45 Days from Today to First Deal Completion (CFFL 313)
45 Days from Today to First Deal Completion
Jack Butala: 45 Days from Today to First Deal Completion. Every Single month we give away a property for free. It’s super simple to qualify. Two simple steps. Leave us your feedback for this podcast on iTunes and number two, get the free ebook at landacademy.com, you don’t even have to read it. Thanks for listening.
Jack: Jack Butala with Jill DeWit.
Jill: Hey, there.
Jack: Welcome to our show. In this episode, Jill and I talk about 45 days from today to your first deal completion. Awesome show. Jill is answering 20 people’s questions, actually.
Jill: Mm-hmm (affirmative).
Jack: Hey, before we get to it, let’s take a question posted by one of our members on Land Academy’s online community.
Jill: Awesome. Nathan asks this question. “Is it better to focus on higher acreage properties out West or the higher value per acre properties more often found two to three hours outside metropolitan areas in the East?”
Jack: Excellent question, Nathan. What we talk about in the program is acreage out West does really well and in what I call our vacation properties like, let’s say, in Northern Michigan or in Florida, vacation destinations, regional vacation destination properties that you can usually buy pretty inexpensively, so it depends on your personality. Acreage properties out West are great cash flips and sometimes really good terms properties. Vacation properties though are awesome terms properties. You can drive right up to it, vacation on it, maybe eventually build a house on it. Real easy to sell on the internet. There’s people constantly looking for a weekend getaway. I think the answer is both. I just did a deal review call last Wednesday with a brand new member, who is buying 14 properties in a rust belt state. All in different areas, but they’re all basically on lakes.
Jill: What’s the size?
Jack: They’re tiny.
Jill: Ah.
Jack: They’re drive right up, infill lots, among cabins and stuff, right up on the water. He’s not paying more than $1000 per lot.
Jill: That’s fantastic.
Jack: The comps are anywhere from … We looked them all up together, right on the deal review. They comps are $20,000. He’s like, “you know, I’m just going to stick to the program and double my money.” He said, “I’m going to buy them for $1000 and sell them for $2000.”
Jill: Fly off the shelf.
Jack: I said, “dude.”
Jill: Yeah, hold on a moment.
Jack: Yeah.
Jill: If the comps are 20, maybe if you could go for 5.
Jack: That’s what I said. I said, “sell them for 5, it’s just as fast.”
Jill: Exactly.
Jack: He said, “really?” I said, “yeah. We don’t want to get greedy, but selling a $20000 property for 5 grand, making 4 on it, that’s our business model. You don’t need to do it for just 2.”
Jill: Exactly.
Jack: Or I said, “do it on a couple. Maybe if you want to double it on everything else, that’s fine. Do it on a couple.”
Jill: You need to prove it to your wife. Do that. Seriously. I’ve had guys that did that. “Ugh, I had to sell it real quick just to show my wife I could double my money, but I know I could have made more.” It’s kind of funny.
Jack: He said during the call, he said, “I scheduled this call with you because this is too good to be true.” Quote unquote. “and I want to know if I’m missing something.”
Jill: Aw, that’s nice.
Jack: “What kind of due diligence do I have to do to make sure this is real?” I said, “no, you’re not doing anything wrong. You’re doing everything right.”
Jill: Yeah. You should be running to the bank.
Jack: Yeah.
Jill: And that’s exactly what he’s doing.
Jack: That’s what I said.
Jill: Yeah. And then you know you’re doing right. Don’t change your mind, gotta get this.
Jack: But I have to tell this story, too. This guy, one of the people that he’s buying these properties from is a guy in his 80s. He has 150 of these things. He’s been collecting these properties his whole life. The kids don’t want the land. I said, “you’ve got to meet this guy for three hours and listen to his stories and make him your best friend.” He’s never been on the internet, this guy.
Jill: Oh.
Jack: “Make him your best friend and you’re going to just sell these properties with him and for him and as his partner.”
Jill: That’s good advice.
Jack: He obviously loves land.
Jill: Right.
Jack: He wouldn’t be doing this, collecting it. I think it was yesterday’s show he said, “you really have to make friends with these sellers.”
Jill: Yes. It makes a difference.
Jack: Hey, if you have a question or if you want to be on the show, reach out to either one of us on Land Academy’s free online community. Today’s topic, which Jill has just informed me that she’s going to MC, 45 days from today to your first deal completion. This is the meat of the show. Jill, take it away.
Jill: As I sat down and I outlined the basic steps, and I did this based on a Sunday only real estate investor. I’m being really conservative and I looked at this and even Sundays only, from one deal start to finish, I don’t even need 45 days. But, I’m going to space it out really slow. Here are the steps as I would do them.
Week 1. You got your feet wet now. You’re picking a county. This is your Sunday afternoon project. You’re going to do your due diligence, everything that Jack and I show you, mostly Jack.
Jack: Week 1.
Jill: Week 1.
Jack: I like it.
Jill: You like this?
Jack: Yeah.
Jill: Picking that county. Spending some time, doing some homework, making sure the numbers are there. There’s a few steps but you could do this easily on a Sunday afternoon. That’s all you did, by the way.
Now, week 2. Now you are 7 days in. Now we’re going to pull the data and we’re going to put our mailer together. We’ve done all our stuff, so now it’s a no brainer. You can do this, again, on a Sunday afternoon. You download the data, scrub the data, take out the duplicates that we talked about, take out federal governments, take out whatever it is that you don’t want to send a mailer to, obviously.
Jack: Right.
Jill: Get down to a good, working list. Jack is really good about when you’re starting out, 1500 mailers is a really good number to start with. Now we did that. Now, I’m on week 3. Now I’m starting to get some action. I got some people calling me back. I might even have some returned offers. What am I doing week 3? I’m starting to review them.
This is, again, Sunday afternoon. I’m going through all my mail, because I have a full time job, so I’m being conservative here. I’m reviewing the returned offers and doing my due diligence. That’s it. Now I’m on week 4.
Jack: Which is 30 days.
Jill: Not even that. Week 1 was 0, 7, 14, week 4 I’m 21 days in.
Jack: Okay.
Jill: I’m not even that. Week 4 I’m 21 days in and I’m buying some stuff.
Jack: I thought week 4, oh it’s the beginning. It’s the beginning of the week.
Jill: The beginning of that week, so at 21 days, now I’m purchasing some properties. I’ve identified some properties. Now I’ve spent my weekend, my Sunday afternoon, calling these people back and lining up the deals. That’s what’s happening that next week. All the checks are going out, deeds are done. All that stuff. I’ve got notaries lined up and I’m purchasing 1 property, 4 properties, whatever your budget is. You could be buying 4 $100 properties. Whatever you want to do. That’s week 4. Week 5 is, I’ve got them.
Jack: You own them?
Jill: I own them. I own them. The deeds are signed. At the same time as the deeds are being recorded, I’m marketing the properties.
Jack: Right, Jill. That’s the key.
Jill: Mm-hmm (affirmative).
Jack: A lot of people wait too long to get all that together.
Jill: Exactly. Those are happening at the same time because when the deed is signed, even though the ink is wet, I own it. I’m only recording it for public knowledge.
Jack: I would argue that you should be getting that property ready to market while the notary is out the week before that. But that’s good. You’re being conservative and that’s fine.
Jill: Exactly.
Jack: That’s good.
Jill: You’re right. I think you and I are saying the same things. When I say market, I mean it’s out there on the internet.
Jack: It’s out there.
Jill: Yeah. Not I’m putting my engineering stuff together yet. No, I’m doing that behind the scenes.
Jack: We should put a calendar together. Just like this.
Jill: I know we need to do this. Everybody’s asked for it and I think we should.
Jack: I’m writing that down.
Jill: We both are. Week 6, I’m selling it. By the way, week 6 for me is really, gosh, 1, hold please. 1, 2, 3, …
Jack: This is a radio show, hold please.
Jill: 4, 5, 6, wait wait. Week 6 should is the beginning of 35 days. So I’m just over a month in and I’m selling it.
Jack: So maybe do some stuff wrong and it takes you 15 days to sell it instead of the next day.
Jill: Yeah. I forgot to put a couple things in my posting. Like, one person forgot to put their phone number one time.
Jack: Really?
Jill: Yeah, it was the funniest thing. It was so cute. It was in our online community that they said, “hey guys, I’m not getting any action. You guys mind looking at…” I’m not kidding. “Would you please look at my posting and see what you guys think?”
Jack: That’s hilarious.
Jill: Someone piped up and said, “you forgot to put your phone number in there.” And they’re like, “oh, duh. That’s why I’m not getting any calls.” So in 45 days, you very calmly, realistically, could have identified a market, got a mailer out there, found a seller, bought the property, recorded the property, marketed the property, sold the property.
Jack: Well done, Jill.
Jill: Not crazy.
Jack: Well done.
Jill: That’s how you do it.
Jack: She’s giving herself applause.
Jill: I don’t know what that gesture is called right now, but that’s what I was doing.
Jack: You’re ridding yourself of it.
Jill: Yeah.
Jack: With your clapping hands. Done.
Jill: It’s done. It’s out. It’s done. So there’s my 45 days.
Jack: I call it cash in cash out.
Jill: Yeah.
Jack: 45 days.
Jill: It’s not crazy.
Jack: No, it’s not crazy at all.
Jill: You know it’s funny when you do a 45 days. Oh my gosh, that sounds like insane. What? That’s fast. Wow, I mean, I buy a house and it takes me 45 days to close and it took me 6 months to find the house. I’m confused. It’s not crazy.
Jack: Yeah.
Jill: I just spelled out it can be that. You can take your time and you can breathe and you can have your full time job and still have a family that loves you because you’re not holed up somewhere. You really can do it. But a lot of the keys are you have a good team behind you, you’ve got a lot of this stuff already figured out.
Jack: You’re really organized up front. That’s the key.
Jill: You know what you’re doing going in to it. You’re not learning how the hard way.
Jack: That’s a benefit of being in a group and having an inspirational support group. If any along the way, any of this stuff doesn’t make sense, reach out to the other people in the group and they’ll help you.
Jill: Yeah. That’s what’s so nice about our group, too. You’re right. I just explained that scenario like, “hey guys will you guys look at my posting and see if it looks good?”
Jack: Mm-hmm (affirmative).
Jill: Where else do you …?
Jack: Yeah that’s a great …
Jill: You know, like you had a call a few weeks ago like that and it was so nice because you came back and told me about this, Jack. I think the beginning of the phone call was 5 minutes of nowhere else have I experienced this type of support and help.
Jack: Yeah. Not even just for real estate. Just for anything.
Jill: Any way. And it’s free, by the way. It’s not like I’m paying. Everybody’s here to help each other.
Jack: Uh huh.
Jill: Period. No one’s here to step on each other’s deals or take anything. Everybody’s here to help each other. There enough deals.
Jack: Oh my gosh.
Jill: Right? I’m surprised you guys were going to close our group. There’s definitely going to be enough deals.
Jack: Millions and millions and millions of vacant property in this country. You notice how we don’t get that question anymore? I think we’ve actually covered it.
Jill: You know you’re right.
Jack: Some new people are real concerned that counties are going to get over mailed.
Jill: Exactly.
Jack: It just doesn’t happen.
Jill: Nu uh. Yeah you’re right. There’s still a few little misconceptions out there and I hope this answers one of them.
Jack: Well done, Jill. I’m going to wake up from my nap now, thank you.
Jill: Okay thank you.
Jack: Join us in another episode where Jack and Jill discuss how to use information, that’s me …
Jill: And timelines and inspiration, that’s me …
Jack: To get just about anything you want.
Jill: I’m usually not this organized. We use it every day to buy property for half of what it’s worth and sell it immediately.
Jack: You’re not alone in your real estate ambition. Jill, you’re smart and pretty.
Jill: Funny. You know, in this world, boy have I learned. I used to be really really organized and I had little systems, but I think it was more anal than organized.
Jack: Yeah. Oh, right.
Jill: Right?
Jack: Yeah.
Jill: I used to think I had great organizational skills. No. I’m really good at putting things in piles and maybe shredding some things.
Jack: I think we’re so, as a society, were so used to being hard on ourselves instead of saying, “you know what? I don’t really like doing paperwork. I’m going to let these guys do it. They do it all the time anyway. I’m going to be a deal maker.”
Jill: You know, Jack, that’s one of the things I love about you. You have very, very nicely in the last several years pointed out to me the things that I’m not good at.
Jack: What?
Jill: No it’s okay. No, in a healthy way.
Jack: All right.
Jill: No like “Jill, don’t sing.”
Jack: Oh yeah. Never sing.
Jill: There you go. How could someone say that? That’s what I mean. And all along I’m thinking I’m doing a good job and you’re like, “no no no. Don’t even mouth it. Just stand there and smile. It’s all good.”
Jack: Get the windows tinted and sing in your car by yourself.
Jill: Thank you. I do that. And I’m very happy with that.
Jack: This is fun.
Jill: I don’t even sing in the shower, have you noticed?
Jack: Uh huh, I have.
Jill: I do not.
Jack: What am I really bad at? There’s gotta be a list of stuff.
Jill: Oh I have to think about that.
Jack: I’m very good at computers and I have patience, but I have very little patience for a lot of stuff.
Jill: Yeah.
Jack: Patience is not one of my things.
Jill: You know, Jack, I have to think about that now. You’re good at a lot of stuff.
Jack: Patience, man.
Jill: Yeah. But I’m trying to think of like a task that you’re … It really comes around patience. You’re right. You’re a great writer, you can play the drums, you’re good at any physical thing. I’ve never seen you really struggle at a physical activity.
Jack: That’s a nice way to say you’re good in the sack.
Jill: Hahaha. Not where I was going with that, but I’m glad that you feel good. I don’t mean to say that you’re not. I don’t want to put my foot in my mouth there.
Jack: Never seen you struggle with anything physical.
Jill: Oh my gosh. No, what I mean is anything … If someone put you on a motorcycle, put you in a whatever environment, you’re going to jump in and figure it out, you know.
Jack: I am extremely bad at replacing the headlight in a Lexus. If anyone out there has ever replaced a headlight on a Lexus, there’s 17 million parts in there. It’s not like you’re used to screwing in a light bulb like in the 70s and 80s.
Jill: Okay.
Jack: So, stuff like that, no patience.
Jill: Yeah. I’m very happy. I think you’re great.
Jack: Most IT stuff I’m not good at. Sometimes I am. I don’t know. I don’t know how this got turned around on me. I guess I asked the question, didn’t I?
Jill: You kind of did.
Jack: Except for singing, I think you’re doing fine.
Jill: Thank you.
Jack: Information and inspiration to buy undervalued property.
If you enjoyed the podcast, please review it in iTunes . Reviews are incredibly important for rankings on iTunes. My staff and I read each and every one.
If you have any questions or comments, please feel free to email me directly at jack@LandAcademy.com.
I would like to think it’s entertaining and informative and in the end profitable.
And finally, don’t forget to subscribe to the show on iTunes.
