Epic Real Estate Investing - Will Wholesaling Still Work During a Recession? (w/ Max Maxwell) | 1234

Episode Date: September 8, 2022

The real estate market is changing almost every day. It seems that the market is significantly impacted by recession, inflation, and mortgage rates. That’s why Matt’s guest today is Max Maxwell, a wholesaling expert. Stay tuned and hear how to deal with the stuff you have never faced before! BUT BEFORE THAT, Matt tells you how seller financing works. Are you ready? Let’s go! Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terio Media. How does seller financing work? Because, I mean, this isn't a really important question to ask because the answer is going to lead you to additional ways to profit on real estate deals, especially in this shifting market that we're in, making you a better and smarter investor. You ready? Let's go. Welcome to the all-new, epic real estate investing show. The longest running real estate investing podcast on the interwebs, your source for housing market updates, creative investing strategies, and everything. everything else you need to retire early.

Some audio may be pulled from our weekly videos and may require visual support. To get the full premium experience, check out Epic Real Estate's YouTube channel, EpicR-EI.TV. If you want to make money in real estate, sit tight and stay tuned. If you want to go far, share this with a friend. If you want to go fast, go to rei-Aase.com. Here's Matt. All right, by the time we're done, you'll know everything you need to know about buying real estate using seller financing,

and then at the end, I'll give you my own seller finance document that I and my students use to buy these seller finance deals. All right, so traditionally, a seller and a buyer will negotiate the sale of a piece of property. A contract is created. The buyer secures their funds to pay the seller and closes the deal. The buyer's funds will likely be cash or a loan from a lender, like a bank.

And if the seller has an outstanding mortgage, a lien or unpaid taxes, those all get paid off at the closing before the property is transferred to the buyer. If the buyer got a loan to buy the property, the new lender now has a lien on the property in the amount of the loan. That way, if the buyer were to default on that loan, the lender can foreclose and take back the property.

They got the property of security. That's what happens in a conventional real estate transaction. Now, unconventionally, seller financing can be used to accomplish the same outcome. Seller financing, this is when, rather than you paying off the seller in full at closing, the seller agrees to sell you their property taking payments over time. In essence, the seller is being the lender for you on his or her own property. Now, most of the time, this is a much simpler and cheaper process for both the buyer and the seller. But it only works, well, there's a caveat to that, but let's just say it only works when the seller owns the property free and clear. And that's really not the big roadblock that most buyers perceive it to be, because the last time I looked, more than a third of all houses are owned free and clear in the United States. And stick with me until the end, and I'll show you how to get a free list of free and clear houses in your mark. And for the other two-thirds where sellers are carrying a mortgage on their property, there is a different strategy for that called subject to.

And you can combine that with seller financing, of which we cover extensively, but I want to stay focused right today on seller financing. Now, for the seller to agree to finance your next deal, seller motivation will likely have to be at the heart of the deal. And there are a few reasons a seller would agree to finance their property for you. The first is the seller typically gets a higher purchase price. In exchange for waiting to get paid, the seller makes more. That's the

typical trade-off. But no worries to you as the buyer, because now you don't have to raise the money you would have had to otherwise. Further, you can use this to your advantage as a buyer. If you know the seller owns the property free and clear, you can start your negotiations with a low cash price, and if the seller box at the price, you can offer an alternative. Hey, the market right now, Mr. Seller, might allow me to pay a little bit more if you could take some money now and the rest later, how much do you need right now? And most of the time, the seller will respond with, you know, what does that look like or how does that work? And then that opens the conversation up for you to explain seller finance. The second reason a seller would agree to finance their property

for you is that in addition to getting more money for the property, they also receive a steady stream of cash flow from the payments that you're making to them each month. Holding a note, secured by a piece of real estate, most of the time will offer the seller a greater return with less risk than most investment options available. I mean, it's why banks are in the business of banking. There's high rewards with low risk. Now, when negotiating your seller finance deal, there are three primary terms to agree upon for this to work.

I mean, there are others, and I'll give you a copy of buy seller finance contract in a minute, but let's cover the three big ones first, and I'll do this quickly. The first one is the down payment. Ideally, you'll want to put down as little as possible, and it is possible to put down zero. I mean, it all depends on the seller's motivation to sell, but sellers will want something down most of the time, and that amount will land somewhere with between 5% and 20% of the purchase price.

The second is the interest rate. If you plan on flipping the property, the interest rate, though, it's not as big of a deal as it would be if your intentions were to hold the property long term. In either scenario, though, the lower the interest rate, the better. Oftentimes, I can get a 0% interest rate from the seller. I mean, remember what I said to say when the seller turns down your low cash offer? Hey, the market might allow me to pay more if you could take some money now and the rest later. How much do you need right now?

And when we get to the amount of how much the seller needs right now, my go-to question is, if I could get you that at closing, would it be okay to divide the balance up into 300 equal monthly payments? If they say yes, or even if they counterback with fewer payments, I just got zero percent interest without asking for zero percent interest. Try it the next few times you're meeting with a seller, and you'll make it happen too. One thing I know for certain is, if you don't ask, you don't get. Now, the third primary term that you and the seller will need to agree on is the term of the financing.

When will the seller be paid off? Traditional mortgages are amortized over 30 years, but few sellers are willing to wait that long. So I'll incorporate an instrument called a balloon payment, of which accelerates the maturity date of the loan. The monthly payments that you make to the seller will be the same as if it were a traditional 30-year loan, but the balance will be due to the seller via the balloon payment sooner. And that could be 12 months. It could be 3, 5, 10, or 15 years, whatever you and the seller agreed to. Even with a one-year balloon, that could be enough for you to get control of a great property

and then give you the time to either fix it up and sell it or the time to find more permanent financing and hold it. Now, once you and the seller agree to the price, down payment, interest rate, and terms, spell it out in the terms section of your purchase agreement. I mean, from here, you could hire an attorney to put the paper, work together, but it's not necessary. My closing agent, they do it from me, and I just give her my seller finance paperwork to do it. And I give her some notes and some instructions, and she takes care of the whole thing. And if you like a copy of that seller finance note, you can get it for free at

epic promissory note.com. So what you'll need to pull off these types of seller finance deals is a list of motivated sellers who own their properties free and clear. And you can get a list of free and clear properties by going to Epic PropStream.com, except their free seven-day access. I arranged that just for you. and then you can download your list. And if you like the service, after seven days, you can pay their very reasonable subscription fee. If you want to cancel, cancel. Either way, you got your free list.

And before you go, don't forget to grab a copy of my seller finance paperwork at epic promissory note.com. And if you'd like to dive in and make some quick money in real estate and flip a house in just one day while using my funds to do it, I'll show you how you can pull this off

in your market right now at matsfreetraining.com. We'll be back with more right after this. Boarding for flight 246 to Toronto is delayed 50 minutes. Ugh, what? Sounds like Ojo time. Play Ojo? Great idea. Feel the fun with all the latest slots in live casino games and with no wagering requirements. What you win is yours to keep groovy.

Hey, I won! Boating will begin when passenger fisher is done celebrating. 19 plus Ontario only. Please play responsibly. Concerned by your gambling or that if someone close you, call 1-8665-3-1-2-600-0 or visit the Comexonterio.ca. Hope is not a financial strategy. Let's get back to work. Today we're going to talk about wholesaling, is particularly how it's going to be impacted in a shifting market and a recession and inflation and the mortgage rates and all the stuff that's going on inside of the real estate market. It's something that a lot of people haven't experienced

before. So it's a brand new experience. And we don't know whether we should bob and weave or just kind of stay the course to do what we've been doing. So that's what we're going to talk about today. I got a very special guest with you. But first, I just want to bring it to your attention the fact that your American dream is at risk. Specifically, there are seven imminent threats that are working day and night to take it down. From a rigged financial system to inflation to financial literacy, there's a bunch of them. There's seven of them that are stealing your wealth, regardless of how honest and harking you are. But there is a single thing, a single action that you could take to essentially neutralize all of them

and really even prosper and propel yourself forward in this crazy environment. And I'm hosting a two-day virtual event to arm you with the type of these resources and support that you need to pull through the mess that the American people are at. How are you going to save yourself? So if you like the idea of that, please join me at Epic Freedom Event.com, October 1st and 2nd, Ethic Freedom Event.com. All the details are there. And I ain't charging anything for it either.

Ain't that refreshing. All righty. So my guest today, Mr. Wholesale himself. You all know him, love him the same way I do. And we don't talk about wholesaling too much here on the show, although it is one of our exist strategies. But it's always nice to talk to experts and bring them on and get their take. So without further ado, I introduce you to Mr. Max, the real Maxwell.

That's on. How's it going, Matt? Man, good to see you again, brother. Likewise, good to see. I want to acknowledge you first. I mean, you're up to so many great things, but I really like your weekly run-down that you do every week on your show. I appreciate it, man.

It's pretty daunting, but we're getting it done, you know, having to shift through all of these negative media outlets to be able to get something that's purposeful to give to people is actually, it's hard. Groundbreaking, you know, right? Yeah, it's hard, man. Remember what news was news? Yeah, not anymore.

You got to shift through a lot of stuff to be able to present. You do, you do. Even the shows that kind of lean toward, even if you believe somebody you've got to question these big. Yeah, there's always a motive. I mean, you know, as I know, you follow the money. You're going to figure everything out. Political views?

I still like, you got to question them too. Yeah, exactly. There was this thing I just saw the other day, I was on Twitter, said, everything on the internet is misinformation, except the latest thing. Yeah, exactly. You know what I mean? But anyway, well, good to see it. Bring you up to speed.

What you get up to as far as your real estate? I see you've got the, yes, and what big developments going on? You're flying planes all over the place. What's going on? As far as real estate, I really diversified. A lot of people know me as the wholesaling guy. I was so excited when I found wholesale in late 2016 and talked about it so much online. But since that I've done so many things, right, I've developed a nice rental portfolio to secure the future. So I locked that bag away. And then now we're getting into commercial development and doing some shopping center stuff and some things like that.

And so, you know, I'm just really diversifying. I'm taking that active money and I'm throwing it into passive things. And then outside of that, I got other stuff. I own a flight school, a flight manufacturing company. There's so many other things that I do outside of real estate, but it's allowed me to not live in survival mode, right? Real estate has allowed me to be able to thrive. And now I'm no longer survival mode. I'm going out and doing the things that I've always wanted to do.

That's sweet. That's sweet. Congrats to you. That's what's all about. I mean, we all like real estate, but we really like the money it creates and then we'll let the money allow. That's it, right? It's a means to an end.

Exactly. Exactly. So tell me, what are you seeing? I mean, we're talking about a little bit, touched on it a little bit with the news and the negativity and how it relates to real estate. What are you experiencing in your real world? Because what I'm experiencing over here is very different than what I'm hearing through the media. So how's it going on in your world right now? So obviously during the last two years, I've been flipping a lot.

And the reason why I've been flipping because it became a seller's market like crazy. And the fundamentals of real estate is something you really understand. Real estate has cycles. And as long as you understand these cycles, you know what side of the ball to be on when that cycle arrives. And so at this point in time, properties were selling for very high. We still have this wholesaling business, right? So we still have this acquisition, finding deals, right? Because that's all fundamentals of every single real estate transaction you've ever found.

Unless it's a deal, it's not worth buying, right? And so we've mastered the idea of finding small commercials, single family, and things like that. So we mastered that. And so we would take the money and we would find these properties at a deep discount and we'd flip them because why they were selling in 24 hours over asking. Why wouldn't you take advantage of somebody wanting to throw money at the system? Everybody was panicking to buy a house because people are headline readers. And when you understand the cycle of real estate, you know, like I said, you know what side of the ball to be in. And so for a while, we've been flipping a lot.

The reality is I'm still flipping. It's just become a little bit harder to find these properties. is you flipping, but we're still flipping and we're still selling fast. I see a lot of headlines about prices are going, getting reductions, and it's true, not in my market, because the truth of my market is we didn't see this. We didn't do this. Which market are you in next? I'm in Winston-Salem, North Carolina. So I'm an hour from Charlotte, hour from Raleigh, right, in a small town. Now, Charlotte, Charlotte's seen some of this, but not really this, like your Arizona's and your hotbed places, it kind of seemed this. So when the prices started to reflect

the reality, when reality started clicking in for people and people are like, oh crap, I'm overbuying, aren't paying too much for this, or the interest rates are getting high, high compared to an all-time low, I must add. Right. I think it's crazy, right? So realtors and real estate professionals were saying, hey, it's normal for you to sell your house in 60 to 90 days. Yeah. And then it became normal to sell your house in a week. And then we forgot about the 60 and 90 days. So they started panicking. And sellers started panicking.

And if you understand real estate, you take advantage of people's headline reading. And so I think the headlines as having to read so many articles for you guys to be able to put out a decent show is that we were at an all-time mortgage low. All time. And then we started ticking into the fours. and the fives and people like, oh my God, it's getting crazy. No, those are pretty normal rates. Right? I'm sure you can remember, Matt. I know you've been in real estate for a while. I know you can remember when mortgage rates were eight and nine. Well, right now, right now today, we are still

lower than what we experienced in a huge ramp up in 2005, six and seven. Exactly. So all the articles, all the headlines you're seeing have to have context with them. Yes, mortgage rates, have tripled or went up 300% from an all-time low. Yes, home prices have went down from an all-time high. Days on market has went up tremendously, yes, from the fastest home sales we've ever seen in the history of real estate. So foreclosures up 700% from zero. Forklosures up 700% from zero, from, you know, so it's like, yeah, yes, the numbers are right. And when they use percentages, you need to be wary of what they're actually saying and when they say the actual numbers. So foreclosures went from 500 to a thousand. They doubled. Yeah, they did. But you had forbearances there. So you're going back to normal.

And with all that, we still stayed the path. We stayed the path and we understood that what we do in real estate is we solve people's problems. And we get paid nice to do it. And so we never panicked. We'd looked at everything the same. Some people were asking for way more money than they were asking for before, which is fine. Some people sold. Some people didn't. They came back to reality, and we still bought the house. Yep. Yeah. That life happens to people even in the market, bad markets. Exactly. They turned to their houses for some sort of financial relief, and there we are to help them out. That's it. That's it. Pretty simple. It happens enough markets and down markets. So with that said, though, you still have to kind of, you have to kind of go with the market and

take the opportunities that it's going to present to you. And right now, presenting a different type of opportunity. How is that saying the last? Because it happened really fast, actually. I mean, the last 60 days, 90 days. It was just like, okay, we're in a different place now. What have you done as far as your actions, activities, approaches to your real estate investing business in the last 60 days? How has it changed? Yeah. So as a wholesaler and a flipper, as we start to see less and less buyers show up to each listing, we start to create better listings, a.k.a. better finishes. It's shifted from you got to put an offer in right now to, oh, you get to go see 12 houses because it's slowed down. And so what do you do when somebody walks to your house? You got to have the granite countertops or this or whatever the trend is in your area. You got to spend a little bit more money on the finishes so that you can do it. But here's a cool thing. On the rental side, we've seen rents go up and stabilize. And so if you're selling, and this is when you shifting. So now that you got, if you're getting properties low enough from the wholesale side,

then you're shifting your buyer from a traditional guy to, from when it's going to live in the house, to a renter says, hey, this rent last year was $700. It's now $1,100. The price on this is great. You know what I mean? And so for the guy that's buying for cash flow, he's going to jump all on that. For sure, for sure. One thing about the prices, which, and we talk about what's factual and what's actual, like the percentage increase will be factual, but what's actual is that different number, what the actual number is, right? And there's a few things that I have so bullish on the future of real estate is one that all those sales activity has slowed.

The market is cooled off, right? I said the appreciation is cooled off, but they don't say, but it's still appreciating. And the sales activity, yes, the days on market is. a slowed or increased a little bit. They're not selling fast as they used to. But the median price point hasn't dropped yet. Exactly.

So to your point, if you're going to be doing fits and flips, those A minus properties are still selling just like that. Where you get an artist, if you're a B plus or a B type rehab, I think also with the rehab, when you're buying your houses, I think location is going to come more into play as well.

Because you could put a really nice finish on a house next to a freeway off ramp and it was still going to sell because it was a really nice house. Now that that little freeway off ramp might be taking a little bit more into consideration this time. That's 100% it. And so you got to be aware of the market and aware of the buyers. Who's your buyer? And once you figure that out and you hone in on that, I don't think you'd never worry if the market goes up or goes down. You just never get caught hold in the bag.

I mean, you look at builders. Builders were charging. The prices of all the materials were longer, were harder to get. and they were more expensive. So the price is naturally the price of a finished home went up. Some builders took advantage and went even higher. So they started building on projection of a higher sale. Not anything, nothing to justify it other than I'm a new house.

And so now they had to offsell some of their actual things to hedge funds that buy these because they predicted, they projected too much. And even with the small bring down, even though you said the medium price homes haven't went down and much, a house that was for $460, they're trying to sell for $6.20. And they know there was really no justification for it other than, let's try it. Some people get greedy and can get the loans to build them, and some people get caught home in the bag.

And then some people ride it out and figure it out. What do you think about? Right now, I think this is the best time ever at the buying hold. Because you look at what the rate's increasing and the affordability pricing so many people out of the market, of the purchase market. but nobody's getting pushed out of the shelter market, right? Everybody needs a roof over their head. And so they can't buy.

They got a rent. Yeah. And what we're experiencing right now, I've been doing a lot of research as far as going back in history to see like how rents and housing prices correlate. And for the most part, there's all like the rents always kind of like two or three year lag behind the appreciation of the house prices. This is the first time I could buy it in history where year over year, our rent rate increase right now is greater than our appreciation. Yeah. Well, you know, you got to think about this,

Matt, for such a long time, we never really recovered from the 2007, 2008 crash in the sense of the amount of new bills we were doing each year. It stayed a place. It was a danger zone. It was a danger zone to stay away from. So the rate of new bills never caught up with the demand. And so naturally, we just had less and less new bills. That's going to create more and more renters for longer. And that's going to make the price of homes more expensive. And so we got some catching up to do. We got some catching up to do with apartment complexes because they weren't building those either.

We got some catching up to do with single family. And so the prices are going to stabilize themselves and they're not going to go down because nobody's going to snap their finger and magically create more houses. And so if the guy next door is paying $1,000, you're going to be paying $1,000 if you get out of that property. So yeah, yeah. So fighting your deals today, what does that look like? What are your favorite methods? What's working best for you in fighting and attracting motivated sellers?

First number one is still co-calling. And where do you get co-calling from? You cultivate a list by identifying people who particularly live, have a problem. And so once you can figure out the source of that lead flow for or the, or that call flow, then you can figure that out. And then, believe it or not, mail is coming back pretty good, as in because everybody shied away from it. It's still taking your four or five, just maybe seven touches,

but it's creating a better lead. Like when that person finally gets on the phone, they're a better lead. And then PPC has been good as well too. And I'll tell you why, a lot of the big guys that were doing this, a lot of the, we know the big billion dollar publicly traded companies that were spending money on ads, disappeared. So the ad spend became a little bit easier, a little bit more affordable. And so now you're seeing pretty good qualified people on Google ad spend. You said seven touches or so with the direct

mail. Yeah. I just started, I got a couple people cold calling for me now. And I noticed producing a certain type of lead. And it's, it's the type of person that would even answer the phone when they don't recognize the number. They're the people that like to talk, right? Because, hey, a phone call. Someone said, reach out to me today. But I haven't found the motivation. So how many touches once you have that initial conversation with the cold call or like,

what does that process look like, the ones that absolutely turn into deals? Listen, here's a key that most people don't do. People love to talk. It's a different type of person that picks up the phone. First of all, follow up is very important. We all know that, right? Period. But the second thing is people actually don't give offers.

The problem is you're not making an actual offer. And then what happens is nobody makes an actual offer. So if 10 people are calling these people and 10 people never make an offer and say you make an offer and maybe another person makes an offer, they get to sleep on it. They get to chill on it. They get to think about it. And then life happens because life continues to happen. And they call the person back that actually. gave them an offer, whether they're going to try to go get more or whatever it is. So give the

freaking offer. Give the offer. Yep. Hey, I thought that'd be more. And the number of deals you do are got to be direct proportion of the number of offers you're right. That's it. Yeah, absolutely. Are you in just North Carolina where you're doing a deal? Are you having any virtual markets? So I'm virtually, I'm over the entire state. I have a little bit of section in South Carolina, what we're doing, but we're ramping out. I'm getting, we're doing this thing all over again because I tell you a little story. Right before the pandemic started, I had just finished building a brand new 8,000 square foot office, right?

She spent all that money building it. Pandemic hit, I had to send people home. It was like, oh, my God. And then we didn't know what was going, so many regulations, so many city audiences, you didn't know what to do. So it scaled back my idea of thinking and we kind of went virtual. We started doing all this other things. Now we know it's over, whatever.

And we're at this point now. we're saying, okay, let's re-ramp up. Because what I had prior is I wanted 30 to 40 agents in the office calling, 40, like, and segmenting to different markets and different things, and so that you can do it virtually. And now we launched a service called Town Square, where you can virtually, everybody can upload their buyers list, and you can JV with people across the country. So say, for example, Matt, you have your list on there. I don't get access to your list, but I can see that you have 7,000 qualified buyers.

I message you in the app and say, hey, I got a deal in your market, want to JV. Everything's done on the app. And now it makes it easier, right? For me, especially because I've built a following and I've built people to trust me over the years, they bring me the deals or they call me and they say, hey, we can help. And I just say, hey, look, I know a guy named Matt. He can close this deal. He's got the crazy buyers list and we JV it.

So we're seeing a lot of JVs just from using the Town Square, which is our dispositions app. And it's helping. It's helping because, you know, it's easier for us to acquire the deal. Now, the relationship that you have with the buyer, I can't remake that very quickly. So I just reach out to you versus being greedy and trying to get all of the grape. I split the watermelon with you. There you don't. Boom.

All kinds of metaphors in there. Town Square, tell me about this. There's a number of people trying to, like, kind of cultivate buyers and everything. And I got two thoughts about it. But I haven't heard here. So I'm excited about this. So it's an app where investors connect with each other, and then they share their buyers list and how it works.

But it's not a bunch of buyers on the app. Yeah. So here's the thing common from different from a lot of it. So Town Square, how you look. What happens is one of the most valuable things that we don't talk about in the wholesaling business is your relationship with your buyers. Right. And that relationship is almost the key to your business.

Because anybody can do acquisitions, right? And a lot of people focus on the acquisition portion. I call that the first 50 yards of the business. The second 50 yards of the business is selling these properties for the highest than the fastest way possible. And so if you created a buyer's list of, let's just say you got 500 buyers list, you got 75 solid guys that you always sell to because we all know that the buyers list of the people that repeatedly buy from you are pretty small.

Yep. And then I say, hey, Matt, can I get your buyer's list? I'm like, hell no, absolutely not. But I say, hey, Matt, I have a deal. I'm going to send it to you. You look over the paperwork that I have with the seller. If you agree, you'll accept it. Share this with your list.

And then we'll go 50-50 on the deal or whatever we negotiate, 60-40, whatever it is. And so it allows smaller wholesales to work with big people like you, myself, and you that have developed relationships over the years to be able to sell deals quicker. For the big guys, like myself, it allows us to monetize our business. buyers list without giving the buyers list away. Because no matter how, if you built a solid relationship with a buyer, you don't want to give that buyer's list away in exchange for somebody else's buyer. And then now your buyer that you've built trust with over the last 10 years is now getting 10 emails a day from random people. So now you've ruined that medium of communication, which is an email. For sure. Or text message or whatever it is between you and your buyer.

And so keeping the buyer private and keeping it in your relationship and being the medium between the wholesaler and the buyer, you're able to do that. And so that's what we've been able to create because everybody, and you've been as a business a long time. I've been his business a long time too, at least in donkey years compared to how fast things move in a real estate business. Everybody has softwares focused on the acquisition of property, but not the disposition portion.

And so what you could think of it is, the off market type. MLS for wholesalers, investors, where they can share their deals in a private setting. And the reason why the private setting is important because there's a lot of new laws coming down the pipeline that talk about you cannot publicly post your deals. Well, if it's behind a wall that you need a membership to, it's no longer public. And so you're just defeating and getting ahead of some of these legislations that are coming down the road. Fantastic.

That's good. It's really good. It makes you wonder, like, here I was just looking at one of these comments. still trying to get my first deal, Max, or Lauderdale, too many people. When I see something like that, still trying to get my first deal, and I'm not picking on you, by the way,

because you're just a normal. You're normal. I hear this all the time. All the time. But you start hearing something like town square, and there's a bunch of other outlets to do disposition. It's like, Jet, what's stop you?

What's in the way? Right? So what would be your advice for someone like this? And here's the other part two question. She says, too many people. Yeah. Who doesn't think their market isn't saturated, right?

Everyone wants to do it personally because they think the grass is greener because there's too many investors where they are. You know, there's just as many investors over there too. But anyway, it's a mindset shift. It's a thing that most people common. Let me tell you some people that don't care about those things. Loads doesn't care about how many home depots they are. CVS never cares that the Walgreens right across the street.

When most cities you go to, there's a mile long strip of all the car dealerships. When they build the new one, they never. care about the other 30 down the street. And the reality is, is there's enough homes and there's enough buyers and there's enough deals that the reality, here's the reality, Matt. The average salary, the average person, the medium income in America, I think is less than $35,000. The average deal is somewhere between $10,000 and $15,000 right now. If you get two of those or three of those a year, it changes your entire life if you still have your job. Now, the reality is you need to solve one problem a year. I don't know why people think they need to be

doing 20 deals a month. You need one problem. If you told people that you can make an extra $10 to $30,000 a year, just extra. By doing this small thing, you wouldn't even think about it like that. And as you figure out deal one, two, and three, you start to realize that there's a way for you to scale, and then you start thinking on a bigger method. But the reality is, there's not too many people because I'm going to tell you when wholesaling is completely done when there's no foreclosures in America until then keep fighting yeah I also look at too many people too many investors that's too saturated just too crowded I can rely on human nature of being inconsistent I can rely on human nature their lack of persistence right we all know the stat the follow-up

percent, right? Yeah. Like, 90 or 98% of the deals belong to 20% of the investors because they merely followed up and didn't do anything different than the other 80% of the investors. They have systems. Right. Yep. They got systems and they just just follow up. Just be consistent. Consistent with your lead generation activity, consistent with your foundations, consistent making offers. It's going to be just fine. You're going to beat the competition in every market just by doing that. That's it, man. It's a very scarcity mindset to think like that. And I, understand why people think like that. Don't get me wrong. Well, that's why I've seen the one first. I'm not picked on you at all because I hear it all the time. This has nothing to do with you.

It's like human nature. Yeah. And so people just need to understand the difference and just move forward because it's not that hard. It's not that hard. Somebody's looking for a Town Square app. It's pretty simple. I think if you just go to my, I don't know if you're following me on Instagram or what, but it's in my bio, but the website is T-W-N-S-Q-R.com. T-W-N-S-Q-R.com. I got 20% off somewhere. So if you just find my Instagram, you'll find it. It's a link in the bio type thing. There we go. You all see that?

Oh, and by the way, it's only $150 a month to be on the platform. I forgot that. That's one deal. Pays it for 10 years. Very good. I was like to ask this question for people like this, and I want to know what your answer is. What is something that you wish you could talk about more

that you don't get the chance to? That's a good question, Matt. And so when most people book me to speak, They think I'm going to go in there and give some crazy hat to real estate. Like this secret I'm about to tell you is going to make you a million dollars tomorrow. The reality is, man, you know my story. I was down and out, had nothing at the age of 30, had to move back with my mother. The number one thing that allowed me to be whoever I wanted to be was in between my ears.

There is this thing that I call corny culture, right? We all know there's things that we should be doing, but we think it's corny, right? your goals down, reading books, doing these things, listen to podcasts, cut off the entertainment, stop going out so much. People like, yo, that's corny. Let me tell you something. You do enough for that corny stuff. You will become who you think you can be or who you dream you can be. And you only got to do it for a short amount of time. Right. And so I talk about mindset more than I talk about real estate. Why? There's people like you that all that talk about real estate. You gave every secret out. You've got you've got the longest running podcast. What else in

the hell can you talk about? You know what I mean? So you've given away every secret, right? But the people don't talk about the most is here. And it's very simple to make the switch. And when you figure that switch out, oh, man, your life is about to be crazy. Everything you ever dreamt of. Oh, what was that one? What was that corny stuff for you? You know, the corny stuff was me, Believe it or not, I was 30 before I read my first book cover to cover. And then I believe, I watched, I haven't watched football in six years. I was a huge sports fan. And then I realized how much time it took out of my day.

I was giving all of my energy to my employers and none back to myself. We've been kind of trick that you got to go to school to get this proper education in order to be able to make it in life. but none of us realize that we have to invest in ourselves without the institution. Because this day and age, there's so much information on the internet. It's free. It's at your fingertips. And it can make you your first 10,000 for you to then do it again and then invest in yourself with a personal coach or a personal mentor, whatever it is.

It's so crazy. I've seen people come from nothing so often from just a sliver of hope. And then they invested in themselves. They put all their excuses to the side, and they became the person that they always thought they could be, that the inner child of you thought you could be, you became that person when you started investing back into yourself. And that's some of the corny stuff. Reading books, listening to people off.

And not because I didn't like them is because they weren't where I wanted to be nor where they're going in the direction I wanted to go. Now I can deal with them on my own terms because I can do whatever I want to do. Yeah. It's really tough, isn't it? that of all my friends, my oldest friends, I think I'm the only entrepreneurial-minded one. My very best friend in life were the same age. I mean, he's 53 years old and he's still DJing in a strip club.

And I'm just like, dude, are you ever going to leave? No, why? They pay good. It's a good job. And that may be his definition of success. So kudos to him. But most people, if you ask them, most people, the majority of people, Are you happy at your job? Do you love what you do? And if they hesitate for more than the second,

the answer is no. So go go be that inner child. Go be whatever you want to be. Yep. Yep. We're going to be here very long. And it is over and it's done. And it can be tomorrow, Matt. It can be tomorrow. Yep. Yep. It sucks. It happens. You only come of those realizations when you actually go to a funeral, you know, and you're fired up for a week. Oh, I'm living every single moment. And you get. suck back into it and you forget all about it. I was talking to one of my friends who is also, he's my fitness instruction and he has a gym called AWOL, right? And I was talking to him. I was like, man, I got finances figured out. I got life. I'm happy. I got a beautiful wife. You know,

I got all these things. And I haven't figured out how to be as dedicated as I am to business as I to my health. Like, I want to be healthier. I want to cut 20, 30 pounds. And he's like, well, the problem is, is you never had that near-death experience. And sometimes it takes that with people for them to realize how important their health is. And so for us, at least for my story, I know off bad is like, I had a near-death financial situation. And it woke me up. And sometimes people have to go through it and sometimes they don't. Sometimes they listen to people like you and I, say, okay, I don't want to get to that point before I make that decision or change what I'm doing. And it could be for me, I was at 30 years old. I had nothing. I had to move back home my mother at 30

after leaving for the Air Force is 17. I come back broke. And then you're like, life change in financial movement. I hit the deathbed in the financial world. I need to come back. And I haven't hit it with my health. And now when he told me that, I was like, I don't want to go through a near-death health experience. Right. So now, you know, I've been working out every single day within five days a week. And I feel good. And so I translate that to the life we want to live. Let's not have the near-death experience by either losing a loved one or not doing what you want to do or reaching bankruptcy or just living an unfulfilled life. It's don't let's not be okay with that.

There's a saying or a quote as a healthy man has a thousand wishes. A sick man has just one, right? Just one. Just one. Yeah. My wife, she went to, I forget the guy's name, who's the guy that Will Smith played in the Tudor Happiness. I know who you're talking about.

I love that. Yeah. So he owns a restaurant here in one of the hotels, and one of her entrepreneur mastermind groups got to go and hear him speak. So it was a small little group with 40 people. He said one thing and she came home and said the same thing. I am so guilty of this and it just hit me. And I heard it second hand.

She came home and says, this is the secret to success. You have to grind while it's raining. And it's like, things are going good. Like make sure you don't become complacent. Don't get comfortable. If you really want to be successful,

you got to like when things are going good, that's when you have to push even harder. Yeah. And I've been so guilty of that in my life. I thought things go good. I kick back until it's not going good. And I rev it up again. You know what I mean?

I did it. I did it, man. You know, during the pandemic, I just got kind of like I miss people like I miss going out doing things. Then I just I was like, you know what? I'm just going to take. I really took about two years off. I'm not really putting out content of not doing that.

And I was like, no, this sucks. Let me get back on this horse. And so yeah, I'm with you, man. We all go through something, brother. Trust me. Oh, wait. Well, super. What's in your future that you're super excited about?

I really don't have anything that I'm really crazy. I just started a flight academy where most people don't know that the world demand for pilots, new pilots is 89 pilots a day until 2036. So this is a huge issue. If you've been flying in the last two years and your plane gets delayed and it gets canceled is because your pilot ran out of hours, waiting, standby and all that stuff. And so I'm excited to add some diversity, right? Men, women, people that around.

me because I have a 27,000 square foot hanger, right? And I have planes and stuff like that. And I noticed that the airport is within arm's reach of the hood. They seek the ghetto. And most of these kids will never, ever, ever get to touch a plane, much less ride in one. And one day, I was just like, I want to change that. I want to change that. And so I put my money where my mouth is. I created a flight school. We're giving away two $70,000 scholarships for high school seniors. That way they just graduate with a pilot's degree, they can go into a job where they're making right out of the gate, you know, making $80,000 and then $100,000 and $300,000 by the time their 15th year. So I'm excited about that.

Just giving back to the community. That's really what I'm into these days. That's sweet, dude. I can tell. You can see your face light up. You talk about that way. Yeah. Awesome.

Well, thanks, man. Let's stay in touch. Let's not wait three years until we do this again, all right? Absolutely, man. I enjoy you. This guy's solid. I'm sure you guys already know that. But, man, keep doing what you're doing for the community.

it's needed and it's a breath of fresh air, man. Thank you so much for having me. Awesome. Appreciate him. Take care. Absolutely, brother. Take care. 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, a Metterio. Living the Dream.

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