LIVE Wholesaling Calls | 2.2M Luxury Home and 239K Property

What is going on, guys? How you doing?

Yeah, good afternoon.

We ready to make some calls live?

Always, always.

Let's get some deals.

That's my phone, guys. So guys, um, if this is your first time watching this, this is Wholesaling Real Estate Ring where we make calls live so you can see exactly what it looks like. There's no BS, there's no fluff. This is us making calls. It's boring sometimes, sometimes it's fun. Sometimes we get deals, sometimes no one answers. That's just how it is. And we're just here to show you guys what it looks like And for, if you don't know who I am or who any of us are, we're going to introduce ourselves. And then, you know, we're going to tell you what the plan is for today. So my name is Nathan Payne. I've been in the business for over 6 years. Love doing real estate and yeah, done hundreds of deals and showing you guys how to do it. That's me. Nathan Valley, tell us who you are.

Yeah, guys, my name is Nathan Valley. Been doing wholesaling for about 5 years now. Done a bunch of deals, bunch of different states. Some of you might've seen a 30-day challenge I did a while ago to where I picked totally brand new market where I had no contacts, no resources, nothing. And my goal was to do a deal in 30 days without spending any money on marketing and ended up doing a $20,000 deal from that. Uh, that's a little bit about me.

Congratulations. My name is Lane Peterson. My company is 123 Close. That's as simple as wholesaling is. One, you find a distressed seller. Two, you write that contract. Three, go sell that contract. It's that simple, but it's a whole different thing to make an entire business out of it. And so that's why I'm excited to always link up with you guys. You guys have been able to do it. I've been in the business for 15 years. I have wholesaled thousands of homes, fixed and flips, you know, thousands as well. And I just love it. And I love this business.

I kind of like that, that reverse strategy you got going on there where step one, just write up the contract, put a name on it and a price, and then go find the person and then let them know, hey, did you know you wanted to sell your house for cash at this price?

That's kind of like what people do on reverse wholesaling, right? They go find an investor first and then they go try and find them a deal.

That's right. That's it. Well, hey guys, so our plan, our plan today is to make some calls and Lane's got some wins he wants to tell us about, some, some things that have happened on the— if you didn't see last week's episode, we actually got a house under— well, we didn't do the paperwork necessarily on the call, but we had a lady want to sell. So we're going to go over that. And I, guys, I, guys, I got to tell you when that I had, um, verbal commitment on the phone though, at the verbal commitment on the phone, which is, you know, then that transpired into what Lane's got. But I got, I got a win. I told you guys I'm moving to Canada, right? Did I tell you guys already?

You said you were trying.

So I listed my house last week on Monday. I already had, had multiple offers and it's, and it was, yeah, last week I did it. We are under contract yesterday with an above asking price cash offer. So in a week, a week, like a week and a half. Isn't that crazy, guys?

Congratulations.

That's awesome.

Yeah. So, and I want to tell you guys a little bit of like For anybody watching this, like a very smart move that the person that bought our house did. And I'm sure you guys know about this tactic, but I just didn't remember like how effective it was until it was used on me. But anyway, I'm going to tell you guys about that. Under contract, excited. You know, you know how it is in real estate. You never know. Anything can happen. So I'm not getting too excited until it closes. But we're also— I listed my rent, my other rental that I have in Salt Lake that I bought subject to 6 years ago. I bought it for $145,000. The house has got it listed for $340,000 right now. So it's kind of crazy, man. It's crazy how— yeah, it's crazy how things— and I put $4,000 into it to buy it. And no, and the crazy thing about that deal is nobody wanted it when I was brand new. I tried to wholesale it. Everybody was passing up on that deal. That's how real estate's weird, man. Sometimes deals don't look like deals until 6 years later and then they look great. So it's just how it is.

Like a genius.

Yeah. Yeah. I think that's honestly what happens to a lot of people. They just buy okay deals and they hold on and then they turn into great deals. But anyway, what the agent did, the person that we went under contract with did on the property that, uh, my house that we're selling. They said most of the offers were coming in at like $635,000. What this person did is they said $625,000, but I will beat anyone's offer up to over $2,000, up to $651,000. And our— we listed the house for $649,000. So the person again was willing to go all the way up to $651,000 if they could beat anybody's offer by $2,000. And the best offer we got was, other than hers, was $649,000 asking price. So they ended up winning it, and that's a smart move. So if you guys are making offers on the MLS, you can go and make lower offers, but you can do an escalation clause up to a certain point where you feel comfortable. So I thought that was cool, and it worked for them.

And what's great is it's cash, so they're not going to have to get an appraisal.

That's the best part. And everybody else had— was getting appraisals or was pending on them selling their home. This, this offer was all cash and And that's why we went through it, because, you know, you never really know with appraisals. And especially, isn't there such thing as if they get an appraisal and it doesn't come back, then it's like stuck on your house for like a year or something? I think that— I can't remember. I think it's only FHA appraisal.

Yeah, I think FHA appraisals, they're in some FHA system that they pull it up that sticks with it. I don't think it's a year, but it does stick with it.

Yeah.

All right.

Well, anyway, I want to tell you guys that because I was like, man, the escalation clause, it freaking works good.

For them.

Congratulations, that's awesome though. Top dollar for your house.

Yeah, and the goal is, man, I'm moving to Canada. My goal is to find some place where I can live mortgage-free. That's the goal. I know a lot of people, like, they want to leverage their money and they want to, like, you know, get more assets and stuff like that. For me, I just don't want to have any debt, and, uh, that's the goal. I'm trying to find a place in Canada where I can buy cash and be mortgage-free.

So that's, that's what I'm going to be very proud.

Good for you.

Dave Ramsey style, dude. I know some people don't like him. I don't agree with the credit card system, but I do agree with owning your home. So let's go, we'll see if I can get it done.

Love it, dude, love it.

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So what about—

hey, whoever was on here last week, we actually tied a deal up live after I got off the phone. After we got off this call, I went ahead and drafted the contract sent it right to her. If anybody remembers, her name was Anita. She's going through some serious hard times right now with health issues and family issues, and this house was kind of, uh, she inherited it and it was vacant, had been broken into a couple times, but executed contract that I got the very next day. And so the process that we have, obviously we're buying virtual, so we're not there, right? We're not— I'm not walking the property and checking it out, so I've got to have my inspection period. So I immediately go with my nationwide mobile notary company that goes out and walks them and takes pictures for me. I just got those back. You guys want to see them?

I do. Yeah.

Yeah, let's take a look.

Check this out. It's a beauty.

What were you thinking before you got the— were you like kind of hopeful that it was going to be okay, or what was your mindset like?

No, I mean, if you remember the conversation, it sounded, it sounded a little rough. I mean, she said that, uh, she couldn't like stop it from being broken into. Can you guys see my screen now?

We can.

Let's see. Yeah, let's see it.

Okay.

So yeah, guys, when you're, when you're operating virtually, it's always kind of like a drum roll, like until you get actual current pictures and photos of the property, you know, to get a decent idea as to what state is the property really in. Because depending on who you talk to, guys, if you talk, if it's a seller, an agent, whoever, people like to say a lot of things about how nice they think the property is. And then it's Yeah. Okay. But what is it really, really like?

I don't have a sticky note on my computer anymore, but I should. And it would say all sellers are liars. They exaggerate the truth. They exaggerate condition. It's— everything's nicer and better than what it actually is. So here's the home. You can kind of walk through these pictures with me. I just got them back and I'm going to correct myself. I actually got this contract signed along with a power of attorney to list the home on the MLS. So I then went and found a local realtor here in Deming, New Mexico. She's the one that has— that went out there to take these pictures. So she's actually going to put the home on the market for me.

What were you, uh, paying her on the listing?

Um, so she's doing it for 5%. Me personally, I could go find it like a nationwide flat fee listing agency, and I've done it before, but then you're doing all the work, right? And then you don't have local expertise either. Like, she went out there, she looked at it, she's running all the comps, she's letting me know like, hey, this, you know, we should probably push for this number. Whereas, you know, I, I could be off just from the data on Zillow or whatever.

So, Lane, quick question, 5% because the price point's lower? I'm gonna say because normally it's 3%, so is it—

well, it's, it's 2.5% each side.

Okay, that's what you mean.

Okay, total. Okay.

Okay.

I thought you just meant on her side. Okay.

No. Yeah. So we are offering a co-broke. So, I mean, we got cars, we got old fridges. So now we get in the house, no carpet, no outlet covers, got that furnace. And I already saw the house doesn't have AC. It's got a swamp cooler.

So, Lane, you might have already explained this, but what made you want to go the route of putting it on the market versus just doing the traditional, let me call some, like, call some buyers or pull buyers lists in this area? Tell people why.

So I always want to maximize my profit, right? In my business, if it is a small town, or even if it's not a small town, if it is a home that is vacant, nobody lives there, I just send my power of attorney with my contract and get that signed and throw it on the MLS, trying to maximize, you know, my wholesale fee.

There you go.

And it's super simple to, you know, do the showings and do all that. Then I just send that with it and get that permission to list. Perfect.

Okay, so you guys heard why he does it. He gets more people to look at the deal.

Yeah, you get a lot more people looking at the deal. You can, you can get more money as well. We got this contract for $60,000. I think that it's a good deal for a fix and flipper in that area, or even a buy and hold at $85,000, right? But I think that I can go and put it on the market for $109,000, $110,000, and after commissions and everything, potentially make, you know, quite a bit more. So we're gonna, we're gonna run it both both ways and see what happens.

I love it. Now, um, one thing I want to say for everybody, like, if you are operating— oh gross— if you are operating in smaller towns, this is the strategy. Because I had a property in Del Rio, Texas that I did the same strategy. No, I could not find any cash buyers. We put it on the market and we found a family that wanted to buy and fix it up. So, uh, and they had cash because it was a smaller, a lower price point. So this is definitely the go-to strategy in smaller markets.

Yeah.

And so that's The property's in a little bit worse condition than I thought because she told me she was living there and it wasn't that bad, but it did need some, a little bit of work. That in my mind there is kind of worse than what I thought. So it gives me some ammo if I do go out there and market and I find it very, very tough to get this thing sold. I always ask for offers. If an investor's looking at it, he's like, nah, it's too high. Okay, what is it? So If I go out there and gather a bunch of offers from investors and local investors that are in that market and they start coming back at, you know, $60,000, $55,000, basically what I have it for, now I've got this ammo to go and get a price reduction from her because this is not the condition that she— I mean, we— I mean, that she told us when we were talking on the phone.

Yeah, agreed. Yeah. So that's a, that's a strategy. So you're able to use the information that you get to navigate it if you don't— if you're not able to sell it.

Yep, exactly.

And as far as negotiating goes, I know, you know, different people kind of prefer different methods, but when it comes to rehab— so I don't know if you guys are like me at all, you know, and anybody watching, but, um, when it comes to rehab, like, I don't even ask me to like pick up the hammer, right? So when an agent— if I'm talking to an agent or a seller directly, I really kind of go in depth with asking questions about the rehab. I really want to get as much information as I can from them and try to get as specific as possible, not getting too crazy with it, but especially especially on the major items. And the reason is, is I see a lot of people lose out on or miss out on opportunities because when they're using their formula of, you know, 70% times ARV minus repairs, I see a lot of people, especially newer people getting into wholesaling, you're too conservative on the rehab, right? A lot of times you'll use a price per square foot that you found somewhere online or kind of a box of, oh, if it's this much square feet and, you know, it's a medium rehab, it's this much. And I'll see people doing $70,000, $80,000, $90,000 rehab estimates, and then they're making their offer price based on that. When the reality is, is guys, it might only be a $30,000 rehab, and you might be missing out on deals because you think it's a $70,000, $80,000 rehab. Now here's the thing, if I'm talking to an agent, I'm talking to a seller, and just like you were saying, Lane, hey, you know, we went in depth, right? I asked them about the condition. They say it's in, it's in this state, these things are good, this is new, this is blah, blah, blah. And guys, you really kind of hammer in on that, like, okay, got it. So you're 100% certain the house that, you know, It's in this condition, you know, the roof is definitely good because when you really touch on that, what it does is it sets you up and run your number. I run my numbers based on what they tell me. If I talk to an agent or a seller and they tell me, oh yeah, it won't be more than $10,000, $15,000. Okay, you got it.

Even—

and I'll reiterate, they'll be like, are you sure? Because normally, you know, normally that goes for a little bit. Are you sure it's only going to be about $10,000, $15,000? They're like, oh yeah, absolutely. I say, okay, I'll tell you what, we can move forward assuming that kind of what you're saying is spot on. And if something pops up, right, and I'm not saying, oh, there's a little chip of paint, but if something is major, right, a big difference, obviously, you know, we would have a conversation and see if there's something that we could work out. And so what I'm doing is I'm already setting up in advance. It allows me to move forward and get a contract today while also setting the expectation of like, hey, we're probably going to have another conversation because This probably isn't going to be the condition that you tell me it's in. And so, yeah, that's something that's worked for me.

$10K and $15K, $10K and $15K basically can get you like carpet and paint these days.

That's carpet and paint these days.

That's like a floor mat.

I can't get out of a rehab less than $30K, it seems like.

No. And that's why I just got off the phone with one of my guys that I used to work for. He wanted to get into real estate. He's $250,000 deep in a house that he's flipping. He's like, bro, if I knew I would have put $250K in a house, I wouldn't have done it. I'm like, What are you doing, man? That's, that's bad.

You—

yeah, dude, that's crazy. Okay, anyway, so Lane, I know you want to make some— we're going to make some calls. I think Nathan's going to start off.

Uh, yeah.

Hey guys, I appreciate you.

You want to be a Utah in, whatever you call yours, and a Canadian, all of, all the above. You want to be—

dude, my, my baby, my wife's Canadian, so my baby's a Chilean-Canadian-American. She's got it all, dude.

Got the mix.

She's got the mix. But I appreciate you guys. Let me share my personal life with you guys. I know that's a little outside of the real estate game even though it's— we're selling our house.

Well, real quick, how quick of a close do you have on this cash deal on your personal house?

So the cool thing is I'm still— this is why we like the offer as well. So I'm still waiting for my green card. It's like it should be arriving any time, but we didn't want to like sell like in a week or in a month and not have it. So we put an extension, the ability to extend 6 days from the, you know, a 60-day close. And if we get it back sooner, we can close sooner. So we really have a ton of flexibility on this one.

That's great. That's great. You didn't want to just close it and then just rent it back?

Rent it back to myself?

Run it back to the buyer who's closing it?

Oh, well, I, I have to— I live here until I move, right?

So you get your money, you guarantee that it's closed, and then you just have to pay him rent until—

oh no, we, we just want to close when we're out of here just so we don't have to even worry about it.

Awesome. But, um, well, congratulations again. That's, that's great.

And if it doesn't work And just knock on wood, hey, you know, there are some other backup offers too, so we're good. So anyway, let's get into some calls, boys.

Let's go.

Yeah. All right. Let me move this over here so I can look at— let me look up—

the cool thing about what we're doing here is Lane usually makes the calls because he's the OG. But now you're going to be able to see Nathan Payne's got, you know, there's always different styles. I have different style. For me, guys, I don't really ever really talk too much about condition of the house, really. I just like to kind of really dive into the the situation. Sometimes I'll close and sign a contract without even talking about the house a lot. And that's whether that's good or bad, you guys judge. It's just people have different styles.

Well, hey, and there's, there's a lot to be said about that because, you know, the 4 pillars of wholesale and what people always try and keep in mind in a conversation: price, condition, timing, motivation, right? And so people get so caught up on, I got to talk about all of them, right? I got to talk about every single pillar and get all the information I can when No, you don't. I don't blame you. I like your style, Nathan. I mean, you don't have to dive into the condition that much, right? You don't have to really— it's building that relationship, understanding what their pain really is, right? Then focusing on how to be able to help them in their situation.

And those conversations come with time too. Like, once you establish the speed of trust, the trust with the person, you can have those other pillars conversations later. Like, hey, you know, you could call this lady back. She trusts you. She's done the work. She signed the paperwork. So now you can call her and say, hey, you know, we're going to talk a little bit about the condition a little bit, you know, and then you can dive into those other things or timeline. Okay. I know your timeline. You said you needed this, but let's get in a little bit more into that because things might take a little longer. Right? Right, Lane? Like, it just—

Totally.

Once you build that trust, those conversations can happen at will.

Love it.

100%. All right.

All right. Let's give Let's give Tina a call here. Hello? Hey, Tina?

Yes.

Hey, Tina, it's Nathan.

How you doing?

Hey, Nathan.

I was calling because you had just filled out a form about a property you're considering selling.

Okay. Yes, yes. I have property that I'm selling. Yes, my house.

Yeah. I was just calling to chat a little bit about it, but my guess is it It sounds like I caught you in the middle of something.

Yeah, I'm actually driving, so give me about 15 minutes and then I'll call you back. Okay.

Okay. So in 15 minutes, give you a call back.

Yes, that will be fine. In 15 minutes.

All right, Tina, I'll give you a call back in 15 minutes. We'll be able to talk.

So I'll be done driving 6 o'clock.

Okay, perfect. I'll talk to you at 6.

All right.

Thank you so much.

All right.

Talk to you soon. Bye-bye.

Wow, dude, that's it. One thing, one thing I want to point out for everybody is the tonality that Nathan Payne is doing. He doesn't talk like that in real life where he's like, hey, how you doing? You know, like, but it's really good. Like, it gets people's attention. It's friendly. I don't know if you notice that, Lane, but I could definitely tell the influx, the tonality.

Yeah. And I know, and I know that Nathan is really good at adapting, right? If you got a male kind of aggressive person, you know, Nathan's really good. He can adapt to that. Not saying you got to be aggressive, but your tone isn't going to be like when you're talking to a sweet old lady as it is when you're talking to a middle-aged guy who just wants to get straight to the point. You got to be able to adapt that.

We get aggressive, just straight screaming at each other.

Dude, I've had people— dude, it's crazy when someone's aggressive. You're like, all right, let's get to the point, let's get down to the business.

Yeah, all right, let's, um, so Tina will give her call back in 15 minutes at 6 o'clock. One thing, um, I'll just point out for people watching, so one of the things I like to do is, um, again, personal preference, I don't like to ask, is it a good time? Um, I like to say, hey, it sounds like I caught you in the middle of something. Um, if you guys have ever read the book or, um, Never Split the The Difference by, um, Chris Voss. Yes, thank you, Chris Voss. One of the things he teaches and talks about is 3 nos is better than a yes, right? So if I say that, you know, is now an okay time, they can say yes, or I can make an assumption, hey, it sounds like I caught you in the middle of something. They're like, oh no, no, no, no, no, no, now's great. And the reason why is because people are more comfortable saying no, especially in like a sales situation, than, um, than yes. But again, guys, not, not the end of the world.

Amazing sales advice right there. Chris Voss, great book, Never Split the Difference. Check it out if you guys haven't.

I'd say the biggest thing though, as I'm typing in the number for Wanda here, guys, so much that I've found in my personal experience is, you know, and definitely you got to practice stuff and, and, you know, work on, but if something is not natural for you, don't do it. Like, there are so many things that I've seen, you know, people teach, and I'm not saying that they're wrong, but it's just, oh my gosh, that is— I would never kind of word something that way. And it just comes out awkward every time. And when it's just not you, that's going to break rapport and just be way worse than, you know, maybe saying something less than ideal, but it's your authentic, your authentic self.

Agreed. Like if you're, if you're brand new and you're trying to act like you're super experienced and trying to throw down words that you don't even know what they mean, people are immediately going to be like, bro, you don't know what you're talking about. I remember when I first started wholesaling, my brother-in-law, I was trying to tell him about like how great wholesaling was. And he's like, dude, you don't even know what you're talking about. And I was like, you're right, I don't. And it came off like that.

You're right. Hey, Nathan, you're calling Wanda right now, right?

Yeah.

So it's listed. So just so you know.

Yeah. So was Tina's.

Oh, it was?

Yeah.

Yeah.

All right. We love those. She's been listed for 255 days. You got this one. Guarantee.

She's dying to get off of there. Guys, I was listed for a week and a half. It's stressful just for a week. You're like, man, I just want to be done with this. Can you imagine for 255 days? I would be— I don't even know. I want to ask you a question, Lane. I keep seeing Jerry Norton put up videos like, oh my gosh, wholesalers, you better watch out. Like, I don't know if it's more just to get the clickbait or if he's really worried. I'm not really watching a ton of them, but I don't know what your thoughts are on that, Lane. Like about—

You know, I haven't taken the time time to do a ton of research on it. All I know is, you know, there's been one state after another. I think there's 3 or 4 now where it's completely illegal to wholesale. And by that they mean you can't market properties that you don't own. So that's really, that's really how they're coming down on the law. They're just saying, I think in, uh, North Carolina or South Carolina, um, you're allowed to do one a year. You can basically— so if you get a deal tied up, you can't blast it out and market it and go sell So what are your thoughts on that?

Like, because for me, the way I go around that is just— in the way they do this in Utah is they don't market the property, they market the contract. They don't market like the pictures, they just say, hey, I have this contract, this is the contract, and then they send that contract out. That's how they get around it in Utah. This has been around in Utah for like 4 or 5 years where they've always been threatening like, you can't market properties. And it's like, fine, well, what can we do? They're like, well, you can just send out the contract that you have signed and people can see it.

And the ones that are coming down on it are realtors. It's the National Association of Realtors. Right, right. It's not like a state.

Hey, Wanda.

No, you got a number.

I'm so sorry about that. You don't own the property on Wildwood Lane.

That was good. You're so quick on that one.

Yeah, she was quick. Definitely wrong number. Well, I don't know. She sound like—

Is that the number in our CRM?

No. So what I did, guys, was— and you could do this for inbound or outbound— the number didn't seem to be ringing at all. So Wanda, the person that filled out the name there— well, I won't say the first name Wanda, and then there's a last name. So I then I looked up the property that they put in and yes, it's that Wanda's name as the property owner. And I just threw it into True People Search. And it gave me a list of phone numbers. And guys, True People Search, it's totally free. It's a little bit janky, but it's free to use and it's like freakishly good when you're just trying to find— get a hold of one specific person. Freakishly good. There you go.

And you can use that for pre-foreclosures, the people you're specifically trying to hit. But anyway, Lane, all I was saying is I wanted to get your opinion on, you know, I think whether it's double closes or just working with buyers, there's always going to be a way you can sell it through trusts. Like there's always going to be ways to work around it. I just wanted to get your opinion.

Yeah, I'm not too worried about it. I know that there's, there's kind of a lot of noise right now on social media. There's a guy, Rich— Richard Wonders here in Arizona who I know pretty well. He's the novation king, right? And so he's pretty, he's pretty loud about it because he does novations and novations. Well, that's not illegal. That's not wholesaling, right?

Yeah.

Yeah.

My big take on it is, and this has been my thing with wholesaling from the start, And I'm actually— I'm happy about the legislation because it's forcing a lot of people to change the way that they do business. Wholesaling, you will— I don't care how perfect someone's paperwork is. If, if someone is being misleading and setting the wrong expectations to a seller or a buyer and they're upset about it and they make a formal complaint or a lawsuit, you're going to be in hot water. I don't care how perfect your paperwork is or whatnot. You're going to be in a tough spot, especially when people understand the situation and they're like, dude, yeah, you clearly were misleading that person or being dishonest or you screwed that person over, whatever the case may be. With wholesaling, yes. Now, again, guys, we're not attorneys, right? Go, go consult with an attorney, blah, blah, blah. But with wholesaling specifically, I'm a really big believer in when you have the right conversation, when you frame and position things properly and you set the right expectations to where everybody knows exactly what's going on, there's nothing for anyone to get upset about. And guys, how are you going to get in trouble if everybody's happy, right? Like, no one— the seller isn't going to report you or try to make a— or try to sue you if they're happy with your service, right? And guys, that's what we're— we're in the customer service business, right? So if every deal you do, if there's a buyer and/or a seller that is not happy, you should maybe change the way, you know, you're going about the business. And again, I think I think that's why I'm happy with the legislation is, and I don't think it's kind of the new person's fault. I just, I think there's a lot of issues with a lot of the education that is out there, but that's just, that's just the way they go about it.

That's just 2 cents. Okay, man, I appreciate that you saying that too. That's good.

So a lead just came in. I don't know if you see it, Nathan, but it's a Christian, Christian Kumar. But this thing is like, it was, he pulled it off the market. He had it listed, I see, for $2.3 million. And it's over in California. This guy's filled out a form. It's in California. It's— I mean, the Zestimate on it is like $2.2 million, and he had it listed for $2.25 million. He had it listed for $2.3 million. He just pulled it off the market on June 27th. He pulled it off the market. He had it listed for $2.35 million. So obviously he couldn't get it done. On the market. So I'm gonna call him and see, see what he's got going on.

Let's do it, bro. I think I see what you're talking about now. Yeah, I just had to refresh.

Hello? Hello, is this Christian? Yes, Christian. Hi, my name is Lane. I'm calling you. You had just filled out some information about a property that you're wanting to sell on Fernando Avenue.

Yes, sir.

Well, hey, I appreciate you doing that. Um, just calling to get some more information about the property. Is now a good time?

So yeah, okay.

Well, what can you tell me about what you got going on there?

You know, this is kind of nice, cleaner house. So 5-bedroom, 3-bath. I had to move location 2 years ago. There's been a foot floor Everything works, no leaks, so everything's perfect.

Gotcha. Do you currently live in the home right now?

Yes.

Okay, this is your personal house?

Yes.

Gotcha. So I, I do see that you had it listed with the realtor not too long ago. Why do you think it didn't sell?

You know, he was not that active. That's the reason. Maybe I was thinking to sell my own.

Gotcha. Have you been, uh, have you entertained any other offers? Like, did you get any offers while you were on the market?

On the time, yes, we got the offers, but on the time I didn't accept it.

So, gotcha. What kind of offers were you getting?

I was getting like 2.1 something, but I didn't accept it. So I, I don't want to sell less than 2.2.

So you don't want— you don't want to sell less than $2.2 million? Gotcha. What kind of, uh, what kind of time frame are you wanting to sell in? When do you guys want to sell? As soon as possible. You're ready to go, huh? You guys already have another place? Already have another place where you're going? Yeah. Oh, cool. Where are you guys going?

Yeah, going to Minnesota.

Minnesota. Wow, that's a, that's a change. Okay, well, obviously, you know that, uh, you know, we are a cash buyer. We don't have any realtors with us. You know, we'll pay all the closing costs, that sort of thing. It's just pretty straightforward as is. You know, could you, if you did get an offer like that, what kind of price would you be able to do for me?

Uh, you give me your offer, then I will let you know.

Okay, well, I can do that. I can take it. I mean, are the, are the pictures that I'm seeing online, are those current? I mean, anything changed since then?

I don't know. You will see the whole picture on you. I don't know.

So I'm looking— I just send you the photo. Yeah, I'm, I'm just looking at the ones that, that were on Zillow. Is that when it was most currently listed?

I think that's the old one, like from when you—

when— okay. And this, this is saying that it has 2 baths. Did you say that it had 3 baths?

No, it's 3 baths.

Yes, I already had a bathroom like, uh, 3 months ago.

Okay, you just added it 3 months ago, you said? Yeah, 3 to 4 months ago.

Yes.

Gotcha. Cool. And was that bathroom— was it permitted when you did it?

Yeah. Yeah.

Okay, perfect. Um, yeah, if I could get current pictures, I could, uh, you know, I could run it through our underwriting. We'd run all of our numbers and kind of figure out what we could pay. It's a little bit on the higher end, um, of the homes, but, but that doesn't, doesn't scare us. We can still make you an offer. Um, I'll just tell you right now, I don't think I'll be anywhere close to $2.2 million. I mean, I do see that you were listed for $2.3 million and it didn't sell at that price. So I just got to kind of wrap my head around what we think that actual value is, and then, you know, back into our number, run our run. It looks like a beautiful home. Is there anything that, in your opinion, that still needs to be done with it?

I don't think so, because it was a new roof almost in 2018. Everything's kind of new.

Okay, so new roof. What about the AC unit? Do you know how old that is? So no AC. Is that typical in this area?

Yeah.

Okay, so just a heater, roof. Looks like it's pretty— I mean, newer windows as well.

Yeah, new window. There's a solar panel, it's paid off, so Okay, good.

All right, well, let me do this. If I could get current pictures, um, I could have you an offer by the end of today. Do you want me to text you my email to send them to, or how do you want to do it? Okay, you want to text them to me?

Yes.

Perfect, that'll work perfect. If you want to do that, then I can, you know, do what I need to do and, and call you back with an offer.

All right, that's good.

Thank you.

Thank you so much.

All right, bye.

So I kind of wanted to just, in the conversation on this particular one, because it's, it's— I mean, let me— I'll share my screen. Well, it'll show the address, but I mean, it's in Sunnyvale, California, and it's $2.25 million. Uh, Redfin has it worth $2.6 California's nuts, bro. So yeah, it's just gonna take a little bit more sharpening my pencil and looking at current pictures to kind of figure out. But you know, I wanted, I wanted to let him know right away, like, I'm probably not gonna be anywhere near $2.2 million.

Well, this is—

you were on the market for $2.3 million and couldn't sell it, right?

Right. Yeah, like, if it didn't sell on the market there, you're probably gonna have to be like $1.4 million. I'm just throwing— thinking just where would make sense.

50%.

Yeah, like, because if it's not selling on the market, what can you do? Like, okay, let's talk about options. This is good for us, uh, for people to learn. So if it was already on the market, would you, would you pitch a novation? Would you pitch like, hey, let me take this back? Or would you say that, or would you just be straight cash or creative? And those are like, what, where would you take—

Yeah, I mean, I would lean cash and creative. The, the novation, he's already been out there, he already knows, you know, what his realtor costs and everything are going to be. So I think that would be pretty tough to talk him into doing that and just having, you know, basically me list it for him.

Yeah, that's what I was thinking.

I, um, yeah, for, for him, I would— and guys, sellers like that where they're like firm on price and like, ah, well, you know, just give me your offer and then, you know, I'll let you know what I want to do— for that, I personally, I like to try to dig a little bit more as to why are they even selling it to begin with. And he was like, oh yeah, no, as quick as possible because he might be one of those sellers to where, you know, just, just let it cook, you know, and just say, hey, you know, honestly, I'm probably not the right buyer for you. I'll tell you what, why don't we just call it a no, blah, blah, blah. Hey, if I can help you out in any way in the future, feel free to reach out. And then because it sounds like there's a ticking clock for sure with that guy, like he has urgency, but he also— he's stubborn on price.

He doesn't want to play his cards either. You can tell he's not going to give too much information at the moment.

Yeah, yeah.

And I just, I just looked up on, on Redfin, it has older pictures. So he has the— and then on Zillow, it seems to have the pictures of when he just canceled the listing.

Do, um, do we got time for me to call Tina back real quick? Heck yeah, let's do it. Let's do it. Tina, tell me about this listed house.

Yeah, you got— we're on fire today, boys. These people are picking up. Julia says no today is yes tomorrow.

Hey, Tina, it's Nathan.

Hey, Nathan, how you doing?

I'm doing well.

On the way in the car right now. Nathan, give me 2 minutes, I promise I'm gonna call you back, okay?

All right, stay by your phone. All right, I'm setting a timer. I'll talk to you soon.

All right, so I'll see you in a minute.

All right, bye-bye. She's nice, she's nice.

I love it.

A little bit of icebreaker.

Yeah, that was nice, man. That made me laugh. I'm setting the time.

I'm gonna call this guy back right now and hit him right between the eyes at 1.2. Christian? Christian, you there? Can you hear me?

Yes.

Hey, sorry. Um, yeah, so I ran this real quick. It didn't take us long. Um, I'll be honest with you, I, I don't— I'm probably not the right buyer for you, um, on a cash transaction, just in the state the market is right now with high interest rates and everything, we gotta, we gotta stay pretty conservative. I mean, just looking at recent comps quickly and kind of where things are at and how long they're sitting on the market in this price point, I mean, we're going to be coming in at like $1.2 million cash net to you. Um, yeah, and that's why I wanted to call you back. That's why I wanted to call you back right away and just have that conversation with you, just out out of curiosity, Christian, just out of curiosity, have you considered selling the home on terms, like doing seller finance? No, no, not interested at all, or you haven't considered it?

No, no, no, I don't want to feel like that.

Okay, all right. Well, hey, if anything changes, give me a call.

All right, thank you.

All right, thank you.

Executed with perfection. Exactly what Nathan Payne did. You hit And guys, you know, it's really interesting. There will be new, newer investors that get this lead and they will follow up with that guy and not have that conversation you just had. They'll do that for months and months and months and months wasting their time. So not a complete waste, like a complete waste to just keep, hey, hey, blah blah blah. I would just say hit him. Now you know where he's at. Maybe put him in a long-term drip.

And that's right. That's exactly where he's going. He'll move over in the CRM and he'll get a text message and email every 30 days. Maybe something will change, right?

But not, not worth you specifically picking up that phone and, and calling anyway, right?

I mean, if you're gonna do that, you're really gonna piss him off.

Yeah.

I personally like to do, especially when I know like, okay, this is gonna be a no, but it could be a future follow-up. I never like giving— I only like giving my firm price offer when I know it's like like, okay, they're gonna say yes, or like, like, we're right there at the ballpark. If it's a no, I like to say, ah, man, like something along the lines of, of, you know, uh, what was his name?

Christian.

Christian. Like, man, Christian, look, I, I took a quick look at it. I'll be honest, you know, and pretty much just what you said, right? Like, hey, I really don't think I'd be the right buyer for you. I don't know exactly to the penny what our offer would be, but I mean, oh my gosh, I would be so far off that, I mean, you, you'd probably want to hang up the phone on me right now, and I don't want to insult you with a low offer. All right, and 9 times out of 10 they're going to be like, so then why'd you call me back? Well, or they'll be like, well, what is it?

Because, guys, the human brain has an issue with—

you dangle the carrot and it's like, do I? And, and then again, you can still leave it open to be like, honestly, I, again, I don't know exactly where it'd be, but it'd probably be somewhere into like the 1, 1.1, 1.5. And I get that, like, just ballpark, but it'd probably be around— and guys, you want to give a spread to where it's wide enough to where it's like they still have kind of no clue, and you leave it wide enough to where they don't know. And so when they are ready, they're like, well, you know, he kind of had this ballpark. I mean, depending on where in that ballpark it falls, and it creates that intrigue for them to want to reach back out, or at least, you know, answer your follow-ups. Again, just my personal preference. A lot of different ways to do things.

I'm gonna bounce here, I— but real quick, I'm going to tell you where I'm going. I had a lead come in 2 days ago, a lady here in Phoenix, Arizona— that's where I'm at— she calls up, or she actually didn't call up, she filled out a form. We call her, call her, call her, she responds text only. I'm not gonna— I don't want to talk on the phone, I just want to text.

That happens, and it's weird.

We're like, okay, well, I looked it up. I mean, she is the owner of the house. She bought it, you know, I don't know, 2019. Anyways, find out, you know, she's facing foreclosure. She's 2 months behind, so maybe one more month they'll file for foreclosure. I said, hey, we can set up a time. I need to come out there and see because it's here local. If it's local, I'm gonna go out there 100% of the time if I can, because you're, you know, it's way better and more effective to buy belly to belly than it is to, you know, just try and do it over the phone. But anyways, so she's 2 months behind. She's like, I have 5 kids and I just want to save it from foreclosure. House is worth about $360,000. What would you offer, Nathan Payne, just without no knowing condition or anything? Yeah, you want my Walmart calculator?

I'd probably go depending if it's just normal from what I think it need to be like $220,000. That's probably if it's worth, if it's worth $360,000, $220,000 would get you enough to rehab it and make a profit if it's in bad condition.

But yeah, I mean, I'm licensed here in Phoenix, so I see it was rehabbed pretty much except for the kitchen when she bought it. Okay, so I'm going to go offer $245,000.

Okay, so we're pretty close. Yeah. Um, and what's the plan? What's the plan? You take it down, you close on it yourself, and— or are you looking to wholesale?

No, I, I'm gonna wholesale it probably for $270,000.

All right, brother.

Nice.

Well, you're gonna have to get it though. And what's funny is I know one of the biggest buyers in Arizona is coming in right behind me.

Who is it?

Doug Hopkins.

Oh, is this not one from Doug?

No, no, this one's Phoenix.

No, no, I mean like one of the leads, because I know sometimes you get, uh, Yeah, him and I have a JV agreement to work his that are outside of Phoenix. Oh gosh, okay, so now you guys are on— you got one in Phoenix.

Now we're up against each other.

Okay, but I got everything.

I'm gonna go get a house.

Get that.

There you go, brother.

We believe in you.

See you guys later, buddy. We're gonna, we're gonna give another minute or two for Tina to call back. In the meantime, man, I owe I always saw pretty much my entire wholesale career, with the exception of my very first deal. My very first deal I did in like my local market, you know, I met with the seller, I walked the property, I took the pictures myself. Every other deal after that has been in like states that like I've never even been to, or like I did a bunch of deals until I even visited them. But I've always wondered because I hear about, you know, in people that do work locally and they do in-person appointments and they're in hot markets, I always hear about like, oh yeah, like, you know, there'll be a wholesaler walking out on, you know, when they're going into their appointment and there's like another wholesaler following up behind them. I've always wondered, like, is there like, like some trash talking going on, like walking in and out of the house? I mean, oh, I, I love, I love being competitive. I also like a good joke, 100%. If I knew if there was a wholesaler walking out or a guy following up behind me, oh, absolutely, I'd be playing head games in, in good fun, in good fun.

No, so, um, for me I've gone on a lot of seller appointments in person, and when I know someone else is coming, I just say, hey, look, you know, there's going to be some other people that are going to, you know, make offers. If you can just at least let me, you know, match or beat the offers that they make, that's— that's— I'd like that. And, you know, you don't always get that, but that's kind of— that's how I kind of play it.

Yeah.

All right. Here's what I'm going to do. We're going to— we're going to call Tina back. She said 2 minutes. It's been 5. I'm gonna let her know.

Here we go. Call her.

About to leave the office.

Police.

Hey, Tina.

Hello.

Hey, hey, hey, it's Nathan.

Yes, I'm back. I'm sorry, I had something going on. I had another call. I'm sorry.

No, no problem at all. I totally get it. I just— I wanted to make sure I catch— caught you before, uh, before I left the, the home office here. It sounds like, sounds like you've got a busy Thursday.

Yeah, somewhere. Okay, so let me take you off. Okay, okay. Yeah, so, um, okay, okay, I'm back. So what did the number that you come up with? I can hear you, Nate. So, um, Oh, what? Nick, can you hear me now?

All right, I wasn't sure if you're chatting with me or someone else.

Okay, yeah, so just tell me. So I think, um, August 2nd will be out the house. Um, so what number did you come up with?

Well, so here's kind of— yeah, I'll explain a little bit how it works. So what this is, this is a quick conversation, you know, 10-15 minutes. Ask some simple questions, learn a little bit more about property condition, things like that, you know, your situation. Things that are important for you guys. Um, real basic stuff.

So, so right now we're looking at $239,000 to walk away cash out, um, as is. We won't be on the property, um, as of August 2nd. I can, um, give you more information tomorrow after 2 o'clock. That's what the lady said, she's coming back up to 2, so we'll be able to go into more details. But the house will be vacant in the next, next week, within a week and a half it'll be Okay, within a week and a half it'll be vacant.

And then you said— I'm sorry, said it— you said you, you have an offer for $239,000, or that's what you need to sell it for?

Yes, that's the lower— that's the lowest I'll take. That's the lowest I'll take. So if you're willing to give me that amount, then I guess we can see.

Yeah, well, I, I mean, I'd love to learn a little bit more about it. I mean, my number one thing is, is if it sounds like something, you know, at the end of the conversation, if it sounds like we're able to be a good fit great, you know, we can chat a little bit more as to what that might look like. But if not, you know, that's totally okay too. No harm, no foul. Usually at the least I can point you in the right direction.

Have you actually seen the property yet?

No. So we first, we kind of have an introductory conversation, you know, to see if it's something that we might be a good fit for you. Because if not, then at the very least I'm pretty good at at least pointing you in the right direction.

Okay.

Now with the house, yeah, I see you have it listed On the MLS with an agent?

Yeah, I guess I'm working with Keisha.

Yeah, walk— unpack that for me. What's, what's going on with that?

Well, um, I've been in the house 7 years and we just decided to— we just decided to get something smaller, so we don't want, um, the size anymore. So downgrade, I guess, the size of the house.

Okay.

Um, we've been in it 7 years, no major issues, you wear and tear, I guess. That's basically when you sell the house or whatnot. But it need carpet and it need paint. That's about it. So I've had different offers, but I'm not willing to take under $238,000.

Got it, got it.

The house is over there. Like, my neighbor just sold it for— to— my neighbor just— my name— wait, wait, wait. My neighbor just sold it for $345,000. So, um, with unfinished basement. So the house is over there anywhere between $270,000 to $305,000, $345,000 within 45 days. So I just had a situation that I decided not to sell it. So we're gonna pick it— oh, not right here now. Okay, okay. So, so what number were you, uh, what number did you come up with so we can—

well, so, so you're saying $238,000. Now, $238,000, that's, that's a very specific number. I'm— it's, it sounds like there, there's a reason as to why it needs to be at $238,000.

Well, no, not necessarily, because if you look at it on the online, on market, I got it for $250,000. But if— okay, so it's $250,000. But if you're willing to give me cash, then of course I can go down because it do need a little minor work done. Like I said, maybe it needs a little carpet and then a little paint Got it, got it. So if I have to do it like I was discussing it with him, because I do have the house with, um, Tony Durham, so if we do it together, then of course if I— we put the work in it, the money, then it's going to be $269,000. It's actually going to be more than $250,000.

Yeah, what's, what's holding you guys? But I mean, you know, because you'd probably get more money if you were to do that. Is there— what, what's holding you back from just kind of fixing it up yourself?

I, I have it my name on it as well as someone else's name, so it's just like, okay, now it's kind of being difficult. But now he said, he said it's okay, so we're gonna sell it. So it's a done deal now. It's just going back and forth.

Okay, got it. So it— okay, so it sounds like the other person involved—

so we was engaged, and then— so now that's why— that's one of the reasons why that we're selling it, that we're separating, so, you know, we both can walk away, you know, with okay, being fair towards each other. That's all.

Okay, no, that makes sense.

Right.

Um, now is— I know you said it's going to be vacant August 2nd.

I'll let you know for sure tomorrow because, um, she's going to call me tomorrow at 2 o'clock. So if everything goes through, then August 2nd I'll be out the house and we'll start paying. Or if I get the offer that I want, yeah, then we out.

Okay, now I, I mean, at a quick glance, I mean, it looks beautiful home from the pictures. It looks really nice. Um, I don't— I I think it's reasonably priced. What, um, I guess, what, what do you feel like has been holding people back from, you know, moving forward?

And we do need carpet and also need a paint job. So once those two— then, because it looked just like that in February, but he decided to take it off the market. So like I said, it's in both our names. I can't pressure him to sell it, but now he's really interested in selling it. So that's why we're proceeding now I'm going to sell it.

Okay, got it. Um, is— I mean, is it, is it an option? And I'm just trying to think of what— how you can get it. No, no, no, totally understand. Yeah, I was saying, is it an option to— because it— I mean, it hasn't been listed that long, you know, right? Is it possible for you guys to just kind of keep it listed, you know, for another 3, 4 months?

Yes, yes. Yes. Okay, I know if not, if we sell, if I get my offer. So like I said, I've been going in different offers. It's $225,000, it's $225,000 and $229,000. So when someone come with $239,000, of course, um, we're gonna take the deal.

Yeah, I, um, now I'm gonna say, is, is the mortgage that's in place, is that in both of your names?

Why you say that?

Why you should just Oh, lost her.

So that's a tough one, bro. When they're not fully paying attention, I'm almost like—

so this is— so many people will jump right into like, oh, we'll talk about terms and creative. And that— this is why I, I really hammer down so much on learn what the motivation is and what's going on. And see, it took me a couple questions to get to it, but she was engaged. Something happened.