Epic Real Estate Investing - Property Power-plays: Game-changing Moves in Real Estate Investing | 1273

Episode Date: July 6, 2023

Welcome to an electrifying new episode of the Epic Real Estate Investing Podcast, where we bring the best and the boldest insights in the business! Today, we're revealing insider secrets with "7 Investing Mistakes The Super Rich Don’t Make," a segment set to empower you with exclusive wisdom from the Real Estate Millionaire's Playbook. Then, brace yourself for a ground-breaking discussion with Rick Otton, the maverick investor who became a real estate millionaire by daring to swim against the tide. Get ready to be inspired as Otton shares his unique journey and powerful strategies that could redefine your investing approach. And finally, in a twist that mirrors the ever-dynamic world of real estate, we'll be navigating through a day filled with diverse and contradicting housing market predictions. Expect an enlightening journey through this whirlpool of opinions, offering invaluable insights to help you decipher the housing market trends. This episode is not just about winning—it's about changing the game. So, buckle up and prepare for a wealth of knowledge that could turbocharge your real estate investing journey. Let's dive in and come out winners, together! P.S. Whenever you're ready to go deeper and further with your real estate investing, looking into my partner program to help you get your first deal might be the move... take the first step here for free 👉 https://epicearnwhileyoulearn.com/ Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terio Media. Ladies and gentlemen, get ready for an epic showdown. We're revealing seven investing mistakes the super rich don't make. Wisdom pulled straight from the pages of the real estate millionaire's playbook. In our second segment, our special guest Rick, Creative financing, Aten, will show you how he goes against the grain to maintain his millionaire real estate mogul status. And then prepare for a whirlwind of opinions as we dive head first

into a day filled with diverse and contradicting housing market predictions. Brace yourselves, this episode of the Epic Real Estate Investing podcast will have you on the edge of your seat. Hey, strap in! It's time for the Epic Real Estate Investing Show. We'll be your guides as we navigate the housing market, the landscape of creative financing strategies and everything you need to swap that office chair for a beach chair. If you're looking for some one-on-one help, meet us at REEIA's.com. Let's go, let's go, let's go, let's go, let's go, let's go. Let's go. In a world where financial success and wealth creation are the ultimate quests,

there's a secret society of individuals who have mastered the art of investing. These modern-day titans of industry possess the keys to unlock unparalleled prosperity. This isn't your average investment advice. This is the stuff legends are made of. The wisdom gleamed from the minds of the super rich, fused with actionable strategies tailored specifically for future real estate tycoons, like yourself. Today we unveil their closely guarded secrets revealing the seven investing mistakes that they don't make, mistakes that could make or break your real estate empire. So, brace yourself

for the next few minutes. It will be a roller coaster ride of revelation and transformation. Get ready to shatter the shackles of mediocrity and step into the realm of the elite. This is the moment where dreams turn into reality. Be warned, blink, and you might miss that one golden nugget of wisdom that could be the key to unlocking your own kingdom of wealth. It's the pinnacle of financial enlightenment, where the stakes are high and the rewards are even higher. Are you ready to seize the opportunity, or will you let it slip through your fingertips? Rift from the pages of the real estate millionaire's playbook, the seven investing mistakes the super rich don't make. Let's go. Mistake number one puts a spotlight on a secret advantage the super rich have called deal flow,

which gives them access to a wide range of opportunities. With so many opportunities, they benefit from the freedom and the ease to walk away from the negotiating table if they are unable to reach agreement. And the more deals that they do, the better their decision-making becomes, and the less emotional they are about the deals that they make. And that is the mistake of the novice investor, making emotional investment decisions. Ah-ha. Emotions and money don't always mix well, rarely do they? The super-rich understand that emotions can lead to impulsive choices, and so they embrace the importance of a logical approach. Now, it's easier said than done as a real estate investor, but it takes less disciplined to manage your emotions if you take a lesson from the real estate millionaires

playbook to always be marketing. You see, when you're generating consistent leads, just like the super riches deal flow, it's easier to walk away from bad deals. And if you'd like a free copy of the real estate millionaire's playbook, I'll make sure you get one in a second. Mistake number two, this is an easy one to make in the fast-paced world of investing, where fortunes rise and fall in the blink of an eye. There's a special secret that super rich and smart people like Warren Buffett always keep in mind. They know that with the money they've invested, patience pays. It's actually the magic ticket to becoming forever wealthy. Warren Buffett, he's well known for saying, boring investing is good investing. These words are a testament to the extraordinary value of playing

the long game. His success doesn't lie in the allure of quick wins, but in the steady, unwavering commitment to long-term strategy. Time in the market is the path of the super-rich, while the mistake of timing the market has led to many investing bankruptcies. Fix and flipping real estate, it can prove lucrative with the right market conditions. But holding real estate long term for its appreciation and cash flow, that's produced more millionaires than anything else on the planet. It's right there in the real estate millionaires playbook. Don't wait to buy real estate, buy real estate, and wait.

Mistake number three, this is shattered fortunes. I mean, it's a pitfall that separates the stagnant from the prosperous, the hesitant from the fearless. Failing to adapt to changing market conditions can turn your dream life into a nightmare. But fear not, for within this challenge lies the opportunity for growth and success. Imagine channeling Elon Musk's adaptability and forward thinking in the real estate world. You do that by keeping a finger on the pulse of the market, monitor interest rates, housing demands, and the economic indicators. By staying informed, you can adjust your strategies accordingly. The super rich understand the fortunes are not made by.

standing still, they are made by embracing change and seizing the opportunities that change creates. That's right. Market conditions, they'll always be shifting. But with the right information and strategy, investing profits can be yours, even in the most challenging of times. Mistake number four, this is whispered through generations. It's a cautionary tale of vulnerability and risk. And in the realm of real estate investing, this mistake continues to haunt the dreams of many.

Picture this, a hopeful investor enticed by the promise of a single goal. golden opportunity. They pour their heart, their savings, and their dreams into a solitary venture, believing that it holds the key to their future prosperity. It's the allure of simplicity, the temptation of chasing one shining star. And within this allure lies a profound danger, a mistake that the super rich have learned to avoid putting all your eggs in one basket. Elon Musk and Jeff Bezos are known for their diversified ventures. Similarly, the real estate millionaires playbook has a dedicated chapter to the importance of diversification. It explores different types of properties, geographical locations, and investment strategies, all components of a well

diversified real estate portfolio. By spreading your eggs across multiple baskets, you've got some protection from the unexpected. It's like a safety net that protects you from total wipeout. That's how you win at this game, not by taking a wild guess, but by being smart and covering all your basis. Now, mistake number five, it may seem on the surface to contradict mistake number four, but it is distinct. It's the allure of limitless possibilities, the temptation to seize every opportunity that comes your way. It's like when you hear that little voice saying, more is better. You can do it. Go for it. Well, hold on. That voice can be a trap and lead you to a grave mistake, the mistake of spreading yourself too thin. Success as an investor, it often boils

down to making a few right calls with significant upside. The super rich, they know this. Instead of spreading their funds across 100 different stocks, they carefully select a handful of diversified investments. By focusing on a select few, they increase their chances of substantial gains. Warren Buffett has famously said, wide diversification is only required

when investors don't understand what they are doing. The more you know, the less you need to diversify. Mistake number six, this is an easy one. to make when we live in a world driven by trends and influencers. It's a perilous mistake, one that has led many astray in their real estate investing. Newbie investors, they rush blindly flocking towards what seemed to be the surefire path to riches. But the super rich, they blaze their own trails, charting courses that often defy conventional wisdom. They don't seek comfort in the familiar or safety in numbers.

They do not make the mistake of following the crowd. The super rich have a different network and level of control over outcomes. They invest in businesses within their network, knowing the value of reputation and relationships. Buffett's quote, be fearful when others are greedy and be greedy when others are fearful, has almost become cliche to the point it's disregarded, meaning people agree with his statement, but it doesn't inspire them into action. What Buffett is telling those that want to join the super rich is to avoid getting caught up in the herd mentality and instead take advantage of opportunities when others are panicking or selling due to fear.

I mean, as real estate investors, the hindsight, it's crystal clear. I mean, name one real estate investor that isn't kicking themselves for not buying more during the last market downturn. By maintaining a level-headed approach and having the courage to go against the crowd, undervalued investments are everywhere in down markets, just waiting for you to capitalize on them for long-term success. Conversely, overvalued investments are ripe for the picking and up markets waiting for you to go bust.

The Real Estate Millionaire's Playbook, it's going to help you with this. and I'm going to give you a copy right after we cover mistake number seven, because it's a grave one that can lead even the most seasoned investors down the wrong path. I mean, we see self-assured investors in our social media feeds daily, don't we? Basking in the glow of their triumphs, convinced that their knowledge is the pinnacle of expertise. They rest on their laurels, oblivious to the dynamic nature of the real estate landscape. But within this complacency lies a fatal flaw, a mistake that our super-rich mentors, Elon Musk, Warren Buffett and Jeff Bezos have recognized and fixed.

Wow. They understand knowledge is power. They recognize that the market is a fickle beast, constantly shifting and evolving, just waiting to kick in the teeth at its first opportunity. They don't make mistake number seven, neglecting ongoing education. They devote themselves to the relentless pursuit of knowledge

as a cornerstone of their success. They stay updated with industry trends. They attend seminars and conferences, and they network with other investors. precisely like it reads in the real estate millionaire's playbook. It's an essential ingredient for success. And get your free copy at real estate millionaire playbook.com. It's free. No strings attached.

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Cashflow Savvy's property tour is making its next stop in Indianapolis. Indiana to unveil some game-changing opportunities for passive income investors. If you like the idea of reduced interest rates, double-digit returns, and expert guidance, then you will probably want to join us on August 4th and 5th in Indianapolis, where Mercedes-Torres will guide you through an exclusive property tour to explore a variety of properties hand-picked for their potential to generate consistent passive income. Mercedes will walk you through each property, highlighting its unique features and investment potential. Additionally, you'll have the chance to network with like-minded individuals and gain valuable knowledge from industry leaders.

Mark your calendar for August 4th and 5th and join us for this exciting event. Don't miss out on this opportunity to discover economy-defying prospects for passive income investments. RSVP now to secure your spot, get the details, and register at cashflow savvy.com and click property tour in the navigation for the details. Cashflow savvy.com. Hope is not a financial strategy. Let's get back to work. Then I'm not going to push crap up hill with a rabble folk. If you are hearing too many nose from sellers,

and if you get stuck, every time a seller says, I want to think about it, if you struggle getting a second meeting with the seller, if you keep getting stopped every time you suggest something even remotely creative to a seller, I'm going to clear up so much of that for you and more with a little help from the person that taught so much of it to me. You're going to learn how to structure your sentences so sellers can't say no.

His secret strategy for being the second smartest person in their own. How he doesn't follow up with sellers, they'd follow up with him, the only place to present your offer to the seller, and it's not the kitchen table. And so much more, including countless tips to get the sellers to sign the contract and have him stick to it all the way through to close. And he's got a crazy approach to negotiating that you've never seen before. And we're going to decode his weird little strategies for creating a class. of trust, and more importantly, how you can implement these simple and strange techniques

into your own business so that properties almost buy can sell themselves. That's diving to the art of influence and negotiation, making you irresistible as sellers and your deals irresistible to buyers. So grab a pen, grab some paper, keep your finger on the pause button, that you're going to want to write some of this down. So we talk a lot here on the show on lead generation and marketing. We talk a lot about what that first phone call sounds like. But then that's where we're going to talk about today is kind of where we, that's

that transition, right? So let's just dive right into it and get into the meat and potatoes. So when you get a call or we have that first conversation with the seller, kind of walk to that part of what you're thinking about. Okay, first of all, when I'm talking to a seller, I'm going to try to find out like everybody else, is he a guy that dates to sell or if he wants to sell? Remember, if he needs to sell, he'll make me rich.

If he wants to sell, he'll make me old. And only time will make people go from a want to a need. Does that make sense? Yes. Okay. Then I'm going to find out what does these times by how it look like. Where does he want to go? What does his future look like?

The question I'll always use is, let me ask you something, sir. In two years' time, just suppose like, where would you like to see yourself? When he starts telling me where he wants to go and how he wants to get there, I will implant him there with questions that moves him into his future, right? Because why his imagination moves him into that future, now this house is a problem he wants to get out of it. Okay. So now he's told me he wants the three-bedroom, four-bedroom place up the road in where-a-way

because his family's growing, and of course I'm going to understand that because my family's growing too and it's kind of like let's see how fast we can get you there now how fast in a perfect world would you like to see this house sold he's going to say tomorrow and i say i'm tell you what let's just move things along pretty quick i'm at the coffee shop let me till i am i'm at 46 15 jones street blah blah blah blah let's slip in here at 11 fifth day probably i'll might be a bit busy then maybe 11 10 something like that i usually get a long time let's see if we can't put something together and i can buy this house let's get you out of it let's get me it'll it'll usually say, well, hang on, don't you want to see my house first? I said, tell you what, give me

the address. I'm going to look it up on the computer right now. I normally tap on the desk, and then I explained to him the technology that is in the world today, because most people do not understand. And I say, sir, I could use map satellite, Google satellite, street view, this view, that view, and everything else. And fantastic. Oh, my God, your house looks fantastic. Let me ask you something, sir. Is the inside look as beautiful as the outside? And if you have to sum it up in one sentence, would you say it's in good, average or in need of prepared. He'll pick one or three. Always give people three to pick. Fantastic. Get up here and let's see if I can make that work for you. He said, do you want to see it? I'll say, let me ask you something,

sir, why don't we decide if I can buy it first? Because unless you move it, I could always come and see it later. And that's basically it. You're coming to the coffee shop. I don't go and see the house. And you might say, don't you want to see my house? So let me ask you someone. He's got a two-car garage, three bedrooms, kitchen out of the back, a couple of living rooms, essential heating there, the back yard for the dog. Yep, fantastic. Well, let me ask us up. The only thing to stop and you from getting the money to this house right now is the fact when I'm in the coffee shop and you're not. And I'm pretty much like that because this is a very important bit.

If I go to see that seller's house, he has expended no like energy in this negotiation. He will not do what I want to do. If he comes to the coffee shop, and this is what most people don't get, Matt, he's going to put out energy. Does that make sense? Yep. Once the guy puts out energy, he's going to want to return on that energy. And when I get him to a coffee shop, it doesn't matter what's coming. I'm out of my mouth, but I'm going to get a better shot upon that house than if I went to his house and sat on his sofa.

How long have you been doing it that way? 30 years, but I could change it tomorrow. When did you notice that that was more effective or when did that become part of his strategy? Look, the kicker was in Greece in 2016, and I had one of my students there with him, and I said, I don't even know Athens. I'm sitting in a coffee shop at Athens. And people would ring, and I was reading up, and I don't know how Athens works, but if you know where this coffee shop is, let's come along, and let's see if I get you out of this house that you no longer love. We did seven in one day.

And that's the money. Now, that was a long day, but that was the most transactions I did one day. And all this stuff, once you own it, and people see that you own your subject matter, and this is how it's going to work, people just get in their car and come. If they don't want to sell the house, I'm okay, I'm not your guy. And I do tell people, I'm not you guy, but you want to sell it today. The money's here in the coffee shop. I can see it later.

And based on what you've told me today, let me ask you something. So you told me the house was in there. condition. Is that correct? Fantastic. So then we call that what looks like, right? I listed the way you're talking is one of the very first things that I was really attracted to. Just the way you word thing, the way you structure your sentences, I don't know if that's natural or is that intentional. Can you talk about that a little bit? Yeah, I learned this over 40 years and I'm going to tell people something that's about your head, okay? Your head's made up a whole bunch of little sections. I'm not going to get too confusing about it, but different components of

information go in a different parts of the brain, right? You know, worry, stress, scripts, passion, all this sort of stuff. Now, I also know that in our brain, we have a thing called an Adelaus switch, which is always switched to know. So I will change structures of senses. For instance, if I say, will you do something, your brain is defaulted to know. You can't change it. We are animals.

We default to know, fight and fright. So I want to ask you the question, can you do this? I'll ask you a different question. I'll say, hey, Matt. Just suppose we had to do this, how would you make it happen? Once I've done that, I've instructed your brain not to go to reptilian brain part. I've told you go to frontal lobe. Frontal lobe does not have no in it.

It's a section of your brain in front that the word no does not exist. You have to find a way to make this thing work because it holds creative, book, exclamation, and future thinking, right? I kind of structure sentences, so they'd go to particular sections of the brain because I know what's in the particular section of the brain and what's all the response I'll get. But as we talk today, and I'll pull myself up on it, when I do this, I'll show you how I've structured a sentence and why. And we'll eventually kind of get it.

Very good. I was going to ask you next. So, like, is there a formula to it or do you just have to think through each one of them? There's a formula. There's a couple of basic formulas. And here they are. I very, very rarely say anything to anybody. I only ask questions.

It's the hardest thing I had to learn when I was 19 and 20. And I think it's the reason why I've only ever had three fights with my wife in 30. years because I've never told to do anything. Let's ask a question. When? Because here's the thing. People are cynical. We have what's called the inner cynic.

We get it from the time we're seven. We're cynical without anything we're told. So anything I try to tell you, you'll only believe 5% and you're cynical 95%. Anything you believe, you will own it and believe it 100%. Because of what comes out of your mouth, you believe 100%, what comes out of my mouth, you believe 5%. Therefore, it's more important you do to the Tolkien. Does that make sense?

100%. So instead of me saying to you, can I buy your house at a discount, I'd say, hey, Matt, maybe I ask you something? Why do you think it's important that you sell me your house at a discount? So everything always gets framed. It's a bit of an art, but everything gets framed as a question. And this is the bit that people will understand. Think of all the times you try to do a property deal and the person said, I want to think about

it. The only reason they say they want to think about it is you did all the Tolkien and telling them what to do. But if you ask them questions and they told you what they want to do and you ask leading questions, people will never sell you that they want to think about a thought process that they just come up with. So let me tell you, if I can give you people right now some very black and white things, and I'll tell you exactly what I say when I walk in a person's house word by woman as to how I get the house deals, right? First of all, I don't go to houses. The guy

comes to the coffee shop, he only gets 20 minutes. It's long enough for me to sit and sort decide if he's a real player or not a real player. Does that make sense? I don't have to complete the transaction end. If I ever go to this person's house, question is, let me ask you. to ask you something, Sue, why did you want to see me here today? I never tell the person why I'm there. So they tell me why I'm there today, which is, where do you know, you know, but what you would buy my house? Let me ask you something. You been trying to sell? Yeah, how's that been working out for you so far? Now, you know, it hasn't been working out so good. I wouldn't have called you. Does that make

checks? So they say, well, hasn't been working out. Okay, the expression, how much time have we got in order to put this together tonight before someone has to go somewhere? because I don't want to get cut off halfway through a transaction. You understand? If the time is too short and he says, well, wife have to leave in 20 minutes or I'll leave in 30 minutes or something, I'll say, timeout, we cannot complete this tonight. All we're going to get through tonight is we can discuss some concepts.

And if you like those concepts, let's time out. We'll reschedule for the detail later. Okay. Always break a meeting in time when you haven't got time and never give the people a goal until the second meeting. Otherwise, they'll never have the second meeting. There you are, so we know what they want to achieve. They know why it hasn't been working so far.

I'll say, how long we got? Who else needs to be here in order for this to happen tonight? Do you understand? And that's basically my questions. Who needs to be here? How long have we got? What have you tried so far? And sometimes I might say, let me ask you something.

It sounds to me like you've had three different agents, three different agents have tried to sell a house for cash and it hasn't worked. Is that right? They go, yeah, let me ask you something. The time that I'm here tonight is more important than I talk to you that stuff which up till now doesn't work, or are you more open-minded to be talking about other stuff that does? People should write this down because that immediately takes the person from a want-all-cash

position to, yes, talk to be something else that does. You with me? Yes. I'm so glad I have this recording and I can transcribe it. That's amazing. Yeah. I want you to do that. And it's the same thing because people go, I want all-cash.

The other agents have been all-sill-s house. And I know I'm not going to pay all-catch for this house unless I'm getting it very, very cheap. I'm going to want to do some sort of creative transaction. You understand? So I'm going to say, well, let me ask for something. You want me to talk about all that other stuff that doesn't work, or are you more open to listening about something else it does? And listen to the words I use, are you more open?

No one's going to say they're closed-minded, so no one will either say no. If someone that's just kind of doing this for the first time and they're kind of afraid of maybe offending the person or doing it wrong, I mean, how would you ask these intimate tech questions without people getting offended? I'm giving it to you right now out of a cannon. Bang, bang, bang, bang, bang, bang, because I know you're recording it and I know people are listening to it and they want the meat and potatoes. Right.

If you actually heard me doing it in real life, I'm like Colombo. I'm so lucky back. I'm the second smartest man. I never come across like I'm the most intelligent man. And one of the things we're going to cover is how to be the second most smartest man like Flumbo. You know what? I'm just not too smart and I'm just asking these questions.

And sir, let me ask you something. I kind of feel like I need to ask you some questions to get a better understanding of what's going on here, just like a doctor. Do you want to ask for questions? Yeah. And if you do it that way and set the self up as the doctor, everybody will go, absolutely, I'll tell you whatever you want, even who I slept with last week, because you're the doctor,

and you need to know in order to give you the prescription, the medicine. So it's a great structure, but I'm very laid back, I'm very slow, or very long-key, and people look at me sometimes like I'm not too smart. Okay, so let's move into, you've had this meeting, and say they kind of gave you the thumbs up, they want to have the second meeting. How does that transition go?

What does your follow-up look like? Okay. Here's the know. Let's back up. If they say no, they don't want the second meeting, do you have any follow-up? Are you trying to close every single deal in the very first meeting? And if they don't,

if they don't want a second meeting, then I'm not going to push crap up hill with a rubber fork. Okay? So, okay, they don't want a second meeting. I'm okay with that. What I also know is 70% of people will come back. So I'm incredibly nice. So when everybody does not want to do a deal,

I always keep that door open and go, John, you know what? I think there's a time where we're all doing different things in our life, and guess what? It's not about you, it's not about me, it's about getting you the most money possible for your house. And so I separate the guy from me and then I say, this is all about the house and you and I are teaming up to see what we can do to get the most money for your house. And I'm not always the solution. And people patch on the shoulder and are, you look, man, you're a fan. And 70% come back. If you leave that door, okay?

But no far away from you, you just leave it open and they call you back. Yeah, yeah, I'll never call people back. But I know about 70% of people call you back if you basically say, you know what, maybe I'm not your guy right now because it's not about me. It's not about you. It's about getting the most money for your house. And then one day they don't, you know they're not going to get much more money for the house because the agents can't sell it or whatever, right?

When I go to the house, one of the things is, is I set up those questions. I get the answers to the questions. Okay. Now, I never talk a strategy. Never, ever, ever will you hear me talk any strategy. The strategies are inside my brain and should be inside the braids of the student. I talk about what does the outcome have to look like? So the guy goes, well, you know, I've got to get 30 grand.

I've got to be in Louisville by next week. I've got $51,000 on a credit card. I got this, this, this. So I say, so really what we need is a system by which you can make those credit cards disappear, get to Louisiana, get to here, get to here, get to here, get to here and blah, blah by Friday week. Is that right? Yeah.

Okay. So I'm starting to talk about the strategy. Now, it might be a lease option. It might be an assumption deal. It might be anything. Do you understand? But he's not going to understand a strategy. And what I'll do is I'll say, well, let me ask you something.

I will use analogies to explain to the person what I'm going to do. I will never talk about a lease option. But I might, let's say it was, I'm going to use a lease option. Okay. I can't tell the guy I'm going to use a lease option. A, he won't understand it, or B, he won't understand it. or be he's heard bad things about it. Do you understand?

I'll do it this way. So let me ask you something. So here's what I'm thinking. Did you know, car works? Yeah. Can you explain that process to me? So whatever process I'm going to use to buy this guy's house, I use an analogy to another process and get the man to explain it to me.

If he explains it to me, he believes in it, he owns it and it's his. Does that make chance? Yes. You go, well, why you're at least listen to the house, because it's funny, you should say that, Richard, I got my car in the driveway. I said, gee, John, how about that? work. Well, you know, you put some money down to get started and you drive that car around and just make some payments for a few months or maybe for three or four years, whatever,

or whatever. At the end of the day, what's really good about it is if you don't like it, you can give it back or if you do like it, you can pay some money and keep it. And then I jump in and say, I'm thinking about buying your house the same way, that present a problem. Now, there are two things that happen there. One, the process is legitimate, legal, normal, and he's aware of it. It's the first thing. And the other one I might use, if it's a bank, if I'm doing an installment contract, right, a subject to, and so let me ask us up, bank lines, how do they work?

Well, you go and borrow some money for the bank and pay them off and down the road. You can transfer it, pay it off, or anything, blah, blah, blah. And I'm thinking about buying his house the same way with that work, okay? The other one of the years caught up, and I might say he's a plumber. And he'll say, well, if I told that man, older by his house, with installments, he's going to go, this is illegal, never heard of it, and he's been called lawyer. So I was saying, Matt, what do you do?

You're a plumber. Let me ask you something, Matt. Do you ever do those big corporate plumbing jobs where, like, you go on site, they give you an upfront payment to get started? You make progress payments along the way, and at the end of the deal, there's a big check for you. Yeah, yeah, yeah, we do that all the time. Think about buying your house the same way, but that presented a problem. We do it all the time.

Always explain your process in relationship to another process that man has in his life, with his support or his work. sense? Yes. Listen to the last thing I said. That present a problem. I already told you, you've got the amadella in that brain right here that's defaulted to no. It thinks, no, no, no, no, no, no, unless I flick that switch, it defaults to know, take advantage of it. That presented a problem. He'll say, no. But by saying no, he said yes. Does that make sense? Yeah. Right. So that's a great one for people who remember. That way I'd have to try to flip the switch. I just use the switch as default state of no to get the yes. Okay. I don't know if I've answered

the question. And then, okay. So here's the deal. So we're moving to the second part, right? Yeah. Okay. So we're thinking, so we're in the second meeting. I'm at the house. And I'm always going to be in a particular room as I've told you what I've done in rooms.

There are very, very particular rooms in a house. You do not do business. And there are rooms that you do do business, okay? But you only ever do business at a desk. And the reason is it switches people in a business mode. People make decisions that are desks, not in their fluffy shoe, shoe shoeys around the lounge room or the living room or in the backyard with a barbecue. So we've got to go out of rooms right for people to get in the business note to say yes.

The kitchen table, cost it to the desk. Yeah, at breakfast, sometimes if there's no desk somewhere in that house, like a dining room, you might be forced to do the thing in the kitchen, right? The breakfast nook. I don't like kitchens if I can avoid them. I'm always looking for the desk. Everybody's got one somewhere. It's usually got lots of crap on it.

And you can't take people's stuff. off their desk is their own stuff. So I just do the helicopter. I just go over to the desk with the books, I'm doing this. And as I'm going to land, I quickly get everything off the desk and I'm going to hand. And then people sit down because they see me sitting down. Does that make sense? Remember, people will switch in a business mode to make decisions at a desk.

The kitchen is the friends right. It's where you want to get to before you get to the business room because they're going to like you. Otherwise, they're not going to do business. Now, how the deals come together is this. Tell me, let me ask you something. in a perfect world, what would you like to see in two years or three years and what would go to the house. As we're discussing ideas and we must get the concept before detail, I must say, here's

the concept. Then I go back to you and you said, you want to get the credit card paid out, you want to get this, you want to be in Tasmania by that, you want to be this, and tell you what, then I get out the one piece of paper and I say, why do we do this, let's write your name on this, let's write my name on this, let's write my name on this, let's write the address what it is and let's write what it is we want to do, and then we can give it to those solicitorial legal people to do all the legal stuff, because that's not what we do, but at least they know what to work from and they know what it is we're trying to put together.

So suddenly, I've brought in someone else who's the legitimate legal guy that ticks the box, that reduces the anxiety because it's not me trying to put the deal. What I will do, I ask the questions that help frame up what goes on. that piece of paper, you understand? So it might be, let me ask you something. Did you say you got a loan on this house? Yeah. There's a wit.

A, B, B, B. Do you know the loan number? And I know the loan number, but the guy that puts the paper together for us, he doesn't want to need the loan number. I'll go get it. Now, it's important that he fills in this piece of paper, Matt, not me. If I build a piece of paper, I constructed this deal, he will not sign it. You'll want to think about it.

If he constructs it, he's thinking about it and processing as he goes through it. Do you understand? Yeah. Right. Now, so all the components of the lease option or the installment contract or the two one buy down or the den den are there. Now, quite often the lawyers will ring me up and go, Rick, what sort of strategy is this? I go, well, it's a joint venture with this, this, this, this.

So me, I'll like tell the lawyer what the strategy is, but the components of that are on the piece of paper. Should I say, and it's important that there are two pieces of paper done. He does one. I get out a piece of paper and I say, you know what? Why don't I copy what you're writing? He'll say, good idea. And then I'll write it.

And then you've got one for your legal guy. And I've got one for my legal guy. I go, yeah. And I write it there. Now, when I sign mine and push it towards him, I don't have to tell him to sign his. Remember, there's two things we will never do. We don't talk to strangers and we don't sign anything.

There are two things we were taught when we were in little kids. Do you understand? Yeah. So you can't tell that. And then he writes his name of the piece of paper. I then have a receipt book that I brought a target for $2 or $3. Never use a brand name or a company name or anything. It's intimidating for people.

Why one that says target receipt book $2 or something stupid on it, right? And I go, John, just remind me, how much is your house? I go, well, it's $100,000. Well, I want you to know that I'm not going to jerk you around or luck you around. And I would just feel more comfortable if I knew that you felt. comfortable and that you knew I'm a real person. So here's $10. And if you could just, on my little receipt book, write, and receive from Richard, $10, $9,99 and whatever to go. And just give me a receipt for my $10. The guy will smile and laugh. But the fact that he took my money and the fact that

he gave me a receipt for it in his brain, this house is sold. No one will come in later and kill my deal. Does that make sense? Mm-hmm. This is one of the things I tell my students that's so important because they cannot understand the power of the final $10. I want to sum up this way. When people give you no money, they're going to say to their friends, they're thinking about doing this deal and their friends will kill them.

When there's money involved, people say, today we sold our house and people congratulate them give them champagne. What I want everybody to do is this. On Saturday, go and see your friend at the dinner party and say, I'm thinking about going to New York next January. You want to come? They'll go, yeah. Hey, you sure? Yeah, we'll be great. 1,642. Shut up. Every single person will pull out of that deal now that you're asking for money. Does that make sense? So ask the 10 bucks or five bucks because the commitment of the brain moves as the money moves across the table. And the reasons why casinos, and you know this being in

Vegas, it uses wooden chips and not coins, they want to keep the emotion out of the room. There's a motion in the room. You want to do the deal. So they use wood. to take out the emotion. So that's it. I've got a piece of paper. You've got a piece of paper. You've got your first $10. You're going to tell everybody you've sold your house.

We're excited. And we're left to the solicitors to make it all legal. I don't know what the word is. But as you were saying everything, I was like, oh, my goodness, I've embraced so much of this. I've learned so much from you. And then you'd say something else, I said, oh, but I didn't learn that. So this is, we'll do this again and let's transition down what this would look like to where to do it virtual.

Is that okay? Yeah. So next time, I have three different ways. I do. virtual transactions in different parts of the world, and I'll break down each one of the three different types, and then people just pick which one they want to use. Super, super.

You know, if you don't want to wait and you'd like to reach out to Rick directly before we release that episode, if they wanted to do that, Rick Otten, what would be the best way for them to do that? Well, they can go to Rick Ottenofficial.com or just ask Rick Otten.com, either place, and what they can do is I'll give a few hours of my time, right? and what I'll do is I'm going to charge them for a couple of hours of my time. Now, hit the deal, they want to do a deal with me. What I usually do is I listen to what people have got.

And I usually say, I tell you what, how about I double or triple a profit on it? And if I do that, I don't charge them anything, I'll just take some of the profit that I created. So when I create profit, I'm going to charge anybody for anything. But it's there, it's teammates, it's just people can team up with me and just go to askreekodden.com, team up with me on a deal you're trying to do. let's double or triple the profit on it, and then I can give people a slowed down version of what we've been chatting about today. Mainstream media is ripping us apart. This is news to bring us together and make some money in the process.

Hello America. It's a day of diverse and contradicting predictions for the housing market. Barron's reports that the Federal Reserve, in an ongoing bid to stimulate economic activity, is keeping mortgage interest. rates low, this is a good thing for potential homeowners. In simple terms, when interest rates are low, borrowing becomes cheaper, which tends to increase the demand for homes. And guess what? More demand generally equals higher house prices. And that's music to the ears of real estate investors and those already owning homes. A classic example of how economics works, isn't it? But here's where the plot thickens. Newsweek asked the big question, will there be a housing market crash,

The possibility might send chills down the spines of some, but for others, particularly investors with an appetite for a little risk, this could be an opportunity. You see, a market crash means prices are low, and if they invest at this time, when the market recovers, and it never has not, they stand to profit. Just like the phoenix that rises from the ashes, so does the housing market and potentially the savvy investors' net worth. Yahoo Finance shines a spotlight on the Fed's plans to battle the unacceptably high affordability crisis. High affordability can indeed be a stumbling block for first-time buyers. But remember, real estate is a diverse field. There are several investment strategies for investors to consider, like rental properties. High property values can translate into higher rent prices, meaning a steady cash flow for property investors.

So, while the landscape may seem daunting to some, others might just see a blooming garden of opportunities. Now, over to fortune.com, where Fannie Mae's outlook suggests a steady increase in home prices for 2023 and 24. What does this mean? Stability. And stability is a good thing in an investment environment. It suggests fewer surprises and more predictability, which is particularly attractive for investors who favor a more conservative approach. It's a bit like knowing the road. road ahead on a long journey, there may be bumps, but you'll still reach your destination. Next, we turn to Investopedia, where housing market experts are projecting that the latter half of 2023 will mark a pivotal point in the housing sector. Ambiguous, yes, exciting, absolutely,

because change often brings opportunity. Investors who can adapt to market fluctuations are typically those who come out on top. So this is a heads up to all investors out there. Buckle up, because the second half of the journey might just be the most exciting. And finally, engulfing news, courtesy of the athletic, were witnessing an encouraging comeback from Ricky Fowler with his win this weekend at the Rocket Mortgage Classic. The popular golf pro, known for his vibrant attire and charisma, had been grappling with a challenging swing change.

However, Fowler has taken the obstacles in stride and is showing an exciting return to form at the Detroit tournament, displaying a harmonious blend of his old skills with his new techniques. Fowler has held strong amidst a field of formidable competitors. In the unpredictable world of golf, Fowler's resilience shines bright, a testament to his determination and ability to adapt. More to come as this uplifting story unfolds. As we close this broadcast, remember to stay positive,

stay informed, and stay open to the possibilities, and that's the good news. Until next time, be happy. It's contagious. spread it far and wide. And that wraps up the epic show. If you found this episode valuable, who else do you know that might too?

There's a really good chance you know someone else who would. And when their name comes to mind, please share it with them and ask them to click the subscribe button when they get here and I'll take great care of them. God loves you and so do I. Health, peace, blessings, and success to you. I'm Matt Terrio. Living the dream.

Yeah, yeah, we got the cash flow. You didn't know home world, we got the cash flow. This podcast is a part of the C-suite Radio Network. For more top business podcasts, visit c-sweetradio.com.