Scaling Up!

SO  a lot has been happening!

Remember the man we drove up 4 hours to see? We got that house under contract after following up with him and we were so close to selling it. Literally 2-4 thousand dollars off from the investor who wanted to buy it.

We also had a JV contract from someone we connected with on facebook. They had a property from a close family friend, and we had the buyer. Everything went great… until the buyer actually went to see the property and said it was nothing like what our “partners” described it as.

Let’s just say they are no longer our partners.

Next, we hired a mentor! This is where things got better. His name is Eric. Anthony and I went to an event that a popular wholesaler on social media was at. At the event I noticed a young man who seemed very familiar, and then I realized I have been following him on social media. He was with his brother, whom I had followed afterwards as well. His brother was offering mentorship and I knew they had found a great system in closing deals, so I wanted to work with them.

We told Eric about how we have been doing things so far, and found out we were pretty much off. He was telling us about his marketing strategy for cold calling, and how his returns were great from that.

Anthony and I have been paying a lot of money for direct mail, and we have not been getting the same results at all.

We have been trying many different strategies to make it work, but weren’t consistent with any of them because our returns just weren’t what we wanted them to be.

So I spent many many hours over a week interviewing different virtual assistants, until we found our perfect match… GRACEL.

Gracel is an extremely dedicated, motivated and ambitious young lady from the Philippines.  We work together as friends, and get along better than I have ever imagined we could get along with an employee. I have been training her for the past few days as in 5 days she has already set appointments for follow ups with 15 homeowners. This a greater return than we ever had before.

We are also upgrading to a new dialer soon, and growing our social medias together. We re established an instagram theme (and I am re estabishing my personal account to add credibility as well). We are working on a new logo, gained over 50 new facebook followers, and relaunched our twitter.

Anthony is doing a great job with acquisition, and he is currently learning about creative financing strategies for leads that have specific situations that wholesaling cannot help with.

I am also looking forward to doing acquisition, and eventually we will upgrade Gracel to the position as well.

In the next few months are goals are to hire at least two more callers, and social media managers as well.

Starting up is finally beginning to feel like scaling up!

Young Real Estate Professionals of New York…or in short, YREPNY

Right after Anthony and I came back from our first house viewing, we quickly changed and were on our way to a big networking event… Talk about moving on quickly!

It was the Young Real Estate Professionals Event of New York, or as we like to call it- the YERPNA! I unfortunately missed the one in November because I had yet another tutoring lesson to go to that day ( but soon enough, I will be out of the part-time tutoring  gig and pursing this full time). I was actually very upset I had to miss it because it sounded very attractive to me when I found this event on meetup.com. Young Real Estate Professionals? 100+ attendees?! YES! An opportunity to meet more like minded young entrepreneurs such as ourselves. Anthony and I are relatively young compared to others in the real estate field (20&21), but I choose to look at that as an advantage rather than a disadvantage. I mean common, isn’t is attractive when a young, hungry and ambitious millennial who is in their early twenties, already runs a business? I think so…

(side note: we had to run to a store to get new shoes for me because I had a minor accident with mine, which made me look like I was wearing elf shoes…)

ANYWAY

We arrive to the YERPNY event and Anthony introduces himself to Mike, the founder of the event who he has a great relationship with. We got there just a little before the event started, and were with approximately 10 other people. It was a very festive looking, bar-styled event. Very nice. Immediately, we start introducing ourselves to people who were there, after just hanging up our coats. In a matter of minutes, we noticed more and more people coming in. I can see why Anthony found this event overwhelming the first time! THERE WAS NO ROOM TO BREATHE! It eventually got packed with people. Young people, older people, all people. This is awesome.

We met lot of people. The environment was amazing, and we collected a good number of business cards from investors and other people in the real estate industry. We even met a very interesting man who has a project in the works of creating a building… a MASSIVE building OVER a river. I can’t wait to see it built, because I would love to live there myself!

The last contact I made was a golden one. In the most casual way, he introduces himself to me and says he works with an investment firm that has 23,000 properties total, and looking to invest in 19,000 in 2019… So they pretty much in anything and everything…

yep. No big deal at all… except this was the most impressive thing I’ve heard in my whole entire time of being in Real Estate!

 

All in all, this was my favorite event yet.

 

Our First House Viewing

Anthony just flew back from Miami from the Art Basel festival and the next day, we were already on our way to view our VERY FIRST house together and get it under contract. Before Anthony left to the festival, he received a phone call from a motivated seller. Someone we have called a few weeks ago in Upstate New York, about five hours away from us. This was perfect for us, because we had just hit a slump, realizing we were not actually finding wholesale deals, but offering investors other investors’ deals.  Then we received a phone call from this seller, saying he really wants to sell his house, and move to Florida with his girlfriend. He has been trying for a long time and he hasn’t gotten anywhere with it.

After that call, we remembered that this is what we’re all about! Helping distressed sellers like him sell their homes.

We booked an airbnb in upstate New York, because we knew it was going to be quite the travel for one day if we drove for a total of 10 hours. We arranged everything we needed, in preparation to getting our first deal under contract.

We found an attorney, a title company, and got our contract ready. We did our due diligence, researched the property, found its tax records, and found the comps in the area.

The owner’s original asking price was $80,000, but he knew he wasn’t able to sell it for a long time, so he told Anthony that it is negotiable.  Comps in the area show the house to be worth at around $40,000. The owner also said repairs for the house are around $5k.

We left at 8:30 in the morning and drove for four and a half hours. Finally, we arrived at around 1 pm, as we pull up to a house that looks very nice on the outside. It was very snowy up there compared to NYC! Anthony and I were excited.

We meet the owner, and got to know him a little bit. He told us he’s in the car business, so he buys and sells cars. Similar to what we are learning to do, just with cars!

He gives us a tour of his property starting with his garage. Well a garage is a garage, right? Can’t expect from it anyway, but it did need work. Moving into the house, unfortunately wasn’t much better than the garage. It needed a lot of work.  Like, a lot. Like, four times the amount he originally said it would cost.

He needed to fix floors, his bathroom, his kitchen, basements, doors and… well, let’s just say it would probably be best to tear the house down and built it back up.  The owner said he has been trying to hire some workers to fix it up for him so that he could sell it at a higher price, but all of his workers pretty much gave up on the property. They left their toolboxes and just never came back. But hey,  I don’t blame them.

We talk to the owner, and tell him that the repairs for the house are at least going to cost $20,000, and he replied, “well it depends how you want to fix it up”, to which I replied “appropriately”.

Then we go back to his kitchen and start talking about the offer we have for him which is $42,000. He asked, if that included his mortgage, to which we replied no, but he will still walk away and fly to Florida with a good amount of money in his pocket.

He said “no way, I’m not taking a low ball offer like that”

We told him, will all due respect, that this is not a low ball offer, and it actually a bit higher than what the property is actually worth, taking all of his repair costs into consideration.

“I’m the car business, I know how this works, and my house is worth way more than that!”

We told him that we did all of our research  before driving up there for four and a half hours, and we know the situation that he’s in, and would love to help him sell his house faster so that he could finally move to Florida with his girlfriend.

He refused, and said that he was not desperate to sell, and still wants to hold on to the property and sell it for more. If it hasn’t sold yet… what makes him think he’s going to sell it for more?

We thank him, realizing that there is really not much else we can say, and drive away. At first, we truthfully felt a little disappointed. After 5 minutes of us processing what happened, we were back and thankful for that experience. We knew we did everything we could from our part, but that seller was not as motivated as he said he was, and there was just only so much we could do to help him if he doesn’t want to be helped.

We then drove on our way to the AirBnB to spend the night in a very cozy cabin in Mechanicville. Although we were expecting to celebrate getting our first property under contract in the cabin, we still had a wonderful time and planned out how to keep going.

This was one of the biggest lessons of our career so far.

 

Team Work Makes the Dream Work!

“Now THAT’S what I call a networking event!” was Anthony’s first reaction after last night’s REI event.

This event was about three hours long, and it was designed specifically for networking and pitching, and it was big! Lots of investors, agents, and developers all arrived to this event.

I finally made it to a productive networking event! Finally! I was especially excited because at this stage in our game, we are beginning to look for deals as well. So we have around 17 “star investors” (which is what we call investors who are experienced, and we definitely see ourselves working with in the future), and we were ready to pitch a great New Jersey property we found to someone at the event, and if not, to one of the investors we already met previously.  We are always continually growing our cash buyers list, because the more people we have in our circle, the more open the opportunity becomes. Although we have met many investors already, and we are moving forward, we will always be going to REI and networking to meet someone new.

I met an investor who works in the New Jersey area and I was ready to pitch the property we found to him. He wasn’t interested, and I kindly asked him why so that he could explain to me what he looks for. And he made it clear that he enjoys multifamily units more than single family homes. I took a note, thanked him and smiled.

It was nice seeing a few young faces as well. Anthony and I are looking to grow our personal network with young entrepreneurs with similar mindsets and interests us as well, so we are always on the look out for new friendships and companionships as well.

Usually, at an average event, we make two to three contacts. However, last night, Anthony and I met nine to ten contacts EACH, giving us around new 18 contacts, and about ten new “star investors”!

Although still a little disappointed that we weren’t able to pitch our awesome New Jersey deal in public, we were nevertheless very happy with the outcome!

Separately we are successful, but together we are unstoppable!

#teamworkmakesthedreamwork!

 

Thank You, Next!

Finally.

It’s finally my turn. Anthony has been to the last few REI events without me because I had lessons in the evenings on Mondays and Wednesdays (at which,  apparently ALL the good REI events are scheduled) , but it was finally my time to shine! I grew so anxious to finally get out and network at all these amazing events Anthony was telling me about,  and his enthusiasm was extremely contagious. It was Tuesday, I didn’t have an evening lesson, and I’m finally going to SECOND REI meeting.

It was a freezing night, and I had to walk about 15 minutes from the subway to the event, and I made it to the event just a tad late because my commute from Staten Island was a little longer to that area of Brooklyn, but I didn’t worry too much, because I knew the event was a three hour one. Plenty of time to network! Right?

NOPE.

It was another meeting of people who were learning about real estate investing for the first time, and the presenters were providing a free class to give an insight on the real estate course they are offering. Now, the course was great, and the presenters were wonderful, but I knew I wasn’t there for that, since I am already in the process of wholesaling myself.

No big deal, I’ll just wait for the end of the presentation, to start networking with people

Then a five minute break is announced.

5 minute break? I thought it was over.

Well, just as I stood up for the 5 minute break to at least introduce myself to one investor, a man who was sitting behind me introduced himself to me first, and I was more than happy to learn why he was at the meeting. I made to him why I was there, what I do, and what my goals are.  He explained that he actually isn’t interested in Real Estate investing at the moment at all, but that he wanted to come out to see what the advertisements he has been receiving in his mail were about. It was nice meeting him, he was very friendly, but I had to continue meeting people. That’s why I came.  The only problem is, he didn’t seem to want to want to stop talking to me, although I know he noticed that I was looking over the shoulder a few times to look around for other people I’d like to speak to. For those whole 5 minutes, this man was talking to me about government jobs, stocks, and pretty just about everything except investing.

“Do you know any investors?”, I asked.

He didn’t. And just like that, 5 minutes were up.

Back to your seats, now it’s time for the second part of the presentation. I looked at the time, and it was already getting late. I spoke to one person, and he wasn’t an investor, or someone who knew investors. All the people in the room were there not because they are already in the industry, but because they wanted to learn about it. And there was very little opportunity to network with individuals in general.

It was time to go.  I was a little disappointed, but I wasn’t going to let that discourage me. After all, we are still just beginning coming to our REI events, and I was still able to connect with some great individuals on social media in the mean time.

Thank you, next!

Ugh Introvert

Yes I am without a doubt an introvert. It’s 100% fine to be honest to admit that you are; if you are one. People mistake me for one because they see that Im very outgoing but I worked hard to be at that point; putting myself in a lot of uncomfortable situations to grow on becoming more social. Real Estate wholesaling is ALLL about knowing the right people, having the correct network, and going out to meet them. Just another task in my way to accomplish my goals, but your reason WHY should be the reason you are willing to run through a brick wall to achieve your dreams. Honestly and Im still always working on becoming more social and asking what I want and am looking for. That was todays instance. Without a doubt the biggest real estate networking event Iv been too. Thank you to the hosts for throwing the event which they do once a month and I got the chance to introduce myself to two of the hosts. Overall Im very happy I showed up and managed to get a few great contacts which Im eager on emailing back as soon as I have finished writing this blog haha. But the thought haunts me thinking I know it could have been done better, with the amount of people that showed up and the few people I added to my network; it definitely could have been done better. The room started to get packed and hence groups were formed. I then sat by the bar feeling a bit overwhelmed. Ugh Introvert. The only people since sitting by the bar were to people attending the event so I introduced myself; even if they were not the people Im typically looking for; talking to them is needed for myself to proceed forward. Maybe Im just being hard on myself but I feel like I should since there is no shortcut to success. You must always be proud of your small victories because those small victories will then become your big ones, and even though I could have introduced myself to more people; I did manage to acquaint myself with a few great ones. Thanks for reading and to the next event we go!

If it was easy, everyone would be doing it

Now let me just say, this event was definitely out of the ordinary. You will for sure come by plenty of surprised so when wholesaling real estate; expect the unexpected. Going to these events you expect to participate in networking events for you to find the people you are looking for. Not stumble upon on actual meeting among real estate agents discussing about a property in Florida. Don’t get me wrong, everyone was extremely nice so please don’t worry about running into disrespectful people. They offered water and had a great environment. What was bothering me the most was wondering if i can provide great value to these individuals. I don’t seek for my benefit only, I focus on the people I work with benefits FIRST. Knowing that I can help them in any way I can. Thats where I felt most stuck at during this meeting. The host of the meeting is extremely generous and took down my email because he may know a person that is interested in the offers Im able to present which are discounted off the market residential properties. Every event is crucial because you never know who you may run into, and it’s important to simply show up every time to grow your business. With real estate, I absolutely love it and I strongly and truly believe this will bring you a life that many people dream about; having time and financial freedom down the line. Simply always be persistent and believe in your path and i promise you will get where you are trying to be. I haven’t even closed my first deal yet and I believe this deep in my core. Im an avid reader, starting to build a massive collection on books because information is priceless. I cut out listening to music and listen to entrepreneurial podcasts and audiobooks. My goal for these blogs is to provide value to my viewers for them to see that they are not alone and throughout all of the struggles and doubts; we’ll NEVER quit and working until we get to where we want to be. To the next event we go!

Bigger and Better

Honestly, it really does get better after each event. This event I believe was the most packed with the hosts being able to gather 20-30 people at a venue in Williamsburg. Let me say that now I definitely know to bring a notepad to gather up information more effectively. As a wholesaler Im supposed to figure out the investor/buyers criteria’s of properties that they are interested in. Their investment strategies, price ranges, areas, property types, etc; and after talking to a few it started to become overwhelming since I was not able to memorize it all. Its not a problem though since Iv managed to acquire everyones business cards; but still felt a tad bit unorganized. Lesson learned: Bring NotePad! Other from that, I felt it was a really successful event where I managed to get a handful of contacts that expanded my network and therefor my business. Im extremely eager to provide value to whomever I do business with and show them great deals in the properties Iv acquired. Thank you so much to the hosts and to everyone that attended.

Up and Coming

Coming into our third Real Estate Investors event I’m growing to love it more and more. Not ever knowing what to expect coming into these events; only hoping to network with really awesome people and to learn new things. Thats exactly what has happened this event once again. I have always been the type of person to always preferring to show up an hour early rather than 5 minutes late; In this case I was 15 minutes early. Coming in, I was welcomed with open arms and smiles; as well welcomed with pizza and beer. The event was about how to build cash flow so listening to the whole presentation was extremely informative and thats where I would believe investors would be too to learn about cash flow. Needless to say I’ve picked up a few contacts that are excited to see what deals Im able to offer.

One of the 5 Rules of Stratospheric Success

Waking up on a cold rainy day was the day of my next Real Estate Investor event. Thinking “I wonder how many people will show up now” debating my own attendance. Something kept going across my mind that it’s usually on days like these; that you really don’t want to miss out on opportunities, because they present themselves when you least expect it. As i entered it was a causal bar for a pure free networking event for hard money lenders, contractors, real estate attorney’s, etc. The next best news is that it was free!! For some reason I first believed it would be hosted at an auditorium setting. But the atmosphere at that event was very comforting and welcoming which felt really nice. The host of the event was extremely kind and genuine, first time hosting a networking event and it ran very well; I wouldn’t have guessed that it was her first time hosting it. A core value I believe in is “provide people value first, and think about profits second”; in the book “The Go-Giver” they state how the secret to success (well a part of it) is to simply give. And how theoretically anyone can be successful, because anyone can give, and especially when you give others value.

Continue reading “One of the 5 Rules of Stratospheric Success”