My Wholesaling Client 4X'd to $100K/Month (Here's Exactly What We Fixed)

So one of our clients is hitting back-to-back 6-figure months and we only spend about $5,000 to $8,000 per month on Facebook ads. So he presented to my community on how exactly he's doing it. And in today's video, I'm going to talk about the things that we fixed, how we fixed it, and talk about the marketing, the sales, and the KPI to pretty much just copy this into your market so you can have the same results as Eduardo. And I'm going to say that you're going to be able to do this because he is a gangster, but If you stick until the end of the video, you'll be able to take some takeaways that you can implement into your business on how we run the ads, how we run the sales process, and how we track the data to pretty much scale to whatever our goal is, whether that is $50K a month or $100K per month. We have a system of how to actually getting there. And if you're new to the channel, my name is Fidel Guajardo. I've been in real estate for the last 5 years. I've closed more than 300 wholesale deals and pretty much paid every coach at every agency before we developed our method. So what we do is we teach investors how to own their inbound marketing channel where you own the ad you know exactly how to call out motivated sellers so that you get way better cost per lead and cost per deal. Because in the end, wholesaling, it's about netting more for the money. So we teach wholesalers how to run the marketing, how to run the sales, and how to scale based on profit without the fluff. So stick to the end of the video and I walk you through the entire presentation so you can copy this into your business. So I want to give you some context on Eduardo. I've known him for a few years and he was stuck at $30K to $40K per month. And just in April, he hit $110,000. We spent like $6,000 that month on ads. And then in April, he hit another 6-figure month. So before we talk about the success, I want to talk about exactly what was broken. So pretty much before we started working together, he had no repeatable sales process. Everyone was just kind of calling and just talking out of their butt without a consistent script. So if you don't have a consistent script where you know exactly what to ask, how to ask it, and why, and you train your team on those things, you won't be able to scale because you don't know exactly what is working. The other thing was they had no attribution. So with the marketing, they were doing a lot of direct mail and cold calling. So we fixed the ads with inbound on Facebook, which I'll walk you through exactly how we do that. And before, he wasn't spending enough money, but he had to skip trace the data to do the cold calling and the direct mail. So he had to do a ton of outreach and a lot of legwork to talk to people, and he had to go through a ton of leads before they actually got a contract. But we were able to fix that with the marketing. And then also, they were not tracking the KPIs, so they didn't know how to reverse engineer their goal because they were not tracking the KPIs, which I'm going to walk you through exactly how to reverse person engineer, whatever your monthly goal is, into actionable marketing spend, leads, appointments, and offers. So the first pillar that we fixed was the inbound marketing. So like I said, we run Facebook ads primarily just targeting motivated sellers. And if you have tried ads before, most people will blame Facebook and say like, hey, it doesn't work, or it sucks. But the truth is that the ad style is a problem, not the platform, which I'm going to kind of go over what we do, right? And then if you have run with an agency, they pretty much run boring ads that are static and super generic. Sell your house fast for cash. We don't do that. So our method is for it to be simple, trust-based, pain-based conversation style ads where we are targeting foreclosure, divorce, inheritance, problem properties, and anything that tells us that they're motivated sellers. We're putting those ads in front of 'em to make sure that we actually convert. So the reason why most ads fail is because they will feel super salesy instead of helpful, or they may be overly edited where it looks like an ad, right? So what we don't want is to sound like that. We want good hooks that pretty much stop the scroll and what we're calling out those pain points, right? And what we want is to have a story, personality, and trust. Selfie style sort of videos work very, very, very well if you are in your market or maybe in a handful of markets. If you are the one on the ad, that works very well. And with an agency, they're probably gonna run a static ad or some actor that you create no trust building or your brand within that market. So what is our winning ad framework? So you can have a broad approach that is going to give you more tire kickers. You're still going to get a good cost per lead where, but what we have found our winning angle is where we do the pain-based approach, right? So what we want is to speak directly to the homeowners who are in distress, vacant, foreclosure, divorce, relocating, repairs. So an example of a hook would be like, hey, if you are behind on payments, we can help you sell in days and not months. So that's an example of a hook. And you can have a mix of formats, a mix between static images that are calling out those pain points and a mix between videos. And you can still do the broad approach, but just know that you may not get high-quality leads that are ready to sell right now. You may get more tire kickers or people that are curious about an offer, but not that much ready to sell. So Take it with a grain of salt. I recommend you to do more pain-based ads, but the reason why we and my clients are on our own ads is because no one's going to care more about your business than you. So if you can convey that within the ad, you're going to have way better results because once you understand how to run the ads and you understand how it all works on the backend, you're going to get a cheaper cost per lead. So for context, we have 40 clients and across all clients, we have a $60 cost per lead across every market in the United States, and we're at an average 22 leads to a contract. And if you compare that to the traditional agency that you're getting a 3 to 4x, we are getting more than an 8x every single month with our clients because we fix the marketing. We become really good with the marketing and we become really good with the sales, which I'm going to break down right now. The reason why we are on our ads is because sellers want to work with a person and not a faceless company. And being in your ad is going to create way more trust before the first call, and it positions you as the local expert and engagement just skyrockets. Because let's say that you are in front of a property that looks like the property that you are buying in, people are going to respond to that ad. And I want to go over the structure of our $100K per month ad structure. So if you are planning on recording some ads, what I want you to do is to be open and friendly as if you're talking to a friend. You don't want the ad to feel like an ad, right? Number 2 is you want to address the situation, right? So if you're picking foreclosure or divorce or inheritance, the hook is going to be the most important thing because it has to stop the scroll. And then I want you to talk about the value. What do you guys do? How do you help them? And in what timeline? Without the usual, of course, like closing cost, commission, and all that. The 3rd thing is going to be the call to action. You need to tell them exactly what they need to do next if they want to get in contact with you, right? So for us, it's like, click on the link down below. Submit the form and we're going to give you a callback as soon as possible with all of your options. And what I don't want you to do is to, you know, kind of just use that corporate, you know, vibe where it feels super salesy or like tacky. And I don't want you to do broad. I want you to do more pain-based ads. So pick one pain angle for each ad and, you know, just try and record. And like I said, with the call to action, we just want to make it as simple as possible for them to get in contact with us. And here I have some ad examples, right? So here is me in one of the ads. Here's Eduardo in one of his ads, right? So you can call out downsizing, foreclosure, inheritance, how we can buy the property in less than 30 days without the traditional fees with an agent, realtor costs, closing costs, cleaning, and all the headache. Now this, I'm giving you kind of like the broad ads. I'm not giving you the best ads that we run because those are for our clients, but you get an idea. And if you say that you're not good on camera, you can hire actors and just give them a script and, uh, have them record on your behalf. And we actually have an SOP on how to hire these people. You know, you can pay them a couple hundred bucks to record these videos. As long as you focus on the script, the hook, the value, and the call to action, you're going to get good results. Now, the other thing is going to be static image ads. Now, these are more generic standard, but we run more of these over here. Where they are more pain-based, right? So we have some that we're talking about foreclosure, divorce, inheritance, different ads like that. But the majority of the ads that we run are like these, right? And you can still run these. You're going to get cheap cost per lead, but you're probably going to need more leads in order to get a contract than if you just focus on the pain-based plus the trust-building ads, video ads where you create that trust with the audience, right? What I want you to do is the key takeaways is you can actually learn how to do this. This is pretty much what we teach all of our clients on how to you and they are all crushing. So if you have tried ads before and you're complaining, I want you to stop blaming the platform, blame the ad, because that's going to be everything. And if you can use your face and your tone and your company and your results and your proof, you're going to have way better results. And I want you to do more so the pain-based static images and videos so you can have way better results. And like I said, just have a mix of new creatives, you know, every couple weeks, make some new ones. And if you do this, I can guarantee that you're going to get way better results with your marketing than if you were to just use an agency that, you know, just like another client and they're delegating all of your client data to a media buyer that is just kind of following an SOP. But if you understand that, you're going to get way better results with the marketing. So after we fixed the marketing, we really went into the sales process. And the reason why the sales process is super important is because it is replicable. Meaning once you understand exactly the seller psychology, how you do the intro, the expectations, how you verify for the urgency and the motivation and the tie and the anchor, you're going to be able to not only leverage, you know, you're negotiating way better, but have an actual open conversation with the sellers into what is their actual fears, what are they actually trying to achieve. And most importantly, you're gonna be able to track the things that you are saying within the script so that if your offer-to-contract ratio is off, you know exactly what is going on. Because if you listen to the call and you have the script and you understand why we ask what we ask, we know pretty much when we miss the mark. So we're getting ghosted or maybe we didn't We didn't get our offer accepted is probably because we didn't ask the right questions. So with the sales processes, we have the intro was like, hey, this is so-and-so with company name. What about the ad made you want to, want you look into this a little bit further? So, you know, we want to listen into, okay, what got 'em curious about that? And then we want to set the agenda. Who do we work with? What do we do? How long the phone call's going to take? What the result of that's going to be. And third, we want to verify for urgency cuz we want to talk to people who are ready to sell, you know, that month and spend our time those people that are most likely to convert. And then fourth is going to be the motivation. So the motivation is from probably the one of the most important things because we want to tie their pain to our offer as a solution to the things that they are dealing with. So we teach our clients exactly how to dig for that motivation because the more ammo that you have, the more clearly they can see what their next step is. And selling the house, a lot of instances is going to be the best, you know, solution to whatever they're dealing with. So it's more so emotional. So when you're giving out the offers, it's less logical and more about the emotion and getting done with the property. And that is exactly why he's averaging $17,000 to $20,000 per deal by implementing this. And then also, okay, we need to do the anchor because nowadays people want, you know, CLO value for the property, but we have to explain to them how exactly do we work, but making the motivation the sole point and the main focus of the phone call. So in addition to the sales process, we, he started doing is we taught him how we track the KPIs. So if they want to hit consistent 6-figure months, they know that on a weekly basis, they need about 44 leads, 28 net leads. So pretty much a net lead is they said that, hey, I do want to sell this month. And, you know, I am the homeowner. So what we see is about half of the leads that we get in, probably like 50% of those, we're going to be urgent and ready to sell that month. So in his instance, you know, half was like 20. So they set 20 appointments, 16 offers, 2 contracts, 2 closings. So here I know that his offer-to-contract ratio is usually between 3 and 4. So here his offers are off. So this should have been at least 3 contracts. But if you don't track the numbers where you know exactly why you track what you track, you won't be able to look this on a weekly basis. So he can go back to the team and be like, hey, what happened here? Why did we miss the mark? So it's super important that you actually do that. And then in addition to that, we do a lot of AI roleplay where we listen to the calls with the sellers so that we know that they are following the process And if we miss the mark, we know exactly what happened. So we have here, what are the things that we need to improve on for the next call? And remember that salespeople need to be reminded more than they need to be kind of like retaught. So this is a game of consistency and doing in the boring work to make sure that it actually, all that effort goes back into more closed revenue and that you are giving your sales team the tools and ammo to go out there and be dangerous. So you gotta be able to hold weekly one-on-ones with the team, set the goals, set the agenda. And just be a good leader for your company to make sure that you actually, you know, get all these deals. And then we plan on a quarterly basis. Okay. Like how much do we need to close? What is our success rate? What is our average profit per deal? How many contracts we need? How many of those will actually close? And we do everything based on the blueprint. So if you're not doing that, you really need to do that because you are just going into it blindly if you don't track their KPIs. So the other thing was the follow-up system. So Yes, it's great to get cheap leads that are high quality, but what we want is to reach out to the people that we haven't talked to, or maybe we gave an offer that we didn't contract. We got to have a system where we constantly reminding them like, hey, we are here to help whenever you're ready. And if you put more effort into that, I can guarantee you're going to get extra deals. So something that we're working on with him is to have that follow-up system in place using AI to make sure that we stay top of mind with all the leads that Now, another thing that we fixed was the underwriting the deal. So you already know if you're doing a lot of novations, you know that usually most markets, things are taking a while to sell. So now we need to take that into consideration whenever we are underwriting, because let's say that we get an ARV of $200,000, it's not guaranteed that it's going to sell for $200,000 because what we want is to sell the deals as soon as possible. So we have to take into consideration the days on market, How many properties are listed, what is pending, and just list the property at a good price where we know that it's going to sell. So what we do with all the clients, we teach 'em how to do cash deals and novation deals, and we are going to anchor with a very low offer, and then we're going to position the novation offer a little bit higher than that. But if you tie in the motivation to the pain points on the ads and what we need to solve, then that's how we can get a novation. So on the writing, based on how how much money we need to net and based on the market as well. And we are super transparent with the sellers on how we do these things. So if you're not doing that, I mean, you need to just be sure that we do that. And then another thing is being able to track how much money we need to spend per channel. Like let's say that you are trying to close $80K per month and your average deal size is between $14,000 to $15,000. Then if you want to get to this goal, that means that you need to close 6 deals. And the other thing that you need to take into consideration is your success rate. So if you are below like 65%, you need to fix your dispo because maybe you are not setting the proper expectations or you may be overpromising with the offer. So we need to be sure that at least 70% of your contracts make it to the closing table. So with this example, they need to look up at least 9 deals because we know that 30% won't close for whatever reason— repairs, title issues, seller change their mind, whatever. And I know that they are at 20 leads to a contract, so they need about 180 leads per month and then their average is $50 to $60 with a very high quality lead. He's been averaging $100K per month with $6K in ads. So we like to under-promise and over-deliver. He's going to ramp up his ad spend to cross the 6-figure mark. But what we want is something that is consistent and a plan that we can work towards. And then this is him on his own words when he came to the actual marketing shift that we started doing. So They stopped doing the skip trace data and sending the mailers because now what we— the only thing we do is the pain-based ads on Facebook and they were not tracking their tools, but now they track every lead to every campaign. So they know exactly which sort of ad is working the best. That way we can spend more money in those campaigns. The other thing was like, hey, they were spreading the budget across like multiple channels and they had no attribution. But now, like I said, we spend money on the winning ads. And if you record ads, let's say that you record 10 ads, probably 2 to 3 are going to be the winning ads. The rest just kind of gives you the data to know what you need to do. So once we find the winners, it's easier to make ads that are similar to that because we know that we get a good cost per lead and a good motivated seller for those sort of ads. So pretty much we are tracking the data and making sure that we make changes based on that. And the other thing was just kind of reverse engineering the numbers, kind of how I showed you. So for them, Like I said, $60 cost per lead on average, 180 leads per month equals around $10K per month in spend and 6 deals, about $100K per month. So for them, in order to get to $100K per month on a consistent basis, now it's just about math. It's not a fluff number. So what they need is 20 appointments per week, 16 offers, and then 1 contract for every 6 offers. So that would put them at 2 to 3 deals a week and with a success rate and average profit per deal, that would be $100K+ per month. And every week what he's going to do, he's going to review the last 5 calls of each salesperson. Number 2, they need to be sure that they are actually tracking their numbers and that they're hitting the weekly targets because we take a look into the cost per lead, close average, deal size, and the conversion at each stage. So they know exactly what are the things that they need to work on. And what he presented was if this is one of the scorecards that we give to like all of our clients, but if you see here, Eduardo has two other team members, Javier and Alex. So Alex usually closes, you know, one in four to five offers and that week he was at 12. So what we did or what Eduardo did was Alex was taking a lot of downsizing leads. So what he did was he went over the ads manager and pulled all the leads that Alex was calling and they were all coming from the downsizing ad. So he turned that add off and focus on the divorce ad, which is the one that was bringing them the most amount of deals. And now Alex, as of this week, Eduardo told me that Alex got 3 contracts. So this is the importance of tracking the numbers and holding the team accountable. That way you can identify where the bottleneck is being missed, and that way you know exactly how to fix it, because if you fix it, then it's all gonna come down in revenue. So what I want you to take away is that we are not running this fancy model. It's just simple. We get very good with the marketing. We get very good with the sales. We track our numbers and we scale based on profit. Like I said, we are just nailing the basics and the more, the more efficient that we are able to get these things, that is exactly how we can scale just based on netting way more profit. Because if you fix the marketing, your cost in marketing is going to be way less than if you were to use an agency or if you do cold calling. If you fix the sales process, you can increase your average deal size and you can have your team perform. And if you track your KPIs, you know exactly where you're going and how much money you need to spend into marketing so that it's an ATM machine. And if you know that you're putting $1 in and you're getting $8 back, at that point, it's just a matter of just spending more money to pretty much just increase. So if you are a wholesaler who's already doing deals, we know that you can close deals and maybe your marketing's not the best or your sales is not the best. I want to work with you because it took me a long time to figure this out. And I feel like a lot of wholesalers work too hard not to make the money that they want to actually net. And if you want to learn more about Eduardo, you can click on the link in the description down below. And I'm going to attach it somewhere here. But if you need help and if you want to scale with better ads, better marketing, better sales, and finally get to $50K a month or $100K per month, what we do, it's not magic, it's hard work, but we just need to dial in the KPIs and the marketing and the sales. So if you want to book a call with me and my team so we can show you exactly how we can take you from $20K to $30K a month to $100K per month by fixing marketing and all those things, book a call in the link down below. You can talk to me and my team. We're going to structure your plan and show you exactly what we do and how we can help you. And with that being said, I hope you enjoyed the video and I'll watch you in the next one. Thanks.