First 10 Week Land Academy Accountability Group – Huge Success for Members (LA 1445)

Transcripts:

Steven Butala:
Steve and Jill here.

Jill DeWit:
Hello.

Steven Butala:
Welcome to the Land Academy Show, entertaining land investment talk. I’m Steven Jack Butala.

Jill DeWit:
I’m Jill DeWitt, broadcasting from sunny Southern California.

Steven Butala:
Today Jill and I talk about the first 10 weeks of our Land Academy Accountability Group and how much of a success it has been for our members. I’m surprised by this, like always.

Jill DeWit:
We’re halfway in, right? Where are we … I don’t know what weekend.

Steven Butala:
We’re on session six of 10-

Jill DeWit:
There we go.

Steven Butala:
… or seven of 10 actually.

Jill DeWit:
Exactly.

Steven Butala:
It’ll be almost done by the time this airs. Every single time Jill and I start something new, some little subsection based on what people ask for, I don’t think it’s going to work. That’s just how my personality is.

Jill DeWit:
I was going to have a different answer. Go ahead.

Steven Butala:
Every single time, Jill’s like, “Oh, I’m so excited. It’s going to be … Everyone’s going to love this.” And that’s what ends up happening. Most of the time, not all the time.

Jill DeWit:
Here’s my takeout. Every time we start something new, it develops into something else new.

Steven Butala:
Then we have to do more stuff.

Jill DeWit:
So instead of one new project, then we have three. It was so sweet, I had Kristin and I had a consulting call the other day. And it was very nice, the first few minutes she said, “Look, I own my own business and I’m just getting started in this. How the heck do you guys do what you do? I can’t believe what you do.” And every time I hear that, I’m like, “Yeah …” First of all, thank you, Kristen. And yes, I am that tired.

Steven Butala:
Yeah.

Jill DeWit:
It is a lot, but it’s all good and I’m very happy and we have a great group. And so I’m inspired just to get up every day and do it again.

Steven Butala:
Deal funding really helps deal. Deal funding allows us to do a lot of real estate deals without doing a tremendous amount of work.

Jill DeWit:
That’s true. [crosstalk 00:01:38] help.

Steven Butala:
So for years and years … I mean, we still do tons of our own deals, but we’ve got a good staff in place so it’s not that bad.

Jill DeWit:
It’s true.

Steven Butala:
We still do it.

Jill DeWit:
I know. We do it to ourselves

Steven Butala:
Before we get into it, let’s take a question posted by one of our members on the landinvestors.com online community. It’s free.

Jill DeWit:
Thomas wrote, “Hi, everyone. My partners and I are active since about a year ago and currently operating in X state. We made multiple acquisitions so far and I’m very enthusiastic about the process. We started off in a lower price range in X County, and are now dealing with gradually larger and higher value properties that range between 10,000 and $20,000. However, we’ve noticed big price fluctuations depending on the attributes, specifically trees. It seems that land with trees on it is disproportionally more valuable than land without.” I’m sure in this area, it makes a difference.

Jill DeWit:
“For instance, we recently bought a property with a tiny forest on it for $6,800 and sold it for $20,000 within a matter of days. While the treeless properties, we can often sell with up to a 50% profit margin. A few days ago, we received a signed purchase agreement for a seven acre property with lovely mountain view for $14,000. According to our research and comps in the area, we estimate a conservative retail price of about 25 to $28,000.” So 80% of the lowest price comparable in the area. These are all making sense to me. This is great.

Steven Butala:
So far, so good. Yeah.

Jill DeWit:
“Nevertheless, it neither has electricity nor trees, but it’s located near a creek.” I’m good with all of this.

Steven Butala:
Yep.

Jill DeWit:
“A local land investor who we sold properties to in the past and sometimes consult with about our new acquisitions, said that without trees and electricity, it’s rarely going to get a price higher than $14,000. And that the lot doesn’t matter that much. So now we’re wondering whether our pricing is off, or is it just that that local investor just wants us to lower the price?”

Steven Butala:
Yes.

Jill DeWit:
“Although he didn’t mention that he’s not interested it in any way, or maybe it just drives us out of the market.”

Steven Butala:
He’s just jealous.

Jill DeWit:
That’s my thoughts there too. “Does anyone have similar experience or recommendations for us? Thanks in advance, Thomas.”

Steven Butala:
So what … Go ahead.

Jill DeWit:
I have to say too, you have to be careful who you talk to on all these things. So don’t just take one person’s advice and take it with a grain of salt. I’ve had counties, county officials, tell people, “Oh, you don’t want to buy there because before you know it, the HOA is knocking on your door due to X,” something … Sometimes they just make up stuff, they don’t want you in the area. They don’t want these out-of-towners coming in.

Jill DeWit:
Come on, that’s happening all over the country right now too. There’s certain states that people are like, “Ooh, we don’t want those people coming from X state.” And they’ll say darn near anything to-

Steven Butala:
X state is California.

Jill DeWit:
Exactly. To tell them-

Steven Butala:
We know that.

Jill DeWit:
It used to be Scottsdale, it used to be [crosstalk 00:04:51] too.

Steven Butala:
[crosstalk 00:04:51]. Yeah, it used to be Scottsdale.

Jill DeWit:
“We don’t want snobby Scottsdale people coming around,” or, “We don’t want the big …” It could be those big money, oil money, Houston people coming over here buying our land, fill in the blank. There’s a lot of things that people will make up, so you’ve got to take it with a grain of salt.

Jill DeWit:
“He’s just another investor.” And just because he doesn’t want it, says, “It’s not worth anything.” He might be trying to get a [inaudible 00:05:15] price out of you. So if you’ve got that gut instinct, I’d say trust it. Go ahead.

Steven Butala:
He’s doing everything right here. And I think what you’re asking is, and I just answered this in our accountability group. Is there a way from the assessor’s dataset, which is what we use, to send out mail? To find property that’s got attributes, like there’s a lot of trees or it’s on waterfront, or you name it. And the answer is no.

Steven Butala:
For some reason, and this is countrywide, the fact that the property has certain GPS coordinates, or maybe it’s just not as advanced yet. We’re sitting the Pacific Ocean here, behind Jill and I, and I don’t think this property is assessed that dramatically higher. There’s nowhere in the assessor database that’s going to say this property is ocean front.

Jill DeWit:
Right.

Steven Butala:
And that the four properties behind us are a block away, and therefore half the price and assessed that way.

Jill DeWit:
Right.

Steven Butala:
It just doesn’t happen that way. Assessors don’t, for whatever reason, at this point look at that. What they do in some cases, and certainly here in California, is they look at pure supply and demand, or market supply and demand. So they know that these properties on the water here will probably sell for a lot more than even ones that are half a block away or one right behind here. So they base their assessed value on that transaction. And that’s a California thing, not a lot of places do that. They just base it on not transaction value, but assessed value and whatever their methodologists is coming up with that.

Steven Butala:
So there’s no real way, in my opinion, to look at a dataset and say, “That property’s got trees on it, that one doesn’t. I want to just send mail to the treed property.”

Jill DeWit:
Right.

Steven Butala:
So the answer is this, send a hell of a lot of mail out and you will get what you want.

Jill DeWit:
Well, I was going to say too, just adjust as you go. Thomas, you did everything right, it sounds like. So now when you get, so you could … Say you send them all out, assuming that they have X attribute because it’s that county, that area, whatever. You’re going to get some back, they’re going to be perfect. “I did great. I priced it stellar. This is awesome. We’re buying it, move on.” And there’s going to be a few going, “Oh, this is interesting. This is one has none of the things that the other one has, and so this price really doesn’t apply.”

Jill DeWit:
And that’s when you tell a seller, “Look, I sit on an offer to buy this from you for $14,000. I hate to tell you this, but it doesn’t have a forest on it. It doesn’t have this, it doesn’t have that. There is no view. I need to check on the buildability.” Whatever is appropriate, and you let them know that. So for those reasons, it’s really worth five to me. And if that works for you, great. If not, I understand.

Jill DeWit:
And they know that too. There’s no way I’m going to argue with you and say, “Why isn’t my …” To you use your analogy. “I may not be waterfront, but I’m in the same zip code so I should be worth the same price.” Everybody knows that.

Steven Butala:
Nope.

Jill DeWit:
That’s the truth. So move on, and like I said, just … I wouldn’t necessarily trust this local land investor. I would never use somebody like that for my-

Steven Butala:
No.

Jill DeWit:
… as my go-to guy.

Steven Butala:
No, never.

Jill DeWit:
Because in five minutes, Thomas, you’re going to know way more than this guy. You probably already do.

Steven Butala:
Local people who control land want to continue to control it, that’s been going on since … I’m watching a show on Netflix right now about controlling land. The first King of England, when England wasn’t even England, and controlling land, this goes back to caveman times. And before that probably, as an animal marking territory. So it’s just a natural instinct.

Jill DeWit:
Are we done?

Steven Butala:
Send them out a mail.

Jill DeWit:
Moving on.

Steven Butala:
Today’s topic, the first 10 weeks of our land Academy Accountability Group and how much of a success it was for our members. This is why you’re listening.

Steven Butala:
Everytime Jill and I help more. And usually in the form of let’s say a live event, or this accountability group’s great cause it’s live, or this new product that we’re launching called land Academy Career Path. We get immediate response, and your ladies group.

Jill DeWit:
Oh, yeah.

Steven Butala:
What is it that you use, clubhouse now?

Jill DeWit:
Clubhouse. Clubhouse, Thursdays.

Steven Butala:
It makes me think of-

Jill DeWit:
One o’clock, Pacific. Come find me. Thank you.

Steven Butala:
It makes me think of a rock band or … You hear all these sitcoms and these shows are live recorded audience. And so Jill and I have sat in some of these shows in Hollywood and the producers to all stand there in front of us as an audience and say, “The actress needs you to participate. If it’s funny, laugh. If it’s not, don’t.” But Jill and I went to go sat in on a few episodes of Dr. Phil. I’m not a big, huge Dr. Phil fan, but I just wanted to see how they produced it, the cameras and stuff. And they all say the same thing. When the cameras are off, they say, “It is such a pleasure to have a live audience because I get immediate feedback. And then I can change how I’m talking or what I’m doing and make this more beneficial to the television audience and the live audience.”

Steven Butala:
And that’s how I feel about these groups. I love getting the immediate feedback and people saying, “That doesn’t make sense to me. Pricing didn’t work here, but it does work here. My bottleneck is not pricing at all, I’m getting a ton of responses. So many I can’t …” So Jill and I can adjust and provide I think-

Jill DeWit:
Real, timely.

Steven Butala:
… real advice, yeah. Beneficial, yeah.

Jill DeWit:
Uh-huh (affirmative). That’s-

Steven Butala:
And so I think that’s part of the success. So we are six weeks in. We just did number six of 10 and it turned into a, “Would you do this deal.”

Jill DeWit:
Yeah.

Steven Butala:
Which is what our Thursday call turned into, and it occurred to me. Am I stepping on your toes here with all your notes?

Jill DeWit:
I don’t care. It’s your show too.

Steven Butala:
It occurred to me that just in this last session … We do this thing called, “Would you do this deal.” And it just caught on somewhere, I don’t know, somebody created it. It wasn’t us, it was one of the members.

Jill DeWit:
Two years ago.

Steven Butala:
Yeah. And so it became-

Jill DeWit:
A thing.

Steven Butala:
Now it consumes the Thursday webinar for all of our members. And what members are doing is, “Would you do this deal?” And they’ll throw out the APN, give us all the details. And, “Hey, Steve and Jill, would you do this deal?” And now we’re getting other members from the advanced group, their opinions too. So that’s how I know this is working. People are sending out mail, they’re getting responses, they’ve got a deal.

Jill DeWit:
Reviewing them.

Steven Butala:
They’re asking your opinion. “Would you do it? Do you think I can double my money? Do you think I could triple my money?”

Jill DeWit:
Right.

Steven Butala:
That’s my drug for me.

Jill DeWit:
[crosstalk 00:12:16]. Wish we had that, wish I had that. Once again, all of this is things that we didn’t have, but we’re here to save you. So this accountability group that we’re running right now, there’s two levels. There’s the free version, and we put people in based on how long they’ve been with Land Academy, not based on their experience in land investing. So everybody’s learning from us at the same time how we pull data, how we do pricing, how we pick a county, how we talk to sellers, how we talk to buyers, how we post property … We’re going through everything. It’s really a roadmap, is what we’re doing, to get everyone rolling. And again, it’s for free to all members.

Jill DeWit:
And then for people who’ve been with us a while, we’re going to circle back around this year and create other opportunities for the same thing. Because I do know that, there’s a lot of people that have been with us for months and like, “Gosh, I still haven’t got my act together. I need a little push. I’m going through the program and every time I do have a question, then I stop. I go put it in the online community and then I get an answer back, and I kind of lost my flow. So I need to know where I should be every week.” So that’s really what this is.

Jill DeWit:
This is also, like Steven just said, we’re prepping for the non-free version, which is called Land Academy Career Path. And it’s just what we mean. It’s like, you’re going big. You’re not just testing this. You own a company, you are an investor, you have something going on. You just have a lot of money, who knows. And you’re like, “I need to diversify my portfolio and it needs to be real estate, and the easiest one is land. I’ve been watching and listening to you guys long enough, I get it, I know. I’ve done apartments, I’m done with apartments.” Just all these possible scenarios [crosstalk 00:14:01] going to be-

Steven Butala:
“Just sold my restaurant.”

Jill DeWit:
You got it.

Steven Butala:
“ive got a bunch of money to spend.”

Jill DeWit:
“And I don’t want to buy another restaurant.”

Steven Butala:
And these are all real. These are actual real-

Jill DeWit:
People.

Steven Butala:
… members that we have, experiences.

Jill DeWit:
And some of them are us. We might’ve been sprinkled in there. So it’s prepping for the Land Academy career Path, which is going to be like the accountability group but times 10, is really what it is.

Jill DeWit:
And what are the results here that everyone’s getting, like you just said, I love it. Everybody gets immediate answers, direct feedback with us live, week by week. And that’s just invaluable, I think. I know it is. And it’s also getting people going, people are now … That’s the best thing for me is where like, “You know what? I wasn’t in this group, I didn’t get those answers. I know I would have been hung up three weeks ago and I wouldn’t have got my mailer out. So thank you. I’m glad got those answers, you made me feel good. I know that I could push the button on my mailer, because I know in two weeks when my mailer’s hitting, and if I have any questions, I’ll be able to ask you guys. Because you’re going to be there with me on Thursdays or Tuesday.” It’s Tuesdays right now. “In two weeks, and I can ask those questions live and I can share them with the group. And if I don’t have any questions too, I’m sure someone …”

Jill DeWit:
That’s a great thing too. I love having more than one person. This is so beneficial, because even if you hadn’t thought of the question, you’re getting answers from somebody else that they might be five minutes ahead of you or five minutes behind you. And you’re getting knowledge from them.

Steven Butala:
That’s right.

Jill DeWit:
What else do you want to add?

Steven Butala:
I mean, it’s just been a huge success for members and a success for us. It led to Career Path.

Jill DeWit:
Yeah.

Steven Butala:
I didn’t know this when we started it. And we’ll do another one. When this 10 week session’s up, we’ll start another Land Academy Accountability Group.

Jill DeWit:
Mm-hmm (affirmative).

Steven Butala:
So it’s it for another … I don’t know exactly who’s going to be in it, that’s not up to us to decide.

Jill DeWit:
Right. Right now the very first one we’re running, because we need to get a feel for it and get the flow. We’re going to pass it off to another advanced member. That’s not going to be a hundred percent, but they’re going to be the facilitator, if you will. And you and I will come in and come out for the parts that are needed and appropriate.

Jill DeWit:
But for the Career Path, if you’re thinking about doing this big and you’ve been holding back … Because there’s a lot of people … I know that. We have a lot of people in our group that, “I didn’t want to jump in and do the self-study thing. I just want to come in and have you guys really sit me down in a small, closed environment.” And if it weren’t the COVID going on, we’d probably be in a boardroom together.

Steven Butala:
We would.

Jill DeWit:
So right now it’s going to be 15 people in our version of a boardroom, which is an online thing. And we’re going to meet every week, and it’s going to be a closed-door session, talking at your level and helping you solve whatever things you need to get your business … This is a business, this is a career for you, up and running.

Jill DeWit:
And for those of you who are members that just said, “This is what I’ve been waiting for. I know it, I just haven’t been … Doing it on my own. I know I need to go big. This is going to be the kick I need.” Or, “I’m just that guy. This is how I need it to be done.”

Steven Butala:
And you meet other people.

Jill DeWit:
Yeah. All of that too.

Steven Butala:
It’s like meeting people in high school or college, and you’re just friends for life. Certain people, not obviously all of them.

Jill DeWit:
Yeah. I hadn’t thought about that. Because this is going to be a unique group of professionals that we’re all going to be on the same page, and it’s going to be great.

Steven Butala:
This is class one.

Jill DeWit:
That’s a good point.

Steven Butala:
Right now this is-

Jill DeWit:
I didn’t even thought about that.

Steven Butala:
… graduating class of 2021’s happening this year. This is Land Academy, class one.

Jill DeWit:
Mm-hmm (affirmative). Thank you for sharing that.

Steven Butala:
Or class zero, zero, one.

Jill DeWit:
That was great. Happy you could join us today. Five days a week, you can find us right here on the Land Academy Show.

Steven Butala:
Tomorrow the episode on the Land Academy show is called, “Types of blind offers to send and types not to send.” You are not alone in your real estate ambition.

Jill DeWit:
This is good. So blind offers to send, and then everything else not to send, is really what it is. And I can’t wait to talk about this, because people do get confused. It still comes up a lot.

Steven Butala:
Here’s a hint. We don’t send postcards.

Jill DeWit:
Or neutral letters, or things to warm them up. Or anything that involves lipstick or a dollar inside of it, or perfume. Oh my gosh. Or yellow paper, or pretend signatures or real wet signatures. And we’ll get into all that.

Jill DeWit:
If you’re interested in learning more about us or what we do, check out landacademy.com or houseacademy.com. We provide the education tools and support you need to be flipping property like the pros. We are Steve and Jill.

Steven Butala:
We are Steve and Jill. Information-

Jill DeWit:
And inspiration.

Steven Butala:
… to buy undervalued property.


If you have any questions or comments, please feel free to email me directly at steven@BuWit.com.

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https://parcelfact.com

https://countywise.com

https://deedperfect.com

https://ownersdata.com

https://houseacademy.com

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