Nathan Payne shows how his student Henry, a recent immigrant with no capital or driver's license, made $5,000 on his first real estate deal without owning the property. Henry found a motivated seller on Facebook, and Nathan negotiated a subject-to deal taking over the $280,000 mortgage with no money down, then wholesaled the contract for a $5,000 assignment fee.
This seller wanted top dollar. She said she wouldn't take less than $300,000 for the house.
If it's not a fair price, I'm not going to sell.
But 48 hours later, we locked it up, no money down, and my student made $5,000 on his very first real estate deal without even buying the house. This is how we did it. Let me introduce all of you to Henry. He's from Vietnam and he moved to the United States over 10 years ago. He was brand new to real estate, didn't even have a driver's license. He didn't have a budget. He just had hustle. He joined my program and said, "Nate, I'll do whatever it takes. Just tell me what to do." And I knew right then he was going to succeed. We don't hand you a course and disappear. We actually work together on real deals. And Henry, he was all in.
So, so I'm, I'm from Vietnam and then I've been here in the US for 2010.
Was it a difficult move for you to make to move from Vietnam to the United States?
Not at all. So this is a new adventure for me to be in the new country, new opportunity.
What made you want to get into real estate?
So my uncle had been invested in real estate for a long time, and then he really successful with that. And then he now become a landlord. So I'm trying to follow him with his success.
Now, here's how he found the deal. He was in a Facebook group when he saw a post. The seller had multiple Airbnbs and was tired of managing them. So Henry sent her a simple message. He said, "I can help you sell without paying any commissions." And she said, "Sure." So one time I'm on Facebook, right?
I'm in the real estate investing group. And then there is one lady, she boasts that she's tired of doing the Airbnb rental. And then she decides to sell all of her property. I text her that I can sell her property at her asking price without a realtor, so she doesn't have to pay any commission at all. And then I see she told me, all right, I will let you do that.
The seller wanted full price, like retail. No investor was going to be able to pay cash for her house. So Henry brought the lead to me. I called her and made a different kind of offer. Instead of lowballing her like most wholesalers do, I offered to take over the mortgage, no money down. It's called a subject-to deal. Let me show you how the actual call went. So you said at the moment the property is a money-making machine. Is that what you said?
Yes.
Wow, that's amazing. Okay, that's good. That's a good thing that it's making you a lot. So at this moment, there's really not a lot of motivation there. She's just going to keep it as Airbnb. This is interesting. Henry said that there was motivation. Can you— a lot of money. So unless you get a lot of money for it, you're not going to sell. Is that what you said?
I mean, if it's not a fair price, then I'm not going to sell. So if you have a lowball offer, just don't bother sending me.
Yeah, I understand. Well, let me look at the address really quick. Can you give me the address so I can just check and see what I could be able to pay? A lot of sellers don't want to get lowballed.
Okay.
So you just got to talk to them and just be like, yeah, okay. No, I understand where you're coming from.
Yeah. 11100.
11100.
Okay.
So she wanted $300,000. Now that's pretty much retail. Okay. But the house is in good condition. The only way it can work is with terms.
Okay.
And in this deal, it's so tight. The only way we could make it work is if there was nothing down. Would you be open to— if we could work out a deal where we purchase on terms, would you be open to something like that?
I will be open for maximum 2 years.
Okay.
If anything beyond 2 years, it's out of my range. I would rather keep it for long-term investing.
So if you— if we were to work out something on terms, you said a maximum of 2 years, like before we did a balloon payment. Is that what you're saying? Like before I paid it off? Mm-hmm. What purchase price would work for you if we were to buy it on terms?
Still, at least $300,000. Anything below that, I'm not going to consider.
So for me, I'm like, well, look, this barely works. The only way it could even potentially work is if we just buy it, take over the payments and bring nothing down and wholesale it, or we keep it and we keep it as an Airbnb for 2 years. So here's how it worked out. She owed about $280,000 on the house. She wanted $300,000. I offered to take over her existing mortgage. Then we wholesaled that contract to one of my creative finance buyers. They brought $5,000 to the table. No money out of Henry's pocket, no risk. And just like that, boom, first deal done for my man Henry.
You call her and then you negotiate everything live on a stream.
What did you learn from that conversation I had with her?
So she asking for the retail price and then so there is no way for her to offer her cash offer below the ARV. So you showed me one investment. What did you say?
Creative financing.
Yeah, creative finance. And then with a little down payment.
When the deal closed, I sent Henry his portion of the assignment fee. I texted him just to make sure he got the money. And when he did, he was like, oh my gosh, I'm hyped. Let's hear exactly what he had to say in his own words. How does it feel to get your first check from wholesaling a deal?
It feels wonderful.
Yeah.
So at that time, I know I can wholesale again and again.
Here's what you can take from Henry's story. You don't need any more courses. You need actual support. You don't need money. You need the right structure. And you don't need years of experience. You just need someone who's done it before to walk with you and walk you through the deal. If you want to do deals like this, if you're tired of buying courses that leave you stuck and confused and you want real support, real strategy, and real results, well, that's exactly what we do. Henry didn't close this deal alone. We did it together, and I'd love to help you do the same thing. What do you got to say for all the people out there that kind of find a little scary to take action? They've been watching videos and they just haven't done anything because maybe it's difficult.
So to be honest with you, right? So, so don't be, don't be afraid to take action. You can fail sometimes. You can fail a lot. But the outcome, you know, that you try your best and then the good thing will come to you.
And that's some dang good advice.
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