Transcription
I always start with the end in mind, right? I'm always thinking when I'm making an offer or evaluating a deal, what can I do to make this offer, this deal attractive to my buyer? Welcome back, guys. I think this is video seven in the series. I've been here with Joe all day long, recording about how to build a land flipping business, how to make money flipping land. It's kind of a little bit of a hidden secret. Not a lot of people know about it. If you've watched up until now, you're gonna have a really clear picture on how to do this business because Joe has really like pulled back the curtain and showed exactly how he does his business. So thank you again, Joe. It's been really fun doing this with you. On this video, we kind of want to bring it all back full circle and talk about some of the different ways that you can sell your deals. Now, hopefully, if you followed all the steps, you found a market, you found a way to find the buyers, you found a way to find the sellers, a way to come to an offer price, how to make the offers. And now, let's say that you've gotten that great deal, you got that contract accepted. Your your numbers right. Now, on average, about 1 out of 130 offers you make is going to land a good deal. What if it's one out of 50? That's still, it's still amazing. Yeah, that's phenomenal because you can reverse engineer and you can get to where you're doing deals every single month. Yeah, and that's fun. So now, Joe, share with us on this video some of your favorite tactics and techniques to then get these properties resold because the goal here is to flip. We're not, we're not really holding any. The goal isn't to hold this land. You can. Yeah, you can make great cash flow because most people when they're getting started, let's just, I'd rather make a quick, I'd rather you make a quick nickel than a slow dime. Yeah, I agree. Yep. Because we're all about flipping here. At least that's the strategy we're focusing on with with this series. So what are some of the best ways for for someone to quickly resell these deals?
I always start with the end in mind, right? I'm always thinking when I'm making an offer or evaluating a deal, what can I do to make this offer, this deal attractive to my buyer? And this is why we started this whole series with, know who the buyers are, know where the demand is. So I'm looking for, if I sell this deal, um, who's gonna buy it and what are they going to be willing to pay for it? So I'm thinking in the back of my mind, if I'm trying to sell this for 20 and there's other vacant lots that are for sale for 15, it's probably not going to work. You're going to sit. Yeah. So I'm always thinking in the back of my mind, what, what's going to make this deal attractive and sexy to buyers? And so that's price, number one. So, um, when you've got a good deal and you're in it, if you've picked the right market, these these deals are easy to sell. You'll sell them very, very quickly. You'll get a ton of calls and you'll learn kind of the good areas. You know, there's certain areas in Florida where we're doing deals right now where there's a certain species that's kind of endangered called The Scrub Jay. Okay? And you just need to know. So we've gotten deals under contract and found out there's Scrub Jays there, which we need some plant. No, I think it's a bird. I don't know. It's a bird that nests in the ground, I think. But, um, so, you know, you can still sell those deals, but you just have to make sure there's like a couple thousand dollars that the buyer needs to put into the deal to relocate the The Scrub Jays or the turtles or whatever. So there's nuances you're gonna learn about land, which is why I use Realtors. So I again, I'm thinking end in mind. So my favorite source, favorite way to sell deals is with Realtors. We talked about it before. You can't afford not to use a realtor in my opinion because they have access. They can put your property on the MLS, which has the widest audience of buyers. I don't pay them until they get paid. I mean, until I get paid, they don't get paid till I get so closing. Yeah. So they only get paid if they bring me a buyer. So they're going to sell the property for more than what I would to sell it on my own, and they're going to sell it faster than they would if I try to do it on my own. And and the statistics show that with on market, even after paying commissions, you're still going to make more money because again, you just set it when you go on market, you're going to get the most eyeballs on your deal. It's going to be any other system, any other website, any other thing because nothing gets more eyes than on market because once it goes on the MLS, it gets grabbed by Zillow, Redfin, Realtor.com, Trulia, and all the other sites. So now the entire world sees this deal. Yeah. Now, some people try to save money and they'll put it on Facebook Marketplace, Facebook groups, which is good. You should do that. But the problem is that it's so noisy out there. You get a lot of leads. Almost ever, I don't know if we've ever even sold a deal from Facebook. You're gonna get other wholesalers trying to reassign your deals and all that kind of stuff going on.
Now, one of the challenges with on market is typically that would mean you buy it, then resell it. But you mentioned in the series, hope you guys remember this, about how you get a pre-marketing clause in your contract. Yeah, which gives you the right, the seller's giving you permission to market and sell that property. So you could technically uh get the contract for $4,500 with your pre-marketing clause. You could turn right around, not buy it yet. You got a 90-day close. Market it for sale again. Make sure you can do this in your state, in your market, and do it right. But then you could relist it for, you know, $16.99. Yeah. And and sell it and do an assignment still, right? Couldn't you? Yeah. Yeah. And this is why this whole thing with wholesaling being illegal and immoral and fattening in states like Oklahoma or Illinois, right? This is they, whatever you, we could argue that until we're blue in the face, right? But like, what, what they care about is that you're using a realtor, somebody's getting a commission, and everybody's fine. Yeah. It's, it's a, it's a giant cartel, is what I think. The NAR, they're the largest lobby in Washington. Yeah. Right. Well, anyway, so okay, fine. Use a realtor. You get, you need to outsource the selling side anyway. Why not outsource it to a realtor? And that helps avoid all of the licensing, you know, wholesaling without a license stuff. Yeah. Sometimes you do need to bring money and close on the deal before you can list it. Um, but it's not that big of a deal. We're buying these things for $4,500. You can put that on a credit card. Um, I don't. But make sure you pay it off right away. You could borrow, you know, how easy it is to borrow $4,500 on a deal at maybe 40 loan to value where they're 60 equity. Um, you know, the, the best thing that can happen for your private investor is you default and they have to take the property back and make more money anyways, right? So it's very easy to find private money. Uh, that's a whole other subject. But I like to, you know, always say, dig your well before you're thirsty. Start building your network with friends and family of people that are willing to partner with you on a land deal, right? So if you've got some private money, you may need to close on it. But, uh, I, I list it with an agent. That's my favorite way to sell my deals. I also, we do have a, since we do a lot of deals, we do have a subscription to land.com. They're the, they're the websites like the number one website, the people go to list properties on. So, but it's, it's an ungodly amount. We pay like $750 bucks a month or whatever to list about five to ten properties on land.com. So that might make sense if you're doing volume. Volume. Yeah. The other thing is, what about LandWatch? Back online. That's owned by land.com. Oh, so you have to pay to post on there. Yeah. That's the 700. Yeah. Okay. Now, the cool thing is, sometimes what I tell beginners is, find somebody else who's already doing land deals in that area and call them up. Say, hey, I think I got a deal here under contract and, uh, I'm new and I saw that you, you know, do a lot of activity here. Would you want to partner on this deal with me and we'll just split it 50/50? Guess what that guy has now, or gal? They have buyers already. They have the cash. They can close on the deal. They have the buyers. They already are paying that $700 a month to land.com. They have the Realtors. They have somebody that can go take pictures and so then you can partner with them and you just split it 50/50. So that's a great way to to sell deals once you get them under contract. Um, so putting on land.com, there's other little websites that we sometimes use like landflip.com and landmodo.com. So those are some other sources. Of course, there's Freedom Saw. I mean, sorry, uh, Facebook. There's Facebook and there's Craigslist. Yeah, you can put properties on Craigslist. But all those sites, would you, are those when you actually take down the property and buy it, or can you still try to sell on there while you're in contract? Yeah, all the other sites don't care at all that you, you might have to check a box that says, you know, you have it under contract. Yeah. Um, but those other sites don't care. They're kind of like more of the for sale by owner resources. Now, make sure you don't ever market the property if you are doing a wholesale, like a true assignment. Remember, you're always marketing your contract, not the property. Yes. That's just wholesaling 101. You know, you're going to violate brokering rules if you do if you're marketing a property, not a contract. And this is important too. When you're wholesaling houses or land, you have to have an intent and the means to buy the property. Yeah. So you really do have the intent of buying it, and then you have the money to buy it when you do buy it. So yeah. And then when you sell it, you're selling the contracts. There's a lot of these nuances, but again, all of that is kind of eliminated when you use a realtor. Yeah, all that goes away because you have a represent, you have agent representation. So that you're totally right about that. And one thing I love about this, just in general, is we talked, we've mentioned this a few times, but when you're dealing with houses, now you're dealing with sellers that own these properties, and you introduce a whole another layer of consumer protection and, you know, treating sellers the right way. And, you know, home investors got in so much trouble over elderly people. All of that is is happens with houses. None of that's going on with vacant lots that someone's owned for 10 years or whatever, right? So you just eliminate, again, it makes the flipping part of this, you remove a whole layer of emotional distress, seller going on here. Yeah. Yeah. Which is great. If you're dealing with a different seller, it's just easier, less competition.
Let me say a few things about selling because this is really, really important that a lot of beginning investors forget or ignore. Don't think it's important. Getting good pictures. You've got to get good quality professional photos. Not drive-by iPhone. Not Google Street View or Google satellite image. Those are okay, but I'm telling you, we've had properties that we, you know, in a hurry, we put it out there and we just have Google Street View screenshots. We have satellite. We even draw the fancy lines, you know, around the lot, and it just trickles calls in. Go to Thumbtack. You've heard of Thumbtack? Yep. And, uh, we find somebody in the area that will take professional photos and drone footage, and we'll like overnight instantly two, three, four times the number of calls just because we have real pictures in there. And it's important when you're taking pictures, you get the blue sky as much of the blue sky as you can get. Some high-end drone footage, you know, a couple hundred bucks. Well, well worth the best money. Yeah. Just like houses, it's important if you're rehabbing them to stage them, at least some of the main areas in the in the house. So it's kind of that way with land. You got to get good pictures. Can't underemphasize, overemphasize the importance of that. Yeah. And then, uh, the other thing I'll say is it's helpful to have a website. Almost I almost want to say it's more important maybe for land to have a selling website than it is for houses because a lot of these buyers are repeat buyers and they're going to go to your website to see what else you have and join your buyers list. So there's a lot of good websites out there. I use Carrot and there's a, there's another resource I use for, um, called Pebble. It's got some land websites, or you can just, I've done this many times. I, I find a website I like and I hire somebody on Upwork to go build me a website similar to that one. Yeah. We offer them in Flipster. They're really clean, really slick. You know, that's a subscription software for flipping. But those sites are really great because you can, you can create a gallery and yeah, and it makes you look professional. It makes you look, you can market some incredibilities. Yeah. Oh, and they also, this happens a lot. They'll go in and look at how many sold properties does this guy have? No, if you're new, don't worry about that. Like, you can still, you still have credibility. Don't worry about not having a bunch of sold. Well, we do that with Flipster is, uh, you can check a box and it'll automatically build out a sold gallery. Yeah. That's just to make you look more professional. Now, they weren't your properties, but it doesn't say. Yeah, that, but it shows, you know. So getting good pictures, real important. Getting it on a website is real. I have some, I know some guys that, um, they just hate websites, so they don't get them. But they'll put them all on a, on your Facebook page. So they'll get a Facebook business page and then list all their properties on there, and that's what they use as their website. That's their gallery. That's a free easy way out. Yeah. Yeah. To do it. That's great. So, um, what else can you say? It's important to build a buyer's list. Um, once you start going, you start doing more and more of these deals, just like houses, you're going to have buyers that want more properties like that. And so you can call them, text them, email them, hey, I got a new deal, you interested? One of the best ways, we talked about it before with those letters, right? Remember that desperate motivated buyer letter? That's cool. So handwrite these. I gotta sell my property urgent, please help. I gotta sell it now. Phone number. Crumple those up, send those to buyers nearby, and that works really well. One final thing I'll say are neighbor letters. So sometimes we send a letter to the neighbors saying, hey, um, I'm your new neighbor. We just bought this vacant lot next to yours, and I'm selling it right now. I'm going to be selling it for $20,000. Since you live next to the property, I'd be willing to give you a little discount if you want to buy it for $19,000. Then, um, call me right now at this number. And then we attach a plot map, which shows them their property and this property. Yeah. Um, so we sold not a bunch, but we sell some deals with neighbors. Sometimes we'll skip trace and call the neighbors saying, hey, we got, here's something next to you. Would you be interested? Yeah. Um, yeah, that's it.
You know, there's one thing before we wrap up here that I I really want to maybe say with with this whole series so far is, uh, the way that Joe's laid this out is like amazing for getting in the business and started, starting to do deals right away. But I hope you realize that there's a, there's a huge opportunity with land and there's where you can go with this is massive. And I'll just share with you a couple of personal examples. You got, yeah, you're telling me this. Yeah. So I did a, um, I do, I do a lot of, um, spec building and I do, I like to do luxury new construction. Um, and so I have a lot that I bought pre-COVID in in Paradise Valley. So it's a one-acre lot. We tore our house down. I've done some content on this deal and we went ahead and we got the plans, architectural plans done, and we went so far as to get a permit. Now, that took me about a year to get my demo. We demoed the house. I did, I did architectural plans and we submitted. We had to go back and forth, got permit. But now what I did is I did a massive value add on this lot. And we actually ended up selling this lot and I made almost a million dollar net profit. Well, I bought the lot for a million and I sold it for a little over two after I net it out, you know, I paid $75,000 at the architect and we 20, 30 grand or whatever for the teardown and then my permit fees. But my point with sharing that is, and I was in the deal for a while, like over a year, but land is something where you can also value add. Oh, yeah. I've got a deal right now. I was telling you about this is a deal I'm in right now. We found this deal on PropWire. I'm partnering with a student, but it's a 45-acre parcel and we bought it so well that we could have just kind of turned around and resold it, just relisted, resold it. Super motivated seller, got it for a great deal. But I sat down with, uh, Matt's name, and we said, I said, tell me all of the different options I have. I'll invest with you on this deal. And we laid out all these different scenarios, and the best one was, let's split it out into like nine lots. Let's put a little road in. Let's get a survey done. So we're spending some money. We're gonna, we cleared out a bunch of, so you can get, you can get in there and people can see what they're getting. And this should be, you know, we haven't sold it yet because I'm, we're almost there to where we're gonna start selling lots. But if we hit anywhere near our numbers, this is a half a million dollar net profit deal, right? It's so, it's dirt. And it's, yeah, and it's right under everybody's noses. No one even saw this. We picked up the lead on PropWire. He cold called and got this deal. Um, and is he looking for land deals? Or yeah, just looking for deals? Yeah. No, I think so. I don't know if he was even looking for land. Okay. When he did that, when he was doing the lead gen. And we're looking at some other deals because this, this guy's really smart kid and figuring this stuff out. But my point with sharing that is, you know, just like I think with any real estate, there's no ceiling on what you can do with land, man. I, I got so many stories. Um, one student I know is was struggling, you know, they didn't have a lot of money for marketing and, uh, dealing with a little, uh, insecurity, not afraid to get on the phone and talk to sellers. So what she's done is she goes into an area, finds who the buyers are, calls them, and just to kind of build some confidence level that she knows she's got somebody behind her, right? And she'll just go and text for sale by owners, realtors, and sometimes if she finds a good buyer with in a good little pocket, she'll start texting the owners from her cell phone. Still not talking to anybody. Still not talking to anybody. And by text, just negotiates a deal. Says, hey, I see you've got this vacant lot. Um, I can pay X for it. And she's doing a deal every three days. That's incredible. Doing a deal every three days. Super huge deals. Yeah, she's just making quick two, three grand. Yeah, wholesale assignment fees, you know, with these things. But yeah, Isn't that cool though? That's awesome. It makes me, I get so excited that I get to help people do this kind of stuff, you know? And there's the big deals, which sounds awesome. But I think most people, if they just did one, made two grand on a deal, maybe did a couple of those a month, what a difference that can make in people's lives, right? I totally agree. And you start somewhere. So you've laid out where to really start and make this super simple to get into the business. Maybe over time, you build into doing some big deals like that where you're actually, you know, splitting land and clearing and all those things. You just partner with somebody. Partner with somebody. Yeah. Do that. Yeah. That's what Matt did. My student. He just, he just said, Jerry, you know, I actually, what I did is I interviewed him about some deals he wholesaled, and they told me about this deal, and then offline, I'm like, tell me more about that deal. He tells me about it. I'm like, if I funded this project, would you partner with me and you, you handle everything? He's like, are you kidding me? He's like, a 20-something year old young guy, new in the business, and here we are in this amazing deal. So yeah, you can partner with people and start doing big deals if that's where you want to go with this.
So guys, this has been fantastic. Again, thank you, Joe. Be sure to get his toolkit. It's in the, the link to that is in the description. It's going to give you his offer system, uh, some of his direct mail, his contracts, all these resources that are so valuable to be able to get started in this business. And I just, I want to put this out there too. On our last video, when you download that free toolkit, you're going to watch a really quick video of Joe and I, and we're going to invite you on to a, a more advanced training, which is going to show you how to really get Joe's system to do this business and really scale it and get to the, I hope, get to the point where you're doing deals every single month and, you know, really hitting your financial goals. And that's exciting too. So be on the lookout for that as well. And, uh, Joe, are you up for, if you're up for it, let's, let's plan on doing more videos. You don't have to come all the way to Puerto Rico. Maybe we can do Zoom. Or wait, I'd love to come back. Okay. We are going iguana hunting tomorrow. So maybe if you just come back for that, that'd be worth it for me. Yeah, super fun. So thank you, Joe. Really appreciate you. And, uh, and guys, again, we would love your feedback. And what Joe would be willing to do, I think is, if you guys leave a lot of comments and a lot of questions about things, what we could do is we can compile those questions and maybe get on, do something and really go through and make sure that we're hitting all the things people have questions about because this might be a brand new thing, and you might have a lot of questions around land. Yeah. And if you're open to that, maybe we could do some follow-up where we totally, it's hard to answer some questions in the comments. We'll try our best, but sometimes it's better to like jump back on and do maybe more detail and drill down on some of those questions. Yeah. While we were just finishing up, I thought of some things that I should have maybe spent more time talking about. So let's show you some more videos. Yeah. Yeah. I'm sure you guys are going to have some questions. Uh, perfect. Type them in the comments down below. Let us know what you think. If this is like, yeah, you know what? I, I even like the haters out there that that give us bad comments. I, we learn from that. I do. Yeah. Yeah. We'll also put Joe, your social, maybe your YouTube channel. You're doing a lot of content on YouTube teaching how to do land deals. So guys, get into Joe's world as well. Follow his channel, start learning from him. A wealth of information, as you could tell in this series. So willing to give and such a good teacher and able to explain these these strategies in such, such vivid detail. I love that. I've been trying on my YouTube videos to do more live seller calls. Those are more realtor calls. They're not as good as yours, but I don't have a video editor. I think my calls would be a lot better if I had your video editor helping me with my videos. Yeah. But, uh, yeah, it's fun, man. Getting, I love doing that on the calls, on these live YouTubes of just calling realtors, calling sellers, and it's fun. Yeah. That's great. Yeah. It really helps people see the business too. Yeah. Good. So thank you guys for sure. Appreciate you. Be sure to subscribe to the channel and we'll see you on the next video. Thank you, Jerry. Thank you, everybody.