The Creative Financing Masterclass with Chris Prefontaine

Foreign.

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 panties 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 Nodes, Scott Carson. Hey everybody, Scott Carson here. Just want to say thank you again for listening to the podcast. If you've been listening for a while, you subscribe to the podcast. First of all, thank you. Second of all, hey, you know, if you're, you're not one of our coaching students or you haven't signed up for one of our three day workshops, here's an opportunity for you. You want to check out our WCN membership. This is the biggest bang for the buck of the notice street. Besides our one on one coaching, this is our monthly membership for 97amonth that gives you access to all of our online training, our virtual workshops, our note weekends, our special one day master classes that we've taught in the past, anything that we have going in the future, as long as you're a live member, if I can't make you or save you $97 a month, I'm doing something wrong. But save you paying 997 or 99 bucks or 399 here or anything like that. We make it affordable at $97 a month and like I said, it gives you access to all of our past replays, our upcoming classes, our access to our special classes. We also do weekly coaching calls with our WC members and also our WC members also get first crack at tapes and lists of notes that we get in after our one on one coaches. Take a look at them. But it's a great way for you to go. You can also schedule call with me anytime to go through deals that you're working on marketing things, questions you got going on about a deal. We're here to help you. So how do you get signed up for that? Really easy, just go to noteumbrella.com that's noteumbrella.com get signed up there for you 97amonth guys. Like I said, biggest bang for the buck of the industry and we want seeds of the family. So let's get you signed up today. That's knownumbrella.com welcome to the no family everybody and thank you for always for listening. All right, good morning, good afternoon and good evening everybody. Hey, welcome to the special Creative Financing masterclass with yours truly, the note guy and the man, the Myth, the amazing legend, Mr. Chris Prefontaine. Join us here from Wicked smart and smart real estate coach out there. So we're honored to have you join us today. Or if you're watching the replay, hey, we're still honored for you to tune in and spend some time with us to help answer your creative financing questions and show you some amazing ways to take advantage of what's going on in the market in today's chaotic real estate investing world and why. Unlike a lot of other people out there, now is an amazing time to dive in. Not in just deep first, but head first and utilize the techniques and tools and strategies that we'll be talking about today. If you don't know me, my name is Scott Carson. I'm known across the country as the Note Guy. I've been an active real estate investor for over 20 years, for the last 16, 17 years, primarily in the non performing note space of buying distressed mortgages and working those out with homeowners or foreclosing and taking the property back. But I am honored, like I said, to have my buddy Chris Pre join us on here because he is the best at what he does in the creative financing space. So. Hey, what's going on, Chris? How you doing today, man?

Hey, buddy, I am doing awesome. Good to hang out again. Brings back good memories.

Yes, sir. Yes, sir. So why don't you share with our audience? Maybe you've got it in your slides, stuff like that. Share a little bit of your background and maybe just some high points of why you think today is this market is just prime for the pickings if you know what you're doing.

Yeah. And whatever I don't share, I'll add to the, to the, to the slides, guys. So I've been at this 32 years last month actually. And I will tell you from a, from a timing standpoint, I haven't seen the demand for creative. It's been around since 1600s, but I haven't seen the demand as much as right now. I'm talking wholesale is flippers, everyone. Big communities, single individuals calling us going, hey, you got to, you got to teach me how to do this. So I have been at this since 1991 date myself there a little bit. I've touched a lot of niches. Not a lot, not all of them. But I'll tell you, leading up to the crash, I thought everything was fine. I was pretty conventional in my, in my undertakings. That was 18 years in you figure. And after the crash, after getting annihilated financially and in every other way. And Scott and some others can relate to that. I had to re engineer everything if I was even going to go back into the business. I did. And what you're going to see today is what the result of that crash was. You couldn't have convinced me during the crash that it was a good thing, but it was the impetus to everything we do today. So we're going to share that with you as we go.

Yeah, it's definitely. You learn more from the crashes and having to pivot about yourself than you do when everything is going hunky dory and moving up. And I think a lot of folks I've been fielding those conversations of people are scared because they've been doing business as normal for the last three or four years.

Yeah.

And now they got to get creative, especially realtors, mortgage brokers and stuff like that. They got to get creative to be able to stand out from the crowd of people that aren't getting anything done. So I know you've got some slides just to give everybody a bit of an idea. We are going to be running for probably two to three hours today. We will take a short little break roughly on the hour for five or ten minutes. Let you get up, do a bio break, grab a cup of water where you need, but come on back. Don't want to miss out on the amazing stuff that Chris and I'll be talking with you today. Yeah, yeah, let's, let's, let's dive in. I know we got folks that are probably joining us during their lunch break and stuff like that. So let's, let's start to die.

Yep. And just. Can you see my screen, guys?

Yes, sir. Looks good.

So just as a disclosure, guys, I, I am from New England. So not only did Scott say cram all this stuff in in the next few hours, but I also am in from New England. So we're gonna go quickly. We will take breaks as Scott said, but Scott and I do well with just interacting live with you guys. So if he feels like there's a point that needs to be here at home, he's gonna stop me. And then we'll do some Q and A. I will tell you that we're going to kind of go into basics, then we're going to dial back out, we're going to dial back in. And so I'm going to try to touch everybody today. All, all different experience levels. But when we do break for questions, please don't be afraid to ask. It doesn't matter what because I assume in my brain Sometimes that everybody's with me and sometimes I lose 90% of my doing that. So just speak up. Is this a get rich quick tomorrow? Nope. Scott and I bet this long enough to know that's not the case in anything we're going to show you. But, but I will promise you, I hope it opens your eyes to a much bigger picture in a demand right now that'll cause you to say down the road, jeez, I'm super glad I saw that and I'm super glad I was in front of it because it's pretty major. So those, those of you who don't know me, I'm going to play a quick video here, give you a little background on the company smart real estate coach and what we're all about and then we're going to dive right in.

Sam.

All right, let's dig in here. So generally speaking, Scott and I are going to give you a 10,000 foot view on developing a portfolio, guys. But because I came out of the crash and was kind of split spent, I wanted to do that without dealing with banks, without dealing with credit checks. Frankly, my credit was in the toilet, so it didn't matter. I was forced to do that and my personal guarantee wasn't worth anything. So while we're going to try to do that, I'm going to show you how to develop three paydays. And this, this can be an interesting concept. I hope for most I gave my background. So I'm going to skip over that when I say I'm going to show you the three paydays. There is an old way of doing real estate and that's getting paid once. That's where for my first 18 years, I did a deal, got paid, did a deal, get paid. It's okay. I have no gripes about it. But the fact is there's a better way and it's three paydays. And if you look at this business model, I'm going to show you guys real numbers later, real deals. We're going to dive deep. But if you look at this business model, I always say to people, look, I don't care if you open a restaurant, this business model is going to show you how to get paid. Now, when you start doing a deal, get paid monthly and then get paid long term, that's a great entrepreneurial model for any business. I know many of you weren't so fortunate to be around in 08 like Scott and I, but I'll tell you what, what I would encourage you to think about is are you prepared for what's going on right now? Because one constant in real estate that I'm super clear on after 32 years and that is it constantly changes. I don't care what you do. So instead of saying, well, I gotta wait till this happens or I gotta wait for the peak or I gotta wait for the bottom, how about you get really good, which is why we design this and how we design this after the crash. Get really good at pivoting and all markets and being excited about pivoting in all markets. Then you're in a spot of confidence and you wake up in the morning, you go to bed at night a little bit more confident with what you're going to attack the next day. And by the way, helping a whole bunch of people. The percentage of deals that are being done right now outside of banks has dramatically increased since the early 90s when I started, you're talking like 2 or 3% of the deals, Scott, back in like 91 when I started, 2%, 3% outside of banks, that number is skyrocketing. I've seen, searched hard. I don't know if you have a number on this, but I've searched hard. I think it's up in the teens, but it's growing, like I said, every day. Obvious reasons with interest rates right now, but also as it becomes more mainstream. I, this is, I will not take credit for this beautiful drawing. This is my son in law. Zach's my partner. But if you've never bought a house before, the fact is I told you to go back to basics, right? The fact is you're going to put down a down payment. In most cases you're going to have a credit check, you're going to have the house as a collateral, you're going to pay, put a personal guarantee in the line. And I have people call me going, yeah, you know, my bank allows me to buy four houses or five houses because I have great credit. And I say please, please, please don't do that. You're putting yourself at jeopardy by doing that. I'm going to show you how to get around that. So what is buying on terms? What is creative financing? Scott, focus this whole afternoon on this. No banks, no lodged down payments and no credit signing personally. Now I didn't say no money down and here's why. Two of our three methods may require you to put hundreds or a few thousand down versus zero. So I'm never going to say zero. And our other method requires you to put ten dollars down. Ten bucks and you can create an absolute dynasty doing it that way. I'm going to show you how. So what the three ways we buy owner financing. We niche down owner financing though we really target 99 of our deals. Target free and clear property. You're going to see why, literally the building I'm standing in, Scott was at our last event together. We hung out and I showed the sale of this building on stage. But at the beginning in 2018, I'm going to show you the settlement statement at the end. We bought this on terms from an owner who owed nothing on it. That's specifically what we seek out. I'll show you why. Subject to, subject to existing mortgages, meaning you're going to buy a home and you're not going on the loan. The seller is going to stay on the loan and show you that and then lease purchase. Those are three ways we buy. Let's get a little more detailed what that looks like. All we're doing with all three of these methods is we're eliminating the bank. We're totally eliminating the bank with all our financing. When you talk about subject to financing or subject to purchasing and lease purchase, we're not eliminating, they're in the background. But you're not going to be on the loan. The seller is going to be on the loan. When you talk about the sorry, we got dupe there, it looks like who is this for? Who? Like we're going to spend a couple hours, maybe closer to three depending on your Q and A. Who is this for? I hope I hit everybody right here. One, you look at a supplemental income. There are people that love their job, God love them, and they want to just make a two or three, four or five extra deals per year. When you see the numbers on our average profits on these three paydays, you'll see why. Perhaps the supplemental will be quite adequate for you other people. This is the majority of people I see want a complete replacement. We've been helping people escape their job since literally 2014. Pretty cool. And so we have a clear path for that. Most people come to us stressed out or maxed out schedule wise with their job and say, hey, give me a plan like in the next year, two, three. So show me how to get there clearly and predictably. And that's what we do. Now if you're on the other side of the coin and your cash flow is kind of solved, you've got all your bills handled, then you might want to plow these deals into some tax free vehicles. And then last but not least, if you get nothing else out of today, I promise you the skill set that you will acquire once you dig deeper into this. Not all today, but once you dig deeper into this, you can buy your own property with this. Can and should. Scott I was on a phone yesterday with, with an equity partner and he said, Chris, I used to know how to buy and sell businesses but I never knew real estate. Which shocked me. He said 18 months ago I learned it. He lives in UK. He said I went to Florida and bought my family's home sub 2. He was so excited. And it's a big home, it's not a small home. So if you learn the skill set, no one can take it from you. You go buy a home for you, for you and your family. I'm going to show you how to do that between 0 and 5% when rates now are obviously north of that. When I say your own home. This is my, my daughter Kayla and my son in law Zach. Zach's my partner and CEO of the company. They bought this home when they came to work with me. They were a bartender and personal trainer. What happens when you go to start your own business that is move together with me as an entrepreneur, you're not getting financed for a couple of years. The bank needs a couple of years of seasoning. But they were able to buy this home. And here's how it looks compared to a conventional purchase. Here's what happened. They couldn't have bought a convention, but if they did at the time, interest rates are about four and a half. Here's what it would look like. On your left is a conventional purchase. It was 525. They would have put down around 10%. This would have been their first house plus closing costs. They didn't. They put down $2500 up front. Now this kind of broke the mold with a lease purchase. We don't usually put money down but it was their own home. So they put 20$500 down. Six months later, another 2500. That's it. Their payment. If, if at that time the rates were four and a half, they were the, the payment would have been about 2,349 bucks with 600 bucks going to principal. Not much. Instead they made the payment on the existing loan that stayed in the owner's name and it was a 15 year amortization. So it's great principal pay down about a thousand bucks. That's what they did. Now instead of getting financing later on, which they could have and just took the owner out, they actually sold this property for north of six figures. Their first Deal ever. And they would have sat and rented.

Right.

If they just did the normal route. So here's my goal. Always. And as a company, I want you guys to understand kind of behind the scenes, Scott gets the witnesses for a sand. When we network, we do events together. We. I frankly don't care about selling a product or selling a course. I don't care. What I care about is getting you into some of our resources so that you can do what deals. So bridging the gap is this. Bridging the gap is taking this time frame that's sometimes just sad where people take a course or a seminar and they do it for the first deal. That gap to the first deal, we call it tfd Time to first deal. We obsess over it. Like all our meetings, our five year mission. Everything is about how can we shorten this? Because we know we can shorten time to first deal. You're not leaving the business. You never would. When you start to see the size of these deals. That's our goal as a company. That's our goal with you personally. Especially if you've taken courses and spent Money. Quick story. Two people, not probably three now to date in the last 10 years have come to me and said I spent X on courses. I'm kind of spent. My spouse doesn't want me to do anything. And X for those three was six figures. Six figures. And they hadn't done a deal yet. They all had phenomenal experiences with us. You're going to meet some of them today. Because it's only Scott and I. I sprinkled in videos of some of the students that I normally would bring to a workshop and I just couldn't get them all here today. Time to first deal. So these are first deal. Just want to flash a couple. This is up in the middle of nowhere. Bangor, Maine. He did this deal. Now that's a tiny projected profit by the way. He did this deal on terms and that's way below average. You're going to see why later. Roger did this deal before COVID and then cashed out after Covid. That was a challenge, but almost 100 grand. And then this one, I'm showing you a little variety because this one was done in North Carolina. Beautiful home. And I actually have this one. I think we're have time today. Last night I ran out of time to show you the real math on this house. How it played out, why, why it played out. Super, super cool profits. The I will never talk to you guys if you've never seen my YouTube videos about anything that we don't do. We are in the trenches. We be my son, my son in law, myself, and a great team that supports us in the New England area, buying and selling. Just like I'm going to show you here, some of these are ideals. Then we go out and we do it with students just like you. There's no better way than interactive learning. No better way, because you're going to hit hiccups, you're going to have speed bumps, and we're there on your shoulder to help fix it. I said to someone this morning, Scott, I was coaching the guy in my car. I said, look, there's a really weird deal. And he was thrown off by. And I said, sean, he's up in Vermont. I said, until these deals start becoming boring and similar, every time they come forward, I'm in the business because it's always changing. Like I'm learning stuff every week. And I've been at this 32 years. And I think you'd agree it's always a twist in the road. All right, so owner financing, what is it? I'm going to dial back to basics now, just in case, because I want to lose people. The sell is your bank. When I said I bought this building on seller financing, I wrote a check every single month to him. And then sadly, he passed away. And I wrote to his wife, power becomes yours, not the banks. When I went to the crash and I had 23 or 24 projects or properties that I signed personally on, I had Zippo for leverage. They came knocking and I had no choice. And they annihilated me for four years and then probably longer on some of the other ones. So. And it eliminates all the headaches of traditional investing. I love when I can say to one of our buyers, hey, don't worry about underwriting, don't worry about all the fees. Don't worry about all the crap they're going to put you through. We got you covered. It's a joy for people. So all we do, if you think of this and if you follow Scott, this, this probably should be repeat. But all we're doing when we're doing a owner financing deal is picture two pieces of paper, two different documents. One is an IOU or promissory note. That's your promise to pay the seller. I'm going to show you some settlement statements later and how that looks. And then it's secured by a mortgage on the property. That's it. We're not signing personally, ever. I think in my, in my career in creative financing the last like decade, I have been asked by two attorneys to sign personally and the answer was no. Both deals went through still. So we don't, we just don't do it. And when you come across the confidently with the right scripts, they're not going to ask you that. Those are two exceptions. I mentioned what subject to is earlier. But think about this today. This is another cool thing about the timing that Scott brought up at the beginning. What if we can go out today, this week, next month and buy properties at 2 and a half to 5% interest rate, sometimes zero. I'm going to show you zero too. But what if we could do that now? How cool would that be to come home and tell your spouse, hey, good news, I got a rate of 2.8%. They think you flip. You're not seeing that on TV anymore. Right? But that's what our students are doing every single week. Yesterday up in Maine, Judy, you met Judy Scott. She's been to some of your things online. She loves your stuff. She showed me a deal. It's at 3.875. Great deal. These are happening every single week. Mortgage stays in the seller's name. I said earlier. Title transfers, you're going to make payments on their behalf. Who is more likely to do this type of deal? Opposed to the free and clear person, Someone who needs financial relief. Like yesterday we did one down. The Cape Cod is a resort area near us. They were divorced, they were fighting, they were behind two months. Okay. They needed a fix. When they're, when you're talking on a financing and it's free and clear, do they need a fix? Not really. They're trying to accomplish a goal that the market's not giving them. So two different avatars. They are totally different. Lease purchase just so we kind of COVID the basics and we'll dive deeper. Lease purchased is the only one that you're not going to transfer title. Title stays in the, in the seller's name, the mortgage stays in their name and you're going to make payments on their behalf. Very, very simple. Now I said earlier, our agreements with a lease purchase are built with $10. You're going to meet Brian O' Neill later. He's in, he's in these slides somewhere because he couldn't come on live. Brian did his first eight deals, maybe eight or nine. And he did them all these purchases until he finally said to listen to me that owning them is better. It is. But when you're brand new, it's really cool to say, well, I don't have to own it. I don't have any expenses. 10 bucks. I control this property. He created over 800 grand in three paydays on those eight or nine deals. 800 using $10 a deal. Crazy. So you're going to control the property, you're not going to own it. You are going to cloud title to protect yourself so the seller can't sell to Aunt Betsy and you're out of the picture. So it was a way to do that too. This video, you probably met her too at the event. Scott, yesterday. Shane, a lot of this for me, so I wanted to play it. This girl here, Mallory, this woman, she teaches law at Penn State and she joined the community and he's done two really cool deals. I want you to hear from her.

I've now been a part of the Wicked Smart community for almost a year now. And within that year I have been able to find and contract two different properties. And these are the first two properties that I've been able to own as an individual. And even though I do have some real estate background, I have not been able to. I had not previously actually acquired properties on my own. And so if you are looking for an opportunity to actually be an investor, to have the support, to have the background of real estate investors in your corner and having a community behind you, highly, highly recommend being involved in the Wicked Smart group and really utilizing all of the resources and tools that they have. So I am a happy subscriber and a happy member of the community.

You got the biggest thing about that is the glasses. You got to love them. All right.

I didn't recognize with the glasses on at first.

That's why I had to bring up who it was. All right. How are you guys going to find these sellers now? I told you what kind of deals, right? So let's just kind of walk through chronologically. How are you going to find these guys? You're going to find them from expired listings. Probably no surprise. These are listings that the realtors couldn't sell. By the way, our expired listings in every market, up, down or sideways. Yep. Because even if the market's screaming hot, like after the scare of COVID died and things were hot, we were still picking up expired listings. Why people still overpriced people still have functionality issues. You know, divorce, death, things happen where properties just didn't sell for sale by owners, for rent by owners. I didn't list. Those are great because there's some tired landlords in there. Referrals are great and niche list. What do I mean by that? I can literally say like we're looking for an office right now. I sold this building, I get an offer we couldn't refuse. I'll show you the settlement statement later. And I said okay, great, we'll go to a zip code, we'll look for free and clear and we'll look for certain square feet. We'll mail a mobile building free and clear. Owner financing. No bank is that predictable. Niche list purchase purchase properties between say 19 and 22. 2019, 2022 with very little equity. Love those. There's all kinds of niche lists. You can literally buy a list of anything and we'll show you how to farm those. If you run out of leads in your particular market with the other ones we have Just to give you an idea.

The great thing about what you're talking about there is that we follow that niche list with the lists of notes that we get from banks on a regular basis because there's still that gap between. Point is we want to buy that debt at, at a discount versus what the bank is selling. So they are great list because though you know those borrowers are distressed, they're motivated and if we can't buy the debt at a discount, it's an awesome way to find some great cash flowing properties because you can see the interest rates, you can see the last paid. Those niche lists especially in the notes space are prime. And that's why we, you know, we work so well together because it really the two strategies button up so well.

It's awesome synergy. The only time I run into this, the challenge of this is and I don't know if there's anyone on here today but if you watch this later and someone comes across it's Canada candidates has protection on their data. It's just different. It's not, it's doable. We have people doing deals, it's just different. We can pull anything here. Okay. Just to give you again sources, how do we get them? This was an expired listing. I'm going to break this one down later for you because my son and I did this one. This was a student, Mike. You're going to hear from him later. But that came from for sale by owner. Just to give you a mix and different sources in different areas. Let's see who else we got. This is cool. So this is in Massachusetts. We did this deal and I'm going to break this one down for you later because this is one of the records as far as the three paydays. But let me tell you how this Happened. This was a realtor from Boston selling her own home. When you hear the deal that how this went down. Later on when I show you the numbers, everyone says to me, why did she do this? Like they're all confused. We purchased this house for 945. We put a whopping 8,000 down. We did break the mold, put money down. We structured a $2,500 per month principal only payment. So now we're back to zero percent. And we gave her. We said in 48 months we'll pay it out. Now this deal changed a few times. It actually ended up going six, six years even better. But we structured originally that deal. And her. What was her motivation? I want to add it here. Then I want to show you the math later. Her motivation and why she couldn't sell it as a realtor. And she was a good realtor in Boston. She had an ill mum in the home with her. And every buyer that came forward, look at that home. They want to move in, right? I would if I was about my primary home. She was trying to get every buyer to wait and let them live in the home for like six months to a year because her mom was ill and she was just freaked out about it. And we said, sure. And I'll tell you how we structured the numbers on that later. Why these guys want to sell to. I think I may have hit some of these, but they're going to. They want to maximize their price. They might want to maximize cash flow. Like the gentleman with this building wanted to do some estate and tax planning. Guy was in hurt and he was one of the largest landowners on the island here where I live, Alan. And he sold us this owner financing preferred it actually when he was alive. Said to me, I'm begging you not to refi conventionally because he forgot to put in a prepay penalty. Scott, hey, please don't. Please don't. Please don't pay me off. Because for tax reasons in estate planning, he was getting good cash flow and of course, other personal reasons. I could. I could do an hour on why sellers sell to us.

Okay.

One way. We then exit the property. And we won't go too deep on this today, but my son Nick specializes in this. He helps all the students. He's been with me since 2014, going on 10 years. We exit Renton. Now I got to do this disclosure here. And Scott probably knows I'm going to say because there are people doing this incorrectly all over the. All over North America. If you listen, this is public knowledge. So not. I'M not stepping anyone's toes. If you go onto some podcasts with people teaching Renton, you will hear them, I promise you say, yep, I put a buyer in the home. I don't care if they qualify. I don't even check them. They give me a deposit, they default, I put another one and I get another check. Now, that might be okay legally, but it's morally and ethically stinks because you're setting the buyer up to fail. I don't know how you go to sleep at night doing hundreds of those. So, Nick, my son, I'm pointing by me because he's in the office here today. He has a very, very strict protocol with buyers. So we're dealing with real buyers that need time versus someone that rented, screw up the credit for the last 30 years and tries to get into. No, that's not how we deal with what is. What is Rent own then? It's simply a program to help buyers that are truly buyers, give them time to become mortgage ready. Now the timing. This is interesting. I added this, Scott, this week. We have a mortgage broker in our community and he does, he's been in this 23 years in the mortgage business. He does hundreds of loans per year. So that's a good, I would say it's a good test case. He said, Chris, out of 100 applications, I'm luckily a 15 to 17 qualify. So I used 18 qualify today. Now, does that mean the other 82% are great rental buyers? No, but that's a big pool to fish in to find the true buyers that have a legitimate. Sadly, sometimes credit hiccup or rates just doubled and they had to buy this home. They don't run off down payment on and on. This is amazing timing right now. Amazing is pushing a lot of this right now. Now, who are your buyers? I think I hit most of it self employed. Like when Kayla and Zach came into my business, they weren't financeable yet. Credit dings all over the place. That's. That continues to be an issue in any market. Changing job is just like starting a new business. By the way, if you Google this later, not now, please. But if you Google how many people have started new businesses and left their W2s since COVID it's record numbers like crazy. All of those buyers who come from corporate America usually have good credit, usually have a great package they left with. And some of them don't even know Scott, right. They go to the bank and they're bummed out and lose hope that they can't buy like I've had people come and say, yeah, I was at the bank and they said no, you can't buy a home yet, you're not qualified. And they have down payment, great buyers. So that's who we love dealing with. Why do they need you? I think I summed it up. Already in the slide so far, but time to season their credit, time of season if they're self employed, time to save up more money. That's a biggie. Now with rates doubling, right. They get, they need time to get if they're going to still afford the same payment.

It's so huge going with that because yes, interest rates have doubled at 8%. I mean I kind of chuckle when I hear that because when I was a mortgage banker Back in 2004, 2008, 8% wasn't unheard of. It's just property value is going up quite a bit too. And people that used that thought they could buy a half million dollar house are now looking at $250,000 houses or not being able to qualify at all because their DTI is too high now versus what it was beforehand too.

I said to my wife, Kim Scott, we bought our first house, I think it was like 88 or 89. It was 10. It was like the norm that I remember growing up going 10. It was easier to figure the mortgage payment out. He's like, and that was the norm. And people think today's high. Here's some more, here's some more good news in the market by the way while we're on this and I'll get out of rates we are at. We have an affordability problem right now, right. It's the third time in 50 years. 50 and rates are hovering around the 50 year average. I think 50 average like 7.7 or something like that. You might know better than me but I'm close. And if so if you already have a portability problem, can you imagine if and when they creep up? I don't know but this is not going to get better for them. It's going to get better for you to be able to help them. How do you find these buyers? Online mostly guys. Nick will show you how to do this. My son in our courses do it. Local signs are real good unless you're in some remote area. Picture the referral thing. This is generational. So you have a family that lost hope. Maybe it was a credit ding, maybe it was a death. These things, they don't forget and then you show them a path to homeownership. That's Affecting generations. And then of course they're going to talk about it. You're changing people's lives when you do this. This is why not all niches in real estate are win win, right? There are some people that kind of go for low ball and property and things like that. But in our niche, it's such a win win between buyer, seller and investor. It's like the healthiest environment you can see, in my opinion. And then of course you can have your own website. We set that up pretty quickly when, if and when you decide to work with us.

You know one thing that I like about that last slide there is if you, if you find mortgage brokers that are still in business today, still doing it, and it's pretty easy to find a list of the. They've become some of the best refers for folks that have down payment because they see what they're doing. Like, hey, they can't qualify traditionally, but they've got 50 grand for a down payment. They're motivated to move in a house. They don't necessarily need to get the perfect three bedroom, two bath, white picket house. Their dreams. They'd rather get in a house versus rent. And so yeah, that's, I mean there's so many folks that are looking for houses right now but can't qualify traditionally. Like you showed them on the pie chart that just are leverage relationships.

Scott, on that note, with the referrals, like picture we have realtors that do this too, but picture the mortgage brokers. Do you need 15 of these people refer. No, you need like one or two good mortgage brokers that go, I got you. I understand what you're doing. They love it. Go have coffee with them. Have me on the speakerphone. That's what I do. We tell them what we do. Boom, you get a referral. So it's like that. It's pretty cool. Steps to selling rent to own just so you can get the visual of how we do set them up for success. And by the way, I should have given you stats on the, on the default, right? Those other people that was kind of poo pooing on when they try to do rent down the wrong way, they're cashing out like 5 to maybe 20% cashing out buyers. That's awful. We have a default of somewhere between a low of 2 and a high of 10. 10 would be high. Like during COVID we didn't hit that 2 to 10% default, by the way. Why didn't we hit that during COVID Just so you have a comfort level with how cool and how stable this exit is. Because in during COVID did you have tenants messing around with some of those state laws? Yeah, because they could. Did we have. We had 72 of these going into Covid. Not the students, just us. We had four problems in that 72. Why do we have them? Because they were legitimately beat up by Covid. Why didn't we have other people playing around the rent games that federally where they were okay doing? Because they're looking to buy this. And if they default on their lease, they lose their option to buy. It's like if you owned your home during COVID you just stop paying unless you had a specific loan model or something that was going on. But you just go out, let's see if we can mess with it. No. So there was serious buyers and they stayed with us. So we're going to find that. We're going to create the terms that fit within the terms of our, of our agreement with our seller so we can make sure we fulfill both sides of this. And it has a definitive honor before purchase date. Quick kind of background on buyers. And again, this could be each one of these things could be like an hour seminar. This particular buyer, this is our property. Not too far from where I'm talking to now. This buyer came in, get this car, put down $100,000. Now that's not the norm. That was our payday. 100,000. Why she doesn't have a green card. She's not finance well yet. I've never met a woman who works so hard. She must have seven or eight businesses. It's incredible. So with pleasure, we put her in this home. We've never heard from her. She stole the home. That's why it says projected. This deal is not done yet. This is a home that we first started out in a lease purchase. And I'm going to show you a technique. Later we changed it to sub 2. Now we own it literally forever. So she's in it and that's a typical buyer headache, right? That she thought she could never buy. Mallory, Penn State professor who you met, this is her first deal. And I said to her, can you tell me the kind of the background on this one? So these guys were renting, the buyers just giving you kind of why the buyers come forward. They the property was sold where they were renting. So they had, they had to go buy the 60 days. But because of COVID the credit was beat up and they needed more time. And she put them in this. She did a second deal. Since then, she Only joined us in March. She did a second deal since then and they started a new business. And again during COVID the credit was beat up. This is just all, all over the place now this is different. You probably met Jose Scott when we were together, Jose brought us his own rental property. So for those of you out there that have rental properties, please consider if and when you lose a tenant, whether the house is beat up or not, whether you had good luck or not doesn't matter. Consider doing a rent to own when you start to learn these numbers. So he put a rent to own buyer in this with my son's help.

By the way.

We revenue share with students, we help them do this for free. We give everybody one deal they can do if it's their own property. And that way they learn to the whole process and we don't take 10 cents. So my son helped them do this. Three paydays, 85 grand. He's blown away. He would have got a security deposit, which means he has to give it back usually right in first month's rent. Totally different. So just some buyer backgrounds. This guy did this, he was divorced and he couldn't afford a home home yet credit wise. And he wanted a place for his daughter for the visitation rights. Like all kinds of reasons why people have to go the, the rent to own route. So you want to make sure I'm.

Working on a guy right now in a deal right now. It was an expired listing here in town. He wants to live six months in Mexico and six months here and working on getting creative with him on that aspect of things. You never know why somebody's looking to move or sell. But that's why you never say no to it. You ask questions and listen, they'll tell you their hot buttons. Right, Chris?

Yeah, absolutely. And some people like I, I don't want to speak for you, but I think it's you. And I don't like bank. Like I hate banks guys. I hate them, hate them, hate them. I, I just finished a house in Vermont and I just bought a new house here. And I don't mortgage any of them. I just won't do it again since the crash. Now please understand, I'm not saying that to brag. During the crash, I went from Scott knows my story, a home overlooking the water about two miles from here to a one bedroom, one bedroom 975 square foot apartment for $900 rent. So I get it, I've been there. And I just vowed never to do it again. And guess what? If you experience that or you're not, you're not in a good spot. Now that's exactly what I had to go through and I can help you through it. So on the rent to own, what are we looking at? We're looking at the same stuff you do with a house. Purchase price, down payment. What can we get you up to for down payment? Monthly rent payment that's not credited for them. They would have no incentive to go get a loan. And then here's a key. What is their mortgage ready time? Remember I said we set them up to win. So, okay, so we put them through our own underwriting process with a third party that says, hey guys, I spoke with your buyer Scott, and he can be mortgage ready in X amount of months. And we make sure that fits with what house we're trying to put them into. And then we structure the length of the option in the term with them. That's it. Now do we structure if they say, hey, they'll be mortgage ready in 24 months, that we structure a 24 month term with the seller? No, we leave wiggle room. Life happens. Cars break down, credit cards get run up on accident. You know, things happen. So we got to give them time to wiggle room. Now let's get to the fun stuff. This, this will start to open your eyes and we're going to dive into actual real deals. I keep talking about three paydays. We have trademarked this federally. And my logic here was real simple. I said at the very beginning, in case you came on later, I was done with every January going, I got to get back on the treadmill, you know, do a deal, get paid. Do they get paid? I was realtor, did it, build it, did it. Flipping did it. Rehab did it. It's so much better when you can say, ah, cool, I get money now when I launch this deal. I get money every month now. And I get money in two, three, four, five years. Whatever term I structured our family, these are our family numbers. And I'll give you the wicked smart community as a whole all across the country, because we're a little low in New England. Our payday one is, is going to be when we get that first deposit. Our Payday 2 is the spread between the debt on the property or the seller and what we're getting from the tenant buyer in the home. And then payday three is the cash out. And what does that consist of? Mark up in the property? Also all of the accumulation of principal pay down. That's the kicker. And I show you how that, how that Looks here's our averages as a family business but 75 grand community wide, lower 45,000, high of quarter of a million. Rusty is one of my coaches in California. Every deal he does like 100 plus. Rick in New Hampshire you got. You met all these guys. Scott, Rick just left his job after 30 years of the government because he did five deals all over six figures. Said, okay, I'm out of here. That's that five times his income.

Right. Wasn't Randy, Randy Story who's is the 100 plus or whatever like that. Was he a PE coach doing his deals during lunch or something like that?

Yeah, yeah. Rusty was a. Rusty was a PE coach and a basketball teacher for 23 years. And he would have them do laps and then during laps he would make some calls. He'd send the kids on a run. He did whatever he could to get there. Scott. Right. And he's now full time. He's awesome. Some of you will work actually if anyone decides to work with us, you start with Rusty for 90 days. Very appropriate. He's been a coach for 23 years. He brings you through the 90 day curriculum. We thought that was kind of a good fit. All right. This is gonna, I hope sort of exhibit why I say you can get off the trip the proverbial treadmill and not have to be transactional. This is a snapshot of 12 months of our own family business. Okay. It's about 22 deals. Now please don't misunderstand. I'm not saying your first 12 months will look like this. This was. I had been in the business for a while. Then Nick and Zach joined me. This is when we are really ramping it. So about 22 deals. But what I wanted to show you is we created brand new payday ones of almost 600 grand. Brand new spreads, which is a game changer for people's budgets personally of 6500 bucks. Now, Scott, probably no quicker than me, but I don't. In today's rates you're going to put X amount in the bank. I don't know how many million to spit out passively. 6,500 bucks a month. I can't put that in the bank that quickly as fast as I can run. But I can show you how to create these deals and do that the next 12 months or so. And then pay day threes of 800. I'll tell you guys, when I. When Kim and I were renting that one bedroom apartment, here's. Here was my aha moment. It was the end of 13 and I got through my first 13 deals, and I kept. I kept these on a spreadsheet. I Payday 1, Payday 2, and I dates. And when it hit a million, and it hit that for me at 13 deals, I came home, I said, I get it. Like, I get the three payday thing now. That's when I started thinking about trademarking it. And the light bulb went on, and I never stopped, because you could stop working with that for six months, eight months, whatever. Go have a trip with your family or ramp it up, whatever you want to do. The point is, you're not on a treadmill. It's totally different quality of income. So I want to insert this. This is also kind of a new insert this week. So people go always at the end. Okay, you showed all those. But how much does it cost to do this? I had Steve Murdick on a class with me yesterday, Scott. And so I asked him to share, and it was actually lower than I thought. I've been saying to people, look, depending on whether you hire a VA or not, a virtual assistant to help you call, which I would suggest you do, I couldn't afford it when I started. So that's why I said, depending on if you do or not, you're going to be somewhere between 400, $1,000 a month to get your business to one deal a month. And one deal a month's super lucrative. Steve got on yesterday and said, chris, I also couldn't afford it. And he. I think he didn't hire a VA first, and he was somewhere around 3 or 400. So you can go pretty cheap. The lead sources and all that is cheap stuff. It's just a VA that kind of drives that up by like 400 bucks. So pretty insignificant when you look at any other business, in my opinion. All right, I said earlier that I showed you that owner financing deal, that I would dig into the numbers. I'm going to show you a few numbers here. And then, Scott, you stop whenever you want. We'll do some Q and A because this gets deep. But. So the point is not for you to go, hey, I get it. I get all these numbers. No, the point is, so you can see the potential here. Now, expired listing is one thing, but let me tell you why. This guy came to a super, super cool guy. We've cashed us out already. He sings praises about us. He lost his son. He had twin boys and a girl. This was the second home in New England. He lost his son. He's just like Chris, closure. He's from the West, I just want out of here. So what we did is we purchased this for 399. It was debt free. He's in good shape. Dr. Tony, 48 month term restructured. And we went out and sold it right on 429. Payday one, the buyer came in with a deposit. Super cool deal. 80 grand. 40 of that's upfront. And you'll learn Nick has mastered this, my son. We staggered the other 40 grand because not everybody has this money sitting around, even though they're good buyers, so they can better their position, better their mortgage readiness, and better our cash flow. So it's a win win by saying, hey, I got tax refunds of this much a year. We had a police officer, sergeant in the state trooper in Massachusetts say to me, hey, Chris, I have sergeant retroactive pay coming. I can give you this much of that. So whatever they have, we have that conversation with them and get that deposit update. I was out payday one. Payday two, we were paying a thousand a month to Tony. Principal only, zero percent interest. Deal. And our payment from the spy was 1700. Nice cash flow. Now what's not in there? Disclosures, of course. We had insurance because we own this. So whatever that was. 100, 125. Nice. Payday two, payday three. And this did go almost right to turn, by the way. These are almost exact markup on the house principal pay down. See, the magic of principal pay down. This is cool with owner financing. And you can buy list after list. It's about a third of the properties in the United States are free and clear. That's. That's cool news for you. And then of course, just like you're buying a house today and you didn't have any term involved, if you put that 80 grand down, it's going to show up as a credit on your. On your settlement statement. Same way here. Payday 2 was actually a negative because we got so much up front. Is it good to get paid earlier than later? Sure. Not all deals go that way. You'll see some other deals that went back the other way. We had a garage here. So if you look at this picture, this, you'd be sitting in the garage. And above it was a tenant that Dr. Tony had. It was his friend and he said, can you keep him? I said, sure. He was paying like, I don't know, it was like 700 bucks. So we gave the tenant buy. This is very typical incentive. We said, look, when you get your deposit to like, I think it was like 50 or 60 grand. Not the whole thing. And you didn't miss any payments. We'll turn that payment over to you. In the meantime, we're going to collect it. So he had some really good incentive. He had a good carrot in front of him to do that. He did. He started collecting that and then he used that to qualify better for the house. And he sends cashless out paydays, a little over 100 grand. Here's a metric for you guys. This is cool if you like numbers. When you do an owner financing deal, it's free and clear. If you can accomplish these three or four things, you get 100k deal, 48 month term or more. More is better. A payment of 900,000 or higher and a purchase price of 200 grand or higher. That's most of your markets. You can find that deal. You can literally target that deal. You'll have six figures all three paydays. So again, not up front. You can see how that's spread out monthly down the road up front. A lot of people can do that kind of deal, especially if you have a job and you can take some time and just take off for a while because it's a nice cash flow. Nick and I did this deal. I said I'd show you the numbers. I showed it earlier because the source wasn't expired. This was a gentleman that his dad passed away. So he had like, I don't know, four or five properties in an estate. We went and met him and his brothers and sisters. Pretty typical of an estate. He said, nah, like he wanted it. But all the other siblings wanted their cash. Typical. I don't blame him. They want closure and they want the cash. He called me at the end of a while and say, chris, I'm relocating. Don't know if you remember me. His name was Don. He said, I'm out of here. I'm going to South Carolina. Can you do that on a financing thing? I'm leaving Monday. This is like a Wednesday or Thursday. So Nick and I went, here's what we structured literally on that porch. 183 9. How do we come to the price? This stuff isn't brain science. He said to me. I said to him, how much did you think you were gonna net with the realtors? I'm like, I don't know, 220 or 230. He said, I thought about it. Clearly he had his number. He said, 183nine. I said, okay, that's what we'll pay you. So basically paying you full price that you thought you were going to get. But you didn't get it. It expired and you're leaving. We structured a 48 month deal on that as well. 239. We went out to the market. Now this is an older deal. Nick would not take this payment now. But we did take a deposit of only 15 grand and none over time. Again, in hindsight we wouldn't do that again. But you're not going to feel bad for me when you see that. But the end numbers are in this payday 2. We did a $923 a month principal only we had some insurance in there as well. And then we had a spread of 480 bucks. This deal ended up getting extended too. So this deal is actually a little higher than I'm going to show you. This already cashed out Payday 3 markup. That's just between the 1839 and the 239 principal pay down. Look at that. It's magical when you have the principal pay down feature. And then we gave them credit of course at the closing for their deposit. By the way, they still have to do what you do for any other loan. They have to source that. It can't be a gift from grandma unless they get that a gift letter approved and all that. So it has to be the same as you getting a loan. It just happens two, three, four years down the road. And then payday three was a nice 85 grand. All three paydays actually came out on the HUD of about 130 something. But that was what originally was projected. Pretty cool deal and design. These are very typical. They're not, they're not, they're not abnormal deals, especially on a financing world.

Well, and with the source of that coming from, we only will be seeing more of those homes that have been free and clear where people are passing away and they've got it in their estate. And then the siblings, the kids, you know, family are left with a property they don't necessarily want to own, but they need to cash out and turn to cash for you. And that's, you know, a great lead source for a lot of folks.

I don't know if you know this stabs on a podcast. I don't know the number here, but it's high. Sadly of the people, the death rate, I mean that's not going to stop. A guy said to me on a podcast, well Chris, I don't care what the market does, people aren't going to stop having that. The heaven, the heaven death. Right. So the rate's High. If anyone I, I, you can google it. But it's, if you see that, you'd be like, okay, these people need help. Okay, you're not taking advantage. They need help. You're a guide. This was Rusty's deal. Rusty's the one that was a gym teacher. I just put in a different format because we could keep going to the same type of paydays. This deal is very, very heavy up front. Again, nothing, no spread at all. In Payday 2 and Payday 3. He actually had a bank out of that 200 he had to put aside. We help him figure out how he's going to know how much. But you put aside 60, 70 grand. So when you get to the cash, get to the end, you're not sure. Good problem to have if you're smart. Money manager put that to work before the end of it. Okay, I want to give you this video. I met him Scott again, brand new this week. This is Kyle, he's the fireman from California Bay area. Since meeting you, did his first owner financing deal. I don't have the numbers here, but it's also strong up in the six figures.

Hi, this is Kyle. I just wanted to give a little testimonial here and what my experience had been since being with the wicked smart community community here and what a great experience it's been, you know, coming into real estate with, with little to very little to no experience, you know, I come from the fire service as a firefighter, been a firefighter for over 30 years and looking to, to make a transition into real estate. Did some long term rentals, things like that. But I want to take it to the next level, so, so I found this community especially as interest rates set up and things were changing and creative financing seemed like the only option. I joined this group but it's way more than I thought it was going to be, you know, once I get in, you know. And then like they say, drinking from a fire hose mean so much knowledge that they give you, it's great meaning. And then, and two, it's not just knowledge of how to do deals, but set up your business and the mindset behind it, you know, and, and to the struggles. I mean like they say it's not easy, you know, you got to stay at with it every day. But, but the coaches are there, you know, and the effort that you put in, they match you effort for effort, you know, and it's been great. There's, there's no way I could have done it without, without them and get to this Point. And, you know, I plan on being with this community for a long time. You know, just. Just because of what they give back and the knowledge and the experience. And the other part is the friendships. You know, they become my friends. The people in the Zoom meeting every week, they become my friends. And, you know, and who you surround with yourself with is who you become. So I love being with a great group and a great group of people and, you know, I can't say enough about Chris Prefontaine and the group, man. They're awesome. So thank you. Have a great day.

You know, it's funny, Scott, you missed some of these guys, but like Rusty and, and Kyle's kind of in the middle, but they'll go. They'll be on a Zoom and they'll go, I'll go, hey, how much is your three paydays? Like a hundred. Like, they have no excitement because it's become the norm in the, in the community. This was the deal I showed you at the Cape. I want to show you the math. And again, because the pages are the same, I'm not gonna belabor it, guys, but I want to show you how strong this is. I already gave you the background of how, how, and why she did it. So we structured that 48 month deal. We ended up selling off a little over 1:1. But here's how the math went. And there's a punchline at the end of this deposit. 100k course, because it's a big house. Monthly payment to her, payment from the buyer in the cash flow, mock up on the sale, principal pay down. Look at that. It's ridiculous how much you can go when you go through this. And then of course, we give them the deposit. I mean, the deposit, credit, payday, 381, all total. It's almost 300 grand. Now here's the punchline. There's all kinds of nuances with these deals. Like the deal after the deal when she was staying in there with her mom. Remember I said that was her headache when she was staying in the house. She gave us a $2,500 credit so we'd have to make a payment. We just got a 25 credit against principal. She paid the taxes herself and kept up the landscaping while she occupied. It's almost like she owned it. She just was really stressed out and anxious with her mom and didn't want to deal with owning it for whatever reason. And that's why people look at me and go, why did she do this deal? Super lucrative for us. Solved her headache. That's all we did. Scott, I can take a breath here or if you think we handled it. It's up to you. Up. You're muted.

It helps if I unmute myself there. Got a question here from the YouTube live stream.

Okay.

Eleanor asked when you are putting a buyer in there, when you're selling on terms, are you running them through an RMLO to make sure they can qualify and that the loan is Dodd Frank compliant?

Yeah. Good question. Super important. Yes. We have a third party that does 99.9% of them and not only that, but covers our. Covers our but because it comes with a 40 or 50 page report, it comes with a DTI statement that they have to sign and it comes with third a mortgage ready plan that they have to sign. Because if you do ABC and if not in the agreement it says if you dismiss that service for any reason, you quit because it's happened, you default on the agreement. If we want would be in control that but yes. Short answer is yes.

Well the question is can you, can you do lease options in Texas? I thought they were outlawed.

No, cannot do lease options. Well, they're not outlawed. There's actually a seminar going on this week on how to do them properly. But you can't be in a sandwich, you can't be in the middle of it. There's, there's some guidelines that you can make it work, but we just stay away from it. We do sub 2 and owner financing and I'll tell you whoever asked that and thank you for asking. So we have all the agreements for all the states. We have a separate set for Texas, we have a separate set for Canada. And if you ask me what my last 30 or 40 deals were, I didn't do these purchase even here. Why? Because when I own it, it's tremendously more lucrative and from an accounting standpoint in every way. So I prefer sub 2 and owner financing. And that's what they do in Texas. Now what's really cool is the attorneys in Texas, they get it. You, you don't and around here in New England you start doing sub twos and some of the attorneys have no clue what you're talking about in Texas. They're like, yep, let me show you how I do it done. It's just a different so it's actually easier.

Awesome. Yes. You can do this everywhere. I I live in California, somebody's saying yeah, I live in California. Can I do this? Yeah. There was a couple examples of Rusty's lives down like In San Diego, St. Marcus area there. Yeah. You can do this all across the country?

Yep, yep. If you do it, I'll give you one caveat. Like things like this pop up, but they're easy to get around in an illegal way. So in Florida, if you're dialing, you can dial and you can do property like that. If you start to hire an acquisitionist or what we call a seller specialist on their dialing. Yeah, Someone has to hang the license there. So there's little nuances like that. But don't get caught up in it. Just figure out where you are, how you can do business there, and we'll help you. We'll help you do it.

Are realtors good referral sources or do they screw things up?

I love how that was phrased. I didn't say it, you did. Okay. I was realtor for, you know, whatever, 16 or 18 years. So I understand both sides of it. So I'm not poo pooing on them. But a large majority of them, ego wise, will mess it up. However, I'm going to show you a deal coming up. That Dale, this guy Dale in Connecticut, he refers anywhere from one or two to six a year. And that's super lucrative because he doesn't want to learn how to do it, but he gets it. And then we refer him. Anything conventional we want to spin out of. Good ones, the answer is good ones that do a lot of volume. You sit down with them, you explain it, they get it. The other ones, if they don't, they don't. You move on. We did a video for our students. You could use it. That's. That's a relative video. They go watch it so you don't have to explain it. And it tells them how to work with us. And you get that video as being part of us.

What about the do on sale clause is another question.

Yeah, you knew that was coming up. Okay, guys, so disclosure, I'm not an attorney, Right. Let me just tell you how our attorney suggests we do it. And then this attorney I'm gonna. I'm about to share with you, does this in 32 states for our students. So you're welcome to use them. There's not, there's no proprietary thing there. So what we do, and this is not advice, this is what we do based on his advice is first of all, the due on sale clause would be if you don't pay it, in my opinion. I've never had one. I've been at this 32 years in September. I never had. Never had a no call. So what do you do? Pay Your bill. If you commit to paying your bill, you do what you say you're going to do. Now, legally, we do some things that he suggests, and that is we put it into a trust. The trust naming. If Scott lives on 1, 2, 3 Yellowjacket Road, the trust is going to be 1, 2, 3 Yellowjacker. Carson family Trust. Why? It's just another level of anonymity and another level of protection. In 82ish, I think it was, the Garment Saint Germain act was passed so that families could do estate planning and transfer property without triggering due on sale. And I'm being very basic because I'm not an attorney. So we do things like that. And then it's important how you insure it. I have a video on YouTube and how to properly insure a sub 2. And again, we've never had a problem with it. Just get an attorney that does them. Let me give you a quick story. Scott, you love this. I don't think I told it at the event. I had Morris go to Israel. He's one of our students, and he's like, oh, Chris, I got this deal. I'm all nervous. I'm leaving. I said, don't worry about. Go to Israel. Have a. Have a good chip is before all the turmoil. I said, I'll find your attorney. I was so frustrated. I went through four attorneys in New Jersey that told me, you can't do that. They all say it if they don't handle. So then I finally get this attorney that we have for 32 states that. And that's how I found them originally back then. And he said, yeah, I'll get it done. Six days later, closed, done. Everybody was happy. It's crazy. So you just got to get the right attorney that does. It's like going to a divorce attorney to start a new business. Don't do that. Go to the attorney that closes up to. That was a long answer. Good question.

Yeah. Being in the note space, I agree. You know, never had one call due unless the, the mortgage payment didn't get paid and it required the bank to start searching around what's going on with this? Why didn't we get paid? If you keep getting paid, all that's all the bank cares is that they're getting paid on a regular basis. They don't care who's paying it as long as they're getting paid.

I agree. I agree, Scott. And by the way, with a good attorney, I won't go to dpa. Could you, could you pivot and work with that situation? If they did come. Yes. Just get a good attorney and we'll get you one. Okay. Let me keep cranking.

Yeah. I got one more question here. Josh asks the process you go through to screen potential tenants. Do you have your own systems or paperwork or do you have the tendency to use like Zillow or another online site to help with screening?

Yeah, we definitely don't use the basic sites with screen. We have a third party screener. You're welcome to use them. They're on our resource site. And then in our. I'm going to show you our resource center coming up here. Going to be a bunch of free stuff from Scott and I. But if you want to go a little bit deeper, there's an online platform and one of the mods, it's, I don't know, it's going to be worth like 20 grand in agreements if I ever tallied it. But it's all our checklists, all our agreements, all our forms. And yes, part of that is your buyer meeting, your buyer forms, your everything. Everything's in there for you.

You're going to love it.

Josh.

All right.

Yeah, no, good question. Josh. Okay, I didn't know this was next. So this is the realtor, actually that referred us, this one, his name is Dale. We still work with him. I think four or five years, maybe more. This house is a lease purchase. Now, let me just for, for sort of vernacular, when you do a lease purchase, the way we teach it, we don't talk purchase price. What we talk is how much debt is there and if there's any equity, that's the piece we're promising. Because the debt, once it reduces that, that's going to be our benefit. We just want to know, hey, what did you think you were going to net on this property? Well, I thought I was going to net 30 grand. Forget the mortgage for a second, okay? That's what we're going to protect, Mr. Mrs. Seller. And here's how it works. This house had a combination of debt and equity of 283. We structured a three year lease here. Now this is another sort of legal slash moral ethical issue here. You're going to see shorter terms on the, on the lease purchase. Because if it's their primary residence, then you don't want to, unless you have the discussion with them, trigger them losing their exclusion for their primary residence and get tax. So they can't be out of that house more than two out of five years. That means summary. It just means they got. You got to get this done in three years. So that's why we structured that. And again, don't get caught up in the how I went with that. I'm just telling you that we do things that treat sellers the right way and we'll teach you how to do that. We sold it for 329 deposit from the buyer 24 grand. Now unlike on a financing, this 1818 has the principal component, right? So you're going to see that in a minute. But that's a mortgage payment and we do not pay the seller. I say to the seller, if they bring that up, most of them don't now but if they bring it up, I say, look, I'm not paying you directly and worrying at night if you sent the payment in. I got a buyer in the house, I can't jeopardize their purchase. That's a problem for me legally. So I pay the bank directly. I get a payment from the buyer of 2345. Nice little spread there. You probably noticed my numbers back, back a few slides ago. We average around 300, but you can get spreads up to $1,000 a month per house per month. Pretty cool. Pay day three mock up on the property. Principal pay down out of the 1818 that we were paying was about 15, 16 grand. Keep in mind guys, to make these slides like as everybody knows, I, I hope when you, when you have an amortization ever so slightly, your principal payments going up every month, we just freeze it the day we get the deal and figure it out. So all our numbers are typically lower than the actual profits come out. Deposit from the buyer payday three was 38 grand. So all three paydays 81. So, so you'd say as a realtor, why would he send you this? Why would he just learn it? Some realtors, if they're doing say 5,000 homes a year, that's their lane and they don't want to get distracted. I don't blame them. I've done both. However, if I knew how to do this when I was a realtor, because I did, I got my business to one at homes a year back in the 90s before selling to Coldwell Banker in 2000. If I knew this, I wouldn't have felt like every generator is on a treadmill. And I would have been seen as sort of the expert, Scott, like the authority. Because I go into a home, look at a seller instead of just being there for commission. I could, I could honestly say, well let me look at your whole situation. Maybe I'll buy the house or maybe I'll sell it. Let's see what's best for you and just lay everything out. That's cool. If you're a relative, you would be the expert and you'll get referrals galore. I just didn't know how to do it back then. I had to show this. So this wasn't in last week and I found it. This was my first sandwich deal ever. Scotty may have talked about this at the event.

You did a little bit, yeah.

It started as a sandwich. I own this home to this day. Did that in the summer of 13, so. So I hope that teases a little bit about. You can keep these things if you want. You don't have to spin out of them. It wasn't expired. She was going through a divorce. She was going to Florida. I set up a deal where it was what she owed on it at the time. 36 months at the time 219. I sold it. I'll tell you what happened to this couple and why I still own it and why I love stolen it. In a couple seconds here we got nine grand again. This is way back when I first started, so I wouldn't have done that little bit deposit anymore. Monthly payment to the bank was 14 and change. I think it was actually 14 29. Payment from the buyer 11. That's. That's payment to the seller's reverse. Sorry, that's a mistake, guys. 11:26 is the mortgage. Payment to the seller is 14:50. Maybe that's why the slide wasn't in here. They don't let me use it monthly cash flow payday 3. If I spun out of it okay. I didn't. Would have been 30 grand. Not bad for my first sandwich deal and 50 grand profit. And by the way, for those of you In Texas, remember sub 2 or on financing, same numbers, you just. They're actually going to be better because you have principal paid off now. Since then this couple was engaged. They separated. The buyer, Drew called me, he's still there and said, look, I just want to stay. I'll keep the house up. I'm going to try to cash out with my dad said okay. Years have gone by. He started new businesses. He's still there. He knows he lost his option. He rents. His rent's up to about 1800amonth. I continue to maintain the house from like a traditional landlord would. The debt on this property still is in the past. Sell his name for the last 10 years and my balance on it's like 108 grand. And the house is worth. The house then was worth two something. The house is worth about 420 grand now, so not a bad first deal. A little two bedroom ranch. So we can show you how to do this. I call that wealth stacking, guys. It's when I look at your portfolio, you get up to like three or five properties. Not a lot, three or five. And then we say, okay, when is this seller due? When is this term due? And we start to massage the terms and we renegotiate a little bit for win wins. And we get some so that they're staying in your portfolio long term. And it's your choice. That's the cool thing as you get your cash flow up. All right, Steve's not here. I needed to show this one because this will spot questions. If you're used to hearing about rehabs, people say, well, what if it needs work? Can you still do it, this house? I wish Steve was here to tell it. He's one of my coaches now. This was one of his first deals, Scott. The floor plan was upside down, like a flip plan. There was plywood on the floor. There was like one toilet and no kitchen. Okay. Disaster. The guy was trying to sell it for basically after repair value. He already moved out of state, got remarried and was just sitting on this thing. So Steve bought a subject to the existing loan for what's owed. 161 as is. Left it as is. What we do is we structure a deal with the buyers that stipulates exactly the dates on what they'll do. So they have a plan. Yep, I know. The bathroom needs to be done. Yep. Flooring. Boom, boom, boom. So they don't sit in your house and screw it up more. And then what happens is, if you can imagine, remember the 82% of the people that don't qualify for loans, the people in that 82% that are like mom and pop contractors or, you know, single Joe with a pickup truck. There's a lot of them. They do jobs for cash. They don't report the irs. They're not bankable. That's who loves, loves these rehabs. They can't get bank financing, but they know how to do the work. So that's what happened. Steve went by this house with his then wife Lauren. The next day, Scott, there was like. There was like flies. He said, like 12 people now is working tiling, doing. They know how to do it. They fix house up. This deal cashed out about two weeks ago. Check out the numbers of this. He didn't put 10 cents in rehab, so you can do it. 21 grand. Pay to pretty standard deal, actually. And to all total 67 grand. Just loaded cash out. Actually. Steve yesterday said it was about 71, 72. And that was a rehab.

Got a question here from saying what's a sly broadcast on the thank you.

Because he was here. He would have did I did a bad job. Side broadcast is where he took a list of phone numbers, a specific list he bought, and then he put a voicemail to all of them. And on the second attempt with that, the seller called him back with the new laws. You could be very specific what you say in that message the very beginning to introduce yourself. But like anything else, you can do it.

Yeah, it's one way. If you don't like to make phone calls, you could literally upload a list and then record a voicemail and it goes out to them and it shows up as a missed phone call into their voicemail. And it's an effective way. We've done it with borrowers. We do it with expireds and stuff like that too. So yeah, it's a smart way if you've got limited time and can't make phone calls. But they hit everybody at once.

Scott, you did a cool thing at our event just to exhibit to our audience. You did a broadcast to a text list, right?

Yeah, exactly. I bought a list of expireds there on that Thursday night. Upload the list. It was like 65 people on in just my area here in Austin and sent out a text blast. It went out to 40 of them and I ended up getting five phone calls back the next day.

Crazy. That's crazy. When. When we say this is predictable, guys. Super predictable. By the way, I didn't give the stat. Sure. Scott gave you guys this at some point. But just yesterday I was with Jay Connor. You probably know Jay Scott.

Yep.

And he said 65 or so. I googled it. I had nick google it. 65. 65% of mortgages are under 4% right now out there. 65% and 24% of them under 3. Now you can't get them all, but you don't need them all to get these to get like a really killer cash flow going.

Yeah, you don't. I mean, this is the thing. There's so many. Just distress means more than just not making their payments, struggling to make their payments or they have property or they moved out. Especially if you're around military bases too. There's a lot of guys that bought houses. Like we have Fort Castro or used to be called Fort Hood before they changed it. Colleen. Fort Hood. That are people have moved all across the country and they're stuck with this house. They have that they just want to get off their off their backs. They're camp there to rent it. They're not dealing with it. They just want it off their backs. In so many cases it's a great way to really create a win win and help some folks out.

Yeah. Timing wise people say well why would people sell and I didn't say this earlier, why would they sell if they have a little more? Well for all the reasons we already talked about. Life happens, right? So here you got someone with a 2, 3, 4, 5% loan and the buyer pool just dried up and the media screaming doom and gloom. They're in a panic and that's why our phones ringing off the hook now on our students. You could care less about the ex wife but the credit cards were in his name. He said I'm not signing this deal unless the credit cards get paid. So we did them over the course of like three quarterly payments. Deposit from our buyer, 41 grand. You're going to see at the end of this. We had to pay 4,100 in arrears but we timed it with the attorneys to just wait till we get a deposit. We have 41 grand. It was a good one. There's nothing over time it all came up from up front in this one luckily. By the way, will you as a new investor to the creative real estate world take on deals sub to lease, purchase or owner financing before you have your buyer? No, you make it contingent upon finding your buyer. Now after you have two or three deals with cash flow coming in. Can you get creative? We pounced on this one and by chance we got a buyer first. But we have at this time probably 60 other deals paying us. So it was okay if it didn't come in first. We knew we could sell it a good price. This expired at around 425. We have to mark this thing up at all. We just went back to what the market was and got the 82% that weren't being marketed to. That's all we did. A nice spread there. 400 something bucks payday 3 markup on the sale. Of course the principal pay down, we didn't calculate that out but 569amonth minus the deposit. 28 grand payday 3. So pretty standard deal here. There's the rares and then that brought down to 79 grand profit right around our average like give or take it. It doesn't like the numbers don't lie. Right. It's always going to hover right around then just to break this up so you don't listen to Scott and I blab. I'm going to sprinkle in some other people here. Mike was at the event where Scott and I were. Mike's in California. Mike's background real quick. He doesn't say it in the quick video I'm going to show you. Mike was in the produce business and I met Mike in 17. I never forget. I keep using a story at events. He said to me on the phone we had met, he said, I'm looking for franchises, I'm looking for businesses. I got to get out of my job. I work 12 hours a day, I get a baby coming. Why is your program in your coaching so cheap? So I said thank you, I'm going to use you for a commercial for the rest of your life. All right, so his three paydays pretty close actually higher than I was. 82 grand Northern California, he's in Fresno. Whereas Rusty is closer to the higher end market, the L A market. This is a quick video by Mike. Hey guys, Mike McCready is here from lovely San Diego on vacation with my family.

And this is what I actually was dreaming for.

Time, my time, right? My terms, able to do things when.

I wanted to and I wasn't able to do that when I had the job, right. I was in a demanding sales position.

For over 10 plus years and I.

Wanted out, wanted a way of life that I can role and I was on a search to find that and.

I ran into a small real estate coach, Chris Zach and the rest of.

The team there and joined the high six membership and was able to in a short two year span build half a million dollars and go on to.

Be on my own, right? A business owner and a certified coach.

Now, you know, and so many different things that so many doors have opened.

Up along the way that got me.

To where I am today.

And I can't thank smart real estate.

Coach enough for the guidance and the.

Peace of mind, right? Because they're the ones who've lived it, they're the ones who done it before.

And all I was doing is just.

Emulating their actions, right?

They had the roadmap and, and they guided me throughout the, throughout the way.

So I can't thank you enough.

Smart real estate coach.

Thank you for all you've done for me. Chris, Zach, Nick, rest of the team look forward to seeing you all at the event. All right, thank you. Quick story about the J O B. If you have A job and you're watching this. Mike said In February of 17 I was actually at someone else's seminar learning more stuff and we had a phone call and he said can you fly out to see me? I said yeah, I jumped on a plane. And I think it was March after he joined and we did some deals together out there to kick him off because his produce business engulfs him like when the summer hits and he had to get started. But he said to me I want to be out of my job in 24 months. We mapped it all out. This is what we do. We, we almost nailed it. He got out by like the fall, the 19th of May or Juneish so it was like 27, 26 months. And then he became a coach. So that's very typical roadmap if you like the idea of that. A lot of these guys that start doing deals go hey, I want to help. Other people want to give back and they stay in the community which is really cool. That's why I've become such a cool family. This one of Mike steals lease purchase my screens cover up. I think it's the least purchase. So again I'm not going to belabor the three payday thing. I want kind of walk you through the basics. This came from his virtual assistant. I said earlier if you hire a VA when Scott and I were talking earlier I would suggest you do if you can afford it. And they do all the upfront calls. So then Mike just picks up the phone with a low hanging fruit. When someone says yeah, I'm someone interested, have someone call me. He bought that for remember with a sandwich lease you don't buy for purchase price. You buy it for the balance in the loan plus any cash you promise them. He did a 24 month deal on this. I don't advise that. I actually never did. I definitely don't in this market I'm advising 3 and if you do an owner financing 10 and sub 2 there is no end date. That way you don't care what happened to the market. You don't start worrying about that at night. I want to make it as stress free as possible. His Mike's numbers this also cashed out. Nice little spread there. Mike is by the way ultra, ultra ultra conservative. I bet you the most conservative in the community. So Mike takes a deal. It's going to, it's a good deal. He bets both buyer and seller. Crazy Mark. I'm on the house principal pay down. Principal paid on that. Really cool. So I don't know what the rate Was back then. But 1080amonth in principle is a nice little deal. And then Payday 3 is about almost 50 grand. So he was blow his average in that but still super cool. I remember he did a deal Scott about six months ago and again the excitement, the community is funny. He said, yeah, I was only like 50. Like 50, Mike. You know, it's crazy. And of course then every laughs and catches themselves.

Yeah.

Any questions pop up? I can keep rolling.

No, I was gonna simply say did you need to take a little break? 5 minute break. Are you still good? Keep rolling.

I'm fine. Depends on the audience in you.

Yeah, I think we're still good. Let's. If you're okay, we'll keep rolling.

No coffee? I'm still an overdrive. This is Rick Scott again has met most of these people. Rick's not far from me in New Hampshire, has a much higher per average. He's just happened to structure a bunch of really cool owner financing deals right out of the gate. Rick worked personally with me for his first five months after getting into the same program Mike did. And Rick's now a coach. He coaches some of the lower level students coming in after Rusty does. And his average is over six figures. Pretty cool. This is the gentleman that left the government after 30 years. So he ran like 150 people. Whatever the numbers, it's over 100 in the government. And had meetings all day every day except for Saturday, Sunday. And was able to do this how? We just structure a plan. We take your schedule apart and we say based on your goals, is it going to be adequate for the time or do we have to dial down your goal or do you have to dial up your time? We just make sure you're realistic coming out of the gate because there's far too much marketing going on. And I know Scott and I have talked about this on shows where you're being marketed to with all these promises and it's a bunch of hogwash. It's not get rich quick overnight, it's let's manage your expectations properly. So in six months you don't blame yourself for not doing a million deals. Our time to first deal, counting everyone, the sprinters who do it on 30 days, the people take 15 months. Our average TTFD time. The first deal is like between 150 and 180 always. And we obsess over improving, as I said, but just count on that so when you come in you're not beating yourself up. That's okay. We all come to the table to learn the same skill sets. That's the easy part. It's all the mindset stuff and all the baggage we bring. I had plenty of it after the crash. I get it. And we'll help you through that stuff. It's not just about real estate. I wish it were that easy. Again, just in summary form here so we don't get too deep, I got a call from Rick this morning, actually driving back to here from Massachusetts, and he said, hey, my buyer in this house just separated from her, her husband and she is the breadwinner and she wants to buy this. I said, well, when's her expiration date is this deal? The expiration date was next August and she wants to cash out the next three months. I said, okay, good deal. The only bummer is you don't get the principal pay down, but you always have to look out for, you know, you have to celebrate a win. The woman's going to cash it out. She turned the life around. Good for her. That's how we do it. Almost 100 grand. So will it be a little shy of that? Yeah, we cut it short. So who cares if it's 70 grand, right? Or whatever it is, it's okay. And it's a win for Rick because he gets a nice payday. Three. So win, win, win. All right, let's see. Oh, this is Rick. So I want you to hear from him. So this is the government guy.

Hi, my name is Rick Abbiati and I spent nearly 40 years as a defense contractor working in systems engineering and program program management. About 10 years ago, I started looking at my retirement options and being able to do so comfortably, the idea of working into my 70s was not very appealing. So I invested in some other real estate coaching programs. But I was on my own to make it happen. There was driving for dollars and sending out direct mail and whatnot. But I was again on my own. That was until I ran into Chris and Zach and I was introduced to Smart Real estate coach in 2021 through a webinar that they were doing. This is like no other program out there. And since I was introduced to this, there's been no turning back. The coaches are in the trenches with you and truly committed to your success. And the community of like minded people is amazing. There are so many resources made available to us. My journey began with getting my feet wet with 90 day jump start and I immediately saw the success of others. Over the past couple years, I've upgraded through the associate levels to high six. Today I'm a chairman and Coach and exactly two years after joining Smart Real Estate Coach I retired on May 19 and thoroughly enjoying the freedom in coaching. Knowing what I know now, I would have upgraded to high six a lot sooner but my first four deals in profit were 100,000 plus each deal and just under half a million in total paid each. The key is identifying what you want out of the business and just commit. Surround yourself with other like minded people following the path of those that have been successful and totally immerse yourself into the coaching and everything that Smart Real Estate coach has to offer and you will be successful. That's all I did. People invest a lot of time and money in college education that takes years to pay off. Just commit three years to your future and be persistent and you can't beat the return on investment and that's about.

As excited as you're ever going to see him even after he does 100 grand deal. I promise you. But he's an awesome guy. All right. So will this work for you and your market? I there are niches that rightfully so teach going into certain geographic areas, timing the market etc. In this legit with this no you don't need to do that. Doesn't matter the price, market condition doesn't matter your area you're going to be able to make this work. And I usually say within a 50 mile radius because I can say that with with predictability because unless you're in some some remote area the the size of these deals are big enough where most of you and your goals including myself would be fine doing the amount of deals you can pull out a 50 mile radius but you do any way you want experience. I think we nailed that guys. 99% of the people come into this community with no experience until recently and Scott communities that you know of like the wholesalers and rehabbers we are literally getting requests from big companies to either come to the events or can you come teach us or can we partner like they're just dying to get in the creative space not to mention all the wholesaling headaches that are going on right now. I had an attorney on my podcast Gary Pickering not too long ago I think didn't even area I think it's coming out this month and and he was talking about all states trying to do away with that all he's part of the legislation trying to stop it but it's happening so it's crazy right now. So they're all flocking to creative. Your timing is now it really is. This is link link talking about experience. Had a medical company. He's sadly divorced now, but he had a medical company with his wife and had no real estate experience except for his own homes. And he, in the community, I think at least that I know of, has the most deals. I think it's like 30 deals thereabouts. And he's at a little bit lower than average, but there's a lot of deals in that. For the 68 grand. This was the house. I showed you the beginning. I told you I'd show you the numbers. This guy, I told you. We make all our deals contingent upon finding a buyer. And usually a seller will say, well, how long? Like how long I got to give you? Like they would a realtor. And we usually say, well, give me 90 days or 120 days, because if it doesn't go by then I don't want it anyway. You know, if I'm hearing crickets and no activity, I don't want it. Well, this, this gentleman, he's older and Link asked him that. He said, I don't know. Long as it takes. I don't care if you have it for a year, just sell it. He was gone, this whole guy. It was the first sell that I ever heard say that this was a Fizbo that he called. His va. Did not call. He was newer at the time. He agreed on 175 equity. So this guy had a lot of equity in this home. He's wanted closure in the balance of the loan at the beginning was 349. Is how numbers played out. Sold this thing for 599 payday. One nice 60 grand. Did a good job. 10 down, all up front, not pay over time. And I'd say 50, 50. Nick might know better, my son, but half of these come in up front, maybe a little less than half. And then the other ones are staggered over time, tax refunds, etc. So I remember getting excited every February of March because my spreadsheet would have like a hundred to 225 grand in paydays due after tax refunds. That's pretty cool, Tom. Here's the spread every month, big spread for Link in that area. Actually, that was very high for him. Probably broke his average. And then the Payday 3 looked like this. He had nice markup. Principal pay down, not so great compared to the monthly cash. We'll see some of these. You can structure these deals according to how you like too. This one had high cash flow, just okay, principal pay down and a 45 grand payday three. Nice spread though. If you look at that spread on the three different paydays, 155 grand, give or take a little more because of the principal pay down, beautiful home, all the gentleman, do what you want, take as long as you want. Just tell me when it's done and when I can stock up my mortgage covered because I'm paying out of the pocket.

Okay, so you got a question from somebody. So this guy walked from 150 grand in equity.

He waited. Yeah, he waited six months for it. Sell it couldn't get. Okay, so let's go back to that. So 175 grand equity link promised them at the honor before 60 months. Why would sellers do this? Well, in this case it was overpriced for the conventional market. Okay. It wasn't working. It was, it was not happening. He was trying, trying, trying. I think before fizzle might even been expired, it was, it had some history on it, it had some staleness. Okay. So he just said, look, I'm paying out of pocket and I'd like to stop that bleeding and I'd like to stop the maintenance. Soon as they turn it over, yes, they get away for the 175, but no more maintenance, no more payments, no more headaches. If you're dealing with something else, the heck we're doing. I'm going to show you how to get certified. And some of you would choose to get accredited in the creative financing world so that a seller sees you, meet you and says, you're it. I don't care who's calling me, you're it. Because you're certified by Creative Financing Real Estate Association. That's going to be key for you. And that's what gave Lincoln, some of the other students the weight, especially when competition starting to increase a little bit now because creative financing, the competition was nil into all this craziness in the market.

And you think about, there's a lot of markets too that have those high end homes that have news of the city and I think of Phoenix or Scottsdale area that's got a huge amount of these higher valued homes. There's a ton of equity and the borrowers are willing or the owners are willing to get creative because there's no other solutions for them. And they'll wait for their equity because they've been waiting for six months or a year or longer and the property's been sitting out there and they've been paying that mortgage payment, paying the taxes, paying the upkeep. Yes, you don't get what you don't ask for. And that's the thing is just setting up. Hey, we can help you. Give me 90 to 120 days to help you and you'll get your payday in three, four, five years.

Can you imagine, Scott? Now you said that you're sitting on a high end home and you're trying to sell this thing. What happened to your buyer pool when the rates just doubled? I mean, it's crazy. Crazy. Quick example. I did a deal with you and I both. It's another educator, so I won't say it publicly, but I did a deal with this gentleman that we both know, right. Not too far from himself. 3.2 million on gorgeous on the Water. He was a sports agent and we structured a deal and he's like, I can't sell this thing. Something like Airbnb and playing around with it. We structured a deal where we would go into purchase sales agreement with him, purchase owner financing. But the intent, we told them right up front was to find someone else because there are a lot of people and then just assign them our deal. There are a lot of people, buyers in the high end that despise banks like us. I love them. They just don't want to deal with. So they want an owner financing long term deal. All the higher end is actually easier to operate because of that.

Yeah, you're dealing with, you're dealing with more knowledgeable people, accredited buyers in a lot of cases. And they are easy to deal with it because it's not like the last five or ten grand are buying their first house in a lot of cases.

Yeah, there's, there's less everything. There's less drama, there's less confusion.

Yep.

Now I'll, I'll throw Kyle said a drink with a fire hose with this data, but I'm gonna throw a twist at you. So instead of just doing three paydays, I mentioned earlier that I took that sandwich lease my very first deal, turned it into a sub 2, and now own it forever. That's what I call kind of a fourth payday. Right. Because it goes, it pays you for life. Here are some ideas what I'll do when I wealth stack with you and look at your portfolio. One of them is that converting a sandwich lease to a sub 2. Why, why does that work, by the way? Okay. I meet Scott for the first time even though I'm accredited. He sees the credibility. He's like, yeah, I don't want to turn my house over D but I'll do that lease thing. Okay, so now I pay Scott's payment for let's say a year. I call back Scott. Do you think Scott has a different opinion of me a year later, after I paid his mortgage and never bugged him for a year and I was on time for a year? Yeah, he has a woman fuzzies with me now. So now I say, hey, Scott, how about this? We owe you. I'm just going to give you an example. There's 100 of them we owe you. In that guy's case, in the last slide, we owe you 175 grand, Scott, in 60 months. I don't know yet. I've got some ideas. Closed. But if I was to come across some money, how much do you think you'd take? If I could pay you now, the amount of people who think 175 or 20 grand is out five years now or three years now, they don't even think it's real. It's like a imaginary thing almost. And you say to them, how about if I pay you now, you get discounts? Majorly, majorly. Or in the case of that little ranch is how I did it. She was due no money. So I'm thinking, how can I have return the house over? I knew she was really tough financially, not. Not doing well financially. She was divorced, went to Florida by herself. It was sad. So I called her and said, hey, Deb, if we. If you can sell me the house. So I want to control it. You're not here. You have to worry about insurance. You don't worry about liability, but it's going to stay in your name. But I'll. I'll pay all the fees and I'll pay you 2500 bucks. So she got $2500 found money basically, and she did it. So there's all kinds of scenarios like this, but I'll help you do that. They look at your portfolio. So you discount the back end early, principal pay down. The deal I showed you that Nick and I did with the gentleman whose dad had all of the property and then he sold to us. What we do with that one is we said, okay. It was all on a financing so that the note was 48 months. About the second year in, we said, we wrote an email to a bunch of people, not just him during the holidays for obvious reasons. And we said, hey, what if we pay you 6,000 principal towards that back end? That's doing four years, probably three years at that time. And by doing that, you give us a year extension. So give you some cash. It's principal pay down, but we give you some cash upfront and you extend us? Yeah, they said sure. The next year we wrote to them again, did it again. So now the deal went from four to five to six years. Then the third time they emailed us, hey, can we do that thing again? Because they like the cash. They retired. Dax said, my son in law, hey, why don't you try. I wish I could take credit for it. Why don't you try telling them we want to extend it for 20 years and we'll give them a little interest because it was interest free so far. We did and their accountant loved it. I got an email back from their accountant. We did like 4.1 or 4.2 back then amortized it over 30 with a balloon at 20 and extended that. That deal went from 4 to 6 to whatever, 20 something years. Now we cashed out earlier but we had that option to keep going, just deal after the deal at interest for an extension or Pennsylvania. We did both. I don't know if you have any questions. We did a few a few slides ago.

We do have a couple of questions. Joy asked a question. Should we stay local on where we live when we're doing this?

Joy, I prefer you do, but let me give you some caveats. The reason I do is I think depending on your goals. We don't know each other yet, but I think that you can accomplish your goals locally and make it just hassle free. However do I. When my dad lived in Portsmouth, NH I had my VA pull some properties up that way. Why? I just want an excuse to go visit them more, you know, so there's, there's always exceptions. My parents are now in Florida. Do I need a reason to go down there and write it off as a business expense? Yeah. So I just made me do some properties there. During COVID we had a woman that lived in New York and. But she grew up in Jacksonville, Florida. She did her first two deals in Jacksonville over the phone. You know, so there's always exceptions but, but generally speaking, yeah, I'd rather you stay local.

Well, it also gives you the ability to go out and if you need to meet with the, see the property a little better and especially if folks are out of state owners. For you to go see the property and get a really better idea of the condition of the property. I mean there are teams that do that. I mean we, we don't look at 95% of the notes that we buy because they're out of state, out of the area here. But it's still good if you need to meet with somebody Face to face instead of just over zoom over phone. Sometimes that works to close things a little bit more. Kind of like your guy called you that. Hey, I need to get this done in like three days. You met him on the front porch.

Yeah. And Scott, I'll get your opinion on this, but since COVID it at least gave us I feel the option, they were more susceptible to the option of, hey, walk through the house with me on Zoom or FaceTime. You know, whereas before they'd be like, what, you're not coming to my house, you're gonna buy? So it's a whole different conversation. At least you have options to do things virtually if you want to or need to.

Yeah, totally. I mean, much, much more people, hey, let's FaceTime. Flip the camera around. Let's walk through slowly while you're talking to them. Yeah, it's. It's not that difficult. It's nice to meet in person if you can, but, you know, start with one market and start building your team locally or start working locally to get it before you start branching out in 20 different markets. For the most part makes things a whole lot easier because then you have an attorney in that state.

Yeah.

And other folks. And you're marketing when you're marketing for buyers are local too, for you. Easier to do.

Here's one more twist now, then we'll get into. I got some cool, like, variables to show you. We have a gentleman I mentioned in Vermont. I talked to him this morning. I was coaching him. Sean and his partners. And I forget how they met, frankly, but his partners are in Tennessee. So he dials, they go on appointments in Tennessee, he dials in Vermont, he goes in appointments in Vermont. So, you know, so there's always these, these ifans. All right, let's see. We got Brian o'.

Neal.

That's probably the last video I'm going to show you. Brian is the one I told you did his first eight or nine deals. Lease, purchase, $10 deposit, literally. That's how they've drawn up your semen on agreements. And then decide, oh, I'm not doing anything now unless I do it. Sub 2. But look at the stuff he created here. It's crazy. That was from 14 deals. So that was including his newer deals. But if when he freeze framed it at 8 or 9, it was down to 800. Pretty cool. Quick video from Brian, by the way. There's no joke. He was an elevator salesman. I think you met him. He's like six, eight, right?

Scott Meadow, I call him like the human, human javelin. He is tall, definitely.

So no experience. He'll tell you his only experience with the house was his own house, that he lost money. He's like, I wish I knew how to do this, because he got, as he says, screwed over. Okay, quick video.

Hey, guys. Brian o' Neill here. And before I joined Smart Real Estate Coach, I was in corporate sales for 25 years. I worked for the same job for 17 years, selling elevators, nothing related to real estate. I was traveling a hundred thousand miles a year. I was away from my young son and my wife. And I had always, always wanted to start my own business. I'd always wanted to get into real estate. I just didn't know what to do. I didn't know where to go. I was scared. I was scared of making mistakes. I was afraid. I was afraid of failing. I was afraid of letting my family down. And that's when I found Smart Real Estate Coach. I found Chris, I found Zach, I found Nick, and they took me in. I. I joined the community, and I checked my ego at the door. And my journey was basically everything that they told me to do, right? So they coached me. Who am I to tell them what I know about real estate? I didn't had done any deals. They had done a bunch of deals. So I said, look, I'm coming in here. I'm going to surrender. I'm going to do exactly what they told what they tell me to do. And that's what I did. And after trying to leave my W2 job on my own with no help for the better part of 10 years, I came to Smart Real Estate Coach. And with the help of Chris and Zach and Nick and the entire community, because that's what this is, a community. I was able to leave that job. In nine months, I've created over $1 million in all three paydays. I control almost $4 million worth of real estate. And I am truly living the life beyond the life that I envisioned almost four years ago. When I first came on as an associate, I never, ever thought that I would be a coach. I didn't think that I would have my own podcast. I didn't think that I would be introduced to the people that I've been introduced to as a result of being in the. In this community. I just wanted to do enough deals to get out of my job. But sometimes when you take that first step, when you take that leap of faith, amazing, amazing things can happen to you. So take that first step.

Cool. Brian's had, he's had his ups and downs in the Business of elevators. All right, I just want to.

Nope, no pun intended on that.

I was waiting for you to get that, Scott. All right, if you guys look at the date in the top left of the settlement statement, we just cashed this out. Payday 3, nice house in Connecticut. Bottom left, higher for us than on normal. Payday 3. 77 and change. I'd like to just throw these in now and then. This is a brand new deal just because for whatever reason, when I show a settlement statement versus the numbers on a spreadsheet, people go, oh, it is real. Yeah, that's all we do is we do deals. Now I want to twist this up a little bit before I point you to some resources. People say all the time and on every podcast I'm on. Yeah, but you teach single family. I teach single family because if I don't, the shiny object syndrome kicks in. Oh, the building. Oh, the multi. Oh the. You know. So you can do this in every asset class. People buy. Wealthy people buy planes and boats with owner financing and stuff too. Okay. So I just to give you an example, multi family, I tend to do them in my IRA owned llc, but you can just do regular deals. This was just a little four unit building. Now the story behind this is pretty cool. Remember I said niche list and Scott said, yeah, those are cool. We do that too. Well, we sat around one day, my daughter was a general manager here at the time, before she had kids. And she said, well, why don't we get a couple properties that we'll keep. Okay, so why don't we buy a list of 4 to 10 unit buildings that have no debt on them? Okay, so we mill 275 pieces. We bought this one. We said, well that was easy, let's do it again. We milled another 275 pieces and bought a six unit like clockwork. Both the owner financing, both debt free, both principal only payments. Pretty neat. The goal here is a little different, right? You're not doing rent own to exit. So this guy was a fsbo. His daughters were in college. He was just had it with running the property. Super nice guy, restructured. Thousand dollars, thousand $23 a month principal only. Our net, net net net operating income noi after management company because we're not going to run over there and manage. It was about 735 bucks a month. What was the goal here? The goal was 48 month debt pay down because it's thousand dollars a month long as you get your rents and you have any occupancy problems, you have $1,000 a month in the bank. You didn't have to spend a day. Market appreciation at the time I was betting on that a little bit. And increasing the net operating income, right? Basic little four unit building. I put coin up laundry in the basement and that increase it a little bit. This is the one. See, I have the asterisks under the property port attorney comments. This is the one where the attorney called my attorney. They knew each other. And he said there's one problem here. Well, there's no personal signature, no guarantee. And I said, I called myself. I said, hey, your attorney works for you. He goes, yeah, of course. Well, tell them what we agreed about. We didn't agree on that. That never came up. Call him back and tell him that's what we're doing. And the deal was saved. The attorneys are funny. They got to make their, they got to earn their keep. His out cashed out. We had the principal payoff pay down. So the payoff at the time was 210ish. I remember it being a little lower, maybe 208, 279. Minus that is 69 grand. Plus the NOI for the term. A little over six figures short term. This cashed out earlier than 48 months. Stupid little deal that we just targeted. 275 pieces, cost next to nothing. It probably cost 300 bucks. And you buy it. Owner financing this would happen to be again in the IRA owned llc. So just to give you an idea, this is the building that I'm standing in. I promise to show you this if you look at the dates here on the left. We bought that in November of 18. Our lease was up across town. We needed more space. We literally bought it on November 30th and needed to move our office by December 30th across town. And this place was in shambles inside. Not what you see in the picture. So between my wife and I, Nick Zach and contracts renew, we just ransacked the place, fixed it up, got our office in here, inherited a tenant on the first floor. If you look in the bottom right of this deal, cash top right in, bottom right. It cashed out right around the event that Scott and I wrapped together. 9, 8, 23 for three quarters of a million profit. Because why? Because there's some principal pay down in there I've been showing you. Because we fixed it up with our cash flow. Payday one, twos and three, some other deals and we had tenants. So three quarters of a million bucks on that one deal and whatever that is. Five years can you do these deals and target them and find them. Yes. This was the guy that was the largest landowner in the area. He's not new to real estate and appreciated for sale by owner and appreciated rent owner financing. He was a math guy. He said, chris, I, after we bought this, said, I read your book. I love that stuff. I'm into math. Never knew that. Well, the guy was into numbers. Love this stuff. I told you guys I'd do two things here at the end. And then I got, I'm gonna hang out as long as you need after this. But let's set you up in the right way. So if nothing else, I want to give you a free ticket to a similar event that Scott and I just hung out at together in March. Free. Because if nothing else, come meet the community, come hang out with us. I don't know if Scott, if you'll be there again, but there's some great people, these events and you can learn from them. Forget us on the stage, you're going to learn from them. The next steps. If you say, yeah, okay, I get it, I, I know the market, timing's perfect. I get what you're saying. The next step would be what I kept alluding to, which is go on to our online resource center. It's not a course. A course means someone created it three months later, six months later, six years later, it's outdated. This is an online living, breathing resource center that the people doing the most deals in our community still use. You go back in, you get agreements, you go back in, you refresh on, you know, owner, financing, etc. Here's what it looks like. I'll walk you through the mods briefly here and I'll take any questions you guys got at the end. Mod 1, I'm going to walk you through sort of how to launch the whole thing. Like, what's the lay of the lane here? What are you going to see on the left hand side you see all the different videos and audios. Mod 2 is how to create a system that's predictable. Because what I want you to do is like Mike did, I want you to say, hey, Chris, or team. Here's my goals, here's the time frame, here's how much time I have. Does that work? Okay, great. Until you have your own metrics with how many dials you have to do or your virtual assistant has to do, you're going to borrow hours. I give you the numbers in here, I give you the basic, like one of the metrics and then we'll set up Your plan after year one, you have a predictable plan. There are people in our community right now with business plans for 24 that I can tell you unless some life event happens, they'll nail it like within pennies because that predictable mod 3 is going to walk you through. I, I gave you some examples, but where, where and how do I work with these lead sources? And you can do it for pretty inexpensive. One of our lead sources, like 60, 70 bucks a month. You get all your leads, you can do most of your deals right from there.

Yeah, such is so valuable too. I, I been using your resource for that and it's phenomenal.

Awesome, awesome. And, and I know Scott, way back when before was revised, you've gone, you've seen this program over and over too. So a lot of people use this to this day, guys, and I encourage it. This is yours for life, by the way. We don't, we don't take it away from you. It's living, breathing, online, ever evolving. Zach's going to walk you through scripts here, but not only Zach in here. In addition to written scripts, you're going to hear audios as well. And at the event, Scott heard this announcement too. We said, you know what, we did a live script school on stage and we said, let's change all the scripts, let's update them all, let's simplify them. Those are supposed to be done October 1st. They should be done any day now. They're going to be in this in mod 4. Soon as we get them done, we update it and then you go back in. How do you know they're updated? Your mod won't say 100% completion anymore. It might say 68%. You go, must be new stuff. And you go in and you refresh. Okay. A sign out deals is a type of assignment that doesn't have three paydays, only has one. But it's a valid way to exit a deal if there's not much profit in the three paydays or the seller is insisting on you not being in the middle. There are some nuances where instead of losing that deal, you can just do what I call an assign out. We call it an ao. We're going to show you how to do those because you want to kind of have that tool in your toolbox as well. You don't want to lose deals. I'm going to walk you through on a finance and kind of split up these mods. This is one of my favorites. I'm going to walk you through all kinds of nuances with that mod 7 is least purchase. So you can see a mutual contact. Call this person, a contact in the industry that Scott and I know said to me a couple things, said, hey, why, why don't you cut these modules into all different courses and sell them all? I said, if I was in a selling product, that's what I would do. I'm into doing deals. I want them all in one place for people to go through them. So you can see where our kind of, our flavor is. It's all about doing deals. Second thing he said, by the way, is you'll love this, Scott. He saw my book. In the book there's a chapter called what Can Go Wrong where I list like all the crap you can hit. And he said, you're scaring people. I said, no, you're giving them a nice fluffy little story and they're going out and they're saying, oh, this doesn't work. And you make, you're getting people upset. I'm saying, this will happen. Come to me and I'll help you. There's a difference there.

It's a total difference in giving the full story versus just the rose colored glasses that he likes to do. I know what you're talking about.

Just said the person, not he. All right, sub two deals Mod eight. This is an important mod because what the attorneys do with us is constantly update. Someone asked about checklists, constantly update our checklist internally and then constantly update our agreements. I will tell you, the agreements I use in 13 are not the same as today. They're entirely different because if we hit a boo boo, we do two things. Hit a speed bump or some problem that we run into. We go, oh, call the attorney. How do we fix this next time so this doesn't happen? Okay, and then we go on the mastermind call, which we hold every Thursday, and you're on it. And we go, hey, guys, change. Here's why his how don't do this. Here's the new agreement. And this is constantly evolving. I wish I could say we fixed everything, but like I said the very beginning here, this workshop, these deals are always different and we're always learning. Mod9 is Nick, my son, helping you get this thing sold? This is cool because this we start to see the three paydays coming together. I used to love, love, love when I was brand new and I didn't even have an assistant yet. Coming in the morning and getting those buyer calls like, okay, that's money. And I needed money like I needed oxygen back then in my one bedroom apartment. That's a cool mod for you to go through with Nick 10 is really me kind of summarizing this with you going, all right, you've learned all these ways you can do deals. Now let's become kind of that engineer brain going, I know when this deal comes in, it fits over here as a sandwich. I know when this deal comes in, if I'm in Texas, That's a perfect sub 2. You start to get really comfortable with that after you go through enough of them. And by the way, there's more free stuff on YouTube you can go through about. I don't know what we're up to 250, maybe 300 deals in what we call deal structure Sunday. Every Sunday one comes out since like 2018. And you see our deals in our student deals and that helps you kind of start to navigate and go, I got this mod. 11 is the mod I referenced earlier with all the contracts and all the checklists. And I said earlier, I don't. I don't know what the value is. It's probably well over 20. Because if you ask Adam, the attorney, he'd probably be mad if I said it was 20. He's been working on this for nine and a half years. Constantly tweaking, constantly tweaking. Okay, I mentioned this. There's one way to be certified by the Creative Financing Real Estate Association. That's to complete each mod and take the test. It's not grueling, it's just basics. It makes you understand foundational and you don't go out and get yourself in trouble with a seller or an attorney. So you get the basics. If you decide to get more aggressive and lock arms with us later on, you can learn about that later and you become what we call an associate. Then you'll be accredited because it's deeper training, but you can at least get certified. So I'm going to sell assess you. Yeah, I got another call about that, that owner financing thing. Oh, great. Was that person certified by the Safria? What are you talking about? Oh, I didn't think so. So here's the deal. There's only certain people accredited or certified, and I am go see my website. Boom. Instant credibility and authority. That program. I just walked you through on our website, smartrealestatecoach.com and go see it. There's free stuff on there too, is 1500 bucks. Here's what we're doing. Since Scott and I saw each other in September, our team is on a major mission to load up as many Creative financing, wicked smart creative Financing people that we can and get them to the point where they're foundationally knowledgeable to go out and do deals before this onslaught. And so what we're doing is we're loading up a bunch of action items for you. Because you can see behind me like I leave this stuff everywhere. I really, truly believe there's energy in taking action. So we're going to load you up. It's not just the course. I'm going to throw in the live seller calls because I want you to hear like a hundred ad nauseams. Like you listen to a song on audio and you go, oh, I know what they're going to say next. Right? You kind of can sing along. The seller calls. I want you to listen to them so many times. You go, I got this. Can't wait till seller says that to me. Like I just know how to do all this. Same with the buyer calls. You're going to hear Nick and the students talking to buyers live. I want you to not only have the ticket that I said to the summit, but hang out for the third day, which, gosh, because it's so popular now, like 90% of people come back because that's where we kind of rip apart. It's not on stage, it's kind of like Puppy chair. We're going to rip apart businesses here. We're going to like a live mastermind and you're going to. I want you to get that ticket so you're really rigged up. We do have a December 8th event that's virtual. So picture what we're doing here. Here's the Academy online. Here's a virtual event to show you how to wrap up the year and kick off 24. Let's get you going and then two or three months later come see us. So there's a specific ramp up here. Now some of you will take that and run with it and be telling a story in April. Some of you will take pieces of it. It's okay. But I always say the Alcott thing doesn't work as well. Right? It's not do AC&F and get the same result. It's do ABCDF and get an awesome result. But it's up to you how fast this slow you want to go. I'm going either way. We do throw in a strategy session. I want this session to be this guys, it's not a sales. This is I sit with you or one of the strategists do use Jens. There's my son in law Zach. There's a bunch of guys that do it and gals. And I want them to say to you, hey, generally speaking, where are you now in your real estate world? Brand new, great experience. Great. What are your challenges? Where do you want to be? Ideally, if you could kind of like wave the wand and then what are the challenges? There's gonna be something stopping you or you'd already be there. Right. And we'll structure a plan here in the middle to close that gap. That's what the strategy session is for. If you're just doing the QLS program, the Quantum Leap, you get three of them in that program. You also get a free session every Thursday at 4:00'. Clock. We did it yesterday. There's 100 people on it. It's free. It's called the Wicked Smart Sit Down. It's for people looking at what we do. It's for you. If you're in the QLS and you're going, oh, I got deals now. How do I do them? Come, come see us. No limitation on that. You, if you're in the course and you're active, you're going to ask us for help. You can also email support at Smart Real Estate Coach. That's just. If you're sitting around doing the course, we're always going to be there for you. We're about doing deals. Here's how it stacks up all that stuff I just showed you. Almost four grand. This sprint. We're on less than 300 bucks, guys. And I seriously think it's crazy numbers because I want to put as many people in the funnel as we can, and then some of you will decide to really kick butt on that and kind of rise to the top. We want to do deals. We want to dominate the market. Dominant. That's a part of our mission to do deals. There's your code down there. So we know it came from this workshop. You're gonna. The coupon code, Carson, number two is actually lowercase. If you don't put a lowercase, it's not going to happen. So you go to the cart and then you go to check out. You're gonna put that coupon code in. Okay. How it works is you're gonna get a call and somebody will set up a strategy call with you. You'll have instant access online, however, to all the courses. And then we'll get you set up for tickets and things like that for the virtual and the live, provided you can make them both. You can. It's okay. We value stacked everything in there so you got enough to keep you busy for your first whole Year all the way through 24. I do want to go deeper with the no brainer side of this money back. I don't want anyone ever. And this is since I created the course in 16, which is. First course, Scott. It was with one of those, you know, those flip cameras. I remember to this day. I had the flip camera from me and the phone. You'd get dizzy watching my videos. But it's still taught. It was 10 videos. Oh, you got one.

Cool. That's how I started taking videos too is these little Dell flip cameras. Yeah, they're ideal back in the day.

So that's how we started the course. Now it's like 60 videos in there. So it's. And we haven't touched the price. In fact we just lowered it for the rest of this year. But I do. But still I don't want you to feel like at any time. Yeah, you know what? This isn't for me. And you made me keep. No, give it. We'll take the access away. We'll refund you. It's very simple. I want people that want to do deals.

That's it.

Scott was part of this room. This is the wicked smart community. I wanted to give you a glimpse of what Slack looks like. Slack is where about 140 or 50 of us hang out. Now if you read some of those, the one right in the middle actually was when Kyle the fireman did this deal. It wasn't too long ago someone called Fireman because this guy's on fire way. He's a fireman. That was Kyle. I don't post those by the way. The coaches do. It's funny but you can see the deals going on. There's quite a rampage going on right now. Scott. We took 16 properties on the contract in the last six weeks from new people in the community. 16 bottom. There is a call that Nick did live and posted it. He thought it was the. Some nuggets in there. There's a channel. There's not a bunch of channels but the channel in there called scripts and dialogue. And Nick said hey dad, I got this really cool call. I posted on scripts. Everybody can learn from it. So it's constant like that. You post a question, you're not waiting for me or a coach. You get. You get 100 people in there diving at you, helping you. You can see like +4, +9. All those. That means that so many people answered that question or. Or post pretty cool stuff. That's the community.

Love it.

So I. I had the opportunity to coach with Jarrick Robbins, Tony's son. This was during COVID coincidentally, because he really helped me through that. And during that, I learned a lot about Tony without talking to him from Jared because everything Jarrick taught was this is my father does. This is my father. He was in a meeting last night, my father. That's what he did. So I love when he talks about decisions. So one of one of the mastermind groups with my high six, I talked about one minute decisions. One minute decisions because it can and will change your life. Right. Mallory, the Penn State instructor, for example, who Scott and I were with in September, she decided in March to join. There were a bunch of people in the room who said, no, not for me. Right. They came to the next event. They still didn't take action. Meanwhile, she's done two deals totaling over 160 in the two paydays and that's more than she'll make in the next two years that are being a law professor. So that changed her life. I'm just suggesting that you jump on the train with us because it's going fast and. And there's that. There's your bundle. Again with the code, Scott. I did. Let me see what I got for. Yeah. So here's the deal, guys. I asked Scott a couple days ago, I said, look, there will be some people in your tribe because notes and the note buying has such synergy with what we do, as Scott said earlier, that want to be more aggressive. So I'm not tied to either way. You can go through the course. I will see you on the next wicked spot. Sit down. We'll have a great experience together. Hopefully see at the events too, if you decide you want to do something more aggressive. When you hear the other students saying, yeah, I did this program and I work with Chris. There's five coaches right now. Rusty coaches you through the first 90 day curriculum. Rick from New Hampshire coaches you through. If you're a starter, you're going to see what these levels mean. Mike from California coaches immersion. And myself and Steve coach the high six. And we have this exclusive level above that if you want to kind of dip your toe in the water with group coaching, we have that. That's not so aggressive, but it's kind of in the middle of doing the course by yourself and doing it very aggressive. You can just apply this zero commitment. But it is by application. You can take a peek there. Those are all the levels and you can apply by just slash apply Carson. Again, I'm not tied to guys. I'm looking for people that want to do transactions. There's a home here for every single person. That's why we did it. We never had the three month and the six month. And literally before COVID Zach walked in this office, my son said, hey, I got an idea. We got to capture more people that want to dip their toe in the water and see what this community is about. And that's when we created that. This other stuff comes about just trying to fill a gap so you can apply or you can just go through the course yourself and then decide down the road. That's good too. Either way is great. Scott, I don't know if you want to go back to any piece. Take questions, either one.

I just want to bring up, you know, my folks that know me know that I'm very particular about how we bring who. Who we bring on. But I don't recommend just any Willie Diddly individual out there. I'm very particular. That's why I flew out to the pro to, you know, Newport, Rhode island, spent a couple days with you and got the chance to meet the team. And we've known each other for a couple years now and stuff and seen how the stuff works. And I hung out with Brian and hung out with other Zach and everybody there for you. You guys gonna realize this is an amazing opportunity for you to take advantage of what's going on in the market. Because I see the thing that's most frustrating for me as an investor and educators, when I teach people and they don't take action. And I know, Chris, you're the same way. You want people doing deals. And I get sometimes it's the, oh, I got. I have a difficult time raising capital. Okay, that's fine. Here's an opportunity where you can still be diving and doing deals and not having to raise product capital, taking these deals over because there's so much of us. As Chris mentioned, what 65% of the mortgage is out there at 4% or below, that's like free money. And when you look at expired listings or withdrawals or for sale by owners or foreclosures, you've got such a huge amount of potential opportunities in your market or around you 50 miles. And then add in if you're a note investor already of lists that you get in that hedge funds and things are sending out. I love that because I can see what interest rates that I can see what they owe. And I know that if I can, if I can't buy that note at the right price, I know I could probably get it over subject to by working with A bar to create a win win solution and then maybe even negotiate better terms on the back with the bank. Because being in the note business, so this is an opportunity you didn't have. Amazing price at 297 for their everything included the quantum link system, the live calls. You guys all know that live calls are the best way to learn because it's, it's great. The live buyer calls the ticket to the virtual event on December 8th is a great way for you to start ramping up. VIP ticket to the summit in March. What a great way to end up the first quarter as you start taking some action and then a free session call with your strategy experts. Guys, that's, that's worth a whole lot more than four grand, I'll tell you that right now. For the 297, I want you guys doing taking advantage of what's going on so that you can make 2024 your most popular, productive and what's the word I'm like trying to say here?

Profit.

Profit. There we go. Profitable. You're the three P's for what's going on in the market. Because if you know how to take advantage of what the market is giving you and pivoting to be able to solve issues and solve problems, that's what you're doing here. You're solving people's cure for cancer. When they can't sell their house or they've got a house they can't sell or they've moved, you've got some options besides just, oh, just go sell your property. Well, we know that's not working. So taking the option to understand and get creative, this is where you want to be. Definitely. And that's why we brought Chris on. He's the expert and the him and his team are the best in the industry out there. You know, a couple years ago during note camp, I was reaching a couple, hey, who's the best? Best people at subject to Chris's name came up four or five times from people I highly respect. I was like, that's gotta be the guy. And that's why he's here today.

I appreciate it. Scott, you made me think of something. When you talk about the conditions of market and something I call a perfect triangle, I don't know if I talk about this event, but we have a chance. When you said, sadly, people are hurting right behind the scenes, we have a chance to really, I'll call it a movement, but it's just a perfect triangle. If you can picture it, one side is where you can start to affect Lives. Right. So you're kind of part of that. And when you start dipping into financially, when you're affecting lives, but financial comes into it, it's a whole different ball game. And then when you can create wealth, now you're affecting generations of people you helped, you're affecting their pocketbook, and now you're affecting you and your family generational, that's sort of a perfect triangle. The market's driving that right now, and creative financing is a recipient of it. So everything you said kind of came together there in my brain when you were saying that. That's exactly what's going on right now. You have an opportunity to do that. And in real estate, like if you look at, there was Joe Kennedy back in the Depression, everyone was running and I'm going to have to math a little bit off on this. You can Google the stats here. But he dove into real estate heavy and created what in today's value is billions of dollars. But the point was he went the opposite direction and he took advantage of what was going on in a positive light and created an absolute fortune. And I wish I had the stats right in front of me, but it was crazy numbers because he went in the opposite direction. The media screaming right now. Because that's what they do. Did you know that if the media screams at you, they have 66 higher ratings? If they scream negative, yeah, they scream positive. It drops.

Yeah. That's why they lead with blood, death and gore. Always in the most depressing stuff out there because they get higher ratings for that. It's just, it's sad. And yeah, we've, we have the potential to solve a lot of issues and be the positive light out there and really create win, win, win scenarios with what's going on in the market. Whereas a lot of folks don't understand it or they think it's illegal. It's not illegal. It's completely, completely legit. Got the attorney, I mean, like what you say. Mallory is a real estate attorney teaching at Penn State U. Yeah. You know what I mean? Let's see here. Wally asked, do you have a PayPal option for this?

Yeah, I'm sure the girls, the team could help you with that. Wally. When I first started this back in 13, I was just doing deals and people said, hey, can you show me how to do it? I'm like, I don't know. So I use PayPal. So you can use PayPal. We'll figure it out.

Yeah. Wally just dropped me an email and I'll forward it over to, to Kristen in in Chris's office and then she can figure that out and send you a link and go from there with his team. So good stuff. This is great stuff. I mean Chris just rock and rolling. I mean it's amazing. Sick. You said 16 new deals since we were there.

Yeah, I didn't know. Steve told me just in the last six weeks. Steve, the coach. So he just told me they did the leaderboard and they saw it. Wow.

Let's see. Zenith says this call has been really a great one and the opportunity is pretty amazing. I thank you both very much. Yeah, Xena, you're down in California there where you're at. This is ideal. Out in that neck of the woods. You a lot of folks that are there. Wally, my email is really easy scott@weclosenotes.com and I'll just type it in the chat role so everybody has it as well. For you guys there, if you're watching on YouTube, feel free, you know, post the links. They'll be glad to do that as well for you. Think about this guys. I'll give you an example with where it is in the month. If you. I'm. I'm in Austin, Texas just to give you a bit of an idea. Austin, we agree, is one of the most competitive and aggressive real estate markets in the country. Gone up a lot of appreciation, rent rates are down, I mean rents are up and stuff like that. But on average, I was looking at this when I was running through my leads. I see 55 new leads a day on average. Some of it's as little as 10, sometimes as many as 165. But that number each day coming in of potential deals that you reach out to and it's an email and the leads provide phone numbers and emails. A lot of times you, I mean there are riches out there. You just gotta roll up your sleeves and do that four letter word called work and go on it. And you've got somebody here to help assist you, hold your hand, walk you through the deal and really make it a great time for you to do it. Because think about this. How many of these mortgages do you need to take over, subject to or lease options do you need to do to replace your income? And if you have a 24 month game plan or a 36 month game plan, you can do it. Now is the time for the next 24 to 36 months for you to be making as much hay to live the rest of your life a whole lot differently. It's all up to you to do the work and Obviously, Chris is making a no a, a stupid offer there. And of course he's got the. If you don't like it, you get 100 money back guarantee. That tells you the kind of guy that he and his team are to help you out there.

So, Scott, again, you spark something. So if you're thinking, okay, how can I make my transition eventually to. For you, J O, B. And I said, we'll get a time frame and all that. Some people, like Mike, are more conservative. Chris, I need to see this many paydays in the hopper. Other people say I need this much in the bank. So whatever it is for you, just be aware of that or be cognizant of that when you come to the strategy call and we'll help you do it.

Yep, exactly. Good stuff there. Joy asked, where do they get the list from? Hey, it's provided in the. The QLS system there for you leads. Curtis says this is awesome. My brother is a tired landlord. He's ready to get out. He's at least six properties free and clear. Well, there you go, Curtis. Now you. That's stupid. You got two. Six deals there. It's worth paying the 297 to figure this out and get the ball rolling for you.

Six free and clear.

Yeah.

So six free and clear. I don't know price ranges, but what. What market is that?

Curse. Where in the country is home? Or is that.

Because I'm thinking that's 600 to a million dollars there over the next five years.

That's Michigan. Any specific part of Michigan, Curtis?

We have students in Michigan right now.

Yeah. What part of Michigan? Ann Arbor, Lansing, Cucamonga, Jackson. Okay. We're by Kalamazoo. All right. Yeah.

No brainer, Curtis. Be happy to help you with that. By the way, Kyle's. What? Kyle's first deal he did to firemen. He had a death in the family. His dad inherited this property and it was a mess and that was his deal. He helped the family out majorly and they were happy to do that and got. He's getting 100 plus K out of it over time.

Yeah, well, yeah, definitely. He's. That was one of the most valuable things is that his solution was better than what was being offered by others. I remember him talking about the deal and it's funny that you talk about him too. His whole. His personality has changed since he's been a part of the program too. I think you mentioned too, Chris.

Totally. I. Well, you watch people transform. It's not. I'm going to stress this again about the community. I wish it were as easy as I show you how to do a deal. You go do a deal and you get profit. I wish you're that easy. I'm telling you, it's not because we all have stuff, right? Well, Kyle's not alone. Every single person. You watch the transition, you watch the growth. It's crazy. When I spoke to Sean this morning, he said to me, I want to coach. I said, sean, you're. You're one of the most coachable people I ever knew. And you grew the fastest from anyone I ever knew. So you can see the mental growth and your life becomes better, not just your real estate deal.

Yeah, it totally does because you start seeing solutions and your eyes are open to different opportunities versus just the whole drum of it can't be done. It can be done if you're just willing to learn skills and apply some creative outside the box, but creative financing to it. So once again, guys, it's smartrealestatecoach.com QLS-Elite to get that amazing discount for 297. Of course, you can get the free ticket to the March class by also doing Pull the link up here as I had that typed in the chat roll here. Smart. Real.