How We Seller Financed 7 Figures In 7 Minutes! (Step By Step)

Within the first 7 minutes, they asked the question of, well, what would it look like if we funded the entire thing? Today we're talking about how we raised 7 figures twice in 7 minutes.

Hey guys, welcome back to the channel. I'm Christian, this is Cody. If you haven't yet, please like and subscribe to the channel, and here we go. So Cody, how did we actually raise the first 7 figures, multiple 7 figures for the Robin Hood.

Well, we smiled and asked nicely.

There we go. And that is a YouTube video.

No, how we really did it, we found the Robin Hood Village Resort. It's in Union. Check it out, RobinHoodVillageResort.com. Our friend Dion, Dion McNeely, his Financial Freedom YouTube page, he sent us a DM, and by us I mean Christian, and said, hey, there's this really sick resort to off-market, zero money down, seller finance, and it's going to make a million billion dollars. And that piqued interest.

Zero down was in the budget.

So we ended up driving over, checking out the resort. We met with the owner, started talking, and we walked around the campus, and then we sat down. And within the first, just I'd say 5, 6 minutes of talking with them, they brought it up and said, hey, we'd be open to seller financing. We want $1 million down. So boom, just like that, we got $3.5 million in commitments from the seller.

Now we were told $0 down. That was technically true. It just had a lot of zeros and a 1.

And a 1. The 1 mattered because of where it was at in relation to the decimal. But just like that, they said, if you give us $1 million down, we'll finance the rest. Well, we were buying it for $4.5 million. Within just the first few minutes of conversation with the owner and the seller, they committed to lending us the difference, which was $3.5 million. 7 figures in less than 7 minutes.

Yep. And we're just about to get into the other 7 figures. Where do we find the million dollars? But I just want to point out that was the first time that we've ever done or committed to a million dollar raise. When these come together, it always goes deal, then debt, then equity. So we weren't worried about the million dollars yet. We were committed to finding it, but the deal merited it. We locked down the deal, we got the seller financing, That's a bulk of the money for the transaction. $3.5 million of $4.5 million answered for.

Now, right now we're in Renton, we're exit 7. Little ways over there, there's a Starbucks. And so we called up a friend of ours, just a business relationship. They actually sold Christian his first duplex he ever bought. True. And I ended up borrowing money from them in the past just on a small scale. I did a little flip. I flipped a house in Puyallup. They lent me the money to buy it. And fix it up. Well, we called them up and we were hoping to get $200,000 to $250,000. Within the first 7 minutes, they asked the question of, well, what would it look like if we funded the entire thing? To which I responded, well, it'd look like you giving us a check for about $1 million. And then they laughed and said, okay, let's do it. Within 7 minutes, we got a commitment for $1 million. Some people say there's a whole bunch of back and forth when it comes to coming up with money. Not really. If you can keep it simple, concise, share a vision, how the money is going to be protected, how it's going to be stable, and how they're going to get paid out, it's really easy to make money up here. That is the reason we talk about deal, then debt, then equity. Within a very short period of time meeting with the owners, we sat down, we started talking numbers. They offered to lend us $3.5 million. Within 7 minutes, just across the street from where we're at, at a Starbucks, we got a commitment for $1 million. In under 7 minutes. And just like that, 14 minutes total time period to come up with $4.5 million, and we bought a resort zero money down out of our pocket.

Yep, and that's all you really have to keep in front of you. Whether it's the seller-financed money, additional debt, if it's equity, it's all done roughly the same way. First, you have to figure out what is their actual goal. There's going to be something that— there's a reason that they want to lend, or there's a reason that they're selling. What is the real thing? For the resort, the owners, that million dollars, that really was the thing. They wanted to move to Costa Rica with a million dollars in hand and then have stable cash flow with a seller finance note. Like, that hit all of their goals. The million was the non-negotiable. So we're like, okay, we can work everything around that. We custom tailored our interest rate to 4.5%. We— I mean, really everything. The price was a lot less than they originally listed it for. We tailored what worked for us where we knew we could service the note and we hit their goal. For the other side where we found the million dollars, they wanted to place capital into a large piece of real estate for the tax benefits. They wanted to stay on that deal for a minimum of 5 years. They really wanted somewhere to park capital and be an equity partner. Now, we don't like long-term partners. We want to own all of our stuff, so there has to be the buyout. But that just set the parameters. Okay, they need to ride with us for a minimum of 5 years. And we set the buyout for, hey, we're going to buy you out between years 5 and 8. Tons of flexibility for us, hits all their goals. And then all you have to do is explain, okay, here's how your money's safe. That's really important. And here is how we're going to grow your money or what other benefits you're offering on the deal. And that's it.

Now, if you'd like to repeat this for yourself, the simplest way to do it, you find an opportunity and you figure out a way where you can get in and actually add value. Everybody looks at the price, but value is way more important than price. Find an opportunity where you can create value in it that no one else is seeing. And when you're building these relationships with owners, brokers, investors, you match their goals with the outcome of that deal that you're projecting to hit. And once you bring it together, you share a very simple path to go from A to B. It becomes very easy to come up with money with the people that you're building these relationships with. And then you just get to mix and match all the different puzzle pieces to create one big picture. And that, that is how we do everything we do, whether it's with the 38-plex, whether it's with the resort. We're working on a 60-unit, a 50-unit, a whole bunch of different deals. We never have any money because we throw it all into our real estate for rent out, but we're confident we can put it together because whether it's raising $100,000 or a million dollars or more, we just match all the right players with the right opportunities and we can come up with money. Within 7 minutes.

Now we had this question earlier today, and I think this is really important to know. When you line these up correctly, the deal, the debt, and then you work on that last piece, either additional debt or equity—

equity, yeah, equity—

when you're working on the equity piece, the last little bit of your deal, it is always going to go in that order. And when you have the right deal, the money has always come together. Someone asked us, hey, have you ever struggled to find the money at the end of the deal? It is not something that we've ever come up with We've never actually had a mentee who had a truly good deal who had any struggle raising the capital, as long as you keep those in order. I'm sure it could happen, but 100% of the time we've been able to go through this process the exact same way, the money's always appeared. There is more money out there than there are fantastic opportunities. Find that opportunity first, figure out what is the correct structure for this, how do I protect their capital, and how do I grow their capital. And keep that pitch really simple. If you're looking to raise, whether it's $50,000 or 7 figures a few times over, is an exact model that is simple and repeatable.

And just remember that money is only an issue, it's only a sticking point in the absence of value. So if you love your deal, you really want to buy it, figure out how to increase the value of the opportunity. It could be just negotiating that rate down, getting a longer-term debt product, or getting a lower price. You get to play with all the pieces, but if you can increase the value money will not be an issue for you.

And if you need a place to ponder all this, check out RobinHoodVillageResort.com, the seller finance resort.

And if you want to take it one step further, you should check out MultifamilyStrategy.com so you can study how to repeat this at the Robin Hood Village Resort.

Yes. If you do both, I will see you there in person. I guarantee that.

All right. Well, just let us know in the comments if you want to sign up for Multifamily Strategy. We will see you at the Robin Hood if you want to go take a visit. We can go kayaking and grab coffee. And that's a wrap for today's video.