21 year old tries cold calling for wholesale real estate

What's going on, YouTube? In this video, I wanted to go ahead and show you guys a raw call with a homeowner that generated me an $11,000 assignment fee. If this is the first time you're seeing my face or watching one of my videos, welcome. My name is Jay. I've been wholesaling real estate for the past 7 years, and I've been pretty successful at it. Now, if you like videos like these, like, comment, subscribe. And if you're interested in getting coached by me one-on-one to close your first deal or scale your wholesale business, click that first link down below in the description or DM me on Instagram @modestmendez., and I'll try to get back to you. Now, let's get right into the video.

Hello? Hello? Is this—?

Yep. How's it going, man? This is Jay. You submitted your property over there on Morley Street to our website?

Okay. How's it going? Uh, not too bad.

Not too bad? That's good, man. Let's hope this call helps you. Have a better day. So tell me, um, I see the property is listed on the market for $35,000, and then on our website you submitted that you wanted $40,000.

Uh, whoever's been listing the property don't own it. So what happened was my mother had bought the property, she was going to flip it, then she got cancer and died, and I inherited it. Okay. During the time that she was flipping it, she, she got all kinds of calls, people saying that they were, you know, calling, said, hey, you want to buy this property that's listed? And she's like, I ain't listening to anything. So somebody's been out there falsely listing the property and they don't even own it. So I don't know what's up with that. Can I ask where you've seen it listed?

I see it on Zillow. I can go ahead and copy and paste this link and text it to you right now. Uh, okay. And you let me know if that's the same property that we're talking about. All right, one second. And how long ago did your mother pass away?

Uh, a few months ago.

A few months ago. So I imagine this has been going on before she passed. Do you remember who the company is?

I have no idea. And she couldn't figure it out either. Now, I didn't get involved in anything until after she passed, and I had to get the title transferred, blah blah blah, all that, you know. But I didn't know there was still somebody listing things out there, right? I have no idea who's doing it. Hold on one sec. Okay.

Were you able to check out that listing I sent you?

Yeah, I just looked at it. So I'll contact Zillow and ask them who the hell is listing the property because that's fraud.

Yeah, I don't think Zillow's going to answer or tell you, but it says right here listed by Jim and it has their phone number and their company information. But what could be going on is that someone's acting like an investor when they sign that agreement with your mother, if they signed one in the first place, which is very weird, and are just trying to find a buyer for it.

But have they spoken with you?

I'm sorry, what? Have they spoken with you, whoever's doing this, or no?

No, no, no, no. Other people have called me and said, oh hey, we want to sign like a 60-day thing And we'll give you $45,000 for it. And then they just straight admit that they're going to go find a buyer. And then they try to get like $70,000 or $80,000 out of it. Right.

I mean, this thing would have, would have gotten some serious traction if the price made sense. I mean, it's listed for $35,000. It would have sold if it was worth $35,000. Are you the only person on paperwork that says yes or no, actually selling the house? Okay, let me go ahead and call these people and see if they have any idea. Go ahead.

But here's the thing, whoever it is is running some kind of a scam, so they're trying to get money and probably, you know, I don't know how those cameras work, but they've probably been trying to flip it multiple times. You know, I've already gotten several offers, right? But my thing is I don't want to wait 60 days to get paid, especially when I know that what they're doing is they just want to flip it for like $50,000, $60,000, $70,000, and I think that's a little high, right?

You know, so you're talking about you don't want to wait 60 days. What is your ideal timeline for actually selling the house?

Um, I'm ready to go ASAP, so, you know, I don't know a lot about the whole rules and all that, but the ads I see always say, oh, we can pay you within a day or a week and blah blah blah. But then people call and then they're like, oh, well, we need 30 days. And I'm like, well, then why did you advertise it, you know, you can get the money in a day or a week or whatever? It doesn't make any sense. Right. If there was a lien on the house, I could understand, but there isn't. Right.

Well, it could be for multiple different reasons. For us specifically, we could close it in a day, but again, we don't know the actual condition of the property. Maybe these pictures on Zillow are 4 months old, 5 months old, and maybe, I don't know, some people came through the property and made it in worse condition than it already is. So we would personally send somebody out, double-check on the condition, make sure we have a good understanding on what we're actually going to spend on it to be able to sell it for a profit or even keep it as a rental. So that's why we don't promote, "Hey, oh, we can give you the highest cash offer in 24 hours." That's just not realistic, right? Anybody that's out there saying that, it's just not, it's just not going to happen.

Yeah, and like you said, you know, whoever that— she doesn't have access to the property. So I don't even— I've never even heard of that name before. Yeah, so I have no idea who that is, but since you've sent me the link, I'll go to Zillow and I'll— you said it has a number and a company on it. I'll call Monday and say, hey, what the hell, you know, is going on?

Yeah, because I mean, even, even if— I mean, you categorize it as a scam, it sounds like a scam, but I mean— that doesn't seem to be a successful one if they've been trying to sell it and you're the one on paperwork. So they wouldn't even be able to sell it in the first place, right?

And, you know, I have no idea, right? Because they don't have access to the property. Maybe try to get somebody to just give them the money without looking at it. I don't know. So I will tell you this. So my mother— hold on a sec, let me get my headset on. I'll be able to hear Okay, that's cool. Okay, so when my mother bought the property, right, it's a two-story property and it's big enough that her plans, um, she was gonna split it into two rentals. Because rent out here is between $1,500 and $1,800 a month. Okay, so rent is high and there's not a lot of places— there's less than a handful of places for rent in Moberly, and there's not even a lot of homes for sale in Moberly. And they're bringing a manufacturing plant to that town. It's going to be like 5 miles out of town, so they're gonna— there's gonna be a huge demand for both property and Rental. Well, anyway, there's a staircase that leads to the second story, right? So she was going to split it up so that you would have two units, right? And there's an, um, unattached garage. She was even thinking about turning that into like a studio apartment, right? Adding a bathroom and, you know, all that. And that was all fine and dandy, but then she came down with cancer and it took her quick. It was From the time she got diagnosed, the time she died was a matter of a few weeks. Oh damn. So yeah, yeah, exactly. And it was like very sudden and it caught everybody by foot. So anyway, um, the property has a ton of potential. It's not— she had started renovations, she had taken down the walls because she was gonna have somebody come in and do all the wiring, all that. She's going to get it professionally done. So everything's clean on this side. She took all the construction materials out from, you know, prepping. And I got a few quotes from people. You know, it depends on what you want to do, right? Right. If you just want to put the walls back up and all that, it's fairly cheap. If you want to do those renovations, I got quotes anywhere from $25,000 as high as $50,000. To split it into 2 units and it would be turnkey done at that point. My thing is I'm not into homes and I'm not wanting to flip it.

That's what I was going to ask. I mean, if there— I mean, it seems to have a lot of potential. Whenever people say, oh, you know, they're building this attraction or maybe they're moving, like you said, a facility where it's going to be a lot more jobs in the area, I normally don't pay attention to that just because in the area that I live in, they've been promising us a Disney World park and it's never came. But right, right.

It does have potential. Exactly. As so the fact is, yeah, yeah, there's not a lot of rentals available. So, you know, the thing is, right, if you rent out the house, you could probably very easily, I would assume, get at least $1,800 since an apartment costs $1,500 to $1,800. And if you split it into 2, now you're getting $3,000 a month. And that all sounds great. But again, when you're a landlord, right, that's not my thing. And it's never been mine. It was my mother's whole— like, she, she would buy properties and flip them and she did great. But she liked doing that, right? I, I, you know, and I work out of Kansas City, so I'm several hours from Moberly, right? I'm like, I do not want to have to Ew.

So whatever. It doesn't make any sense driving 2 to 3 hours just to make sure people didn't steal material. It doesn't sound like a fun time.

Right.

So yeah, it's just like, you know, um, so yeah, you're just trying to sell fairly quickly and not deal with the BS that, you know, you guys have been running around with especially with this listing stuff. I don't think I've ever seen it in a context like that where the actual owner passed away and they're still listing it. Um, if you want, I can, I can give them a call also on Monday right behind you and just kind of figure out, you know, with my expertise and see even what they're trying to do. Um, and then kind of figure out, you know, what are the steps moving forward. I mean, it seems like we're a good fit, you know. Our company, we buy properties like this all the time. I'm sure you heard it a million times from all the other people calling you, giving you these cash offers and quotations. But yeah, we buy in an efficient manner. We use our own money. We don't have to go and pull hard money loans or anything like that to where I would need 60, 70 days of due diligence period to tell you, "Oh yeah, I did get approved for the financing." We don't have to deal with any of that since we're a small company. We're not here flipping 10, 20, 30 properties at a time. But yeah, I mean, it seems to make sense. What price point are you looking to get out of this?

Well, you know, here's my thing, right? It is located in a great spot in a big town. Moberly has a Super Walmart, it has a Lowe's, it has a bunch of convenience stores. And you know what I mean? It's not this like middle of nowhere place, right? So, and from there, you're within 45 minutes of like Columbia. And then there's, you you know, other places, um, that are hiring, right, to the north and the west of it. So there's plenty of jobs and all that. So based on its location, right, the house is not— I don't know how to describe this— it's not a piece of shit, right? She tore down the walls, she was going to redo the wiring, split it into two places. But you could easily just throw those walls back up and say, yeah, but I'm just gonna do the minimal and sell it, right? And homes in that size range, because I at least went and did that due diligence, anywhere from $175,000 to $224,000. And I'm like, so I also recognize since it is a fixer-upper that I'm not going to get anywhere near that. That's fine. But I would like to get $40,000 for it. Um, I feel like if you just went and bought that land, that would probably cost you at least $35,000 because of where it's located. It's right off the main street, so you got easy access to all the stores and, you know what I mean, it's in the middle of town. It's not like 5 miles outside of town, then I'd have a much lower expectation. Um, so I'm reasonable and all that, but I am looking to it's already costing me time and energy to deal with it, right? To the point that there's places, uh, I, I can't remember the exact web address, but I see a billboard like KC Finance. It's for flipping homes. They specialize in— if you have a home like I've inherited and you want to fix it up and flip it, that's what they finance, right? And I'm almost at the point of doing that because when I went and talked to those, um, general contractors and got a quote like, hey, if I want to do this, how much, right? Right. Even if I went on the high end of $50,000, I'll get $175,000 minimum. I'm like, that's like $125,000 profit.

And if I get a little more out, because, you know, I mean, as someone that's doing this full-time, the numbers are never as pretty as it seems. And Just by— I mean, I'm not, I'm not straying you away from it. I mean, I did this for a living, so it's clearly not that bad.

No, no, yeah, there's a lot I don't know, so I'm listening.

Go ahead, hit me up. And then like you said, you're a couple hours away, so I mean, whatever you're doing full-time, it'll take some attention away from that. But if you're willing to go for it, I mean, it'll work. It's just about what you value the most. And as far as that $175,000, I mean, I'm seeing some properties in the area go for that much. But we're talking about a 3-bed, 3-bath. We're talking about a 5-bed, 2-bath. So it's like completely different layouts. Now, you can demo the whole property and start fresh, but you do have that— it's kind of placed awkwardly. They have a little house in the corner, and it being on a main street isn't necessarily a positive most of the time because, I mean, it's cars driving by all day, every day. So if you're going to spend $175,000 here and Missouri, it's like you probably don't want to be on a main street with your kids playing in the front yard. And, you know, God willing, nothing bad happens, but it's, it's what could, right?

Yeah, I guess there's that. But I will say this, there's a back alley and that's where you pull into park and got, you know, a big backyard. So, but, but again, right, I'm not trying to get into all of that. I'd rather somebody give me a reasonable offer on it, right? Instead of the trying to lowball me, then they're out there trying to get $70,000, right? I'm sitting there going, right buyer, right time, maybe. But easier, fix it up and then it'll sell, you know, right? You're done more than likely. But, you know, I get it, right? I'm not trying to hit you for so much that after you fix it up, you barely make money. I'm not doing that at all. Even at 40, if you drop 50 into it, that's 90. If you were to get— and I'm just going to make this easy— 180, then you basically doubled your money. I get that, you know, numbers and blah blah blah, but I'm just throwing some, you know, scenarios, right? So I don't mind, right? Like, if you fix it up and then you rent it out and you split it into 2 and you're making your free kind of money, grass, right? Yeah, if that's what you want to do, I don't care. I just don't want to feel like I got screwed on the property. Exactly. Now the other thing is, I got the title to it. I don't have to sell it. And if it comes down to I can't find somebody to give a reasonable offer on it, um, then I'll just— then I, I feel like the only choice is drop the money into rehabbing it myself. I already know contractors. I haven't And I would do that. I'd split it into two. I think my mom was definitely on to something there because when I went looking, um, there wasn't even but like five places for rent. And I'm like, holy shit, there's not a lot of rental properties. And then I was looking at the total numbers for resale. I'm like, there's not a lot of those. I'm like, so if I'm, you know, lack of better terms, forced to do it myself, then I would just split it into two because Um, that's $3,000 a month, you know.

Yeah, I mean, theoretically it sounds good on paper. Um, and you said you want $40,000. I haven't looked at the numbers in detail, which I will. Um, and like I said, if it makes sense, if those theoretical numbers are great and hey, I'll double my money, I'll buy it no problem for $40,000. But the fact that it's been listed for over a year— granted, there's a lot of context missing from that because apparently they have no contact with you. So what I think— where I was going with that is it's listed for $35,000 and it hasn't sold. Granted, it can't sell. So what I think we do on Monday is you wait for me to call. I'm going to call seeming like a buyer, like seeming like I'm trying to buy it from them, and try to gauge where they've gotten offers.

Okay, right. Yeah, and yeah, and just so you know, like I said, People would show up, right, saying they were here to look at the house, and she's like, what the hell are you talking about? I'm not listening. And she tried to get them to stop it, right? But those aren't the only people that were listing that property. So again, it may have been up for a year or 10 years, doesn't matter. The fact is they have no access to the property. They weren't hired to list it or anything. That's whatever scam they're running. I don't get it. I don't know how they're, you know what I mean? I'm like, or maybe they're trying to get people, um, put like $2,000 down, but if 20 people do that, you just paid $40 grand and then you, you know, then you bail, you know. Exactly.

So yeah, I think, I think moving forward, um, I'll make that call on Monday. When's a good time for me to, to reach back out to you on Monday after getting some feedback from that call?

Um, earlier in the day would be nice. Okay, um, but, uh, anytime after, say, 10 AM Central Standard Time. Okay, that's perfect. And preferably before 5.

So, um, so I'll tell you kind of what my game plan is right here. So I'll talk to them, I'll kind of get a gauge on what they've seen as far as offers from the market. And I'll see kind of like what the fuck they're doing, if I'm being honest. But to really know if what they're doing— obviously the listing can get taken down. I'm sure I could talk to someone at Zillow and have them take it down, obviously, because it's illegitimate. But if there's actual paperwork behind it saying maybe your mother signed something that maybe she was tricked into, or maybe she didn't know she was signing, and that's on the property, that withholds us from actually purchasing it. So moving forward, understanding kind of the context, we can check with title, whichever title of your choice in that local area. I know a couple to run a title search and see, hey, is there any paperwork that's preventing this house from being sold? And then moving from there, it's like, hey, I mean, the process is pretty plain and simple from there. We just, we just purchase it. But I definitely want to look at the numbers first before telling you anything. And then from there, like I said, well, I think we'll touch base on Monday. Is there anything owed on the property?

I know you said you have the title for it. Yep. Nope, there's nothing owed on the property. And, um, I put a lockbox on the front door. Okay. So if you want to go inside, I can give you that code and then you go in and check it out. And then, you know, hopefully we can, you know, round this up pretty quickly because, yeah, like I said, homes and all that, that's not— that was her gig, you know. So All right, well, that sounds fine.

Uh, one thing that is, uh, maybe bringing the wrong audience is having that lockbox on it. I can imagine what people are walking up to it, so I probably would take that off, um, just for safety measures even moving forward, because it's like, that's just— I mean, whoever's walking by is like, okay, the key for this house is right there, you know what I mean?

Okay, I'll swing by and take it off then. Again, I'm hours away, that's why I did that.

Right, you know, which is— I mean, it's fine, it makes sense, but I mean, yeah, it's just, it's just asking for something.

Yeah, here's the thing. Today's Saturday, right? If you call Monday, find out whatever these scammers are doing, um, and then decide you want to look at the property, I'll give you the code, you go look at it, then I'll swing by later and then go ahead and take it down. Yeah, that sounds like a plan. You know, that, that's, that's not a problem. Um, again, I just want to feel like I'm getting a reasonable offer for it. And, you know, I'm not trying to screw anybody out of, you know, like, oh, I'm asking so much that, well, you're gonna make $5, you know. Right. I'm not trying to do that to anybody. However, there are so many scammers out here. And by the way, your phone number comes up as suspected spam. Really?

This is my business number that I reach out to sellers with. That's weird.

Right. Yeah, so you might let— talk to T-Mobile because it's their— it's the T-Mobile app does that.

Okay, I'll check that out.

Thank you for letting me know. Oh, you're welcome, because I'm sitting there going, I almost didn't take your call. Yeah, in fact, I didn't the first time, and then you called right back. I'm like, okay. Yeah. And I said, well, I'll have to see who this— you know what I mean? Yeah.

So yeah, okay, I'll check that out. Yeah, I mean, it seems like a plan. Let's get this thing moving. And then, yeah, any call— actually, let's do this. I'll give you my personal line just to make sure that you don't get someone else.

All right, just text me your name and number, and then I'll, you know, then I'll have it and I'll put it in my phone, and that way I'll see it when, when you call from that. I'll be like, okay, 9283.

Did you get that text that I sent over?

Uh, just did, yes. Okay, perfect.

So I got your text. Um, if it is not me that follows up with you, it's gonna be mostly on the numbers side, but I'll try to— I'll try to get on that call with you tomorrow— not tomorrow, on Monday, which shouldn't be an issue. Um, so you got my number if you got any questions. In the meantime, if you can send me pictures if you have any.

I don't know where those are at. I had them at one time, but You know, I'll see if I can find them. Okay, so we'll get that done and then I'll get back to you on Monday.

All right, sounds great. Thank you so much, man.

We'll talk soon. All right, cool.