depending upon these scores, and really it goes up to 1,000, then it changes how we communicate. Like I said earlier, is it the AI bot that's going to communicate, or is it a person? And all that changes based around how the data gets fed into the CRM. And then we have the system of what and how it should be communicated with.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Guys, I will say it again. The most valuable asset, the most valuable time spent, the most valuable thing you can be doing going into 2025 will make you win in 2025 is understanding data, data enrichment, and putting together a process to be efficient around that data. Now stay tuned for part two of this.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I'm actually going to review with you what softwares am I using, what tools am I using, what technologies am I using, what is the actual system that when it goes pumps into my CRM, what is actually happening. So part two of this will be a follow-up. So you guys don't have to wonder what are all these different things.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
I'm just going to tell you the ones I use, how I use it, and why it creates efficiencies in my business. So I can not worry about as volume play. I can worry about, well, worry is not the right word, but I can focus on being efficient. And when you're efficient, your profit margins go up. And I know for all my veterans, that's the most important thing. I don't care who's doing the most deals.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Well, let me see your P&L. What's your bottom line, right? So I appreciate you guys. Again, happy holidays. I'm excited to give you part two of this coming out next week. If you like this episode and this is helpful, share it with two of your friends. I'd greatly appreciate it. And also, if you are not yet watching on YouTube, you might want to start. There's going to be a lot more graphics coming.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Go subscribe on YouTube. I'll see you guys on the next episode. Peace.
The Science of Flipping
The Most Valuable Thing You Can Do for Your Real Estate Business in 2025
Now data in a general sense would simply say like downloading a list, skip tracing the list and calling that. That would be data. But I want to go way deeper. for you. Now, I've been enriching data for the better part of 12 months. Since technology and AI has really caught up, I've been really leveraging this technology and AI. And over 12 months, we've been enriching all data that comes into us.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
I've been doing this podcast since 2013, and I want to keep giving you the secret sauces, what to say, how to say it, the strategy, the techniques. Right now, the secret sauce is to get in front of as many people as possible by calling them, having conversations, and figuring out what is their motives of having interest to sell.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
One of the things that I encourage you guys to do is make a call or two to the homeowners or agents Have the conversations. Mess it up. Do your best. And then say, okay, and go take a break. Go grab a cup of coffee. Go take a pee break. Go do something to get refreshed. Whether the calls went great or the calls went terrible, go get refreshed.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Now, when I say make a call or two, what I'm saying is go have one or two conversations. Don't just stop at making two calls and go take a break. Have one or two conversations. Then come back and do it again. And as you have that repetition and you keep coming back and doing one or two conversations, okay, go take a break. You break up the monotony.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
You break up in your own head of the uncertainty. And you actually can kind of audit what you said, how you said it, what they said, how they responded, and what you could have done better. And if you do that every day, it'll start to remove this fear, this fear of unknown, making mistakes, being judged, getting hung up on, you'll remove it all, okay?
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And that will be some of the best tactical strategies you guys can start adhering to. If you can do that one simple thing, you'll actually start making more phone calls and making more offers. Now, the next thing is this level of success, right?
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
If you don't give yourself enough runway to make these calls, meaning if you just say, okay, let me see what happens in, you know, 30 days, 60 days, 90 days, you may never achieve the level of success. How do I know that? Because it took me nine months to get my first deal, nine. So if I would have given up any day before I got my first deal, I would have been a failure. I would have quit.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
It's the only way to fail. But if I just said I'm going to make this happen no matter what, no matter when, then I can find a certain level of success. And that is what it's going to take is to remove your own self-limiting belief around the time. Right. Your self-limiting belief, if that's the right way of saying it, is, you know.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
I need to be successful by the first 30 days, 60 days, 90 days, or I'm a failure or this doesn't work or the coach sucks or the economy or the interest rates. But if you give yourself enough runway, then that also gives you enough chances to reiterate. Iteration is what's going to really help you here. Adaptations, innovations.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
These are three really big words because the market can change and shift. For those of you who have been around for long enough, you realize the last decade has been amazing, minus the last maybe 18 months. If you were fogging a mirror, if you were breathing, you were able to make money in the last decade. But now things have changed in the last 18 months. Now we need to pivot.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Now we have to change what we're doing and how we're doing it. And so we're innovating. We're adapting. We are trying to figure out what is going to be the best runway. So you might be asking, well, Justin, what is the best running? Well, not giving up and talking to more and more people. Some of you and most of you probably don't have much of a marketing budget.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
So I'd encourage you to be talking to agents and or virtually driving for dollars, right? Drive around. Do it virtually over Google Maps or physically get in your car and drive around. Find those properties that are maintenance deferred, right? And if you can find enough fortitude to innovate, to adapt, right, to experiment,
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
calling homeowners, calling agents, analyzing deals and making offers. And it's only $200 a month. It's $200 a month because I decided I wanted real success from my members and not just to get rich off of them, but to get rich with them. So in REI Live, we do JV splits. Everything is 50-50. It's $200 a month and we have six calls a week, two to three hours a day, really doing deals.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
and keep going to figure out what does work in today's economy, to figure out what does work in today's financial place, and then what you are good at. How much time do you have? How many calls did you make? Again, you need to be measuring your output. Don't criticize yourself if you're not actually doing the work. Don't criticize the coach, and don't criticize anything. Look in the mirror, right?
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
If you can look in the mirror... you might realize like, I'm actually not making the amount of calls I need to be making, right? That's the challenge, is that. And so I want you to go out today, this week, this month, this year, and really look at what your ability to push forward is, and then give yourself enough runway to fail and get back up and keep going. Fail, get back up and keep going.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And if this is hair on fire and you need to be successful in the next 30 days, you're going to have a really big challenge that you won't be able to fulfill because there has been no overnight success. Not one person you've ever looked up to, listened to, built this thing in 30 days, 60 days or 90 days. They've built it over time.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And if you give yourself enough time, you will ultimately be successful. If you don't quit, give up, or make really stupid decisions. There's mistakes, right? You might lose some money on some deals. All those things might happen. But you need to give yourself enough time to be ultimately successful. Successful. I'll give you a great example.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Is anyone invincible to making those mistakes? Absolutely not. Are you going to make mistakes? Absolutely not. So then the question is, do you have the fortitude to keep going, to keep adapting and innovating? And if you do, then you're gonna keep finding the way to be successful.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
For all of those out there who say, Justin, just give me some tactical things from this podcast right now, start calling realtors. Realtors have motivated sellers. Don't question me, just go do it because your job now is to find a number that works for you and works for the seller. But the seller's motivated, okay?
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
You just need to be a good negotiator and need to be able to show value and figure out the right seller who has enough motivation. That's what you need to go do today. Secondly, I tell you, go become a member of reilive.co. We do this each and every day, two to three hours a day. We call these agents. We call the homeowners. We negotiate the deals. We comp the deals. You don't have to do it.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
You don't have to second guess. It is a comfortable place for you to learn and do deals. I'd highly encourage you guys to check out REILive.co. If this has given you a little bit of help on your mindset, on the thought process of what it's actually going to take to be successful, then I'd like you to share this with two of your friends.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
If this can help someone break into this industry in real estate investing, if you feel like this is something that has helped you, then I would like to say you are obligated to share this because I want to keep pouring into each and every one of you. I've been doing this podcast since 2013, and I want to keep giving you the secret sauces, what to say, how to say it, the strategy, the techniques.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Right now, the secret sauce is to get in front of as many people as possible by calling them, having conversations, and figuring out what is their motives of having interest to sell. And I choose realtors right now for most of you. Now, if you have a marketing budget, you could obviously lean into that.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
But for those that don't, then I would tell you, you need to be able to be smart about it and start working with agents. So again, I appreciate you guys. If this helps, share with two people and we will see you on the next episode of The Science of Flipping. Peace.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Now, that is a big difference between how I've been a coach for over a decade. For over a decade, I've been charging $5,000, $10,000, $15,000, $20,000, $25,000 for coaching. Now, coaching... Teaches you what to do. It gives you the game book. It gives you the plan. It gives you exactly the recipe and the ingredients, but you still need to be able to make the dish. And that is what I'm speaking to.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
That component is where I find more people get frustrated. And roughly 99% of the real estate investing people with interest who are aspiring to be a real estate investor, they quit. They give up. Because just because you have the recipe, just because you have the ingredients in the kitchen, it doesn't mean you're going to make a great meal. You need to put it in the right order.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
You need to be able to, you know, have the right measurements, etc. Right. And so what I've really done and what I really believe in now more than ever is this idea of being able to take massive action. So that you can find that level of success. And I didn't want to be the guy that just told you what action. I wanted to do it with you.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
So moving forward, if you have any interest in REILive.co, REILive.co, become a member. Join us. We are literally doing calls each and every day, two to three hours a day, analyzing, comping, making offers live in real time. Now, I say that not just to plug that, because honestly, $200 a month isn't some massive financial needle mover for me, but it is because I've learned one thing.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Welcome back the science flipping family to another solo dolo episode. Today I have something really important to tell you guys about your journey in success or toward success here in the real estate investing space. And so bear with me because I really want you guys to have long-term success, not just short-term success.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
The amount of success I'm getting from the members in this community, and we have about 100, versus the amount of success that I have seen others get by paying myself or others, other coaches, is drastically different. I'm seeing members get success within the first week, two weeks, or even a month, they get their first deal, they get the first check.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And that creates certainty and that creates confidence. The challenge is, if you have improper expectations, and you're expecting that, especially because you cut a big check, especially because you spend 10 grand 1520 grand to some coach, But then they aren't doing it with you and they're just telling you what to do.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Again, it's like giving you the ingredients and giving you the recipe, but you don't know the measurements and you don't know what order you should be putting these ingredients and what order you should be baking the goods. Right. And then not doing it with you. That is where it breaks. So now let's get to this level of success.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
As many of you know, I'm constantly on the move, juggling multiple businesses, traveling, and ensuring I get my morning workouts in. Staying fresh isn't just a preference, it's a necessity. But let's face it, after back-to-back meetings, juggling two kids at home, and the hustle and bustle of everyday life, body odor can become an issue. But here's the deal.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
at shopmando.com. That is S-H-O-P-M-A-N-D-O.com. Please support our show and tell them we sent you. Smell fresher, stay drier, and boost your confidence from the head to the toe with Mando. Attention, real estate enthusiasts and investors. Are you ready to transform your investment strategies and skyrocket returns? Join Jason Hartman and his team at Empower Investor Live.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
So I'm gonna map out really what it's gonna take for you guys to find your way to create income and cashflow with active income, then also to start building out some wealth along the way. So one thing I have seen after well over a decade of teaching people and over 18 years of actively doing this business
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Success is a journey, right? And so for you listening that might be a little bit newer or never done a deal, I would tell you, most people don't give themselves enough runway to actually be successful. Instead, they start judging themselves on the amount of success they find immediately, like within 30 days.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And they start thinking themselves, whether this can happen, whether you're doing the right thing, whether it's working. The secret to that is if you have someone doing it with you, you don't have to wonder whether it is working. You won't have to wonder whether you're doing the right thing. It just is getting done. You will see it.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Now, the mistakes, the challenges, the offers being rejected, the hearing no's, the canceled deals, that is all part of the journey towards your success. Now, for some of you, I don't know everyone's success level or what they want or what they would define, I should say. what success is for them.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
I can tell you most people, if you're aspiring, if you're trying to get your first deal, most people would find success to be able to get a deal, your first deal. And so in that sense, then it really is a function of you need to understand, are you actually doing the thing that can get you the deal? So I would ask you, audit what you're doing.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
How many phone calls to homeowners or agents are you making? And then how many offers are you giving? There's really only one thing that can get you a deal and that's the offer. So if I ask you how many phone calls you're making, I'm not asking you to go be a cold caller. I'm not asking you to turn your business into cold calling.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
What I am doing is I'm saying, hey, you got to have some people to talk to. You got to talk to some people, agents or homeowners. And then you need to make that offer. The offer is the thing that's going to help you find that success.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And so if you're sitting there saying, oh, I paid so-and-so 20 grand, I paid so-and-so five grand, I paid so-and-so eight grand, but I'm not finding success, then the thing I'll ask you is, are you actually doing the thing that they are telling you to do? Are you actually calling the homeowner? Are you actually calling the agent? And then secondly, are you making the offer?
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Now, some of you may not be doing this because of one big catastrophic pain point, and that's fear. And I think we all can recognize many people, the vast majority, have some level of fear that goes along with taking actions. That same thing, that fear, is actually why you need to do it. Because the fear is made up in your own head. Right? The analogy is false evidence appearing real.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
is I have seen too many people who come into this space thinking that because they paid a coach $10,000, $15,000, $20,000, $25,000, they're going to have rapid success. Well, I hate to break it to you, but 99% of the time that is not the case. There is success and you can have success, but just because someone is teaching you doesn't mean you're going to immediately find that success.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
You create this fear of hearing no or getting hung up on or someone cussing you out or whatever this fear may be, rejection. And so you get timid, right? The other fear is I'm not doing it right. I don't want to look stupid. I don't want to sound dumb. That's the other side of this fear.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And this is, again, without overly trying to plug it, although I believe in it so much I feel obligated to keep telling you, this is why I created REILive.co, is I want to remove that fear and embed certainty and embed confidence by doing it with you. You don't have to wonder what to say. You don't have to see if you're comping it right.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
You don't have to figure out, am I underwriting the remodel correctly? I'll just do it with you. That is why I created it. Because that fear, you pay a coach 10 grand, 15, 20 grand. The fear or uncertainty paralyzes people. And then they don't do the simple two things that they need to do to go get a deal. First, make the call. Second, make the offer.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Those are the two simple things that you need to do to go get a deal. That's it. It's as simple as that. But your fear of uncertainty, your fear of are you doing it right, your fear of getting hung up on, your fear of someone cussing you out, your fear of looking silly or stupid, that paralyzes you. And so I'd encourage you, it is one step at a time.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
So if you're not a part of REILive.co, I tell you, join it. Check it out. Join it. Be a part of this community. It's a game changer. But secondly, if you do have a coach, if you have paid someone, then you need to do the one thing each and every day. So I call it the big six. Okay. The big six can help you overcome some of this fear.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
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The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
Now, let me break that down in two separate segments for you. For the better part of a decade, I was one of those coaches who went out and charged $10,000, $15,000, $20,000, $25,000 for coaching. Since January 2025, I have actually changed that. If you go check out REILive.co, it is actually a membership community that every day we go live two to three hours a day.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And every night, yes, I said night, you want to write down your big six. You want to write down the three non-negotiables that you absolutely 100% must do tomorrow, okay? It is not negotiable by definition. That is why I'm telling you to name it that way, okay? And then you also want to write down your three must-dos, okay?
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And if you do that, you have a shot at actually achieving some of them the very next day. Okay. The very next day you can wake up and you can say, Hey, how am I going to get these deals? How am I going to make these offers? Who do I need to call to make the offers, et cetera. Okay. So it makes it a lot easier for you to be able to do those things.
The Science of Flipping
The 2 Things That Actually Get You Deals (Not Another $20K Course)
And then once you're able to do that, then it's one at a time. Do not overcomplicate this. Do not take every agent or your entire list of sellers and try to call them in a given day. Do not think you need to. You just need to go out and perform. And that is one call at a time. Here's a little secret tip that I've encouraged people to do that do have... this level of fear, uncertainty.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Focus on collaboration. Focus on the opportunities you don't have, what are the opportunities you want, and then what needs to happen for you to get those opportunities. And if you do that right and you set your goals right, in the real estate game specifically, focusing on data, focusing on automation and technology, you are going to win.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
But you should still be playing by the rules. There are ways that you don't have to assign and there's ways to raise money and get transactional funding and so on and so forth. You don't have to just, you know, assign deals that in states or in cities where it's not assignable. So I'm gonna collaborate way more with realtors.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Where you pull a list of 40,000 people and cold call 40,000 people. Does it work? Sure. I've done it for years. But if you want to get targeted on deals that actual sellers are going to participate with you on, then I would actually go much more targeted, much more niche and refine the data.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
I'm gonna collaborate way more with those that you would think are my competition. Why? Because when there are challenges posed, we are better together than we are apart. So when we are going to go through this, what I think is still a winter going into 2025, right? And I think we'll come out of it going into 2026, and then we'll start to feel the benefits going into 2027.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
So I think we're still in a 24-month window of challenges, let's say, because I don't know to the extent. I don't think there's going to be any big economic crippling scenario. But when we are at this point, I would rather be collaborating with all the people that you've seen out there, all the other podcast hosts. Why do you think I have so many of those hosts here?
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
All the big influencers that I work with already that I'm friends with, right? We are collaborating in a great way now, right? The Pace Morbys of the world, Jamil Damjis of the world, all the way up into the bigger influencers like myself and Grant, myself and Sean Whalen and Garrett J. White and Andy Elliott, Brad Lee. These are people we are now collaborating.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Bedros Koulian and I are going to be putting together some things. So I say that because collaboration can get us further faster.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
rather than just trying to do the uphill lift by yourself i used to be this guy all the time and i'm telling you guys going to 2025 you need to recognize collaboration will get you further faster you know and it can help you get more deals done and make more money create more opportunities now i want to kind of leave this episode here with the idea of money and opportunities
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Over going into 18 years, I've been a real estate, full-time real estate investor for 17 years. Going into my 18th year, not only am I changing my point of view into collaboration, but what I've really come to understand and know to be true is the more money that is made by you, by me, the more opportunities that become given.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And I want you to think about this deeply going into 2025 because I have. what are the opportunities I would like to have? Why can't I have those opportunities now? And then what needs to happen for me to get those opportunities?
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
When you think about what opportunities you'd like to have, and then you start to think about what needs to happen to make those opportunities, mostly, mostly, it's you putting yourself in the right position, but B, the real part is it's money. Can I create opportunities that I likely wouldn't have if I didn't have as much money? And the answer every time is no. No.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
So when you are pulling lists, for example, I pull all of my lists out of reileadmachine.com, reileadmachine.com. It has AI features, it has refined data, it has everything you've ever wanted to pull, right? There's over 400 billion data points in REI Lead Machine to make sure you are targeting
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Being able to take four to six massive vacations a year. We go to Orlando Disney World for at least three nights, four days, four times a year. Very expensive.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
This last time, we had that private VIP host that toured us around three different parks privately, cut to the front of the line at every single one, rode more rides than I've ever ridden because we were able to jump around super fast, took the back roads, went behind all the buildings where none of the public was. It was very cool. But it's very expensive.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And not only that, think about all the episodes that I talked about, about why I fly first class. First class is expensive, but think about the people you meet next to first class. I've met politicians. I've met jewelers. I've met doctors. I've met a lot of people sitting first class that have created a lot of opportunity. In fact, one specifically, a politician, we are now very close friends.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
His wife and my wife talk about school for our kids and et cetera and all these different things. And that has played a big effect into my opportunities, right? Getting kids into schools that I have no way to get into. And that's a very real thing. And so I want you to think about making more money this year. What do you need to do to make more money?
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Because what are the opportunities you don't have? What are the opportunities that you want? And what needs to happen to get those opportunities? from vacations to very expensive dinners. Later tonight, as I record this episode, I'm taking my wife on a husband, wife, daddy, mommy date.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
We're actually doing a little staycation, nice dinner, maybe a little bit of shopping and stay at a hotel and just relax and just be us. And that opportunity to get connected to my wife is the type of opportunities I'm talking about. Is that the opportunity you need? Because again, for us to get reconnected and have alone time without the kids, And to decompress, it's going to cost money.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Sure, you can make the argument, oh, it doesn't have to, and you can, okay. But let's face facts. We can do it the easy route. We can do it the nice route. We can feel good. We can be in a nice hotel. The reality is it's going to cost money. So I say all this to say, and to wrap this up, focus on collaboration.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Focus on the opportunities you don't have, what are the opportunities you want, and then what needs to happen for you to get those opportunities. And if you do that right and you set your goals right, in the real estate game specifically, focusing on data, focusing on automation and technology, you are going to win.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Automation technology is how we started the episode, focusing on how to shoot for your end of year goals and then collaboration. And the last thing we wrapped up with was opportunities and making money. Because I want you guys to make so much money and I want to collaborate with you and I want to do thousands of deals with you in the next 12 months. That's a lot of deals, crazy amount of deals.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
But I want to do as many as we can. Even if we hit 100 deals together, you and me doing deals, that's what it's all about. It's all about the collaboration. Let's go focus on making a whole lot of money, creating a whole lot of more opportunities. So then when you hear this episode going into 2026, all your goals are different, baby. That is it. That is the year 2024. It's a wrap.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
I love all of you. Thank you for the support. If I can encourage you guys to screenshot and share these episodes that you're listening to gain more and more traction. This podcast has done very, very well this year. I just want to keep the momentum going. I love you guys. Appreciate you guys. Keep sharing the love. Share these episodes with your friends. And I'll see you guys in 2025. Peace.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
motivated sellers so if you are going to pull a list make sure you refine the data then i take that list so let's just say you go in you start with you know miami-dade county just because i live here and it might bring up 700 000 people in the county and i'm making up a number right And from there, you refine the data to say who has the highest percentage to sell as a wholesale deal.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And that might bring it down to 6,000. Out of the 700,000, it might bring it down to six. Then you take that same 6,000, you go over to RocketSkip.com. And I'll provide links here in the comments.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Go over to Rocket Skip and then you refine it even more because Rocket Skip then will actually start to go and enhance the data and figure out what sellers are in financial pain with credit card debt, income, debt to income ratios, amount of loans that they have, amount of usable credit that they have. You know, do they have boat loans and car loans and home loans and credit cards and
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
what is up the science of flipping family this is the last episode of 2024 so i'm going to deliver some hotness some greatness for you guys here because i want you guys going into 2025 excited fired up motivated but also ready to tactically win the year So we're gonna go over three things on this episode.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
What is the usage on the credit cards? Then it refines that data and then it might bring it down to 60 people. So from there, now you have refined data. That 60 people is the highest utilization of your time. That's the people you'd cold call, send text messages to, and likely even direct mail. The point I am getting to here for everybody is you need to refine your data.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
You need to be focusing on data. And once you do that, all of the marketing widgets and tactics and strategies that you've heard about from direct mail to PPC to PPL to TV commercials to cold calling, etc., then you can refine how you attack the leads. Which brings me to the second part of how you're gonna win 2025, is make sure you focus on technology and automation. AI is everywhere.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
If you are not playing with AI, if you're not in AI, if you haven't done it, used it, put it into your business, you need to be putting AI into your business. And so you need to have software like Rocketly. Rocketly is a CRM. It creates nurture follow-up sequences. It can automate conversations through email and text messaging. You can send direct mail out of it. You can cold call through it.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
But you need to make sure you have some level of automation. Now, I'll throw you back about 10 years or so. We built a big business in Phoenix market. Big office, 30 people in the office, 20 cold callers, acquisition people, disposition people, assistants, you name it. Very expensive, right? Operational bloat was very high.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And so now as I have coached thousands of people across, you know, over a decade, I try to encourage people to not create operational bloat. I try to encourage them to actually refine your business and start to use automation and AI. Nowadays, you know, ChatGPT is the biggest name within AI, but there's so many services and softwares.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
But Rocketly, if you go to Rocketly.ai, you can book an appointment. Rocketly.ai, you can book an appointment there. It is the best CRM. It is the best software. It is the best nurture sequence. It is the best utility of technology and AI out there. Period and end of story.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
So the two ways that you will conquer and win in the things you need to prioritize in 2025 are going to be data, enriched data, and refinement of data. And then you combine that with technology, automation, and AI, and you're going to win. Now let's bring you on part number two that I wanted to bring up again. This is a little bit of a reminder of how to go about Setting goals. Going into 2025.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Now, I've done a podcast about this before, but I'll briefly surmise this again. What I want you to do when you're going in and you're doing your 2025 goals. First of all, if you haven't yet, you can go join REILive.co. REILive.co. We are actively doing deals each and every day, two to three hours a day. I'm working with you. In there, I have a goal sheet.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And in there, I teach all of my members that you want to start with the end in mind. So in 2025, what makes 2025 a kick-ass year? What needs to happen? How many deals need to be done? How much money do you need to make? How many rentals did you buy? Et cetera. then you can start to put that into the micro. So you start your end of year goals, that's the macro. Then you bring it into the micro.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Okay, well, if you wanna make $250,000 a year, that means you need to make roughly $20,000 a month. Awesome, now we're in the micro. Well, how do you make $20,000 a month? Well, you could wholesale. Two properties a month, a 10 grand net profit each. Awesome. Okay, well, how do I find two properties? Then it comes back into lead and data enrichment and then automation CRMs, right?
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
So then it's how many calls do I need to make? How many offers do I need to make, et cetera. But now you brought it down to two $10,000 wholesale fees. Then at the end of the quarter, you need to make sure that you're on pace to hit $30,000 in wholesale fees or, you know, not $30,000 in wholesale fees. Six wholesale deals or $30,000 in wholesale fees. $20,000 in wholesale fees. Sorry, guys.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
$20,000 in wholesale fees. And then you look at the quarter. Are you on pace or are you off pace? And then you go into the second quarter, Q2, and you say, okay, what do I need to change? Am I on pace? Am I off pace? Am I ahead of pace? And if I'm ahead of pace, I need to pour on momentum. I got to pour on to whatever I'm currently doing and keep that thing going.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Because as we all know, the hardest thing in the world is to get momentum. And so once you get it, you want to keep that ball rolling as far as it can roll. So again, the brief summation, start with a macro, find your end of year goals. How much money do I want to make? How many deals do I want to do? How many rentals do I want to buy? Then you bring that into the micro.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
All of these three things, I would highly encourage you guys to take out a pen and pad as they will be very important for you to be able to go and attack the year. And the first thing I wanna go over is the two major points in real estate that are gonna win the day for 2025. These two things are gonna be the most important things you should be focusing on as a real estate investor in 2025.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
You say, what does that mean per month? And then what does that mean per day and week within each month? What does that mean per quarter? What does that mean for six year or six months? And then what does that mean at the end of the year? So go macro, break it down in the micro. It makes it way easier and you start to be able to measure your goals.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And lastly, and probably the biggest point I wanna bring up to you guys here on this episode is 2025, I believe in what I'm gonna be focusing on is collaboration. I'm going into 2025 with a mindset, with a heart, with an attitude, with my actions, all in the direction of collaborating versus competing.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
There's a lot of people out there that still have that, like, I'm the biggest, I'm the best, no one can fuck with me, I don't care, I'm going to squash anyone in my way. And while I used to be that guy, I can understand that guy or gal, I believe moving forward, collaboration beats competition. And it always has. I've, over time...
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
leveraged collaboration to such a benefit to myself, to my business. And I haven't given it enough, um, focus or I haven't given it enough recognition. I should say is how far I've come through collaboration, whether it's other real estate investors, realtors, um,
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
students and members of REI Live and the Science of Flipping, whether it's other coaches, whether it's other mentors, whether it's other community members, mastermind members, colleagues, like collaboration has just made me more money. And another way to say that is working with other people, collaborating with other people, shaking more hands had made me more money.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And so I'm going into 2025 with full-blown intentions, and I hope you do too, to collaborate more. Do deals together. I would rather do deals and do 50-50 deals. That's what REILive.co is all about. REILive.co. It is all about doing deals 50-50, right? And I want to do that with everybody. And I want to collaborate more with individuals.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
I want everything to be a collaborative effort versus me just winning and squashing everyone. Now that takes some intention. And that takes some muscles that usually are not utilized often. That takes the ability to realize it's not just about me. It's just not about what I'm out to do. It is also about the other people and what value you can provide and what value they can provide.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And if you do collaboration in the right way, you should be making way more money and working less than if you just try to take it on yourself. Now, I'm going to bring this full circle. right back into data, technology, AI, and goal setting, right? So I'm going to combine all of these within collaboration.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
If I can find resources that have better data and skip trace it through rocket skip, and I can use automation like rocketly.ai, and then I can actually... use and collaborate with other people in markets that I might not be able to have boots on the ground with that I know if I have a hot lead, I could actually have them go knock the door and do a 50-50 deal knocking the door.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
I have a member right now, a member of REI Live right now actually has a cold caller from Egypt who actually is not getting paid to do the cold calling, but they are collaborating on the efforts. The Egyptian cold caller is calling for free and gets 25% revenue of whatever wholesale deals my member of REILive.co makes. That is a great collaborative effort.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
One is data. You need to be focusing on data. The economy has been crazy for the last 18 months. I imagine, my gut feeling, I'm not an economist, but I think that 2025 year is going to still pose financial challenges. So I encourage you on refining your data. And what I mean by that is don't go do the spray and pray method, right?
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And so whether it's collaborating with the right data and the right people, in the right marketplaces, and to help them grow and to help them make money, you will always make more money. Now, 2025 is going to pose its own challenges, right? Obviously, we're bringing in a new president, which I think there's a lot of people who are excited about that. I myself am.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
But I don't believe it is going to be this real estate... wet dream, for lack of a better way of saying it. Like, we are still gonna have challenges with interest rates. We're gonna still have challenges with affordability. We're gonna have challenges with inventory. And what does that mean for us? Well, that means there's still gonna be a lot of opportunity.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
because the person who does actually focus on the data and refining that data, and then has great nurture sequences with follow-up and AI, they're gonna find deals that those that don't aren't. there are still going to be a lot of people who are going to go through a challenging time because the economic downsizing, right? Meaning there's a lot of companies laying people off still.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Now the government and the news or whatever, they don't want us to recognize that. That's not something they want to actively show or talk about too much. Um, they do some, but my gut feeling is this way larger than it needs to be, or that is being represented currently.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And that creates for the person who is a hustler, for the person that's really ready to go get it, it creates an opportunity because people aren't going to be able to afford their homes. You see, when the goings were good, COVID 2020 to 2023 and a half, people started over leveraging, right? They were doing high lines of credit and boats and multiple cars and all these other things.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
And if they lose their job, they could be making a quarter million, 300,000, $500,000 a year. But they started to live a lifestyle that could support that in 2020. And now they're not. And it creates these opportunities for the hustlers. Now, again, the challenges become affordability and then the lack of inventory.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
You would think the lack of inventory would keep the prices up and affordability would bring them down. But the affordability part isn't actually bringing them down, and a large part is because people do still have very low interest rate loans. I think we need to bring in the baby boomers into this case, people who have owned their home for 20, 30 years.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
Those are going to be people that you do want to have nurture in AI and sequences to follow up. And my goal for 2025 about collaboration is not just – you know, real estate investing, I'm getting my realtor license. I'm getting it so I can collaborate more with realtors. So I have a better relationship with them. So I understand their side. Am I going to go work as a realtor? Absolutely not.
The Science of Flipping
Set Your Goals, Refine Your Process: Let's Crush 2025
When people ask me, and I get asked this a decent amount, do I suggest for someone else to go get their realtor license? More often than not, I say, absolutely. It's going to help you more and it's going to hurt you. Do you have to play by the rules? Of course. But shouldn't you be anyways? I mean, you know, playing in the gray line is always going to be playing in the gray line, right?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
What is up, Science Flipping family? Welcome back to another incredible episode. And as always, I have a great guest. This is, again, near and dear to my heart because this guest is actually an REILive.co member. He has been here since December of 2024 at some point, and it is April 15th as we are recording this episode.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
That's right. That's right. And what I would tell you is if I could offer further suggestion to you so that you stay successful, what you're trying to do, I will use what you just said to me reminds me a lot about the gym when traveling. You are a cyclist, right? You're an athlete. You get this. Something is better than nothing.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
I stay in a hotel. The gym has 15 people in it. It is as small as a closet. Whatever the case, you're like, oh, this is not ideal. But if I can get in there and do something, it is better than just sleeping in or whatever the case may be, right?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Now, while that is very true in most circumstances, if I could offer advice to you and the people listening, if you are going to do something, make sure that something is actually a revenue generating activity and not just spinning your wheels to spin your wheels or creating problems. activity for activity sake. So you feel like you can sleep better at night, right?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You need to actually create revenue. You actually need to be able to push into like, does this give me a shot at getting a deal or not? And if you could do that, then you're going to actually get way more opportunities at goal. What I find a lot of people are Take what you said, and I've said it before, you know, just do something. Something is better than nothing.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
But they create busy work, right? They start to open mail and they look at their website and then make edits to their website. And that doesn't move your needle. You're not going to generate revenue. You're not getting a deal. So what is the thing that in our journey, REI Live, right? It started officially in January and it reshaped kind of your thinking.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You started doing some output and calling and what reshaped your activities? You know, you changed up your activities a little bit. You started refocusing. You saw the power of networking and building relationships. What was it there and what did you start doing to get this first, second deal?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yeah.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
That's right.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Well, and to your point, uh, I say this a lot, but it's really about the people, right? Making enough calls, having enough conversations to move your needle. And so, you know, in REI Live, whether people are calling realtors or direct to homeowner leads, you need to have enough conversations to even have a chance, right? So like, let's just use cold calling as an example.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
If you pull the list through REI Lead Machine or wherever, and you made 100 calls, you're only going to talk to about 10 people. Actually get on the phone with out of 100 calls. Well, out of those 10 people, the metrics show that roughly only one person of the 10 you talk to are going to have any motivation at all to sell their home or even consider it.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
That doesn't mean they're going to sell it this month or even next month. It just means you can consider them a lead like they will be selling their home at some point. So if you're doing one lead out of every hundred people, then you've got to do the math because typically if you're cold calling, it'll take something between to get going to start out.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
It takes somewhere between one to 50 people before you get a deal. Now you beat that metric. You started outbound dialing. I would guess you're under 50 people that you talked to that turned into a lead and then turned into a deal. Do you actually know that metric?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
There you go.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yeah.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Every day. Now, again, you're beating the average by a lot, right? So I don't want people thinking you need 10 conversations, but that's how it happens. Right time, right place. The key, I want everyone to hear what you just said. What you just said is what everyone needs to hear. You made the calls, period. Because our business is a timing and event business. That's it.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You got to be reaching out to the person at the right time that they are going through the event that creates motivation to sell. Because me, you call me right this moment. I don't have any motivation to sell. I don't have any reason to really engage with you, talk to you. I wouldn't be rude to tell my personality, but like you're not going to get any more of me.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
But there are people going through an event that if you call them today, So that's why people say, okay, well, who are those people? Where do we find those people? Well, Like you said, you started working pre-foreclosures and foreclosures. It's not fun, right? They're going through a very painful, a lot of people don't react well, right? You know?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Right. I don't know, maybe. Potentially, right? And so you just gotta, the key component that people need to understand Make the call. And if you don't know, you know, this is why you and I both know why I started REI Live. REILive.co was started for the person that's not certain yet. They're like, great, Justin. I'll go to REI Leave Machine. I'll pull a list.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
But I'm kind of scared to make the call because I don't know how to analyze it. I don't know if the construction budget is going to be right. I don't know if I'm running the right number. REILive.co is for that person. It's for Philip Godkin that can come on. I will analyze it. I will make the call.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
I will show him what the numbers look like so that he can have the ability to actually go get a deal and not be paralyzed. Right. I would make a point that most newer people, when told by a coach, they spend 20 grand on a coach and the coach says, pull this list, make these calls, you know, see on the next coaching call.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Well, the real breaking point is that's going to paralyze them because they're not totally certain on the values. They're not totally certain on what to say. Very rarely do people want to be uncomfortable. So, like, they're just not going to make the call. So, REI Live, the reason why we have two calls a day every day is because I want you guys, Phillip and others, to be like, Justin...
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
I need to help talk to the seller. Like I talked to her. She has some motivation, not really sure where to take it. Great. Get me on the phone and you guys will hear it.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yep.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yeah. That's right. And you can act like me and you can talk like me. I mean, my REI Live community is an extension of me. You want to say we've been doing this for almost two decades? Say it. I know Philip hasn't. I have. Right. But you're an extension of me. Right. You want to say we've done thousands of deals and transactions over those two decades. Say it. Nine different extension of me.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Right. Right. And so that that's where I say, like, people, you have to understand, I built REI Live.co to help someone like Philip and yourself listening to this and watching this. I want to build certainty in you, because if I can get you to be certain, then I can build confidence.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
The certainty comes from watching me that is possible contract deals, watching Philip get his first deal, watching other community members get deals. Like today, we contracted three properties today on today's REI Live call. When a new person sees that, there was a new person on the call today. When they see that, like how much certainty do they realize like, oh, I can do this.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Then the confidence starts to build once they start doing it. But let's go back to the first part. You got to take action. You got to make the calls. Right. You've heard me say this a lot, Philip. There's there's five success pillars. But like the third one, first one is decide what you want and who you need to be to get it. Number two, commit to it. Number three is take action.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
And some people could say one's more important than the other. But like at the end of the day, I would rather blind, imperfect action than none. I don't know if that year before you met me, were you kind of paralyzed and analyzing deals and trying to underwrite, but never really made any calls? Were you stuck in that kind of bucket?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yeah. What got you out of that? What got your mind to say, okay, I'm going to start getting this going. I'm going to start calling. What broke that mindset shift for you?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yeah, it's funny.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Totally. And it's funny how the ties have changed because it used to be where realtors didn't want what I call dumpster fire properties. You see a lot of those properties on the MLS now. A lot.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You know, and I think part of it is because, you know, right now it is not the easiest real estate market, right? If realtors and wholesalers as a term are fighting to try to find motivated sellers and a realtor comes across a
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
investment property that is not typically listing ready prior to that they would probably tell the homeowner or whoever you got to do this repair you got to fix this thing now they just list it because there's so many of us investors out there now they know that there's got to be a fix and flipper that's going to find it on the mls oh yeah and so they're just they're taking the listings
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
So if there's something you can leave, you've been with me for four months. You have one deal closed. You have another deal closing. If you can leave these listeners and people viewing right now with something to help them get off the edge, join REILive.co or whatever it may be, start making calls. What would be the suggestion you'd have for them?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
It's like, hi, my name is Justin. We're buying properties in the area. The listing looks good. Can we have a conversation? Yeah. Right? It's not hard. Right.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yep. Yep.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Right. Well, what do you what do you see the next moves you're about to make going to finish this year? We got eight more months, give or take your successfully completing deals. What do you what do you see your agenda, your vision, your mission? What do you see your day to day look like going forward to to go wrap up the next eight months of this year?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
He has since completed one entire deal, and he has a second one in escrow to close all within four months. Philip Godkin is here. What is up, dude?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Pretty much.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
But are they really? How busy?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You got to have more conversations to build a relationship. Because again, you know, people are going to work with you because they like who you are. And that's the age old saying. But people are so short sighted, they start negotiating before building a relationship. If you stay steady, you keep making your 100 calls, you keep having your 10 conversations, you're going to keep consistently.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
And then I would tell you the last thing you and everyone else, find a time where you have so much You're saying you're going to be able to do it up to the amount of time you have. Well, what if you just freed your time because you could do this? Could you double or triple the amount of income you're making? Could you start making $15,000 a week? Right.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Well, you'd have more time if you were making $15,000 a week. Yeah, 100%. But then I would make the point to most. Then it comes to what comes first, the chicken or the egg? Do I need to let go of my time suck so I can have more time to make the money? Or do I need to keep the time suck and keep fighting to try to make more money, but I don't have the time?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
So at some point, there's that breakage point where you go, okay, well, it's not about creating more time. It's I'm just going to go all in because now I have the confidence to say I can replace that and I'll have more time because the time suck isn't tearing me down.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You got to want it. You got to decide what you want. Number one, success pillar. Decide because you're going to work either way. Listen, being broke is terribly difficult. And working to be a millionaire is terribly difficult. Choose your hard. Like what hard do you want? They're both hard. Pick and choose, right? Yeah. Well, dude, I appreciate you coming on here, sharing your story.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Congratulations on these two deals. Yeah. And if this has helped any of you and you think someone could use this information to go get two deals alone, share it with two people. Phillip, appreciate you, dude. Keep going on your journey. I can't wait to watch what happens.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
All right, dude. See you guys later.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You know, I said this in the last one. One of my mentors gave me some great wisdom, and it's probably a line, his most, I guess, retained thing he taught me, weirdly, but invest in current living. And you're kind of circling that subject, right? Really, it's great to be able to pass something down to your kids or your grandkids. But the reality is we get one ride on this roller coaster, right?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
And I'll tell you, if you're not willing to go after it and go for it and go create your life, then you'll be a victim of whatever gets thrown your way because you're not going out and creating your life. And the thing I've always respected about you when I met you in December was You always said, I may not be perfect.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
This may not be the perfect scenario from what I'm doing because I got another job and I have these things on my plate, but I'm going to make this work, Justin. I'm going to follow your direction and I'm going to do it. That dedication to commitment. I have the five pillars of success or five goals. pillars to success. And the second one is committing to that, right? Like you made a decision.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Good to see you. So I really want people to understand this episode is really for the people, right? It's all those out there that are trying to figure it out. They're lost in the atmosphere of real estate investing and coaching and Facebook groups and REIA meetings, and they're just... lost, right?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
I'm going to be successful at real estate investing. You decided I need to be someone who's willing to sacrifice for it. And you have, and now, you know, you're seeing the rewards of it. I mean, to make 15 grand in four months, most younger investors, newer in the game, not doing, you know, that's That's real. It took me nine months, right? Yeah.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Well, and then the other part is if you were honest with yourself, like you probably didn't put forth 100% of your energy, effort, time to it during the four months.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Yeah. And I'm not trying to you know, call you out per se. I'm just saying like, if you can do it when you're not even putting a hundred, imagine what you can do by putting a hundred percent in, right. That'd be a deal a week. Right. You know, that's the reality of, of what this is. So talk to everybody about like,
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
what was going through that year before me like what was going through your thought process what was happening what what did you feel right to kind of get to the place of once you did get introduced to me to say like i need somebody to help us through because rei live.co you and i both know is very inexpensive it's 200 a month but we actively help people do deals five days a week right what were you going through where that was like it just made sense to work with somebody
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
I want them to know your story about that first year of kind of what transpired or maybe even a little bit longer than that and then how that kind of led to finding me, finding Science of Flipping, finding the REILive.co group and how that transitioned into just under four months making roughly $15,000 and solidifying that this is real. So let's start kind of
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Isn't that crazy?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
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The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
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The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
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The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
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The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Well, the craziest part to me Is, you know, listen, I'm 43 and college when I was growing up, it was still kind of like the standard, right? Like you go to college, you get your degree still.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
today's world is so drastically different right um absolutely i mean i think you know it there's so much opportunity to create income in the entrepreneur side even to like nowadays with social media right like these platforms like a tick tock i have a buddy getting paid a million dollars a year from tick tock to shoot his videos
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
back to you know, what was that first year? So like, what was that journey prior to me looking like for you?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Like it's a creator society and most people align creator with creator of content like Instagram and TikTok. But you're a creator. I am a creator. Even if it's in the real estate space, we are creating a space for ourself that is ours. We are creating an opportunity to design the life we want versus just live the life of what historically speaking has been the norm, right?
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
And I think that's what I hope to empower a lot of people within the real estate space is you have an opportunity to pour into your own business, not someone else's business, not your boss's business, not like your own. And the crazy part that always gets me, and I talk a lot about this, is people are willing to work 60, 80, 90 hours a week for their boss.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
But when I show them and give them this opportunity
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
lane to do it for themselves as an entrepreneur to just go crush it so they can have the life they deserve all of a sudden they like take off weekends and five o'clock comes around they quit working like that's it it's five o'clock right they don't go the extra mile if they had a boss they're working till seven no boss oh well i don't have a boss this is what i did it for so i can take off right
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Well, I find that people work harder. Like, I agree with you, by the way. But I find, and I've never been employed, by the way. I've never had a W-2 job after college. And I see people walking back and forth.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Oh, for sure. I'm totally unemployable. I always have been. It's unusual. So but but I find that more often than not, when people get into my space, they're burnt out because not only are they working their normal 40 hours, but their boss pushes them another hour or two every single night. And not I mean, they just say yes.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
They're obligated to a five or whatever the 40 hour work week is, but they say yes because they feel like if they don't, they'll get fired. And maybe that's true or maybe that's not. But the point being is there's a lane that now you now see, you feel it, you see it. You've created what I call certainty. I did what I came here to do for Phillip.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
You created certainty for you and I needed to build your confidence that you could do this business. And when I do that, then I say onward and upward. I will always stay in your life as long as you want me in there. I will always continue to coach you and help you and be there.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
But if you are going to go do it, I have at least done what I came to do, which is create confidence and certainty in you doing it. But now you can go do it.
The Science of Flipping
From Lost to $15K: One Phone Call Changed Everything for Him | Phillip Godkin
Okay.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
And now not only that, you're taking a leadership role in the industry of real estate investing. You are now mentoring and coaching other high level performers. People who are looking to actively do deals, whether it's wholesale fix or flip or buy and hold. But you're really taking a leadership role in the community, dude. And I couldn't be prouder for you.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Great. So I had to go make those mistakes, right? You made it first. I appreciate it. And trust me, I made plenty. 18 years in this game, I made plenty of mistakes. And, you know, that's part of the game, though. I think people need to realize, like... Justin Colby or Nick Perry doesn't just walk around shitting gold and every real estate transaction doesn't just print money.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
There's mistakes to be made. And that's something that people need to be aware of is maybe there's a level that you can get to, but those getting to that level goes through the peaks and the valleys to be able to get to that level.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Yeah. Yeah. So let's talk about your kind of community because I think it's really impactful. And frankly, when I started getting into PPC four years ago, I came to you and joined your group. And the reason being is you actually teach people how to do their own Google in being PPC, correct? Correct. And that's really different because...
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Not only just showing them how to go find a deal and negotiate a deal and comp properties, but you're teaching them how to find the lead. And the lead is absolutely everything in the business. You have no leads, you have no deals, right? And you're showing them how to do it so they don't have to go pay an agency 10 grand a month to run the ads for them. They can actually just do it themselves.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
The thing that I want to make clear to this audience, right, because you're going to hear it on Apple, you're going to watch on YouTube, it's going to be all over our Instagram pages. Google PPC is not for everyone. If you have financial restraints, Would you suggest for someone to go in it? Like you really can't get very far if you have a thousand dollar marketing budget.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
What up, Science of Flipping family? We are coming live outdoors, very unique, here in Scottsdale, Arizona, with my boy, Nick Perry. We are back with another episode, bro.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Yeah, that's about right. And then even then, what kind of runway do you need to see? So I just, for me, I took a market that I did really well in this year, Birmingham, Alabama. I had the opportunity to do TV ads there. So I took it. And so now I'm on TV everywhere. Justin buys Bama, right? But even the guy who runs that says, you got to give this, you cannot give this less than six months.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
So there's 10 grand a month every single month churning whether I do a deal or not. What would you say in terms of Google or at least PPC, if you're running your own marketing, what kind of real runway do you want to be able to give yourself? So let's just say the audience is, all right, I got three or five grand a month, Nick, but how long do I have to go to give myself some runway?
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
And that's where I think there's a break in education. That's why I love what you're doing and taking a leadership role in this, because specifically in PPC is a very popular subject. You know, you were one of the leaders, along with Sean Terry, to kind of do this national wholesaling thing.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
But people, I think, underestimate really the not cost, but the length of investment you have to be able to endure and have. to actually reap the reward, right? So I've been around 18 years. I've literally done every single marketing strategy I think there is out there. Everyone that is paid, no one talks enough about this opportunity
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
you know, stamina through the winter, meaning you're paying your cutting checks, you're running your credit card every month, the money's not coming back in yet. And you still got to at least pay those monthly minimums. But that's the reality.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
But if you can do that, and you have a good coach like you that can say, Hey, listen, if you do this the right way, and you use these credit cards, and you do this thing, and you pay the monthly minimum, Day 90, day 120, as long as you're good at negotiating and selling and you can convert, it's going to start coming back to you.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Because no one talks about the longevity, or not the longevity, but the runway that you're going to need to be able to have.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
yeah dude uh in literally your house so as we're sitting here right now he just moved in this beautiful house we're on his tennis court basketball court he's got the pool he's got the bars he's got the wine liquor he's got everything i'm excited for you couldn't be prouder of you bro it's been incredible 10 years yeah man yeah we started a decade ago and uh it wasn't an easy uh start it wasn't an overnight success you see the finished product now sure
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
I tell people all the time, if you're an aspiring entrepreneur, the best thing America has given you is Uber. That's right. Go be an Uber driver. Go be an Uber driver. Go make your $100 to $200 a day in the timeframe. Listen, you and I travel a lot. We speak on stages or whatever. I talk to my Ubers guys all the time. I only take black SUVs.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Yes, I'm bougie and it's expensive, but dude, these guys are making a quarter. The good ones are making like a quarter million dollars a year. They time it where they're running the airport runs in the morning for people like you and me. They time it at night. So they have the whole night scene. Like they just know how to move there. And then they have the whole middle of the day.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
And I ask them, I'm like, what do you do all day? They're like, whatever I want. Go to the gym. I take a nap. Me and my wife go and play, you know, whatever. I'm like, this is brilliant. You're making a quarter million dollars a year on your own schedule. The best thing an entrepreneur has that America is giving them right now is Uber for that reason.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
And then you can do what we do all day, every day. Literally stop driving Uber at 10 a.m. You have 10 a.m. to 6 p.m. That's eight hours.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Now, specifically, if they want to know more about Google pay-per-click, you run the cartel, right? Which is your coaching group mastermind. Where can they go find that, research that, and kind of get to know what you're actually providing a little bit better?
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Yeah, make sure you go see that. If you're an aspiring investor, if you're actively doing deals, and especially if you're actively doing deals, if you've never done a deal, wouldn't you say probably not the right fit, right? You need to have some people doing some level of deal, some marketing budget, something.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
So I run a group called REILive.co. REILive.co. It is for newer people who are struggling to get their first deal. They're trying to do the work. They don't know how to comp. So we're like this last week, we contracted eight properties this last week. We've done 12 over the last 10 days. And it's because me and my team are helping them get the deal across the finish line.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Those aren't the right people yet.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
Well, I appreciate that, brother. It's reilive.co. But in reverse, if you're actively in doing deals and spending money, I'm going to push you Nick's way. You go find Nick. You understand PPC. You do it yourself. You run those ads. You get your PhD. And Nick Perry, look him up all over social media, is going to be the guy in his cartel group.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
And so, brother, I'm happy we can run this decade run together. I look forward to another three or four decades with you, my friend. Absolutely. But let's every year or so at least get one of these out on the podcast stream and let's run it up.
The Science of Flipping
Building Stamina in Real Estate Through Mentorship | Nick Perry
I'm proud, but never satisfied. You know, it's been a decade, and I think I worked with you. I coached you eight years ago, give or take. And I take such a little amount of credit for what you've been able to do, man. You took the whatever wisdom and knowledge and little nuggets I was able to give you eight plus years ago and built a damn empire.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Welcome back to the Science of Flipping Family. This episode is all about AI. I just recently had the blessing and fortunate opportunity to be speaking in front of a large group of real estate investors from hedge fund managers to syndicators to small fix and flippers. And the entire subject matter was about AI. How is AI going to affect our lives? precious real estate vertical.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Um, so it fell out of escrow. I immediately wired in $40,000 as a earnest money deposit, uh, and went through my due diligence of basically I only needed 10 days cause I knew what I was looking for. I had an inspection here. It passed inspection from roofing to electrical to plumbing, et cetera, et cetera. I then wired in another $400,000, uh, for my down payment. And I We bought the home.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Now, how would a bot have been able to handle that? A bot would have been able to be black and white. There would have been no nuance. There would have been no subjectivity. There would have been nothing. And I just don't believe, ladies and gentlemen, that AI can come over and take over our industry. I believe agents will still be around for a very long time.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Although again, even with everything that's going on with the agents, I believe there's some nuance that will happen with agents. I believe their businesses will change over time. And so I don't think there's a black and white answer, except this is what I do believe to be black and white. AI will not 100% take over our space. Can AI be very instrumental in certain things? Yes.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
That is the black and white. Now, some further questions that went in, this is very cool to hear from the property management side is understanding and evaluating risk. That was very cool to hear is understanding how do you reduce your downside risk, whether you're buying rental properties, uh, whether you're buying fix and flips.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
And, um, we had a very large national property management company that was on there that has a, it's a basic tech company. As a matter of fact, the entire, um, thesis for this property management company is you can run property management via technology with very little to no human capital. And so I started listening to how they presented their ideas. And I found it to be very intriguing, right?
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
That all the underwriting for the tenants can be done through technology and AI and bots. I understood, you know, kind of all their points about making sure again, the downside risk of a bad tenant, how you can basically use all the screening and all of these different things, how you can find tenants through technology and, and then you can manage it through, uh, certain levels of technology.
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Will AI Take Over Real Estate? Here’s the Truth...
which depending upon where you're at in your journey of real estate, that could be something you're thinking about. Maybe it's not, but it is something that some of the big players, the hedge fund managers, the very, very large syndicators, some of the banks, they had intrigue on that question. And the reason being is because if some of these larger players
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
And then kind of the point I brought up as a landlord, uh, and I asked, this is a panelist that I basically asked him. Um, and it was great by the way. Um, I basically just said, Hey, when it's time for said tenant to leave,
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Will AI Take Over Real Estate? Here’s the Truth...
Is there going to be technology or a bot that's going to come in and give me a number of how much money I need to spend to repair or fix the home as they lived in it for 2, 3, 4, 5, 6, 7, 8, 9, 10 years? He said, well, no, that there's going to have to be a contractor involved that kind of gives you an estimate. And I said, OK, fair enough. And I only asked not to be rude or to, you know.
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Will AI Take Over Real Estate? Here’s the Truth...
I just asked because I just believe as much as we can systemize screening a tenant as much as in by the way again is the you know proper expectations you need to inspect what you expect at all times so I didn't want to you know pepper him but I would make an argument you know letting technology simply you know underwrite whether a tenant is worthy
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
know ladies and gentlemen i hate to say this but there's not the most scrupulous people out there doctoring some documents and you know pdf editors and all these other things that people can submit to technology and have no human component uh i don't believe that to be the best decision right um
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Will AI Take Over Real Estate? Here’s the Truth...
You know, I know that people out there doctoring documents and income and whatever the things are, they can go out there and there's enough, again, technology that you can make it look pretty seamless.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I mean, I just remember COVID and people were saying that they were taking their positive COVID test and just editing it on whatever I'm guessing PDF editor and turning it negative and submitting it. and then they would be able to travel or whatever the case. This isn't that hard to change things.
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Will AI Take Over Real Estate? Here’s the Truth...
So then we're talking about allowing a tenant to occupy one of my rentals, that all we did was allow technology to say, yes, they have the income, and yes, they have the credit. Is that really where we want this to go? And I'm going to argue no. This is, again... I didn't want to pepper in myself.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I just, you know, knowing what I know about finding tenants and filling tenants and having tenants and dealing with tenants, like, holy moly. Like if you are just going to let technology make those decisions, I believe on a pretty large percentage basis, you're going to come into not the tenant you wanted. Right. Um, Again, this is, and maybe I'm old school, guys.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Maybe you guys are listening to this and say, Justin, I totally disagree. I think this is going to be totally easy or, you know, it'll get to this place. I just believe you want great tenants who won't trash your home and will pay on time. Allowing tech to, you know, make that decision for you is, to me, pretty short-sighted. This goes back to inspect what you expect. If you expect technology...
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
to make that decision, then you still have to inspect it. Well, guess who's inspecting it? The people, right? We had a great, there was another panelist in the insurance space and he had some really good points on how impactful tech will be in insurance. That was probably the most enlightening thing for me that I thought was so cool was the insurance play and how AI and
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
The hedge funds, the banks, the syndicators, insurance companies had a really big intrigue on this question. Um, property management had a really big, uh, interest on this question because some of these larger players, and I'm talking about national property management, not mom and pop. I'm talking about national because they still rely so heavily on human capital. Okay.
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Will AI Take Over Real Estate? Here’s the Truth...
technology are going to play such a massive factor within how people under or how companies underwrite assets and how it could potentially get lower costs. Because I think we're all aware if you've been in real estate here for the last year and a half or two years, you understand what has happened to insurance. I mean, it's just insane.
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Will AI Take Over Real Estate? Here’s the Truth...
My own home insurance is insane, let alone all the rentals I have and things of that nature, which, you know, at the end of the day, it changes numbers, right? Insurance increasing changes the profitability. It changes. Is this asset going to be good? Is it not going to be good? And so I thought it was really interesting. quite interesting to hear the perspective on insurance.
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Will AI Take Over Real Estate? Here’s the Truth...
And again, because it's underwriting risk, essentially, it can take a whole lot of data points that are already within the internet and technology and within government, you know, the cities and counties information. And so I thought that was really important and it's all important, but I thought it was really interesting, I guess.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
But then as a whole, I think the entire panel and the point I was kind of making really resonated with most people is as a whole, humans will be still a very large part of this space. Someone brought up a great analogy like AI and technology is kind of like wine.
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Will AI Take Over Real Estate? Here’s the Truth...
not just in the sense that it's going to get better with time, but also there's different varietals, there's different flavors, there's different types of grape, there's different ways to make the wine in different seasons. And so there's a lot of, again, nuance to just the idea of AI within our space. It will never be a one size fits all.
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Will AI Take Over Real Estate? Here’s the Truth...
I believe we all agreed to it'll never be this one type of platform that's going to be a one size fits all. It serves everybody. Because again, what I brought up on the beginning of this, there's just so much nuance. Now, before, well, let me say it this way. I do believe you need to get smarter on AI. I do believe you need to understand it. I do believe there's a very big value in it.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
So I'm not sitting here shitting on AI is like a bad thing. I just believe that there are small components within real estate that AI can be very good at. it will not take over insurance. Well, insurance actually felt like it would be faster to take over, but it won't take over title. It won't take over realtors. It won't take over, um,
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
underwriting uh you know it won't take over the human component and so uh but it doesn't mean you should be ignoring ai most of my team uses ai on a daily basis uh i don't day to day because a lot of my frankly seat in my companies is a lot more of the people side meetings and zooms
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Will AI Take Over Real Estate? Here’s the Truth...
Um, but even that something like the firefly, uh, dot AI, you know, that component on zooms is very helpful in, you know, recording it, having it being a written version. So someone can review, you can throw that into chat GBT, you know, get a cliff note version of what went down for the, for the meeting.
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Will AI Take Over Real Estate? Here’s the Truth...
I mean, there's, there's just a lot that should be, um, adopted by many of you listening to this right now. but it doesn't mean this goes back to the thing I'll tell you all the time. It still takes you to do the work, right? I sat down with, uh, offer pads head contractor while I was at this conference and talking about construction.
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Will AI Take Over Real Estate? Here’s the Truth...
And I mean, obviously there's just no way, uh, that can get removed. There's just not, I know they're, they're building, um, printed homes now. I get it. Um, I just don't believe there will be a contractor. Like, who's going to do the inside? Who's going to do the electrical? It's just going to be needed, right? There's going to be people needed in the construction side.
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Will AI Take Over Real Estate? Here’s the Truth...
And I say that because one of the things him and I agreed on heavily is the people that are trying to systemize their business to completely remove their business and exit, so to speak, and just like allow all this automation to work and allow all these systems to work and then remove themselves.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
And so I actually was the first one that spoke up about this and I kind of went off. Um, and the reason why I went off is because I believe, and it's just an opinion. I believe there will be no way to fully automate the real estate space. Now, do I firmly believe AIs come and is gonna play an impact and impact the real estate place? Yes. It's just too big, too smart, moving too fast.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Those are the same people that are gonna find themselves either out of business or in a lot of financial pain. A lot, right? Because they didn't stay in the business long enough to find the results they were looking for. So adopt AI as far as you think you can.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Don't get overly, you know, I don't know, excited about it in the sense of what we do day to day and negotiating deals, comping deals, making offers. I don't believe it'll change our world there. Can it start to help a little bit with underwriting? Yes. But again, inspect what you expect. And, you know, it's going to be a fun journey with where tech's going. Scary journey, frankly.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I'm not the biggest tech guy, so it is a little bit scary to me to think about all this. I definitely don't want Terminator to be the end result or Terminator 2. to be the end result of this where you have, you know, technology and all this stuff. So anyways, take it for what it is, guys. AI is here to stay. It's not going anywhere. Learn the things that are going to be good for you.
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Will AI Take Over Real Estate? Here’s the Truth...
But at the end of the day, you still got to do the work. So if this was helpful, if this was interesting, you think two or more people need to hear this, please share this episode and we'll see you on the next episode of the science of flipping.
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Will AI Take Over Real Estate? Here’s the Truth...
It is gonna have a massive impact. I'm not ignorant to that. But still, my belief within the space is there's going to always have to be some human component inside each transaction. Right. We were talking about title companies was another one that had a massive interest in understanding is AI just going to take it over. And let me give you my perspective on this one thing.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I run a company called Rocketly.ai. Rocketly.ai. I built a company with my co-founder and you guys should check it out. If you are a small operator in the real estate space, I'm plugging it now. Rocketly.ai. It will help you massively if you're doing any level of marketing spend to your company, okay? Now, so I'm very familiar with AI, the impact of AI and where it can go. But I don't believe...
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
For the operators, and I'm talking about the people operating the insurance companies, the title companies, the real estate, you know, mom and pop, fix and flippers, and even the hedge fund companies, the people actually operating it, I don't believe they'll ever be able to be fully removed. The reason being, there's a lot of nuance within real estate.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I don't believe there'll ever be a one size fits all analysis AI component. This question led in directly, you know, the question regarding is AI going to take over the real estate space led in directly to, you know, is there a program or an AI that can just make analyzing properties faster and accurate? That one task alone, in my humble opinion, and listen, I'm not the smartest person out there.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I'm not the sharpest tool in the shed. I just have a lot of experience in real estate. I don't believe based on the nuance of real estate, right? A storage facility versus apartment, a four unit versus a five unit, a single family asset versus a duplex, a 400 door complex versus a 1200 door complex. There's so much nuance. And there's so many people on the money side, right?
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Will AI Take Over Real Estate? Here’s the Truth...
And the cool part about this event is there was three other speakers, so to speak, we had a panel that we really had a lot of time to answer different ways that we believe AI can really impact us. And so I want to give you guys a little insight on what went down on this panel and how we were able to show AI being so powerful in the real estate space.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
The people who invest, the companies that invest, the hedge funds that invest, that have different buy boxes. They have nuanced criteria that will fit their buy box. I just do not believe that there'll be any type of technology that is a one size fits all. Do I believe there could be 42 versions that might be implemented? That might be a possibility.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
But then my point to this entire scope of questions was you have to inspect what you expect. I'll say that again. You have to inspect what you expect. So if you expect this technology to be 100% accurate 100% of the time, the only way to know that is if you inspect it manually with people that it hit the target on a bullseye, right? And so...
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
It was a big talking point just about the component of analysis that I just really firmly believe there could be 42 or 4,000 different versions of some automated bot that is going to calculate the returns and do all this kind of stuff. And some of it is already out there. Do I believe this can take over? No. Right.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I just anyone that is going to be investing in the asset, anyone that's going to be putting the money out. And that includes hedge funds, small mom and pops, et cetera. They're not going to 100 percent rely on technology because technology itself can fail. Right. That is it's foolish to think that just because technology is 100 percent accurate.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
And so you need to inspect what you expect all the time. And that goes through all your business, etc. Now, the other component that I said really heavily makes me pretty firmly believe that AI cannot take over the real estate space is the human to human component on negotiations. Let's just make the argument.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
that there's enough AI out there that we do get to a place where all analysis is done via AI. Okay, well, now what? So you just send over an offer via technology, okay? And then who's receiving that offer? Is it technology? Well, then who owns the asset? Probably people, probably a company, probably a hedge fund.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
You think they're going to allow technology to say yes or no to whatever offer that comes through. And so again, the hand-to-hand negotiation component, and I believe this to be in all spaces, I believe always should be a person. I believe it should always remain in our hands because I believe negotiations and sales in general are
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
there needs to be empathy, there needs to be emotion, there needs to be some stuff that just a black and white technology bot, although sure, you can make an argument that all these voice AIs are just as good, I just don't believe that for a second. They're fine for what they are, but they aren't ever gonna replace us, right? That's my belief. This went into the conversation about title companies.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Title companies, you know, there's always been conversation around even not Bitcoin, but blockchain. Blockchain replacing title companies, replacing escrow officers. And all this stuff can now happen on the blockchain. So that's been happening for years. Now we have AI technology.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Now everyone's leaning into this idea that, you know, okay, well now we can remove escrow agents and title agents and all these different things. I got to be honest with you guys. I don't see that happening at all. Now, again, I'm not saying that there aren't going to be components of AI or even blockchain coming into the real estate space and playing a part.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
But this crowd in our room filled up fast. If you guys have ever been at these conferences, this was the IMN conference, not the Inman, but the IMN conference. There are some rooms that have eight people and then some rooms who have, you know, 100 people. Our room had 100 people. Everyone wanted to hear about AI.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
And I just, again, believe that the nuance of title, insurance, coverages, going and finding, you know, any liens, there's a lot of technology that can do this stuff. but is largely dependent upon human capital, human resources to get the job done and over the finish line. If you've ever done deals, you know that at the closing table, it can be frustrating.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Now, I know AI is kind of that key word right now, and it's the buzzword, and everyone's talking about AI and what platforms can do what. And trust me, everyone knows the major platforms. I get that. We didn't get too far into the major platforms like ChatGPT. Now, we did talk about prompt AI, right? Where you're prompting certain AI technology to do certain things. We talked about it.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Buyers don't show up, sellers don't show up, all sorts of different things, right? It's not just spitting out, you know, title insurance and a HUD, right? There's actual, this is why many states, uh, fiduciary states, there's closing lawyers, like quite literal lawyers. Right. Um, and so I just fully dismissed this idea of title.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Um, because I just think again, just like anything, there's not going to be A robot transacting the deal, just like sales, right? Just like negotiation. There's just not going to be. And by the way, I sit here today, the year's 2025, right? Like, okay, fine. In the year 2090, maybe.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Maybe this episode will be totally obsolete, but the reality is I believe in my lifetime, in the lifetime I'm going to be doing real estate, I don't believe it can fully take it over. And quite honestly, if it does, I think we have much bigger problems and I think our society is going to change so drastically.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
And I'm not trying to get my opinion too far on this episode, but I mean, I just think society in general would be in a way different place if all of a sudden AI and technology and blockchain just fully take over all this stuff. As many of you know, I'm constantly on the move, juggling multiple businesses, traveling, and ensuring I get my morning workouts in.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
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Will AI Take Over Real Estate? Here’s the Truth...
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Will AI Take Over Real Estate? Here’s the Truth...
Do you think you have some feelings, emotions in the idea of selling your home? Some pride of home ownership, some frustration of your home, whatever it may be. Do you think that plays into the role of how you would sell your home? And the answer is going to be, of course, right? And so it kind of just boils down to that basic concept of
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Think about your own home when you're thinking about can AI take this industry over? Is AI, we went all the way into property management, right? Is AI fully going to integrate into property management so that there's no human component? How?
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
When the two people that either own the home or live in the home are people and there's emotion and there's stuff that goes on, how is AI going to take this over? Right. And I do believe AI can play a part in some of these bigger companies like insurance. Right. So that they can underwrite a property a little bit quicker on the location and and, you know. stuff of that nature.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Is it close to water? Is it not close to water? Are there fire hydrants around? I'm very aware that there is going to be components AI can play within insurance, title companies, property management, even building these buy boxes. I'm aware of there's a component of it. I would dismiss the entire idea that it's going to be fully taken over. Now, I'm not the biggest tech person.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
But really... where we took the conversation was in a much larger scope, a much larger frame of the impact AI is going to have on real estate as a whole. One of the first questions the moderator asked us as the panel was, do we believe that AI is going to basically take over the space for real estate?
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
I'm not the biggest AI person. There are people listening to this right now. You guys are emphatically way further down the road on understanding and learning AI. You may be fully disagreeing with everything I'm saying. You may be thinking AI is coming over and taking over everything. Okay, that's fine. I just, maybe it's intuition. Maybe it's a gut feeling.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
Maybe it's just the concept of, again, owning your own personal home. The feelings you have about your personal home. If I were to sell and I'm not looking to sell, you know, I have emotion behind it. If I am met, my emotions met with a black and white cold machine, a bot, AI, whatever.
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
then i'm i'm gonna go cold and a lot of times then we're gonna have a standstill whether we're gonna get sold sell something because it does become black and white it doesn't become emotional i'll give you a short story real quick about how i bought my home it was a for sale by owner on zillow um very difficult neighborhood to get in there was nothing listed and i said oh wait a minute maybe there's people selling it for sale by owner not on the mls
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
so i found a beautiful home i live in i bought it right the reason i was able to buy it is because i reached out to the homeowner directly the there was it was currently an escrow the buyer and the buyer was kind of balking a little bit and wanted some things the seller was kind of like i don't really feel like doing this i built a very good relationship with the the seller the seller basically said justin if you are 100 in
The Science of Flipping
Will AI Take Over Real Estate? Here’s the Truth...
and you're willing to put a $40,000 earnest money deposit, then I'm going to draw a fine line in the sand with this buyer. I'm not going to be giving. He's asking for a lot. I'm not going to be giving. It is a yes or no on my side and he is going to either have to accept it or not. The buyer did not. The buyer wanted, I forgot what he wanted, but he wanted some things.
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Make sure all the job's done right, the earnest money is in, the assignment is in, the loan is done, whatever the case is done for the back end of it. But you wouldn't need more than five to get this done. I have a client, I do from time to time, I do one-on-one consulting, right? I take on one real estate investor, one business, and I help them build out their business, right?
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Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And I have a guy still to this day in Phoenix. It is just him and it is just an executive assistant. That is it to this very day. And he does well into the six figures a month. Well into it with two people. And I'll tell you, he does not work very hard. He is choosing to do the bigger, better deals. If it makes a small dollar amount, he doesn't care. He's only looking for the big winners, okay?
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Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And because of that, he doesn't need a lot of people because he doesn't need to do a lot of deals. He doesn't need to brag about, oh, I did, you know, 30 deals this month. He doesn't need to do that. He'd rather do one or two deals a month and make, you know, 50 grand per deal than do 20. And I can't blame him.
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As someone who's built out an operation myself, having construction management, having operational management, having TC management, having listings in property management. I mean, God, we have investor relationship management. I mean, I have a full-fledged business running. Some of you guys wonder why I'm bald. Constant deals, higher profits, a roadmap to financial freedom.
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Experience the Quality Skip difference. Visit QualitySkip.com now. But I would tell you guys... You got to make a decision what you want, because just to do the social media flex doesn't make a lot of sense. Just to be able to say you have this big business or this office or this amount of people. It's really no one really cares.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
say things that they think to be true, but that aren't true. And so starting out with this idea is bigger is better and more is better. Now, you talk to Grant Cardone and he's going to tell you bigger is better. Now, he's done something pretty spectacular. And many of you guys probably read books just like I do. And there's a great book out there by Dr. Hardy, 10X is better than 2X.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
You know, I tell a lot of people, people always ask me, when should I hire? When should I start hiring? And my first question, and I want you guys to hear this question. Are you putting 250 grand a year in your pocket? Not in the company, in your pocket. Are you actually doing that level of business? Because that's where I think you need to start.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
I don't think any of us as entrepreneurs go into entrepreneurship to make less than 250 grand a year. Right. But somewhere along the lines, people want more. They want to get bigger. They want to have employees. They want to do more. But more doesn't mean net profit either. Right.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
This is why I want to expose this kind of myth or, or, or people talking about how like grow bigger, you know, and all this other stuff. I have so many points to just basically point out that it's not always the case. And you know, one things, one of the things that people aren't always thinking about is their bottom line.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
You know, there's there's definitely been years, especially, you know, eight, nine, 10 years ago, we made a whole lot of money top line. We didn't make a whole lot of money bottom line. Right. I mean, it was very cool to talk about the millions we were making all over social media. It wasn't very cool to know that I probably could have made more being a manager at a Starbucks, right?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And so we start a business, we start being an entrepreneur so we can buy our time back. Well, the only way you can buy your time back is if you're making money, right? And that's the point. So if you're listening to this and this is maybe triggering you a little bit, then you got to really look at that. Because I talked to an individual just yesterday.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
He actually applied to work with me one-on-one. And this guy is doing really, really well. But he has a really small functional team, right? He's spending $100,000 a month and doing roughly $300,000 to $400,000 a month, give or take on the month. And that's a very high-functioning team. Now I'm not suggesting all of you guys go spend a hundred grand a month.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
But what I'm saying to that is he doesn't have some, you know, 18 person office. It's very functional, very, the best word I almost want to use is like, they're like snipers, right? Bigger is not better. The shotgun approach in this case isn't better. The rifle is. They know what they're looking for.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
They know the areas, they know the deals, they know the profit margin spreads and he's transactional and he fix and flips and he wholesales. And so I encourage you from this episode to audit what you're really wanting, right? I mean, you guys have heard me say this time and time again, right? The first law of success is you gotta decide what you want and then who you need to be to get it.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
You know that to be the first law. And then you gotta commit to that. And I guarantee all of you say, I want an office with 100 people and I'm making 100 grand a year. No one's saying that. That's not what you want. You wanna be rich. You don't want to be working as much. But the interim to get there is you do need to work a lot, right? But then you need to work smarter.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So I'm going to take a step back. I'm going to bring this conversation back to leads and conversion. You don't always need more leads. You need to convert more. And you're not even capturing the ones that are going to your website because you're not using a company like leaddetector.io.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And so the whole cycle of this bigger and more, all of it, like everything I'm saying at this point would tell you, and I know this to be true, in most cases, I mean most, it is not better. It is actually worse. You will be worse off.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
You will make less money because you will hire more people, you will have more costs, you'll have operational bloat, and you won't have the conversion of the leads at the pace you want, And you're not going to make as much money growing and going big. And by the way, this isn't even to mention about, you know, being able to increase profit per deal. We haven't even talked about that.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So I'm all in alignment with that. But I think from my own 18 years of experience, anytime I go way outside my realm, outside my expertise, without individuals around me in that expertise, I find that I always feel some pain, right? Sometimes it's just growing pain. Sometimes it's some bigger pain. But
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Now, this doesn't have anything about being bigger. But if you focused your time, energy, and attention not on Hiring and training and all that stuff, but actually increasing your margin of deal Right instead of averaging 10 grand average 25 grand You don't have to get bigger. You don't need more deals.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
You're making more more money per deal And that is just creating efficiencies and so, you know I want you guys to realize there's a lot of technology not that that's um unknown but there's a lot of great technology like lead detector.io like rocketly crm like uh rocket skip uh there's a lot of ai you know and you you combine that with an opportunity out there to have like ai data
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
which can get you the most highly motivated sellers out there. REI Lead Machine is another great resource. They have lists that have AI data working behind it and scrubbing 400 billion data points.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
400 billion and like almost half a trillion data points finding out who's the most highest likelihood homeowner to sell you start to combine all this technology and creating efficiencies bigger just ultimately will always point to not necessarily better in our space there are a few examples that you can say bigger is better for sure But my experience has been stay small and you can keep it all.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
The Grant Cardones of the world, they weren't inherent big real estate moguls, but they surrounded themselves with people who are. So my point to those that do want to scale a business, there's difference between growing a business and scaling a business. Most of you should focus on just starting and growing a business.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
But if you do want to be the next Grant Cardone or whatever and scale, then you need to make sure you have someone by your side. You need to have experts in the field. Grant is not the financial expert. He is not the real estate expert. He does a very good job surrounding himself with people who are. And he doesn't even have to train those people. So he will pay them handsomely.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So if you're going to do that, then you have to pay the people handsomely. Again, going back to operational bloat. If you are at that place financially, fine. My argument being is most of you probably aren't, okay? And so I'm not trying to be negative. I'm just trying to say, be smarter, right? Why don't you just go get rich, like real rich, and then you can go buy your own apartments, right?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And so I want you guys to focus on that first. And it comes down to operational efficiencies, heavily leveraging technology and AI in today's world. I still believe you guys need to have a human component of the sales. You need to be negotiating. You need to be underwriting. I don't suggest to leave up analysis to technology. I know there are people and companies that are trying to make that work.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
I don't like it. Um, I do believe you as the owner operator should be operating the business a whole lot longer than you think. I think there's a lot of opera. I know there's a lot of operators out there that just get a little worn out. They're tired of being a solopreneur and they start hiring out the acquisition role or they start hiring out the role of dispositions or whatever.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Those are the two roles that make you the most money specifically in the wholesaling space. Why are you going to use those two roles as the first place to hire? It doesn't make any sense. So you want to really think through some of these. Now, I have a great group. If you guys are newer, I'm not sure if you guys are newer yet. REILive.co. My joke is I couldn't afford the M. REILive.co.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And we have calls every day, two, three hours a day, Monday through Friday and Saturdays for the premium side. If you are new and you're trying to figure out how to get a deal, You don't need a coach to sell you on 5, 10, 15, 20, 25, $30,000 of coaching. You need someone who's willing to do the deals with you and get in the trenches with you. That is what REILive.co is. That is what it is about.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
I think there's a lot of people that want to get bigger and more and more deals and more money and more and more and more. And I don't fully subscribe to that. Now, I always want everyone here listening to me and watching me on YouTube and Instagram to push themselves. I always want to encourage to grow. I think it just needs to be framed in the right way, right?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Great community of like-minded, aspiring investors trying to break in and grow a real estate investing business. And I am right there by your side, holding your hand, shoulder to shoulder, doing it with you and sharing in the deal 50-50. So if that's something that you're on the newer side of this and that appeals to you, go check out REILive.co.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
If this was helpful and you think you know people that need to utilize some of these technologies, some of these services, the things I've mentioned as kind of a... Rewind or reminder, I guess, is the best way of saying it. I talked about LeadDetector.io, which is a great software that sits on a website and captures non-opt-in leads. LeadDetector.io.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Rocketly CRM that comes with AI nurture sequences. So if you're bringing in leads, you don't have to be the one responsible for... nurturing all the relationships, the AI can, so your conversion rate can go higher. You have, what else did we talk about? REI Lead Machine. REI Lead Machine, great list pulling and comping software that you can use to...
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
pull data that is the highest likelihood of a homeowner looking or interested in selling. REI Lead Machine has AI data built into it. And what else did we talk about? There's just incredible software out there right now. Rocket Sites, if you don't have a website, go to Rocket Sites. It's already pre-built for us investors. Make sure you go to Rocket Sites. And then lastly, if you're newer,
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
You're struggling. You've been out there. You've been trying. You just need someone to do it with you and you want to do a 50-50 deal split. Go to REILive.co. REILive.co. All right, y'all. If that helps and you think someone needs to hear some of this stuff, make sure you share this with at least two of your friends. We will see you on another episode of The Science of Flipping. And...
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Make sure all people know about the podcast. Also, as a reminder, there is a book I wrote. It has become a bestselling book, Flipping to Wealth. Flipping to Wealth is found on Amazon. It is out there for you guys. Please check it out. It will help greatly. It goes over my entire life story of the last 18 years in building this real estate business. So glad this helped.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Share it with two of your friends. We'll see you on the next episode. Peace.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
I want to talk specifically about like more deals, more leads, and I want to kind of frame it in a way that I think you guys are going to appreciate because whether it is a myth that bigger is better and more is more and better or not, I'm tired of people really kind of making that the narrative, right?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
What I do believe specific to the lead and deal flow side of what we do, mostly in the single family space. I'm talking mostly in the single family and then I'll circle back to some commercial and apartments. But there are services that can help you actually do more deals with what you already have.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So a lot of times we as wholesalers and fix and flippers and transactional investors, we need more leads to do more deals. We need more leads to do more deals. We always want to keep investing in marketing to do or to get more leads to do more deals to make more money, right? But I think there's some efficiency. So the first thing I'll tell you to write down right now
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
If you want to stop grinding and start growing, Joe Homebuyer is your competitive edge. Because that's where I think you need to start. I don't think any of us as entrepreneurs go into entrepreneurship to make less than 250 grand a year. But somewhere along the lines, people want more. They want to get bigger. They want to have employees. They want to do more.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
is I want you to look into leaddetector.io, leaddetector.io. If you are one of those investors that has a website, and you push any amount of traffic to the website. And by pushing traffic, I mean if you do pay-per-click Google advertising or Bing advertising, if you do Facebook ad advertising, if you do TV commercials, and or even if you do direct mail with your website on it.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
If you are driving traffic to your website, then leaddetector.io is a great service that will help you capture roughly 20 to 30% more leads than if you don't use lead detector. I'll give you an explanation about this. There's roughly an industry standard that we see roughly 1% to 2% of those that visit our website opt in to our form, give us information, want us to call, roughly 1% to 2%.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Well, so what happens with the rest of those people? Where do they go? What do they do? What happens to them? You know, I have a website. Literally, I run TV commercials to this website. It's called Justin Buys Bama, okay? We spend a lot of money every month doing TV commercials For the greater Birmingham area and Tuscaloosa area. And so on that website, I have lead detector.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
For those that do not give me their information out of the gate, the only reason they're going to that website is because they saw my commercial and they want to do something with their home. Or maybe it's a rental home. Maybe it's the home they live in, whatever. Why else would anyone go to Justin Buys Bama?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
I don't think there's a person ever on, in the United States of America, let alone the world who has Googled Justin buys Bama without seeing that TV commercial, or maybe even without someone telling him about it. So for me, I want to figure out if you've landed on my website, you have some level of interest.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
to be there because it is your classic website saying we buy now, we buy fast, you know, we buy cash, no appraisals, no fees, no, you know, classic real estate investor website. So we are getting roughly 20 to 30% of those people that just visit our website. We are getting them dropped into our CRM with their contact information because of leaddetector.io.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Not only can I get their contact information, I can actually enrich the data and I can actually pay for their credit score. I can pay for the credit utilization. I can pay for the credit availability. I have access to be able to understand who is this potential client? What is the scenario?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And then from there, I can keep my sales team focused on the people that we believe to likely have the most financial pain. And when you can harness who your sales people should be focusing on, you ultimately are going to win the bigger war, not maybe just the battle, but the war because your sales people will convert more. So this goes back to the more is better, bigger is better.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
But more doesn't mean net profit either. This is why I want to expose this kind of myth or people talking about how like grow bigger, you know, and all this other stuff. I have so many points to just basically point out that It's not always the case. What is up? What is up science of flipping fam? We are going with a solo dolo hardcore tactical real estate advice from yours truly.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
In this specific example, I do not always agree that you need to spend more on Google, spend more on Facebook, spend more money on TV. You need to have tools like leaddetector.io sitting on your website so that when people visit your website, they can actually be captured.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And not only that, spend a couple extra cents on enriching the data so we know who would perceived to be the most financially needing, if that's the right way of saying it, person, right? Who's in the most pain financially, right? If your sales team or you can focus on those people, you have a much higher chance of conversion. On top of which, you're getting more leads anyways.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So even if you're not the best salesperson, if you do not have to pay more for these leads, you are just simply going to convert more deals out of a lot of averages. The more homeowners you talk to, the more chances you have to get a deal. And you're not spending another $250 per lead on Google. businesses traveling and ensuring I get my morning workouts in.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So when it comes down to the idea of a bigger marketing budget, depending upon your specific scenario, who you are, how much experience, how big is your team, you know, whatever, I highly encourage individuals who are doing any type of online marketing, not to necessarily spend more money, but to take a service like leaddetector.io and put it on their website.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Now, for some of you, you might not have a website. So there's a great website would be rocket sites, rocket sites. They're affordable. They are very specific to what we do as real estate investors. They're there for you. They have the right message prebuilt. You don't have to do anything. You put lead detector on that rocket site and you have a killer combination.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Now let's go back to talking about conversion. The conversion of these leads is typically what people underestimate the value of. And some don't. But a lot of people just want to keep spending more, right? They want to get up to $40,000 or $50,000 a month marketing spend. But if I were to audit their CRM, I would almost guarantee you I'd find leakage in conversion ratio.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
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The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
And this is why I would tell you more is not always better because any good sales rep right in our space, they're really converting one out of every 20 leads at worst, some really good one out of 10, but they can't hold more than I would say 70 to 80 leads at any time.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
So if you look at your operation and you might be out there listening and watching this that you are the only part of your operation, you are the operation, you might realize I have too many leads, right? I'm not even being efficient in what I'm doing here and I need to focus on conversion. So then you say, well, how am I going to follow up with, I'm going to make up a number here.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
How am I going to follow up with 500 leads in my CRM? Knowing that you are the only person working those leads. Well, that's where the cool technologies of today have come in, right? So like Rocketly CRM has automation within it that nurtures the sequencing of communication with those individuals. Now, typically that nurture can come through email, texting, or you could physically call, right?
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Now, we don't do any outbound within Rocketly CRM. That's, you know, obviously all those laws have hit pretty hard. But if you need some sort of nurture sequence, leveraging AI is the way to go. Again, this is why I'm not totally in belief of more is always needed.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
If you use AI for the use case and is there and built in a way that's communicating with the seller to rehash the conversation or bring them back to the table, then you don't need more leads. You need the AI to work so you don't have to. Now, this also goes to this idea and myth I want to break of bigger is better with your operation.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Given the state of technology these days, I just, I don't believe that much anymore. And I'm not saying some operations shouldn't be large, but if you want to be making $100,000 a month, you don't need more than five people in your business. five people right now. Again, I'm talking to the transactional real estate investor here. I am not talking to the apartment owner.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
I'm talking to the transactional real estate investor. If you have one or two acquisition people, you have one or two disposition people and yourself, you should be able to run A full fledged a hundred thousand dollars a month transactional business between wholesaling and fix and flipping for sure. I would even make the argument.
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
Now I want to dive in to some tactical myths, the myths that I think need to be broken here in the real estate investing space, as well as I want to talk to like lead and conversions, right? And so there's a lot of myths that I think that are out there that fly around from people that probably have never really built a big business and probably are just solopreneurs and
The Science of Flipping
Why Bigger Isn’t Better — How to Scale Smarter, Convert More, and Keep More Profit
If you do it the right way, you could take those acquisition people and turn them, not turn them into, but they, part of their job is transactional coordinating. They got to make sure all the paperwork is done, right? All the paperwork is submitted to the cell, uh, the title companies or closing lawyers. And then I'd also make the disposition people be transactional coordinators as well.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And what you do starts to become your brand. And your brand will start to take shape. And if you can create a good enough brand, you will start to gain influence. And influence is given to you because people will start to ask questions. Hey, how did you find that deal? Hey, how did you raise the money?
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Many of you guys just saw I posted about going number one, number one bestseller on Amazon. Like every day I'm posting about something. Again, whether it's lifestyle, whether it's motivational, whether it's philosophical, whether it is real estate based, I am posting. And again, when I go out and go for an ask, when I ask people for something such as, please buy my book and write me a review.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I get a resounding yes, absolutely no problem. People are sending me screenshots, just bought a book. I got a buddy who's like, I just bought 25 to give out to my organization. And it's because I just give so much value and they know my brand. And the brand awareness allows me to have these opportunities.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And then when I do want something or need something, then when I ask, I almost 100% of the time get what I need or want. And so the tactical part of this is to make sure you are on social media and promoting yourself. The other part would be is in person. Are you networking? And when you are networking, are you the person stuck in the corner, not doing anything?
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Or are you actually introducing yourself, letting people know what you do, who you are and what you're looking for? I'll say that again. What do you do? Who are you? And what are you looking for? And then the last part of that conversation is you need to understand what they're looking for because everyone in conversations are always thinking what's in it for me.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
So if you know that to be true, then listen to what they say about who they are, what they do and what they're looking for. Because if you can start to provide value, then your brand grows. Providing value is how you can grow a brand very, very quick.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Now, people talk about marketing versus branding, et cetera, but the brand is gonna be what provides the opportunities for you further on down the road. Now, we've already discussed that there's no quick money with the brand, but you can create longevity. You can create a legacy with a brand, right? And so the tactical here is just as important as anything else. I promise you that.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And so while I'm super fired up about this book and it's number one status on Amazon, and if you don't have it, please go to Amazon, Flipping to Wealth. Just look it up. Buy the Kindle version, paperback or hardcover. Read it. The Kindle version actually even allows you to listen to it, by the way, and give it a review.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
But what really fires me up is I can now put on my brand that I'm a number one bestselling author. That is very cool. And that alone will open up more opportunities. Going into 2025, you need to be focused on credibility, influence, and authority as an entrepreneur. And the brand of that is gonna be you, not your company, it is gonna be you. I have a company called The Science of Flipping.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
really started it all for me. It started the credibility, it started the authority, and it started the influence. And so really what I want you guys to know on this episode is to go get my book. Go to Amazon and get my book, Flipping to Wealth. But, I mean, I'm being serious, you should.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I have a book called Flipping of Wealth. But what the brand is, is Justin. Justin has done all that, right? And if you could really adhere to this episode and rewind it and think this through and write out a vision of how you're going to create credibility, influence, and authority going into 2025, you will get more opportunity than you have with no brand.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I appreciate all of my love and supporters out there. Thank you all for being so loyal to the science of flipping. This episode is going to be amazing. This podcast has hit the number one status in real estate investing and surpassed Dave Ramsey. Guys, it's all because of you. And you guys are following and you guys are sharing these episodes because I deliver, which creates credibility.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
So you can see how this circle comes full circle. And so, again, share this episode. Share my book. Get my book. I appreciate you guys. And by the way, let me bring up this one point. It's easy for me to now ask for something from you. Like, hey, please go buy my book. Hey, please go write a review. Because I deliver for you each and every week on these episodes.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
So as I deliver, I build up goodwill and credibility with you. So when I do ask you for a favor, when I ask you for something like, please go buy my book and write a review, it's received a lot better. And that comes from the ability for me to deliver goodwill, which creates credibility, influence, and authority. So I appreciate you guys. Again, share this episode. Share my book. Buy my book.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Love you guys. And I'll see you guys on the next episode. Science of Flipping. Peace.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
If you're really interested in wholesaling, flipping, and then accumulating rentals, this is the book you need to be reading. So all jokes aside, I'm actually being serious. You should go pick it up. It is on Amazon, on Kindle, paperback, and hardcover.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And if you're a real estate enthusiast, if you're interested in real estate, you want to start building wealth, you want to start making money, then this book is going to be for you. It's my entire 17-year career in a book. It shows you exactly how I can find deals, how I analyze deals.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
how i raise money how i never use my own capital for rentals etc the book is phenomenal i highly encourage you guys to go pick it up at amazon if you just look up my name justin colby and flipping to wealth it'll be right there get the kindle version get the paperback version get the hardcover whatever you'd like and make sure to write me a review very very important write me a review now
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
The episode really is, yes, about the book, but really about what the book, the story behind the book. Why does this book matter? Why did I write the book? What does it help me do moving forward? I'm not going to go get rich off book sales, right? I mean, I don't care if 100 of you buy the book. It doesn't change my financial future. 1,000 people buy the book.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Hey, when you start to get those questions from other people, you know you've created influence in the market space. And then ultimately, the credibility comes by doing what you say you're going to do. Yo, yo, welcome to the Science of Flipping podcast, everybody. I am so fired up today. You can probably hear it in my tone and my energy.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
It doesn't change my financial future. I'm not getting rich off book sales. I'm not trying to make it a revenue stream. But what it does for me and what I want you to think about in this episode is how are you... creating credibility, influence, and authority. How are you doing the same thing that I have now done for about 12 years?
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
How are you going to go into 2025 thinking about that, doing that, acting on that, right? Now, a lot of people will say, well, Justin, I don't want to write a book or I don't want to start a podcast. That's all fine. But even if you want to get started in real estate, even if you want to buy more flips, even if you want to buy more rentals,
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Life is a whole lot easier now that I have built out and built up my credibility, my influence and authority in not just the real estate community, but in business and entrepreneurship as well. It makes life a whole lot easier. The things that I'm looking to do, a great example is this book. I wrote this book with the intentions of continuing to build the brand of Justin Colby.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And the brand of Justin Colby is a brand that has been in real estate for 17 years going on 18 years. Has done thousands of transactions. And I wanted to continue that brand moving into 2025. So for me, my answer was writing this book. And part of that is I was hell-bent on getting it to become a best-selling book so I can become a best-selling author.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
So the brand of Justin Colby becomes not just real estate investor, not just coach, but now nationally recognized speaker and best-selling author and number one ranked podcast host on two separate different podcasts. Now I have credibility, influence, and authority in the podcasting world, in real estate, in business, in being an author, in being a speaker, and in being an entrepreneur.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
That brand of Justin Colby is now growing with my intentional efforts to grow the brand. Now, as I said, not all of you are necessarily like, Justin, I want to go start a podcast or a book. Not all of you want to start a coaching program. Not all of you want exactly what I want, but you should want this. You should want to be viewed as an authority. You should want credibility.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
You should want to have influence on your peers. If you're in business at all, whether it be in the real estate sector or otherwise, having that CIA, I call it, credibility, influence, and authority, CIA, is going to be able to help you move your needle. Now, the downside of this, just speaking frankly, the downside is building a brand takes time.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
The downside is building a brand does not immediately lead to making a whole lot of money. The downside is building a brand does not immediately lead to building a whole lot of wealth. And another fact of the downside is when you become a brand, a notable brand, When you have the influence in the market space, people start looking for you. They start head hunting, right?
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
They want to just go, there's a lot of negativity out there. There's a lot of people who are just negative and just want to find reasons to not like people. So you will need to have some level of thick skin if you build a brand big enough. But if you are looking to buy your first flip, wholesale your first deal or buy your first rental, starting to create the brand will help you find those deals.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I just got confirmed and notified from my team, from my marketing team, that my brand new book, Flipping to Wealth, out on Amazon now has just hit number one status worldwide. best-selling book, number one seller on Amazon in three different categories. And the most is in real estate. And so I could not be more proud. I could not be more happy.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
It'll help you navigate those deals. How and why, Justin? Well, if realtors know who you are, know what you're looking for, and like you, then it's going to be easier for realtors to send you deals. If other investors know who you are, know what you're looking for, it'll be easier for other investors and wholesalers to send you deals.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
If contractors know who you are and what you do and the projects you do, it's easier to find contractors. You get my point. Life becomes easier. Things become easier. Business becomes easier. And by the way, the real reason you want to build a true brand is opportunity. Opportunities start flooding your way. Now, in my position, where I'm at at this point, my bigger challenge is actually
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
saying no, not saying yes to every opportunity that comes to me, because I get a lot of good opportunities, and it's hard for me to say no. And so I gotta be able to flex that muscle a little bit more. But the opportunities that can come to you, talk about raising capital for fix and flips, talk about raising capital for your buy and holds, talk about never needing your own money to build wealth,
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Well, the reason why that becomes easier and easier is because if you have a credibility in the market space, if you have influence in the market space and you can be viewed as an authority, do you think people will inherently trust you more than if you are a no-name nobody that no one's ever heard of? I want you to really think about that.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Do you think it would be easier for me to go raise capital or for you? Think about the question I'm asking. The brand of Justin Colby, the podcast, the speaking, the books, the coaching, everything I've done over the last 17 years, do you believe it'd be easier for me? And the answer's gonna be yes. Now, what I don't want that to be is an excuse because you guys can all do this.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
You guys can all build credibility, influence, and authority. And it can be as simple as starting to post on social media each and every day of what you do. Literally, if you're comping properties, film yourself comping properties. Not a selfie, but film the computer. Let your brand... Start to be a real estate investor. Now, you don't need to post a video or a picture of a rehab you're doing.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
That doesn't have to be. It could be as simple as each and every day you working on your craft. And each and every day you posting about you working on your craft. And if you do that, you will inherently, or organically is a better word, organically start to show people what you do. And what you do starts to become your brand. And your brand will start to take shape.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And if you can create a good enough brand, you will start to gain influence. And influence is given to you because people will start to ask questions. Hey, how did you find that deal? Hey, how did you raise the money? Hey, when you start to get those questions from other people, you know you've created an influence in the market space.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And then ultimately the credibility comes by doing what you say you're going to do and deliver. The credibility becomes you actually delivering on what you set out to do and what you share with everybody every day. The credibility says, oh, he does what he says he's going to do. He's credible, right? He delivers or she delivers. Now let's talk about the big elephant in the room.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Here's what I know to be true for most of you. The reason you don't go out there and post about what you're doing or let people know that you're walking a house or you're getting into real estate or you're excited about this new venture or you're analyzing deals, whatever the things I would tell you to be posting about to help your brand to start to grow. The reason you don't do it is simple.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Fear. Fear of judgment. Fear of ridicule. and fear of people snickering behind your back. Let me break the terrible news to you is they're already doing it. They're already making fun of you behind your back. They're already snickering about you. So who cares? And I want to really emphasize this because at the end of the day, your life is up to you to go create, not them.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I could not be more grateful for all of you, my loyal listeners, my loyal followers, my friends, my family, the people that have been with me and by my side. Now, this podcast started almost 12 years ago, going into 2025, and it started the branding of the science of flipping.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
They don't pay your bills. So for some of you, you guys might want to get going in real estate. Now my book's called Flipping to Wealth. So it is easiest to wholesale or maybe fix and flip versus accumulating a lot of rentals. So you might want to create more income. More income pays more bills and creates a better lifestyle. They don't pay your bills.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
So all the snickering, making fun of, you know, jokes behind it, they're already doing it. Get over it. My friends and family have done it for years. I do not care because they don't pay my bills. So if we can get you to get the confidence to start creating a brand for yourself, primarily through social media, I need you to be posting each and every day.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
The big elephant is the reason you aren't doing that, the reason you aren't intentionally trying to create an image and create certainty, create credibility, create influence and authority, in large part has a lot to do with fear. So remove that fear so you can go make more money. Now, the second part is you may not even know where to start. And so I have a whole brand management posting schedule.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And there's basically five different posts that you want to make throughout the week. And those posts can actually create this brand that we are now talking about. Now, one of those posts would be like a real life post, like what you're actively doing. So this would be you just sharing your screen and showing that you're analyzing properties.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Maybe you take a selfie video walking through a dumpster firehouse. Maybe you're analyzing a rehab bid and you video it or take a photo of it. Maybe you take a photo of a... property someone's trying to wholesale that you think is overpriced and you post about those things. Those are real life posts. So now that's creating this brand of who you are and what you're doing, which is real estate.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Now there's other lifestyle posts. You're out to dinner with your wife or your husband. You're taking the kids to the movies. You're doing whatever the things are. They don't need to be crazy, you know, flexing. I'm on a yacht in Miami. It doesn't have to be that. It can quite literally be a lifestyle post.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
Then you can have a philosophical post or a mentality post or a motivational post of like, how do you think, right? Or something, a grateful post, right? These are types of posts that I post each and every week. In fact, some of my inner circle people, I give them this schedule so they don't have to think about what they post. They just do it. Now, let me give you a warning.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I warn you not to be like my dad. If you've been following me at all and listening to my podcast and watching them on YouTube, etc., then I've talked about this a lot. But the moral of the story is he is in sales and he has not adopted social media. And for years, I mean decades, he has barely made it. At times had to borrow money from me.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And I've always laid into him about getting on board with social media. And his whole point to me is that, oh, I don't care about what people eat and their cats and blah, blah, blah. So the warning I'm giving you is this. Social media is real. It's here to stay and is way more powerful than most people give it credit for. Now, many of you might be like, yeah, Justin, I'm all over social media.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
It started the branding of Justin Colby, and now has gotten to a place where my books hit number one status on Amazon, and I'm asked to speak on stages that have thousands of people in the crowd, and And it's created something so special. And so this podcast is very special. It's very near and dear to my heart. And the reason being is this podcast, The Science of Flipping Podcasts,
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
I have TikTok, Facebook, Instagram, X, all the, great. They're not talking to you. But for the handful of the people that are, Oh, well, Justin, I don't want to. And stop it. Stop. This is not just a fad anymore. We're not back in my space. This is very real. People like Elon Musk pay $44 billion for a social media platform. It's insanity. And so I bring that up for you to realize.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
And by the way, I could have misquoted the $44 billion, but I think that's what he paid for X, Twitter, Twitter. Um, maybe not, but maybe anyways, I say this all just to say, you got to get on board with creating a brand and the fastest way to get on board with creating a brand is going to be through posting on social media. Right. And so you got to do two separate things here.
The Science of Flipping
Flipping to Wealth: Building Your Credibility, Influence, and Authority
You got to remove your fear. And how you do that is realize, so what? They're already making fun of you. They're already snickering about it. Who cares? They don't pay my bills. I'm going to go make more money. I need a better lifestyle. I deserve more. And then the other part is get on board with daily posts about what you're doing.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah. Well, and because I think we're all going to the same place, which is. You being able to create equity in your home is going to be a really good asset for you. I say it one way, and I'm curious to hear your perspective, but I do want to use your term and have people dive into it, right, is to be able to.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
reduce your debt right i really believe people need to understand how to i've been talking a lot about something which might play into this okay i've been talking about there's four reasons why real estate is the only in the best it is the only play anyone who really gives a shit about making real money and creating real wealth and here's why it can create you a seven year seven figure year income true income active income you can absolutely create a seven figure year income
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
it can create a, you know, DECA seven-figure wealth accumulation.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
It can allow you to keep more because you don't have to pay the IRS anymore.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And the fourth is what I really believe because I've been around long enough and so have you. It's a downside risk vehicle.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And what I mean by that is if you do this right, And you actually buy these homes to have or apartments or whatever. Right. When going gets tough, we all know it gets tough. You have assets and those assets can save your ass with the equity you have in them.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
It could be pulled out as income in case you lose your job and you have no income, by the way, tax free. It could be used to lean against other debtors, right? You can go to a bank and ask for a bigger lien and they'll lien your equity.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
It could be used for private liens where you say, hey, buddy, I need 50 grand. I'll get it back to you in 30 days. But just because I want to make you feel safe, I'll lien. Yeah. It is a downside risk net that I don't think enough people talk about the value of real estate in this way.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And I'm really trying to bring this to light to say, hey, if you want to grow, most businesses need points of leverage. If you are going through a hard time, these are applicable opportunities. that you can quite literally say, great, you lost your job. Well, you have 10 rentals. You have $400,000 in these rentals. A bank will lend you $125,000, $150,000 against your equity. And it's tax-free.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Restart. Borrow the money. The rents are going to coverage the extra debt. Borrow the money. Put yourself on solid ground. Don't start living on credit cards. Don't start putting yourself into more debt. Put yourself on solid ground and reframe, rebuild your life. And I don't mean to take the episode, but... It leans into what you're talking about and why I'm such a big believer.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Like, just get going in real estate.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
We go, all right, whatever. I'm just going to cut the check. No negotiating. By the way, Pete, the people that pay taxes outright, my accountant agrees with me, but I think they're nuts. I've owed in my history of being an entrepreneur, a lot of money to the IRS. I no longer do that. You can get out of it. Because of ass outs, right? And it's legal.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And it's literally, I'm just playing by the rules. It's a game. My previous guest taught, I'm playing by the rules. But I say that because even if you have a tax debt, Negotiate it. They will take payments.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Why would you ever just cut a check? Well, there's an interest rate associated with their payment program. Yeah, but who cares? Why do you want to cut a $100,000 check, for example?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And if you buy another rental with that $100,000 and the rental has a bigger payday to create a difference between the 1% they're charging you, guys, again, I don't want to take the episode. I don't want you to talk about it, but I'm just like... There's just so many upsides to this.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
The downside risk I'm going to really now that I'm talking about again, even with you and your levels smarter than I am. Right. Yeah. I just people need to know that like there's going to be hard times. You talked about Trump's going to create some hard times for people. Oh, there's going to be some all of us. Right.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Well, we're going to have to make decisions like, damn, I didn't see us having to make that decision. When you have assets, it helps that downside.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Right. I mean, they may not start that way.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Let's go into your subject. It is brilliant. You are an expert at it. I've seen you speak on stage and keynote over it. Sure. Let's talk about it.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Inflation-induced debt destruction.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Dive into that for me.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
25% of the country? Who own homes. 25% of homeowners.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's insane.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
No doubt.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I have a 4% mortgage on my home.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I want to buy a new house. I literally tell my, and my wife is more of the, she's like, let's go get this new. And I'm like, yeah, but honey, my interest rate is going to be six and a half now.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And so now, you know, obviously me, I start thinking Airbnb, you know, I have other creative, but most people don't.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I know it's a one-off question. How far down do you think? I have my gut saying we're going to land somewhere mid-fours. It's probably the lowest it'll ever go.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, you think higher.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I mean, we don't have enough runway yet, unfortunately, for people. It's unfortunate in my world because you still just have so many sellers unrealistic and they don't get the real life situation that buyers are in.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
That they don't have cheap loans anymore.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So let's keep going on. This is so unique and it's a unique perspective to look at debt now as an asset, not a liability.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
1972.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Because inflation. Because inflation. So their income went up.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Because debt is a stuck number. When you go acquire that debt at today's rate. Yep. and inflation hits for 12 straight years, this debt is not more expensive. It's cheaper because the value of that debt has just gone down by 60%.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So inflation... Now, just to lean into this a little bit, For those, Jason and I type this stuff at our masterminds, like we're a part of all these masterminds, so it's a little bit more common.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
For those that might need a setback, because I think if I were to just have heard this right now, I'd be like, yeah, but how the fuck does that, if someone's still cutting the $100 check, it's still a $100 check, but most likely in that 12-year span. Yeah. Their income has also increased because of evolution because everything around them is more expensive.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So they need to go make more money to afford life. But this is stuck in a time warp that it doesn't move.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I agree 100%. There's too many Dave Ramsey haters. I don't love him for us. No.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I love this perspective.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
No doubt. I know that. Raise the lyric.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Ouch.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Oh, true.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's right.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Over the 30 years?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
On average?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Based around the value of the home 30 years later?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I also think there's a lot of – and by the way, I think I pay little to no attention to politics. My grandfather would blame me for that and say, you got to be educated on it. And in my world, it also is a stress reliever. I'm not all caught up in it. It's not something that, you know, fills my day to day life. And so for me, it's easier this way. Right. But I'm aware enough. Right.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Inflation being what? What would you average? What's your average nationally for appreciation?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Okay, so I target even a little less. I target like a 5. Yeah. Some people are like, how much is he going to appreciate? I say, dude, just use 5% a year.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I want you to say what you just did in a shorter amount of time because people need to rehear that whole picture.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And let's just do it in a much shorter amount of time to make it clear because it is so brilliant. Yeah. So go again.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And you don't feel like it's free in the middle of it. No. Maybe not even the first 10 years is where you feel for sure it's not free. Yeah. But mathematically speaking. It's free.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
By a spreadsheet. Yeah. You are getting paid if you attribute everything Jason Hartman, follow Jason Hartman right now. everything you just said, you put that into a spreadsheet and you will statistically, mathematically prove that is the genius of real estate.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
It's multidimensional. Right.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And my challenge and your challenge, I'm sure, and we could scream this from the mountaintops, is because if you don't think as an investor... That's where you're not even taking the full advantage of this whole cycle.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
It's very hard not to be aware of some things. I think there's a lot of people out there that literally think he's going to come in here and interest rates are going to fall down to three and a half percent.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So if you buy your home and you just say, Jason told me I'm going to get paid to own it, so I'm going to own it for 30 years and do nothing else. Yeah. Okay, good for you. Fine.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
But if you can think like Jason, if you can think like me and think about the value of other assets and what you can do with those other assets.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And it's incredible. And people don't think, and we don't have time to go on tangents about your retirement plan and why you would even have one, let the money sit there because you can go get assets that pay you plus the inflation concept of the debt destruction. It is just everything, Jason.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I get that people have become decamillionaires on Bitcoin or more, right, on crypto. I get that.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
It still won't have the four or five things we just talked about.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
You don't have a downside risk net. You don't have the opportunity to leverage. Well, I guess you do have some leverage against it. Like you just, it just doesn't do what real estate can do.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, I agree. And tell me why not? Like, I have my perspective, but what would happen or why won't it happen? Why won't he just force it to happen? Because people want this, right? They want inflation to go down. They want interest rates to be three and a half percent. Why would that not make sense for us right now?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
We could do this and go 20 different angles. What I want you to do is start following Jason right now. Where do you want them to find you? I know you have your own podcast. They need to be listening to that. Let everyone know where to go follow you.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So very cool. That's where you can find me. Well, I appreciate the invite. And guys, make sure you follow him. Listen to his podcast. This guy is a wealth of knowledge, as you guys can all tell. So thank you for coming. If this episode helped you in any way or just made your mind think a little bit deeper about real estate, make sure you share this with two of your friends.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
We'll see you on the next episode with another guest.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And he doesn't have to. Yeah, he doesn't have to. It's not a government body.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah. What is up? These signs are flipping. This one is going to be a good one. If you want to know what is in store for the market, because Trump's here. If you want to be able to see around the corner, if you want to listen to someone who's done well over 10,000 deals in his career, we have economist Jason Hartman here. What is up, dude?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So here's a naive question. If the Fed doesn't create the interest rates for home loans and mortgages, who does? Well, the Fed indirectly does, but it's... Then who directly does?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's important.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
You know, people and again, everybody essentially who weren't super in the know and did a deep dive like we did. They didn't realize that the only reason a dollar has value is because the government says it has value.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
And other people, because we say it has value, they perceive the value. And then there's exchange and things of that nature.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, it's interesting. I've never really thought about that. And I talk a lot about branding and I never really thought about that, but absolutely. So how does this play into, you've done north of 10,000 deals. I thought I did a lot. I pale in comparison.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's fine. I mean, the fact is you have that level of experience and business acumen. How does this play and what do we see a forecast? Let's just say a four year forecast, right? What do we, and I have my own opinion, I've vocalized it here on the episodes. What do you see kind of going over the four years, the first year, second year, third year, four years of Trump?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So I'm going to come straight at what I think everyone's going to want to understand or your thoughts on it at least. Trump's in office. Everyone thinks he is our savior. Everyone thinks there's a lightning bolt that will come down. The economy is going to be saved. We're all going to be rich and we're going to print money. Let's hear your perspective of reality.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
That is such a small number.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah. I was going to say three and a half million.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah. Apples to apples.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So yeah, that's- Well, and so I think the thing you hit on, and by the way, I definitely want to talk about inflation and how that's going to change- Sure. How that really increases values of real estate, because that's actually part of your expertise and why I'm so excited about this episode, right?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
You call this something, by the way, right?
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
When you first said it, I get it. I don't know if I can say it, but I get it. Inflation-induced house. Debt destruction. Debt destruction. Okay. So first of all, I do want everyone to destroy debt.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So let's talk about this because I think it's really brilliant. I've heard you speak from stage on it. I'm excited to have you here and share with it. Give me the concept.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
I mean, there's a massive housing shortage. Well, that's why when you said 750,000, I was like, we should be at like 3%. Yeah. We're at a half a percent, right? And so it's just like, I'm like, we should have three, you know, three and a half million units.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
So, you know, we agree. And it's just in what you're about to talk about. Unfortunately, there's no saving this right now. I don't I don't see any next five to 10 years. Some big amount of construction happening. We're only producing more people. We're only getting older. Everyone's needing housing. They need a place to rent. They need a place to buy. Yeah. I don't see construction.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
COVID to me was the impetus of this harm, right? I think we weren't in a great place to start and COVID crushed it.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
There's no builders out there that can build that volume. In fact, some of the builders now have changed their entire model, build to rent, right? Which yes, people will rent them, but there's not going to be this, in my opinion, you know infinitely more because you study it hard, but... We don't have a savior in the next five to 10 years of this infinite market.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
You know, there's not going to come to market, you know, 10 million homes. Yeah. Right. So it's just not going to happen, which means what? You're going to have higher prices for the next five to 10 years.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
In fact, it's actually in real estate specifically the exact opposite.
The Science of Flipping
[REPOST] Trump, Inflation, and the Future of Real Estate | Jason Hartman
OK, well, it could be mass produced.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Like, are you going to put forth the effort, right? Because if you are going to hold a job and start your business and be a real estate investor, what are you sacrificing? I mean, give some examples of the things you were sacrificing doing all this. I mean, weekends, toast, morning, night. I mean.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And to some extent, I know you have, right? Yeah. And we don't have to go into everything you're doing right now, but, you know, being a lender and all this other stuff. But I think this is not for everybody. And what I'm about to say is not for everybody, but it is also for everyone. This is why the first principle of success is that decide what you want.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Because Anthony Cota could have could have effectively kept his job and done a couple deals a year. Probably not much more. Right. I mean, you were pretty time restricted, but you might have made an extra 20, 50, maybe 100 grand a year. Which would have been nice, but wouldn't have been fulfilling. Yep. Am I correct by saying that? Right?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Like, sure, normally, but I'm still working 90 hours at the dealership and I'm still missing weddings. And does that make sense? Yeah. And so the advice that I think everyone should hear, but also you need to make your own decision is you need to very quickly get to the point of... Excuse me. What do I want? And be clear on it.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And I'm not just talking about like, you know, what's my why type thing. I'm talking about like, what is the vision of what you're trying to do for the rest of your life? And if it's not congruent with the work you're currently doing, the time you're currently spending, then you need to rewire pretty quickly.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah, about two years. About two years at the Science of Flipping Coaching, but also has joined the newest coaching, which is REILive.co. So check that out. It's only $200 a month at REILive.co, five days a week. So much so that he is actually one of the leaders in the group that helps other people get the deals done. But I want people to hear your story and not just the story at 30,000 foot.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Again, I'm not telling you to quit your job, but the sooner the better if that's not congruent. For some of us men, it is the providing mentality. I need to keep my job. I need to provide. I get that. That's why I don't force people to quit their job. But
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
The faster you can get to like, I'm ready to live my actual life and not just what historically speaking men do, then that's what you need to decide. And I haven't even gone to the other four points of success, but this is the main one. And that's why I think ultimately, even though in the last two years, you still are not where you would like to be.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
But I also don't think two years is enough runway to measure where you're at, right? I mean, the reality is this is going to be a lifelong journey in real estate for me and for you. I'm not where I want to be. I've done this for almost two decades, dude. Right. I'm still not where I want to be. Now, am I a lot further than sleeping on a couch? Of course.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
But, you know, I think that's really important for people to understand is, is what you're talking about. At what point is enough enough and then go.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah, that's I mean, that's how it's got to be. It's it's it's worth the risk, right? Because you get the time like we're in. You and I are technically right now, like in a very
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
similar scenario with our children and i'll tell you could if i didn't have children right now could i be making more money probably because i take the time to be with my children and dude it is the greatest moment of my life Right. And I'm sure you would agree. Right. Our kids are literally like so close. It's just crazy.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
But, dude, I literally this weekend I was like, this is the greatest time of my life right now watching these two grow because we have this window with kids. Right. Where they're not really that cute anymore when they get into the eight year old, 10 year old. Right. They start to get stinky and kind of like so like we have this window and it's just I'm enjoying it. And I think.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Many of you out there might not be relating to this because maybe your kids are older. Maybe you don't have kids. But I wanted the understanding of what is important in life is living your life on your terms like Anthony just said. That is all that actually really matters in this life because one of my mentors told me invest in current living. Hmm. That's good.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
We're going to dive into your first deal and your second deal and how you got them. But I also want them to understand where you came from in the sense of nine to five job, killing you, newborn, not seeing your family and how to make a change. Why don't we just kind of start there? What were you doing? What did it all look like? And then ultimately, how did you find me?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And that is the very same thing that Anthony is talking about. It is not about leaving it to your kids or your grandkids. It is not about...
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
hoarding it it is not about how much is in your savings account it is the current life that you have is one round you get one trip on this roller coaster it always ends by the way no one has ever made it out of this roller coaster alive and uh and he said dude invest in current living make money and spend money respectfully. He's not saying go buy boats and be an idiot.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
He's just saying like, do the things, invest in current living. And it's the same thing about being present and, you know, creating your life, right? That you want to live. And so let's dive into a little bit of real estate.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
I know I wanted people to get the headspace of what you've done, why you've done it, the commitment you've done, because I need people to really get serious about this because real estate can create the very best life anyone has ever dreamed about ever, right? And Now let's talk about some of your deals.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You know, it took you, uh, eight months, I think nine months in some chain, like, like nine ish, nine, 10 months. Yeah. So you and I, again, we're like same person took me nine months to get my first deal. It took you about nine and I was coaching you by the way. So it wasn't that you didn't know what to do. I was lost. I didn't have a coach. Um,
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
but it's, you know, again, two deals blow up at the closing table, buyers flake, you know, like walk us through that kind of initial journey, uh, for the first handful of deals and what it all looked like.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah. Again, shocker, I coach you. That's exactly how I got my first deal, right? You just were ahead of the curve in the fact that you have software now, REI Lean Machine and others that can actually give you access to listings. And I was just cold calling realtors. Crazy.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You know, it's funny, a lot of people, and I still to this day, REILive.co, we focus for the people that don't have marketing budget, we focus on realtors. And the reason being, People say all the time, you need to find motivated sellers. Like that's our industry quote. Like, oh, what's the best way to find motivated sellers? They are literally everywhere because they're on the MLS.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
There's no higher sign of motivation than a listed property. They are trying to actively sell their home. Now, What we need to do is be good negotiators and salesmen and show the other side the value that we see and why, right? And if you do that, then you can win the game. But going and getting a free deal is great.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
I want to say the national average on deal cost is about five grand if you talk about spending money. And that's on average across platforms. So it could be a little bit higher, a little bit lower, depending, but If you make 10 grand on ad spend, you're effectively netting five just from the cost of the deal.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
But if you go to get a deal from a realtor for free and make five grand, you've netted the same amount and you didn't have to go spend the money and take the risk. So I'm still a massive proponent of working with realtors. That's how many deals did you do out of the gate kind of with realtors before you started spending money on marketing?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You did 10 or 12 deals with realtors before you started spending money. Yep. You must have a great coach.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah, no, you know, that is one thing that people don't realize. You build a good relationship with a realtor and they will feed you forever. And it's not like you can buy typically most homeowners own one home. So typically you do one deal with one homeowner. It's great, but you're done. Realtors will feed you for that. I still do deals with realtors in Phoenix.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
I haven't lived in Phoenix for four years and it has not been one of my main markets for a very long time. Right. Probably two years before COVID. So call it 2019. Uh, so my point to that is I still make money from the relationships, but that's true about everything, right? That's true about the relationship you build with a homeowner on the phone.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
When you're on the phone, a lot of people get into the numbers and start negotiating, trying to wheel and deal with a homeowner. And like, They don't even know you or what you're doing. And next thing you know, you're trying to negotiate them to a low price. Right. So focusing more on the relationship, the conversation and being sincere, that has always proved to be a better tactic.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You come from a place of sales. What was it like converting from realtor? And I think you're still doing deals with realtors, correct? Yeah. Well, you've also just came from. The most recent came from a realtor as well. Yep. And you've done however many deals direct to homeowner. What, what is, what is the pros and cons that you've experienced between the two? Like, is there one you prefer?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Is it really just like they both work? It's just function of finding enough time to work them both. What, what are your thoughts between the two?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
So, yeah, you know, listen, and again, this just goes back. Most people try to take a YouTube university approach. There's 62 different ways people are teaching on YouTube. There's no congruencies. No one's holding your hand. I'm not even saying those 62 are wrong. But if you just are trying the best you can, again, it goes back to just like knowledge versus wisdom.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
If you're just trying to do it because you know the process of doing it, it's like a recipe, right? Like, you know, the recipe needs four eggs and, you know, it needs flour and, you know, it needs salt. And, you know, but you don't know the measurements and you don't know what sequence that you want to add these things.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And should stuff be cooked like not having someone showing you how to bake that cake, so to speak, right? is really of detriment because there is a lot of different ways to do this at very low cost. I mean, I literally am looking at my own business right now and we have really high costs on some of our marketing.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
We're debating whether we want to get rid of it to just go into a lower cost, wider volume. lead flow, right? And I'm 18 years in this space and I'm still trying to figure out always what is the best. I pride myself on being someone that is the tip of the spear. So I'll go try things for everybody and then I'll bring it back like, hey, this really works or hey, this didn't really work.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Don't do it. Because then you might ask, hey, should I do this thing? And I realized it didn't work. I'll tell you no. But the reality is it's an ever fluid business, right? Like There is a small handful of people, very small, and they have been around about the same amount of time I've been around.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
That literally has stuck to the same thing, doing the same thing every day, same marketing strategy, etc. And it has worked for them. For the most part, 99% of our space should diversify what we're doing. Yep. On market, off market, free and paid.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And give yourself the runway. Like you can't too often. I see everyone start to measure themselves 30 days in 60 days in 90 days in and they measure themselves. They critique themselves. They judge themselves or they judge, you know, they point fingers, the market, the interest rates of this, the, that. You didn't even give yourself enough time to find the success, right?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
It's the classic book that was written in the image of like that guy three feet from gold or the little image of the guy in a tunnel, like an inch away from diamonds. And then he turns around and leaves. That's it. That's always it. It's right when it's like you need to make one last call, right? Like every sales coach has always said, it's always the 101st call.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You set out to do 100 calls, make one more because it's always that call that gets you the deal. Very briefly, let's talk about REILive.co. what is meant to you, what you see is going on in the community. I built it at the end of last year to launch this year. What is happening with REI Live? Let's talk a little bit about REILive.co.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Well, you should. I mean, listen, for those that don't know REILive.co, and the running joke is it really is .co. I'm not mispronouncing it. I couldn't afford the M, right? I couldn't afford the M. So REILive.co, if you haven't seen it, heard about it, been a part of it, check it out.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
but it is literally $200 a month to have up to 10 calls a week, live in person, not just coaching, but actively doing the deals with you, right? Negotiating the deal, comping the deal, lean on me and my team, my general manager and myself run the calls. Anthony runs the calls. And we are actively helping you go get your first deal or second deal or gain consistency.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
But the reason why I wanted to do it is I didn't want to get rich off of people anymore. And I did that. Like I said, like you said, right? You wish you had it when it was, you know, two years ago. And I've spent a decade charging 10, 15, $20,000 for coaching. And I just said, you know, God literally spoke to me and said, dude, do more deals, right? That's where I ended 2024. Do more deals.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And I could have just built my business bigger, right? Spent more money, created more acquisition teams, or I could just do it with people. And yeah, I'm giving up 50%, but so is the other side. But now I'm doing more deals and I'm listening to what was told to me. And I just say, this is such a better way to win with people and get rich with people versus getting rich off people.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And it just feels good. It feels way better. And I enjoy it, right? I mean, we literally, after this podcast, we literally have an REI Live call to go do this exact thing, right? And so... And then there's a premium version where I'll actually buy you guys leads, right? Where I'm actually spending money as part of the membership to buy you direct to homeowner leads.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
So again, if you just go to reilab.co, there's a jumpstart version, then there's a premium version, doesn't matter, $200 or $400. But guys, it really is empower, it impacts me to make an impact on you guys by getting you guys these deals, right? That's the idea is to get rich with you, not just get rich off you. That's right. So brother, this journey is not even over with us.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
We have a lot longer to go. It's going to be fun. We're going to go through a lot. Hopefully most of it is just amazing on amazing trajectory. But as you both know, business is business, right? You take the good with the bad. So that's right. Yes, sir. I appreciate you. Love you, dude. Love your family.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Love to see what you've done, the commitment you've made to your family first and foremost, but also to your own business, which is, a part of your family. And so, uh, everyone go follow Anthony Kota. He is just a go-giver. He's there for you. Uh, and, uh, Anthony Kota, Kota Creative Capital, uh, is also his handle.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And so just, uh, go check them out, but I appreciate you coming on the Science Flipping Show. Absolutely, brother. Love you, man. Appreciate everything you guys have done. If this was helpful and you think a person or two could use this information or needs to hear this, make sure you share it to your friends. See you guys on the next episode. Peace out, bro.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Big shout out to GC. Big shout out to BT. I appreciate it. Grant put me on and, you know, so.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah, you know, I want to kind of go into the mindset that you talked about, because I think you've heard me say this, and I think everyone has heard me say this to some extent, is there's five principles in my world, and maybe there's a sixth, but there's really five that I believe to be just true, regardless of what you're doing. But it's like...
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Success principles in life, not just in business. But the first thing is you need to decide what you want. And that's what you and Ashley really had to sit down and figure out. Right. And then as a part 1A and 1B of that, you have to decide what you want is 1A, but then you have to decide who you need to be to get it.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
and that is the bigger conversation right is what do I not want I want to not miss my family's birthdays I want to not miss my family's weddings I want to not miss this So what do I want? I want more time. I want to be at these things. I want to have more time with the kids and the wife and the weddings and the birthdays. So that's what I want. And then who do you need to be to get it?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And I think that's a really big takeaway that you did really, really well. The reason why you're here right now is because I've always admired that you are... Like cut from the same thread I am, which is you're willing to do whatever it takes to get the thing that you want because you decided what you wanted.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
As many of you know, I'm constantly on the move, juggling multiple businesses, traveling, and ensuring I get my morning workouts in. Staying fresh isn't just a preference, it's a necessity. But let's face it, after back-to-back meetings, juggling two kids at home, and the hustle and bustle of everyday life, body odor can become an issue. But here's the deal.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
mando has revolutionized how i stay fresh this isn't just another deodorant it's clinically proven to control odor better than a shower alone with soap my favorite scent bourbon leather it's fresh is subtle and doesn't clash with my clone and i was surprised by how well the solid stick works even after an intense morning workout Mando's Starter Pack is perfect for the new customer.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
What is up, the Science of Flipping family? I am back with one of my most special guests of all times, and I know at times I can say that a lot, but this one is near and dear to my heart because he is a student of mine. He has been a longtime Science of Flipping coaching student as well as an REILive.co member, and he has crushed it over the last year and a half to two years
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
It comes with a solid stick deodorant, cream tube deodorant, two free products of your choice like a mini body wash or a deodorant wipe, and free shipping. As a special offer for listeners and new customers, you get $5 off a starter pack with our exclusive code. That equates to over 40% of your starter pack. Use code COLBY. at shopmando.com. That is S-H-O-P-M-A-N-D-O.com.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Please support our show and tell them we sent you. Smell fresher, stay drier, and boost your confidence from the head to the toe with Mando. You know, and funny enough, I've done a lot of coaching in my life. Like I've cut checks for coaches. I've cut checks to be a part of masterminds. I am a product of what I created.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
So the science of flipping and now more recently, REILive.co is developed because I understand what was given to me from others, right? In the knowledge and the wisdom, right? The difference between just simple knowledge and wisdom is the act of going through it. Right. They've gone through it. So they have the wisdom of experience.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And so what I do at REILive.co is to really help you guys do deals. But part of that is just the simple understanding of. I'm way further down the path than most of you, not in all segments of life. You, I think you've even actually been married longer than I have. Right. But we have a, you know, you started earlier.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
But we have a similar, you know, desire to be family men, to be lying, to provide for the others. And that's what keeps the connective tissue. But also, it is really important for all you guys watching this and listening to this. And I don't care if it's REILive.co or not. If you are not investing in someone that is further down the path than you want to be...
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Don't complain about not having the thing that you want, okay? That's my suggestion. If you want the thing, make the investment, right? And that's why I created REILive.co at a price point of $200 a month is because I'm well aware of all the coaches, which used to be me, right?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
When you first joined, I had the classic $10,000, $15,000, $20,000 coaching, but now REILive.co is $200 a month because I can help more people if I allow myself to open up the gates more. Um, and so going back to kind of what we're talking about here is your commitment to say, I wanted something different. You were working as a car salesman. You were working 80, 90 hour weeks. Yeah. On the clock.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah. I mean, who knows how many hours off the clock, but yeah, about. Yeah. And I mean, weekends were torched. Right. And so you said I had to make a change. Now, how was the start of your journey? How was the start of you breaking into real estate? Right. You still you didn't quit your job because I'm not a coach that tells people to quit their job.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Like I don't I don't just say, all right, go all in, burn the boats, bro. I say, listen, you have kids, you have a wife like you got to pay the bills. I get it. But let's set up a plan. Let's set up a, you know, structure so you can reach a certain level of goal and or see the light at the end of the tunnel. And then you can quit your job. Right.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
So how is that initial journey while working full time with a newborn, with a wife and now bringing on what I would call your. At the time, your second baby. Now this would be your third baby. But like, you know, when you create a business, this is our baby. It's our wife. It's our next thing. It's our love. It's our best friend. It is the thing that takes our time just like family would.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
At least for successful people. Some people treat their business like shit. But how did you bridge that gap? How did you change it? How did you, you know, what did you do?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And he went all in on this business. He was making six figures in his other job. He said, enough of that. Let me go all in on creating my life by design. And he is one of those shining examples that I want to highlight here on the Science Flipping Podcast. My man, Anthony Cota, is in the house. That's right, brother. Good to see you. Good to see you, man.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You just didn't listen to me. I mean, now, by the way, you've always really listened to me. But this one, you just said, I'm done. Like I've had I'm up in my threshold and it's over.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
Yeah. And this is, you know, it's funny. We talk about your, you know, job and career. no weekends and working to the bone and 80, 90 hours a week on clock and 30 hours a week. Like, and then people take this, like creating their own business entrepreneurship and And they treat it like dirt, right? And they don't take the same amount of sacrifice.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
You are willing, most people are willing to do that for a boss, their boss. Their boss says, I need you to work 80 hours a week. All right, boss, that's what you're supposed to do. That's what my dad did. My grandpa did. This is what happens is blue collar. You work. not disrespecting it. But then you go start your own business and you don't take that same work ethic in your own business.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And that was actually what I see to be your breaking point is you're like, I can't give my own business, my own journey, my own life, the same amount of time I'm giving this car dealership. And that's where you broke and said, I need to be able to invest the same amount of time because if you do, you'll ultimately reach the reward, which is the bigger thing, the more time.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And, you know, I got a very sweet text message. Your wife the other day was so proud of you with your son at baseball practice. And she was like, thank you. You know, for everything, because you now get to have those moments. And that's again, money is great. And I want you guys to be beyond rich. But like at the end of the day, that is ultimately what it boils down to.
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
So I want everyone who is newer in this industry, everyone who's having challenges in this industry, anyone who is trying to break in as a real estate investor, trying to figure out how to do their first deal, or maybe you've done a couple. I want everyone to pay attention to this. Because he is my student, has been for about a year and a half, two years, something like that, right?
The Science of Flipping
Faith Over Fear: The Bold Leap in Real Estate That Changed This Man's Life | Anthony Cota
And you couldn't do that by serving two masters. Right. Like I say, it's kind of funny, but I say you can't date two chicks at the same time. Like it never works out. Right. Right. Right. No one loses. And so you made the right choice. But you guys listening. I'm not telling you to quit your job either. And neither is Anthony, I don't think. I just think you need to really make a decision.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Still treating your real estate business as a side hustle? At Joe Homebuyer, we help real estate entrepreneurs scale to full-time with right strategies, training, and community. Join a winning community of go-givers. Get access to weekly strategy calls, leadership training, and industry expert masterclasses. Plus, we'll help you get more deals across the finish line and increase your profits.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
I don't have any significant interest in you flipping that home. I want you to flip it and win. That's right. Let me tell you why you aren't.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Okay, so how do you deliver that? Let's talk to the leaders of the group or wannabe leaders.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
How do you take a really hard message that you have to deliver to anybody?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Okay.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And I just call them out. It's not the fun conversations, but it's the real conversations. It is. And more often than not, that person endears you more, loves you more. Percent. At the end of it all. And they're spittled. They're like, Cody, I want to punch you in the face.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
It's it's I mean, especially as guys like we always want to fix the problem and don't want to help. We want to just fix it versus help them fix it. Yeah. And that isn't a good leader. A good leader doesn't come in and just fix the answer. Like we were talking about Dan. One, three, one is because he's not sitting there just fixing.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Give me the three solutions. We together will figure out what is the best solution.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Give another book or two. I mean, I just love leadership. I mean, it's just something. Give another book or two that you think would be helpful for people. I love that book. Okay.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
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The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Keynote speakers include Sharon Lecter, Mike Maloney, Tom Wheelwright, and more. There's no sales pitch, just real, innovated, actionable content and tools. Whether you're a seasoned investor or just starting out, you'll discover secrets to creating lasting wealth through real estate. We'll see you next time. Visit EmpoweredInvestorLive.com today for your ticket to financial freedom.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Don't miss out because spaces are filling fast. Go to EmpoweredInvestorLive.com now. Empowered Investor Live. Invest smarter, grow faster, transform your future. As many of you know, I'm constantly on the move, juggling multiple businesses, traveling, and ensuring I get my morning workouts in. Staying fresh isn't just a preference, it's a necessity.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
But let's face it, after back-to-back meetings, juggling two kids at home, and the hustle and bustle of everyday life, body odor can become an issue. But here's the deal. Mando has revolutionized how I stay fresh. This isn't just another deodorant, it's clinically proven to control odor better than a shower alone with soap.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
My favorite scent, Bourbon Leather, it's fresh, is subtle, and doesn't clash with my clone. And I was surprised by how well the solid stick works, even after an intense morning workout. Mando's Starter Pack is perfect for the new customer. It comes with a solid stick deodorant, cream tube deodorant, two free products of your choice like a mini body wash or a deodorant wipe, and free shipping.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
As a special offer for listeners and new customers, you get $5 off a starter pack with our exclusive code. That equates to over 40% of your starter pack. Use code COLBY. at shopmando.com. That is S-H-O-P-M-A-N-D-O.com. Please support our show and tell them we sent you. Smell fresher, stay drier, and boost your confidence from the head to the toe with Mando.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
So let's drive into Joe Homebuyer Franchise. Let's do it. Right? And being a leader. Now, how many of the franchisees... are there growing personnel, right? That are no longer a solopreneur. Okay. So some of us, meaning do some of them come that they are all, that they're still solopreneurs?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Yeah. My point being is how many of the franchisees are growing in people beyond just growing in business? Yeah. Okay. Is it a big focus? It is a big focus. Yeah.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
That's when you say, why is this happening to me? Now, internally, that's what most people say. They have to reframe it. It's happening for you.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Yeah.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
I got to witness it on Delta. That's phenomenal. So where's Joe Homebuyer going? What's the 2025 vision for the franchise of Joe Homebuyer?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
When you want a leader like Cody, I would tell all of you guys, right? Make sure you at least talk to them. If you're doing deals and you want a leader like Cody to help you across the finish line to grow a real business, make sure you go to thejoeway.com. So with that being said, we just talked, Mark and I just talked about The difference between marketing and conversion. Yeah.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And I think a lot of people need that sales process because they want to blame marketing, economy, city, whatever. Yeah. But really it's because they don't know how to convert actual transaction. Yeah. And that's the same in all categories of life. Right.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
If you just actually look at every conversation you have, there's one side basically making a suggestion selling and there's one side trying to figure out what they want. Right. I do it with my wife all the time. Right. If I want pizza and she wants this, I got to figure out how to get her into the pizza side versus whatever she's trying to think about, which is like healthy. Yeah.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Whatever the case. Right. Talk. Talk to us about like. The state of what Joe Homebuyer is going through with leads, marketing channels, growth. You want to add 40%, that's 50% growth, bro. That is no small feat.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Yeah. Listen, some people would say get singular focus and you'll have great results, which is true. But sometimes you got to open, you got to kind of open up your ears a little bit and say, okay, what am I not hearing? Which is that, which is you're like,
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
there's three fix and flippers here that you know and so let's talk about you know you are brilliant in this space and you've been around for a very long time about leading people yeah and now you have 80 franchisees that you get to lead and bring to the promised land so to speak within the real estate space investing in wholesaling fix and flipping talk to talk to us a little bit about what it takes to like run a company that has 80 people depending on you
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
I mean, that's huge. That is really everything. Now, when you run your leadership calls, are they only franchise owners or do they get to bring their team on? Yeah.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
I love that tenacity. I use another word for that, but that's some tenacity right there. That is, right?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
What if your real estate business ran like a machine with constant deals, higher profits, a roadmap to financial freedom? That's exactly what we help entrepreneurs achieve at Joe Homebuyer. We provide the sales, negotiation, and marketing training that separates top investors from the rest. But it's more than just education. It's execution.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
You'll get weekly strategy calls, expert lead masterclass, deal reviews, and real-time business coaching so you can scale with confidence. Plus, you'll be surrounded by a community of self-driven, winning entrepreneurs who push each other to new heights.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
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The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
This week, I did a lot of kind of self-analysis in the sense of where I'm going and what I'm building and all that kind of stuff. Yeah. One of the things that keeps ringing out to me is the word connection. Yeah. Right? Now, a lot of people could take that a lot of different areas, right? But in my... um, idea here for this episode is just the connection to the people. Yeah. Right.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And building the community and having connection, being meaningful with your connection. Cause just like faith, like if you're not meaningful, you can say, I believe in God or Jesus, but like, if you don't have any intention or connection to that, then it's a little flippant, right? It's like, yeah, right. But if you, and you are the exemplary example of, Okay. The epitome.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
The epitome of that, right? Because you're pouring into your leaders. You're building the connection. And if leaders of the franchises have that same level of commitment to connect with the people that they run the franchise with, they will be successful. Absolutely.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Yeah. Listen, you can't, you know, the, the mind, the body and the mind are so important because I, I've seen it time and time again is people might make a lot of money, but if they're failing their body, it's all useless. Right. Cause then they're tired, they're cranky, they're, you know, which leads into marriages falling apart, disconnected, their kids, et cetera. Right.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
But if you don't first set up your mind to be right, this is 99% mindset. Right. Cause you and I both know This isn't always puppy dogs and rainbows, right?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
There's a ton. I mean, I deal with problems. We're blessed. Here's why. As the presidents of our companies, we are given the hardest challenges. Yeah. That is our blessing. Yeah. That is what lands on our plate is the biggest oh shits. Yeah. Right? Yeah. But that's the blessing that we have to overcome that challenge. Yeah. So that we can pour into those who haven't had it yet. Yeah.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
So we know how to help them go through that challenge.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And that's a blessing that you and I sit in, right? 100% agree. But, you know, they need to understand that it's not always the X's and O's. Yeah. Right? It is the whole thing. It is the whole mind, your body, your fitness, your faith, your business. All that gets wrapped up into your business being successful. Okay. Because if you can't tie them, you can't have one without the other.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
If you want to stop grinding and start growing, Joe Homebuyer is your competitive edge. What is up, the Science of Flipping family? This is a great episode. Now, he and his business partner are on separate episodes because they functionally run separate parts of the business. Today, I have my guy, Cody Hoffine. He is one of the original leaders.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
There's no doubt. Now you guys have an event coming up for your franchisees. We do. Our annual event. We do it every year. We love it. Talk to me about that event.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
No, it's funny. I said that at the beginning of 2025, this year for me is a collaborative year. And I don't mean that it stops at the end of the year. I mean moving forward. Yeah. My intentions in business are always to be more in a collaborative effort than trying to figure it out and do it alone, right? Yep.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And that's why I think Joe Holmbayer and Justin Colby and everything that we've done, there's going to be a lot. There's going to be collapse. Yeah, absolutely.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Listen, guys, if you like the leader of Cody Hoffline, I need you guys to at least go check out just for your own sake. I get nothing from it. But go check out Joe Homebuyer. What are the two websites we want them to go to?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Phenomenal. Guys, this has been awesome. Brother, I really appreciate you being on. If you're looking to grow this business and you want an actual framework to do it, the franchise model is a great model. Joe Homebuyer is a great model. Appreciate you both for showing up. If this has been helpful and you liked it, make sure you share this with two of your friends.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
We'll see you on the next episode.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Yeah, you know, listen, I say it and it's slightly different, but the reason why I reframed coaching for myself is I don't want to get rich off people and be at the top of the mountain with no one around me. Yeah. I want to get rich with people. Yeah. And we're all at the top of the mountain. Yeah. Right? And that's a big passion of mine. Yeah. Going into 2025, right?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And I know this is you and Mark's big passion as well is not do it, you know, or do it with everybody, not just teach everybody and say, hey, go do this thing. Right? Yeah. Um, you said something that kind of triggered a thought I had over the last week is the, the idea of like inter value, intra value versus enterprise value. Uh, a great friend of mine, Cole said that to me this week.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And I was like, that is, I love to hear more about where you're going with this. Well, the value you see within yourself and respecting yourself to have your mind and your body and mindset, your body, your inner person, your faith, your belief system, in alignment with what you actually want. And that is where you usually will talk about the business side, the money side, the finance side, right?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Yep. And if you can put your intra or inter personal value in alignment with your enterprise value, the business, the finances, then you can actually achieve that. But if it's incongruent, it's going to be lopsided, right? So if you only focus on business and money, you might make a whole ton of money, but you might be overweight, overworked, stressed out, impatient. No relationships.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
So let's talk about how you bring that to the table for Joe Holm by our franchisees.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Audiobooks are my thing. Like on the way here, I will tell you I listened to two just because I want to highlight this. Right. Brand it like Serhant. Yeah. Because I think he is our generational branding genius. Okay. Okay. So I'm like, what does he have to say about this? Brilliant book, by the way, if you guys care about brand. Yeah. Brilliant book. And then the, what was it? Undo.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
thought leaders, and simply one of the experts for years, well over a decade, along with myself in the space of real estate investing. And I have Cody here with me today, brother. What is happening?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
I'll look at it right now. But basically, if things aren't working, how do you change? Yeah. I think it's called Undo. Okay. I'll get it on my book. Anyways, because I'm always looking to...
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
reset is another book reset reset and things aren't going the way you're trying to make them go how do you actually press reset so you can achieve what you want yeah by dan heath he's already a three-time best-selling author right like yeah the great people are always trying to learn always trying to learn warren buffett i would consider him already a great a great a great still spends eight hours a day reading isn't that well now it's because you have nothing else to do
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
But it's an investment. You know, I'm going to say something you already know, but it's an investment, right? So I wake up every day at five so I can get to the gym. You have four kids, I have two. I have to wake up at five because of what you just said. That's right. So I know Justin doesn't get any gym time or get to focus on Justin time or sit in silence because we never get that. No.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
If I don't wake up before everyone else, I know that to be true because by the time my day is done, I'm zapped. Yeah. So now what now? Where's my gym time? Where's my focus time? And it's an investment in the cost. I don't want to pay the cost of whatever. That's even the wrong word. That's already the broken mentality thinking about it.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
It's the investment in yourself because the age old saying is you have to fill up your cup first to be able to pour into others. Right. And so that is an investment in yourself. That's right. All else. That's right. As you know, accurate data and meaningful conversations with sellers drive revenue in real estate. If you can't reach the right homeowner or property, nothing really matters.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
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The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Dude, I wish you were here more nights, too. It's a great place to be right now. And it's raining, though. Why is it raining? Come on. As Florida. All right. So, listen, you and I have been around a long, long time together. Yes. You were one of the original members of Wholesaling Inc. Yep. You've done however many thousands of deals.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
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The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Sometimes you mean like 99% of the time.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Right.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Well, and to finish the Dan Martell thought, right? What are the three solutions to said problem? And then together, we'll figure out what is the one answer.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
You've been a leader to how many thousands and tens of thousands. You are now the co-owner of Joe Homebuyer, and you have a franchise with over 80 franchisees. That's right. How the hell... Did that all come about?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Were you at my house last night? You and my wife said this. So my wife was just saying something similar about me. Yeah. Because I'm dealing with a really unfortunate real estate problem with a bad contractor. Yeah. Really unfortunate. And she said, if you were a little bit slower and a little bit more patient, would you have even hired that contractor?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
And the honest truth when I really had to internalize that question was like, fuck no.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
She's right. Right. And that's the point. As a leader, sometimes you're just like, go and let's just be going up. We got to just, we just bought the apartment. We got to get the contracting. We got it. Right. And so taking some time, being methodical, but doing it and doing it efficiently. Yeah. is really important. And that's, you know, that is what takes you from growth to scale, right?
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
So Joe Holmbayer takes investors doing deals that need to grow and then they can grow and scale, but it's also run fast to also slow down, like slow down to run fast. That's your idea, right? That's right. That's crucial.
The Science of Flipping
The Leadership Mistake That’s Killing Your Business (And How to Fix It) | Cody Hofhine
Or it's the league. Or it's the market. Or it's the interest rates. Or it's the neighborhood. Correct. And that's the challenging part is like you have to get their buy-in to say, are you good with me just really hitting you in between the eyes? That's right. Because I'm objective to this. This is where I get really good. I want to help you.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah. Well, and because I think we're all going to the same place, which is. You being able to create equity in your home is going to be a really good asset for you. I say it one way, and I'm curious to hear your perspective, but I do want to use your term and have people dive into it, right, is to be able to. reduce your debt, right? I really believe people need to understand how to.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I've been talking a lot about something which might play into this. I've been talking about there's four reasons why real estate is the only and the best. It is the only play, anyone who really gives a shit about making real money and creating real wealth. And here's why. It can create you a seven year, seven figure year income, true income, active income.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
You can absolutely create a seven figure year income. It can create a, you know, DECA seven-figure wealth accumulation.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
It can allow you to keep more because you don't have to pay the IRS anymore.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And the fourth is what I really believe because I've been around long enough and so have you. It's a downside risk vehicle.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And what I mean by that is if you do this right and you actually buy these homes to have or apartments or whatever. Right. When going gets tough, we all know it gets tough, you have assets. And those assets can save your ass with the equity you have in them. It could be pulled out as income in case you lose your job and you have no income. By the way, tax-free.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
It could be used to lean against other debtors, right? You can go to a bank and ask for a bigger lien and they lean your equity.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
It could be used for private liens where you say, hey, buddy, I need 50 grand. I'll get it back to you in 30 days. But just because I want to make you feel safe, I'll lien. It is a downside risk net that I don't think enough people talk about the value of real estate in this way. And I'm really trying to bring this to light to say, hey, if you want to grow, most businesses need points of leverage.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
If you are going through a hard time, these are applicable options. scenarios that you can quite literally say, great, you lost your job. Well, you have 10 rentals. You have $400,000 in these rentals. A bank will lend you $125,000, $150,000 against your equity. And it's tax-free. Restart. Borrow the money. The rents are going to coverage the extra debt. Borrow the money.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Put yourself on solid ground. Don't start living on credit cards. Don't start putting yourself into more debt. Put yourself on solid ground and reframe, rebuild your life. And I don't mean to take the episode, but... It leans into what you're talking about and why I'm such a big believer. Like, just get going in real estate.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
We go, all right, whatever. I'm just going to cut the check. No negotiating. By the way, the people that pay taxes outright, my accountant agrees with me, but I think they're nuts. I've owed in my history of being an entrepreneur a lot of money to the IRS. I no longer do that. You can get out of it. Because of ass outs, right? And it's legal. And it's literally, I'm just playing by the rules.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
It's a game. My previous guest taught me. I'm playing by the rules. Exactly. But I say that because even if you have a tax debt, Negotiate it. They will take payments. Right, that's true, too. Why would you ever just cut a check? Well, there's an interest rate associated with their payment program. Yeah, but who cares? Why do you want to go cut a $100,000 check, for example?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And if you buy another rental with that $100,000 and the rental has a bigger payday to create a difference between the 1% they're charging you. Guys, again, I don't want to take the episode. I want you to talk about it, but I'm just like... There's just so many upsides to this.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
The downside risk, I'm going to really, now that I'm talking about it again, even with you and your levels smarter than I am, right? People need to know that. There's going to be hard times. You talked about it. Trump's going to create some hard times for people.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
All of us, right? We're going to have to make decisions. You're like, damn, I didn't see us having to make that decision. When you have assets, it helps that downside.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Right. I mean, they may not start that way.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Let's go into your subject. It is brilliant. You are an expert at it. I've seen you speak on stage and keynote over it. Sure. Let's talk about.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Inflation induced debt destruction.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Dive into that for me.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
25% of homeowners.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's insane.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
No doubt. No doubt.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I have a 4% mortgage on my home.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I want to buy a new house. I literally tell my, and my wife is more of the, she's like, let's go get this new. And I'm like, yeah, but honey, my interest rate is going to be six and a half now.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And so now, you know, obviously me, I start thinking Airbnb, you know, I have other creative, but most people don't.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I know it's a one-off question. How far down do you think? I have my gut saying we're going to land somewhere mid-fours. It's probably the lowest it'll ever go.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, you think higher.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I mean, we don't have enough runway yet, unfortunately, for people. It's unfortunate in my world because you still just have so many sellers unrealistic and they don't get the real life situation that buyers are in.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That they don't have cheap loans anymore.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So let's keep going on. This is so unique and it's a unique perspective to look at debt now as an asset, not a liability.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Because inflation. Because inflation. So their income went up.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Their income went up. Yeah.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Because debt is a stuck number. When you go acquire that debt at today's rate. Yep. and inflation hits for 12 straight years, this debt is not more expensive. It's cheaper because the value of that debt has just gone down by 60%.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So inflation... Now, just to lean into this a little bit, For those, Jason and I type this stuff at our masterminds, like we're a part of all these masterminds, so it's a little bit more common.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
For those that might need a setback, because I think if I were to just have heard this right now, I'd be like, okay, but how the fuck does that, if someone's still cutting the $100 check, it's still a $100 check, but most likely in that 12-year span. Yeah. Their income has also increased because of evolution because everything around them is more expensive.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So they need to go make more money to afford life. But this is stuck in a time warp that it doesn't move.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I agree 100%. There's too many Dave Ramsey haters. I don't love him for us. No.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I love this perspective.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's true.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
No doubt. I know that very clearly.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's right.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Over the 30 years?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Based around the value of the home 30 years later?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I also think there's a lot of—and by the way, I think I pay little to no attention to politics. My grandfather would blame me for that and say, you got to be educated on it. And in my world, it also is a stress reliever. I'm not all caught up in it. It's not something that, you know, fills my day to day life. And so for me, it's easier this way. Right. But I'm aware enough. Right.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Inflation being what? What would you average? What's your average nationally for appreciation?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Okay, so I target even a little less. I target like a 5. Yeah. Some people are like, how much is he going to appreciate? I say, dude, just use 5% a year.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I want you to say what you just did in a shorter amount of time because people need to rehear that whole picture.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And let's just do it in a much shorter amount of time to make it clear because it is so brilliant. Yeah. So go again.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And you don't feel like it's free in the middle of it. No. Maybe not even the first 10 years is where you feel for sure it's not free. Yeah. But mathematically speaking. It's free.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
By a spreadsheet. Yeah. You are getting paid if you attribute everything Jason Hartman, follow Jason Hartman right now. everything you just said, you put that into a spreadsheet and you will statistically, mathematically prove that is the genius of real estate. Well, there's so many other things, too. It's multidimensional. Right.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And my challenge and your challenge, I'm sure, and we could scream this from the mountaintops, is because if you don't think as an investor... That's where you're not even taking the full advantage of this whole cycle. Right. So if you buy your home and you just say, Jason told me I'm going to get paid to own it, so I'm going to own it for 30 years and do nothing else.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
It's very hard not to be aware of some things. I think there's a lot of people out there that literally think he's going to come in here and interest rates are going to fall down to three and a half percent.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Okay, good for you. Fine.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
But if you can think like Jason, if you can think like me and think about the value of other assets and what you can do with those other assets.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And it's incredible.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And people don't think, and we don't have time to go on tangents about your retirement plan and why you would even have one and let the money sit there because you can go get assets that pay you plus the inflation concept of the debt destruction. Like, it is just everything, Jason.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
I get that people have become decamillionaires on Bitcoin or more, right, on crypto. I get that.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
It still won't have the four or five things we just talked about.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
You don't have a downside risk net. You don't have the opportunity to leverage. Well, I guess you do have some leverage against it. Like you just, it just doesn't do what real estate can.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, I agree. And tell me why not? Like, I have my perspective, but what would happen or why won't it happen? Why won't he just force it to happen? Because people want this, right? They want inflation to go down. They want interest rates to be three and a half percent. Why would that not make sense for us right now?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
We could do this and go 20 different angles. What I want you to do is start following Jason right now. Where do you want them to find you? I know you have your own podcast. They need to be listening to that. Let everyone know where to go follow you.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's where you can find me. Well, I appreciate the invite. And guys, make sure you follow him. Listen to his podcast. This guy is a wealth of knowledge, as you guys can all tell. Thank you for coming. If this episode helped you in any way or just made your mind think a little bit deeper about real estate, make sure you share this with two of your friends.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
We'll see you on the next episode with another guest.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And he doesn't have to. Yeah, he doesn't have to. It's not a government body.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So here's a naive question. If the Fed doesn't create the interest rates for home loans and mortgages, who does? Well, the Fed indirectly does, but it's... The new direct, that's the question, like who directly does?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
What is up? The Science of Flipping. This one is going to be a good one. If you want to know what is in store for the market, because Trump's here, if you want to be able to see around the corner, if you want to listen to someone who's done well over 10,000 deals in his career, we have economist Jason Hartman here. What is up, dude?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's important.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
You know, people, and again, everybody essentially, they weren't super in the know and did a deep dive like we did. They didn't realize that the only reason a dollar has value is because the government says it has value.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And other people, because we say it has value, they perceive the value. And then there's exchange and things of that nature.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, it's interesting. I've never really thought about that. And I talk a lot about branding and I never really thought about that, but absolutely. So how does this play into, you've done north of 10,000 deals. I thought I did a lot, a pale in comparison.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That's fine. I mean, the fact is you have that level of experience and business acumen. How does this play and what do we see a forecast? Let's just say a four year forecast, right? What do we, and I have my own opinion, I've vocalized it here on the episodes. What do you see kind of going over the four years, the first year, second year, third year, four years of Trump?
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So I'm going to come straight at what I think everyone's going to want to understand or your thoughts on it at least. Trump's in office. Everyone thinks he is our savior. Everyone thinks there's a lightning bolt that will come down. The economy is going to be saved. We're all going to be rich and we're going to print money. Let's hear your perspective of reality.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
That is such a small number.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Yeah, I was going to say three and a half million.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Apples to apples.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Well, and so I think the thing you hit on, and by the way, I definitely want to talk about inflation and how that's going to change how that really increases values of real estate, because that's actually part of your expertise and why I'm so excited about this episode. Right. You call this something, by the way. Right.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
When you first said it, I get it. I don't know if I can say it, but I get it. Inflation induced house. Debt destruction. Debt destruction. Okay. So first of all, I do want everyone to destroy debt.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So let's talk about this because I think it's really brilliant. I've heard you speak from stage on it. I'm excited to have you here and share with it. Give me the concept.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
No, it's insane. I mean, there's a massive housing shortage. Well, that's why when you said 750,000, I was like, we should be at like 3%. Yeah. We're at a half a percent, right? And so it's just like, I'm like, we should have three, you know, three and a half million units.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
So, you know, we agree. And it's just in what you're about to talk about, unfortunately, there's no saving this right now. I don't I don't see any next five to 10 years. Some big amount of construction happening. We're only producing more people. We're only getting older. Everyone's needing housing. They need a place to rent. They need a place to buy. Yeah. I don't see construction.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
COVID to me was the impetus of this harm, right? I think we weren't in a great place to start and COVID crushed it.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
There's no builders out there that can build that volume. In fact, some of the builders now have changed their entire model, build to rent, right? Which yes, people will rent them, but there's not going to be this, in my opinion, you know infinitely more because you study it hard, but... We don't have a savior in the next five to 10 years of this infinite market.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
You know, there's not going to come to market, you know, 10 million homes.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
Right. So it's just not going to happen, which means what? You're going to have higher prices for the next five to 10 years.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
In fact, it's actually in real estate specifically the exact opposite.
The Science of Flipping
Trump, Inflation, and the Future of Real Estate | Jason Hartman
And it can be mass produced.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Regardless of where you are at today, whether you are making money, whether you're doing real estate full-time, whether you're a part-time hustler, whether you have a W-2 job or not, real estate is the number one vertical, I believe, that can help you also never have to pay taxes again. What is up, Science of Flipping family? It is your boy, Justin Colby, super fired up for this episode. My book.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Now, that being said, I fully believe that everybody, I mean everyone, even those that have a W-2 job should be in real estate to some aspect. Now, even then, I believe those that should be in real estate really should be focusing on one thing first. The first thing would be to drive income. Go out and wholesale some properties. Go out and fix and flip some properties.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
The next phase of this is going out and building wealth. Now, building wealth is traditionally speaking through long term buying holds. Now, you can do short term buying holds, you can do midterm buying holds. But traditionally speaking, it is through long term buy and holds. And so that is something that even a part time.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Real estate investor can do now the challenge I have and what I go through the book is the challenge I see people do or challenge I I see that people are doing is They basically save up all their money and buy one property every five years right or every two or three years and While I would rather someone buy rentals than not buy rentals I also believe that that is not the right way to do it.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Now I go through in depth in the book about how to raise capital. You see, I've bought tens of millions of dollars of real estate for holdings, and I've never used my own money to do it. You see, even if you have the money, you don't want to use your own to do it. So let's just, as an example, bring it back to 2006, 2007, maybe even 2005. The banks were offering 100% finance loans, right?
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
These are, you know, they were very prevalent in 2005 and 6 and 7. And If you could get them, which basically they were giving them out to anyone with a heartbeat, then you would use 100% of the bank's money. Why does that change when you're buying a rental? Why, if you don't have to, do you use your money to buy a rental? Well, I would argue you shouldn't.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
And in the book, I talk about how to raise money and how to structure it so that you don't have to use any of your own capital. Now, the book takes you through a progression of my story, my life, right? From where I started all the way from college all the way into where I'm at today, doing a lot of deals. I've done thousands of deals, bought a lot of rentals, and the progression of which I
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
really is this concept of creating income first so that you can have choices, right? So that I can choose to either fire my boss or not fire my boss in your example. So I can choose to go on vacation whenever I want, basically so I have choices of lifestyle freedom, so I have financial freedom.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Flipping to Wealth is launching. We are launching live next week. We are having a launch party December 17th. If you are listening this or watching this episode, make sure you click in the comments and the description and the link will be there. We are going to have a launch party December 17th. So excited about that.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
And that really is kind of the theme of the book is to create financial freedom for yourself, starting with creating income through wholesaling and flipping. From there, the book goes along the path of how to find the deals. Where am I finding the deals? How am I properly analyzing the deals? How am I figuring out whether it's a good fix and flip or a good buy and hold, right?
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
And then ultimately, how am I raising money so I can buy these assets? And how can I do that at scale? Now, throughout the book, I layer in pro tips, right? Professional tips that I basically am giving you advice regarding the structure of the business. Throughout the book, I go into creative finance structuring,
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Throughout the book, I talk in depth about where to find these deals and how you can exit them. Throughout the book, I talk about if you are gonna wholesale, where to find buyers. It goes in detail. I mean, this could be the only book you really need for real estate investing if that's your interest. Because I really walk you through
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
best practices on all of it how to find the deal how to analyze the deal how to structure the deal how to raise funds how to buy the deal um and so all the way into you know having tax write-offs and so this is gonna be a best seller for sure i'm super excited to announce it But I would want you guys listening here to understand, first, go get the book.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
You can even buy the book on Kindle for 99 cents, for God's sake. So if the paperback and the hardcover is too expensive, buy it on Kindle. And then, by the way, leave me a review. I would love as many five-star reviews as I could possibly get. Now, the second thing you remember, the book launches December 17th.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
So when you guys hear this, uh, jot down that day, that is the day that we can launch the book on Amazon flipping to wealth. And so the second thing I want you guys to understand is.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Regardless of where you are at today, whether you are making money, whether you're doing real estate full-time, whether you're a part-time hustler, whether you have a W2 job or not, real estate is the number one vertical, I believe, that can help you also never have to pay taxes again. There's a lot of ways that you don't have to pay taxes.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
However, the IRS law, and I am not a licensed accountant, really makes it easy for us to find the strategy to not actually have to pay taxes, including if you are a W-2 employee or you're a full-time real estate investor. And this is incredibly valuable. There's really three reasons all of us should be in real estate. Increase your income, increase your profits, and never pay taxes again.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
And if you do that the right way, which is what my book is about, then you're going to create an incredible life for yourself and for your family. And likely, you're going to be able to pass that down as a legacy to your children, your grandchildren, so on and so forth. And I really encourage each and every one of you to get the book and really read through the book.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
I've been doing this business for 18 years. I've had a lot of wins. I've absolutely had my own losses. I talk about those losses in the book because you can't win a championship with a clean jersey. I firmly believe that. And so if that's the case, then you guys need to understand that you can do this. As long as you really subscribe to my five laws of success,
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
which is first decide what you want and who you need to be to get it. You see, what I built in my business doesn't have to be what you're going to build in your business. You don't have to do this full time. You don't have to spend a lot of money marketing to find leads, etc. But you absolutely need to decide what you want and who you need to be to get what you want.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Now, what I go in the book and go into the book about is this idea of flipping to wealth. That is why I named it. Taking a business, a transactional business, wholesaling, fix and flipping, and turning it into a wealth accumulation business. This, everybody, is why we should be in real estate. Yes, can you make a ton of money wholesaling homes and flipping homes? You absolutely can.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Now, the second law is you must commit to that. Don't just flippantly say, this is what I want. I want to make a million dollars at random. Really get clear on what you want and then commit. And then third is take a lot of action. There's only one way to start flipping or buying rentals and that's to make offers. You can't flip a property if you make no offers.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
You can't buy a rental if you make no offers. So you got to take a lot of action. That action leads us to law number five, which is going to make you incredibly uncomfortable. Doing things you've never done before is going to be uncomfortable. Just like when we were kids, we learned how to crawl, we learned how to walk, we learned how to swim, we learned how to ride bikes, all of which
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
was uncomfortable for us, but we did it. The same thing is true here. So you really highly should be getting some sort of coaching, some sort of handholding, some sort of mentorship. And law number five is remove your, not mine, remove your time expectation on the result.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
You see, I've coached thousands of people in my decade of coaching, and one of the things that really challenges people is their improper expectation. They mentally put up some benchmark of what they're going to be able to achieve, and they put some time limitation on themselves. For newer investors, maybe getting into wholesaling, a lot of times they say, okay, I'm gonna go do a deal in 30 days.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Well, on day 31, if they haven't done a deal, what happens? They mentally check out. They're frustrated. They say it can't work. They blame the economy. They blame their market. They blame whatever. And so if you are looking to break into the space of real estate, and these five laws are true for all verticals, no matter the economy, but You need to be patient and give yourself grace.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Do not put on any type of time expectation on the result you're trying to achieve. So if you're trying to buy 100 single family rentals, don't say I'm gonna do that in a year or five years or 10 years, just say you're gonna do it as fast as you can.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
If you're trying to buy an apartment, a storage facility, or maybe you're trying to accumulate $100 million worth of assets, do not put a timeframe on it. put your head down and go. And that is a big theme in this book, is do the work, right? If you wanna increase your income, you gotta do the work. If you wanna create wealth, you gotta do the work. This book is incredible.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
I'm super excited to be announcing it here on this episode. December 17th is the launch party. Make sure you look in the notes for a link about the launch party. I would love all of you to show up to that launch party. We are gonna get this book to the number one seller status for sure. Again, I'm Justin Colby. I've done this business for 18 years. I've done thousands of deals.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
I've mentored thousands of individuals to be successful in the space. And this book is accumulation of the 18 years and how to go win, flipping your way to wealth. If you like this and you think someone else should be getting this book, make sure you share this episode with at least two of your friends. I love you guys. Let's go crush it in 2025. Let's go.
The Science of Flipping
Launching Your Journey to Financial Freedom Through Real Estate
Now, in fits and flipping, you can actually lose a ton of money too. So you've got to be very careful. If you don't have someone coaching or mentoring you, you definitely should because you can make some really big mistakes if you don't know what you're doing.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah. So it's been way quicker. That is that is the challenge that most people don't understand is the reason why people like myself or you like I do TV, direct mail, PPL. I stopped doing the PPC because partly I'm slowing down the whole national thing. I'm choosing the markets I want to be in. But people always want the fast button. That fast button a lot of times means cutting a check, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I mean, do you know the number you're spending every month? What do you spend every month on?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Well, you're spending 30 grand a month, roughly, right? 25, 30 grand a month. Yeah. That is the fast button. That's what I tell people. Oh, you want it right now? Then just pay your way there like that. So it's the same equivalent of like Disney World, right? I go to Disney World a ton because I have my kids. I buy the fast pass every time. It is ridiculously expensive. It is $200 a day.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Plus you have your normal ticket, which is like $200. So essentially it's $400 for the day, right? Just the tickets. That's not the foods. It's not everything else. Crazy. Then there's another level in Disney World where you can have an actual escort, like a VIP escort that takes you behind the scenes. You're not in the crowds. So last time we went, I paid six grand for that person, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Because I'm like, dude, I don't, I want convenience. I want speed. I want now, right? I bring up the analogy to say the same thing you're saying is people need to understand if you want that level of speed of getting your first deal and or getting consistent deal flow, you have to be ready to cut the check.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
That's right. And so that's the challenge that I find most people is they start spending some money. Like I have one of my coaching students that he's made a couple bucks. So he's like, all right, Justin, what do I start spending money on? I'm like, bro, you just got to be ready to spend money. over like a six month run.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Like do not get scared on month two or month three that you haven't made money back because you need a sales cycle. You need to bring in the leads, nurture the leads and then convert. And so I tell people all the time that like, if you aren't there to run for six months, don't do it. Put in the sweat equity, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
By the way, this is absolutely for people over 30. Uh, but I would also say if you are under 30, I want this to inspire you to know what is real. And then if you're over 30, I want this to be like one of those. Okay, if this guy can do this, you know, it's about time to kick my ass in gear. So you quit your job, you went all in, you did your first fix and flip and lost six figures.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I mean, even something like iSpeeds, their program, like relatively cheap leads for 30 bucks or whatever they are like, fine, do that. Don't go spend 15 grand on TV for one month and freak out and then go, I'm screwed, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Oh, my market. GB Edge. Exactly. Right? That's not the game. So speak to the person that might be growing a little bit. You know, the transition between getting your first handful of deals and then growth, right? So you and I are part of Masterminds Together. Yeah. you know, I'll go and speak on scaling and growing and scaling, but scaling is on the other side of this, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
You're at the point of scale. Tommy's at that point of scale. Most people, most are either just getting going or potentially growing, right? They've done five, 10, 15 deals. They've made a couple bucks. They have some confidence. Now we need them to grow. Their business needs to grow. Talk to that guy or girl who's trying to grow their business.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah. You know, listen, I've done this business for almost two decades, this business. Right. Yeah. And I think there's a lot of people that don't give enough. I don't want to say respect to it, but like credence is a word that comes like you can't measure the stick to me. Sure. Right. I've done it for two decades. That's a long time.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And so like even you who've done this now for eight years, nine years. Right. I have a decade on you. Yeah. I've built it. So I don't have to even be in my meetings. Right. Like now I enjoy what I do, but like, imagine what you've done in eight years and imagine put another eight on it. Oh yeah. It's going to be great. You're going to be right.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
But people don't look at it that the way they look at it, like, Oh, what happened this month or last month? Or how have I done so far this year? We're on April. Like, Guys, stop. Like what I would hope to encourage people listening and watching this right now is like, give yourself the runway to actually win, to be the next Tommy Hart, to be the next Justin Cole.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Let's start there because I think most people are terrified to even get going. I don't think I know most people are terrified to even get going in this space. for the exact example that you're about to give. You got into the business. You said, hey, uncle, let's go flip a home together. Let's do this. It'll be our first. We're going to win, get rich. And you lost six figures, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Because if you start to follow Tommy Hart, and by the way, go follow Tommy right now. Like literally one of my favorite humans. Go to his Instagram. Probably is the easiest place. What? Tommy Hart five or zero five. Yeah. Tommy Hart zero five. Go to his Instagram. He will help you in all ways possible. But you have to understand he's eight years into it.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
So if you're less than eight years and you're in eight days, eight minutes, eight months, give yourself the eight year runway to measure Tommy. Don't give yourself eight days, eight weeks, eight months. Give the runway he gave himself. Right. Like we talked about when we started his first deal, he lost six figures on, but he didn't give up on that. He didn't get knocked out. He got knocked down.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
No one likes that, but he kept going.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah, listen, there's, you know, this isn't meant to sell coaching, but you guys all need coaching. I don't care who has, right? If it's Tommy, great. If it's me, if it's anyone else, if it's like, but if you are going to go try to do this alone, then you're just mistaken. I mean, there's, everyone should be recognizing that.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
There's always the people that say you can get all the information for free on YouTube, but no one's there to hold you accountable. No one's there to tactically tell you what lists and when and how and conversions, like no one is there. There's difference between you know, picking up a book and have several books right now, you can't reach them and reading it.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And then that same author walking you through exactly how to do those things, right? That is the difference is information versus tactical education. And then you can go implement, right? And so everyone here should be doing that. Otherwise you will make big mistakes. The same reason why I invest in coaching each and every year is I've scaled my businesses now where
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I'm at a level I've never been at, right? I've never been here. So how the fuck do I expect to be able to keep growing and keep going up this mountain when I'm already at the highest place I've ever been? I have no line of sight on how to keep climbing the mountain that I'm climbing because this is the highest, right? So just understand the perspective of it.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
That is why people don't do it. And then what I want to leave here with everybody is understanding Tommy's still in the game. Tommy's making multiple seven figures a year. He has 20 million in assets after that loss. So let's start with that loss.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah. And it's funny because I just got off the phone. This guy, his name's Phillip. He's in my REILive.co community. So he's a newer side. He just kept hanging in there, right? Like REILive, I've only had REILive for like four months, right? And he wasn't seeing the traction he wanted. He wasn't getting the results he wanted.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And then I would kind of call him out on the call and be like, hey, bro, did you make the calls? And oh, yeah, man. He hits me up today. He's like, bro, I've actually got two deals in escrow with buyers, non-refundable earnest money. And I called him personally, right? He's not a one-on-one coach. I don't usually do that.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Like if you came in and said, Tom, you know, if we had a one-on-one, I'd call you personally. Yeah. I call it because I just wanted him to understand the value that he created for himself was the proof that he could do it if he just kept going. Right. If he just kept doing the thing. Right.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And so it's just it's really impactful for people to realize you got to hire a coach and then keep doing what they're advising. And listen, there's plenty of bad coaches out there. So I don't know what to say about that. But.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
If the coach is reputable and has been there before and you can look at their resume and say, okay, this guy or girl has done what I'm trying to do, then listen to them and act on it. Because I hired a coach this year because same thing I told you. In businesses, I have four different verticals I'm running right now. I'm at the peak of all of them.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I'm like, I need someone to help me operationally and understand how to build a business higher. I heard The Rock say, when you reach to the top of the mountain, build more mountain. Right. Like, and I thought that was brilliant. Right. Yeah. Is yeah. Well now this new mountain, I have to continue to climb. I don't know it.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
So it's, it's an easy investment to say, Hey dude, I need to bring you on to help me get there.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Do people need to be buying rentals now or first or should they be focusing on just the transactional side?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah, you're exactly right. I think, you know, my biggest mistake I've ever made, and I say this all the time from stages, it wasn't the seven figures I lost on a development. It wasn't the seven figures I lost on apartments and things of that nature. My biggest mistake wasn't buying rentals or portfolio properties sooner. I'm not talking about at scale. I'm not talking about the apartments.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I'm not talking about one a month. I'm talking about like one a year, right? Like just something. Yeah. Because then you can start to build equity. And you talked about repositioning debt. If I were to buy one a year 18 years ago and never sped that up one a year, I would have 18 homes.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
A handful of those homes probably would be owned free and clear because I would have gotten like 15-year mortgages on them. Sure. Many of them would have...
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
75 60 50 equity then i can go reposition debt on some homes that are free and clear put more debt back on them because they're performing assets take that money potentially put in my pocket tax free but then just go double down and now all of a sudden i'll have 36 rentals instead of 18 and it happened overnight because for the last 18 years i've been stacking them up right and
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
is it's really a slower game and it's definitely not sexy. And I'd tell you as someone that has a lot of rentals, it is not by any chance passive, even when you have property management groups. At all.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yep. And that's what I've seen after almost, you know, 12 years of coaching individuals, the construction component. Yep. That's where a lot of people drop the ball. And I mean, listen, even today, 18 years in, I get contractors that like,
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
do some nasty shit to me and totally lie and you know whatever so some of it out of your control to some extent but understanding construction really can make or break a deal i did a training last night to i don't know a couple hundred investors and basically i said there's three ways to actually get more deals And one of the three is understanding how to underwrite the construction component.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Absolutely. Because for someone who's going to be doing a rental, that construction component might be way less than someone who's going to be doing a fix and flip or even a burr, right? Yep. So if they're going to be doing a burr, you're going to probably want to put in a good amount of money.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
It's going to be the same thing as kind of a fix and flip because you got to force the appreciation so the bank can take you out. Absolutely. But if they're just buying a rental, like a normal rental, not necessarily burring it, then your construction budget might be like 10 grand that they're just going to put in to paint some stuff, rip out some carpet, replace the carpet.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Like you won't have a big construction budget. It's not a burr. But if you underwrite the construction, right, you'll convert more deals because even as a wholesaler, there are so many landlord type buyers out there. That's why I love Columbus. That's why I love price points.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
You know, Cleveland right now, we've done a lot of deals in Cleveland, not my favorite city, but the price points are just good flips and good rentals. Yes, they are. Right. And so I would tell people understanding construction is really valuable. I will tell you now my what I call Bubba math.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
If you are going to be doing what I call like a repair remodel, paint and carpet, simple, nothing like you're not moving wall like repair. Thirty dollars per foot. You can bank on that's pretty close to where you're going to end up. If you're doing a rehab, new kitchen, new bathrooms, right? New paint, $50 square foot.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
If you're doing what I call a redo, this is where you probably got to redo the electrical, probably got to replace the windows, probably got to move some walls, probably got to do like just you're fucking redoing the home, right? That's $70 square foot in most markets. That is not going to be true in San Francisco or Miami. It's going to be more expensive.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
But if you're in Columbus, if you're in Charlotte, if you're in Oklahoma City, these are the markets that 30, 50, 70 is a good baseline understanding of where you're going to underwrite that to. And then depending upon... Cleveland's a great rental market. You're probably not doing a lot of 70s. You're probably really a lot closer to 30s, depending upon the condition.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Some of these houses are terrible, but... you got to understand that and you'll do more deals.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Amen. I see you're wearing our boy, Tony. Are you 10 X TV too? Yes, sir. I love our guy, Tony. He runs my TV. He runs your TV. Anyone who's got some budget 10 X TV. That's, that's the name of that name. Tony Javier. They're phenomenal. Look them up. They're great. Say Tommy and Justin sent you.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
What is your commercial say? I mean, is it like, we're a family trying to buy, like, do you, is it a different script?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
See, again, I'm doing it in a market that I don't live in. So I still do that well, but I can't say I'm a family owned company here in
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I love that. And I think more people are getting back to that. And I'll tell you another thing that even I'm considering diving in deeper again is direct mail. I pulled back from direct mail when COVID hit. And now I'm like, God, I think there's a lot of people like me that pulled back and they still haven't really jumped back in. I'm going to go pretty hard in again on the direct mail.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Dude, I love it. Tommyhar05 is your Instagram. Yes, sir. What do you want to leave the people? Everyone needs to go follow you. Is there anything we didn't cover here? What do you want to leave the people with on what they can do, whether they're just getting started, they're growing their business, they want to start following Tommy, they want to be the next Tommy?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
What would you want to mention to them?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And I'll even highlight what you just said. You lived in the living room of your multi-unit and rented out the bedrooms. That level of sacrifice is rare. So I want to highlight that for you because I think everyone out there needs to understand what is the thing you're willing to sacrifice. So I have my five success principles.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Contractors forever will be the name of my existence. It doesn't matter how many years I do this. There's always something that pops up. You're like, I cannot believe this is happening. Right. Yeah. And that's why I really encourage people. I'm not like a wholesaling coach. That's not who I am per se, but I do believe to minimize your risk. wholesaling is the best way to get some money flowing.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
First, you have to decide what you want and who you need to be to get it. So that first principle, the who you need to be, that's where the sacrifice comes in. Do you need to be Tommy Haar living in his own living room, sleeping in his own living room, renting out the rest of the bedrooms, not having his own bedroom so that he can financially house hack this? Is that who you need to be?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Is that the sacrifice you need to make? to get what you want. You have heard my story time and time again about sleeping on couches, et cetera. Like what is the thing that you need to sacrifice to be, to get what you've decided you want, make a decision of what you want and then decide who you need to be to get it. Tom, you've done a brilliant job with that. I appreciate it.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
That's right. That's right. Guys, go follow Tommy. Go make sure you're in and around his world. If he ever makes any offer to work with you, do it. I'll tell you now, this guy is the real deal. If there's any way that you could get coached by him, do it. He's amazing. Great human. Go follow him on Instagram. Brother, I appreciate you sharing some wisdom here on the science of flipping.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
If this has helped you guys, if there's one or two nuggets that you think other people need, share this with at least two of your friends. I'd greatly appreciate it. I'll see you on the next episode. Peace.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Would you agree? You know, listen, I'm, I've done thousands and thousands of transactions. I've done thousands of wholesales, fix and flips, and I've done a lot of buy and holds, you know, given the place that you're at right now, what is most of your business made up of? And then why? Cause I know like me again, dude, I'm so impressed with you.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
This is why you're one of my favorite people so fast is because you are essentially me 13 years ago, but you've done it at 30 instead of being 43. Right. You're wholesaling a fix and flipping or buying and holding. Talk about that. Talk about what you're currently doing. Like, what does it look like right now? And then why? Why do you wholesale? Why do you fix and flip? Why do you buy and hold?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Why do you make those decisions?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
What is up the science flipping family? Welcome back to another incredible episode. I have a really good friend of mine. He is an absolute stud in the real estate space. If you are under 30 years old, you're going to want to listen to this. And by the way, if you are over 30 years old and aren't quite where you want to be, you're going to want to listen to this. This man was able to
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I love it. And so what are the marketing strategies that you're doing that? Because at volume, right, to do anything in multiple seven figures, you have to have a volume of leads. You have to have a dialed in sales team. Talk to me about where you're getting the leads. You know, I was one of the proponents to go national when COVID hit. I was like, go national, go virtual.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
You don't need to be local. You don't need to do this in your own market. You stuck to your market, which is a great market, by the way, and just hunkered down. I was one of the proponents to say go nationwide PPC, right? Go wide with your cold calling, all these things. I think people are slowly starting to come back to like, hey, stick to one market, probably your market, right?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
People are coming back there. So talk about how you built your lead gen. What does that look like incrementally, like percentage basis? And then talk about the sales team and how you're converting the leads that you are getting.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Starting the business at 23 years old, he was a property appraiser and now has built a multiple seven-figure-a-year transactional real estate business and owns over $20 million in assets. Tommy Haar is here. What is up, dude?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah. So talk about your internal boiler room. I love that model because you're able to, you know, I created a REI live specifically for like the newer people where it's essentially that we do it over zoom and I'm making the calls or watching you do it. It's a boiler room feel. Talk about like, what lists are you using for that? Like, what are those niche lists you're really focusing on?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And then, you know, what are you seeing as a result of that boiler room in office feel? As many of you know, I'm constantly on the move, juggling multiple businesses, traveling, and ensuring I get my morning workouts in. Staying fresh isn't just a preference, it's a necessity.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
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The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
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The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
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The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
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The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Yeah. So what would you tell the solopreneur? Like if you said right now, here, dude, here is your game plan every day. You do this. You pull this list. You make these calls. You drive these neighborhoods. What are what would you suggest for the solopreneur? Even if they've done a handful of deals, but they haven't been able to get consistent, like what would you tell that person?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Someone who's never done a deal and or they've done a couple, but they don't really have consistency on it.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
You quickly became one of my favorite people. And so I was very excited to do this. And part of it is just, you know, I'm firmly believing in your network, you know, the saying of network and net worth. But like, really, I make more money by creating real true friendships, by real connections, right? Not by spending money on ads.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
That's right. And most people knew they don't. And maybe they have some money, but I'm not a big advocate of telling them to go spend it. Right. I would rather share the sweat equity and make the dials, get the four line dialer. You're using smartphone, right? Yep. OK. And there's other dialers out there. There's Mojo cells and there's call tools and whatever.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
So I'm totally indifferent on who and what you use. They're all the same. Yeah. But at the end of the day, I believe what you believe, which I believe in going wide. We have a mutual friend, Gene, right at ISP to lead. He has different plans. And I think it's brilliant. I tell him this all the time. I was actually teaching to his community. He has the more expensive exclusive lead.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Then he has like coupon codes that they're not exclusive leads, but they're way less money, right? I believe in spending less money and having more lead options. I don't care if it's exclusive. Me, right? There's some people that love the exclusivity. No one else is working it. My true opinion, I don't know if I can totally prove it, but...
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Like that same person that they found, that same person went to other websites and have been around somewhere else, maybe not by them, but on other, they may have gone to your personal website, opted in. Now, I feel like this is exclusive because of the, I'm the only person in their world, but they also are talking to you because they found you organically. Yeah.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
So I say that to say, I believe in everyone going wide. I want you guys to talk to as many people as possible, right? Our boy, Brent Daniels talks about it, right? Like more conversations, the better off you're going to be because then, and where I want to take this conversation for you.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
then you have a sales cycle then you have a are you a good sales person or not right there's two levers that really matter marketing and lead generating and then sales yeah one is usually broken most people in at our level you're in my level most people actually feel like it's i need more leads Yeah.
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
I actually will tell those same people that have been around and still are like, you actually probably should be focusing on your conversion cycle more than driving in more leads. Yep. I agree. I agree. And so talk to us about your sales cycle. Talk to us about what you do, how many leads you're getting to a deal. How much are you spending cost per deal right now?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
Like give us some of the KPIs of what you run your team meetings. Like, Hey guys, You know, we have this many leads coming in. We're expecting this much conversion. We're expecting this dollar cost. We're expecting, what are you, what are you looking at when you're running those meetings?
The Science of Flipping
Lost $100K on His First Flip—Now He Closes 30 Deals a Month and Owns a $20M Portfolio | Tommy Harr
And so immediately, we connected in Orlando, we just basically hung out the whole time we were in a, you know, suite, the basketball game, just talking about real estate. And I was just so impressed. I'm 43. So I have a lot of years on you. But to be able to be where you're at at 30. Um, was so impressive that we just talked about this episode and we said, we got to have you on and teach.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Understand that what got you here today is probably not what's going to be there tomorrow because the real estate industry overall, the markets fluctuate so much between interest rates and housing prices and demand and all of those things that go into this crazy thing that we do that you can't become a one-trick pony and it's like surfing, dude.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And it was like, seller was notified that the house was worth way more than like 220,000 seller was given the option to joint venture partner with me where I would put all the money in and we would flip it for a profit seller declined. I mean, I just, I laid out everything that happened. So there was no way they could ever come back. Yeah.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
and say this because if you're in the business of selling houses and that is that is your business not necessarily the hostess but if you're a real estate agent in the business of buying selling homes the worst thing that could ever happen to you is a google review that says this dude stole grandma's house ever ever like that would just that that would demolish you so you've got to be very careful when you have that license of always doing what's in the best interest and
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Well, dude, we take, I mean, the room you're sitting in right now, right? This is how serious I am about it. We're sitting in my podcast studio, which is actually in my office.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
I never would have believed it, right? When things were very separated, when realtors were over here and investors and wholesalers were over here and there was a hard line between the two and I'm over in this camp, I would always say like, you're an idiot if you sell your house. I used to go on and do videos and said, if the contract says and or a signee and you sign it, you're an idiot.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
You're guaranteed you're losing money. Guaranteed you're losing money if you do that. And I never would have believed it until I personally went on appointments where people were like, no, I don't want to deal with any of it. I just want to do this. And I'm like, it's not in your best interest to do this. And yet here we are.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
all of my agents can use this whenever they want like this is they just book it and then come in we don't charge them and i'm trying to encourage as many of them to do this as we can because it's such a great medium to even if you're not trying to get like national guests like you and i i tend to have but even if you're just in business is let's say you're realtor right and in your sphere you've got all of these folks that have like small businesses or you're a lawyer or your cpa whatever having them on
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Well, I think too, there's a shift There's a shift in real estate agents as it is with the NAR settlement and now the buyer broker stuff. And like, you've got to actually, you've got to have some, some source to you to get those, those contracts signed. There's got to be some substance to you. You can't just show up and be like, Oh, there's seller pays me a cost. I'm free to use.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
So what do you care? I'm going to represent my aunt. Now it's on your hands. Like, wait a second. What are you actually going to do for this money? Cause I got to sign a contract. It says I have to pay you if they don't. Okay. That's a little different. Yeah. So we're seeing, you're seeing the bottom people wash out. You're already kind of seeing that.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
But also, I think as the thin, I would like to say as the herd thins a little bit, you're going to see more people come in that are more about the business of real estate, not about the transactional side of the real estate.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yeah.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yes.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Well, I think a lot of it, as far as what the Fed does, is going to depend on inflation, which a lot of that is also going to depend on tariffs. I think...
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
it's really going to come down to is that a big stick that trump is waving or is it really going to happen i think i think you've already seen mexico start to make some moves because they don't want it on them yeah i think justin trudeau stepped down the other day a hundred percent because of that no doubt right i think that was that was absolutely it and by the way can we how fucking wild was trump's press conference the other day unreal we're gonna have gulf of america greenland we're buying you and canada come on what is happening
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
It's like I'm watching this and what people don't understand, because I know some people that are centrist to leftist that are all up in arms at how crazy this was. And I go, this is a master class on negotiating. You just start asking for everything. And if you get a small submit, I mean, how much easier is it going to be now to get some of his agenda passed instead of buying Greenland?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
That's right. How much easier is this now?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yeah, exactly. I'll let Greenland go. Yeah.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
It's master. He's just negotiating. That's all he's doing. And people are like, it's so funny to watch.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Somebody asked me the other day, they said, what, what do you, where do you want to get to? Where's the ultimate goal? And I thought about this a lot. If I had to describe my life, the goal, where's the end goal of where I want to be? And I finally know where it is.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
It's this. You ready? Yeah. So I was watching a clip of Robert Herjavec talking about Mark Cuban and Shark Tank when they first got there. And he goes, when Mark first came to Shark Tank, he showed up wearing a T-shirt and jeans. And it was like, Mark, what the... Dude, you look like a slouch. What are you doing? Like, what are you doing? And he goes...
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Very quickly, I realized the reason Mark dresses like that is because he can't. He doesn't give a shit. And if you walk into a room and 20 guys have suits on and one guy has a T-shirt, fear the dude in the T-shirt. That's it. Because he doesn't care. But here's the thing he said. And it was a blip in that clip. Not so much. No, I don't mean I want to wear T-shirts every day.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
That's not what I'm saying. The blip in the clip that I loved was he goes, everybody is either buying or selling. And everybody is always selling to Mark. Mark is never selling. So he can do whatever he wants. And I thought to myself, I had been selling in one way or another. Every day of my life since I was probably 10 years old, I don't want to fucking sell another thing.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And showing them that you're trying to promote their business and help them.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
I want to get to the point where all I do is buy. That's it. I love that answer. Come to me. You don't like me? I don't give a shit. I'm not here to impress anybody. Don't like anything I'm doing? I don't really care. I don't need you anymore. I'm in my fortress of solitude. I could care less. I'm here to buy. Dance for me, monkey, because I'm done dancing. Oh, I love that.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Well, now they become very indebted to you. And that law of reciprocity becomes real. And they want to not just use you for their next property, but you're also very much so top of mind for anybody in their sphere that might want to do so.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
That's what I'm trying to get. I love that. That's what I'm trying to get. That's what I'm trying to get.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
I'll tell you a funny story. I told you. So the reason Colby's even here today, let me tell his listeners about this. So two other of our friends were here last week. And my Rolodex in Vegas runs pretty deep. It does. But it doesn't run fast. Like all encompassing deep. But like these guys, everything they wanted to do, right? Everything that came out of their mouth, I'd hook up.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
So it's like, oh, let's go. I heard Delilah's good. No problem. Got us an A top at Delilah, which is really hard to get right in front of the stage. No problem. Then it's like, oh, we want to see a show. We went to absent. And then I'm like, what do we do after that? Like, I don't know. And I'm thinking to myself, Bruno Mars is playing at MGM. I'm like, do you guys like Bruno Mars?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
You're like, yes. I'm like, I got a hookup at his private club. There's like a, it's like 140 people there. I took them there and Bruno performs for a hundred people in front of them. And Justin's watching all this play out. He's like, Hey bro, can we make that happen again? Like, like what can we do? What can we do when I'm coming out? Let's go. That's right. Yeah. So that's it.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
We have a great night plan.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yeah.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Go do it. Yeah. But I mean, I would say the one thing that the number one thing I tell people about podcasting is you've got to be prepared to be very real about yourself. It's funny. I just, right before you and I are doing this, I just recorded my solo podcast for the week. And when I was done, I turned off. I'm like, should I said that?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Cause literally I told a story where I woke up this morning. I woke up this morning at 5 a.m. in like a fucking panic, right? Like you wake up and you're just like, ah, like that. And this unbelievable sense of dread that my public persona had become unlikable. I don't know where it came from. I opened my eyes with that thought. And then I was like, Oh my God. And I was kind of freaked out.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
You've got to keep your eyes on the horizon for that next wave. And if people ask what my secret to success in real estate is, it's that I've always been able to catch the next wave. Yep.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
But again, so I started thinking like, like, okay, Brian holiday house goes away. How am I going to use that for fuel? Not for fire. And I'm like, I got to go read it. We had to win friends and influence people again. And today literally on my solo pod, it was like my top five books you need to be reading right now for success in, in this, in this, uh, 2025.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Let's talk about- I hope so, because I woke up this morning thinking I was unlikable.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yeah, so we have about 585 agents that work for us. We do just at 4,000 transactions a year, over $2 billion in volume. We have the highest average sales price, which when you do as many deals as we do, that's incredibly difficult to maintain that. It's because we really lean and focus on into the luxury side of things. We are a completely vertically integrated company. We own mortgage.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
We own title. We own escrow. We own everything. Anything that touches the transaction, we own.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Well, you know, and I'm a walking case study in some of that, which is it's better to go deep than go wide. And like we are ass kicked like maybe two years ago because we vertically integrate our business and we're like, oh, this is great. Look how much money and there's way more money in the auxiliaries than there is in the actual brokerage business. So look at how great we're doing.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
We should go out and vertically integrate these other businesses across the country. Got it. So we went from being very... very good to being very deep here, to being very wide. We went out and set up all these joint venture partnerships with other brokerages across the country. I mean, you're talking about Carolinas, Texas, Florida, I mean, El Paso. I mean, just really far from here, right?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Really, really far from where we were. And we brought in some folks that were talented people, but that you literally went from, you gotta understand, it's almost like moving, right? When you look, when you talk about moving, if you move, if you move from one house to the house next door or the house across the country, it's the same. And business is completely the opposite.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Because if you have a bit, if you want to open another business, open one down the street that you can drive and share product and, and help each other out. When you open another business across the country, it's its own world. That's its own thing. And it's very difficult and the brick and mortar space to try to support that. And trying to go too wide like that, we really got our ass kicked.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And we ended up selling off all of those JVs, splitting off just because it became a logistical nightmare for us to manage them. And we realized we're like, wait a second, if we put as much effort as we're putting into these nationwide JVs into our own local market.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yep.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
with this stuff will crush and it's way easier to run. So we pivoted two years ago into that. We have several JVs here in Las Vegas with other real estate companies, brokerages that we run their mortgage and their title for. And that's been very successful because it's very easy for us to facilitate that.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yeah, it's almost like when you're going to send a nasty email and then you delete it. Like Kent from Boardroom said, you know, when you leave here, don't go back and throw up all over your people, which is what I used to do. I would come back from an event, from something and say, okay. And I would literally just be bouncing off ideas.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
But my staff, because they're a great staff that works for me, would think, okay, this is what he wants. So they would put it in motion. And all of a sudden I'm like, oh, okay, I guess we're doing this because now this was an idea and now we're doing it. And everybody seems jazzed about it when in reality they were just trying to please me.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And then we would spin something up that just didn't work. And not all of our verticals have been really successful. You know, probably one of the biggest things for me in business is,
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
is mistake the biggest mistakes that i've made is i didn't bother to ask anybody if they wanted the product before i made it i just made the product okay and then and then found in some cases didn't have an audience that's right i love when people you go in their offices and they have like accolades everywhere of all the stuff they've won you don't really notice it but if you look around my office most of the stuff that's in there is miserable disasters like there's a bottle of vitamins on my desk you didn't even notice it's a hundred thousand dollar bottle of vitamins
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
What's up, man? Dude. It is about time. I think we spend more time next to each other on the podcast charts. That's right. We actually do in the same room. That's right.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Because at one point, my sister's like, we should start a multi-level marketing company based on nutritional supplements. So we went out and spent $100,000 on a warehouse full of nutritional supplements before we asked anybody if they wanted any. And guess what?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
We just lost it. And even then, you would think I would learn my lesson. But you just get so excited. I think as entrepreneurs, we get so in love with our own ideas that we just want to see them come to fruition. And we don't really think beyond, does anybody really want this?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
I think, the biggest mistake I think a lot of people make, especially when they find early success is they say, I found the thing. This is my thing I'm doing. This is my thing. I'm going to do this thing. If you look at when I first got in the real estate business and moved to Las Vegas was in 2007, right? Right into the teeth of the crash.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And this was ground central for the crash. It was Las Vegas. And when I first got here, uh,
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
started doing short sales because nobody knew how to do them i found a guy he was trying to do seminar sales he was terrible at it i was good at seminar sales so i said hey man i went to your seminar on short sales it sucked but i tell you what if you come spend a day with me i'm not gonna i'm not buying two grand for your i'm not giving you two grand for your system but if you come to vegas and personally teach me everything you know about short sales for half the day i'll teach you everything i know about seminar sales for the other half there you go
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And he showed up and I learned short sales and did that. And then that evolved into REO, which was being a listing agent for the banks. I was lender processing services, number one agent in the country in 2009. But I constantly knew like, this is too good and it's not going to last. It's not going to last. And the guys that I knew that were huge REO agents in town, like a lot of them,
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
That was 2009. It's 2025. They've never done anything else. That business went away. They just went away with it, right? Like they're just, and you would see them at like 2014, 15, like it's coming back, man. It's coming, dude, it's not coming back. So the long lesson in that story is understand that
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
What got you here today is probably not what's going to be there tomorrow because the real estate industry overall, the markets fluctuate so much between interest rates and housing prices and demand and all of those things that go into this crazy thing that we do. Yeah. that you can't become a one-trick pony and it's like surfing, dude.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
You've got to keep your eyes on the horizon for that next wave. And if people ask what my secret to success in real estate is, it's that I've always been able to catch the next wave. Like I said, when I first got here, I built a team, which I still have, and started doing short sales. And then that became REO. And then REO, I saw that fizzling down. I saw the market coming.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And then when the market turned, I got in with the hedge funds and I became a buyer for the funds and bought hundreds and hundreds and hundreds of houses with them. And then I saw that started to slow down. So I leaned back into luxury and got back into the high price point. And just whatever happens, I try to put my attention where the market's going.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Unreal. No, completely. I think that, you know, when people ask me why I do my podcast, it's the first answer is 100% always to grow my network. It's just there's no better reason.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
So what I see, I see 5.5 is the magic number. You can take it to the bank. 5-5 is the magic number. I would agree. What I mean by that is, for those of you who don't know what I mean by that, is when the interest rates hit 5-5, which hopefully will happen by the end of this year, that is going to be the number that all of the pent-up demand.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
So you understand, the buyer demand that's out there is in two buckets. You have people that have been waiting to buy a house that haven't been able to buy a house that can't buy a house because there's no inventory or rates are too high. And then you have all the people that are living in a house in a 3% mortgage that would love to be in a different house.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
But they just can't. And when that rate hits five, five, that second bucket is going to spill over. It's going to loosen up the inventory and things are going to start moving fast. Do I, you know, today I think we had interest rates were higher than they've been since July. I think was the number that came up today.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
I'm not really worried about it, but again, you have to understand I'm in Las Vegas.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
I hate to put generalizations on the real estate market as far as what's going and what's next. I think what you're going to start to see or what we are seeing as a trend, if I had to say, within people that work in the industry is realtors are getting smarter about the investment game. By the way, about time. Yeah, about time. About time. They're getting smarter.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And I think you have guys like you, like Pace Morby that have come out and just done so much in education. And people are like, wait a second. Why am I... being driven by commissions instead of, you know, what we try to tell our agents here are the commissions are not the rocket ship. The commissions are the fuel for the rocket ship.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And when you sit with somebody like this for any amount of time and you talk about their favorite subject, which is themselves, it's kind of hard for them not to have some sort of an affinity for you by the time they walk out the door. No doubt. Absolutely.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Like you should be using that money to then invest in real estate where the real wealth is made. And I think you're seeing a huge catch up. I mean, you've got our buddy Brandon now that just joined a bigger company is running an investment thing for them. Brent Tanner, we talked about earlier, does that for Keller Williams. And I think you're seeing a lot of the big brokerages really lean into.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
programs for investing for their agents. I mean, we talked about earlier today, you know, when people hear like, this guy's got all this stuff, why does he want to be a wholesaler? I don't want to be a wholesaler, but what I want to do is we're going to start wholesaling property here for one purpose only.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Our dispo is going to be 100% to the agents that work at our company as opportunities for them to either flip or borrow those properties for long-term wealth. That's the only reason we're setting that channel up.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Right.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Oh, for sure.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Yeah.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
This thing is a real estate license.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Okay, so here's the only dilemma. And I'm going to tell you, this is the dilemma, right? So... If you have a license, wholesale becomes a little tricky. Sure. And I'm just going to be honest because, especially if you become a realtor, because you're taking an oath to the code of ethics or whatever they say, that you're always going to do what's in the best interest of the client.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
So it's very difficult to go into somebody's house and you're sitting there. If you're a realtor, you got to kind of present all the options. You got to, you got to say it out there and how we do it. Right. Like for example, I'll tell you a story. I went to this, this house, this is years ago, but it's ringster today. I got a call. Hey, we want to sell our house. Okay, cool. I'll go look at it.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
So we go over and look at it. And it was these sisters that had inherited a house because her mom died. And they're looking at it and they're like, we just want 140,000. And I'm like, house is worth like two 20 as it sits.
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
And they're like, we just want 140. And I was like,
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
okay um if we put a little bit of money into it it'd be worth 300 and they're like we just want 140 and i was like okay why don't we partner i'll bring the money in i'll do all the work i'll do everything and then 140 will be your baseline and i'll pull my money back out then i put an investment and we'll whack everything else up 50 50 yeah we just want 140. Why?
The Science of Flipping
Why Smart Realtors Focus on Wealth, Not Just Commissions | John Gafford
Well, because we have two brothers that are scumbags, and if we don't just close this quick with a 140, they're going to try to move in here and lay claim to it. Okay, fine. So that contract, on that contract that I wrote on the house, and I said, is it okay with you if I just give you 140? And they're like, yeah, great, fine. So I wrote in the contract, like, it was like, four paragraphs.