DEAL STRUCTURE REWIND: There's always an exit strategy!

Hey guys, Chris Prefontaine again with another deal structure video. You might be seeing this on YouTube. If you're not, go ahead and jump over to YouTube and make sure you subscribe. If you're on YouTube now, make sure you hit the button below and subscribe, and go ahead and review the rest of the videos, obviously, okay? Now, here's a bit of a unique situation today. I'm doing this video because I always tell you, and you see in all our videos, that our philosophy in our buying and selling entity is what? To buy and sell. Getting the buyers cashed out. That's always our philosophy. But is it reality that 1 or 2 a year out of 30 or 40 or 50 deals with us has a problem, a life event? Sure, it happens. We got a call from someone that pays their rent regularly but said, look, it's just— I'm gonna summarize the call for you. They said, it's just overwhelming, it's too much now. Now they had leased this house for almost 3 years, 2 and 3/4 years, and gave us $20,000 down. Wow. Non-refundable. And then call at the end. It was gonna come up, I think it was coming up this, as of the time of this filming, in a few months. And they said, we gotta leave. I even went as far as to say, look, we'll put it back on the market and we'll try to get you some of your deposit back, just 'cause I felt badly. Well, they skipped their last month and they just left. So life happens. So what do you do when it happens? See, I've never done the videos to say, okay, well what happens if they do leave? What happens if they get a divorce? What happens if they have a death in the family? What happens if they have a life event? Here's what happened, okay guys? I think you'll find this super interesting, and it's a great lesson. The overall lesson is don't panic if a buyer leaves. It's no big deal, frankly. There's always an exit. Always, always, always a way to get out of it. The original, original deal was a sandwich lease, and I'm sorry everything's so high above me, but I gotta fit it all in for ya. We tied it up with the seller, sandwich lease at $264,000 plus $36,000 in cash. If you're not presently an associate member doing deals with us, Understand that there's an agreement that's been custom written that has a clause in it that does this, and if you're not using it and you're out there winging it, you could lose 20 or 30 grand overnight. So please get yourself into our associate program and do some deals with us. We had it sold to this tenant buyer that left at 319. This was an expired listing originally at 300k. So just to give you a sense for what we did here, we marked it up to 319 or 319.9. They defaulted, they left. We put it back on the market with a realtor. Why? The seller, great guy to work with, said, look, I don't wanna extend it. I said to him, do you wanna extend it? We'll do another one, or do you wanna just get out of this thing? He said, nah, I wanna get out, Chris. I want my $36,000 cash. I said, okay. We put it on the market with a realtor, my nephew who's in a different state, Massachusetts, 'cause that's where the house is. We tried for about a week or two by owner. Nick had 4 or 5, 6 realtors go in, 4 or 5, 6 buyers go in. We didn't pop it. Gave it to my nephew as a realtor, and one day you get a full price offer for $350,000. $350,000. Sold. One day. Boom. Now, because we started the mortgage here, and the specific language in the custom agreement says what? We will pay— the sales price is what? We will pay off your mortgage at closing, financing, and give you $36,000 cash. What does that imply? Pay off the mortgage. That's our sales price is pay off the mortgage, $36,000 cash. Will this 264 be less 2 and 3/4 years later? Yeah. I got a new payoff today. This is actually outdated. It's not 247. It's 246 and change. That's the payoff. Plus we owe him 36. So we're at 282. We sold it for 350, guys. Less a commission. So it's actually, we're gonna net 332.5. I think if you do the math on that, that's about $50,500, call it 50 grand. Now, here's the other thing I wanna talk to you guys about. I'm literally gonna go over this on our private mastermind call with all the associates, so if you're seeing this, you will be seeing this if you're an associate after the fact. This is what I want you to see the bigger vision on, whether you're with us or not right now. You need to be with us, but if you're not, understand that once you parlay and you build up enough properties, we carry 55 or 60 now. At any one time that haven't cashed out yet. Once you build up enough of those, you can have, we will have right now, one or more closings per month for the next 5 years or more. That's if we just stop gathering properties, which we're not gonna do. We actually keyed it down a little bit, but we're gonna keep getting properties every month. We're just pickier. So how cool would that be for you to create payday 1, create payday 2, keep doing it over and over again, but then 2 years out, for some of you a year, 2, or 3, depending on when your cash outs start happening, have closings every single month for payday 3s, and they usually range between $35,000 and $100,000. This one happens to be about $50,000. Very standard. So, a little bit different for deal structure, but I want you to see the nuances. You know, there's a whole chapter in our book, What Can Go Wrong? Well, what do you do when it takes a side turn? This is a great example. You capitalize on it is the answer. So, We got the $50,000, let me go through a little bit more profit for you. We got the $50,000 on this sale, we got payday 1 which was $20,000, that's $70,000, and the mortgage was expensive. His mortgage here was like $1,814 and we only got $1,900 on a spread, so we made, big deal, we made $85 a month for 2 and 3/4 years. That's gone, we had to clean the house before we sold it, so figure that's gone. We got $20,000 up front, $50,000 in the back, $70,000 deal, 2 and 3/4 years. Now, coincidentally, last thought, is $70,000 about average? Yep, our average right now for all 3 paydays is $78,000. If you go on the website and look at deals done by our associates, by Claudia, by Don, by Dave, I'm thinking off the top of my head, by Mike, they're running anywhere between $55,000 and $105,000 right now. Pretty cool. So get yourself into the associate level. If you're seeing this on YouTube, subscribe so you don't miss these videos, and I very much look forward to working together. Thanks, Chris. Thanks so much for watching that video. You know, I'm gonna try to come out with more and more deal structuring videos so that you know exactly how to navigate the sometimes tricky waters of doing deals all on your terms. That means no cash, no credit, no chasing investors, none of that. You being able to navigate on deals. Now, how would you like to do those deals on your own like clockwork every single month, eventually one a week? How would you like to do that? How would you like to be putting those 3 paydays in your pocket that Consistently. Well, there's one way to do it if you haven't done it yet, and that's to jump on our Quantum Leap System home study program. It's right here below. Click the link, grab the QLS. If you're serious about making this year your breakthrough year, you'll be able to do the same deal structuring that we're showing right now. The big difference is instead of watching, you'll be putting the dollars in your pocket. Hey, be sure to subscribe below as well so you don't miss any of these videos. Look, I don't know if you're going to take action on the QLS. You should right below here, but if you don't, Definitely don't miss any of these videos. Subscribe below, and I look forward to seeing you on the future videos. Take care. Thank you.