Podcast Summary
Preparing Properties for Autumn and BiggerPockets 10-Year Anniversary: Landlords should prepare properties for autumn weather and BiggerPockets is celebrating its 10-year anniversary with a party. Ben shares tips for full-time workers investing in real estate, and Brandon Turner's book on investing with no money down is now available for preorder.
The autumn season is a time for preparation for landlords, ensuring properties are buttoned up tight before the rainy weather sets in. Additionally, BiggerPockets is celebrating its 10-year anniversary on October 22nd with a party in Denver for those interested in attending. The podcast episode features a guest, Ben, who shares valuable advice for those working full-time jobs and trying to invest in real estate, including automating systems and managing deal flow with five specific tools. Lastly, Brandon Turner's book on investing in real estate with no and low money down, "Investing in Real Estate with No (and Low) Money Down," is now available for preorder at biggerpockets.com/nomoney.
BiggerPockets Pro: Upload Videos to Build Credibility and Engage with Members, Introducing Ben Griese and Rent to Retirement: Pro members can upload videos to BiggerPockets to build credibility, meet Ben Griese, a successful wholesaler using tech to invest, and learn about Rent to Retirement's no money down rental opportunities.
BiggerPockets Pro members now have the ability to upload videos to their profiles as a way to build credibility and stand out from the crowd. This feature allows users to introduce themselves, share their background, and engage with other members more effectively. Additionally, the podcast featured Ben Griese, a successful real estate wholesaler who uses various technologies to automate processes and make investing more accessible for those looking to build side income without quitting their day jobs. Another highlight was the introduction of Rent to Retirement, a company offering no money down investment opportunities in new construction rental properties. Lastly, the discussion emphasized the importance of partnering with trusted companies, like BAM Capital, for investment opportunities, especially in the current market conditions.
Managing Multiple Business Bank Accounts with RelayFi: RelayFi allows real estate investors to open up to 20 business accounts online, collaborate with team members, and avoid monthly fees or minimums.
RelayFi offers a convenient and efficient solution for real estate investors looking to manage multiple business bank accounts. With the ability to open up to 20 accounts online, collaborate with team members using role-specific access, and no monthly fees or minimums, it provides a stress-free banking experience. RelayFi is a financial technology company that offers banking services through Thread Bank. Ben, a real estate investor and wholesaler from Indianapolis, shared his definition of wholesaling and how he uses RelayFi to manage his business transactions. Prior to real estate, Ben was first exposed to the industry after graduating from Ball State University and moving to Phoenix to work with a successful real estate investor.
Encounters as catalysts for new opportunities: Stay open to new experiences and opportunities, they may lead to unexpected ventures in the future
Personal experiences and encounters can serve as catalysts for new opportunities and ventures in life. The speaker, Ben, was introduced to real estate through a friend who wholesaled properties using bandit signs. Although he didn't have the means to start investing at the time, the encounter left a lasting impression. Years later, while working as an electronic medical record consultant and playing poker professionally, Ben felt the need to diversify his income due to aging and the competitive nature of these fields. He came across a business card for an MLM real estate education program at a time when he was open to new opportunities. This encounter led Ben to explore real estate investing further and eventually become involved in the industry. The story illustrates the importance of staying open to new experiences and opportunities, even if they don't bear fruit right away.
Discovering Real Estate Investing as a Career Alternative: Faced with personal circumstances, a mortgage banker turned to real estate investing and wholesaling for a stable income with minimal start-up capital. His background in building rapport with homeowners made him successful in the role.
When faced with the need to change careers due to personal circumstances, the speaker discovered real estate investing through BiggerPockets and found wholesaling to be an attractive option due to its low risk and the ability to use minimal start-up capital. The speaker's background in building rapport with homeowners from his experience as a mortgage banker made him well-suited for the role of a wholesaler. The speaker's determination to provide a stable income for his family without having to travel extensively led him to explore alternative sources of income, ultimately leading him to real estate investing and wholesaling. The speaker's story serves as an inspiration for those who may be facing similar circumstances and are looking for a way to secure their financial future. Additionally, the speaker's foresight in recognizing the changing job market and the potential for automation and outsourcing highlights the importance of planning for the future and considering alternative sources of income.
Unexpected opportunities from taking action: Acting on advice from the community led to a first real estate deal, building rapport led to a vacant property, seeking advice led to learning negotiation skills, and making offers led to a profitable assignment despite initial misstep
Taking action and putting yourself out there can lead to unexpected opportunities. The speaker shares his experience of starting a direct mail marketing campaign based on advice from the BiggerPockets community, which resulted in his first real estate deal. He met a doctor at the hospital where he worked, built rapport, and discovered a vacant property in need of repairs. Despite having little experience, he sought advice from a mentor and learned the value of making offers and negotiating. In the end, he assigned his interest in the property to a cash buyer for a profit, even though he initially offered too little and missed out on potential earnings. This story highlights the importance of taking action, seeking advice, and being open to learning from mistakes.
Seller can assign contract to another buyer: Sellers can assign real estate contracts to cash buyers for a fee, transferring rights and responsibilities, ensuring a legal and smooth transaction
In real estate transactions, "and or assigns" means that the seller can assign the contract to another buyer, essentially transferring the rights and responsibilities of the contract to the new buyer. This is a common practice in real estate investing, especially when the seller is a wholesaler looking to profit from finding a buyer for a property. The assignment process involves the seller having a signed purchase agreement with the original seller, receiving an offer from a cash buyer, and then assigning the contract to the cash buyer for a fee. The assignment process can take place in various locations, such as in the seller's office or at a closing table, and the seller gets paid once the assignment is complete. It's important for all parties involved to understand the assignment process and its implications to ensure a smooth and legal transaction.
Real Estate Transactions: Purchase Agreements, Assignment Contracts, and Closings: Investors close real estate deals through purchase agreements, assignment contracts, and closings. Building trust with sellers and cash buyers is essential, as they prioritize problem-solving over profits.
In real estate transactions, a purchase agreement is signed between the buyer and seller, and an assignment contract is signed between the buyer (as the assignor) and the cash buyer (as the assignee). The closing takes place when all parties come together, and the title company distributes the funds. An assignment is not the only way to close a deal, and building trust with sellers and cash buyers is crucial. They are more concerned with having their problems solved than the investor's profits. A good investor discloses their intentions, builds rapport, and provides win-win solutions for all parties involved.
Being Transparent Builds Trust in Wholesaling: Be upfront about intentions, understand seller's pain points, offer solutions, and focus on providing value to build trust and potentially turn one-time transactions into long-term business opportunities.
Transparency is key in wholesaling real estate. Being upfront and honest about your intentions and the role you play in the real estate process can help build trust and rapport with sellers. It's important to understand their pain points and offer solutions to their problems, rather than trying to deceive them with underhanded tactics. By being transparent, you can establish a valuable relationship and potentially turn a one-time transaction into a long-term business opportunity. Additionally, it's important to remember that everyone in the real estate industry serves a purpose, and there's no need to hide the fact that you aim to make a profit. Instead, focus on providing value and solving the seller's unique challenges. For those starting out in wholesaling, it's essential to establish trust and build relationships with sellers by being transparent, finding their pain points, and offering solutions.
Investors revitalize communities by buying distressed properties: Investors contribute to community improvement by purchasing and renovating distressed properties, providing new buyers with affordable options, and removing vacant and dangerous buildings.
Investors play a crucial role in revitalizing communities by purchasing distressed properties and selling them to new buyers. These transactions often occur off-market, allowing sellers to quickly unload properties for various reasons. While some may view investors as taking advantage, the vast majority are transparent and ethical. For wholesalers, the process can be challenging, with deals sometimes taking months to close due to various circumstances. Despite this, wholesalers continue to make a difference by removing vacant and potentially dangerous properties from communities and turning them into valuable assets. It's important to remember that while there are unethical practices in the industry, the majority of investors are dedicated to helping individuals and communities thrive.
Balancing a Full-Time Job with Wholesaling: Tips from an Experienced Pro: Implementing systems and using technology can help wholesalers manage their time effectively, grow their business, and maintain other commitments.
Effective time management and prioritization are essential for balancing a full-time job or other responsibilities with a side business like wholesaling real estate. The speaker shares his experience of starting small with wholesaling, not committing to a set number of hours each week, and gradually implementing systems to streamline his business. He suggests using tools like Podio for organizing leads and Vumber for managing phone numbers for different marketing campaigns. By automating tasks such as creating and sending offer letters, the speaker saves time and reduces manual work. He encourages using a CRM system like Podio to showcase the systemization of a wholesaling business and offers to write a post about it for the BiggerPockets blog. Overall, the key takeaway is that implementing systems and using technology can help wholesalers manage their time effectively and grow their business while maintaining other commitments.
Real Estate Transactions Made Convenient with Technology: Technology enhances real estate transactions through convenient apps, personalized recommendations, tax savings, and accessible investment opportunities.
Technology is making real estate transactions more convenient and efficient. Redfin's app and services allow users to find, favorite, and purchase homes quickly, while also providing personalized recommendations. Additionally, 10/31 exchanges, facilitated by companies like First American Exchange, help investors defer capital gains taxes and build their rental property empires. In times of high interest rates and liquidity crises, alternative investment platforms like Fundrise offer opportunities for investors to earn healthy returns through private credit deals. Overall, these advancements help improve work-life balance, save money, and make real estate investments more accessible. Whether you're a seasoned investor or just starting, these tools and services can help you navigate the real estate market effectively.
Automating a part-time real estate business: Using tools like Vumber, Podio, and Zapier, investors can automate lead routing and CRM input to manage time efficiently and prioritize deals based on goals.
Automation and technology can help streamline a part-time real estate investing business, allowing investors to focus on deals that are most important to them. The interviewee shared how he uses various tools like Vumber, Podio, and Zapier to automatically route website leads to his phone and input seller data into his CRM, while direct mail leads go directly to voice mail. This setup enables him to efficiently manage his time and prioritize deals based on his goals and availability. Additionally, he emphasized that building a side income real estate business doesn't require quitting other sources of income or becoming a full-time investor. Instead, setting realistic goals and understanding the local market can help investors find success with a few deals a month.
Marketing is crucial for real estate wholesalers: Wholesalers can secure better deals through marketing, use marketing savvy, understand numbers, and build rapport with sellers. The 70% rule is also essential for success.
Effective marketing is key to success in real estate wholesaling. Landlords and flippers can benefit greatly from direct marketing efforts, potentially securing better deals than those listed on the MLS. Wholesalers, who are typically the ones engaging in marketing activities, have a unique skill set that includes marketing savvy, an understanding of numbers, and the ability to build rapport with sellers. The 70% rule, a fundamental concept in real estate investing, is another essential skill for wholesalers. By knowing how to generate leads, understand the numbers, and build trusting relationships, wholesalers can thrive in the competitive real estate market.
Understanding Buyer's Strategy for Wholesale Deals: Focus on buyer's investment strategy when analyzing wholesale deals, not just the 70% rule. Use systems to increase efficiency and web presence, optimize SEO for leads, and create valuable content for improved ranking.
The 70% rule, a common real estate investing guideline, doesn't apply to every wholesale deal. Understanding your buyer and their investment strategy is crucial when analyzing the numbers. For buy-and-hold investors, the focus shifts from the 70% rule to cap rates and cash flow. The speaker emphasizes the importance of creating systems in your business, such as using software apps, voice answering services, or VAs, and increasing your web presence through organic SEO and content creation. SEO, or search engine optimization, involves optimizing your website to rank well for search terms potential sellers use, such as "sell my house fast" or "cash homebuyers." Creating valuable content, like blog articles and testimonials, can help improve your website's ranking and generate leads.
Marketing Strategies for Real Estate Investing: Successful real estate marketing involves direct mail campaigns targeting absentee owners, transparency with sellers about intentions, and disclosing your role as a wholesaler or partner.
Producing valuable content, whether it be through blog posts, YouTube videos, podcasts, or other means, is essential for effective SEO and attracting potential real estate opportunities. The guest shared her experience of having to redo a testimonial due to a change in appearance, but the conversation quickly refocused on marketing strategies. One successful technique mentioned was direct mail campaigns targeting absentee owners. Another topic discussed was transparency with sellers regarding your intentions, and it was suggested that disclosing your role as a wholesaler or partner is necessary. The guest also revealed that she hasn't encountered any deal-breaking issues yet, as she still relies on her mentor's expertise. Lastly, she admitted that she hasn't read a real estate book from cover to cover since college.
Learning Styles and Resources: Find your preferred learning style and utilize various resources like blogs, forums, books, websites, and live events to continuously learn and improve.
While some people prefer learning through reading books, others, like the speaker, learn best by doing and absorbing information online, particularly through blogs and forums. The speaker shared how successful his blog post on renting houses had been and how they turned it into a book for wider reach. He also mentioned the importance of having both digital and physical formats for reference. When it comes to business, the speaker enjoys learning from websites like Fizzle and Copyblogger. In his free time, he enjoys watching sports and attending live events, and while he used to play sports, injuries have forced him to focus on watching instead. He also mentioned his love for poker. Overall, the speaker emphasized the importance of finding the learning style that works best for each individual and utilizing various resources to continue growing and improving.
Finding success through persistence and determination: Successful real estate investors find ways to make things work despite challenges. Create a profile on BiggerPockets, reach out to FSBOs, and find an investor-friendly agent to maximize chances of success.
Successful real estate investors, including wholesalers, don't make excuses. They find ways to make things work despite any challenges they face. Ben, a guest on the podcast, shared his story of finding success through persistence and determination, despite initial struggles with time and resources. He advised listening to the podcast, creating a profile on BiggerPockets, and reaching out to for sale by owner properties on Craigslist as potential solutions for those who face similar obstacles. The discussion also highlighted the importance of finding an investor-friendly agent through BiggerPockets Agent Finder to help navigate the real estate market and make informed decisions. Overall, the key takeaway is that with the right mindset and resources, anyone can succeed in real estate investing.
Finding a Real Estate Agent for Investors: Use BiggerPockets.com/deals to find investor-friendly agents, but remember past performance isn't a guarantee and consult with advisors before making investment decisions. Be cautious and do your own research.
If you're looking for an investor-friendly real estate agent, you can check out biggerpockets.com/deals. However, it's important to remember that past performance is not a guarantee of future results, and all opinions expressed in this podcast are those of the individuals speaking and not necessarily reflective of BiggerPockets LLC. Investing in real estate, or any asset for that matter, involves risk, so it's crucial to use your best judgment and consult with qualified advisors before making any investment decisions. Lastly, BiggerPockets LLC disclaims any liability for any damages arising from the use of information presented in this podcast. In essence, while the podcast provides valuable insights, it's up to each listener to exercise caution and make informed decisions based on their own research and due diligence.
