How to Make a Million Dollars a Year is the Career Path Number 5 Number One Request (LA 1875)
How to Make a Million Dollars a Year is the Career Path Number 5 Number One Request (LA 1875)
Transcript:
Steve:
Steve and Jill here.
Jill:
Hi.
Steve:
Welcome to the Land Academy Show, entertaining land investment talk. I’m Steven Jack Butala.
Jill:
And I’m Jill DeWit, broadcasting from the natural springs area of Arkansas. Yes, Eureka Springs right now and we are loving it.
Steve:
Can’t say enough positive stuff about this area, with the state and the country.
Jill:
You know what’s funny, we had a day this last week where it was like, started off, it got sunny but it started off kind of dark and weird and it rained a little bit and it was, you know the show the Ozarks, how we all know it has that funky tint. They make the, there’s like a filter on the cameras or something and make it kind of a dark, interesting blue? Would you call it blue background kind of thing? I swear it felt like that.
Steve:
It was that color.
Jill:
I was running around taking pictures, I’m like, “That’s real.” Now I get the Ozarks show and I always thought, why do they make it look so dark? But by the way, right now we’re sitting in a beautiful, sunny day. Blue sky, it’s gorgeous so it’s not always like that, but I get it. It was really cool.
Steve:
Today Jill and I are going to talk about how making a million dollars a year is the number one discussion point and request for this new career path class.
Jill:
There’s kind of two things that came up because I want to share, to tell you, there’s one other thing that everybody asks for. So it’s important to know. I want leave a little teaser here. So when we went around the room the other day, everybody brought up two things and one is the money and I’ll tell you the other one in a minute.
Steve:
Before we get into it, let’s take a question posted by one of our members on the land investors.com online community. It’s free. And last year a ton of people came to us, came to Jill and I requesting for help getting their first mailer out or just getting consistency in doing mailers or mailer type stuff. Well enough people came to us. Jill and I decided to turn over our own mailer department to our employees to allow them to do that. So we call it concierge data and now it’s called concierge data plus, you can completely and entirely outsource doing a mailer to this department and it’s a subdepartment of offers2owners.com. Or if you’re having trouble getting the first one out, check it out. It’s very, very efficient. And now we process a ton of orders, more and more every single month.
Jill:
All right, Chief wrote, “As a seller, how do you ask a buyer, how do you ask a buyer close, as a seller how do you ask a buyer to close through your selected title company? Or is it just customary for the seller to choose? It’s a little late for me to be inquiring about this, but I’ve been letting, or should I say making the buyer’s agent find one. Now that I say it out loud pretty sure I’m doing it completely wrong. I need to be sending them somewhere specific, right? My thought was it doesn’t really matter to me and it’s all about the same price so let them have it in case they have people they like to close through. It was one less thing I had to set up. Now I see why all the buyer’s agents attitude seemed to change a little bit after their clients have signed. I’m making them do my job accidentally but sure enough, they’d sign and I’d been letting them take it from there. I’d been asking them where they want to close and wait for an email. How messy.
This must be what Jack means by being able to, by doing it all wrong and still being able to pull it off. Embarrassing but enlightening.”
All right, so let me back up here.
Steve:
Embarrassing but enlightening.
Jill:
So here’s what I do, Chief, and this, I’m going to make it easy. This will be make it easy for you actually, because I bet you putting it on them could slow you down too. I want you to stay in control for the whole transaction.
Steve:
Yeah, Jill.
Jill:
Whether you’re the buyer or the seller.
Steve:
Yay.
Jill:
And by saying control, I want you to pick the agent. I want you to negotiate the title agent, I’m trying to say, not the real estate agent. I want you to pick the title agent. I want you to create a relationship with this title agent. I want you to do many deals with this one title agent. And I want you to do, to negotiate investor rates with this title agent. Because here’s what’s going to happen, because the more deals you do with this person, the cheaper it’s going to get A, and B, the faster and easier it’s going to get.
They know you, they have your documents, they know how you like to close, they know how you like to do this. They know where to send you paperwork to sign, fill in the blank. And it is much easier, as you’re finding, when these buyers come to you, you have it all set up. It’s so nice to say, “Oh by the way, don’t worry about this. I can close this in 10 days. Give me 10 minutes. You’re going to get an email from Susie at ABC title and it’s actually going to cost you. Normally you’re probably used to spending X, right? Don’t worry about it, Susie and I have a deal and it’s only going to cost you this, this time.” They’re going to be like, “What?”
You’re saving everybody time and money too.
Steve:
Here’s the whole point. You can’t say this the way that I’m about to say it with the tone of voice I’m about to say it in a sentiment, but this is what you’re trying to get across. “Look, I got this all worked out. You don’t have to do anything. I have this, everybody’s in place. We do a ton of these all the time. This is the reason I was put on this planet. So you don’t get to do anything, you just do what I tell you to do.”
So of course you can’t say that you’ll never get anything done, but you need to have your ducks all in a row. These agents all lined up, they’re all, every step of the transaction that, and then say it. Think about how, if you were a Jill, how you would say it. “Oh no, we’ve got that all worked out. This is the agent over here. She’s the one who bought, closed the deal on the buy side. It’s actually going to cost you less money and we can probably get it done in three or four days or a week or so.” And so you’re answering all their questions and telling them what to do. But you’re getting smacked around. But the way Jill does it, so you don’t really know what’s happening to you.
Jill:
What do you mean you’re going to get smacked around?
Steve:
You’re getting told what to do, but in the nicest way.
Jill:
Oh.
Steve:
So you have no idea that you’re getting ordered to do something.
Jill:
No, I’m not. No, no, you’re safe. You really are helping people.
Steve:
Yeah, no I know the net effect is it’s easier and faster and cheaper.
Jill:
Where did this smacked around come from?
Steve:
It’s just,
Jill:
Please explain.
Steve:
Not smacked around. Jill is just very, very good at saying, “Hey, if you just follow my lead here and do it this way, it’s going to be cheaper and faster and easier. And we’re,”
Jill:
Again, I’m helping.
Steve:
Right.
Jill:
Well and here’s what I would do too, Chief, and for everybody listening to really make it the best. While you’re mail’s going out, you’re brand new in this area and you haven’t bought anything yet. That’s when you start making these phone calls, you start lining up two or three that you really like and say, “Hey, I’m going to be buying a bunch of prop in this area, here’s how I do it. Here’s how I like to, it’s going to be all cash. There’s never going to be this, never going to be that. You know how fast, they’re just land deals, you know how fast can you typically close them and how much do you charge?”
And now you’ve got three in your, on your notes of who you like and so the day you have one, you’re ready to go. I want you that ready to go. And it hasn’t come up so much lately, but we used to be able to do what’s called a binder clause or,
Steve:
Open binder.
Jill:
Or hold open policy where I would pay a couple hundred bucks on the front end because it would save a lot of money on the sell side when I close it. So it’s kind of like I’m prepaying a little bit of the closing fees when I sell it and then it goes really fast. And then that title agent knows that, all right, I’m going to keep this file on the edge of my desk, even though they’ve bought it, policies closed, it’s all done. Because I already know this guy. I know Chiefs going to come back to me, he already told me inside of 30 days, he’s going to probably reopen it to try and sell the property, so it’s going to be so fast.
Steve:
I mean we covered that. We covered that Jill. I understand putting a team together but the bigger thing at work here is, in the nicest, sweetest way possible, you need to tell everyone involved in the real estate deal how it’s going to go.
Jill:
Yeah, I have one last thing to say and then I’m going to let you have it. Not have it but,
Steve:
No, I know what you mean.
Jill:
You can, but
Steve:
I’ve gotten it from you before.
Jill:
That’s cute. That’s funny. No, I do have it all set up. But at the very, very, very bitter end, do I dig in and lose a deal over it?
Steve:
No.
Jill:
No. Because one out of every 10, maybe one out of every 30, there’s going to be an agent whose brother-in-law owns a title company and they’re going to dig in and want to use that guy. And you know what I say, fine that’s okay. And I do it.
Steve:
Today’s topic, how making a million dollars a year is this career paths attendee, this career path number five. This is one of the things that, it’s our number one request, which I love because it really is just all kind of, it’s a mathematical situation. So we are tailoring this career path largely to how to make a million bucks. And we’ll see how it goes.
Jill:
This is the meat of the show.
Steve:
Yeah.
Jill:
All right. So we went around the room. So as we’re airing, this is Wednesday. Last Wednesday was career path number five, group number five, their very first session. And we went around the room and asked everybody, got to know each other. Where you are physically, where you are in your career, where do you want to be? And two things popped up and this was actually the second one of the two. Because some people are already doing this, some people are already, I already make a million dollars a year but I want to do it better. I want to do it easier, I want to do it faster. I need to know how to scale. So there were two things. One was scaling your company, being more efficient. And the second one was making a million dollars a year, when you back up too, I mean when you look at it’s not even a hundred thousand dollars a month gets you a million dollars a year. And I know you have a lot you want to say about that.
Steve:
No, not really. I think you’re covering it perfectly.
Jill:
Oh.
Steve:
Honestly I really do.
Jill:
Okay.
Steve:
I think that it’s just, to make a million dollars or ten million or a hundred thousand dollars, you just have to back into, there’s two huge components to it. Backing into the mail. So let’s say every 5,000 units, yields one great acquisition where it fits your criteria. So let’s say your criteria is buy for 40, sell for, buy for $40,000, sell for $80,000. You may have to send out 5,000 units, maybe 7,000 units, maybe it’s 1500 units if you’re in an area that you really are familiar with. But it’s some number of mail. And then you need to do two or three units a month to make 80 to $120,000. Now you’re making a million dollars a year. So I’m skipping along the top of this for time and for time’s sake.
But that is one of the large components to just grasp. You have to send out a certain amount of mail that will yield a certain amount of deals, that will yield a certain amount of money. That’s number one. Number two, and it’s just as important as at some point that’s going to be too much for you to handle probably sooner than later from a transaction standpoint, especially if you have a W2 job and other stuff going on in your life. So you need to learn to staff and scale and outsource the stuff that doesn’t matter so much. And keep in house, let’s say where to send mail. There’s a few slight things I think that are out of my comfort zone to outsource, the rest of it can be. So that’s what we mean, Jill means by scaling. And it’s what career path I think is all about.
Jill:
It is. So that’s like, so we spend 10 weeks getting to really know each other and get everybody to the place. Because what’s interesting, everybody has a different hangup. Everybody has different strengths, different weaknesses, different loves, different hates. So that’s a lot of it is, and working through them together. So for you listening, I hope your takeaway is here today that the number one thing you have to do, I think there’s two things you’d need to do first to attempt to get yourself to this if you’re not there.
Steve:
This is good Jill, this is really helpful.
Jill:
One is to put yourself in a situation where you are with those people, whether they are doing it or they have the same goal as you. Because that’s number one. If you’re sitting with someone that keeps telling you like, “Oh, don’t spend that much money. Oh don’t do that or don’t,” That’s not going to help you. But if you’re in a room where you’re all on the same page, we’re all like, “Okay, how fast can we all do this?” Great, that’s number one. And then number two is your own personal mindset. And you need to do whatever you have to do to get yourself in that head space where you’re not afraid of throwing around those numbers. And that’s my first tip.
Steve:
And then learn how to do it.
Jill:
And then we’ll help you with the rest.
Steve:
Yeah,
Jill:
We’ll help you with all of it.
Steve:
Once you’re all, you’ve bought into it and then how to actually get a good transaction coordinator. That’s where we can really, Jill and I can really help and other people in Land Academy.
Jill:
Cause if there’s lots of ways to do this, you just described doing two deals a month, I could do it doing 10 deals a month, maybe I don’t have the stomach for those buy for 40, sell for 80. I want to do 10 deals a month where I buy for 10, sell for 20. I don’t know. Or maybe this one, I want to do two deals a year. I want each deal to make a half million bucks.
Steve:
Yeah, Jill.
Jill:
I mean maybe that’s how hard I want to work. Seriously, you know.
Steve:
Now you’re talking, speaking my language.
Jill:
Maybe that’s it. And what are all the different ways to find those deals and to nurture those deals.
Steve:
Maybe you just want to fund other people’s deals and do zero deals.
Jill:
Something like that. So there’s lots of different things that, and as you, I hope I’m going to wrap up the show for me on this. I hope you see that there’s six different ways or more to get to that million dollars a year.
Steve:
Good.
Jill:
That’s it. You’re like, done. Touche. Like exclamation point. Out.
Happy you joined us today. Five days a week you can find us here on the Land Academy Show.
Steve:
Tomorrows Jack Thursday, thank God.
Jill:
Yeah. Thank God.
Steve:
And I’m going to talk about why recovering house flippers choose land flipping. You are not alone in the real estate ambition.
Jill:
How did this show get to be 15 minutes long already?
Steve:
Well, I can answer that, but I choose life.
Jill:
It’s a lot. Hey, by the way, it’s Wednesday as this is airing, it’s Wednesday the 20th and to, oh no it’s not. Is today Wednesday? It’s Wednesday the 19th. I had to think about that. And tomorrow, on Thursday, we are on Clubhouse so let me just back up and say this.
We are on Clubhouse on the first and third Thursday of every month. I believe it’s one o’clock Pacific Time. Don’t quote me. Go on Clubhouse, find the schedule, find us and check it out. It’s awesome. What is Clubhouse? It’s an app on your phone. It’s like a live radio show. That’s it. You can go on your phone, you can hear us like we’re on the radio. You can raise your hand. I’ll bring you on stage, virtually, on your phone and you can ask us questions and talk with us. It is super fun. We spend about an hour on the first and third Thursday of every week. So please go find us. My club on Clubhouse is called Land Investing and that’s where the schedule is.
Steve:
We are Jack and Jill. Information
Jill:
And inspiration.
Steve:
It’s by undervalued property.
Out.
If you enjoyed the podcast, please review it in Apple Podcasts . Reviews are incredibly important for rankings on Apple Podcasts. My staff and I read each and every one.
If you have any questions or comments, please feel free to email me directly at steven@BuWit.com.
The BuWit Family of Companies include:
https://BuWit.com
https://offers2owners.com
https://landinvestors.com
https://landacademy.com
https://landpin.com
https://parcelfact.com
https://countywise.com
https://deedperfect.com
https://ownersdata.com
https://houseacademy.com
I would like to think it’s entertaining and informative and in the end profitable.
And finally, don’t forget to subscribe to the show on Apple Podcasts.
