Land Investors Interview with Member Justin Sliva (Luke Smith of Houses)

Land Investors Interview with Member Justin Sliva (Luke Smith of Houses)

Transcript:

Jack Butala:                         Jack Butala here. This is an interview with member Justin Silva on how he utilizes our program to purchase and sell houses. Enjoy.

Hey, I didn’t really give you much of an introduction here, so I’m just going to let you do it, because I think-

Justin Silva:                         You put me on the spot there, with Luke being on the call. I thought that was between us, Jack. Yeah, I’ve been a member for, oh … I think we just hit a year with y’all. We started doing our first land deals in January, and so watching his success drove me to work a little bit harder in the land side.

In real estate, there’s so many different avenues to work through that it led me into single-family residencies, here of late, while still doing the land too. That’s a quick introduction, I guess, if you will.

Jack Butala:                         Ballpark, how many deals have you done?

Justin Silva:                         Land, I’ve done … Just did two more today that I wholesaled land on, so it’s 42 pieces of land. I’ve got seven on owner financing terms. Everything else has been cash deals. Then I’ve done five houses in the last month.

Jill DeWit:                            Nice.

Jack Butala:                         Yeah, isn’t that great?

Jill DeWit:                            Justin.

Jack Butala:                         You went and got a buyer first, right?

Justin Silva:                         Yeah. We set up a … I did one of the calls with you, the 30-minute calls, to … I wanted to pick your brain on pricing, because you’ve talked about 2018 being a year of houses, so I was trying to get a head start on everybody on that. You were 100% up-front with me and transparent and said, “Hey, I have a buyer before I buy these houses.”

I took that, and I knew some guys that bought houses so I sat down, talked to them, and asked them, “Hey, would you be interested in trying something?” They looked at me like I was crazy, because nobody believes that you’re going to send out offers for less than something’s worth and anybody’s going to answer you.

We sat down. I had three areas in Texas that I had buyers in, lined up, ready to go, and all of them committed, “Hey, I’ll buy as much as you can put in my lap.” One of the areas, and I’ll just break down the numbers, one of the areas I sent 865 mailers out, had zero responses, no hate. One of the areas sent 671 mailers out, got two responses and bought one house. Then another area, we sent 1,335 mailers out, got nine responses, walked six properties and bought four properties.

Jack Butala:                         Wow.

Jill DeWit:                            Love it.

Jack Butala:                         What are you making per house?

Justin Silva:                         One of the guys offered to pay for the data and everything up front, and so he wanted to negotiate a rate because he didn’t think it was going to work. He’s like, “Yeah, no way it’s going to work.” His data and mailers were 1,000 bucks, and that was cost-plus to give me something for doing it. He said, “Just negotiate the rate.” We did $2,500 a house, standard fee, for the assignment.

What an assignment fee is, for anybody that doesn’t know that, is you put a house under contract, you have a follow-up form that’s assignment of contract, and you assign your equitable interest into somebody else. You essentially fill out two pieces of paper with the seller of the house: the contract, and then you sign the contract with the new buyer and it goes to title and you get paid at escrow. It’s a quick $2,500 in that regard for him, and he ended up buying four houses.

Jill DeWit:                            Nice.

Jack Butala:                         Did you get paid out of escrow or did he write you a check?

Justin Silva:                         No, I get paid out of escrow. I told him that way everything was up and up. He offered to pay me in advance if I wanted it, and I told him, “No, let’s just do everything out of escrow. That way we have the contracts in front of us and papers.” Good paper makes good sense, if you will.

Jack Butala:                         Yeah, that’s how we do it too. Right out of escrow.

Jill DeWit:                            I’m laughing at that he didn’t think it would work, and then he bought four.

Justin Silva:                         Yeah. Go ahead.

Jack Butala:                         I hope you start … You should get-

Jill DeWit:                            Yeah, up your fees.

Jack Butala:                         Yeah. [crosstalk 00:03:36]

Justin Silva:                         Yeah. That was just his on his deal. The other two paid $18,000. All in all, it was $26,000 in assignment fees for 2,800 mailers.

Jill DeWit:                            Nice.

Justin Silva:                         I think my total cost in data and mailers was about 1,700 bucks. It wasn’t a horrible, horrible day at the office.

Jack Butala:                         You went to look at the property just for fun right? Because you don’t need to do that.

Justin Silva:                         Yeah, no, I did, because one of the tactics I wanted to do with being in this market and not knowing these buyers other than a few conversations … I wanted to make sure I was on the same page with them, because to me, if you … You’re serving a customer in that aspect when you’re a wholesaler.

You want to make sure you understand what they look at when they’re there and how they’re pricing bathrooms, because one of the things I’ve found in the market I’m in in Texas is that you have a lot of chop shops, if you will, for wholesaling, that they grind deals out of MLS, inflate the ARV, which is After Repair Value, and then make it sound like a smoking deal that’s really not there.

If everybody’s opinion’s a little bit different, you can find a good balance. What I’ve found with just looking at different things, and the single-family residency, or the single-family realm, is about a 70% is where they want to be after they make the repairs. In a hot market, that’s tough to find sometimes. The good thing is, is we have the data and we drive the inbound flow to us, so we essentially set that price, what we’re willing to offer with our blind offers, when every other person out there just sends a postcard, says, “Hey, sell me your house.” No, we say, “Hey, I’ll give you 60 cents on the dollar, or 65 cents on a dollar for your house, right now, as is, where is, you just sign a contract and send it back.”

Some people called back and wanted to negotiate, so that was our opportunity to say, “Hey, let me come do a walkthrough and see if there’s anything else I could do for you.” When we did that, I mean … Realistically, if you look at the numbers, if you don’t have to remodel a bathroom or something like that, there’s a couple more thousand bucks there that you can spend to still hit your 70%, but at the end of the day you’re not going to give them the full 3,000. You’re going to try to keep it down to $1,500 so there’s still more margin in there.

Jack Butala:                         What was the average … Are we talking about $300,000 houses, $100,000 houses?

Justin Silva:                         They were ranged anywhere from … The lowest one, the low end, was 56 and the highest one was 110. All in, with my assignment fees, they were … I had two buyers that bought these houses. They spent $380,000 and with the repairs that they estimated, they’d be 450,000 into them. Their After Repair Value where they thought they were … These aren’t my numbers blowing them up, these are their numbers … Were 650K, is where they were going to be at.

Jill DeWit:                            Wow.

Justin Silva:                         You generate $200,000 in equity for a guy in 7 to 15 days, he’s going to call you back.

Jill DeWit:                            You’re his best friend. You’re speed dial on his phone.

Jack Butala:                         You’re modeling it. This is almost verbatim how we do this, without actually going to see the property ever.

Justin Silva:                         Yeah, and that’s … I’d like to get to that point, but being new to real estate … I’ve bought and sold eight houses in my life just because I moved. I was in a railroad for 14 years. My last job was a chief operating officer for a railroad. When I left that and started doing real estate full-time, I wanted to expand my horizons just from land to check the bucket, because everybody asked about houses. I was like, “Okay, let’s learn this.” I gave myself a crash course as I’m waiting for y’all’s course to come out so I can actually learn it and see what I’m missing and move from there.

Jack Butala:                         Sounds like you could teach the course.

Jill DeWit:                            Yeah, I was just going to say the same thing.

Justin Silva:                         The one thing that the land does for us, it gives us the confidence to know how to look at the data. That’s what drives everything for this, is the data drives the conversation on how you’re going to price, and drives everything, your inbound flow. We could send postcards all day, but that price being on there does something that nobody else can do.

Jack Butala:                         I agree.

Justin Silva:                         That’s where you get that value add.

Jack Butala:                         Well said.

Jill DeWit:                            That makes me so happy to hear that, Justin. It’s the hardest point that I have to try to convince people. They think that that’s the wrong way. I’m like, “All right, you just send all the postcards you want. Hand-write them all day long. Have fun. I’ll be over here doing like what you’re doing.”

Jack Butala:                         I’ll be over here.

Justin Silva:                         Yeah.

Jill DeWit:                            Exactly.

Justin Silva:                         One of the funny things that’s come up in this, I had a guy that … The reason I met one of these buyers was through … A guy asked me to run mailers for him on a roofing company, which we had the data to do that. We hit a storm area, send his roofing. Part of it was an equity deal. It was a 5% equity deal on every sale.

He comes back, and we sent 3,000 mailers out, and he’s like, “I didn’t get any calls.” We’re like, “There’s no way you didn’t get any calls.” He’s like, “What do you mean?” I said, “I just sent out house offers at 60 cents on a dollar, and I got five houses bought. People give me a house, and you’re offering a free roof and they didn’t call you?” He’s like, “I didn’t get a call back on that one.” He just left it alone and we went our separate ways. It speaks volumes to the data and what we can do with that.

Jill DeWit:                            Bingo.

Jack Butala:                         Last time we talked, you were ready to buy an apartment building.

Justin Silva:                         Yeah, I left a meeting right before this call, and that was that investor who said, “Hey, I’m still wanting to buy these multi-families.” We’ve talked about pricing. He has his thought process. I have my thought process. I know we’ve discussed how you price yours. Mine was pretty much on line with yours.

What I’m going to do is I’m going to go ahead and run the look of it with the data, and then we’ll price it. I’m going to price them all three ways to see what the variance is between them, and then let him look at it and say, “Hey, this is what it is.” This investor’s okayed 10 apartment complexes in the next five years. He said, “You give me as many deals as you can. I’m ready to buy.”

It’s one of those things, talking to people with the confidence with our land. Hey, you can show, “Hey, I’ve done …” At the time we met, I’d done 30 deals and I think the average return was 225, 230%. He’s like, “There’s no way that works.” You walk him through each deal, and I let him see my books real quick. I said, “Hey, this is what I’ve done and how I do it.” He’s like, “Man, that’s out of my comfort zone, but if you can do the same thing with houses I’m interested and I’m all in.” That’s what we came to terms for. It’s now multi-families.

Jack Butala:                         What amazes me about buyers like this … We have people like this, we work with people just like this … They’re not interested in spending two days to learn how to do it themselves. They would rather just pay you tens of thousands of dollars per deal, which is amazing to me.

Justin Silva:                         Yeah. No, it’s crazy, because that knowledge is key. What he told me is, “I got so much other stuff going on, I could care less how to do this. Just you are a cost of business, and I’m okay with that cost of business because you come in cheaper than I could get it.”

The conversation at the end of the day was, “Hey, I know you said you do land. Can you do vacant lots in a city for me?” “Yeah, how much do you want to pay for a lot?” He gives me a price. He says, “That’s what I want to pay for a lot. Get what you want off that.” He’s at the high end of market for a lot, and I’m like, “Okay.”

Jack Butala:                         I love infill lot mailers, and here’s why. Because taxes on an infill lot … You know, technically, it’s improved property. Doesn’t have a house on it, but it’s got utilities and stuff, and the taxes are a lot higher every year. Same thing. There’s usually no financing on it at all, so the tax bill that an infill lot owner gets is way bigger than a rural property owner. Your percentages should be … Your yield on a mailer should be much higher than it would be on rural land. That’s cool.

Jill DeWit:                            Excellent.

Jack Butala:                         Are these guys real cash buyers, or do they have … I mean, how do they do it?

Justin Silva:                         Real cash buyers. They will take … On bigger deals, what they’ll do is they … I think their net worth is somewhere in 150 million, is what my assumption is from just seeing their business model. They have 500 rental houses and 100 owner-financed houses and a couple apartment complexes.

Jack Butala:                         Do they have a million bucks in rent coming in a month?

Justin Silva:                         Yeah. Yeah, but in looking at that, there’s a father-son team and speaking to them, the dad told me there was … He goes, “I don’t have a money tree, but I have a money bush, and you’ll never outspend what I have in money.” I said, “Okay, fair enough.”

Jack Butala:                         That’s beautiful. A bush.

Jill DeWit:                            Wow.

Justin Silva:                         Yeah. You think some of that’s hot air, but looking at the things that they have, you would think it wouldn’t be liquid, but it’s all cash.

Jack Butala:                         Awesome.

Jill DeWit:                            I just had this conversation with somebody earlier. Yesterday, I think it was. People don’t realize how much money’s out there.

Jack Butala:                         There’s lots of money out there.

Jill DeWit:                            They think, “Oh …” I’m like, “No.” It’s really … There’s a lot of people out there like this with a lot of money, and they don’t know what to do and they would love for you to do it.

Justin Silva:                         Yeah, the hardest part is watching … You see they spend 450K and they’re going to make 650K back. If they sold everything, they’re going to hold, but you watch that $200,000 you make them in less than two weeks and you’re like, “Well, crap, that could be my $200,000.” How do you build your nest egg up to that point, or do you just keep going? That’s one of the hardest parts to come to realize, is when you start actually looking at the numbers of what you can do, because we … Go ahead, Jack.

Jack Butala:                         No, it’s okay. I mean, I think there’s nothing wrong with every eighth property doing that, especially in this market because you sell it so fast.

Justin Silva:                         Yeah.

Jill DeWit:                            Exactly.

Justin Silva:                         That’s one of those things, is you … Like with the conversation about Luke Smith, watching him grow that fast and do that well. How do you do that and get to that volume? Those tricks of the trade and how you learn those processes.

I think that’s the importance of the group like this, is because you learn from each other and you see, “Okay, they do it this way. I think it can be done a little bit different.” You try your twist to it and it works and you’re like, “Wow, that worked pretty well.” The guy saying his phone’s melting with hate, I wouldn’t have read any of that. I just glanced at it on [PATLive 00:13:06] and just kept moving. Then you see your … Go ahead.

Jack Butala:                         Did you use their title agent or did you find your own?

Justin Silva:                         I used theirs, because theirs didn’t charge an escrow fee on either side. They just only charged for the title policy.

Jack Butala:                         Great. Plus if something goes wrong, you can say, “Well, it was your title agent, not mine.” [crosstalk 00:13:26] the same thing with houses.

Justin Silva:                         Yeah, I have one title agent. On two of the houses I used my title agent, and she was $100 cheaper on escrow than the other guy’s was, for both sides. It was $200 cheaper for her to close for me on that. That title group has been … They have vetted all my contracts. They have all my assignment of contract forms. Anything I’ve needed, I’ve called them and they’ve given back, so I threw them some business just to thank them for that.

Jack Butala:                         It’s such an important relationship, isn’t it?

Justin Silva:                         Oh, yeah. Yeah.

Jack Butala:                         If they like you, they’ll put your stuff right on top and close it fast.

Justin Silva:                         Yeah, I called them. I got a letter in the mail, the signed contract on a house, on Friday at 3:00. I called the lady. She said, “Can you be here at 4:00 to walk it?” I got there at 4:00, had her re-sign the contract with it, because she wanted to add a week to the close date.

I changed the date, re-signed it, called the title agent at 5:30 on her personal cell phone, and she said, “Yeah, I’ll go ahead and get … I’ll call them and see if they can get somebody to pull the title claim for me tonight.” It’s Friday night at 5:00. I said, “No, no. Don’t worry about it. Just do it on Monday.” She’s like, “Okay, cool.” They got it taken care of and they’ll have it closed in seven days.

Jack Butala:                         Wow, that’s amazing.

Jill DeWit:                            That’s really [crosstalk 00:14:33]

Jack Butala:                         I don’t think I’ve ever had that kind of service.

Jill DeWit:                            Exactly.

Jack Butala:                         We’re about to own a title company, too.

Justin Silva:                         You got to take them to lunch for margaritas. That’s the secret.

Jill DeWit:                            Love it.

Jack Butala:                         Congratulations, man.

Jill DeWit:                            Yeah. Luke Smith had some questions for Justin. He said, “Justin, how are you doing inspections? Do you send the end buyer over?”

Justin Silva:                         He has walked it with me. The buyer that’s bought three of the houses has walked them with me, because I wanted to walk … He’s local, so we walk through them together because I want to know. When we walk up, we say, “Hi, I’m Justin. I’m [Land Couple 00:15:02]. This is who you talk to.” They’re like, “Oh, hi.” “This is my partner. He’s my rent guy. I’m the flipper, the wholesale guy. If we decide we’re going to rent it, he’s the one that’s going to be taking it over.”

If we decide we’re going to flip it, we’re just going to do a quick inspection and walk through and we look at foundation, look at obvious cracks in the sheetrock. Just a quick run-through. We don’t get too involved with flashlights, get up in the attic. It’s just a quick run-through. In our area, we know there’s a little bit of foundation work, so we look for either prior foundation work or foundation, because that’s the big thing for us. I mean, that can be a 25,000, $35,000 thing.

Cosmetic stuff, we know a kitchen’s going to cost him eight grand on his Rolodex of people that he has, because they have a home building company too. He’s got eight grand for a brand-new kitchen, 3,000 for a bathroom. Flooring’s going to cost him $2,500. Paint the house is 2,000. He’s got it priced out in his head what it’s going to cost him, and it’s the same numbers every time.

Jill DeWit:                            Cool.

Jack Butala:                         Tell us how you found these guys. It’s interesting. I know you told me one time.

Justin Silva:                         That call that we lined up was over a piece of property. It was 10 pieces of property that this one lady was trying to sell. It was a million-dollar deal, and I didn’t have the million dollars, so I was bummed about it. The lady wouldn’t let me put it under option and spend the money to advertise it for her.

I was talking to a friend of mine, and he was asking how the land business was going. I said, “It’s going good.” I said, “I just ran across this big deal. It’s a million bucks. It’ll bring back about 2.6 if we can get it closed.” He goes, “I’ve got a friend that’s got a million dollars. Just call him. He’ll sit down with you.”

He calls me back and says, “Hey, call this guy. Text him five minutes before you call him.” I didn’t know who he was, and so when I talked to him, he tells me, “Hey, come to my office. I want to buy you lunch, because I want to look at this a little bit closer. It’s out of my comfort zone, but I want to look at it closer and at least buy you lunch.” I was like, “Okay.”

We sat down. Turns out he lived … He developed my neighborhood that I live in and he lived a couple houses down from me, because he was waiting on his house to be finished up. He lived in a model home. From there, the conversation … We started talking and he was like, “Land’s not really my thing, but it looks like you’re killing it.” I said, “Yeah.”

I said, “You know, the bad thing is your name brings so much extra money to the closing table where you’re at. I was six houses down from you. You didn’t even know I did 35 deals in the last three months.” He’s like, “No, you’re right.” I said, “Just imagine how much money I could save you at the closing table.” That was the conversation, just to get it … I was like, “I’ll throw a Hail Mary, see what he says.” He said, “Yeah, you’re definitely right. Let’s sit down and talk some more.” That’s how that one lined up.

Jack Butala:                         It’s a no-lose situation for him. He’s not spending a dollar unless he makes a decision to do that.

Justin Silva:                         Yep.

Jack Butala:                         That’s great, man.

Jill DeWit:                            That’s so good. Luke also asked, “If you got any yes replies that you didn’t buy, what kills those deals?”

Justin Silva:                         We actually did. Thanks, Luke. We had two deals that our offer was spot-on, they were good to go, and it actually wasn’t us that backed out, it was them when they went to go price rent. They wanted to get out of owning a house. They had 14% interest on their mortgage. They weren’t cash flowing anything. They’re trying to rent it or …

One was a rent deal and wasn’t cash flowing anything, just costing money. The other one was 14% interest with a variable and it could go up to 20. He was freaking out because they had two kids in college and he had a little bit of foundation problems. We go in, we look, we say, “Okay, we’re good with the offer.” They’re good with the offer.

They go to look elsewhere and it was cheaper for them to stay in the house with the 14-plus percent interest than it was to actually rent. Their monthly bills were going to go up by 500 bucks. Even though they were going to have $30,000 of cash in the pocket, it still wasn’t going to offset that monthly cost for them and that’s what they were nervous about, and so they backed out.

We had two houses like that. One was an elderly lady that was going to go to assisted living, and they didn’t realize assisted living had got up into the $3,000 range versus living in her house for 750 a month.

Jack Butala:                         In both cases, it was a circumstantial scenario. It wasn’t the real estate itself.

Justin Silva:                         Yeah, it was them trying to find someplace else to go and they couldn’t do it. Yeah.

Jill DeWit:                            Interesting. That’s cool. That’s so good.

Jack Butala:                         We don’t get to know the owners enough to even know those things, which is beautiful.

Justin Silva:                         When I was 18 I sold life insurance. Imagine being an 18-year-old trying to sell life insurance to somebody that’s 50 or 60 years old. I felt that vibe again when I was sitting there and I had this sweet grandma. She was probably 85. Her husband made her buy the house 10 years ago. They put it on a 30-year mortgage and he died two years later. It was 11% interest and all in, her payment was 775 a month and she had it rented for $800 a month.

She was on a fixed income, and she’s like, “I don’t know what to do.” I was like, “Sell me the house and we’ll get you taken care of.” Her biggest concern was that her tenant would not have a place to go. We agreed to keep her tenant in for another six months, and then at that point renegotiate a lease. She signed a lease with us that day. We didn’t do anything to the house. We had a tenant in it for 825 a month, and then that’s good for the next six months and that was going. It was a $54,000 house with a $6,000 house.

Jill DeWit:                            Wow.

Jack Butala:                         $50,000 for a house, Jill.

Jill DeWit:                            That’s good. I know, isn’t that amazing? Luke asked, “Do some of the houses that you’re buying, are you paying off the bank too?”

Justin Silva:                         Yes, and that gets done out to the title company. They pull all the liens and then they send it back out. I know that we’ve talked about LTV. You talk about LTV in some of the podcasts, you know, looking at that, trying to get 50% or below.

Jack Butala:                         Loan-to-value.

Justin Silva:                         Yeah, loan-to-value. With RealQuest, that number didn’t sit right. The data wasn’t solid for me on there, so what I did was I took a five-year back into 2012, anything that sold after 2012, so 2012 going back to forever, and only mailed those properties. I still have some out there that I could probably get into that were 2012 newer buys, but what the thought was is I’m trying to buy that equity they’ve built.

Maybe they haven’t known that the market has gone up 20% where they’re at, because it’s a rental form or some other situation’s going on. What we’ve seen, that actually worked. We bought for about what they paid in … What it would have been worth in about 2010, 2007 to 2010.

Jack Butala:                         That’s awesome.

Justin Silva:                         Prices … Yeah.

Jack Butala:                         I remember we talked about that. The last time we spoke you told me about that, and since then I’ve been looking at data that way. I think it’s a great way to do it. When we release the program, I will teach that. [crosstalk 00:21:19]

Justin Silva:                         Yeah, it was just one of those thoughts, is, “Hey, they’ve been paying on it for a while.” You can run it through the calculator if you want. I didn’t get that involved in it. We did pull one property. We were off a little bit on what we wanted to offer, and we ran it through and figured out where this guy would be at on it, and then made sure he had money in his pocket to get …

His wife had been deported 14 years ago and he was trying to get her back, and she gets to come back next year. He wanted to have a new place and cash in his pocket, so that’s what we made sure. We priced it to the point where he had cash in his pocket and we still bought it at 61 cents on the dollar, I think.

Jack Butala:                         Wow. Your wife is your partner, right?

Justin Silva:                         She was until we did our first mailer. When we sent our first 2,500.

Jill DeWit:                            I love it.

Justin Silva:                         We sent our first 2,500 mailer out in a county in Texas for land, and the calls came in. I had a guy, he’s an older gentleman from Louisiana. He called me and he told me that not over his dead body was he selling me his property, and I just laughed and said, “That’s cool. Take that letter and put it next to your will, because your kids don’t like that property and they’ll sell it to me, so I want them to call me first.”

Jill DeWit:                            Awesome.

Justin Silva:                         He asked me if I was a smart donkey, if you will, and I said, “I’ve been called that before.” He laughed. He says, “I like you, but I’m not selling the property.” She heard that, and she was like, “Oh, no. I’ll look up the back-end stuff for you, but I’m not getting involved in those phone calls.”

Jill DeWit:                            That’s hilarious.

Jack Butala:                         Now you have PATLive doing it, right?

Justin Silva:                         Yeah, I have PATLive doing that, and any of the other stuff, since I’m doing this full-time now, I’m just doing most of it. She’ll help out when I need her to, but for the most part I’m handling most of it.

Jill DeWit:                            Got it.

Jack Butala:                         I have to ask you if a railroad makes any money.

Justin Silva:                         Buckets. Buy a railroad.

Jack Butala:                         Really?

Jill DeWit:                            Wow.

Justin Silva:                         Yeah.

Jack Butala:                         I thought you were going to say the opposite.

Justin Silva:                         No. If you don’t have railroad stock in your portfolio, you’re not doing right.

Jack Butala:                         Do you have a bunch of stock options left over?

Justin Silva:                         I was at one of the top five Class Is for 14 years and when I walked away I went to a smaller railroad that’s privately held. When I walked away, I signed away a check for $250,000 in stock options to leave, because I left before they invested. Then I went to work for another company. I worked for them for two years and when I left them, they just went ahead and wrote me a check for us to part ways.

That was a little bit of the saved money to get started, plus what we’d already had in property, and we built our inventory up. Yeah, there’s dividends. I think UP has paid … Everyone’s paid dividends for a ton of time, but I think UP’s up to 100 years of every quarter paying a dividend.

Jack Butala:                         Wow, 100 years consecutive?

Justin Silva:                         Yeah. I want to say it’s 100 years. It’s 55 or 70 cents per share.

Jack Butala:                         That’s amazing.

Justin Silva:                         That’s not investing advice. We’re talking here as friends.

Jack Butala:                         Right.

Justin Silva:                         Throw that in there. Yeah, they do make money. It’s all about cost-cutting and process-driven. Having that background of, “How do you move faster, quicker, more, the volume with the least amount of touches?” is exactly what you can do in this as you scale your business up.

Jill DeWit:                            Right.

Jack Butala:                         That’s fascinating.

Jill DeWit:                            I have some more questions for Justin.

Jack Butala:                         Yeah, this is not the place to talk about it, but I have 50 questions about railroads [crosstalk 00:24:37]

Justin Silva:                         Okay.

Jill DeWit:                            Michael’s saying, “Just to confirm again, is it 65% of ARV?”

Jack Butala:                         Yeah, how do you generally price these?

Justin Silva:                         Our numbers came out after everything with my fees is about 58.4% without repairs. You hear a lot of people say, “You want 70% with your repairs,” so 70% of ARV being all in as an investor. In hotter markets, that’s tough. I priced it. My brother’s a real estate agent. I know, Jack, your sister is.

My brother is, and he’s not a very good one, so I paid him 50 bucks to pull the comps, because I had 21 neighborhoods to price and I was like, “Man, I could do it through Redfin,” and I was pretty close, but I was like, “Why don’t he just pull it for me?” He sent me all the PDFs. Paid him 50 bucks. He sent it to me and I looked at the sole comps over the last 90 days and then put that by subdivision into a spreadsheet and times it .6, and that gave me my baseline.

Jack Butala:                         Awesome.

Jill DeWit:                            Perfect.

Jack Butala:                         DataTree has fantastic completed sales comparison values.

Justin Silva:                         That’ll be great.

Jack Butala:                         Really takes the mystery out of it.

Jill DeWit:                            Brandon was asking, “You take the pricing, and then base it on the square footage?”

Justin Silva:                         Yes. Be careful on that, and I’m going to own this mistake. One of my target areas, I sent it based on a gross area, because I looked at the first 20 lines of data and they matched. I dropped it in to my mail merge and when I got it back out, I looked at it, because I had some people come back and say, “Man, that price looks a little high.”

On about half my offers, it added the garage, which a two-car garage is about 400, 450 square feet, and so they went in higher. When they called me, I’m like, “Hey, here’s what happened. The county messed up. They had the wrong data.” I said, “But I’d love to come out and inspect it, because I think I can probably get you close to it, but just let me take a look at it. You don’t have the Grand Canyon in the floor.” The people were like, “Oh, yeah.”

We bought three houses that I messed up on the offer on. Then we walked in and so we offered them 130. We ended up buying the house for 109. We offered them 128 and bought the house for 100. People respond to you being honest about your mistakes. There’s some humility in that, and being up-front with them. “Hey, if you don’t want me to come, I won’t come, but I think I can get close to where you’re at if you let me come look at it, because what you’re telling me, your house sounds great with this, this, and this, because there’s more emotion in a house than there is with raw land.”

Jill DeWit:                            That’s true.

Jack Butala:                         After this experience now, has it crossed your mind to do it on purpose?

Jill DeWit:                            That’s your new strategy. Just get your foot in the door.

Justin Silva:                         I’ve thought about changing the letter, my letter for this, to, “We will pay up to, pending inspection.” That way I’m there, because essentially once you get in it’s the negotiation part. You say, “Hey, I don’t need a bathroom. I don’t need countertops. I don’t need this.”

It also has crossed my mind that going to these higher dollar neighborhoods that people may have bought into in early 2000s that are now worth in the 3 and $400,000 range. You can get them for 325 and they just need fresher paint, and you put $5,000 in for them, they’re worth 400. Why not do that all day, if you can buy two or three of those a month and make 80 grand a month?

Jack Butala:                         Right.

Justin Silva:                         There are companies that are out doing that, and offering 80%, and they’re making money.

Jack Butala:                         Do you feel like there’s any risk in this business that you just started at all?

Justin Silva:                         I’ve got two four-year-old kids and a wife that I’m the sole provider, and I’ve been doing real estate for six months full-time. I have nine things in escrow right now, including land and house deals, that will all pay by the end of the month, and that’ll put me over what my salary was last year at the railroad.

Jill DeWit:                            Wow.

Jack Butala:                         You’re just starting.

Justin Silva:                         And profit, and that’s in six months, doing it full-time.

Jill DeWit:                            I love it.

Jack Butala:                         You can play with your kids, too.

Justin Silva:                         Oh, yeah. I eat breakfast with them every day. I get to brush my daughter’s hair every morning. I was at work at 5:00 a.m. every day and now they crawl in bed with me at 6:45 and we watch a cartoon on the phone and then get ready for the day for them to get to school.

Jack Butala:                         That’s fantastic. That’s the greatest thing I’ve ever heard.

Jill DeWit:                            Love it. I’m so happy.

Justin Silva:                         Yeah, that’s why [crosstalk 00:28:53]

Jack Butala:                         That’s what this is all about.

Jill DeWit:                            That is. That’s why we’re here.

Jack Butala:                         Even if you made less, it’s worth it for that.

Jill DeWit:                            Yeah, exactly.

Justin Silva:                         Yeah. Our goal, me and my wife joke about it, and we play with it, that the stress at first was real, because my bills … Y’all have always been transparent with me, so I’ll be transparent with y’all … Are $5,000 a month. Every time we made $5,000 profit, it was, “Hey, we get to make it another month. We’ve made a month now.”

That was our goal, is, “How many months can we make?” Doing that enough times, you … My kids now will dance with me when we do a deal. We say, “Hey, we made a deal. We get to eat. We get to eat.”

Jack Butala:                         A deal dance.

Jill DeWit:                            [crosstalk 00:29:30]

Jack Butala:                         You got to film that.

Justin Silva:                         Yeah, being four-year-old twins, they don’t understand. They know Daddy sits on the computer and makes deals. That’s what he does. To them, they’re part of it, and it is, it’s refreshing to see that we have an avenue that of course it wasn’t a guru trying to sell you an $18,000 course. It was somebody that says, “Hey, this is how you do it. It’ll work for you. All you got to do is do it. It’s up to you.” If you’re willing to do that, take a chance, it’s unreal the rewards you can do.

I helped a guy that … He did houses, he does. He has an investor that lines up. He’ll buy an owner house, make it an owner finance, sell the note, and he makes his money off the flip. We talked about doing land, so I’ve been walking him through. He bought into Land Academy recently, and we just landed a 200-acre ranch at 35% or 35 cents on a dollar, and so he’s going to make probably 200 grand off this thing.

Jill DeWit:                            Nice.

Justin Silva:                         When you just think about that, that’s his first land deal, and he’s like, “Holy crap.” Yeah.

Jill DeWit:                            It’s like walking into a casino and winning. Oh, no, here it goes.

Jack Butala:                         Talk about unrealistic expectations.

Justin Silva:                         Yeah, but that was somebody that had a real estate background. He’s done 10, 12 houses a year for the last five, six years, so he understands that the numbers work, but he looked at my numbers and was like, “There’s no way that you doing it this way.” He’s like, “I still don’t believe it.”

Jill DeWit:                            Then he did it.

Justin Silva:                         Yeah. The problem with the hurricanes that hit, it put the letter string behind, or the offers to owner. They put him behind by about two weeks, and so he’s like, “Dude, nobody’s calling me.” I was like, “Hold on.” I was like, “I haven’t got any calls yet, either,” because we sent out a mailer around the same time. We’re working through that, and then all of a sudden they just started hitting. He’s like, “Dude, dude, dude.”

Jill DeWit:                            Yeah, here comes the mail.

Jack Butala:                         You can tell. The first day when it hits, you can tell.

Justin Silva:                         Yeah. I’ve started adding my own line of data so I know when it hits, because it mails me. I mean, 53 cents for that piece of mind is just …

Jack Butala:                         I do that. We do that all the time. I’ve never sent a mailer out where I haven’t mailed myself just to know.

Justin Silva:                         Yeah.

Jack Butala:                         Do you work out of your house?

Justin Silva:                         I do. I do. We turned our dining room into my office.

Jill DeWit:                            Nice.

Jack Butala:                         Remember that, Jill?

Jill DeWit:                            I do remember that.

Jack Butala:                         Your wife doesn’t want … She’s ready to kick you out of the house.

Justin Silva:                         No, she went to go take a part-time job at the kids’ school to keep away from me. She works three days a week with the kids at their mother’s day out.

Jill DeWit:                            That’s awesome.

Justin Silva:                         Yeah. She was a teacher by trade, so she goes and does that just to get out of the house and be around adults.

Jill DeWit:                            Jessica, right?

Justin Silva:                         Yeah, that’s right.

Jack Butala:                         How do you remember that?

Jill DeWit:                            I remember that.

Jack Butala:                         Jill, what the hell is that?

Jill DeWit:                            I remember. Thank you.

Jack Butala:                         Our name’s Jack and Jill and I can’t remember that.

Jill DeWit:                            That’s true. That’s true.

Jack Butala:                         Jill and I have two houses on one lot in Los Angeles, because we just cannot spend that much time together. We’d kill each other.

Jill DeWit:                            Yes. Oh, boy.

Jack Butala:                         There’s a book in there somewhere.

Jill DeWit:                            Oh, no.

Jack Butala:                         I should write the male version and you should write the female version, and put it under one cover.

Jill DeWit:                            Oh my gosh. Hey, did you see Luke put a note in here? By the way, Justin, I think that you guys mailed him an offer.

Justin Silva:                         Did we? Nice.

Jill DeWit:                            Yeah, he put a note in there like, “I think I got some mail from him.” That’s good. We all do that. I love it. I haven’t done it yet. I’m going to start doing that. When we get the offers from our people, I’m going to sign them, send them back. I’ll put something funny in there.

Jack Butala:                         Yeah.

Jill DeWit:                            Like, “Hi, it’s me. Surprise.”

Jack Butala:                         Jill and I are leaving right after this call. We’re going to San Bernardino County the whole weekend to look at real estate. I got a whole lecture about every vacation that we take can’t be just about real estate.

Jill DeWit:                            Oh my gosh.

Justin Silva:                         You need a tax write-off.

Jill DeWit:                            Yeah.

Jack Butala:                         Exactly.

Jill DeWit:                            He wants to do it. It’s not like he’s doing it because of that. That’s what we did in Santa Barbara. My spa day in Santa Barbara became, “Let’s go look at property on the ocean.” Which is not bad, but still, I wanted the spa day.

Jack Butala:                         You liked it. We tried to buy a piece of property right on the ocean.

Jill DeWit:                            Yeah.

Jack Butala:                         We didn’t get there first.

Jill DeWit:                            If it were not under contract, we would have bought that one, yeah. That’s true.

Jack Butala:                         We’ll get there first.

Jill DeWit:                            Cool. Do you want to try to do the other questions, or should we ask everybody to hold them till …

Jack Butala:                         We can go through them.

Jill DeWit:                            Go through them?

Jack Butala:                         Yeah. Justin, thank you so much.

Justin Silva:                         Hey, no problem, guys. Thank you.

Jill DeWit:                            You’re awesome.

Jack Butala:                         I’ll check in with you probably next week or so.

Jill DeWit:                            Congrats.

Justin Silva:                         Okay. Thank you.

Jack Butala:                         Thanks. Okay, bye.

Jill DeWit:                            Get back to these questions here. That was so great. I remember talking to … I think I talked to Justin and Jessica a long time ago together on the phone. That’s why I’m remembering that.

Jack Butala:                         Oh, okay.

Jill DeWit:                            Thank you. So cool. I love her. The first mailer, “And I’m out. I will support you, sweetheart …”

Jack Butala:                         That’s why you remember. I remember.

Jill DeWit:                            Jake’s asking … We’re going to try to get through these questions. I’m not going to blow through them, but we’re going to try to get through them quickly so we can answer them all. Luke just put, “Thanks, Justin. Great story. I need to up my game.” I love it. Jake asks …

Jack Butala:                         We have natural competition now in the group.

Jill DeWit:                            It is.

Jack Butala:                         It’s great.

Jill DeWit:                            “Why can I not find land information on RealQuest for any properties in Alaska?”

Jack Butala:                         That’s always bothered me, and so DataTree will solve that.

Jill DeWit:                            Yeah, that’s …

Jack Butala:                         Entirely.

Jill DeWit:                            Yeah, you know what, Jake? You can send …

Jack Butala:                         I think that we’re missing a lot. I think there’s a lot to be made in Alaska.

Jill DeWit:                            Send Jen, jen@offerstoowners.com, an email, or support@offerstoowners.com, an email. Have her take a peek.

Jack Butala:                         Make sure, yeah.

Jill DeWit:                            Make sure that it’s …

Jack Butala:                         I tested it, Jill. I picked some of the most obscure … This is like Christmastime for me now. There’s a lot of places I wanted to send mail, and DataTree’s going to open that up for us. For 20 years I’ve wanted to send mail to Alaska.

Jill DeWit:                            And I think Puerto Rico, but yeah, check that.

Jack Butala:                         Puerto Rico’s in there?

Jill DeWit:                            Yeah, we did that one time on a call. On a member call, we tested Puerto Rico.

Jack Butala:                         Is Guam in there?

Jill DeWit:                            I don’t think Guam was in there, but I think we got some Puerto Rico property.

Jack Butala:                         That’s awesome.

Jill DeWit:                            [Shemga 00:35:36] Hey Shemga. “What’s the easiest way to find if water and electric are available on a property? Besides specifically calling on each property, is there a more efficient way to do it when doing a high volume of properties?”

Jack Butala:                         No, unfortunately not. It’s not part of the …

Jill DeWit:                            Assessor.

Jack Butala:                         … The assessor data set. It’s a good question though.

Jill DeWit:                            I wish there was too.

Jack Butala:                         It begs the bigger question of, “Why do we need to know?”

Jill DeWit:                            Yeah. You know what? You know what I do, Shemga, though? I do learn in certain areas. I know in X subdivision, and I’m buying 10 in that subdivision, I’ll just remember that information. I’ll just copy it every time, or I’ll have it in a sheet somewhere I know that that information for that area.

Jack Butala:                         Right.

Jill DeWit:                            Then of course if it’s way out there, here’s how I look at it too. If it’s way out there, I will just blatantly say that it doesn’t exist. You know what? If it does exist, then it’s a pleasant surprise.

Jack Butala:                         Yeah, congratulations.

Jill DeWit:                            I under-promised and over-delivered. You just won. Seriously.

Jack Butala:                         I agree.

Jill DeWit:                            I’ve had that happen. People like, “Oh my gosh, there was a house by there, and the power happened to be going along my property line, so I got power.” I’m like, “You know what? Good for you. I’m so happy,” and I leave it at that.

Luke asks, “For the multiple owners and mailers …” Oh good, okay. This is good, from earlier.

Jack Butala:                         Oh yeah, good.

Jill DeWit:                            “I tried sending letters with up to seven properties listed per person, depending on their ownership, making cash offers on each one, or total if they want to sell them all. Totally busted mailer. Not one buy, not even a good option deal so far. I think it was priced too low, but still, not one deal. I’m wondering if it was a different layout to fit the list of properties or if I’m asking too much to buy all their properties and pricing them.”

Jack Butala:                         I don’t know. We used to do that. We used to combine the multi-unit deals onto one offer, and we don’t do it anymore because it just didn’t … It’s just not worth the time.

Jill DeWit:                            Yeah, it was extra work that didn’t yield the response. Minam asks, “Have you guys ever tried putting cheap comps within a five-mile radius in the offer letter to avoid some of the hate and potentially convert angry people?”

Jack Butala:                         No.

Jill DeWit:                            Nah, it’s extra work, again.

Jack Butala:                         You’re going to get the hate no matter what. The best thing you can do is just laugh at it.

Jill DeWit:                            And let somebody else answer the phone.

Jack Butala:                         If somebody has devised a way to dramatically reduce the hate, I would love to hear it.

Jill DeWit:                            Right. It’s going to happen. There’s people out there …

Jack Butala:                         I mean, if we don’t get hate, it’s like, “Did the mailer even go out?”

Jill DeWit:                            Let me back up, too. There’s some people that are going to be mad anyway. Even if you send them an offer for two times what their home’s worth, you’re bugging them. There’s people that are just unhappy anyway.

Jack Butala:                         By the way, they’re not mad at you. They’re mad at themselves for paying too much.

Jill DeWit:                            That could be too. That’s a good one. Dave Airs asks …

Jack Butala:                         That’s what I tell myself, anyway.

Jill DeWit:                            You just keep …

Jack Butala:                         There’s no one that gets mad at me.

Jill DeWit:                            No, no, no. You’re so silly. Dave Airs asked, “Hello, Arizona vesting deed reads, ‘John Doe and Jane Doe, trustees or successor trustees of the Doe trust dated September 7, 2001.’ John passed away and Jane is the sole trustee. Should the ‘John and Jane Doe’ wording on the deed to me be updated or just record the death certificate and copy the wording as is?”

Jack Butala:                         That.

Jill DeWit:                            Yes. “And if updated, how do you …” Yeah. The wording on the grantor/grantee doesn’t change. At the bottom, where they sign, you’re putting as the sole trustee now. You know, up to the recorder, some want the death certificate and some don’t. You could just send it in anyway. I would check with the recorder.

Jack Butala:                         Here’s the thing real quick about trusts. Every time you have a trust question, tell yourself this. A trust is just a legal entity that can own property, just like an LLC, and treat it that way. Just because one of the members in an LLC died, and there’s another member, it doesn’t mean you change the name of the LLC.

Jill DeWit:                            Right. It’s still whatever company. Thank you.

Jack Butala:                         Right.

Jill DeWit:                            Awesome. Shemga asks, “Which states shouldn’t we be offering financing in? I’ve heard there are certain states where it can be extremely difficult and potentially illegal to try to remove someone from the land if they stop paying. Which states are recommended to stay away from for the terms deals?”

Jack Butala:                         I stopped answering that question, and I’m not going to answer it now, because it changes so much. A lot of what you hear of on this topic is hearsay, because if somebody had a personal bad experience in, let’s say, Alaska. They say it’s tough to deal with and all that. In the end, this is really … I hate to answer questions like this, but you really have to do your own research on that. Make sure, like I know Colorado’s got some quirky rules about financing, self-financing property, for example. It’s really important to do … But use LandInvestors.com to really utilize other people in the group. Use their experience, or bigger pockets too.

Jill DeWit:                            Yeah. Some of them, it just has to be done certain ways, and …

Jack Butala:                         It’s a hell of a lot easier to sell property for cash.

Jill DeWit:                            Yeah, then there’s always that.

Jack Butala:                         And, I think, more profitable.

Jill DeWit:                            That’s a thing. At the end of the day, if it’s a pain in that state, so flip it for cash and move on. Thank you, Jack. Hey, Anwar. “Jack …”

Jack Butala:                         I haven’t heard from Anwar in a while.

Jill DeWit:                            Yeah, I know. I’m like, “Hey.”

Jack Butala:                         New York City.

Jill DeWit:                            Yay.

Jack Butala:                         Every time I hear somebody honking their horn out here in Los Angeles I think of Anwar.

Jill DeWit:                            I love it.

Jack Butala:                         Every time I talk to him on the phone, there’s just a hell of a lot of honking in New York City.

Jill DeWit:                            I love it. It’s so good. All right, Anwar asks, “Jack, you asked me to update you about the option agreement offer campaign I sent out. I got some results. I got three signed offers back, no questions asked. I’m moving forward with one for sure, and still researching the others. Seller agreed on 22,000. Looks like the data supports selling it for 35 to 40,000 on the low end. Not sure I do a mailer like this again, but it worked. Excited about this deal.”

Jack Butala:                         Real quick, Anwar sent out … Instead of sending out purchase agreements, he sent out an option agreement.

Jill DeWit:                            Oh.

Jack Butala:                         They just signed it and sent it … I’ve never done anything like that.

Jill DeWit:                            That’s what you guys are talking about. That’s cool.

Jack Butala:                         It’s great.

Jill DeWit:                            There you go. No matter what, it paid for everything you just did. It paid. That’s the thing. You just do one deal, it pays for all of your efforts you just put in.

Jack Butala:                         Like for the whole year. This deal will pay for the overhead for your whole year.

Jill DeWit:                            Exactly, for all the stuff. Yeah, good. Peter asks, “When scrubbing data, if a property’s shown as owned by a title company, is it ever productive to keep these in the mailer?”

Jack Butala:                         Here’s a story. In northern Arizona, where I started this whole mess a lot of years ago, I kept seeing FATCO, F-A-T-C-O, all capitals, First American Title Company, as an owner for 50 properties in this one subdivision. I said, “You know what?” It said FATCO 3522, which is the name of the branch, or the number of the branch. I fortunately got to the right person, and bought the property from them.

What ended up happening is that … The reason that title companies end up owning properties is because of this. Let’s say I buy a property and I sell it to Jill on terms, and Jill stops paying, and it’s under a deed of trust. The title company’s orchestrating the whole thing. Jill stops paying, and I don’t feel like fronting 1,000 bucks to get it back in my name.

Jill DeWit:                            Undo it.

Jack Butala:                         Not every state’s like that, but Arizona is. I went dark, Jill went dark, and First American Title gets the property. They don’t pay the taxes on it, so it’s … They don’t want to own the property. The whole trick is getting to the right person. When you get to the right person that can actually make that decision, however it works, they’re going to sell you the property. They want to get that stuff off their books, bad.

Jill DeWit:                            Exactly. It’s good. Dan asks, “Does anyone have any experience with Texas Senate Bill 2212 regarding wholesaling assignments and double closes?”

Jack Butala:                         I am completely unaware of that.

Jill DeWit:                            [crosstalk 00:43:53] I should have asked …

Jack Butala:                         Justin, probably.

Jill DeWit:                            Yeah.

Jack Butala:                         Maybe Justin’s [crosstalk 00:43:58]

Justin Silva:                         Yeah, can you hear me?

Jill DeWit:                            Yeah.

Justin Silva:                         Okay, yeah. What that change is is that you see a lot of guys, or guys and ladies, send out buyers’ lists that have a list of houses for sale, that they don’t really necessarily own. They’re under contract. Now it’s a truth in advertising change, so they have to say they’re selling equitable interest in it, or it’s a wholesale situation.

It’s just adding that into your advertising when doing that. It’s nothing more than a few words added to it. I’m on a bunch of buyers’ lists for local wholesalers, and what they’ve added into their property is, “Selling equitable interest of property and the information.” That way, they’re saying that they don’t own it, but they have equitable interest in it.

Jack Butala:                         Right, equitable title. Right.

Justin Silva:                         Yep.

Jack Butala:                         Awesome. Thank you.

Jill DeWit:                            Got it. Just disclosure. Thank you.

Jack Butala:                         He’s going to end up teaching this stuff with us.

Jill DeWit:                            That’s awesome. Yeah, I know. Careful.

Jack Butala:                         Thank you, Justin.

Jill DeWit:                            Now we know Jessica has the teaching background. This is going to be good. Brandon asks, “Can you please explain why flipping for cash is more profitable? It seems that flip deals are less profitable to me. I can usually get 200 to 300% for flips and around 600 to 900% for terms deals.”

Jack Butala:                         You’re 100% correct, but the truth of it is this. I am not a people person. I’m just not. When I can just deal with it one time, double, triple my money, like you said, 2 or 300% on a margin, that’s good enough for me. I’m a data person, so I justify the fact that I’m taking the lower road here, not the higher road. I’m taking the lower road, but I’m making up for it in deal volume.

Jill DeWit:                            Right.

Jack Butala:                         Now, Jill and I make up for it with the size of the deals, like the Santa Barbara ranches and stuff.

Jill DeWit:                            We did a whole … We don’t have time for it today, but if you ask this, Brandon, at the beginning of a call next week, or another week, Jack will go into a spreadsheet thing, and he’s actually …

Jack Butala:                         Brandon’s right.

Jill DeWit:                            Yeah, but the momentum that we get from infusing the cash back in is huge.

Jack Butala:                         Yeah. It’s a velocity of money situation.

Jill DeWit:                            Right.

Jack Butala:                         That’s the reason we don’t have any rental houses anymore, either, just because I can’t … Every time Jill and I look at each other and say, “We could sell this property for 10 times more than we paid. Do you want $500 a month forever, or you want $50,000 right now? That’s an easy question. We don’t even have that conversation anymore, because we both agree.

Jill DeWit:                            We’re both cash … We both love the cash. That’s just personal preference, then, too. Love it.

Jack Butala:                         My sister is a rental. She owns 50 rental houses, and she’s like, “I will never, ever sell one of these houses, ever.” Even if, financially, I think she should, that’s just her thing.

Jill DeWit:                            All right, let’s do this last one.

Jack Butala:                         She’s a people person.

Jill DeWit:                            She is a people person.

Jack Butala:                         Like you are, Jill.

Jill DeWit:                            Thank you. Matt Rogers asks, “Okay, since the mailer hit on Monday, I’ve been letting all calls go to Google Voicemail, and calling back those expressing interest. 49 of 50 calls have left a message. Should I continue letting the calls go to voicemail, or get PATLife in the interim if there’s an answer?”

Jack Butala:                         Get PATLife.

Jill DeWit:                            Yeah.

Jack Butala:                         There’s no replacement for answering the phone.

Jill DeWit:                            Exactly. Fortunately, awesome response that they’re leaving a message, which also could be maybe pricing too high. Just kidding. Just joking. It does make it … This is really, really good, but I still would recommend having a live body, a live person, answering that.

Jack Butala:                         We’re really over in time.

Jill DeWit:                            I know. Could we do one more? Let’s do this Chuck real quick, and then we got to go.

Jack Butala:                         Yeah.

Jill DeWit:                            Chuck asks, “I have several one-third acre properties in a plotted neighborhood. Any tips or tricks on getting rid of a pesky neighbor that’s consistently discouraging my buyers from buying when they look at the property, because he doesn’t want anyone building near him?” That’s hilarious. Somebody even put up a “No Trespassing” sign on my property.

Jack Butala:                         This is what I would do, Chuck. I would say, to the people, I would just be real straight about it, and say, “The crotchety old guy X, who lives on the corner, is going to discourage you, so don’t let it happen.”

Jill DeWit:                            That’s right. All right, and Jake’s …

Jack Butala:                         There’s one in every neighborhood, no matter what the value of your home is. We have one in our neighborhood. I’m not afraid to tell you.

Jill DeWit:                            Which you talking about?

Jack Butala:                         There’s always a crusty person. You know who I’m talking about.

Jill DeWit:                            The one that called the cops on our party.

Jack Butala:                         Yep, and way more stuff.

Jill DeWit:                            We had a permit, so we were okay. Yeah, I got you. There’s always one, that’s true. All right, and Jason …

Jack Butala:                         Her house is worth $20 million.

Jill DeWit:                            I know.

Jack Butala:                         She’s got an attitude problem. You’d think, all that money …

Jill DeWit:                            Is she the one that says, “Do you know who I am?”

Jack Butala:                         Yeah. You’d think all that money would make you just a little bit happy.

Jill DeWit:                            Do you know who I am? That’s our joke around here. Do you know who I am?

Jack Butala:                         I do know who you are. You’re the person who lives at the end of the block that has really bad manners. That’s who you are.

Jill DeWit:                            Yeah, that’s who you are. We don’t care who you think you are. Whatever. Keep the photos coming in. Thank you for asking, Jason. I got yours. I love yours.

Jack Butala:                         Jason has a Murphy bed office. It’s awesome.

Jill DeWit:                            It’s fantastic. Yes.

Jack Butala:                         The bed goes up into the wall and then all his desks and stuff come out.

Jill DeWit:                            Yep. Awesome. Good. Oh my gosh, you guys are … This is awesome. Yeah, keep the photos coming in. What this is, for anybody who’s just hearing it, I’m going to do my … I’m doing my own too. I’m going to put this all together. I think I’ll put them on Land Investors somewhere, where we can all share funny photos of … Justin’s dining room table would be an awesome photo, to see what he’s got going on there.

Jack Butala:                         You don’t have to limit it to that. One of my favorite pictures that we get from members is signed purchase agreements. Stacks of signed purchase agreements.

Jill DeWit:                            Yeah, I like those too. That’d be another contest, but the office thing is going to be fun.

Jack Butala:                         I don’t know if Trevor’s on a call, but he sent me a stack one time. He was like, “Yeah, it works.”

Jill DeWit:                            I think I’ve got those too, and I put them on Facebook or something and show those. That’s awesome. Okay, thank you, everyone, and have a great acquisition week.

Jack Butala:                         Yeah, and thank you, Justin.

Jill DeWit:                            Yeah, thanks Justin.

Jack Butala:                         Super informative.

Jill DeWit:                            That was so much fun.

Jack Butala:                         We will be back at the same time Thursday.

Jill DeWit:                            Got it. See you next week.

Jack Butala:                         Bye.

Jill DeWit:                             Bye.

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