EP 366 – What The Future Holds

This is the no Closer show where you get the latest developments in distressed note investing and learn the secrets of how you can control millions of dollars worth of property for pennies on the dollar. Get educated and entertained by someone who has closed thousands of deals and lives to support you in achieving the same. Now here's your host, CEO of We Close Notes, Scott Carson.

Good morning, good afternoon, good evening, everybody. Welcome to this episode of no Closure Show. As always, I'm your host, Scott Carson. Excited to be here. We didn't do an episode yesterday just because he kind of getting caught up from being gone over the weekend. And I have to give a big shout out to Leon Griggs and his whole staff and community up in Rochester and Waterloo, New York, for the first Upper New York Real Estate Summit. Had a great time out there. Great hanging with Mr. Landlord Jeffrey Taylor as well and a few of the other speakers. Just a great group of people, great environment. So big kudos to Leon. Thank you for having me. It's honored to speak there and excited to have our new students that decided to sign up for our Note Buying blueprint. But what I wanted to talk about today on this episode is kind of the future. Now, I'm not talking about the next 90 days. I'm not talking about just 2019. Now I talked a little bit last night on my 100th episode of note Night in America last night. We called it 2021, a note odyssey. And I wanted to come back and spend a little bit time on what I talked about there today on this show. For those that maybe don't watch no Night in America or aren't catching it. That's cool. That's quite all right. Highly encourage you to because we have a lot of good stuff today I want to talk about. I see some other people there. Hey, Eric. Hi. Good to see you guys. But one of the things I wanted to talk about with you guys today is where do you see yourselves in the next three years? And that was the whole kind of premise of last night's webinar. Where do you see yourself in the next three years? Where are you growing more? So what's guiding you down the line? But where do you want to see yourself in three years? Think about this. Now, there is no right or wrong answer here. This is completely what you want to accomplish. And I have to give a big shout out to our good friend Michelle Young, who's been on here before, spouse and wife of Erin Young. Michelle does a great job with talking with people and she's been a Life coach for a couple years. Gonna help a lot of people. But this is one of the things that she does. Gets everybody to take a look at where they wanna be in the next three years and they start to visualize it. What would you do if money was not an issue? What would that look like? Describe it. And so she did this recently at Aaron Young's Magnify youy Wealth at the Inner Circle Mastermind. Great event to go to if you're part of the inner circle over there. And I don't think enough of us do this enough on a regular basis to guide us. I know that we all get bogged down into paying bills and running from one event to event. And you've got kids and you've got work, you've got other things you're working on. I totally understand that. I totally respect that. But I think we have to take time to reflect on where we're at and where we ultimately want to be. Are we on the right path? And you have to do, especially if you're married or you have a spouse, significant other, you've got to really share your dream of where you want to go because otherwise you can splinter off and go in different directions. And I've seen business relationships, I've seen business partnerships splinter off and go in different directions because they did not stick to the ultimate goal where they wanted to be. I only bring this up because this is a very important aspect of where you want to be. We all want to close more deals. We all want to raise more capital. Right? That's pretty obvious. We all want to make more money. But what do you ultimately want to be? Where do you want to be? I know that some people like Eric Hyde or Chris Sevigny or some others out there want to speak more. And I think that's phenomenal. They have a meetup group. They're starting to build their audience. They're local tribes within tribes. And I love that. That's great. What does concern me is you want people to make sure. I want people to make sure that they don't fall on their face. I want make sure, hey, there's a step to doing things, to building an audience, to building levels of where you want to be. And it's not an overnight process. It takes a little while. Takes a little while to build up a local audience before you start teaching. Takes a little while to build up a tribe around you that can capitalize on what you're trying to do and make it a win win. And we totally encourage anybody out there who's wanting to start a local meetup, groups or start to network with people. I think that's a phenomenal thing. Just make sure you do some great things to help capitalize it. If you want to spend some time on the phone, hey, I'm glad to help out and talk to Eric Hyde. Taking the opportunity. Chris, Benny, a few others have taken the opportunity to reach out to me, and I'm glad to help guide them in any ways we can. But what I'm trying to get at is ultimately starting something is great, but what do you want it to lead to and where do you want that to go? The only reason I bring this up is this is something that I have been working on and it's been literally on my mind on a regular basis. I've talked about this with Steph. We've talked about it. Where do we want to go? Where do we want to see ourselves the next three years? But I'll tell you this right now, the last 10 years has been crazy. The last five years have been even more amazing. But what's scary is I was looking at numbers. I was looking at those who have signed up for Note Night in America and who have signed up, who's around this time, who's still around. And I will tell you this, over half of those that are listening to this, that are in the industry now probably won't be in the note industry in three years. I know it's shocking, but probably half of you, and I'm not talking about anybody that's loyal here's buying deals, stuff like that. Those that are kind of on the cusp, that aren't doing things, in three years, you're not going to be here. And that's scary. The reason is if you're not taking action on what you're doing, you're not going forward, or you think you're having a mind block of this is harder, this is difficult, I can't do this. Eventually you're just going to give up on yourself and move on to something else that you're going to fail on. I don't mean that in a derogatory fashion. It's just what I see, and it's unfortunate. The only way to get outside of that, to make sure that you're continuing to grow, is to take action, is to make offers, is to be marketing, is to be raising capital, is to be networking on a regular basis. Let's face it, some of the people that have been great and with what we've done in the last five years are really no longer in the known industry. They've disappeared like dust. I think half the educators out there aren't going to be there. Erica says. I think it's more than 50%. I would think it's less. I would wish it was wet less than that exactly. But I think it's it probably is more than 50% but who knows. People leave for a variety of reasons. Either hey getting too busy in their job and they can't do it. They don't have this free time anymore. They've got life occurrences. Kids growing up they don't have. They're still working full time job. They may not have the bandwidth to jump into it. And I respect that. I will tell you this right now only about 10% of people do anything anyway when I teach a workshop or when I you know, we have Note Camp and I provide the list not to Every only about 10% of people actually ever send an email out to the entire database that we provide at Note. Oh by the way, Note camp tickets are 3.99. Go to notecamp live to get signed up right now for it. Great event. If you're listening to this online, do so now. If it's after Note Camp, you're listening to us. Our next one will be in handful. You can get signed up now for the early bird special for that one. But it's right now November 15th through the 18th note Camp 6.0 is be taking place. But literally what happens is when I teach an event, a workshop, a conference and I see less than 10% of people that were there and that's scary because we'll have 700 to 1,000 people. I see less than 100 people taking action after events. It's kind of frustrating. Yeah, I want people to take action. I want people to do big things. I know there's people that been around for a while, there's people that have done a great job with their groups and continue to do things and Eric, you kind of hit the nail on the head there, buddy. Eric Hyde shares on this because I think Most people think it's 1 get rich quick 2 too difficult 3. Don't fall through and push themselves. It's mostly number three is what it comes down to. Unfortunately. A lot of times people are looking for the great which get rich quick scheme and they keep bouncing around from one thing to another to another. If they just focused on one thing, they'd have a lot more success than bouncing around too difficult. It's not as difficult as as we make it out to be. It's part of the reason we bring on so many great students, investors here on the show to talk about it. Eric Hyde's a great example. Thanks for sharing, buddy. You're still working a full time job and you end up closing what, 30 plus deals. Laura Blunt closed on over 50. Chris venue's over 50 as well and many of them are still working full time jobs. They're just using the right systems and they're coachable with what we share and they're implementing the things, which is great. So the thing is you look at where are you wanting to be in three years, kind of drawing it back into the thing. Where do you want to be in the next three to five years? That's 2020. Now I mentioned last night the call that there can be some major changes taking place in the industry. Like I said before, I think half the educators won't be here. People that aren't closing on anything, aren't doing anything on a regular basis are going to be out of the business because they're just not making enough money trying to teach on a part time basis to handle everything. They're going to be going to their ea, they're doing the rentals or landlord stuff and that's totally fine. There's nothing wrong with that whatsoever. I think that's phenomenal. That's great. Nothing wrong with that. I see a lot of second lien investors who've bought seconds that are trying to start selling now because they're afraid of the downturn going to be taking place because they don't want their fully encumbered second to be unencumbered when the property values drop. That's another big thing I think I see. And then thirdly, I think you're going to see those investors that take the time to market to put funds together to buy in bulk having a lot more success than those that are trying to be the one off buyers. I think the one off buyers, the one or two got, you know, note deals, they'll still always be around but I think they're just going to be price out of the market because those that are buying in bulk will be able to take advantage of the opportunities that are hitting. Especially when the larger funds start to move their assets, their portfolios. I'm a big believer that I think we're going to see Goldman Sachs be out of business, out of the note space in three years. And people are asking well why? How do you determine that? Well, if you look at what they paid for all of these non performing loans that They've bought, they've overpaid, way overpriced the market on those pools. They way overbid everybody else. Well, what happens when the market turns south now? I know yes, they get a dollar for dollar discount off of every dollar that they forgive towards their big fine. But what's going to happen when the values turn south below what they paid for? Now they're in a negative asset. Now they're an asset that's losing money. I don't believe that they'll stick around for it long term. I think they'll start dumping those and carving those portfolios out after 12 months. Now that once they've gone through that 12 month period holding on these assets now they can move them. They know what they're going to modify, they know what they're going to have to foreclose on and be looking to move those to dump them off their books. I think that's going to be a big sell off on things. I think that's going to affect a lot of things. I'm a big believer. Interest rates are going to increase. We're seeing increased default rates across the board. Not only just housing in other areas but days on market. I think Florida is going to be a big catalyst. I think California's big catalyst. Values start to drop here sooner than later. Interest rates are going to increase obviously across the board. That means credit lines we tightened up. And what I think in 2021, one of the biggest catalysts that's going to happen obviously is that I think we're going to see more and more drones delivering things that drivers used to do. And then Uber is eventually, I think going to go to an automated driverless car and a, we'll probably see more driverless trucks with the freight companies out there. And when you don't have to pay a driver and you can drive non stop without having to rest and can do it without accident. That's going to lay a lot of drivers off. It's going to lay a lot of taxi cab drivers off, label a lot of Uber drivers off that are trying to, to make ends meet, trying to pay their mortgage by being an Uber or Lyft driver. That's going to affect a lot of people. You have more default rates, you're going to have a lot more people on the lower class that can't afford to make the mortgage payments that are going to fall eventually. Because let's face when you go, the middle class is going to be shrinking dramatically between it. So that lead to a lot of default rates. It's going to, I think marijuana will be legalized in the next three years across the country. And so I think a lot of people are going to dive into that aspect of it and some sort of things. So you're going to see a whole another type of commercial asset with distilleries and grow houses that, and loans that pop up for those kind of things. That's gonna be a nice little boom, the green boom, I think. Does all that mean for you all? Are you protecting yourselves? Are you buying assets that make sense? If you do lose 20, 30% on the value, you're still sitting in the black. And I know people reach out to me, I think war reached out to me the other day and ask, well this guy's wanting like 75% or 68% of UPB and like that just doesn't make sense. Don't buy it, just walk away. Walk away. When people are bidding off values and that are above the UPB on assets, on contract for deeds and loans, just walk away. Those people are smoking some serious crack already. There's no reason for you to do it. But look at where you want to be in three years. Think about this. Because the 36 months can fly by if you don't pay attention. If you don't pay attention, don't plan. It will literally eat you up. Your calendar, your events, your life will eat you up. And you'll be sitting back, looking back at 20, 18 and 20. I'm like, man, I'm no longer no further along than I was back then. So what do you need accomplished? What do you want to accomplish? Is it leaving a job? Is it starting? Is it to make money in the no business? For some of you that haven't closed on deals, you need to start making offers. And I know based on seeing some other groups, people like, oh, I'm scared to make offers because raising capital. I'm scared to make offers because I don't know where to make offers. Well, that's it concerns me when I see stuff like that because people know where to make assets. I mean make offers. You've heard me talk about this for years of going on either Lane Guide or Distress Pro or the Texas Mortgage Bankers website or just LinkedIn and reaching out to asset managers. Little things that you can do on a weekly, daily basis even if you have a full time job. Things you can do from 7pm to 2am at night. Find deals. You just have to freaking market. Get things done. If you're worried about raising capital and then pull up some ira Investors in your area, start networking, start reaching out, start building your tribe. If you're not gonna do either of those two things and you're suffering from paralysis. Analysis. I'm sorry. You have to expect not to have any success. You have to expect if you're gonna be stuck because you're scared of your own shadow, you're never going to outrun your own shadow. I'll tell you this, that little sucker's attached to you at the hip. So here's where I believe that we will be in the next three years. Like I said, there's gonna be a lot of assets sitting in the market. I think you've gotta be prepared. Those investors that have funds either marketed for raising capital or have a fund put together that actually is feasible will clean up. It means for a lot of opportunities for things out there, because money will be a little bit more expensive, but still relatively cheap. And there's plenty of it in the market looking to be put to work. So I think those that are competitive, that are marketing, that are reaching out on a regular basis, that have a viable business. I don't care if you've bought two assets or 200 assets. If you focus on where the market's going and you have a building a strong business and stick to it, you're going to find plenty of opportunities. I mean, I already see people that have bought hundreds and hundreds of assets that really aren't doing much these days. They're just kind of chilling back and enjoying the cash flow. And that's totally fine. You just have to be prepared that if things go practical stuff, you may have to adjust your, your payment models or your modifications to allow your borrowers to be able to continue to pay. I know that people are like, oh, I'm gonna go up to higher valued asset. That's totally fine. You just have to expect it. At some point it's going to not be as extreme as it was a decade ago, but you're going to see like the 125, $150,000 assets are really worth in the mid-90s, 100 some droppage in value by the right price to stick to your guns. Don't overpay for assets right now. In the next 90 days, stick to your guns. The market will correct itself. Of course you'll have some idiots that overpay for stuff because they just don't know any better. And that's fine. Let them. You'll be buying those assets back cheaper from them in the long run. But what I'm trying To get at here too is what do you want to accomplish? Is it more note steals? Is it leaving your job? Is it doing something big? Is it moving, traveling the world six months out of the year? What does that look like to you guys? For me, I visualize being in the Caribbean half the year, avoiding hurricane season. Steph and I are there. Steph's got this amazing podcast called the Fur Babies Podcast. It's just booming. I love seeing her blossom and speaking on things. I'm still in the note industry, still doing it, but I'm doing more of these podcasts or webinars from the Bahamas where you guys can still see the water behind us. I see I'm in best shape of my life. I see that we have two $25 million funds that are fully funded, one of non performing and one for performing. I see us having helped create over 100 plus students to become millionaires in the note space, if not more. I know we've done a pretty good job creating quite a few so far, but I really have that aspect. Yeah. At the end of, you know, we set a goal at the beginning of this year for the next five years to help create 10,000 to educate and create 10,000 note investors. I think we'll still be on track for that. They will accomplish that. How many of those actually stick around? Who knows? And I wish it was at least 50% or more. I think it's going to be higher that they're going to be out of the business, but that's normal. If you're scared of your own shadow, make offers. You're scared of your own shadow to talk to private investors. There's nobody to blame except yourself. You can't blame me. Can't blame your husband, can't blame your wife, can't blame your girlfriend, can't blame your dog, can't blame mom or dad. You have to realize you have to start doing things. And I guarantee you, if you're struggling, just do it. If you're scared to do it, just go out and do it. There's nothing that you can do that's going to kill you. Send that letter to your IRA investors in the area isn't going to kill you. You're not going to violate anything. Talk about some case studies, talk about some deals that other people don't say. These are types of deals. Talk about the strength of your tribe. A great investor called me, an international investor called me, wanted to partner up with us on our education side. I'm like, listen, you don't need me. To partner up with you. If you're going to be directing to investors in your local area in your country, you're going to go back and repeat everything I say and then re change it because the lending laws are different there. So why bother having me go out and just start sharing yourself? If you've got 15, 20 people around you already mentioned, start teaching them. That will help you be a better investor, help you be a better educator, help you raise more capital of actually providing the message that you want to do. Talk about your strengths, talk about your team. Don't worry about the fact that you've closed on a dozen or 20 or 50 notes. Just talk about the strength of your team and how much they have done it and why it's important that they're a part of your team, that you're not the person going and doing all the work. You've got a team that helps you do these things and the strength of your team is most important. I got Henry Ford didn't build Model Ts. Somebody else built the Model Ts. He just put them together. The team brought the people together to do. They brought the core materials together. Actually he just hired people to help go do that themselves, to bring them together. He just sat there and helped control him. He was the general manager, he was the owner of the company. He just basically put people in places, let them go do the job. And that's what you have to think of as in the note business, you don't need me to be your educational partner. Just go out and do it. Go out and make things happen. That's the best thing I can say out there. That's what I was telling the guy. I was like, listen, you don't need me. Realize that if you take and start taking action now and start teaching people in your area about what you're doing, you'll have better success. You don't need me. I appreciate it, but you don't. Everybody that's watching this or listening to this, you have everything you need around you ready to find success. You have everything you need. You have a computer, you have a cell phone. There you go. We have it so much easier in this country than anywhere else. And I'm always amazed at the lack of action that people take because of being fearful or being scared. Fear. You know what fear is? False evidence appearing real. False evidence appearing real is what fear stands for. Go have a little faith in yourself. Go out and do some actions, Take some actions and start working towards a goal. If you need to put a Dream board together. Put a dream board together, talk about where you want to be, when are you going to leave your job or when you're going to close on when you're going to make a hundred grand. Buy challenge yourself. I think one of the best things about being a athlete on a team with coaches, that we had people to push us. We always had people around us to lift us up even if we were having a bad day. You had players, coaches, and when coaches would get on you, it's not because they didn't like it. It's because they wanted you to succeed. They knew that the potential that you all have. Glad to hear it. Laura Blanc. Lord was I was up late last night writing this plan out. Julian is working on his now. I feel like this would really give us focus. It will. If you talk about where you want to be in three years, where do you want to live? What's that house look like? What car are you driving? What are you wearing? What do you look like? Like I talk about, I see myself khaki shorts, you know, probably more board shorts because I'm out swimming all the time in the ocean or in stand up, paddle board. That's what I see myself doing. I miss doing that. Okay. I see myself in the best health of my life and having fun and Steph and I just enjoy life. We travel the other six months out of the year we spend in the United States speaking, traveling, stuff like that. The other six months we're pretty much in the Bahamas or some other tropical island just enjoying life and having investors come to us, having especially our mastermind in areas that people can come hang out and enjoy it and kind of see a bigger picture. Because I guarantee all of us at many times get so bogged down by our lives that we're like literally getting banged in the head. You can't see the forest through the tree because that tree keeps hitting your trait. Sometimes you got to take a step back and look at the forest and see where you're at, see if you're going. Unfortunately, many of us are closing our eyes blindfolded ourselves and running through the forest and banging ourselves in the trees. Like, boom. We get back up, boom, boom, boom. Running through this forest like a blind idiot versus just taking some time to stop, take the blinders off. And if you just look around, that path that you need to take will be there. Your path is going to be different than mine. Her path is be different than yours. All our paths will be a little bit different. But the beautiful thing is there's a path there, if you will just take it. You don't have to be me. Trust me, you don't want to be me. I don't want to be you. But you have power. Each of you have power in yourselves to accomplish what you want to accomplish. As long as you just take action to make those things happen. Maybe it is starting a podcast, maybe it's doing a webinar. It's just something that's unique to you. Be you. Don't go be Scott Carson. Be yourself. Be what you are. Be who you are, but do something. Now. If you're consistently just running around, I got checking the head cut off, you probably need not to be you at that point. You need to reel things back in and be honest with yourself first. Okay? Because I think a lot of us aren't honest with ourselves. You have to be honest with yourself, where you're at, where do you want to go and why? And those three little words, why are probably the most important thing. Why do you want to do that? Why do you want to get where you're at now? I don't have kids. We don't have children. We've got the four legged fur babies, which is great. You know, the thing to keep in mind is there's things that we enjoy doing. And that's where I'm the most happiest at. It's where the most stuff is at this where they're the most just enjoyable. That's where you want to get to, hey, do I love Austin? I love Austin. I think Austin, Texas is great. We always have a place here, probably so I love this place. But I think there's things that are going on in this country that are going to change dramatically. And I think I just want to get away. One of the best things that I think I've done over the last six months is just about removed everybody from our social media accounts who's just negative Nancy. I remove myself from groups. I remove myself from just looking at negativity out there. I don't care what other people are doing. I don't care who they talk bad about. That's great. Fine, go on. I don't need you in my life. I don't need that negativity in my life. Because what happens is we all get sucked into the drama of fake book. We all have to focus on our own selves versus others. The only way you're gonna get where you wanna be in three years is to be focused on what you want accomplished. And your goals are your goals set Them, talk about them, share them, write them down, post images, think about it. Because what you think about will manifest itself. What you talk about will manifest yourself. You will be surprised at what you see when you start to share your goals and things that. And opportunities that present themselves. Put it out in the world. You may not know how to get where you're going, but if you put it out in the world, it'll get there. It'll get there. And that kind of surprised me. I have one thing, it was kind of funny this weekend when I dropped into Rochester. I've been wanting stuff, didn't go with me. She stayed home and I was like, if I land, you know, we usually take a couple pieces of luggage with us. One for myself and one for myself, which doesn't usually fit very well into sports cars. And I'm obviously a big guy too. I don't usually like to ride that low, but when I landed, I've been, yeah, it's like, maybe it'd be nice to have a sports car. I usually have a truck or a big full size car and the ladies I've got a Ford Mustang for. He's like, great, awesome. Got in it and enjoyed the drive there. Enjoyed the drive back, which is kind of funny. But it manifests itself because like, oh, I'd really like to drive a sports car. I haven't done that in verb. It manifested itself. I talked about it manifested itself. I didn't have to bring it up. Lay to the front desk because, oh, you know what? We actually have a Ford Mustang convertible. Would you like to do that work? I'm like, yeah, sure, let's do that. That works perfectly. And I started chuckling as I get in the car because it manifests itself. Things manifest. If you will just be open to it. Just be open to what's going on out there. Be open to sharing your dreams and goals with your people that surround you. And you'll often find people that can help you accomplish those things a lot faster than you would by yourself. With this episode, guys, if you can do anything, look at what you want to accomplish in three years. Write it down, share it with your spouse, share it with your audience. Things that you want to accomplish not just in the next 90 days, but the next three years. I know it may seem forever, but it'll be here faster than, you know, we've got some great things we're working on and I think are going to help us get to our goals fast and we to help you guys accomplish the same things as well. So go out, make something happen. As and as always, thank you so much for listening. Thank you so much for watching. Thank you so much for sharing and commenting. Thank you for those that are leaving reviews. I really, really appreciate that. But go out, make something happen. Take some action, everybody. We look forward to seeing you all at the top of your relatively soon. But, oh, got some comments here. Stephanie says welcome to Fight Club. I mean, Facebook. Pleasure. You go to argue with people you don't even know. Yeah. Laura Block says the fears we don't face become our own limits. Ooh, that's so good. That's so good, Laura. That's great stuff. Good stuff. Yeah. The fears we don't face become our own limits. Go out, face your fears, and we'll see you all the time, everybody. Bye.