Land Academy Members Rowdy & Kyria Baker (CFFL 429)
Land Academy Members Rowdy & Kyria Baker (CFFL 429)
Jack Butala: Jack Butala with Jill DeWit
Jill DeWit: Hi
Jack Butala: Welcome to our show today. In this episode, we talk with Land Investor Members, Rowdy and Kyria Baker.
Jill DeWit: Yay
Jack Butala: Before we get into it. Sometimes I do that cause I just want to see what you are going to do.
Jill DeWit: I just waited, like one one-thousand, two one-thousand [crosstalk 00:00:21]
Jack Butala: Before we get into the interview, let’s take a question posted by one of our members on landinvestors.com online community. It’s free.
Jill DeWit: Okay. Kathleen asks, I’ve seen this before NPV. Okay, my non-accounting brains says, what the heck is this and how is it calculated? I get the basics. It’s the difference between the cash-in flow and a cash-out flows. But how can I apply this? This is so good. When pricing parcels for terms deals? All right, so somebody already weighed in here. Scott. Todd.
Jack Butala: Todd, this is a direct. Everybody loves Kathleen. She has a PhD in psychology.
Jill DeWit: I know
Jack Butala: NPV is Net Present Value. All right?
Jill DeWit: Okay
Jack Butala: This is near and dear to my heart cause that’s why were all here.
Jill DeWit: Exactly.
Jack Butala: We’re all here to make money.
Jill DeWit: Right
Jack Butala: We’re not here cause it’s cool to build land. I mean it is cool to build land.
Jill DeWit: Right.
Jack Butala: We’re really here to make some money. So, go ahead Jill.
Jill DeWit: Okay. This is going to be a long, brainy answer.
Jack Butala: Yes, it is.
Jill DeWit: I just want to warn everyone here. As a land investor.
Jack Butala: Cause it’s important.
Jill DeWit: This shows going to be like an hour long.
Jack Butala: No, it’s not.
Jill DeWit: Yes, it is. All right.
Jack Butala: Actually, it is.
Jill DeWit: So, here’s one answer by a member. As a land investor, you are probably very interested in large parcels of land. There is something very exciting about buying a 40, 80 or 160 acre parcel of land. It’s land investing version of big game hunting. But, bagging that large parcel is not always a great deal, let me show you why.
Jack Butala: Ding, ding.
Jill DeWit: [crosstalk 00:01:57] interesting.
Jack Butala: I love this. [crosstalk 00:01:59] I know it’s lengthy, but it matters.
Jill DeWit: First, we are going to have to break out our financial calculators. If you don’t have one, I suggest an online version. Before you break out into a sweat, understand we are only going to be using a few keys.
Jack Butala: And, it’s the term of the sale. How many months? How many years? I is the interest. They call it a yield but it’s really interesting. PV, present value. This is the present value, in fact, where you enter the investment, the amount paid minus a down payment. And PMT is payment, monthly payment. Here’s an example, I purchased a 40-acre property for three-thousand bucks. That sounds great. When I sold the property, it was $500 down and $200 a month for 72 months. Now, let’s see what the yield is. What were really, if you’re bored by this, then this is not the right business for you. Cause I love this stuff.
Jill DeWit: I know.
Jack Butala: N equals 72, 72 months. PV, present value equals 2,500. It’s actually technically minus 2,500 because it’s money paid out. And it’s $3,000.00 minus 500 is 2,500. PMT is the payment amount, $200.00. So, now we solve for I, our yield. What is yield, Jill?
Jill DeWit: I waiting.
Jack Butala: Press the I key. It thinks for a while. And then it displays, 7.97. This means I’m earning 7.97 per month. Next, multiply that times 12 and you’ll see your annual return is 95.6. Not bad, right? 100 percent return. It’s that easy. And it’s incredibly important. You can tell this guys age, he’s probably my age because we use to do this before computers. We would have a Hewlett-Pac HP12c, Hewlett-Packard. It’s required in Accounting school.
Jill DeWit: Got it.
Jack Butala: Not anymore though.
Jill DeWit: Got it.
Jack Butala: Cause you can have a computer programs for stuff like that.
Jill DeWit: Got it.
Jack Butala: So, maximize the, on every deal you should be doing this, I’m not joking. And I bet you a dollar nobody does it.
Jill DeWit: Right.
Jack Butala: If you have a question or want to be on the show, reach out to either one of us on landinvestors.com. And you should be making a triple, you should be seeing 100 percent yield on every land deal or you shouldn’t do the deal.
Jill DeWit: Exactly, doubling your money.
Jack Butala: Today’s topic, we interview. Jill and I interview Land Academy Members Rowdy and Kyria Baker.
Jill DeWit: Chat with Land Academy Members Rowdy and Kyria Baker. So, here’s a little about them. Rowdy and Kyria are from East Texas. Rowdy raises cattle and owns an organic fertilizer business. Diagnosed with lime disease over 20 years ago, Kyria set out in search of another form of income to ease the financial burden for their family. After a long search starting with, one of my favorite books, Rich Dad, Poor Dad. And thousands of dollars on the wrong seminars, Kyria noted the ones you always warned us about, they found us. And they wrote quote “We are so glad we did. Every step we take, we look at each other and say, by golly, it works.” Welcome Rowdy and Kyria.
Rowdy Baker: Wow.
Kyria Baker: Thank you.
Rowdy Baker: Thanks.
Jill DeWit: You guys are making me tear up as I was just now reading that again, too. I’m so happy to hear that.
Rowdy Baker: My initial reaction is that you both need to raise your standards.
Jack Butala: I can agree with that.
Rowdy Baker: No, no. It’s been a wonderful deal so far. Just can’t wait to do more.
Jill DeWit: So happy, so happy. I think shared how you found us so tell us some more. Gosh, in your words about your journey and what’s been going on.
Kyria Baker: Well, we started into the real estate with the Rich Dad, Poor Dad about a year and a half ago, I guess. Like you said we did, too many seminars, too much money for vague educational classes. No really practical help. So, when we found you, we were reluctant. We did find Mark first, but we didn’t sign up for his because by that time we were very leery of signing up for anything else. After looking at him and then finding you and looking at you, we liked your approach better and we decided to take one more chance. And we’re really glad we did.
Rowdy Baker: You know, we’ve spent a lot of money and I can tell you want I don’t like. That education is worth a lot to know what you really don’t like and what you don’t to do. The land has just been refreshing. I’m kind of skeptic, so it kind of took us a while to bite the bullet because I was like we spent too much already. Don’t want to go there. I’m tired of spending money. We have debts now that we need to pay off and it took us a while to decide. But once we did, we jumped in and been running.
Jill DeWit: I’m so glad. So [inaudible 00:07:56], can you give us an idea of some the deals that you are doing? How it’s helping now and where you are?
Rowdy Baker: [inaudible 00:08:05]
Kyria Baker: The first one we did was one of those, I kept hearing you say, you’re never going to have it perfect so go ahead and do something. I just pulled the trigger on a little bitty, back tax property in Arkansas. When I got the deed, I didn’t even really know what I had gotten. It had turned out to be a little 30 by 30 lot. I was like, I have messed up. But, I figured I wasn’t into it for very much money. The funny thing is, we sell that property and made a little bit of a profit, not a whole lot. It was encouraging to actually wholesale it to somebody else, who we told them over and over again, this is what it is. We couldn’t even find it. He was like, I know, it’s fine, it’s great. The first was kind of, I figured I’d made my mistakes, but even at the mistakes I still made money.
Rowdy Baker: We were doing that while we were waiting for our first mailer
Kyria Baker: Yes
Rowdy Baker: To come through. I would say would probably one of those people, Jill you would say, not yet. Get a little money and then come back to us. But, we [inaudible 00:09:31] backs against the wall and we had to do something. One of the things that our previous experiences taught us is we don’t say we can do this. We say, how can we do this? We started doing buying of properties from counties and states while we waited on our mailer. We made a lot of, I wouldn’t say mistakes cause we made money out of each one of them, but it’s definitely had some curve balls thrown at us that we’ve had to figure out. Which is just part of the learning curve and it’s all worked well for us.
Jill DeWit: I’m so glad. You guys are giving me goose bumps by the way. I’m so happy. Isn’t that great? You think, you say, oh we screwed that one up, we only made X.
Kyria Baker: Right
Jill DeWit: We really didn’t [crosstalk 00:10:27] screw anything up. But that’s okay, like you said, you’re learning and I give you guys some credit. We just did a show about this this week. At what point you have to just go, okay, here we go. We are going to do this. And you guys did. All right. [crosstalk 00:10:50]
Kyria Baker: Yeah so.
Jill DeWit: And you won’t give up and that’s good.
Kyria Baker: Yeah, not giving up is important cause the list of things you said. You need to have. I don’t think we had very many of those. We did have a little bit of experience but only a year and half worth of real estate in general. Although we have been entrepreneurs most of our lives. [inaudible 00:11:13] in the other business, we’ve done. I didn’t know a whole lot about Excel spreadsheets but it turns out I’m pretty good at them. All I had to do was go start learning. I just followed tutorials on putting together a website. We did a mailer of 750 was our mailer. Doing pretty good. We got quite a few results from that.
Rowdy Baker: Well, we ended up getting 23 purchase agreements or signed agreements. Most of them, we went for 5-acre properties. It was funny when we got to talk to the people on the phone, yeah, I’ve got this 5-acres but I’ve also got another 20-acres. Out of 750 letters, there’s probably going to be, I would say 30 deals out of that.
Jack Butala: You know that’s spectacular, right?
Rowdy Baker: Yes. [inaudible 00:12:23]
Jack Butala: Out of the first mailer, that’s spectacular.
Kyria Baker: Yeah
Rowdy Baker: We were scared to death. We knew from real estate and a lot of the classes we had, most real estate investors get so bogged down. Do I do it? Do I not? Where do I go? What do I do? We just finally picked a county in west Texas and just did it. And then the whole time we are going, what if nobody calls us back?
Jack Butala: Yeah
Rowdy Baker: And then it started flooding and it seemed like I was talking to people all night long, every evening. That’s been super.
Jack Butala: So, what if you go back and send out 4,000 letters? What would happen?
Rowdy Baker: Right. [inaudible 00:13:14] it be mind boggling.
Jill DeWit: Hopefully you would quit your job.
Rowdy Baker: In fact, I’m already thing. I’ve been thinking it for a while. We need to give it another couple of months and then I want to resend that [inaudible 00:13:32] county but on larger acreage.
Jack Butala: Yeah, exactly.
Jill DeWit: Perfect
Jack Butala: You know west Texas is great for parcel splitting. Especially that large acre property. You can just call the county and say I want to make this six properties and then usually do it.
Kyria Baker: Yeah
Jill DeWit: That is [inaudible 00:13:50]
Jack Butala: That’s awesome. That’s really truly awesome. Like in the true sense of the word. We don’t get that return Jill.
Jill DeWit: Right? I’d say, without naming any specific counties, can you share what was your biggest deal so far? Bought for this, sold for that.
Kyria Baker: Well, there has only been three or four that we’ve done cause we are strapped for acquisition funds. But the west Texas one that we started with, bought for five hundred and are selling it on terms, it’s going to be about eighteen eighty.
Jill DeWit: Nice
Jack Butala: Wow
Kyria Baker: And he bought it as a surprise for his wife for their anniversary. He said she was thrilled with it when he took her out their.
Jack Butala: Wow
Kyria Baker: And he took a picture of it and he sent me a picture and there is an abandoned care right in the middle of the picture. Seventy-three Cadillac in the middle of the picture. He didn’t care. He was happy.
Jill DeWit: Great. It’s a bonus.
Rowdy Baker: Right [inaudible 00:15:02]
Jill DeWit: I love it.
Rowdy Baker: We managed last month, we did three deals. While we were getting ready for the podcast, we were back and forth with a guy on two more parcels. I worked into with another wholesaler. He’s buying land from me and he contacted me last night. Things are moving on and right now we are in the process of buying thirteen more parcels.
Jack Butala: Geez
Rowdy Baker: It’s coming along.
Jill DeWit: Wow
Jack Butala: Man, I have no other way to say it but super impressed. I mean it.
Kyria Baker: Thank you
Rowdy Baker: Thanks
Jill DeWit: So good
Kyria Baker: Really, we thank you.
Jack Butala: Well, thank you but I’ve got to tell you, I don’t think it’s us. I mean, there are a lot of people that have access to the same information and you guys are making it work for you without whining a lot.
Rowdy Baker: But
Kyria Baker: You just haven’t heard any whine. [inaudible 00:16:10]
Rowdy Baker: There’s day you go, what am I doing? There’s a high when you buy and sell. Then after it’s over for a couple of days, when there is nothing going on. You are pushing your properties and you are looking at properties and there’s just kind of a lull, you are going, man is that a fluke or what? Come on. And then things pick back up and there you go again.
Kyria Baker: Yeah
Jack Butala: You know some people call that an addiction.
Rowdy Baker: It can be very, very
Kyria Baker: Yeah
Rowdy Baker: A good addiction.
Jack Butala: I absolutely have that addiction. I completely agree you with. When it gets quite for a minute, especially around the holidays. I’m like man, screw these holidays, I can’t wait till this is over cause I need my fix back.
Rowdy Baker: Here is one thing that I would say, I’ve actually got to talk to a couple people that have found me on success plant and called a discussed the program, whether to buy in or not. One of the things that I tell them is it ups and downs but I listen to the podcast continuously and over and over. If I’m not doing real estate, I want to be thinking about real estate. It keeps that lull out of the way so I may not be actually selling or buying right now but I’m thinking about real estate and the different things I can do.
Jill DeWit: That’s awesome
Jack Butala: That’s amazing.
Jill DeWit: That’s a good tip, too. That’s so good. You’re getting more knowledge everyday, too.
Kyria Baker: Yeah
Jill DeWit: That’s probably really good. What are your goals? Have you outlined what you want to do this year? And then the next few years?
Rowdy Baker: I think our biggest thing is we’ve put it on ourselves to be out of our old financial debt in two years time. Everything we’ve doing is pushing to get out of that debt because that will free us up to do a lot more.
Kyria Baker: Yeah, kind of a laser focus. Our daughter is getting married next month. Our son just had our first grandson. We are looking at empty nest and we’ll just really be able to focus on this. I’m really glad to have something we can focus on together and just really work hard.
Rowdy Baker: Right now, one of the things I’m working on is getting some money people. When I first got into the real estate of starting to do a house bit, I thought I knew a whole lot and took some investors and went out and bought some houses. They’ve made money but we’ve had a whole lot more issues than what I thought we would or what they thought we would. I said, before we got to the point in land, that I wanted to know the system in and out before I brought any money people into the formula. I think now we are getting confident that we know the system. There are going to be things that come up that we don’t know but we know how to find the answers. We are to the point now we are getting ready to bring some money people in that really don’t want to do anything except see their money grow.
Jack Butala: Yep. That’s great. You know, we are starting a website called Land Crowd Fund. It’s not going to happen super soon. That was my next question Jill. Do you mind if I jump in?
Jill DeWit: Yeah, go right ahead.
Jack Butala: Let’s say you had two or three hundred thousand bucks, what could you turn it into in a year?
Kyria Baker: Well, we could easily double it.
Rowdy Baker: Yeah, easily double. There’s no doubt about that.
Jack Butala: Can’t buy publicity like this [inaudible 00:20:56] Jill.
Jill DeWit: I know, this is so good.
Rowdy Baker: I would say, buying in the right locations, that it wouldn’t surprise me if you couldn’t quadruple it.
Kyria Baker: Yeah
Jill DeWit: Wow
Jack Butala: [crosstalk 00:21:15] I’m sorry, go ahead.
Kyria Baker: No, go ahead.
Jack Butala: I always say double, even though I know you can quadruple it, cause people don’t believe me.
Kyria Baker: Yeah, double is the bottom level. We spend a lot of time in Tennessee. We’ve been looking over there. You know you say, east of the Mississippi but really it’s kind of a little bit from east Texas here all the way that way, prices really go up on land per acre. The greener it gets the more they want. We’re in the oil and gas industry, we are in the capital of oil and gas industry. Everybody thinks their property is worth way more than it is. Sending the mailers is how you find the people who, like you said, have a situation and just want to get out.
Jack Butala: Yep
Kyria Baker: It’ll work here, too, it’s just a different model.
Jack Butala: So, what is your approach? Who’s the phone talker between the two of you?
Kyria Baker: Rowdy.
Rowdy Baker: That would be me. It’s funny. We’re definitely a team. She has a lot of time to do the computer work and the numbers and to dig into stuff. And I’m the guy that will call somebody up and just go talk to him and befriend him and then get down to business and make the deal.
Kyria Baker: Yeah, we work better as a team.
Jill DeWit: That’s cool.
Jack Butala: Yeah, it is.
Jill DeWit: Kyria you are doing what Jack does and Rowdy you are doing what I do. I love that.
Kyria Baker: Definitely
Rowdy Baker: Definitely
Jill DeWit: That’s cool.
Jack Butala: West Texas is great. I’ve done a ton of deals in Tennessee and I love that area, too. And the Arkansas thing, it’s come full circle for a second. I’ve never talked to anybody who’s purchased back tax property in Arkansas who’s lost money.
Jill DeWit: Yeah
Jack Butala: You don’t make as much as you usually do from the mailers but it’s fun. And it’s fun to just look through those lists and pick some stuff out and just get your feet wet that way.
Rowdy Baker: It would be so easy, Jack, to just go with the mailers. But coming in, I knew what our finances would be and I knew I had to figure something else out. We get really low ball land from county and state sales. I can take and turn that into several hundred dollars profit and then take and put that money into the mailers buying the better land.
Jack Butala: Right. Oh yeah, sure. [crosstalk 00:24:22] Your using it to fund the higher margin stuff. I see.
Kyria Baker: Yes
Rowdy Baker: Right
Jill DeWit: Brilliant
Rowdy Baker: It’s just something to kind of keep going in between acquisitions and sales of the better property.
Jack Butala: I love it. I bought a 5-acre property off of that list like eight years ago and we sold it for like fifty or sixty thousand bucks.
Rowdy Baker: Wow
Kyria Baker: Wow, yeah.
Jack Butala: So, there’s some gems in there [crosstalk 00:24:51].
Kyria Baker: It’s up in the Ozarks
Jack Butala: Yeah
Jill DeWit: Really
Kyria Baker: It’s popular. And I’ve been selling off of Facebook. We’ve had one wholesale buyer that came through land [inaudible 00:25:03] and everybody else has come through Facebook groups. Besides just raw land groups, you type in the area that you are in, like if it’s the Ozarks. There’s umpteen Facebook groups for the Ozarks. You go and advertise your land on there and you get lots of people.
Jack Butala: Wow
Kyria Baker: I sold my little one-tenth acre lot for $1,000.00.
Jack Butala: Wow. So [crosstalk 00:25:32] are they real estate specific groups or are they just Ozark groups?
Kyria Baker: No, they are just Ozarks groups. [crosstalk 00:25:39] There’s not real estate.
Jack Butala: Quilting in the Ozarks and then you post it on there.
Kyria Baker: As long as their rules say that you can. Some of them say they are just for us to hang out, no selling. A lot of them don’t care. A lot of them are looking for land in the Ozarks.
Rowdy Baker: And I will put this disclaimer on there. You are going to get a lot of tire kickers that way.
Kyria Baker: True.
Jill DeWit: Ah.
Rowdy Baker: You know that’s something you put out there on Facebook like that. If your not willing to spend the time and talk to people and go through and find the right person. You are going to hate it. But, the $1,000.00 property, we sold it for a thousand and paid $50 for it.
Jack Butala: Exactly.
Jill DeWit: There you go.
Rowdy Baker: So, it’s worth it.
Jack Butala: [crosstalk 00:26:33] your a hundred of those and there’s tens of thousand in that list. Anybody can go get it. There’s tens of thousands. [crosstalk 00:26:40] You could make, if you sat down and did that for ten hours a day for like a month, you could make one hundred grand.
Rowdy Baker: Yes. My goal on that end, is I would like to do ten of those properties a month.
Jack Butala: Perfect.
Rowdy Baker: That will bring in some needed income as well as give me money to go acquire my other properties.
Kyria Baker: Yeah, do the mailers.
Rowdy Baker: And more mailers.
Jill DeWit: Beautiful.
Jack Butala: This whole Facebook thing reminds me, I’m glad we are talking about it. I’m so glad you are on the show by the way. Jill and I have this other, we don’t even talk about it on the podcast I guess until now. But we have another company in the works where we go in and buy property, whether it’s land or house, and then we notify everybody in the local area. Let’s say one or two or three miles out from where the property is, depending on how rural it is, and say we are going to sell this property on Friday and here’s the price. Make any in all offers that you can make. We own it free and clear and that’s what we are selling it for. We haven’t launched a trial property yet, but it’s all based on geography not necessarily on the industry.
Kyria Baker: I like that.
Jack Butala: I’m using what you just did and described a little. I can check that off my list as a little incubator trial period cause I know that now. You are confirming what I really thought would happen.
Kyria Baker: Yeah. In the west Texas one, there are people who do Facebook groups because they absolutely love the area. I had people fighting over my property out there.
Jack Butala: Wow
Kyria Baker: My first buyer fell through. She fell through, she never would finish up. After warning her several times, I put it back on and a guy snapped it up within 30 minutes. He said, man, I missed out the last time you put it up. I’m so glad it’s back.
Jill DeWit: Wow
Rowdy Baker: One of the cool things with the mailers; I had this guy, he called me. He’s like I don’t want to sell my land. I thought we were going to have a confrontational deal so I got ready. I’m like that’s your choice, that’s just an offer out there. I didn’t mean offend or anything. He said, oh no, you don’t understand, I want to buy land from you. I want to add to that. [crosstalk 00:29:15] I was like, okay, good. Not knowing anything about that area, I’m like, well okay, tell me what you want? How big? He said, I’ll put it this way, I have a four-wheel drive truck and like to drive my truck and shoot my rifle and I need plenty of land to do it. I help him and when I find something that works for him, I let him know and he’ll take it.
Jill DeWit: I love it. Thank you so saying it, too. I swear I’ve talked to that guy. [crosstalk 00:29:46] People tell me I’m crazy. I’m like, no, you just have to reach the right person. There are people out there that you say, all right, if you’ve got a four-wheel drive and a GPS and they are like, yay. They are all excited and that’s like that guy. That’s his dream property. Just because it doesn’t sing to us, doesn’t mean it’s not for somebody else.
Rowdy Baker: I spent probably 30 to 45 minutes on the phone with him and that’s an awful long time. I knew that if I could figure out exactly what he wanted, I could buy and sell it to him right then. We’ve spent enough time together on the phone that we made a connection where I’ve called him up and said are you out there? Can you take some pictures for me? I’d love to. He’ll go take pictures and send them back to me.
Jack Butala: Wow
Jill DeWit: That’s great. It’s all good. Do you have anything you want to share for anyone that’s thinking about this? Or any advice that you have?
Rowdy Baker: Well, I think attitude is important.
Jill DeWit: Good.
Rowdy Baker: It’s not you can’t do it. You think out of the box and you figure out, how to do it. Now there are somethings that we figure out how we can do it and then we can sit down and say no, we really don’t want to do this. And that’s fine. At one point in our career, I was big on reading everybody in the world. Well, I’m not the reader, I’ll admit that. Listening to DVDs or Kyria reading to me or CD’s and a lot of motivational books and this. Really out of that phase, sooner or later you have to quit reading motivational books and do it.
If you are going to do raw land, you don’t need to worry about what else is out there. Just stick with the program, contact people on success plant. Most of them that I have met on there will private message you. They will even give you their phone number and say call and let me help you out. People say that knowledge is power. I kind of disagree with that. Knowledge is kind of a new wrinkle in the brain. You have some drive and determination to put with it and then it become power.
If you are not doing deals right now, immerse yourself with the podcast, with success plant. If you have problems, ask.
Kyria Baker: You saying act on what you learn.
Rowdy Baker: Very much so.
Kyria Baker: I would say, never give up but at the same time, when you get really tired in the evening and you have been pushing hard and you are just exhausted, let it go. But don’t make any decisions when you are exhausted. I have to relay on a wheelchair a lot of times and so people need to realize that this is the type of business that does not require good physical health or mobility or anything like that. That’s why I love it. When we were doing real estate the other way, I had to go look at houses and I had to do things that were really, really hard for me to do. It just was not working. [inaudible 00:34:07]
Rowdy Baker: I still cringe, Jack, when you say something about driving for dollars.
Jack Butala: Oh Geez. So silly. [crosstalk 00:34:16] efficient than that. Nothing.
Rowdy Baker: We did it and did it and did it. There’s no telling how many miles we put on the vehicle and hours. We really didn’t gain anything out of it.
Jill DeWit: Yeah
Jack Butala: What do you mean your wife reads to you?
Kyria Baker: We take long trips, not driving for dollars. But we drive to Tennessee a lot for my medical reasons. I’ll read out loud to him while he drives, out of whatever book is interesting us at the moment.
Jack Butala: The only thing Jill’s ever read to me, is the riot act.
Jill DeWit: That’s not true. Your silly. I read a menu the other day to you. Just kidding. I’m just kidding. I love it. You know you just brought up a such a good point, Kyria, thank you. I look at it like, I love this because we can do this from anywhere. I could be in another state or another country. But you see it as I could be anywhere, meaning, I could be on my couch, if I need to. This is a great thing for a lot of people and I didn’t even look at it like that.
Jack Butala: I didn’t either [crosstalk 00:35:35] not even one time did that ever cross my mind and that’s a great point to convey. [crosstalk 00:35:44]
Jill DeWit: Exactly.
Rowdy Baker: Last October, she was in Tennessee the whole month at the clinic. I was back in Texas most of the time. She operated from Tennessee best she could. I’d take care of the calls. We had some issues going on and I went through my telephone list and I called each person that I had talked to and I told them we are having some major health issues right now. I just want you to know I haven’t forgotten about you. How big of a hurry are you in to sell? I prioritized them. When we got over that hurdle, I came back to them.
Jill DeWit: It’s brilliant.
Kyria Baker: Yeah, it’s very flexible business.
Jill DeWit: It sounds like you guys have, you know that feeling where you can tell you are solving problems for people. Everybody’s so happy. Me personally, I get a lot out of that.
Jack Butala: Yeah, that’s why we started Land Academy.
Kyria Baker: You solved all kinds of problems for us. You really have.
Jack Butala: Wow. Again, I’m so happy it worked for you guys, but we can’t take that much credit. There are people who most of them are not in our group, or if they were they are not there any longer, who just can’t grasp it. My hat’s off to you guys for making your version of it work.
Kyria Baker: Well, we appreciate it.
Rowdy Baker: We really do. We enjoy it. I did not enjoy houses. My deal was, I’m in debt, I have to do this now. When we first stated this, Kyria was going to do this by herself. I said you know I’ve already learned houses, I need to keep going with the houses. I’d bought a few and basically wholesaling houses. I said I need to keep that up because I know what to do there. It was like, it’s so much easier. So, I dropped the houses and haven’t looked back.
Jack Butala: Amazing.
Jill DeWit: That’s awesome. This is much easier. I’m sure we all talk about it. It is scary doing the house flip thing. And like you said and the sad stories you’ve heard of the losses in the world. This is much easier.
Rowdy Baker: Yes. In fact, one of my teachers at a class that I had, he lost a million dollars on his first. He tried to develop an area of land and put in a subdivision.
Jack Butala: Wow
Rowdy Baker: I was thinking well, he’s suppose to know what’s going on and he can loose a million dollars, what can happen to me?
Jack Butala: Yeah, exactly.
Kyria Baker: In those educational classes, we only ever got taught that raw land, the only way you can invest in raw land is if you were able to predict which area was going to develop next and buy before the prices went up. That was the only thing they ever taught us about raw land. [crosstalk 00:39:35]
Jack Butala: That’s ridiculous.
Kyria Baker: Yeah, buy it and hold it.
Jack Butala: The conventional wisdom among a real estate establishment is exactly that. If I had a nickel for every time my dad even said this, you can’t make money with raw land. It’s hilarious. But you can make money buying property for half of what is worth.
Kyria Baker: Yeah
Rowdy Baker: Yes
Jack Butala: That’s my argument. That’s the business [inaudible 00:39:58]. It might be land, it might be a lot of stuff.
Kyria Baker: True
Jack Butala: Well, it was pure pleasure to speak with both of you. I feel pride, Like parental pride, honestly.
Jill DeWit: Me, too.
Kyria Baker: Well, we are hoping to come see you all in November if you do that big meet up in November.
Jack Butala: Thanks Kyria, now we have to do it.
Kyria Baker: We’re saving for plane tickets.
Rowdy Baker: I’ve already been on land, looking at flights and all of that. So, yeah, we’re coming.
Jack Butala: That’s all Jill needs to hear.
Jill DeWit: Might be a real small group, there’ll be four of us. [crosstalk 00:40:45]
Kyria Baker: Hey, we’ll do it. We will do it.
Rowdy Baker: Ride’s fine, we’ll still do it.
Jill DeWit: Love it.
Jack Butala: Thank you so much for both of you joining us on the show today. This is sure to be a smash hit episode for us and [inaudible 00:40:59] it.
Kyria Baker: Well, thank you for having us.
Rowdy Baker: Thank you. We’ve certainly enjoyed it.
Jack Butala: All right.
Jill DeWit: Congrats on your success and your wedding and your grand baby, too. I’m like, good stuff going on right now.
Kyria Baker: Busy year for us, yes.
Jill DeWit: Yes
Jack Butala: Thanks so much. We’ll talk to you soon.
Kyria Baker: All right. Thank you.
Rowdy Baker: Thanks. Bye, bye.
Jack Butala: Join us for another episode where Jack and Jill discuss how to use information, that’s me.
Jill DeWit: And inspiration, that’s me.
Jack Butala: To get just about anything you want.
Jill DeWit: We use it everyday to buy property for half of what it’s worth and then sell it immediately.
Jack Butala: You are not alone in your real estate ambition. Unbelievable discussion with those guys.
Jill DeWit: Ah, that was so cool. Super fun.
Jack Butala: I am so glad that they are doing so well.
Jill DeWit: Oh man. I still get goose bumps.
Jack Butala: Me, too.
Jill DeWit: I’m just thinking about some of the things they shared with us.
Jack Butala: It’s a husband and wife team.
Jill DeWit: And how well they are doing. They divided things up.
Jack Butala: Texas is such a good place to do this too. Texas, I think they are in Tennessee, Arkansas, that whole area. There is such a price variance for stuff that’s listed for sale and what you could buy it for, you know.
Jill DeWit: Right
Jack Butala: Out west, surprisingly, the yield, since we were talking about yield at the beginning, there isn’t that much of variance. But man, in the center part of the country, especially farm land and stuff, you can get some unbelievable bargains.
Jill DeWit: Yeah, good stuff. That was really great.
Jack Butala: Information on inspiration to buy undervalued property.
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