Why do People Fail In Wholesaling Real Estate (avoid these mistakes) Day 2 Locked in

Good morning everybody and cheers! Uh, that was rough. All right, we got, uh, our breakfast again. We got 6 ounces of sourdough. Most of them are covered in blackberry preserves, but I ran out, so one of them is covered in honey, light drizzle. Um, we got our notebook, we're about to step outside, get to journaling. We got our water with a little bit of, uh, pink Himalayan sea salt. But yeah, let's step outside, let's have some breakfast. I'm sure Gamble will join us, and, uh, let's get our thoughts onto some paper. Let's get smarter, shall we? So it's a lovely day out. We're, uh, going to have some breakfast outside with Gamble. Um, we're gonna eat some breakfast and then we're gonna go ahead and, uh, get into some journaling. I already kind of know what I'm going to talk about, so we're going to bang that out. Oh, by the way, we already took our vitamins. Oh yeah, I recorded that. We took our vitamins, we're hitting the day with some water. We got Gamble posted up next to us. Life's good. Anyway, get after this. Get after the journaling, and then, um, we're gonna head on over to the gym where we're gonna hit some legs and some cardio. You know how it is. Ah, the curse of Arizona is that it is sunny but too damn hot. So I've moved under the shade and we're gonna go ahead and start journaling. Today we're gonna be talking about why people fail at wholesaling. I have seen and I've taught a lot of people how to start wholesaling and I've seen them crush it and run with it. And then I've seen people, you know, get all the exact same information as the other people who crushed it and they never did a thing with it. And I'm going to, you know, basically I want to think about this for my own because I want to be able to help more people. And if I can identify the most common reasons why people fail, Hopefully I can curb that. Um, so yeah, anyway, that's what we're going to think about today. We're going to stew on this like a scientist attempting to solve problems. Why do people fail at wholesaling and how can we fix that? All right. We have finished eating breakfast, whole food of sourdough and honey and preserves. We have journaled, we have gotten our vitamins, and we are now on our way to the gym to hit some legs. So when I was journaling this morning, I was talking about why people fail at wholesaling real estate. You know, like, I have taught so many people how to wholesale real estate, and really It's a simple thing to do, you know, we're not sending rockets to space here. We are selling a piece of paper, not a whole lot of moving parts. It's not like it is something that like takes a whole lot of time to get into where you have to do a whole lot of like, you know, development before you can get— like for instance, if you want to go learn how to code or build an app, that would take a long time for you to learn just the foundation to be able to to do those things. Whereas for wholesaling real estate, it takes like an hour of specialized knowledge and then just you can go do the thing, right? So why do people fail? And really I've decided it comes down to one thing, and that is, do you really want it? Um, what I've noticed now, this is just you know, anecdotal, obviously. But what I've noticed is that the biggest reason why people fail— or here's what I hear, actually, I want to change this. I want to say most people quit their first day ever trying, from what I can tell. Obviously, I don't actually live in these people's houses and are watching them, but just from people's like general communication with me, which people are always like DMing me, right? Like, hey, like, I'm about to get started, I'm gonna, you know, like I'm gonna start cold calling today. It's like they do that and then never hear back from them ever again. Or they'll do that and then they'll be like, hey, I talked to this person, they said they want to sell this house, what do you think about it? And it's like a fully fixed up house that the person is asking $50,000 more than what it's worth. And when I tell them, yeah, you're going to have to offer them $200,000 less than what they're asking, they're like, oh, what? They're like, "What?" You know? And then they just never call and make that offer and they just give up. So what I mean by, if you really want it, you will succeed. Because it's a simple math equation of if you call enough people and you make enough offers, eventually you're gonna find somebody who wants to sell and wants convenience and is willing to sell it at discount. But the problem is, is that people don't actually want it as much as they say they do, is what I've decided. They say they want to change, right? Obviously there's something in their life that is, that is not satisfactory to them, right? They're looking for something more somewhere, and oftentimes that's to do with making more money. And so there's where wholesaling comes in, right? Making more money, or hey, want more freedom, these kind of things. That's where wholesaling comes in. But then they start to get after it, right? They start making calls and they realize like, oh, this isn't going to happen overnight. You know, like, oh, some people aren't going to pick up the phone. Some people are going to pick up the phone and they're going to be mean to me. Some people are going to pick up the phone and they don't want to sell. Some people are going to tell me they want to sell and then they're asking way too much money and it's not even like, why would they ever even be asking that? Like, no other houses have sold for that amount, right? And then they just give up. Whereas the people who want it— and I can pretty much tell when somebody actually wants it, like, in the first time I talk to them— they succeed. Like, it is like— I'm not gonna say 100% of every single time I'm like, talk to somebody, I'm like, oh, that person's gonna rip. But it is damn near close. I can tell because they just have a fire where they're like, I'm willing to do what it takes, right? They're asking me questions They're not like, hey, how many calls do I need to make a day? Instead they're saying, hey, I'm willing to do whatever it takes. Like, I don't care how many calls I have to make, I'm gonna do it, right? Guys, when I got started, I was making over 1,000 calls a day and I didn't get my first contract for 2 whole months, right? So for 5 or 6 days a week, I'm making 1,000 calls a day and for 2 whole months there wasn't a time, right? For the majority of 2 months, I didn't have a a property under contract, right? I had a couple things I felt like I was close on, you know, after a month in or something like that. But, you know, a lot of them just vanished, right? Like, I remember specifically this one lady, and I called and I made her an offer, and she's like, yeah, I think that's pretty good, I just need to think about it. I'm like, okay. And then I would call her, and then on the next day, and she said, yeah, no, I'm still just kind of thinking, there's some things I need to figure out, blah blah blah. I'm like, okay. And I kept following up, but it was just this string of hope because I knew that it was going to be a deal if I could get it. And I'm just following along and then all of a sudden she calls me back or I give her a call and she says, "Oh, I actually sold to somebody else." Right? This would've been my first deal. I had not gotten paid in like a month. Like it killed me, right? Took all the wind out of my sails. And it would've been really easy for me to give up right there. In fact, guys, I'm not gonna lie to you guys. I almost gave up many times trying to get that first deal, right? I mean, after my first week of me having made 5,000 calls, and it just felt like I had nothing to show for it besides a couple people who said, "Yeah, I might be interested in selling, you know, next month or whatever after summer's over." Just things like that. And I was like, I feel like I have nothing to show for the work I was doing. But here's the thing is I did, because those 5,000 calls got me that much more comfortable on the phone. They got me that much more confident talking to people. They got me that much more experience of talking about real estate. And hearing new things. Like, you know, somebody brought up their foundation. I'm like, what the hell is a foundation? Okay, my phone overheated because it's sitting on the dash of my car and we're in hot-ass Arizona. And also it's dark as shit. The lighting's terrible in here and I don't have lights, I just realized. Anyway, I want to finish on what I was talking about because it's important. In the beginning, it can feel like you're not moving the needle forward when in reality you are. You're learning so many things in every single phone call. You get so much better. And, um, you always need to keep something in the back of your mind, and that's that the next phone call you make can be the one that makes you $20,000, right? $50,000. Um, and if you just keep doing— here's, and, and here's also what you need to circle yourself back to is getting the first deal is absolutely the hardest. Because number one, you have zero experience. That's what all these calls you're making is giving you, right? Before you get paid in money, you're going to get paid in experience. And every single phone call you make is giving you that experience that's going to be build you into the person you need to become to be able to make this happen, right? Guys, the person you are right now is not the person that's capable of making $100,000 a month. You agree with that, right? You need to become a higher elevated version of yourself to become worthy of making that $100K a month. And that's not going to come without tribulations. Okay. But as you're making these calls, you're getting the experience. And then when you close that deal, now you have all of this experience behind you. Plus now you have money and money makes everything easier. Money plus experience. You add those two together, you invest that money correctly, right? And then all of a sudden, your second, third, fourth, fifth deals just start rolling in. You close that first one. I've seen it time and time again. They close the first one and then boom, boom, boom, boom, boom, boom, boom, right? And then it's not long— it is not long, every single time I've seen it, it is not long after they close the first deal, they make some moves, they invest the money correctly. Now they've got some people, you know, they got some VAs, they've got the right systems, they got the right marketing. Now they're closing deals left and right. And then they come to me, and then their biggest problem is, Tyson, I'm only closing 2 or 3 deals a month, right? How do I get to where I'm doing $100K a month? And then people get to $100K a month. They're like, "Tyson, I need to get to $250K a month," right? I see it happen every single time, right? The wholesaling goes like this. It's like flat and then it's so exponential, okay? So if you are maybe somebody who is in the trenches right now, 'cause you have to make it out of the trenches to get that first deal, right? Trust me, I've been there and I know how much it sucks when you're cold calling every single day feeling like, hey, none of these leads are super motivated or super hot, just remember, number 1, you're getting paid in experience. Number 2, it can be that next call. And once you've made it out of the trenches, because you've got that first deal and you have this experience and you now have some money, everything is going to become easier for you. Okay.

All right.

I have to sneeze. Gross. Um, anyway, I wanted to talk about that. Um, but real quick, I'm going to give you the rundown. Um, I'm at the gym right now. I'm in the parking garage. Uh, We got some legs today. Um, again, I'm still sick if you couldn't tell, so we're not going to break any records. We're gonna do some leg extensions, we're gonna do like 3 or 4 sets till failure. We're gonna do, uh, uh, leg curls, 3 or 4 sets to failure. Um, we're gonna see how that feels, and then I might do some, uh— oh, you know, you know what I'm gonna do for sure is some machine leg press, like a, like a pin-loaded machine, right? So it's super light, like you can easily full stack it. And I'm just gonna, you know, try and rep it out and just basically burn out on that. Just do as many sets till failure as I feel like I need. We'll do some calves, and then it's onto the treadmill for 20 minutes, which is gonna feel great. I felt so good after it, just like the sweating, amazing. And then immediately, immediately after that, this car next to me almost just ran into this car parked in front of them. Anyway, after we do 20 minutes on the treadmill, we're going to hit 10 minutes in the sauna and then it's time to go make some money, right? So we'll fire off some TikTok videos and we'll hop on live and do some cold calling. I have a guy that I'm really excited to follow up with, deal in California. We'll see what's up with him. And then I have a bunch of leads that we're going to reactivate. We're going to get them back on the phone. We're going to follow up. I'm going to follow up with some people that I've made an offer to see if we can maybe revive some of those leads. But yeah, we'll make some moves. It's gonna be a good day, so we'll see you guys in a bit. We got back from our workout, took a shower. Uh, we just made some lunch, which is 1 pound of that grass-fed 97% lean ground beef, um, 2 ounces of sourdough bread that we're gonna put some olive oil on top of. Um, normally wouldn't— oh Jesus, that was a lot.

Oh well.

Normally wouldn't do that, but, um, I'm not really tracking my calories just because I'm eating so goddamn clean. Um, on the ground beef we're going to be putting this, uh, I'll show you in a second. It's called Gringo Bandito, uh, what is it? Gringo Bandito hot sauce. And it is like a, um, white vinegar, serrano, onions, habanero, cilantro, salt, spices. It's just, it's dank. It's this right here, and it is so gas. But, uh, yeah, we're going to muck this. Dude, I put way too much fucking olive oil on this. Oh my God, get some of that on there.

Dang.

Obviously insanely dank. To drink, we got a LaCroix. You know what though, I also want some of this. This is some like fresh squeezed orange juice that, uh, Meredith buys. The ingredients are literally oranges, so it is fire. Um, Meredith buys this at AJ's, which is a grocery store we have over here in Phoenix. That has like a lot of really good shit. Oh my God, it's literally so dank. But, um, at the gym we did, we did a, we did some, uh, dead hangs today as well. Um, so far feeling no improvement on the shoulders, but I don't really expect that after 2 days. When I'm doing the dead hangs, I feel it more in like my lats than I do anything else. And I wonder if that's because how I'm doing it, or maybe it's just good for your lats. Who knows? I'm not a doctor. Um, anyway, we did dead hangs. We did some leg extensions. I'd started to do some, uh, leg curls, but the laying leg curl and the single leg standing leg curl were both taken. And so just the sitting one, we kind of like lock yourself in, and it felt terrible. I could only do it with super lightweight, but like the positioning of the machine was just off. I couldn't get it placed in a good place, like behind my ankles. It was just bad. So I was like, screw this. And then I just went and did, uh, the, uh, machine leg, uh, presses. And I started feeling nauseous as a mofo while I was working out. But whatever, we got it in. I know that I still got a fucking pump, and I'll be sore tomorrow. So I'm fine with that. Did our cardio, hit the sauna. Now it's time for the most fun part of the day, which is going to be getting on the phones and making some money. Today, like I said, we're going to focus on calling back the lead that we talked to yesterday, property in California. And then we're going to go through all of our offer decline follow-up. So everybody that my company has made an offer to that's declined, I'm going to try and call through those people. See if we can revive them, and then we'll just go through and try and revive whatever leads we can. But yeah, so we're gonna finish this, then we'll be live on TikTok. Hello, James? Yeah. Hey James, this is Tyson. We spoke yesterday about your property on 421st in Rio Del.

Yeah.

I was wondering if you had a chance to take a look at the property and figure out if it was something that you were sure you wanted to sell.

You know, I looked around and it looks like prices are pretty low.

Yeah, that sucks. So this guy's situation, he— I called him about one property and he says, oh, I own that property and the one next to it. The property I called him about, his daughter is is living there with her wife and a kid. They're both on welfare, his daughter and his daughter's wife, and they're family, so he keeps dropping rent for them, and basically it's a hassle. Property next to it, he has some old lady living there, she pays rent, it's fine, whatever. Then he told me about this other property he has, another person not paying rent who he's finishing up the eviction with. The person's cooperating, which if the person cooperates, not big deal. If they don't cooperate in California, it is a pain in your butt. Either way, we are just too far off on all of them because he has— he's taken out more loans, he's refinancing, so he doesn't have a lot of equity. Put himself in a bad spot. Well, not a horrible spot, but not a great spot for me. I do not want to buy any of them sub-2. I do not want to own in Humboldt County, California. Especially do not want to take over notes where the current tenants don't have a lease agreement and are family and have been living there for a long time without a lease agreement and are going to have all kinds of squatters' rights. Yeah, bad news. Don't want that. And there's going to be very difficult terms to wholesale as well. So there's just a collection of things due to the geography and the sort of loans he has on this, that's just not gonna make it work. That's unfortunate.

Hello?

Hey, hey, this is Tyson.

Hello?

Hello? Can you hear me?

Yeah, this is Ralph.

Ralph, this is Tyson.

I don't know you.

Ralph is, uh, he's one of my employees.

What's going on, Tyson?

Well, I just saw here that looks like we'd made you an offer to buy this property, yet I don't own this property, so I wanted to call and see if there was something we could do that we could go ahead and get a deal done.

Now, I don't think you want to pay me for that property. I think y'all want me to give it to you.

I mean, that would be ideal. I'm not gonna lie to you.

Yeah, I know, but that ain't gonna happen.

Of course not. We got to make a win-win situation here, don't we?

Yeah, I need $100,000 for it.

$100,000? How much should we offer for it?

Yeah.

Huh? Let's see, I'm trying to look. I'm trying to see how—

I know what it's worth. It's worth more, but if I walk away with $100,000, I'm good.

All right, let me take a look. I'll give you a call back.

All right, no problem. Bye.

I think, I think this house is worth $200K. Yeah, I think, I think, well, I think we'll pay, I think we'll pay him $100K for this. Damn, that was a very, that was a very quick call. Um, real quick, in the property, is there anything wrong with the flooring, like the foundation?

I mean, nope, right? All brand new wood floor, the, um, the, uh, it's that OSB board put down and everything, carpet. Well, it's a couple years old now, but no, but I'm more concerned—

I'm just concerned about the foundation. There's no cracks in the ground, nothing like—

oh no, no, absolutely no leaks, none of that. No.

All right, what about the roof?

Brand new. Had a roof put on in 2008. In 2008, 2009? Yeah.

Okay.

No, 2018. Okay, 18 years. My wife said no.

Yes, I wasn't in there. It's not a new roof, man.

Huh?

I was gonna say that 2008 is not a new roof, but no, 2018.

My mistake. All right, 2018.

All right, we'll get you closed, we'll have you paid in 30 days. I can give you $89,000 for it.

$89,000, we're close to $90,000. You make it $90,000, we good.

$89,000. I cover the closing costs. There's no realtor fees. That's $89,000 to you.

Yeah. Okay. Okay. Sounds good.

All right. Give me a second. Let's make this, uh, let's, let's finalize this, shall we? My offer will be in her inbox in about 5 minutes.

Okay. No problem. Got you.

All right. I'll send that over.

Thank you.

Just go ahead and let me know when you get it. Okay.

All right, no problem, Tyce.

All right, we'll talk to you soon.

All right, bye-bye.

All right, let's go. We're getting into 89. We like that. We like that. All right, offer made. Let's go. So we're gonna go to DocuSign anyway. I just texted the guy. I said, hey, it's Tyce. Did you get the email? Okay guys, here's the plan. I'm gonna just give this guy an hour or so, and then we'll call him back. And when I go to call him back, we'll hop back on live, okay? And, uh, when he does sign the contract, I'll post a celebratory story so you guys can see, and we can get hyped together. And then tomorrow, when he does sign, we'll start the process. You guys can see me do everything with the title company, and we'll start to find a buyer. We'll get— well, we do get pictures first, but then we'll start to find a buyer and and you guys can see the entire process of how I do that, and it's really not that crazy. All right, um, had a good, uh, cold calling session today. We, uh, um, talked to a guy and made him an offer. He was asking $100K for his house, ARV is $200K, and, uh, we offered him $89K and he accepted. Uh, we haven't heard back from him yet, so we'll have to see on that, but hopefully we get get that one locked up. And then tomorrow, on tomorrow's live, we can, uh, focus on doing everything we need to do, getting pictures, and then starting to find a buyer for it. But right now, me and Meredith are at AJ's, which is a grocery store, uh, here in Arizona, to get some steaks for dinner tonight. So this is my, like, favorite place. Look at this, like, they're, uh— oh, I can't flip my camera, it's so annoying. But they're, uh, like seafood section, and everything is just so good. Look, they got Dover sole. Look at these tuna steaks. I know, I want this. And the Chilean sea bass. Yeah, look at that. That's insane. That's some rainbow trout fillets. Look at that halibut. That is massive. Also, $29.99 a pound is insane. But, uh, this is what we're looking for.

How's it going?

Good. Uh, yes. Um, can I get— let's see here, I'm gonna do, uh, let me get one of these, or actually two of these prime, uh, New York strips, and then one of these ribeyes. That's what I'm about to ask you. Which one do you want? I want fillet. Do they have that? These? That's not— I mean, it's tender one. Got to figure out— Meredith doesn't like ribeyes or New York strips. Yeah, these are, these are what I get you, Meredith. How many do you want? Steak snobs. One? Well, you have to like— which one? You can tell them which one you think. Probably that one. And then can I get, uh, one of these tenderloins right here? That one that's like that closest bigger one. That one or the— oh, the one— that one. Yeah, yeah. Nice, thank you. All right, steak's acquired, and then we're gonna go home and we're gonna cook these up. All right, dinner is complete. You guys gotta check this out. We got— so we got sweet potatoes, they're white sweet potatoes covered in some honey. We got some mushrooms, ribeye here, and some gigantic— look how big these blueberries are.

Shit's insane.

Anyway, great day today. Um, if you guys haven't already, you guys enjoyed, make sure that we like and subscribe. Subscribe. And, um, if there's anything that I'm not showing you guys would like me to see, make sure you leave a comment. And also let me know if you guys are liking these videos. Appreciate it. We'll see you guys on the next one.