Podcast Summary
Leveraging Google Plus for Real Estate Investing: Google Plus can be a valuable tool for networking and staying informed in real estate investing. Following BiggerPockets and engaging in discussions can lead to valuable insights and opportunities.
Utilizing various social media platforms, including Google Plus, can be beneficial for real estate investors. Lamar Cannon, a successful wholesaler from Austin, Texas, shares his experience of leveraging his sales background to build a thriving wholesaling business. He emphasizes the importance of networking and interaction on Google Plus, encouraging listeners to follow BiggerPockets on the platform for valuable insights. Additionally, Rent to Retirement offers an opportunity to invest in turnkey rental properties with little to no money down, making it an attractive option for those looking to enter the real estate market. Overall, the podcast highlights the significance of staying informed, networking, and exploring innovative investment opportunities.
Investing in Real Estate with Passive Income: Discover how Lamar leverages passive income through real estate investing by lending and renting properties on Airbnb.
There are various ways to invest in real estate without handling the day-to-day responsibilities. Lamar's story illustrates this, as he started in real estate at a young age through his family's construction business but later moved on to business and investing in stocks. However, he found the returns in stocks unsatisfying and rediscovered real estate, this time focusing on passive income through lending with Pine Financial Group. This investment opportunity offers a targeted 8% preferred return and a profitable split of net profits. By investing in this mortgage fund, individuals can contribute to community revitalization while earning passive income. This investment is reserved for accredited investors. Another way to make more income from properties is by renting them out on Airbnb, as Lamar did to help fund his real estate career.
Identifying opportunities in real estate: Determination and creativity can help turn distress into profit in real estate. Even with limited resources, one can buy, sell, and profit from houses.
Identifying opportunities in real estate can lead to significant financial gains, even for those with limited resources. The speaker shares his experience of helping homeowners in distress sell their houses to avoid foreclosure, and in turn, making a profit. He paid the mortgage until the house sold, and eventually, it was bought by another investor. This experience sparked his interest in real estate and led him to put all his money into it, leaving stocks behind. When speaking to the bank about the situation, he explained that they didn't want to take on more houses, and he proposed selling the house for them to avoid it sitting on their inventory for an extended period. This conversation resulted in the bank agreeing to move all late payments to the end of the loan, allowing the speaker to keep paying the mortgage until the house sold. Despite the challenges, such as having a limited budget while in college, the speaker's determination and creativity allowed him to succeed in real estate.
Negotiating with banks to save a house: Being proactive and persistent in negotiations with banks can lead to unexpected opportunities for growth in real estate investing.
Being proactive and solution-oriented can lead to successful negotiations with a bank, even when you're not the owner of the property or the note. Lamar shared his experience of having to sell a house that was in the process of foreclosure and negotiating with the bank to make the mortgage current and eventually sell the house. He emphasized the importance of trust and clear communication with the people involved in the process. The key was to be persistent and clear in your pitch to the bank, and to have the current owners facilitate the conversation and sign necessary paperwork. The deal wasn't the best structured, but it was a valuable learning experience for Lamar and a crucial first step in his real estate investing journey. The lesson here is that taking action and figuring things out as you go can lead to unexpected opportunities and growth.
From trying to do it all to focusing on wholesaling: Starting a successful real estate business requires focus and consistency. Don't try to do it all at once, instead focus on one strategy and stick with it to see it through to success.
Starting a successful business in wholesaling real estate requires focus and consistency. The speaker shared how they initially tried to structure their real estate business in a way that seemed impossible to maintain regularly. After taking a break, they researched and discovered wholesaling through resources like YouTube and BiggerPockets. They learned that they could make more than just a few hundred dollars per deal, which motivated them to try and find deals for others and pass them off. However, they acknowledged the importance of getting everything down in writing to protect themselves from potential trust issues. The speaker's transition into wholesaling was slow due to their initial plans to start a direct sales business, but they eventually decided to focus on one strategy and avoid bouncing from one strategy to another to become good at one thing. They warned against the temptation of constantly chasing the next best shiny object and encouraged staying consistent with one strategy to see it through to success.
Focus on a specific niche and strategy in real estate investing: Becoming an expert in a specific niche and strategy is more effective than being average at many things in real estate investing. Focusing on desirable areas and having a diverse range of reliable buyers can lead to more transactions.
Finding a specific niche and strategy in real estate investing, and becoming an expert in it, is more effective than trying to be average at many things. This advice came from a successful businesswoman who shared her experience with the speaker. When starting out in wholesaling, focusing on properties in desirable areas, such as the city center, can lead to more transactions. The chicken and egg problem of finding deals or buyers first can be solved by doing both at the same time. Having a diverse range of buyers is also important, as different buyers have different needs and risk tolerances. Ultimately, having a few good, reliable buyers is more beneficial than having a large, unreliable list.
Understanding Buyer Types in Real Estate Investing: Building relationships and catering to various buyer types leads to profitable deals and solutions for sellers. Strategies include networking, offering learning opportunities, and seeking advice from experienced investors.
Successful real estate investing involves understanding and catering to various buyer types. This can lead to finding solutions for sellers while also securing profitable deals. The speaker shares examples of buyers who fix and flip, wholesale, rent, and hold properties for resale at a later date. Building relationships through networking, such as BiggerPockets meetups, is a valuable way to find buyers. Another effective strategy is offering to lower the price for learning opportunities, which benefits both parties. When considering a specific deal, seeking advice from experienced investors can provide valuable insights.
Discounting for location in less desirable neighborhoods: When investing in a less desirable neighborhood, discount the price based on the location. Network and find buyers in the area to increase chances of success.
When considering investing in a property in a less desirable neighborhood, it's important to discount the price based on the location. The speaker shares his experience of purchasing a property from a motivated seller in a not-so-great neighborhood and how he pursued the deal by finding buyers in that area. He advises driving around the neighborhood to look for "we buy houses" signs and connecting with those potential buyers. The speaker also emphasizes the importance of networking and learning from others in the industry through meetups and online platforms. In a competitive market like Austin, building relationships and expanding your network can lead to valuable opportunities.
Effective Direct Mail Marketing in Competitive Real Estate Markets: In a competitive real estate market, creativity and persistence are crucial. Use an expert for high-quality marketing materials, have a large, diverse list of leads, and be persistent in following up. Promptly return calls with necessary info using live answering or voice mail.
In a competitive real estate market, creativity and persistence are key. Direct mail marketing can be an effective way to find deals, but it's essential to have high-quality marketing materials and act fast. The speaker emphasizes the importance of using an expert to help create effective marketing materials and having a large, diverse list of potential leads. It's also important to be persistent and follow up with leads, as it can take multiple touches before making a deal. The speaker shares that they have had success with their first mailing, receiving a good number of calls, and making deals by being persistent and solution-oriented. They use a combination of live answering and voice mail for incoming calls, with the intention of returning calls promptly with the necessary information.
Gathering Info on Potential Properties with Redfin: Use Redfin for initial property data, verify info, consider repair costs, and talk to experts for accurate estimates.
Successful house flipping involves quick action and thorough research. When receiving a voice mail about a potential property, investors should use apps like Redfin to gather information about the property's size, number of bathrooms, and recent sales data to determine a rough offer. While Redfin's comp data can be helpful, it's essential to verify the information and consider repairs costs, which can vary greatly. To get a better understanding of repair costs, talking to people who have completed similar projects is recommended. Additionally, using an answering service like Pat A Lot and Google Voice for voice mails can help streamline the process. Despite the challenges of rising home prices, interest rates, and low inventory levels, staying informed and acting quickly can lead to successful flips. For more detailed information on estimating rehab costs, consider checking out Jay Scott's book on the topic, available on Amazon or BiggerPockets.com.
Finding Off-Market Opportunities with PropStream and DealMachine: Use PropStream for access to over 155 million properties and motivated sellers, accurate comps, and lead automation tools. DealMachine provides unlimited contact info and SimpliSafe ensures home security. Wholesaling is an effective strategy with marketing and problem-solving for small deals.
When the market inventory is insufficient, it's essential to look for off-market opportunities. PropStream, a leading real estate data provider, can help you find motivated sellers by providing access to over 155 million properties with various search filters. With PropStream, you can also get accurate comps and lead automation tools, making the process more efficient. DealMachine offers unlimited access to contact information, including phone numbers, for lead generation. SimpliSafe ensures peace of mind with its home security system, offering high-tech sensors, indoor and outdoor cameras, professional monitoring, and a 60-day money-back guarantee. Wholesaling is an effective strategy for those starting in real estate, and with marketing efforts and solving problems for both sellers and buyers, success can be achieved even with a small number of deals. Inspiring stories of individuals starting to see progress in their wholesaling journey can be found on this podcast.
Staying Consistent in Real Estate Marketing: Determine how many leads are needed to close a deal, adjust marketing efforts accordingly, handle a manageable number of leads, and aim for a 10% response rate on marketing efforts.
Consistency is key in real estate marketing, and understanding your law of averages can help you stay focused and persistent. Lamar emphasized that many people give up too soon due to unmet expectations and the lack of immediate results. He suggested viewing marketing efforts like a workout program, where initial excitement may wane as the process becomes more challenging. To overcome this, Lamar advised determining how many leads are needed to close a deal and adjusting marketing efforts accordingly. He also emphasized the importance of handling a manageable number of leads to ensure follow-up and avoid missed opportunities. In their experience, Lamar and his team found that direct mail was their most effective marketing strategy due to its controllability, but they also utilized other methods. They aim for a 10% response rate on their letters and send out anywhere from 1,000 to 5,000 letters at a time. Lamar encourages everyone to consider their capacity for handling incoming calls and to adjust marketing efforts accordingly to maximize opportunities.
Budget impacts deal flow in real estate investing, especially wholesaling: Increase deal flow by allocating more budget to marketing and building a team, even with limited resources. Success depends on mindset and determination, not budget size.
Budget plays a significant role in the number of deals you can secure in real estate investing, especially in wholesaling. You can increase your deal flow by allocating more budget to marketing efforts and building a team. Even if you're starting with limited resources, you can still make it work by saving and reinvesting your earnings. Remember, success in real estate investing is not dependent on how much money you have but on your mindset and determination. When it comes to talking to sellers, being personable and genuinely caring about their needs can help you stand out from other investors and build rapport. Avoid coming off as pushy or business-focused during your initial conversations. Instead, focus on building a connection and understanding their unique situation.
Building strong seller relationships: Engaging with sellers beyond transactions builds trust and increases deal likelihood, even if another investor offers a higher price.
Building strong relationships with sellers is crucial in real estate investing. By genuinely engaging with them and showing interest in their lives beyond the transaction, investors can build trust and increase the likelihood of closing deals. Even if another investor offers a higher price, the seller may still choose to work with the investor they like and trust more. An effective icebreaker can help initiate these relationships, and authentic excitement and interest in the seller's day can go a long way. While aiming for a profitable deal is important, maintaining integrity and focusing on building a reputation as a reliable and honest wholesaler can lead to long-term success. This approach aligns with the mission of creating a more positive and trustworthy real estate investing community, as exemplified by the creation of BiggerPockets.
Staying true to values and building strong relationships: Persist through challenges, build strong relationships, and stay flexible to learn valuable lessons
Maintaining integrity is crucial for having a long-lasting business. The speaker shared an example of a successful deal where he persisted despite initial setbacks, ultimately making $15,000. He emphasized the importance of being persistent and building strong relationships. Conversely, the speaker also shared an experience of a potential deal that didn't come to fruition due to the other party changing their mind at the last minute. While disappointing, the speaker learned valuable lessons about the importance of being prepared and staying flexible in business. Overall, the speaker's experiences highlight the importance of staying true to one's values and building strong relationships in business, even when faced with challenges or setbacks.
Acting quickly in real estate investing: Learn from mistakes and seize opportunities: Being proactive in real estate investing can lead to valuable learning experiences and potential deals. Don't wait to act, but also seek expert advice and stay informed to maximize success.
Acting quickly in real estate investing can lead to significant learning experiences and potential deals. Brandon Turner shared his experience of learning a $10,000 lesson by not waiting to act on an opportunity, emphasizing the importance of being proactive. Additionally, during the "Fire Round" segment of the podcast, the panel discussed various topics such as the age of houses for wholesaling, handling high call volumes while working full-time, and the use of web presence and pay-per-click ads. One common theme that emerged was the importance of being knowledgeable about the market and seeking expert advice when necessary. Overall, the podcast highlighted the importance of taking action, learning from mistakes, and staying informed to succeed in real estate investing.
The Importance of Persistence in Real Estate Investing: Persistence is crucial in real estate investing and life. Don't give up, learn from setbacks, and apply new strategies like outsourcing to achieve success.
Persistence is key to success in real estate investing, as well as in life. Lamar Tucker, a real estate investor and guest on the BiggerPockets podcast, emphasized the importance of not giving up, even when faced with challenges or setbacks. He shared how he applied this mindset to his own business ventures, including the creation of the BiggerPockets community. Another important topic discussed was outsourcing, which Lamar learned about through the book "4 Hour Workweek." He shared a personal example of how he had been outsourcing tasks to his little brother without realizing it. Overall, the conversation highlighted the importance of staying focused on goals and not being deterred by obstacles.
Engage with the BiggerPockets Podcast Community: Leaving positive reviews, engaging on social media, and using BiggerPockets Agent Finder can lead to more interactions and potential business opportunities. With over 357 five-star reviews on iTunes, the podcast continues to be the top-rated real estate show. Contribute to the real estate community by sharing your thoughts and experiences.
Expanding the reach of the BiggerPockets Podcast by leaving positive reviews, engaging on social media, and using BiggerPockets Agent Finder can lead to more interactions and potential business opportunities. With over 357 five-star reviews on iTunes and 237 written reviews, the podcast continues to be the top-rated real estate show. By sharing your thoughts and experiences, you help others discover the value of the podcast and contribute to the real estate community. Additionally, the market may be changing, but the goal of financial freedom remains constant. Finding an investor-friendly agent is crucial in navigating the real estate market and making informed decisions. BiggerPockets Agent Finder is a free resource that helps match investors with local market experts. Remember, it's not about timing the market, but rather being in it for the long term. Stay informed, stay engaged, and take the next step towards financial freedom.
