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I’m coming at you from my car today because I had something on my mind that I couldn’t wait to share with you.

I’ve never done a deal by myself. I always partner with someone or hire someone to do stuff for me.

It all started when I realized two important things: first, marketing is super important for real estate investing. Second, I don’t like marketing! It finally dawned on me that I couldn’t just rely on myself to get the marketing done. I needed to hire someone else to make sure that the marketing happened, whether I did it myself or not. So, I hired a Virtual Assistant, and she started doing my marketing for me.

Soon after that, I was so busy that I had to hire a realtor and take on a partner. By partnering with other people, I was able to go from one deal a month to quitting my job and getting into real estate investing full-time. The trick is to view wholesalers and realtors as potential partners and collaborators, instead of just thinking of them as your competition.

The key is to figure out what things you are good at and outsource the things that you aren’t good at or don’t like doing. And don’t forget; real estate is not a passive business. You’re still going to have to put in the work to manage the people that are working with and for you.

If you want to partner with me on deals, check out my new program at Partnerwithjoe.net. In there, I’ll teach you how to get your first check in the simplest, fastest way possible.

Listen and learn:

What’s inside:

  • Don’t do it alone.
  • Why I have Virtual Assistants.
  • Other wholesalers as potential collaborators and not competition.
  • Communication skills are key to managing your business.

Mentioned in this episode:


Download episode transcript in PDF format here…

Welcome. This is the Real Estate Investing Mastery podcast.

Hey, what's up, guys, Joe McCall here in your car podcast. Coming at you from my car and I'm driving, you want to know what I'm driving? Do you care? Does anybody care? I'm driving a GMC Yukon Denali 20 15. And it's a great car. It's a longer version, the extended version. So I can get my family of six in here. That's a good car. I've had about six, eight months.

Anyway, I'm driving home right now from a golf lesson and wanted to share about something that I've been thinking a lot about lately. And it's this I have never done a deal all by myself. You thought I was going to say I've never done a deal. I've never done a deal all by myself where I did everything. I did the lead generation talking to sellers and negotiating the getting it under contract, the marketing, the home advertising, dealing with the buyers, all of that stuff. I have always partnered with somebody or hired somebody to do stuff for me.

Now, it started with what I realized. Marketing is super important, right? I've got to get marketing done every single day for me in spite of me, because I'm just not going to do it myself. So I I've realized early on I can't rely on myself to do the marketing. That's the most important part of the business. So I got to get someone else to do it for me in spite of me, whether I want it or not, it gets done.

And so that's what I did. I hired a virtual assistant and she started doing all my marketing for me. And this was back in 2008. And it was the same thing I'm doing today, sending text messages to landlords and for sale by owners who are advertising on Craigslist and Zillow and then doing some letters later on. But that's, you know, have a virtual assistant, do your marketing for you. That's numero uno.

Then I started getting to a place where, you know, I was getting so many leads, I was working full time job and I couldn't these leads were getting days old before I could ever get back to them. So I hired somebody more and brought them on as a friend or partner. So he wasn't an employee, but I told him I'd give him 30 percent of every deal that we did. So I had a VA doing the leads, getting marketing, and then my friend Trey would get the leads and talk to the seller's, call him back, negotiate with the deal, go to the house if he had to. And yeah, then it actually started working and he started getting deals under contract. And now I'm too busy. I can't advertising market these homes. So what did I do?

I hired a realtor to find me tenant buyers. So we were doing lease options mainly at the time. And I started now I was doing deals, I don't know, two, three, four deals a month while I was working my full time job, fifty, sixty hours a week. And I had somebody else literally doing everything for me.

And that's when I realized I think I'm on to something, because if I'm doing it all myself, I can only do one deal. But if I'm bringing people on, I can do three or four deals a month. So then I quit my job in 2009 because I was doing about three or four deals a month and I was making more money doing that. I was flipping lease options. I was making more money doing that part time than I was in my full time job. And that's how I did it consistently for three months. And I knew then how much more money can I make if I devoted full time energy to it. Right.

So fast forward about three or four years and I saw a lot of money starting to come back into the market. A lot of people were starting to buy rental properties. And so I wanted to start doing more regular wholesaling to feed this huge hunger I was seeing from institutional investors, from cash buyers looking for rental properties. And so I started I made the same mistake I did before I started doing all the marketing myself, handling the leads myself.

I realized, oh, this is too much. I can't handle it. And for some reason I thought I knew better, but I forgot my lessons. Well, I said, all right, I'm going to hire an acquisitions manager. So I hired an acquisitions manager and that was great. But I was doing a lot of the work still. I was still signing a lot of writing, a lot of checks were signing a lot of paperwork, still was working and training my acquisitions manager, my dispositions team. I had all these people in place going to the title company.

You know, every single deal is different, every single deal. There's always something that comes up that's a problem or a challenge. Right. And at the end of the day, I was still only netting maybe 40 to 50 percent of the deal, which is not bad. But I was feel like there's got to be a better way because I'm doing all this work. So then I thought, well, there's got to be a better way to do it. Why not? We'll stop marketing and just find buyers. So we started just finding buyers and then we started telling everybody because once we had really good buyers, we just started spreading the word to everybody in town, hey, we've got a million dollars burning a hole in our pocket. We're looking for deals.

And then it became much easier, we got a million dollars burning a hole in our pocket, we're looking for deals, send us what you have, because we knew we had the best buyers who would pay more than anybody else. And so we didn't have to do any more seller marketing. Everyone else was doing the seller marketing for us. They were bringing us their deals. We had the good buyers. And so we were it was a lot easier then. But then fast forward.

I'm not doing any of the work. I'm making 50 percent of the profits. I'm thinking, this is nice. This is awesome. But my main acquisitions manager is like, hey, I'm doing all the work. I'm only getting 50 percent. I'm going to do this on my own. And so we parted ways as friends. I totally get it. He's still doing deals today. It is. It's an awesome story to see and watch him. It's been seven or eight years now and he's still averaging, you know, 80 to 100 deals a month. And he was working like eight dollars an hour at Home Depot part time. He was a part time pastor, part time working at Home Depot to put food on the table and net zero retirement. And now he's got a bunch of homes, and I'm so happy for him. All right.

So anyway, now I'm thinking I want to start traveling because my wife and I've been talking about this a lot. We want to start traveling around and doing deals while in an RV or in Europe for three months at a time. And so we did that over the next couple, three years, four years. We went to Europe twice for almost three months each, and we went on an RV trip for three months and doing deals. And so I stopped and asked myself, I listed all the things that you have to do in a real estate deal. And I said, all right, how can I do none of this? And that's a question I really want to challenge all of you guys to ask yourself.

Look at everything you have to do in your business, no matter what it is, real estate or not, and ask yourself, how can I do none of this now? And when you do that, you'll start to realize, OK, well, these are the things that I can easily outsource and these are the things that are going to be harder to outsource. And you know what? These are the things that maybe I shouldn't because I'm really good at it. I like doing it. And this is like the linchpin. This is the most important thing.

So that's what I did, though. And for me, I realized, OK, marketing is the most important thing. I've got to do it. So I just hired a local admin assistant to start managing the marketing for me. She did all the marketing and she got so busy. I told her, listen, just hire a virtual assistant and you manage the virtual assistant, have the VA do all that. So that's kind of what we did. We started marketing for leads and we would do it. We were doing a lot of direct mail at the time. The virtual assistant was answering the phones live and then giving the leads that were prescreened to our local wholesalers. And we were doing this in about three or four different markets over these two or three or four years. And in fact, four or five markets. We were in Phoenix, Las Vegas, Memphis, Tennessee, Tampa, St. Pete, Florida. And St. Louis, Missouri. There might have been one or two others there, but we were doing an average of four deals a month. Average profits, my net, after splitting the deals, 50/50, was about five grand. So it was great.

I loved it. And starting thinking forward, you know, like, how can you build a business out of this? Now, I understand wholesaling is not passive, quote unquote. The wholesaling business is not passive. When you stop wholesaling, you stop making money, which is one really good reason why you should be taking your profits and buying investment properties that do produce, quote unquote, passive income. And I call it, quote unquote passive income because it's not really passive. You have to manage the deals. Well, yeah. You are a property manager. Well, you still have to manage the manager.

And if you don't believe me, then you haven't had enough rental properties. You don't have enough experience, I don't think, or you have so many of them. You figured it out and you've cracked the code. All right.

So anyway, I think, though, and I would argue that you can have a quote unquote, passive revenue stream from wholesaling. And when you build the systems and you get the people in place, OK, it's not that hard. It is a business, though. You're still going to have to work. There's no such thing really as mailbox money. For the most part. There is somewhat. But like you still have to put in the work. You still have to manage the people. It's a people business and there's still things that are going to go wrong. So you need to be communicating regularly with your team. And if that's work, well, that's work. But communication is super important. That's a whole other topic in and of itself. Like you want to look at any successful real estate investing business. They're successful because they're good communicators. They're good communicators with their teams or virtual assistants, the sellers, the buyers, they answer the phones. They're not hiding behind a website or voice mail or text message. They talk to people. They're good communicators. That makes sense.

All right. So, you know, today kind of doing the same thing, right? We've got virtual assistants that are doing the cold calling. We're sending letters and postcards for vacant land. We're doing cold calling for houses down in Alabama. And the leads are coming in and we're sending. Them still today to local wholesalers, local boots on the ground, people and who take it from there. And the cool thing about this, when you're working with local wholesalers and working with other people that have been there, done that, have done deals before, they know the market, they're going to help you tremendously. How will they have the contacts, the connections? They have access to the money, the hard money lending, private money. They have access to the title companies. They know the right contracts to use. They know the right realtors to use. Maybe they have their license. They know how to do it properly the right way, double close's or assignment's or whatever. They have the buyers that they can text that can buy their deals fast. They have the contractors, they know the right people, the attorneys, the title companies.

And so, yeah, you can do it yourself. But why not just get the leads, prescreen them and give them to somebody who already has the experience of doing deals in that market. And this is why, again, make doing deals virtually is so stinking easy. It's not that hard. I don't know why people think it's intimidating to do deals in a virtual market. How you got gotta do is find somebody already doing deals there and give them some of your prescreened deals and partner with them on it.

All right. So anyway, yeah, I don't look at other wholesalers here in the markets that I'm in as competition. I look at them as potential partners, as collaborators, where we can do deals together. One time I found a deal. I forget how, but it was an area around here, St. Louis called Sunset Hills. Really good area, but there is some serious basement foundation problems. And I found that out by talking to the seller. And I mean, it was a thirty minute drive from where I was at the time. I didn't want to go out there and drive. I don't know anything about basements. Like what would it take to fix what's bad, what's not. But I knew a local wholesaler who does a lot of deals in Sunset Hills and knows all about basements and foundation problems and isn't intimidated by it. And I called him up. I said, hey, listen, you want to partner with me on this deal? And he said, yeah.

Turns out he went to the house, didn't work out. The seller and him were too far apart in price. But yeah, I was willing to give up half a deal just so I wouldn't have to drive a half hour. But here's the thing. It's a half hour both ways. That's an hour. And then it's been an hour with the seller. That's two hours. It was a big deal, Joe. Well, the other thing is he's a better negotiator than I am, so he probably wouldn't negotiate a better discount than I would have. And number two, he has better buyers than I did at the time, so I knew he could sell it for more than I could. So here we go. We're splitting the pie, but it's a bigger pie. And because I'm doing this all over the country, I could do more pies. I like pies. I like a lot of pies. So I'll eat a half a pie. Yeah. In exchange for bigger pies and more of them. Does that make sense?

So don't ever think that you can do this all by yourself. You're never can do if you want to be successful, can you you have to build a big team or you have to get partners, but you'll never do a deal all by yourself. Always be looking for people that you can partner with and collaborate with. You know, some of you are good at talking to sellers and negotiating. Some of you aren't. So if you've got the money to invest in marketing, do that. Find somebody who's good at negotiating and talking to sellers. Some of you are are good at that and you enjoy doing it, but you don't have the money for marketing. All right. So find somebody who can invest in the marketing, who's not good at negotiating, talking to sellers and partner with them and say, hey, listen, I will work all your leads, OK? And we'll split the deal. If you're brand new, maybe tell them I'll split the deals. Thirty seven. You get seventy, I get thirty. Just give me them to call.

You can also do this with wholesaler who has old leads. Tell them, hey, listen, please give me all of your old dead leads and I will call them all and follow up with them and send them offers and we'll split the deals. Thirty. Seventy. You get seventy. I get thirty. Right. And if that's what you need to do then do it. And that's going to start getting you a little bit of money. You can start paying for your own marketing then, etc. but like find out what you're good at, what you're not good at and get somebody else to do that other stuff for you. Partner with them. Make sense.

All right, listen, if you want to partner with me on your deals, I got a new program called Partnerwithjoe.net. Go check it out. It's a program I just released. Super happy about it. Proud of it. In that program, it's mainly for beginners. But I want to teach you how to get your first check the simplest, fastest way possible. And I'm also going to have a program in there. Why lend money on all your deals?

So if you're interested in that, go check out Partnerwithjoe.net. It's a 30 day program. It's only seven bucks. And I'm going to give you when you opt in for free, the cash offer software that I have that helps you figure out the air of the after repair, value the repairs and helps you come up with a really good, solid cash offer and a proposal that you can send to the sellers. And that's free. You can get it for free just by opting in at Partnerwithjoe.net.

So go check it out, Partnerwithjoe.net and let's do some deals. Bye bye.

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  1. Enjoyed the podcast. Good tips on VA’s, acquisition managers, and starting out to setup a team. Thank you creating a “carcast”.

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