Tired of the fix & flip/wholesaling business, chasing sellers, and trying to convince them to take your weak low ball cash offers?
Ready to invest in real estate the easy way?
Do you see the economic downturn coming and realize the flipping business as most people do it now is dead?
Follow me to safety…
You don’t have to have deep pockets and spend five figures a month on marketing to do all the deals you want to do.
It has less to do with how much you spend on marketing, and more to do with how good of a “transactional engineer” you are.
Because when you can turn ANY motivated seller lead into money, whether they have enough equity for a cash deal or not, you are now able to convert a MUCH higher percentage of leads into deals and profit for yourself.
So you don’t have to compete on the top 1% of most desperate seller leads, you just need a seller who’s flexible.
I rail against the wholesale and fix and flip business because it’s short sighted. It’s for people who don’t understand the difference between long term and short term capital gains.
It’s for people who would rather hustle 24/7 and build a J O B for themselves…
Instead of building a BUSINESS that operates with or without them, and builds long term wealth for the owner.
The “ugly house” business is the one that 98% of “investors” are chasing out there, throwing a ton of low ball offers out to sellers, with no regard to their situation or trying to solve their problem, pissing them off, chasing pennies on the dollar, beggin sellers to take their offer.
Deal junkies looking for their next deal, like street junkies looking for their next fix. Super high competition, and for what??
Meanwhile my clients and I are quietly making a KILLING over here, engineering win-win-win-win-win deals with nearly every motivated seller that we talk to. And again, my marketing budget is basically 1/10th of what all these other successful ‘wholesaler’ guys are spending to generate leads.
You’ve heard of 80/20?… Where the top 20% of investors are doing 80% of the deals out here?
Well here’s another inconvenient truth for you: in the ‘ugly house’ business, its not really 80/20 anymore, its more like 95/5 or 98/2.
Meaning, if you’re not on the top of the pile, you’re fighting over the scraps that are left behind by the bigger players, the entrenched good-ol-boy network of cash buyers, rehabbers, and wholesalers in your area, and the new venture-capital backed homebuyers.
This business is not about how much you can spend in marketing.
It’s not about how big of a discount you can get on the house.
It’s not about the latest piece of software that’s gonna run your business for you.
THIS IS A PEOPLE BUSINESS… ITS A PROBLEM SOLVING BUSINESS…
It’s a business where you can do immense good in your community if you play it right.
This is a business where ANYONE who knows how to talk to people and put deals together can make an amazing living.
But that’s the trick, isn’t it?
Knowing how to talk to people and put deals together. Because no longer is it all about the PRICE.
It’s about the TERMS.
There are a thousand ways to buy property, and only one of them requires the buyer to come up with all cash to payoff the seller. And yet the entire ugly house business is engineered around this one, microscopic view of real estate transactions, brainwashed by the big banks and the realtor cartel.
Did you ever see that movie, The Founder, the story about how Ray Kroc built McDonalds? Do you remember the part in the movie where Ray finally discovers that he’s not in the hamburger business, but rather the real estate business?
And that small shift in his thinking is what caused him to become one of the richest men in the world.
Well let me give you a similar epiphany right now, you are not in the HOUSE business. The house is simply the thing around which we create financing.
Think about it. How do all the banks have the big skyscrapers downtown? Because they’re playing the FINANCING game. Not the HOUSE game.
Well what if YOU could start getting smart and start being the bank? And what if you could create tremendous good in your community and get paid well for it at the same time?
This is my reality. I don’t do rehabs. I barely do wholesales. In my opinion both are small money.
I can pay whatever price the seller wants it doesn’t matter! As long as I can get favorable terms.
Because think about it: What if you wanted to buy a $250k house, but the seller wanted $1M for it? Would you take it?
98% of investors would say no right off the bat. But what if the seller was willing to finance it for you with nothing down and $1 per month until paid? Then would you take it?
You better say yes!!
Now, I realize this is an extreme example, but I’m trying to make a point. When you become a ‘transaction engineer’ as I am and my clients are, your eyes are suddenly open to a new world of opportunity.
A whole world of houses that you can buy and sell for profit that 98% of investors aren’t even looking at!
I have almost ZERO competition from investors. In fact, several times I have come in behind another investor and 9/10 times we get the deal. Why?
Because we make a better offer to the seller.
Whether that means paying a higher price or maybe it has nothing to do with the price or the amount of cash the seller gets, it’s something else totally unrelated that solves the seller’s problem better than a simple, brain-dead cash offer that some algorithm came up with, with little regard to the SELLER as a HUMAN BEING.
If you think it’s all about cash for every seller you talk to, you are way off the mark. And when investors make it all about PRICE, now all of a sudden anybody can get into this “wholesaling” business.
Hence this huge influx lately of hundreds of thousands of “wholesalers” flooding the market. Low barrier to entry. Money chasers. They don’t know any better I guess.
The good news is that they’ll all be out of business here in the next few years with the economic downturn pending, and then we can all get back to our regularly scheduled programming.
Remember – when the market tanks, there are no rehabbers, and if there are no rehabbers, there’s nobody for wholesalers to sell their junkers to. The ugly house business takes a nosedive.
Truthfully, I realize the new wholesalers really mean well. I actually do get deals from them. ( Not cash deals)
I go to the wholesalers in my market (and realtors too), and ask for all their junk leads (all the seller leads they couldn’t get 40%+ equity on) and I do deals with those and shoot them a small referral fee.
Like I said, this real estate business isn’t about being a wholesaler, fix and flipper, or a lease option guy or some other means of pigeon holing yourself into doing just ONE type of deal.
This is about being able to take whatever seller situation comes at you and create profitable, win-win deals for you and the seller, with LITTLE TO NO RISK to you.
If you want to minimize your risk so you can operate more cooly, and sleep better at night, here’s the secret: if you don’t write big checks, you can’t lose big checks.
When I buy a property and take title I’m usually out about $1k for closing costs. Maybe less. Periodt. And depending on the property the seller may even pay the closing costs.
How much risk do I have in a property if I have zero cash tied up in it?
And even if I did shell out $1k for closing costs, I’m going to very quickly collect $5-10-15-20K+ from my buyer. Then there’s the monthly cashflow, and the back-end equity.
So if I pull out $15K from a property I have $1k in and still own the property and it’s putting $300/mo net in my pocket what’s my ROI? _________________________.
MAJOR KEY: WE DON’T BURY MONEY IN REAL ESTATE.
If you think you have to save up a bunch of money for a down payment on an investment property, you really not woke.
Burying money in real estate is what the banks and wall street and the money managers might want you to do, and it certainly is “conventional wisdom”. But doing that is NOT the smart way to make money in this business. It’s the slow way. It’s the way wall street makes money off you so of course that’s what they want you to do.
They push the idea of retirement when you’re 65+ working like a dog until you’re too old to enjoy the fruits of your labor.
You know what I think about that.. It’s time to LIVE right NOW!
Your freedom is everything. Security means absolutely nothing – it’s an illusion. Security is prison, that’s why they call it “maximum security prison”
What you want is FREEDOM and I’m telling you, if you follow conventional wisdom, or think you have to physically fix up a house in order to profit from it, you are working with blinders on and not in the good way.
I run my business from my desk. My only job in my business is to make decisions. And there are only a few key decisions I have to make, the biggest two are: 1. which houses to buy (i.e. which offers from sellers I want to accept) and 2. which buyers to accept for each house. Everything else I have either delegated or automated.
But it’s extremely difficult to do that in the ugly house business. You have too many moving parts and too many outsiders trying to tell you what to do. (contractors, appraisers, realtors, mortgage brokers, bankers, home inspectors, etc. )
In my business we don’t have to deal with 90% of that. I don’t have to listen to an appraiser telling me how much I can sell the house for. I don’t have to listen to any realtors telling me I have to pay all cash for a property. I don’t have any home inspectors telling me what I have to do to my house before I can sell it.
My business is SIMPLE and I am the MASTER.
I can run it with pen and paper if I want to. And that’s what allows me my FREEDOM.
Freedom in my business, freedom in my life. Freedom to go wherever I want, stay as long as I want, and do whatever I want when I get there. Family time, etc.
This is what the real estate business the right way looks like. If you can’t do this business “part-time” you’re not going to be able to do it “full-time”.
And honestly this is just one of my income streams to fund my other passions in life.
Anyway, if anything I’ve said here resonates with you … if you realize you’re in the wrong side of the real estate business… if you want to build a business that does deals for you instead of a job where you’re constantly chasing the next deal…
if you want to build long term wealth and make chunks of up front cash at the same time…
I have some free videos unreleased to the public, which I think you’ll love. There is nothing for sale in them just give me a follow on the gram and dm me ‘secret video’ and I’ll send them to you:
kaleb’s instagram
(If you don’t have instagram follow the facebook group with the same process:)
Real Estate Entrepreneurs
If you’ve read this far we’d probably end up being good friends if we ever met at a party or something. So I hope you check out the webinar I shared here, maybe this is the day you finally achieve wokeness and put your life on a whole new track to freedom.
if not, I still wish you the best of luck in your life and am sending love your way.
,
Kaleb
The Death of Wholesaling & Rehabbing Tired of the fix & flip/wholesaling business, chasing sellers, and trying to convince them to take your weak low ball cash offers?
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