Transcription
Hey, Morie built a $100 million real estate empire with a lead strategy that most investors overlook. In this video, I'm going to break down the exact strategy that he uses to get endless deals without chasing sellers, without getting bad leads, wasting any time, and everything goes to him. Very simple.
Now, you've probably seen other wholesalers or investors burn cash and burn themselves to the ground by applying the wrong marketing strategies without getting any deals whatsoever. And you've probably been there too. Why? Because this marketing doesn't convert, you don't grow, you get no deals. But Pace flipped the script. Instead of having to chase leads, leads actually come to him. And this is not luck. It actually comes down to a proven system that any investor can apply to turn any lead into massive profits and get the most out of your marketing. And these strategies have been overlooked for a long time. But in this video, I'm going to break it down so that you can learn exactly what generates massive profits, even in difficult markets or in difficult times. You can actually apply all of this. It works even if the market is hard or if there's a recession. And I'm going to break that down for you. And I'm about to show you how it works. Just like all iBuyers, Open Door, Offerpad, the biggest companies like New Western, We Buy Ugly Houses, even Zillow Offer, they all work the same way. And a lot of our clients have actually made multiple six figures every single month applying some of these principles that I'm going to cover today.
If you don't know who I am, my name is Estan Andrade, and I own two companies that actually help real estate investors and entrepreneurs scale with profitable lead generation and recruitment. And we've spent over $15 million in marketing in just the last four years to teach you a few things. And just like Pace Morie, you can use this to actually leverage labor, time, capital, and technology the right way to generate a $100 million lead machine. Because I'm on a mission to help real estate wholesalers, investors, and flippers have an exact playbook on how to scale their business through proper lead generation, lead conversion, and scalable techniques so you can actually apply this today. And the best part is that it's completely for free. And in the next hour, I'm going to break down this very simple, very dumb, but easy to follow process. And understand that when you start applying it to your business and to your company, things are going to skyrocket to the moon. So by the end of this video, you can actually have something that you can copy, paste, and scale fast.
And this strategy has worked so well for Pace Morie that I've even invested over $150,000 of my own money into his deals, like the 48-unit deal in Charlotte, North Carolina, when he took us as investors and walked us through the entire company, the entire property of 48 units. And this was an amazing experience. And guess what? He got me the first part. He does is called the no marketing budget lead flow. Let me explain. So most investors spend thousands of dollars every single month trying to figure out the seller lead flow. But the thing is that cold calling is dying, SMS marketing is already dead, direct mail responses are very low, paper lead companies are very expensive, and you don't even know where the leads actually come from. And driving for dollars is just not scalable. When do you see Pace doing that? So how does he even generate an unlimited amount of leads and deals without doing any of this?
And the first secret is going to come down to this thing I'm going to break down with you in this video. Pace built an entire massive system. And I put together, uh, this system and I wanted to share it with you because, uh, you may not think about it the same way that I think it. And I would love to show you how Pace Morie thinks about this system. So at the end of the day, uh, people need to become leveraged using media, using technology. I spoke about this in my videos, uh, but, uh, what Pace has done is actually to create a high-performing brand, a high-performing brand. And let's dive into the first pillar that all of this system that he has created does for him. First is a YouTube and social media lead funnel. So what happens here is that instead of chasing sellers, instead of chasing wholesalers to send him deals for whatever it is, flips and so on, uh, as you know, Pace Morby has created a machine that makes these deals come to him. So he ultimately uses free content on YouTube, on TikTok, on Instagram that ultimately educates sellers, wholesalers, agents, his students to send him leads. So it attracts inbound people. What it does is that YouTube has been one of the biggest channels that elevates people's trust because if you don't know about this, Google research and data, it takes about seven to eleven hours of content for a person to actually take action and buy from that person. And because, um, Pace also ultimately creates this free content and he makes these people, wholesalers, sellers, agents watch this free content for hours and hours, now what he has is leverage real estate in their mind. So he has actually acquired real estate inside of your mind. And if you haven't watched more than seven, seven hours or eleven hours from Pace Morie, it's, uh, I'm actually surprised because if you're watching it, you know who Pace Morie is. So he puts a lot of content that is free. Then ultimately, his videos, his Facebook group, his social media, all the free stuff that he creates called lead magnets, ultimately ends up educating these people, ends up creating indoctrination towards his brand. And every video that he posts generates a free lead. And this doesn't happen for, for one day, it happens for months because it lives in YouTube and he lives in, in, in social media where YouTube people go there for the intent of learning something, of ultimately acquiring some sort of knowledge, even if it takes more than 30 minutes or one hour to acquire the knowledge. And social media ultimately uses short-form content, uh, so that people whenever people are scrolling and whenever people are in their time of pastime or like, you know, want to waste time, whatever, let's call it that way, they want to get this, uh, continuous education, they want to get this continuous dopamine effect. That's what it does. Is that when Pace is in front of you, uh, Pace posting daily short-form videos, answering any seller's objections or answering any that people are, are have doubts about, then this ultimately creates a long-term trust. Okay. And the long-form videos that YouTube creates or that YouTube shows you about Pace, it ultimately has education on creative financing. So for example, if you have no idea how creative financing works, but YouTube shows you a video of Pace telling you how using creative financing could activate, reactivate that lead that you already paid for, uh, now Pace has activated this idea and triggered this idea in your, in your brain that you can make more money than you can right now, that you can use the money that you spent already and like use it for a better way. Shows you a dream island and shows you how you can get outside of Hell Island. And with his content that is so consistent, ultimately makes you understand, hey, the best person that can solve my issues is Pace Morie. And Pace has created a, a free access to him, uh, where he has a huge, uh, group Facebook group called The Creative, Creative Financing by Pace Morby or something like that, that is over a hundred thousand, uh, people inside of that group and it keeps growing. And a YouTube channel with thousands of subscribers. That's what it does. Is that every single time that Pace actually finishes that video, uh, he tells everyone, if you want to work with me, if you want to get more of these deals, if you want to make more money, work with me on my team, send me the deals, send me the leads, and I will pay you once we have actually transacted on the lead. Because you may see it as a dead lead, but in reality, there's money in there, right? So he uses a lot of his Facebook groups and live Q&A to build a lot of trust. And what it does is this same experience drags you towards what he wants from you. At the end of the day, he wants to ultimately build a community that can give him endless amount of deals. And you may think like, no, Pace is such a, a great person and stuff like that, he does it out of his heart and stuff like that. While this is true, I believe this is true because I have met Pace in person several times, I've talked with him, and you can see it. This is also a strategy to do an ask at the end. So do, if you, if you take a look at Pace's videos, at the end of his videos, he always says, hey, if you want to work with me, go to this link, uh, or reach out to our team and we'll be able to, uh, get your lead sorted. We will be able to convert some of these deals for you. And, and this allows him to convert. There's always a call to action. And at the end of the day, it's a strategy that works on YouTube and it's called a V, a hidden video sales letter. Every single time that, uh, Pace actually creates a YouTube video or a short-form video, it gets you to go to his funnel, and you are part of this funnel. That's why you're sending him leads, you're sending him deals, that's why you're buying his program. And ultimately, this is something that you can also do, uh, for your business. So for example, if you were to create a YouTube video for your wholesaling company or for your real estate company, educating sellers, giving them value, uh, educating them about the things that could go wrong, or educating things, educating them about, uh, the objections or the most frequently asked questions, you will eventually create a high-performing brand that can bring you leads, infinite amount of leads organically for a long period of time. And, uh, companies like Open Door do this really well, companies like Offerpad do this really well, companies like Zillow do this really well, like the giant wholesalers, they have created a funnel that is organic that ultimately have leads coming in unlimitedly.
But even if leads come to you, most investors throw away 90% of those leads. And why? Pace does something called monetizing those leads with creative financing. And most wholesalers ultimately throw 90 to 95% of their leads because they want market price, they're not educated, they ultimately have unrealistic expectations, they are not going to be able to close right now, but they need some timeframe. And Pace ultimately turns those dead leads into deals. You know how many people you have in your pipeline right now that you're not monetizing, that you're not making money off because you don't have this tool that Pace is so passionate about? So instead of ultimately throwing lowball offers to sellers and just relying on that, what he does is that he presents creative solutions. And this is where his superpower comes from. So for Pace, those leads actually mean gold. And this is what happens with creative financing in the way that he does it. So he is in a way that will help you overcome any objection.
Now, Pace has a system that is so objection-proof driven, which means that he knows how to talk to sellers and create a sales process that during the discovery call, you're able to fully understand the seller's deep issues and this deep desires. And when we're doing this, ultimately, we're taking responsibility on helping the seller as much as we can. And we can do whatever it is we need to do, whatever it takes in order to help the seller. And because we take such positioning into helping the seller in trying to ultimately help us get to a solution, he knows that there's a Pace process when talking to sellers. Actually focus on removing every objection possible or obstacle that would not allow us to finish the deal. So after he pitches creative financing offers, there's no objections. So there's no way that he can actually lose. Now, obviously, not every lead is going to be closed because you will not be going to be able to close everyone. But at least by adding creative offers, you increase the closing percentage. So if you used to close one out of 25, Pace will close one out of 15 or one out of 10. And this is what top wholesalers do. There is many ways to skin the cat. There's many ways to support the seller and help the seller get Dream Island. And Pace became an expert in figuring that out early on in the call. And this also allows you, as a wholesaler, that whenever you're dropping the lowball cash offer, you have another way to win. You have another way to monetize.
Look how many times, uh, have you heard of other people, wow, I'm closing deals on innovation and I'm making 15 to 20K racks every single time, or whenever I'm doing a sub-to wholesale, or whenever we're doing a seller finance wholesale, you're giving it to another investor because there's other investors that want the tap deal. And instead of relying on a cash offer, he finds a way to get to another. And this comes in clutch during reactivation campaigns. I actually posted a video some time ago about reactivation campaigns and how this will allow you to close more deals from the current pipeline. So for example, Pace does is a lot, whether that's his education business or whether that's his, uh, cash wholesale, novation, creative financing business. And he reactivates people that are in the pipeline already, sending them, sending them a text message, an email, and ultimately gets people back from the grave. The entire video breakdown, you're going to see it here in the link. But essentially, it talks about how we can get people back up by telling them that now we can offer them more than what we offered them in the past. We can get closer to full price, we can get closer to top, top dollar, we can get closer to the number that they want. And imagine how many leads are right now in your pipeline that you can say that to. And then ultimately, you can make some sort of deal out of that. Just think about that. It could be a lot. And once you send that to the seller, which ultimately wants, they want the best type of offer, you're going to be having more opportunities. And perhaps you can even close it on a cash deal because now you know how to remove objections. And this all happens because, uh, Pace actually has one of the best mindsets in the game. I haven't seen anyone in, in the education business whose mindset is so driven to helping people and actually figuring out a way to, to give the most amount of value. So Pace has a mindset that I call problem finder, problem solver. He not only solves problems, he also makes sure to find problems before they ever happen and solve those problems. He also has another mindset called the go-giver. He talks about this a lot. He makes you read the go-giver book. And the go-giver is you give, give, give without expecting anything back in return. As a matter of fact, this is part of my core value, not just because Pace actually did it, but because I believe I'm a core, I'm a go-giver at heart.
Talk about this in the system. So a beast lead management system would ensure that we have the best type of conversations, uh, with sellers. Uh, for example, here, if we have a process to get sellers on the phone and talk with sellers in a way where we fully understand where they are, right? We earn leads correctly, we are optimizing and and and doing reactivation campaigns where we know that we can get the most out of our pipeline, then you're going to be able to, and this is with automated SMS, emails, and so on, then you're going to be able to make more money.
So another thing that I covered right here is ultimately conversion coaching. Uh, so what Pace does really well is that he has a process for the offer call, he has a process for everything that he does and allows you to make more money. Pace's team does trainings every single day, and he builds out an acquisition team to keep scaling this way. And Pace's team makes sure that they do the big three, so which is daily sales training, qualitative feedback, and call reviews. And ultimately have an end-of-day report with data tracking. So he knows his numbers. He makes sure that he trains his team consistently and he creates a team of savage closers that know how to close deals regardless whether that's a cash deal or not. So instead of the lowball offers, present creative solutions. So like subject to, taking over mortgages without banks, seller financing, no cash, just terms, novs and wraps, so selling with financing attached, uh, we're having the end buyer to be the retail buyer. So this way, you can actually start making more money. If you want to model what Pace does, stop only making cash offers and ask sellers what's more important for them, ultimately finding their Hell Island and their dream island, which understand seller's gap. So now you can actually change it from price to actual results. And you can also have this offer put into terms or another thing such as novation. Another thing is follow up with every dead lead. So offer creative financing to those people. Have novations as your second most important tool because it's going to allow you to sell to retail buyers. Another thing you can do is work with Realtors who struggle to sell homes due to low equity. So if you partner up with those Realtors, and I'm going to cover this a little bit, uh, you can now monetize leads that no other people could ever monetize because they didn't know about this. So for example, a seller with no equity and a mortgage that nobody else would buy, ultimately Pace takes it over subject to and cash flows immediately. He talks about how his own property, he actually was able to acquire it this way. But because whenever you take over a property subject to or seller financing, you don't necessarily make money right away. And a wholesaling business ultimately needs cash and huge amounts of cash flow to succeed. You can still wholesale this type of deals to investors that do want it, or just focus on novations, with which we actually have a master class on novations that explains how everything works from A to Z. Go to my YouTube channel, you'll be able to. The last part is do reactivation campaigns. Ensure that you're talking with sellers that are already in your pipeline. You already paid money for those leads. So make the most amount of money out of those leads. If I was an evil person, I have literally hundreds of thousands of leads in my database that I could just run a reactivation campaign. And these leads are from our clients, and I could just monetize all of those. But obviously, we don't do that. We have a contract that specifically says we never they come from people that have already sold the product or the service for you.
If you have an army of people, you have a system that are doing the selling for you, which means that you have such a great product, such a great service, you actually take care of people. This becomes the ultimate machine. This is what Pace does really well, and it's called the referral-based lead machine. So Realtors, wholesalers, his students, educated people, friends, family, when they can't close a deal, they send it to Pace because they know that Pace knows how to turn those leads into deals. And this is only done by leveraging other people's time. You're leveraging one of the biggest levers that Napoleon Hill talks about, which is labor. The only way to master this is by learning specific skills. This is persuasion, sales, leadership. When you learn persuasion, you essentially are teaching other people how to build a business for you, how to get deals for you, how to do something for you. And this best skill that Pace actually has created is what gives him a referral lead machine. And this is what creates the entire thing. And this wouldn't be possible if he didn't have a high-performing brand. So it goes all connected. All these pillars go all connected together.
And how do you get to model this? At the end of the day, if you network with struggling agents and wholesalers, they have leads that they don't know how to close. I can guarantee you, go to the RIA, go to Facebook groups, start giving value, and then ultimately make them send you those leads. Persuade them that you are the best solution for those type of leads that seem unclosable. You can also run Facebook ads to retarget Realtors or retarget ultimately wholesalers that don't know how to, uh, turn these dead leads into money. And this will become a machine. For example, uh, one of the guys that we invited to our entrepreneurs, his name is Rich Wonders. He has a math class inside of our, uh, inside of our group. And I actually posted it on YouTube where he has a JV program that lets other people send him leads that turns into deals, and he gives them a split of the commission. And majority of his business actually has been created this way. This is one of the best ways to actually leverage other people's time. You become a master persuader, and you ultimately, uh, build a brand that allows you to do that. So this ultimately turns those leads into commission, and you get paid on deals that you never normally would throw away.
So another example, if a realtor can't sell a home because of no equity, Pace will ultimately buy it on terms. And that means that Realtors are also a valuable lead. If a lead comes in and it's a real estate agent that can't actually sell this house, you as a wholesaler that paid for that lead already, you can make something out of this. There's ways to actually monetize this. And we talked about this in the master class with Rich Wonders, actually. And I've covered this many, many times in my other videos.
At the end, this all comes down into conversion coaching. In my pillar four, if you don't have a way to coach yourself and coach your team into getting these dead leads into deals, now you're just leaving a lot of money on the table. But you're also missing a lot of opportunity, or essentially just losing money because you're not, uh, taking care of education, educating yourself and educating your team. You're not putting it in your daily training, you're not putting it in your feedback, you don't have a process for it. And it ends up being something that you could have done a lot of money. The biggest wholesalers in the space are already doing.
Now, hear me out. Even if you get free leads, leads are flowing. How do you actually close more deals without doing all the work yourself? This comes down to pillar four, automation. And as you know, most investors burn out doing all the sales work. But Pace built a trained virtual assistant team that handles the lead intake, the follow-up, appointment setting. And he ended up creating a company that just focuses on giving the service as well. But he knows that this is the only way to actually leverage himself and get his time back. So he not only hires people in the United States, but he also hires people overseas, people in the Philippines. He's built an entire army of Filipinos that allows him to actually take his time back. D66 Sack has not only built a team in the United States in his office, but he also leverages overseas labor from the Philippines. And he created an army of high-quality Filipinos that helps him with everything in his business. And he also has taught all his students about this using a company called Start Virtual. This is the exact same thing that Remote Latinos, another company that we created, but it focuses on Latin American talent. So Philippines is a huge country. I don't know if you know, but Filipinos has over 120 million people. 120 million people. That's crazy considering how many islands and how small these islands are. And there's a huge blue ocean on you using people offshore in Latin America. So since Filipinos are in a completely different time zone, now people in Latin America are in the same time zone as you in in the United States. They have EST, CST, and MST, and even PST, which means that you can hire people from Mexico all the way to Argentina, people in Colombia, Venezuela, Nicaragua, you name it. These people have the talent that allow you to scale a business. And the reason why is because you're able to save on payroll, you're able to save about 70 to 80% of what you would pay an American person. And this person has ultimate cultural affinity to what's happening in the United States and to your company. So you want people that know what's going on, talking with sellers, and they have perfect English. This is exactly why overseas labor is great. The biggest companies are already doing this, from Tesla, Amazon, Virgin Mobile, the biggest companies already hire overseas. I can't you also take advantage of this?
But let me, let me tell you that the only way that you can actually take advantage of this is if you actually learn leadership. Pace is one of the best leaders that I've actually have met. He knows how to influence people, he knows how to get people moving, he knows how to make people work harder and for longer hours. The biggest, the biggest books I've actually read about this, uh, it's been quite a few. But one of them is The Extraordinary Coach, which teaches you how leaders ultimately coach others and get the most out of others. There's another book that is Leaders Eat Last by Simon Sinek. This book will help you really elevate your leadership skills. You got to know what type of leader you are. And if you are going to be an autocratic person, if you're going to be someone that wants everything controlled and you the only way to do things is you probably you're going to struggle a lot in hiring. Even if you're hiring people overseas, people overseas are going to be loyal to you, they're going to cost $5, $4, $6 an hour. But this doesn't mean that you get to treat them like garbage. This so-called virtual assistant, I'm so tired of this term. Virtual assistants are actual professionals. Well, in Latin America, these professionals that are lawyers, engineers, they're applying to jobs to work in your small company. So if you have a shitty attitude and if you have a shitty type of culture, why would this professional that went to your university, is probably smarter than you, is going to take action in actually in actually helping you build this, this company? So you have to level up yourself in leadership in order to do that. Now, in the Philippines, uh, there's schools for for virtual assistants, which is a little bit different culture because they're so used to it.
And the last thing is building out systems. So systems is my game. I came from an engineering background and I learned to automate a lot of different things. If your company runs without you, and you have little to no people, that means that you have built amazing systems. And a few, uh, a few platforms that you can actually start digging into to build really good systems. Uh, for example, sales, use Go High Level. There's a link in the description below that talks about using Go High Level. You can use that link, you can create amazing workflows that allow you to automate different things from, uh, follow-up, nurturing systems, reactivation systems, AI, and so on. And this allows you to do, uh, what used to take 10 steps, now it is five steps, right? So it gets you time back. And and now all of this is ultimately using the lever of technology, right? Because you're ultimately using automation to do SMS, email follow-ups, voicemail drops, AI, all of that. Another, another one that you got to use is Zapier. Zapier allows you to automate from app to app. So if a lead comes in and you want to fill out a Google Sheet automatically, or you want to send out a notification to yourself, Zapier allows you to do that. A more advanced platform is Make.com and Make.com is cheaper, but it's more advanced. So you need to learn how to do that. If you're a tech guru, you're a nerd like me, go ahead and use Make. It's cheaper. It's cheaper. It's a little bit harder to use, but it's cheaper. Uh, and I created an entire video that talks about all the tools and all the automation that we use so that, uh, I'll little bit.
Right, this also comes down into our first pillar on how to close more deals using online marketing, which we got to equip ourselves with the best type of CRM. We use Go High Level, uh, it's called REI Rocket Force. There's other CRMs that I also vouch for, such as InvestorFuse. But this allows you to create lead management workflows. And as you can see here, these are recording phone calls and or voicemail drops, and conversations that can actually happen automatically without you ever being in place, right? That's one type of system. The other type of system is using humans. When you start scaling and you start getting very busy, I actually recommend a book called Buy Back Your Time by Dan Martell. And this book talks about how to build your team on a ladder effect. So there's a way, there's an order on building your team. And he says that the best team member that you can ever hire at the very beginning is called an executive assistant. And at the very beginning, you can actually have a Swiss army knife type of person that could be an ace card for a lot of different things that you can do. This is what it did when it started growing from $25,000 a month to $65,000 a month. I actually hired an ace card and I built really good systems and automations, technology so that you can start automating everything, automate your marketing, automate your appointment setting, automate your dispo, automate your contracts. But this cannot happen if you don't create a standard operating procedures for them and playbooks that they can actually follow. Imagine coming in, someone comes in into your company, and there's dust, there's no onboarding process, there's no first week initiation process, they don't know what's going on, they don't know what to do the first day, the second day, or follow something. Now, you do want to hire people that are experienced, but people are experienced in other companies and maybe other fields, not in your company. So if you want a company that you can actually control, tell people how things are done inside of your company, I'm going to share with you an actual document that I use that allows me to set proper expectations with my team from the very beginning. I created this document called the Expectations for Employees and Co-workers for myself. And this is not the only document that I give to my team. Now I have a culture deck, which is a presentation about the culture. I have an expectations of the role. So I want to show, I want to show them the role, I want to show them the expectations. This is how it goes: role, responsibilities, requirements, and results that they have to meet. This is in an, this is in a scorecard. If you don't create a scorecard for your people, you're going to lose them. Now, this document right here, uh, it, it, it talks about how I am as a person, is my expectations of you as my colleague. So we, I talk about how I, for example, if anything is blocking you or your team, or you find work unfulfilling, let me know immediately. Do keep my strengths and weaknesses in mind. My strengths are this, so ideation, command, execution, integrity, and over-delivery, vision. And some weaknesses, so my passion and energy may confuse you for lack of empathy or aggression. I believe in going all in and giving it all at all times, live career, relationships, business. So there is one thing that is for sure, I'll make you think bigger and will challenge you because I genuinely care. So I put down together all these expectations that they should have about me, especially whenever you're starting out, and should have about the company itself that allows them to know kind of like what the principles are, right? And we talk about how committed I am to lead by example, the opportunities that are in here, core values, right? The read the books that I recommend to read and so on, about strategy, about leadership, about marketing, about sales, but product, analytics, pricing, all self-awareness. Like this is me and how I would be successful if I was them. For a full breakdown on how to onboard someone successfully, I actually created a video on YouTube, uh, that talks about the onboarding process of a successful company. So you're going to be able to see it here, and it's a video that I put together very specifically for people that still struggle on keeping people, struggle on building systems, struggle on standardizing things. And there's also another video that talks about how to create a standard operating procedure, with a lot of people call it in different ways, I call it an SOP. I'm an engineer, so I ultimately have built SOPs and followed SOPs. I even followed SOPs in, in KFC. Literally, KFC has SOPs for kitchen intake, kitchen outside. And it talks about all the step-by-step. So if you want to model the same way that Pace Morie does it, hire virtual assistants, but label them as employees. Actually, they're employees. And try to hire someone that really fits your culture, not just about the price, like $1, $2, like doesn't make a lot of the difference. Maybe at the beginning, yes. But if you hire someone from Latin America and they're in the same time zone and they know how to communicate with you, you love having these people. Like go ahead, you can go to app.remotelatinos.com and find them yourself. So hire these people, learn how to qualify, these people, interview these people, being able to become a better leader so that these people can schedule calls for you, so that people can give you your time back. Ultimately, also use automation for, uh, different things, connecting apps, doing SMS follow-up, reactivations.
Even though Pace dominates organic marketing, he supercharges his lead flow with paid advertising. Pace says that he used to use only advertising to run his business whenever he had the franchise of Home Investors or We Buy Ugly Houses. And as we know, We Buy Ugly Houses has a tremendous brand, but they make their franchises to use paid ads to grow. Now, he had a bad experience in this, but when it comes down to actually scaling his own businesses, Pace has always been in your face in social media, running paid ads in YouTube, running paid ads in Google with SoToo, running paid ads. So I'm talking here about intentionally attracting people that have a huge need of your service. And there's different types of, uh, type of leads that would come in from paid advertising. We got the Google lead, and Google lead has a different type of leads coming in. People that are doing the search for ages, they haven't found someone truly reliable, people that just started doing the search, people that have other competitors in mind. There is also the Facebook ad leads, people that are just starting doing the search or behaving that they actually need help. So they're actually reaching out to people, doing these conversations because, as you know, phones listen to listen to you, whether you like it or not, your phone is listening. So therefore, they're going to go be targeted by an advertising. And now, oh my God, like someone can actually help me with this problem that I have. And there's different levels of awareness that Facebook ads have, of every single lead. And this comes down on how motivated or what deep of a motivation this person has. Because if you capture someone that recently did a Google search, that is a highly ultimate ultra-motivated seller. But you need to be able to have the proper system to get a hold of these leads. The other one is YouTube ads. So YouTube ads ultimately allows you to use the platform of Google and just have different placements, whether that's a YouTube that people are watching, a YouTube video that people are watching, and you just pop in there before the ad starts or during the ad. And this way, you can ultra-target people that are doing some sort of intentional search. Or there is the news feed, there is the short form, it's called Shorts, that you can also pop, similar to Facebook. And Facebook and Instagram, which are the same, are in the same company called Meta. And this ultimately helps you capture high-intent leads. So with paid ads, Pace has scaled his businesses tremendously. He uses the trifecta: Facebook, Instagram, YouTube, and Google. I've seen him also run ads on TikTok, but not as this trifecta. When you use the trifecta, it allows you to scale further because imagine if Google is turning every single dollar that you put into Google into $5, $4. Well, if you learn how to capture these people that are getting motivated from Facebook and are in the initial stages of motivation, and you know how to close those leads by having yourself process, this will allow you to close more deals. So it turns $1 into four, five, six, seven dollars back. Also knowing how to capture those people that are doing search online, but capture them on Facebook and Instagram, or intentionally want to sell their house, need to sell their house right now, this week, using Facebook, using Instagram, and YouTube Shorts, you're going to make a lot of money because you're not only going to be capturing people from Google, but you're going to be capturing those people that are off the fence or that are also doing search. And your ad will build trust and credibility by doing a proper lead generation process. And the reason why I mention Home Investors here is because Home Investors kind of screwed Pace Morby whenever he was working as a franchisee. They made him, they made him spend a lot of money, and he wasn't making a lot of money because they have everything controlled. It's a franchise that controls all the advertising. So he had to pay for every single lead, and those leads were expensive. And guess what? At that time also, he didn't have any any control of whatever lead generation he, he wanted to do. So he moved into doing his own thing. And I know that Brand Daniels ultimately helped him do this as well. And this is the best way to actually get motivated sellers. One of the biggest things you can do with Facebook, Instagram, and YouTube is you can retarget people that are off the fence. You can also retarget people that you have spoken in the past by feeding off the data. So retargeting nurtures sellers who didn't convert right away. And also allows you to build a brand on the go.
If you want to model what Pace does, run, run. If you want to model what Pace does, run Google ads and have a highly powerful targeting that focuses on exact keyword search and phrase match. And if you've been a fan of Pace for a long time, you will know that he has actually created one of the most creative type of ads and funny ads with Jam Damji. And the reason why it works so well is because he's actually capturing people that have a pain point, have a big desire, and he's making the ad so creative, he's making the ad so unique that gets a lot of attention. And the only currency that you actually need in marketing is attention. So when you run the same type of advertising to attract motivated sellers, to attract clients for yourself, whether that's a cash deal, whether that's an innovations deal, whether that's a creative financing deal, now you're going to be able to get more deals on contract, uh, by having a higher conversion ratio. You're not going to have to cold call hundreds and thousands of times just to get one deal. And you're going to live a more peaceful time just targeting people that actually have a high intent. If you follow up for more than six plus months, this will ultimately work in your favor. So having retargeting ads ultimately helps you convert long-term people after the opt-in. And this retargeting ads can be done by uploading the data, all the emails that you have of all the leads that you have generated in the past into Facebook and Instagram. And this creates retargeted campaigns. So what you can do is create a video that shows video testimonials, that shows credibility of some sort, case studies, Google reviews of your sellers that you have helped.
The past and this will reactivate people that maybe know about you, right? Or will remind them that you exist. And once you do this, you're educating sellers and why you're the best person for this job. You can also do different types of videos, such as comparing other uh companies, um, with yours and how you're more beneficial. You have a better offer. You can also run reoffer campaigns using reactivation, retargeting, retargeting ads.
I explain all this process, um, in my YouTube channel and I actually have a free course that talks about how to run paid ads properly, where you ultimately need to leverage a lead generator, right? Uh, need to choose the right lead generation channel. So choose one, okay? And that could be, uh, Facebook, Instagram, Google, or YouTube, right? Um, then you have to make sure that you're stabilized the channel and have the right expectations for every single channel. So what's its cost, what's the cash conversion cycle, what's the potential cost per, uh, acquisition, and what is the process that you need in order to convert these leads?
You optimize the channel only by giving feedback loops to the person that is running your marketing, um, or this, this means that every single time that you get on, on a phone call with a seller, or even if you don't get on a phone call with a seller, you will get feedback back to marketing. You will present your recording, you will see how the conversation goes, what type of seller that was, and this gets you the ability to give feedback so that every single time that you have a new ad, uh, you're tweaking those campaigns to deliver more leads that are qualified, marketing qualified leads by putting more money into the right advertising.
So, uh, another thing you got to do is track your KPIs. If you don't know your cost per lead, cost per appointment, cost per contract, cost per offer, um, cost per deal, what's your lead to deal ratio, right? What's your lead to contract ratio, your cash conversion cycle, what's your raw, what's your ROI? You're going to just throw something on the wall to hopefully it sticks, and that's not how advertising works or any company. What gets measured gets improved, and what ultimately gets feedback on, you will get better at.
So the last five things on the last thing, the next thing is you got to learn how to scale a marketing ad spend. It's not just putting another dollar in to get the same amount of, uh, dollars back. So if you're putting $1 in and in a small scale, it gives you $10 back, at a larger scale, it can decrease to $5 back. So if you're spending, let's say $1,000 right now on ad spend and it gives you $10,000, right? Because that's the, the deal size, that doesn't mean that whenever you're spending $10,000, it will give you $100,000, which is a 10x. It means that, okay, it, there's a proof of concept and there's also something called diminishing returns, which means that the more money you're putting into advertising, especially when you're running, uh, Facebook or Instagram or such, you're going to have diminishing returns.
So instead of making $10,000 before, let's say now you spent $10,000 a month, it's going to give you $50,000, right? And the delta is 40k. So you have a profit, 40k, right? You didn't do $100,000, but you did at least $40,000 more than you would ever do if you didn't do, uh, if you only stayed at $1,000. So what do you prefer? Staying at $1,000 per month on ad spend and only making $10,000, or going to $10,000 and making $50,000? The, the, the answer is pretty obvious, right? You want to spend more to get more, but don't expect that the return of ad spend and return of investment will stay the same at scale. And this is just a clear example. That's why a lot of people be like, okay, I'm scaling, I spend more money on, on every single lead, and it's just not, it's not giving me the same amount of return. Like, I'm going to go switch it up to see if there's another agency that will give me a better thing. Now, that's just not how it works. At scale, things will cost more, and therefore you have to accept that at least you have to get to a 4x or 5x in return, okay?
You got to know also the mistakes, uh, that people do, uh, getting leads on their contract. So lack of technology, bad speed to lead, lead. If you don't have an amazing client experience or seller experience, forget about it. Um, avoiding having a real connection. This is part of the sales process. Addressing objections and concerns beforehand, before they ever come in. So these are obstacles. Ultimately, following a structured sales process, uh, bad persisting with lead nurturing, leveraging social proof and third-party stories, and failing to track and measure KPIs. All of this, if you don't do that, it's very hard for you to be even successful with paid advertising. And that's why, um, Pace is so freaking successful with his ads because he had created a system and he has a great team that who supports him, great team of meta buyers.
So now you know how Pace gets free leads, he closes more deals, he raises capital without banks, and ultimately persuades people to do whatever it is that they want. But what makes this system so unstoppable is not what you really think. The real secret behind Pace's lead system is that he actually owns every single part of the transaction, which means that he has a vertical integration. Pace doesn't just own properties, he owns the companies that are behind those properties, like his title company, Complete Title and Escrow, which handles all closings and also offers this as a service to every single student and person that is affiliated with Pace. His other company, Equity Assurance, which protects every single creative deal, also allows other people to get protected as well, which makes a lot of money from the deals that he's already getting. He also owns Start Virtual, which is a virtual assistant company based in the Philippines that is run by his business partner Cody, and that way he has full control of the entire process from click to close. So instead of relying on third parties, he actually controls every single way of the transaction to make more money and ultimately grow his wealth. How crazy is that?
So what if you have a vertical integration that your brand is so powerful that it ultimately feeds all of this? That's leads, that's deals, that's feeds, that people are paying, um, that is ultimately virtual assistants that they're hiring, that is all of this feeds into Pace's wealth and his empire that he has created because he has a $100 million lead system. And not to mention that he also owns a company called Top Tier TC that takes care of everything TC. So he offers a service that is transactional coordination and even teaches people about this. So he's also has his business partner that allows other people to learn about the TC opportunity, and this is another income stream. So if you want to model what Pace does, work on your brand from day one. This allows him to attract all these free leads, which eventually helps him create a vertical integration. Whenever you scale your business, if you have a brand, you will know that other people will start asking for a service. As a matter of fact, I'm actually curious why he hasn't started a marketing company. Perhaps we should talk to him about that and partner up. But having said that, if you really want to make an impact and dominate a specific niche, have vertical integration, just like Pace does.
At the end, this is only possible because Pace's brand and sub-to brand has built one of the best communities in the real estate space. You can literally ask anyone that is in the real estate space, which one is the most loyal community that even scares you sometimes because you have this army of people that if you speak bad about the community, well, you're against thousands of people. I'm in his paid community ever since 2020, and I was one of the first thousand, first 500, and now it's over 10,000 people. How crazy is that? That community has built an amazing amount of opportunities for people in the United States. As a matter of fact, they even have a big event that happens every so often, every year, called the Squad Up Summit, and it's so popular that over 3,000 people go to these events every single time, and they have speakers like Cody Sanchez, Jordan Pon, and so on, big people because they know that this brand actually provides leads. It provides a lot of free marketing, and if you're part of that brand, that's what's going to happen.
Now, one of the biggest things that I've been doing for years now is to create my own brand and sub-to. And Pace allows you to create your own brand within a brand. It is much easier to actually grow within the community by delivering value to all these people. And for example, me, I became a sub-to leader. So I've been running events every single month in South Florida, where it's events that happens every single month. I think it's the beginning of the first week on Wednesday, and we covered topics like ending or lead generation, leverage, operation systems, and we have different speakers in the last few months. Um, and this allows me to help other people within a more powerful brand like sub-to. Even though I have a good brand, you guys are listening to this channel, and so far it's been a long video. I am trying to fuel also my brand with this brand and with this community. I post very, very consistently inside of the sub-to community, giving free value, literally not selling anything, but giving free value. And the same thing in the creative financing with Pace Mori. I just give free value. That's my strategy.
If you want to model this exact same thing, show up in social media, start providing value, educate people, learn how social media works. This will attract partnerships, team members, it will attract people that want to work with you, it will attract people that want to give you money because you are a credible person, you are a genuine person. Now, if you're not a genuine person and you're a piece of, please get outside of this video, but I know you're not. And then ultimately, just document your journey. When you document your journey, people will feel attracted to this because a lot of people are in your same shoes, and they need to feel identified with something, and they need to feel like someone else is also doing this with them. And I know a guy, Kevin, that he did that inside of sub-to. He literally documented all his journey in, uh, sub-to, showing every property that he would get under contract, showing all the sales skills that he was doing, teaching other people. And now he is a student that he became even part of, uh, sub-to, sub-to brand or sub-to ads. Uh, which reminds me, when I started, I had an ad that started Mr. Pace Mori and Jay. They both are beasts. I don't know if you guys remember that ad, but I was part of also an ad because I was very involved in the community.
The other thing that you can do is start a podcast or attend podcast and interviews and give free value. Uh, this will allow you to grab other people's audience and essentially share also your audience. Or whenever you share in other people's audience, this audience now knows you, and they'll eventually follow you because they have heard you from other podcasts. So attend as many podcasts as possible. Make sure that these people are also sharing you the content so you can repost it in social media. And the last thing is start a small investor group. The more people you help, the more money you make, and the more impact you're going to give. And also start a small investor meetup. This can be in your city, in your county, because the more people you help, the more leads you get, which means that the more money you make, and eventually it becomes all this $100 million lead system that I just talked about in this video.
So if you thought about building a system exactly like this and put together every single process to generate leads from inbound marketing where leads are coming to you, I put together a breakdown step by step, a video in this link that explains to you how everything works, and I'll be giving you a free course also on how paid advertising ultimately works. And if you're ever interested in working with a company that will hold your hand and do a survey to you, generating you inbound leads where now you have the freedom to scale, this is us. Click on the description below and make sure to watch this next video that talks about how to scale a real estate wholesaling business to $100,000 a month. Subscribe on the channel. Remember to give me a thumbs up. Tell me a comment whether you liked it or not. I hope that you enjoyed this video. Again, share this with someone else.