Epic Real Estate Investing - Finding Seller Financed Properties and Good Realtors to Work With | 1043

Episode Date: June 9, 2020

In today’s episode, Matt thoroughly explains how he finds seller financed properties using online tools as well as how he found his real estate agent in Las Vegas, NV with whom he made a couple of deals with zero money out of his pocket! Tune in and find out more! Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terrio Media. Success in real estate has nothing to do with shiny objects. It has everything to do with mastering the basics. The three pillars of real estate investing. Attract, convert, exit. Matt Terrio has been helping real estate investors do just that for more than a decade now. If you want to make money in real estate, keep listening. If you want it faster, visit all.

Rei-Aase.com. Here's Matt. Hey there, Epic Investor. It's Matt Terrio from Epic Real Estate, where we show people how to invest in real estate with an emphasis on retiring early. This is the Epic Real Estate Investing Show. And I do this show because I know that most people are living a life of financial sacrifice, even betrayal.

So we've built a system here that. creates an opportunity for one's money to work harder for them than they did for it, saving them and their families from a lifetime of financial worry. I know that real estate works. I mean, this is the real estate investing show, but it's really just a money show disguised as a money show because real estate is the vehicle that gives the average person the best possibility of getting what they want out of life financially, not to mention just the best possibility of creating overall wealth.

That's not my opinion. Those are just from the statistics. More people have done it this way than through any other avenue. So I know that real estate works. And I believe everyone deserves a chance. That's why we're here. And if this is your first time here, glad you found us. If you like what you hear, make sure you hit the subscribe button before you go.

And if this is not your first time here, welcome back. And thank you for sharing this with your friends and family. I love that about you. All righty. So yesterday we talked about working and teaming up with real estate agents. And I kind of gave you an idea of how to contact them and what to say once you do and what your expectation should be and why you should do it and where's the benefit and all of

it and everything. And I will promise you today to share with you how I have found mine here in Vegas that that's worked really well. And I've also been able to get a few deals this way. Also, with essentially, yeah, no, zero money out of my pocket and doing it because it's free out there for you to find as long as you know where to live. look and how to contact them once you do find them. And what that has to do with, drum roll please, online websites like Craigslist, like Zillow,

like Facebook Marketplace, and other online classified ads. And it works over at Trulia and Redfin and all the different websites that are available out there around real estate. You notice wherever people are trying to sell their properties without a real estate agent and or looking for tenants or even. if they are using a real estate agent, this works really well. So you just go to the housing section or the real estate section, and then you enter what I call motivated seller keywords.

And if you go, say, for Craigslist, it's pretty easy because there's just one big search bar up at the top. But if you go to Zillow, you know, if you click around enough when you're searching for properties, if you go over like to the Moore section or the filter section, there'll be a blank area to where you can actually type an additional keyword. I mean, after you've entered or you've selected your buttons with the bedrooms and the bathrooms and the different amenities that did the different websites make available, they're not all exactly the same. But there's always a search bar, even on Zillow, but you just have to click a couple times to find it. There's a little search section like what else would you like to add in your search for your house.

And you can enter what we call motivated seller keywords. And those would be keywords like seller financing or owner financing or owner will carry. The owner will carry is more of a realtor word. So you'll probably find more properties that are represented by real estate agents there. But also you can type in OWC. That stands for owner will carry. That's kind of code in the realtor world. Or just type in the word fixer or type in the word wholesale or other things that might insinuate there's some sort of distress or motivation there.

If you type in the word handyman. And what that means is a lot of people will, when they're setting up their ads, they'll call it a handyman special. So just by entering the word handyman, you're going to get a certain criteria come up of properties. Or the words as is. Don't put them all in at once. You kind of want to do individual searches with each one of these. Or condemned, or violation, or code. Or type in the words OBO or best offer.

Or type in the word TLC stands for tender loving care. The property needs some TLC. That means there's some repairs in place or needed. Right? Or type in rope probate or must sell or cash only or cash sale. or retired or foreclosure or divorce. All of those are different words, and you don't want to use them all together,

but if you type those in to do individual searches with one of those keywords, you're going to pull up all kinds of different types of opportunity that are right there in front of your face that you might not have found otherwise. So here in Las Vegas, when I got started, I just went through Craigslist to keep it really simple. It just started typing in the seller-financed words, because that's what I was looking for.

I was looking for seller financing. and we've been able to pick up a few that way. So it's been good. But I started to get privy that when I started looking around to seeing these other keywords inside of the seller finance stuff, like TLC or OBO or Best Offer or Fixer or Handyman. And I remember as a real estate agent, we used to use those all the time. I was like, no, duh, right?

Why wasn't I think about this earlier? And then I went over to Zillow and Realtor.com and Trulia and Facebook Marketplace and found that all of their little search windows that you can type these words into. and all kinds of stuff came up there as well. So it's been really, really a good strategy to finding deals that doesn't cost anything. It's a little time-consuming, a little tedious, but that's kind of the choice that you have to make when you're generating leads. You can either pay for them or you can earn them or work for them. So that's the change off, but there's a lot of them out there.

And so when you find them, a lot of the places, a lot of those different places, and when you type in a lot of those words, especially like seller financing, owner finance, you're going to come up with a lot of for sale by owner-type stuff and then you can contact the seller directly. And I've been doing it via text message. Actually, through REI Blackbook, you can enter the name and the property address and the phone number into a contact. And then you can just text them right there

from RIA Blackbook. It's pretty cool. And once they respond, then I just put them into a follow-up sequence. Then they'll get a text and a ringless voicemail and an email from me every single week. So it's a good follow-up system, a good way to do it.

Or you can just do it right straight from your cell phone. That works too. But it's just something like, hey, I'm an investor, and I saw your property on Zillow, is your price negotiable? Thanks, Matt. That's it. And I got like four or five of them here that I'll read to you. So that's one way to approach.

Another one is I'm looking at your house on Zillow, or if you're on Realtor.com, you put realtor.com, of course. I'm looking at your house on Zillow, would you be open to short-term seller financing? Thank you, Matt. Right? So if I found a house that needed some tender-loving care, had TLC, I might send that. Or my wife and I are looking for a house to buy in the area, are your terms negotiable. Another one I use, and I've used this for a long time, a friend shared with me your

house on Zillow, are you still accepting offers? That always gets a really good response, especially via text message. And then, you know, some ads will entail the offer criteria, like the price terms, conditions, sometimes initiating contact with your own price and terms can be a great beginning. For example, I mean, you found a seller finance house and says, if you have 20% down and you're willing to take 6% in payments, then submit your offer. And so when I see that, because this is the thing, they're advertising their terms, and I found several of those, where they actually put the terms into their ad.

But they're so focused on the terms, now they're saying submit your offer. Because this is what I know about owners. They're always focused on the price. They're not expecting us to submit an offer with the terms. They just want to make sure they get their price, but this is the terms that they want. So they want their 20% down.

They want their 6% interest. Now they're just reduced it down to negotiating the price. So they're always thinking in price. So you can say, I could give you a full price for it if you be willing to take 10% down and 5% interest. Right. So now of a sudden you've got them thinking a little bit differently like, well, I'm not taking a discount on the price, but I am taking a little bit discount on the down payment. All right. So just something to think about.

When they put their terms into their actual ad, they want the terms, but they're willing to negotiate the price. So you might be able to negotiate that as well. And so then for any positive response that you receive, like, do we want to take this off of text messaging as quick as possible? Because it never really gets very far. You don't want to try and negotiate your whole deal via text. That's a big no-no. There's something that we have called the hierarchy of communication. And it goes with in-person being the best, the best way, over the phone being the second best way.

Then we have text message being the third best way. ringless voicemail could be the fourth way to contact them and then email and of course direct mail. So that's our hierarchy of communication. And you want to move up that hierarchy as fast as you possibly can. So if you contact them with direct mail, you want to get on the phone as soon as possible, or at least you want to move it up to text messaging or you want to move it up to the phone or in person even better. Right.

So in person is always best. You get so much more accomplished in person than you could ever get in, in any other form. You know, you might be really good over the phone and closing your deals over the phone. That's fine. I'm just saying you're going to be better at it if it's in person. You build more rapport.

There's less room for misunderstandings. And it's just that you can actually get the thing done right then and there and get the contract sign rather than have to email it or send it via FedEx or sending out a notary or anything like that. You can get it done right then and there. Okay. So with that said, anytime you get a positive response from your, from reaching out via text message.

to these different ads and these different websites. As soon as it's possible, as soon as you can, soon as the window opens, just text them. Would it make sense for us to hop on the phone to discuss and get on the phone? And then once on the phone, you just kind of start with your normal seller interview

of however you're responding. We have something here called a nine-point seller interview. And that's exactly what it is. There's just nine points on it. And we interview them. And it is an interview. Like, we've got the mindset. I can't buy them all.

I have to interview you to see if you're how, is going to be worthy of my money, if it's going to be worthy of my time. So I need to ask you some questions. And then once we're done, then you can ask all the questions you want. Is that fair? Good. All right. So if the conversation ends up as a no thank you, nope, not interested.

Before they hang up, just ask, do you have any other properties you might consider selling? Got a lot of deals with that one question on no thank you's or it's not going to work out. Well, do you have any other properties you might consider selling? And this works really well when you're reaching out and talking to, say, absentee owners. because typically they're landlords, right? They don't live there.

And a lot of times, they're going to have more than one house, and they might be open to it. And if you end up talking to a property manager or a realtor, and this is how I found my realtors, because I ended up talking to a couple realtors that were representing these seller finance houses, and they turned out to be the best ones. I've got to say, is Craig's List,

there's so many pros to it, and there's so many cons to it. And I think that kind of one of the cons is there's a lot of trash on there. There's a lot of just, I don't know, I think the, I mean, certainly there's scammers on there. But there's a lot of stuff in between to where it's just people trying to generate leads and not really having a house to sell and might not have the greatest or the actual intentions of what their ad is saying. So you get a lot of that. And I just kind of use the friend term that like you, this is where you're scraping the bottom of the barrel is on Craigslist because there's a lot of stuff like that. But one of the pros that I've really discovered is if you find a real estate agent on there that's working Craigslist. this is an agent that's putting in the work.

This is an agent that's hustling. This is an agent that's getting creative. This is an agent that potentially could be motivated themselves. They're a little bit desperate, so they're trying to do anything just to generate work and to be able to get to talk to a live breathing human being that's able and willing to buy a house or sell a house. That's what I've kind of noticed.

There's a little common denominator thread. It's not 100%, but there is that little denominator in there that's common amongst them all that I've found on there. They're willing to work. And so that's who you want. That's who you want to work with as a real estate investor, is you want someone on there. So I think that's a good silver lining to finding realtors on Craigslist.

And then if you happen to end up talking to a realtor or a property manager, or maybe even another wholesaler, make friends because every buyer is always eventually becomes a seller, and every seller eventually becomes a buyer and the realtors want that, they're always looking for, they get in binds, and they're going to need people. and you just want to make friends, property managers as well. Think about property managers.

That could be the center of your entire influence if you had a really good relationship with a property manager because all of their clients are absentee owners. They're all landlords. And they buy and sell all the time and then typically aren't as emotionally detached. So a property manager can be a great person. So if you end up on the phone,

I'm going on a tangent, but it's all important and stuff. If you end up on the phone with a property manager or realtor, make friends, create that relationship. Tell them what you're looking for. Let them know how you might be able to help them. And then exchange information and put them in your follow-up system and stay in touch. And then before you hang up, ask either one or two, depending on who you're talking to, do you have any other properties for sale?

Or my favorite question to ask a real estate agent, do you know of any listings open to seller financing? And I have a specific follow-up system for my realtors that tells them each and every week. Hey, it's me again. I mean, I have all different versions of this, but essentially it's me again. I'm still looking for a house with seller financing, three-bed and two-bath in this area. Have you seen anything this yet? Have you seen anything come up this week? And remember, I'll make sure that you always get your commission.

I always mention the commission in there as well. And so that just goes in. And I have eight messages, and they just repeat over and over and over, and they go every single week. And just think about that. You're focused on, this is specifically what I'm looking for. You're staying at top of mind with a real estate agent that has a high likelihood of eventually coming across something like, that. You're mentioning their commission.

You're mentioning that you're ready. And that's hitting them every single week. You're staying at top of mind in a positive way. I think even one says, I think one of my emails says something to the effect. Hey, it's just checking in with you. I'm still looking for houses. But would it make sense for us to get together for a cup of coffee? Right.

So it's just like something that doesn't ask and has offers to buy them a cup of coffee. So it just kind of, it's one, I sacrifice one week without really looking hard and, pushing them and just offering them something. So just over and how the relationship builds. And just think about that. If you did that, say, just a couple times a week with a real estate agent, put them in that sequence, that follow-up sequence, you know, just say if you did it is twice a week.

So that's eight a month, right? After three months, you've got 24, 25 real estate agents that you're constantly communicating with on a consistent basis, telling them exactly what you're looking for. All automated, essentially totally free. I mean, I guess you'd have to pay for the email service. That's all included inside of REI solutions that we use. But just think about how that snowballs and how that starts to build because it will.

And all of a sudden you start getting phone calls. Hey, I got a deal. Are you ready for it? Are you open to it? All righty. So that's how I found mine was just in that exact way by making offers on seller finance properties through websites, classified ads, and Zillow, predominantly. Now I've branched out to the others. And that's how I found my real estate agents, and now they're bringing me deals.

And now if I need to make an offer on something, then I find, I have somebody that I can call, and it gets done. So hope you found this valuable. If you did, there's a good chance you know someone else who might find it valuable as well. And when they come to mind, go ahead and feel free to share it with them. Ask them to click the subscribe button when they get here, and I'll take great care of them. That's it for today. God loves you. So do I?

Health, peace, blessings, and success to you. I'm Matt Terrio. I'm Matt Terrio. I'm Matt Terrio. Yeah, yeah, we got the cash flow Yeah, yeah, we got the cash flow You didn't know, home boy, we got the cash flow This podcast is a part of the C-suite Radio Network

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