Wholesaling Real Estate 101 | How to Comp Properties Nationwide Using BatchLeads

All right guys, let's get fucking rocking and rolling. Thank you guys so much for attending. Um, good to see you guys in here. Bobby, Anthony, Chris, Eric, Eric-ish, Eesh, Jalen, John, John, yo, John Shelley, my guy, bro, good to see you. Jerelius, Justin, Justin, Logan, um, Yamuva, Randy, Rigo, Scott, Serena Terrell, how's it going, man? Yo, John, yes, we will be. This will be on YouTube, bro. I figured out the, uh, the recording and stuff. I'm pretty much a tech god at this point. How you doing, Randy? All right, so here's the thing we need to know about comping nationwide. Every single market is different, so there are different rules in different markets. Now the good news is, is you can always just be more conservative on your comps to justify— or to, um, to compensate for your lack of knowledge in each market until you adequately learn them. Another note that I'm going to say of why I wholesale nationwide instead of just in Phoenix. Now, I will say that one, in Phoenix is where I'm getting my biggest rips, where I'm getting my biggest assignments, and I make a lot of money just in Phoenix. But I like to fish in a bigger pool, and I'm using right now my time to learn all these other markets so I can do the same thing that I'm doing in Phoenix in these other markets. But we're currently wholesaling in pretty much every single state. Um, if you guys, uh, if you guys were on the last webinar and you signed up for Batch, you got access to my list of my top 10 markets that I'm currently doing. That offer is still available. So if you do sign up for Batch, um, the 7-day free trial is a little bit busted, but you can, um, you can just use my code TYSON at checkout and get 50% off your first month. Either way, dude, Batch is a phenomenal product. Um, I use it every single day. It makes me a shitload of money, and the other people I've shown how to use it, they're already making money. Um, now back to what I was saying on comping. We are aiming to be conservative and we are always thinking about the end buyer in mind. What I mean by this is while I'm looking at a house, I'm— the first thing, I'm always staying in the mindset of how am I going to convince an end buyer that this is a great deal to buy? What am I going to show them? So because when I call them up and I say, hey, I got this deal, they're going to want to hear about it. I said, well, It's 3 bedrooms, 2 baths. It's 1,200 square feet. And get this, there are other 3-bedroom, 2-bath, 1,200 square feet properties in the same neighborhood that are selling for $250,000. Now get this, I know my property needs a lot of work, but I'm offering it to you today for, um, $140,000. So if you spend X, you know, if you do X, Y, and Z to the property, it's going to cost you about this much. And after all your fees and commissions, You're going to walk away and you're going to make this amount of money. When I'm able to have that conversation with the buyer, they're going to do two things. One, they're going to say, wow, this guy knows his shit. I want to buy more deals from him. And two, look, this dude is leaving meat on the bone for me. He's not some greedy wholesaler that's just trying to, you know, take all the meat on one rip and leave nothing for the flipper. Right? We need to make sure that other people make money because that way is what allows us to be sustainable and stay in business. If you end up selling a deal and you look at it in the end, you're like, "I don't know why the fuck they'd buy that," you won't be doing business for very long because you'll get a really bad reputation. And honestly, especially in real estate and in wholesaling and in the fix and flipping community, your reputation is important. People know who have the shitty deals and who have good deals. At this point, when I send out deals, I have buyers that are like, they instantly look and they're calling me up right away because they want to get the first stab at it. Because that's a reputation we've built for ourselves. So we're always thinking about the end buyer in mind. That's the most important thing. Um, so what I mean, just to recap, is that we're looking at how am I going to sell this to somebody, even though the person might be asking way more than, than, um, than what we're going to be able to offer. It's always good to have that mindset when you're going into it. Now, um, Let me— I'm going to do a quick overview of the calculator because this is going to give you a good idea of what I'm looking at when I'm analyzing these properties. Where the fuck is my— here we go. All right. Are you guys able to see? Oh wait, hold up. No, I'm not even sharing my screen at all. All right, here we go. Are you guys able to see the calculator right now? Can you guys let me, let me know in the chat? Perfect. So we— the only numbers you need to adjust are the ones that are highlighted in blue, and I'm going to go over all of those right now. When we're comping, our most important number is the ARV. This is the after repair value. This is what we're looking when we're analyzing on these websites, when we're looking at batch leads in Zillow to look at other properties, we're calculating the ARV. The ARV is the after repair value, and that's what your property could be worth if it was completely fixed up to its max potential. Now, just because a property— you could go in, in like the shittiest neighborhood and you could build a mansion and it's not going to sell for as much as a property would— or a property would in a neighborhood that's other mansions around. You can only go— you only want to renovate to the level of the neighborhood. So I'll show you what I mean by that more when we're actually looking at deals. But ARV, that is calculated by looking at other properties and seeing what they have, seeing basically what are the top-selling properties in that area that are around the same year built as ours, size, bedrooms and baths, and same style of house. The next number is going to be your repair costs. This is estimated using this portion right here. So it's all a price per square foot basis. So this right here is just the square footage of the property, and here are my basic repairs that I'm estimating. Now, here's the thing about wholesaling. We do not need to be very exact in our renovation estimations. We're looking— it's a horseshoe hand grenade kind of thing here. We want to be close and we want to aim to be more conservative. So we want to estimate more repairs than what might actually be necessary because at the end of the day, that'll just help us by getting us bigger fees and allowing the flipper to go make more money. So let's talk about what all of these are actually— I don't know, we'll talk about it. So here are the different estimations of what we're looking at and I'll explain them all right now. Again, this is price per square foot. So this is just a simple calculation that's multiplying the square footage of the property by, um, how much it was going to cost per square foot to make these repairs. So if a property is 2,000 square feet and you need to redo the flooring and the paint throughout to get the property to its ARV, then it's going to cost you $24,000 because that's 2,000 times $12 a square foot. Now if you need to redo the floors, paints, and also put new cabinets in, that's going to be about $21 a square foot, and that's going to cost you $42,000. Now, in interior renovation, this is going to be our bread and butter and pretty much what you're going to use for every single property you're comping. And this is going to be the only difference between tertiary and primary markets. And I'll explain what I mean by that and I'll show you examples later on. If you're looking at a property and all the other houses around are like the, the new whites and grays look— what I mean by that is what every new property that's being built, they all look the exact same. White like it's the like white cabinets, you got some kind of gray stone countertop, gray flooring, some kind of white, gray, neutral paint throughout and stainless steel appliances. That is a $35 square foot interior remodel. Now the interior remodel for tertiary market, this is where you're looking and these are gonna be smaller markets, things like Louisville, places in Indiana, a lot of Midwestern Southern markets are gonna have this $25 a square foot interior remodel. And this is gonna be where, look, their stuff was obviously redone, but they're not going balls to the wall on this, right? They're making it nicer. It's more of a, I would think, a rental-grade remodel. It's what a landlord's gonna do to make sure that the, the house is nice and it's safe for his tenants, but it's not gonna be a flipper that's going out to redo the property to sell to an end buyer and get top dollar for it. Now you will learn from comping in these different markets, which is which. So those are the difference. Again, I'm going to show you guys examples of both when we go through and actually start comping some properties. Next is going to be a full renovation. So this is when you need to do the full interior and you also have some other miscellaneous items that are like redoing a roof, redoing the foundation, you've got to replace a, um, an HVAC system, you've got to replace the water heater, you need to redo some of the mechanicals like, um, plumbing or electrical. Now, this is kind of uncapped. It can be— the highest I've seen is a $60 square foot remodel. And even now, when you start talking about luxury houses and all this shit's out the window, you can be fucking $150 a square foot. But pretty much these are what you're going to be using. Now, you always want to err on the side of caution here and estimate more repairs if you ever find yourself being like, I'm not sure, estimate more. Because like I said, you want to leave more money on the table for the flipper and you just are creating a bigger spread for yourself. So that's this ad, that's this number. All you do is plug in the square footage of the property and it'll automatically calculate this for you. It's just up to you to determine based on looking at the other houses in the market what needs to be done to our house to get it to that level. So you take whatever number you select here and you're going to plug it into repair costs. So this, as you can see, is a property I was looking at earlier that must have been 2,000 square feet that we're looking at a full interior remodel. The next is going to be your investor's profit. So this is, like I said, we're always in the mind of who we're going to sell this deal to, and that's how much money are they going to make, right? We need to be thinking about other people. If we can make other people more money, I swear to God, more money is going to come to you. It's how it's going to work. It's a law of nature. So typically investors are looking to make between 8 and 15%. of the ARV as profit. Now I know that's a big range and it's because it changes a lot. So if we take like the last year, shit was crazy. Everybody, they were doing things for like 6 to 8%. Now that is not the case anymore. The market is shifting. It's becoming more of a buyer's market. People don't know what appreciation is going to do. Are houses going to drop in value? Are they going to keep going up? People don't know. So they're budgeting for that by Basically, we're building in higher spreads for the profit. So the least I'm underwriting right now is 10%, and that's only in super major markets, like good areas in major markets. So certain zip codes in Phoenix, Las Vegas, Tampa, Miami, California, places like that. Everything else, you're going to be wanting to use at least 12%, but more often than not, 15%. Now, the one caveat to this is no matter what, always, always, estimate for at least $25,000 in investor profit. Now, the next thing here is the holding costs. When you sell this property to a flipper, they're not actually buying in cash most of the time. Most of the time they're using hard money loans. Now, to acquire a hard money loan, it's an asset-based loan. So anybody can go get one, but the drawbacks are they're going to require a hefty down payment and they're going to charge you crazy interest rates. Typically around 12%. So on the majority of flips, they're only going to take 3 months. So we're typically estimating for 3 months of holding costs, which are going to be your hard money payment, your hard money interest payments every single month. If you start to get to bigger flips, things that are above 2,000 square feet, that's when it can take 4 or 5 or 6 months. Some of these luxury flips can take 8 to 12 months, or some of these full guts can also take about a year. That's something you need to keep in mind and adjust accordingly to here. But for the beginning, most of the time you're good at just using 3 months of holding costs. Now let's go through all these other fees and kind of put it all together. So we're thinking about it from the end buyer's perspective in mind, meaning if they— if we are making the argument to somebody, hey, we can sell this house for $425,000, and this is why, because this house sold for $425,000, this house is bigger, sold for $450,000, this house sold for $410,000, and it was, you know, this much smaller. It's reasonable to assume we could sell for $425,000. Would you agree with me? Buyer says, yes. Okay. So I know when you sell that house for $425,000, you're going to have to list it on the market with a realtor because you're looking to get top dollar. And they're going to say, of course I am. And that's going to cost you money, right? Yeah. It's going to cost you realtor fees and closing costs when you sell the property. Now, most professional fix and flippers have a relationship with a realtor where they're not going to charge them like a full 3% or whatever, the full 6%. So they probably have some sort of deal, but they are going to have to pay closing costs. What I've found is it is typically around 5%. So what we do is just immediately take 5% off for the selling costs. Because again, we're thinking of what is every single expense that this flipper is going to incur so we can accurately estimate their profit. So when we're selling the deal to them, we can present it as the nicest deal. Next, we're gonna back out the closing costs on the buy side. This is because in wholesaling, the majority of wholesalers are telling the sellers that we're talking to, "Hey, we will pay all the closing costs." Now, in a wholesale transaction, you have a contract that says the buyer is gonna pay this much for the property and they're paying all the closing costs and they're buying it as is. When you assign that contract to the end buyer, For a fee, you are relinquishing all of your rights to the contract to that end buyer, and now that end buyer becomes responsible. So they are the person that is paying the closing costs. We need to factor that in as well. Now, are most closing costs $3,500? No. Again, we're always erring on the side of caution here. We want to overestimate our expenses because we want to be that sure when we show somebody that, you know, it's like, look, we're not nickel and diming you, we're not squeezing out all the juice, We're making sure we're leaving meat on the bone for you. That's what's gonna get you a good reputation in this business. So backing out the closing costs. Next, the repair costs. Of course, it's gonna cost you some money to get this property up to ARV standards. Next, your investor's profit. So I wanna be able to say to them, hey, look, if you sell this property for 425, I know you're gonna pay your, I know you're gonna pay your realtor, you're gonna pay closing costs. I know you're gonna pay closing costs on the buy side when you buy it from me. I know it's gonna cost you 70 grand to get it to a $425,000 house, but check this out. After all those fees, you're good. You stand to make 50 grand for 3 months of work. How does that sound? You're gonna be, oh, okay, that's much better. And also look, we got the holding costs. We're back out. Super simple calculation. We're just multiplying however many months for hard money loans, just 12% interest. So this is 3 months of a hard money loan at $280,000. Which you get just about $7,000. So that brings us to our dispo price. This is the most important number because this is saying, I'm already from the beginning, what can I sell this for? Because if I know if I can sell it for $272,000, that means anything I get below that is going to be profit, right? So I'm always shooting to make $20,000 on my wholesale deals. So I know that the most I'm going to want to pay is $252,000. Obviously, if they say, hey, it's not a deal unless you give me $262,000, then I'm going to cough that up because I know that I still stand to make $10,000. And then you just have some helpful, um, some helpful percentages right here, right? Because you kind of know, okay, if I'm selling it at $272,000, I'm selling it for 64% of ARV and I'm buying it at 59% of ARV. And it kind of just will give you an idea of trends in certain markets. Now that I've gone over the calculator, are there any questions that you guys have about that? How can we access this form? Great question, Yumuva. It's going to be available to all of you guys at the end of the webinar. I'm gonna— I'm— you're gonna get access to, uh, to this calculator and also my comping cheat sheet. Of course, brother. Any other questions on the calculator before we move in to actually, um, uh, figuring out ARVs of properties? "What repair category would a roof or a foundation fall within?" John, this is typically gonna be your $45 square foot. "How close y'all stay to the MAO? Just lock it up as low as you can and negotiate if you need to." Yes, Bobby. So look, it depends on the deal and it depends on what the other comps are. But for instance, if I find another comp that sold that's similar to this property, it's another 2,000 square foot property and it sold within the last year for $200,000, I'm going to start by offering them $180,000, right? And then I can know that I can work my way up all the way to $252,000. If you make $20K, do you disclose that to the end buyer? So Rigo, you don't actually need to disclose. The way it's going to work is you are basically, when you're talking to end buyers, you're saying, hey, I have this property, I have this deal for sale for X price. And now they might try and negotiate on you, whatever, but eventually you're going to have to assign the contract to them. When you assign the contract, they are taking over all the powers of the contract. So they're going to want to see that original agreement. Now you can absolutely block out the price, but at closing there's what's called a HUD, and the HUD statement shows who's getting paid for what. And on there, there's going to be a big fat thing that says assignment to Rigo Marquez, $20,000. And they will see that you made that. Now that doesn't fucking matter, and I don't really give a shit how much people see what I'm making. In fact, I'll be upfront with them a lot of the times, especially with these people I'm working with. But, um, yes, the buyer, the seller, if you sign the contract, they will be— if they know how to read a HUD, they will see how much money you're making. You have to disclose it to them. No. I have a show leaving for at 6. Just want to make sure I have enough time to stay in here for the whole time. Um, I'm not sure how long it's going to be. I can't imagine it's going to be more than the next 30 minutes though. So, all right, any other questions before we move forward? Of course. All right, let's start looking at some deals here. So I've got BatchUp right here. Now, when I'm comping, I'm always using BatchUp and Zillow. And then if it's in Arizona, I'm also using the MLS. Now, I'm not going to use the MLS today because I know that not all of you guys have access to it, but every single person in here right now can go get access to BatchUp leads and Zillow. If you don't have access to Batch Leads, go get a Batch Leads account. Use code TYSON at checkout for 50% off your first month. And, uh, we'll go ahead and drop the link to that right now. And if you do do that, you also get access, um, to all of my other— all of my other bonuses from last video. But moving forward, let's look at some of the deals you guys sent in. So Anthony, you wanted to see 107 Cannon Street. So here's my exact process. Oh, that's not what I'm looking for. All right, so we search the property. And we're gonna pull it up right over here. So we can see, first thing, I'm gonna look at the aerial view, and I'm gonna kind of, you know, jot some mental notes down, which is number one, okay, it's pretty close to this highway-looking thing. It's also surrounded by a bunch of industrial and other commercial shit. That's gonna hurt its value a little bit. But now we're gonna pull up and we're gonna actually look at the front of the house. So we can see right here, all right, two-story mid-century typical home, right? It already looks pretty rough on the front, except for the landscaping is really good. We got a nice little white picket fence, and I'm just going to assume that all the pictures I'm looking at are accurate. If I had actually spoke to the seller, which I would have if I'm going to be comping their property, I'm going to know about all this information anyways. I'm going to have asked them what the property looks like, what kind of condition it's in, so I don't need to make these assumptions. But okay, nice little house. We see it's built in 1904. So I'm gonna have asked this guy, hey, when was the last time the electrical, the plumbing, with the foundation been looked at? How old is this roof? How old is all the heating, ventilation, air conditioning, right? We're gonna do all that. I'm gonna know this information. And we see that it's 1,800 square feet, 3-bedroom, 2-bath. Perfect. So I've actually never marketed in Delaware, so this will be my first time looking. Now another thing to note is that Batch, their estimated value is really good. And this is for two reasons. One, their algorithm is better than Zillow's. And two, it also provides a confidence score. Now, I have found that if the confidence score is high, they're normally pretty goddamn close to ARV. But with this one, we can see a 60% confidence score. I'm not going to trust that very much. Also important to note that this was canceled after it was listed on the MLS. We see it was listed in 2018 and it didn't sell for $100,000. So I get this information, I'm going to internalize, okay, um, mid-century home, 2 stories, it was built in 1904, 1,800 square feet, 3 bedrooms, 2 baths. Now I'm going to move into the comparable section. Now when you first pull up the comparables, it has some basic filters in here, in here for you. Now the first thing I'm going to do is I'm going to take off the actives, I'm going to take off the pendings. I only want to see what's sold. Sold in the last 12 months. Perfect. Built within the last 10 or built within 10 years. So this is plus or minus 10 years. Perfect. I'm going to ignore bedrooms, ignore bathrooms, square footage plus or minus 20%. Perfect. The only thing I'm going to change is I'm going to go located within a quarter mile. I'm going to ignore all this other shit. Let's filter that out. Let's see what we got. All right. So we have one comp that we can see. It's this one right here. And let's— so we could just see it right here. But also, this is what I'm mainly using. So we got the subject property up top. And we can see right here we have 208 Delaware Avenue that we're looking at. Now, this property is 4 bedrooms, 2 baths, and it's a little bit bigger. It's 200— it's 200 square feet bigger and it's on a much, much bigger lot, but it's built the same year. So this is going to be a pretty good comp for this area. And we have 48 photos we can look at. So when we pull it up, okay, similar type house, definitely looks a lot nicer though. This house had to have been remodeled. This can be a really good comp. Hey, they got a nice little porch, painted it green. Look at the little shutters. Cute house, right? We love that. Come through. Okay, this looks good. Now this is what I'm talking about earlier when I'm talking about a, um, a $25 square foot remodel versus a $35, uh, dollar square foot remodel. This is not the whites and grays look, but more than likely this was remodeled recently. Now this bathroom is a fucking shithole and probably needs to be done. Jesus. But coming through here, this looks like a $25 square foot remodel. You can get a house to look like this for $25 a square foot. Some of it— oh my gosh, bro, the shit you see. They got carpet. They just use carpet as their fucking wallpaper. You guys seeing this, bro? Crazy, bro. Okay, so check this kitchen out. Not updated, right? Not updated. What the fuck is this, dude? What is this? Look at these appliances. I'm looking at— I'm seeing white appliances. Oof, we're always going to be redoing those. Gee, okay, this isn't great, right? The basement's fucked, not finished. Apparently you can't smoke in here. I don't think anybody's listening to that rule, but basement's not finished. You got the washer and dryer down there. I want to see more of that kitchen. But from the outside, dude, this house looks great, right? I mean, this is definitely a house that a landlord can buy and instantly stick some tenants in. But look, a flipper is going to want to redo this shit, right? They're going to fucking put new appliances in there. They're going to redo— we got Formica countertops, whatever the fuck that is, mix-matched cabinets. Why are the cabinets at the bottom different than the ones at the top? I don't know. But okay, this gives me a pretty good idea of this house. Now, I don't know if ours has a basement, but I do know that this one's 200 square feet bigger. So it's safe to assume that if ours is in livable condition, it can sell for around the same price per square foot as this one. Now let's talk about price per square foot. So we can see right here that it's 2,000 square feet and it sold in 2021 for $220,000. Now, if you divide $219,000 by 2,006 square feet, you're going to get about $109 a square foot. So one thing we can do for a quick little estimation is multiply our square footage, 1,790, times $109 a square foot, and that brings $195,000. So it's like, okay, that's a good little number for us to start around with. Now is what we're going to do is we're going to back this shit up a little bit. Let's go half a mile out. Let's see what else we get. All right, we got a 3/1, 2,000 square foot, similar lot, similar year built, $248,000. Now they totally boned us because we don't have pics, but no— oh, and you can't even— what the fuck is this tree just in my way and shit? Can't even see the front of the house. Fucked. But no, no worries, no worries. This is why we're going to take this shit over to Zillow. Let's see what Zillow has to say about this guy. What the fuck? That's not— wait, is this just our house? Oh no, it didn't copy. Oh, back to details. Whoops. All right, I need a copy of this guy. Click here. Fuck. There we go. All right, now we're in Zillow. Let's see what this guy has to say. Okay, beautiful. This is what I'm fucking looking for, dude. Where to catch up on the first part? Jason, I'm going to be posting a live recording of this on YouTube. You'll be able to see the beginning and the end, or you'll be able to see the beginning of this when we go back and watch the recording. Took me 3 days to come up with the price. Oh, bro. All right, dude. $248,722. Pretty as-is property. Boom. So when I say I'm just looking at this, that this is how long it takes me because I've been doing it for so long. I just see this shit, I'm like, okay, pretty good, somebody can fucking live here, I like that, right? And it's oldest fuck house, very similar to ours, I love that. Is that the only comp? Okay, so this one is at $258,000. So we know that our property is going to sell somewhere between $200,000 and $250,000. We need to close that gap more, we need to learn more. Also, this one just sold. Oh shit, it sold fucking what, like 2 weeks ago? Beautiful. Now I'm gonna take my ass over to Zillow. I'm taking my ass over to Zillow. I know our property is over here somewhere, so our location is nowhere near as good as this one because like I said, ours is covered by all that fucking commercial shit. But this is— I'm getting some good info looking at this. So when I'm, when I'm taking it over to Zillow, here's what I'm gonna look at. First, let's go 6 months back because we got, we got a lot of good information over here. I'm just looking at houses, we're just looking at sold. I'm not fucking with any of this right now. Now sort high to low. We got this guy right here. This is a different house because it's not too— oh, actually it might be. All right, this is pretty nice, pretty nice, right? So they've got stone countertops, they've They have stainless steel appliances. The fucking cabinets are white. Nice fucking flooring in there, whatever, right? This is what I'm talking about, bro. This is fucking $25 square foot remodel all day long. But okay, it's bigger. It's bigger now, but $334, bro, that's kind of a fucking monster. But now look, here's one other thing I'm gonna say. We do not use outliers. Just because you see this $334, does not mean you can say, okay, what's the price per square foot on that and apply it to ours? Because this is an outlier. If there were other shit selling for around in the $300s, then it'd be like, okay, but this is selling for $100 grand more than everything else. Outlier, right? We need to be pessimistic when we're doing this, which sucks because I don't fuck with pessimism, but it's just the— it's the way we need to do it because we're conservative. We only sell good deals. Now look at some of the other shit. A $250,000, 3,600 square feet. Jesus. Okay, this is a dog. This is— what the fuck? That's an ugly-ass house. Not a comp. Ugly-ass house sold for $250,000. Good to know. We got this one right here we already looked at. We have this much smaller one, $200,000. So here's what I'm going to tell you using this information. I'm going to say that our ARV, being conservative, is going to be at least $250,000. So that's what I'm going to run the number as. Where the fuck is my calculator? Here we are, $250K. Oh wait, hold up, I skipped a step. Another thing you're going to do— these are not comps, these are feelers— you're going to look at the for sale, especially what's accepting backup and pending. Let's see what's going on in this area. All right, we got another $325K. And now look, here's the most important part. Anthony, I would, I would accept that, but I still think you go higher. Now look, um, look at this guy right here. He's Here's what we're seeing. 39 days on Zillow. Fuck that, bro. No flipper wants their project to sit on the market for 40 days. Not a comp. This one on market. Okay, it's coming soon. Let's check this baby out. This is going to be our competition. Very nice. Beautiful. We love to see this shit. Here's why. $285,000. $35,000 more than ours. Accounts for the extra space. But look, very similar house. It's redone. Clean house. So this, this reaffirms our, our, our, uh, our guess at $250,000. What else we got? $255,000 under contract, 1,400 square feet. Oh my God, look at this, guys. We love to see this, cop. This is a fucking flip right here, and it's under contract. Two things to note though. One, they did a $5,000 price drop. Two, look at that. Textbook, textbook, bro. $25 per square foot remodel. Cheap-ass cabinets, cheap-ass granite. They did some stainless steel, we love it. Fucking flooring, cheap, like bathroom flooring for out there. Hodgepodge-ass work. They didn't even fucking redo all of it. Boom. Yes, I stand— I stand my ground. We like $250. Now here's the thing, when I say that we're going to be pessimistic Now, if I'm a flipper and I flip this house, I'm probably going to have something better than, than this guy, and I'm probably going to list it for more than $255,000. I'm probably going to shoot to, to sell it for like $265,000, $270,000. Here's where we'd be pessimistic, because we want the flipper to go take that risk, not us. We're not participating in the market risk. The flipper is. They're the ones who can go ahead and assume that. I feel really good at $250,000. Really good at $250,000. So here's what we're going to do. We know it's 1,800 square feet. We know it's a $25 square foot remodel. We're putting $45 grand in there. And when we look at 12%, I like that. I think a flipper will do this to make $30 grand. Boom, here's our numbers right there. I'm offering this guy max $145 grand because I think I could sell this bitch for $155,000. Now let's see what kind of comps we had. Let's go back to sold. Let's go back to a year. Let's sort this low to high. When I'm talking to this guy on the phone, boom, right fucking here. Here's what I'm gonna do. I'm gonna— whoa, wait, this is now for sale. Oh, 40 days. Okay, it's good I fucking looked at this. We got a 4/2, similar fucking house to ours, that is for sale for $155,000 and it has not fucking sold in 40 days. What this means is, is if I'm selling a very similar property off market I probably do not need to shoot. I need to be at less money than what the fuck this one is. Now, I don't know exactly what the fuck is wrong with this one, but the moment I see some shit like this— buyers should do their own due diligence to measure property and confirm all information— something's fucked up with this house. I don't know what the fuck it is, but when I read that, something is fucked up with that house. So I need to be at a better price than this guy, and this is something I'm going to show this motherfucker. I'm going to show this guy, hey, look at this house right here. It's bigger than yours. It's listed for $155,000 and it hasn't fucking sold in 40 days. We need to be less, bro. We need to be less. So with that in mind, I'm going to try and be at a discount from this guy because this one clearly hasn't sold yet. So I'm going to be— want to be at least 10% less. I'm going to want to start selling this thing at like $135,000. So I gotta tweak my numbers, and this is just where it comes down to looking at comps, because this isn't always going to be 100% accurate. So I'm really glad that something like that came up, because now I'm going to say, all right, if I see that that guy was up for sale for 40 days and has not sold, and they're price cutting that shit, that looks bad. We need to be less. We need to be less. We need to be the more attractive deal because 'Cause if you're a buyer, you're looking at this guy and you're gonna say, why the fuck am I gonna buy your house for $155,000? I can buy this one for $155,000. Which house do I like more, right? We don't want that. We don't want to have that conversation. We want them to be like, oh, no shit, I should obviously buy your house. So I wanna be less. I could probably sell for maybe $140,000, but I think $135,000 is where I'm gonna wanna sell it. So I'm gonna go look at my numbers again and be like, oh fuck, probably shouldn't offer that. I mean, I could still try and sell for $145,000 and we're discount from this one, but I want to be sure because I do not want to have to call this guy and cancel that contract. So I'm gonna shoot to pick this thing up for $100. I will still pay up to $130. I would, I would roll the dice on that, but I really like it at $100. I would— I should say I'd love it at $100. I'd like it at $115. Perfect, Anthony. That's money, dude. I love it. I love it. Good shit, bro. That's amazing. All right, so does that make sense to you guys? We have any questions? Are we ready to move on to a different property? Yes, Bobby. All right, let's move on to the next one. Justin, I'm sorry, I'm not going to comp the mixed-use one. All right, Eric, are you still in here? Yes. All right, Eric, we're going to comp your Las Vegas house. We're taking it back to the other side of the fucking globe. Oh, Jairilius, I'll cover that real quick, bro. I don't use any of the parameters. I'm looking— I want to see what has sold that is the same type. So if I'm looking at townhomes, I'm gonna go to townhomes. I'm looking at houses, I'm looking at other houses. And then I'm just going to scale back the days. I'm not going to go anything longer than 12 months, but I want hopefully to start at 90 days, go back to 6 months, go back to 12 months as I need more information. And then for, for, for the for sale, I'm just going, um, I want accepting backup offers and pending as well. That's it, bro. All right, let's go back to batch. We got the next property. We're going to Las Vegas. Eric, Eric submitted this. Sick. My copy and paste is not working today. I love it. Not really. That angers me. But it's, it's, it's all good, it's all good. All right, look at it, look at us go. Copy and paste now working again. Maybe it's my fault. Let's see what we got, let's see what we got. Perfect, beautiful. This is money, this is my bread and butter. Wanna know why? Because every single fucking home in Arizona looks just like this too. Now, a couple things we're looking at right off the bat that I didn't discuss. Look at this corner lot, baby, that looks good. Look at that shit. Nobody else got that. Nobody else got that. Now this guy kind of got that, but not like us. But nobody else got that. We got a big-ass fucking lot that helps us. But, but another thing, uh, yes, oh wait, whoops, I'm answering questions. Another thing that hurts us is, look at this, see this fucking road right here? That's a main road. You know what that means? Minus 10% of ARV. Yes, 10%. Backing main roads and siding, we don't fucking like that. People don't like that. It hurts the price. But look, everything else, it's in a suburban area. There's gonna be tons of comps. It's gonna be fucking easy. So first thing, 1993, relatively new. We're not gonna have problems hopefully with the— oh, it's also a tile roof. These bitches last forever. And it's stucco. So 1993, we're not going to have a lot of problems with the electricity, plumbing. Um, we're definitely going to need to learn about the AC because the AC is definitely getting to be fucking old and they better have replaced it. But everything else should be pretty good on the house. Um, we even got some pictures. Fuck yeah. Oh, and also, let's— two-story, two-car garage. Fuck yeah. Let's see what else. All right, what the fuck? Let's open this up. All right, this looks fucking gross. That looks gross. What the shit? Okay, super as is. All right, so this is gonna need a full interior remodel. Don't even need to see anything else. Needs a full interior remodel. This is in Las Vegas. You know what that means? That's a $35 square foot interior remodel. All right, so remember, only thing we're fucking with, we want to see sold. We want to see the last quarter mile. All this shit's default. You won't need to fuck with any of this besides only sold and last quarter mile. That's all you need to do. Filter. Boom. Let's see what the fuck we got. Now here's something you want to be careful with. We do not want to cross main roads if we don't— if we can, and we don't fucking need to. So all this shit we're not fucking looking at. We're looking at these right here, all in the same block. That's what we want to see. So first things first, I can already just see— look, okay, fuck, dude, $375,000 is the top, right? We got some $330,000. Oh, we got a $385,000. This is similar house. What do we got here? 1993, 3/2, $1,700. So 200 square feet bigger than ours, very similar though. We're going to definitely want to look at that guy. Farina, what is that? 3434 Farina. Where are we at? Where we at? Where you at? Here we go, right here. Fuck, no pictures, no pictures. All right, so what I'm going to do right now is sort this by distance. Oh no, what the fuck? All right. So 330s, there's that 385. Oh wait, this is saying it's like the same square footage. Wait, what is this? Oh, this is the 385. Okay, it's one story, so we don't love that because that's not gonna be a similar comp, but it's not redone or anything. Okay. So what I can instantly tell here is that our property— wait, what the fuck? I need to find something that's fucking remodeled because there's got— ew, dude. Guys, if you guys are a homeowner, never fucking paint your shit this fucking— any weird colors. Look, are you Shrek? Do you live— is this your swamp? No? Why is it painted green? Fuck, bro. Dude, I'm puking. I'm literally puking. All of the rooms are different colors. Fucking yellow, blue. Jesus, dude, the shit. Kind of gains though. This motherfucker's got a Smith machine just in his fucking— just in his house surrounded by blue and yellow paint, dude. All right, all right, I got an idea here. Now is what I need to see is the— what's for— what's for sale? I need to see that in this, in this area. Let's see, do I already have my shit fucking copy and pasted? Yes, I do. We love that. This has got to be a $400,000 house. Oh, it's in pre-foreclosure too. Very nice. Attractive. What the fuck about this is attractive? The lot's attractive. All right, what the fuck's for sale? What are— where's our competition at? Where's our— okay, I like to see already a $415,000 over here. $400,000 next door. Next door is under contract at $400,000. What do we got? What do we got? Okay, we have white countertops, we have got fucked up appliances, fridge doesn't even fit, this kitchen sucks, it's tiny, that sucks, the countertops suck, new flooring in one of the rooms, that's good. New paint, that's good. You paint, that's good. Shitty bathroom needs to be redone. We can make our— we can make— we can make more than $400K. Speculative, speculative. That's my gut feeling. I'm not going to try and sell something on me on the idea of that. All right, fuck. So I'm gonna look at these houses, and this is because that they are so goddamn similar. I can just tell from the aerial view. So I need to see what the fuck's going on over here. $415,000 for sale for 7 days, not very nice. What's this? $470,000 for sale, $10,000 price drop. That's, that's rough. Nicer, not remodeled though, maybe unless an owner remodeled it because they don't know what the fuck to do to make money. $474,000. There's a lot of shit in these $470,000s that's not selling. This looks nice though, it's 38 days and a price cut. Don't like that. Okay, here's where I'm going. I'm saying that this house, conservatively, $425,000. I think a flipper will actually list this for $450,000 and it'll sell. Conservatively, $425,000. But I even want to be more so because of this $415,000 that is fucking— it's been up for 7 days, so we don't know. Is what I would want to do, honestly, if I was like being serious into this, is I'm going to call this fucking realtor. I'm going to search up Neil I'm gonna go right here, I'm gonna search his ass on Google, I'm gonna find his number, I'm gonna call him up, I'm gonna say, hey Neil, taking a look at your listing over here, could be interested in making an offer. You've been getting any offers on this property? I'm gonna try and talk to him, I'm trying to get the dirt. Is there a ton of interest? Is there no interest? Let's figure it out. Either way, we can make our house nicer than this, we have a nicer backyard, we could sell this right at $425,000. More often. Look, if I'm flipping this, which this house I probably would fucking flip honestly because there's just so much good shit about it, meaning it's a lot and it's just a blank cab, like canvas. Like it's just fucking, dude, tear out the shit, put in new shit, we're good to go. But I'm going $425,000. How big was it again? $1,500,000, something like that? $1,400,000? Oh, also, always batches. Shit is better. Yeah, $1,500,000. Okay. Oh, and also the other good thing about Batch is it has the APN and the legal description for the properties. Oh, an investor owns this too. Jesus, this is such a good lead. Whoever is fucking— who submitted this, fucking go close this shit. Go close it. Anyway, where was that? $425,000, $1,500,000. But like I said, this is $35 square foot territory. We're going $50 grand. Yep, I love this, I love this, I love this. There's your fucking number. This house sells for maybe $300, but $290, it's, it's flying off the shelf. It's flying. Wait, is it flying? I'm gonna double check here. We're gonna go to the solds. We're gonna go low to high. All right, this is all down here. What do we got? We got a $330 that sold smaller. Okay. That— yeah, okay, yep. What is this? Yeah, $300. I love it. $300, you're giving somebody a deal. They got room to go make money. Love that. That's your fucking— that's your shit right there. That's your shit. All right guys, we got one more, one more. All right, who's next? All right, Rigo, you were next. Um, another thing I'm going to say that I don't believe I mentioned in the beginning, that's a very important note, very important note here. Is I can give you all of the rules for comping and the appraiser's guidelines of how they're appraising properties and whatnot. But the thing is, is that comping is a fucking art. Like, it's— there's nothing scientific about it. There's some things where you just fucking follow your gut, and that is a pain in the ass because there's nuance, and it's hard to fucking systematize nuance. And I fucking hate that, especially when I'm trying to train my people But it's a small— it's just a fact of life. The more you do this, the more you underwrite deals, the more deals you sell, and the more like rejection you face, meaning you have this great underwriting and you're trying to show buyers like why this is such a deal. And then something comes up. They're like, no, it's still fucking not a deal, dude. I know it makes sense for you on paper, but it's not. And here's why. The more you do that shit, you're going to learn. You're going to learn from your mistakes. You'll get better. Holy fuck. I got to stand up real quick. I need to get a drink. Oh, all right, let's check this out. What do we got here? What the fuck, bro? I need to be in batch. Always batch first for the infos. All right, where we at? Right here. Okay, wait. It's not this house. Okay, so it's off this little thing. We got fucking a church or a school or some shit right here. This is a nice little residential area in North Carolina. We like it. Bunch of shit. Okay, good. Nothing, nothing too crazy that's gonna affect it. 1,900 square feet, 2/1, or 1,900 built, 1,000 square feet. All right, this is gonna be easy. We got a fucking $101,000 valuation with a 76 score. Interesting. Own free and clear. Interesting. Let's see what's going on here. Let's see what's going on. What's the market telling us? Oh gosh, I don't think anything's gonna be within a quarter mile. Yep, nothing within a quarter mile. Go up half a mile. What we got? We got a $142, a $120, a $15K, and something fucking else. 2/1, 700 square feet, way bigger lot, 1900 build, sold for $150,000. Well, there's a fucking comp. Interesting. So very similar house. We have another one at $120,000, 860 square feet, similar fucking house. We got another one at $141,000, 2/1. Okay. Nice little fucking carport there. Very good. Here's something to note. Notice this, notice this. So we have this one that sold for $120,000, and this sold in December of 2021, and we got 4 months later $140,000 in April. Now this month, $150,000. You guys seeing the pattern? It's just following appreciation. So more than likely our house can be around $150,000 ARV. Let's come to Zillow. Let's see what this— so what this shows. Sold houses, 6 months. What do we got? Okay, so see, look, this is important. This one showed up in batch. That's That's why you always cross-reference, always using at least two different things. 2/1, 1,000 square feet, sold for $88 grand. No pictures is tough, but doesn't look like it's anything crazy. Got a bunch of shit in the front. Obama Biden, very nice. All right, all right. Oh, oh, what is this guy? I want to see that one. Located within 2 miles. All right, where is this guy at? Okay, so this is fucking good stuff, right? Oh my boys, they're making it easy on us, right? Look at that, the whites and the grays, baby. The whites and the grays. We see the whites and grays. What does that mean? That means $35 a square foot. That means— is this a 1,000 square foot? That means $35 grand remodel. Look at that, look at that, sold for $180,000. What else we got? Oh, Oh, 2 in a row! This is the easiest deal to sell in the world, bro. The ARV on here is $180,000. Add an extra $10,000 for the extra bedroom. ARV $180,000 all day long. $180,000. Don't even need the calculator on the side because I know it's $35 a square foot and we have 1,000 square feet right here. Um, I want to bump this a little bit. I want him to make at least $25K, as I told you. Boom, there's our fucking number. We sell this for— we sell this for $100 grand all day long. We sell this for $100 grand all day long. And check this out, our work is done for us because guess what? We call them up, we say, boom, look at this house, this sold for $15 grand. Boom, look at this house, this sold for $22 grand. Wait, this is important to know. Okay, this still— this still sold for $88,000. That's good. Yeah, dude, okay, here's what we need to know. Because in some markets— now this depends, I've never done a deal in Concord, I don't think— but is what I'm gonna do before I go crazy on this is I would call somebody. I would call somebody. And here's, here's somebody for those of you guys. So I have investor list, so I'm just gonna call the top buyers in Concord. I'm saying, hey, looking at a deal, you still buying there? Yeah. Okay, how much do you normally like to pick up deals for? Now they might tell me I'm typically buying deals for $50 grand, so I'm seeing shit like this. Now, if you don't have investor lists, here's what you're gonna do. You're gonna go to for sale, you're gonna go to accepting pending, right? You're gonna want to see everything, and you're gonna call all the listing agents of these guys right here, and you're gonna say, hey, you work with any investors? How much do they normally like to buy property for? Either way, I'm going to show him all of those comps, and I'm going to try and get this thing for $15 grand. If not, I'll fucking pay $30 for it. If not, I'll pay $45,000 for it. I'd go all the way up to $80,000 for it, but I'm gonna try and get it lower, and I'm gonna show them all these comps as my justification. Now, there could be a case— this could be one of those markets where people don't give a fuck how it looks on paper. They say, look at these other houses, these other houses. I can pick up a house on fucking MLS for 45 bands, 22 bands, right? So you need to be conscious of that. That's why I'm going to call. I'm going to get more information. But I would still fucking lock this thing up for $88,000. I would, because it's a deal. $100,000, somebody can go make money. And more than likely, more, more, more than likely, this is a good rental market. So does that make sense? Good. All right, before I leave you guys, I did promise free things, and I do have free things. Free thing number 1, we got this guy right here, my rental calculator. It's nothing special, it's nothing pretty, but it gets the fucking job done. We're gonna give you that for free. And also we're gonna give you this. This is what I like to call training wheels for comping. Where is it? Here we go. Get this pulled up. Let's get this over here. Whoops. Check it out, we got fucking step by step how, how to look at shit. This is just appraiser's guidelines right here. You got a question, you're gonna use this guy. Now the only thing is, do not fucking do this. See where it says multiply your ARV for 3.5% for appreciation? Do not fucking do that, because right now the market's kind of crazy and we don't know if it's going up, down, sideways. We don't fucking know. So do not fucking multiply your ARV by 3.5%. If anything We might be subtracting it pretty soon here, but we're giving these away for free. Now, how do you get these? Here's what you do. Number 1, subscribe to my YouTube channel. Let me fucking link that here. I'm just gonna link all my socials real quick, but subscribe to my YouTube channel. As soon as you're done subscribing to my YouTube channel, send me a DM on Instagram, tell me what your YouTube username is. And just tell me you subscribed. At that point, I'll ask for your email and I will share these with you. That's all you got to do. While I'm here, if you do not have Batch, it is an invaluable tool for me while I'm comping, and it's like $30 a month for the plan that will allow you to comp. Like, for the cheapest one, you want to sign up for that. Now look, you got fucking PropStream. I don't know how much they charge, like $100 a month, $200, something like that. PropStream sucks and the data sucks. I don't fucking like PropStream. I don't use it anymore. See, I got it up here. Fuck that though. Now, yeah, it's old data. Exactly, Bobby. Um, if you guys don't have Batch, go use my code TYSON. It's gonna give you 50% off your first month. It's such a good— if you are wholesaling, you're not using Batch, you're doing it wrong. I'm telling you that right now. But use code TYSON for 50% off your first month for that. But if you want what I just showed you, if you want the calculator and you want, um, what the fuck else, and you want my how to pull comp sheet, just go ahead and subscribe to my YouTube channel. Send me a DM on Instagram telling me that you did. Give me your email and I'll share this with you. I appreciate all you guys for coming. One last thing is I want to see, I want you guys to vote right now on what you'd like to see next. So what topic would you guys like me to cover next on the webinar? Now I got some options for you right here. I think you guys, uh, I think this would be helpful for you guys, and we'll see what you guys want. We got how to start cold calling sellers, how to start SMS blasting sellers, how to build a buyer's list, and also an overview of my script. All right, come on, let's get 100% participation on this. Pretty even race right now. They're all good. Well, Jairilius, I got good news for you, and that's no matter what, I'm going to be doing them. I'm going to be doing webinars on all of these, and as always, they'll always be free and they'll always be open to everybody. So tell your friends if you did enjoy yourself. How many leads per deal with your team, Bobby? Right now we're running at about— it depends on our agent. I think the average is somewhere around 50, 55. 5. You will see me in here as much as possible. Fuck yeah, Jairilius, I love that. All right, it's looking like how to build a buyer's list is going to be, uh, number 1. So I think we can go ahead and do that. I can't tell you for sure that that's what we're gonna do, but, um, that's definitely the one I'm gonna be leaning towards. All right, amazing, amazing. Well, thank you guys so much for attending. If you guys do ever have questions about wholesaling real estate or anything else, dude, send me a DM on Instagram. I want to help you guys. Again, I super appreciate all of you guys attending. If you guys want to rewatch this video, I'm gonna upload it to YouTube. Don't forget to go ahead and subscribe and send me a— and send me a DM on Instagram showing me that you subscribed so I can get you guys all these free goodies. That being said, dude, thank you guys so much for coming out, man. Had a lot of fun, um, talking with you guys and doing this. Um, thank you again for attending, dude. All of you guys have a phenomenal weekend. All right. Peace, love, blessings.