Joe:  Welcome. This is the Real Estate Investing Mastery Podcast.

Joe:  Hey, would you like to know how to comp land deals in 60 seconds or less? I'm gonna show you how to do that right now on this video. I got a really brand new awesome tool that I'm excited about to share with you that is free and I'm going to show you to get it here. This is amazing. This is a game changer. It used to take me a long time to come up with offers and to look at the comps and look at actives and the solds and write down the price that it was listed for and the number of acres and calculate the price per acre and then figure out the average and then worry about outliers and like, should you do the median or the average? And then once you get like a number to use, how do you come up with an offer? And I used to have these fancy, I still have them, but I used to use these spreadsheets that just kind of made, I understand spreadsheets, I was good at them, But a lot of my clients and other people I was working with are like, man, their eyes glaze over whenever they see a spreadsheet. So I built a brand new tool that I'm going to share with you now in this video. And I'm in a hotel room right now. We're getting ready to go out to our conference that I'm at. So I'm excited to share this with you.

Ready to jump in? I've got some notes on why you shouldn't just rely on pricing tools and algorithms. Because I see some people make this mistake of like, oh, I don't want to do all that work, or it's too confusing. I'm just going to take the shortcuts. But I'm going to show you that this is not a good shortcut. When you use some of these pricing tools, they only get you 50 to 75% of the way there. They're helpful, but I'm not going to recommend that you use them when you learn how to comp deals correctly with tools like mine on sites like Zillow, that's free. Okay, you're going to find that it's faster and easier and more accurate doing it that way. So do not let these pricing tools and algorithms and websites be a crutch because it's only going to get you 50% of the way there, maybe 75% of way there. But I really encourage you don't rely on the pricing algorithms. And I'm not going to, when I say it's somebody's company's name, it's not that I'm bashing them. They didn't even intend it when they built it. They didn't, even intended it to be the gospel. Why you shouldn't rely on pricing tools and algorithms. They're helpful, I use them, but they're just a starting point. You understand? And here's why you need to do your own research. Tools don't always have good data. They just get, many times get it from public records. It's not always complete. It is not always current. And sometimes they get records, they get data from the MLS and the county records and in rural areas sometimes it's wrong or missing.

Think of Zillow's estimate, right? It's like, they give you a rough idea, but they're not always right. So local markets are different. Tools, when you rely on an average price per acre in a county or zip code, right, they don't know everything about a property. They're not looking at things like road access and utilities and zoning and floodplains and slope of the property and all of that. Road access, that stuff really, really is important and algorithms will not price the properties that way. So two lots might be the same size, but one has road access, one doesn't. One might be on the lake, one might not be, one might be on flat ground, one might on the side of a mountain. So these algorithms do not account for that. And this is important to understand, the market determines the price. What matters is what the market says the property is worth. So even using my free tool that I'm gonna show you in a minute, that's not, it kinda doesn't matter what we think is what I'm trying to say. What matters is what market says that the property's worth. Tools will give you a great guess, but the real test is the market, okay?

So what I recommend eventually after you get a deal under contract or if it's a really good deal and you're trying to get really good pricing, you'll call realtors. Call recent realtor, local realtors, call recent buyers. They know what's really selling out there. And again, it does not matter what you think the property worth is worth. It only matters what buyers are willing to pay. You're going to get better with practice, okay. The more you practice and research properties yourself, the better you're going get. You're gonna learn how to spot good deals and you'll see opportunities that others miss when you learn these skills. Tools also don't help you negotiate algorithms, right? When you're talking to sellers, you need to know your numbers. You need to be able to tell them, hey, listen, why would I want to pay you $30,000 when this property is currently for sale for $15,000? Or if a seller asks you why you offering less than what their neighbor got, you need to able to explain the numbers. Maybe their neighbor's lot had utilities or better road access or it was cleared or whatever. I mean, you only know this if you do your own research. So I'm going to talk about now how to use both tools and your own search. So there's tools like the land portal and price and freedom soft. They can help you get quick estimates. There's other things out there. Um, land insights, I think is a new one. Then you got it though. You got to dig deeper on your own, look at the properties on Zillow and Redfin. What I'm going to show you right now is how to find 10, at least 10 similar size properties that have sold recently or are actively listed. Compare things like size access utilities that gives you the real value. And when you learn this, you can do this really, really quickly. Okay. Bottom line, uh, pricing tools are like the jeeps, right? It gets you close, but you still need to look around and figure out exactly where you're going. All right, so doing your own research helps you make better offers. You'll negotiate better deals and you'll make more money. So I'm gonna show you now, I'm going to show you my tool, just wait, because I've worked so hard on these notes. So steps to come up with an offer. Number one, you're gonna research the property. Start by gathering the details, location, size, zoning, all that stuff, okay? We use tools, I use ReGrid a lot, I use the LAN portal a lot. You want to find comps, and I'ma show you how to do that on Zillow.

By the way, would you like these notes that I worked so hard to give, I'm going to put these links, the links to these, this Google doc in the description of this YouTube video down below. And I have some other links to get to my actual Chrome extension that I'm going to show you and the land portal and stuff like that. Soall of the links for this stuff will be down below, you can even go through these notes yourself. All right. So general rule of thumb is we offer 35, 45% of the properties market value. And this is important when I'm just, when I I'm trying to do is I'm trying to decide what do I need to sell this property for quickly in one or two months. And so I'm always gonna be really aggressive. I wanna sell that property quickly. I don't wanna wait for six months, right? And so when I'm coming up with an offer, I need to figure out, okay, what price do I need make this? I want this to be the cheapest property, price per acre-wise, in the entire area. When I put my property on the market, I wanna make everybody else mad at me who is trying to sell their own property because I'm gonna be cheaper than everybody else's, okay? So you always start at it from that perspective, especially now with the market slowing down a little bit like it is. Do you wanna be super conservative So yeah, I make that point right here, especially for land. Okay, all of this stuff draft your offer You can use a letter of intent or a purchase and sale agreement if you want my land kit Which has my contracts and my letter of intend and my option agreements go to simple land kit comm Okay, so I added them to my Google doc here if you don't my simple landkit which has my Contracts in there check it out simple land a kit comm Also, if you want to see me actually doing this stuff, so you can learn how to do land deals from A to Z, join my new five-day challenge if you go to flipdirtchallenge.com. All of the details are in there. But, okay, let me get back to where I was here. Steps to come up with an offer. Account for costs. And this tool, oh, I can't wait to show you, actually helps you figure these costs in the offer. So it scrapes Zillow, tells you what the property's worth, and then has an offer calculator at the bottom. All right, send the offer, like I use FreedomSoft to send all my offers. It's just awesome and easy. You can send it manually if you prefer and make sure you follow up with the seller. Most of your deals are going to come from the follow-up.

Okay, you can send the offers manually. I always send offers to the sellers in the mail and again if you want to see the letter and the offer that I sent, send to the sellers go to simplelandkit.com. I'll put a link for this Google Doc and all these other links that I'm giving you in the description below. Make sure you follow- up with a seller. Now when you follow,up I talk about this more here, but most your deals happen in the follow up. You can negotiate if You need to be prepared to negotiate, right? Sellers might counter your offer. So you need to know what your maximum price is and stick to it. Don't get emotional. This is all about the numbers. You're gonna make sellers mad when you make offers, okay? That's fine. That's the way business works, okay. If you're getting too many sellers saying yes to your offers, you're offering too much. If you make an offer to a seller and you don't feel the sick, like, oh man, I'm gonna throw up a pit, feeling in your stomach, you are offering too many, okay, so I often say, listen, you're in this business to make money. You're in this business to make money today.

And so you have to make offers on numbers that work for you. And if you've not made somebody mad by 12 o'clock, you're probably not doing enough marketing and you're not making enough offers. So you're gonna make people upset with your offers. That's fine. That's why we get one out of 30 offers accepted. Sometimes one out 20, sometimes one out 50, but you're going to get more nos than you do yeses. And you're to make a lot of people mad. All right, follow up. Most deals happen in the follow up if a seller doesn't respond right away, keep following up with them. And this is why I love Freedom Soft because it does the follow-up for me. Now you should be following up by direct mail, text, email, phone calls, ringless voicemails, all of the above, and I always send something in the mail every 30 days to a seller, and I send the same offer to the seller over and over and again, over the next 12 years or whatever. It doesn't matter. Persistence pays off in this business. One time, my business partner and I looked back at the previous 12 months and we did 58 deals, and we looked at how much follow- up did we do on average. Of those 58 deals, only four came from that first offer, that first conversation with the seller. If we would not have done any follow-up that year, we would have only done four deals. But we did 54 deals from follow-ups. On average, seven to eight touches over three to four months, okay? Eight touches, three months. You have to do the follow- up. And if you don't do it, you're wasting money. Get your follow- ups done for you in spite of you. Super important, okay. So final thoughts when it comes to making offers. Making offers in Vacant Land is all about doing your homework, sticking to your numbers. Don't rush the process. Take the time to research the property and run the comps.

Remember, it's better to walk away from a bad deal than to overpay it and regret it later. Okay, so these are the tools. I'm gonna show you how to do it. I'm so excited about this. The Zillow Land Analyzer Chrome extension. If you want it, it is free. I'm going to show it to you, but it's a Chrome extension and you can't go to the Chrome store and search for it. You need to go to www.dirtflippers.com slash extension and I'll put the link in the description down below and that's where you can get this for free. I'm also going to show you how I use land portal. So if you want the land portal, it's amazing I love it go to get land portal comm I use re grid as well So check out re grid comm you want my lamb kit simple and kit comm my flip dirt challenge If you want to see me actually do this go to flip dirt Challenge comm and you can also get a free dollar trial of my custom signature edition of freedom soft at freedom soft now.

Okay, so I'm gonna talk about these key things to consider later. Let's just look at it. These are two leads I'm going to show you how to comp that actually came in these are old leads And so I'll show you you how you can use this thing So this particular deal here these are the GPS coordinates and I open it up into Google Maps and the reason one of the reasons why I like Google Maps is You can see the satellite you can switch to Street view But you can also go here and drag the little yellow dude around and get you know street view image of the property and kind of see. What this area is like right so I'm constantly going into street view looking at these properties and making sure that this is something that I could actually you know wholesale and flip what's the area like but you know what this doesn't tell me much about the slope or the floodplain and all of that which is one of the reasons why I really like the land portal so I'm going to copy these jeep coordinates okay let me make sure that copied and I'm going to go into the landportal this is the actual property right here but Let's just go into the home screen. And I'll show you how I get there. I'm gonna search by latitude, longitude. I'm going to paste that there, okay, and search. And the cool thing about the LAN portal, it gives me so much really good information. This is the property right here. If I click on this, this thing is gonnaopen up on the left and you can get all this information about the property. This is actually 1.03. Acres. It tells you if it's landlocked or not, which is cool because it can tell by AI whether it has road access or not. It does give you an estimate price, which again is going to get you the ballpark. You can see the owner's information. You can see also wetlands and floodplains right here which is really cool and you see the slope of the property now in Florida slope isn't necessarily going to be ever a big issue but you get lots of good information here and you can also if I zoom out a little bit you can turn on these filters for contour lines if you want fema floodplain and wetlands. And you'll see what it looks like here if I Zoom out the little blue spots are where there is you know flood plains and stuff like that. This looks like a good property however when I click on it I need to add because I want to now look it up on Zillow, but I don't see an address for the property here.

So sometimes what I'll do is I'll zoom out and find another similar, I mean, another property nearby that actually has a house on it so I can get an address, okay? So I'm gonna click on this lot next door and now I have an address up here and I'm going to copy that and I'll go into Zillows, okay. So I'll paste that address right here. Hold on one sec. Okay, there's the address and it takes me to that actual property. I don't care about this property necessarily. What I'm trying to do here, is important. I want my property in the center of the map on Zillow. So I'm going to zoom way in. All right. There's our lot right there that we're looking at. Okay. So I'm gonna put that in the Center of the Map. I'm going to remove boundary. I'm gonna go here to more and I'm going to reset all of my filters and I am going to switch to for sale and I will switch to land only. Alright, now I'm just going to start zooming out. Zoom out until I get about 10 comps. You can see there's 5 right there. Let's zoom out one more time. Alright, there's 9 comps, let me zoom out 1 more time, here we go, we got 62 comps so now what you've wanted to, we'll look at that in a second, but this property again is 1 acre, right? One acre. Sometimes I also like to look on re-grid. The re-grids is another tool that I use. So 1.06 acres. Cool. So I might go in here to Zillow and I have too many comps, so maybe I need to filter them a little bit. So, um, I'm going to go to more. I'm gonna say, I want to see backups and pendings and I want, let's do half acre to two acres. All right. And that's 53 results. I'm also going to sort from high to low, and I'm to remove some of these real expensive ones. So. I might say, all right, only show me properties that are under a hundred max a hundred thousand. Now I'm going to sort from low to high. I got 51 comps. I used to do this as a manual process. I used to go through and and try to scrape them all andand manually write down like what finding out what the average price per acre is. But now I have this chrome extension where I'm just going to scroll down here, load them all up and I hit my new chrome extension here. I'm gonna clear my previous results when I was playing with it. I'll click analyze current page and I know this might be really small but I can't zoom in much more for this. But what this just did is it went and scraped everything on this right-hand side and it gave me the price per acre for all of these properties. That's pretty cool, huh?

And if I go into here, you can see, here's all the properties. If I can sort it by price per anchor, you can look for the any outliers and take them out, like maybe I'll take that one out. But you could also say, all right, just give me the lowest 10. Or give me the lowest 50%. And if I do lowest 50%, it depends on how many I have or where we're at, but I'll do lowest, 50%. You can see the median and the averages. And this is important to understand. Averages will factor in outliers. Median removes the outliers, so if you don't know what median is, just Google it or chat GPT it. So I like the median, but sometimes whatever number is lower is what I use. So if I go to lowest 10, price per acre, I can see that the average is $35,000 and the median is $37,000. Price dollars per acre right so i'm going to go with the lower one let's just go with that 35,494 and guess what i haven't even scraped sold yet i'll do that next but now here is my land offer calculator so if i'mgonna use i use the lowest of the two which is 35, 494 and i put the acres right here one acre i want to make a ten thousand dollar profit i want to pay a realtor 10 normally on land if it's under 100 grand i'll pay the realtor 10% commission so I want to sell this fast right and alright, so I'm gonna I have $500 for photos, $2,500 for closing costs, $1,000 for unknown.

And this tells me around the property might be worth, maybe I could sell it for $35,494. So if I subtract all those numbers, I should offer $17,944, which is about 51% of the value. Now you got to look at this thinking, well, okay, can I sell it $35 thousand dollars? Let's take a look at it. Right? We're sorting this from low to high. Can I sell for 35 grand? Well, man, here's a property currently for sale right now for $28. $28? 29, so why would somebody wanna buy my property for 35 when they can buy this one right now for 28? So I'm looking at these price per acres. Let's go back here. You know what, I'm gonna use. $28,000 per acre why because I want to sell my property quickly So I'm gonna list it for 28 grand which means I'm not offer eleven thousand two hundred now If all I did was look at active listings, I would go with that. I'm going to make an offer for eleven thousand $200 very very simple, but let's also now look at sold So I want a switch to sold and there's a lot of them So I need to go say sold in the last 12 months cool. So I'm going to scroll down and generally speaking especially in Florida when you're looking at these and I sort them by the way you have to again I have to scroll up or down to load them all ups or else the scraper won't work but I've got 60 in here if that's too many you can zoom in but let's just keep it with that.

Generally speaking you're going want to be able you want to buy it here at the lower end. Okay, unsold, this is what I'm gonna be trying to buy it around this price point. But let's scrape everything here, analyze current page. So now I have my actives, right? Scroll down, here are my solds and I am still looking at 10 lowest. So let's just go to show all so you can see all of them here. There's a lot of them. And so we're getting the average price per acre of 31,000, median 32. Okay, but look what happens when I say, give me the lowest 10. Now the average goes down to 22, all right? So if I use the lowest one, one acre. Okay. This tells me maybe the property is worth $22,000, but I think I can sell it for more than 22,000. Right. Cause remember when we were looking at the actives and when you switch between actives sold, you need to make sure you go back here, pendings and backups and make days on Zillow any.

Cause there was a couple that came back into comps when I changed it to any. Yeah. I bet you I can cell it for 25. Let's just look at this again. You're okay. Can you see those blues? So, you know, I'm going to list it for $27,000 an acre. I think I could sell it quickly. $27000, oops, $27 thousand an acre, I'll list it for $27 grand, which means I need to offer $10,300. Now, one of the things you get into bigger properties, if this offer percent of value is more than 50 percent, if it's like 70 or 80 percent, general rule of thumb is I never offer more than fifty percent of what I can aggressively sell it for. Sometimes I'll do 60 percent if it is over $100,000 or in a really good market, competitive market where I can sell things fast. So that's it! Yeah, that's it. It's not an emotional decision for me. It's just a numbers game. If I can sell it for 27 grand, I think I can pretty quickly, right? If I want to make $10,000 profit, I need to offer 10,300. Sellers takes it or leave it, doesn't matter to me. But that's how it works. You could also do maybe the lowest 50%. And this now looks at the average of the actives and the median and the average and the medium of the solds. Automatically it defaults to put the lowest one here. Yeah, cool. What do you think of that? Now, the other cool thing is from this, you can export all of those comps into a spreadsheet if you want, and then you can upload it to ChatGPT and you can have it analyze it or do whatever work you want with it. That's pretty cool. Okay, let's look at a second deal. This is a deal that was in Florida. Let's look a deal in North Carolina. This was a real lead that came in about a year or two ago. I just went in and looked at some old leads. Now this is interesting because you can tell it's in some mountains and if I do 3D, you know, kind of move it around. Is this land even usable? I don't know, but it sure is pretty, isn't it? Let's look back here. Can I get a Google Street View? No. Sometimes what I'll do is zoom out and see where the closest street view that I can look at is. If you can see a road that goes down to the subdivision, maybe I'll put that right there and I can kind of see what the area looks like. Really pretty. Cool. All right, so this property here, let's take a look at it in the land portal. I wanna show you one of the reasons why I like the land portals so much. I wanna paste that as coordinate here, negative boop.

Go search all the way up there in North Carolina into the mountains, beautiful area. All right look at this, does it have road access? Ah, good question. Don't know, don't know the answer to that. Maybe, but it doesn't look like it. If we look at the, there is some kind of like rainbow trout, right? So there is some kind of road there. So the road kind of goes through here. What's interesting is if I click on this property here on the land portal, this will tell you if it's landlocked or not. And it says no. So there's a road. That goes through there. Sometimes on this satellite image, it might be hard to see, so you can switch to another satellite image. That's not too helpful. You go to streets, yeah, you can see the street right there. So the cool thing about the land portal, it will show you based on AI, whether any lot has road access or not.

Okay, so there is a road right there. But one of the cool things that I like about the Land Portal, you can see now it's three acres. Now if you scroll down, it gives you the estimated price, which gets you ballpark. But here is where you see again, wetlands, zero, obviously not, it's pretty slow. But buildability, only 1.75% of the property is buildable. Why? The average slope is 36%. 85% of the property is over 15%. Now, does that mean it's a dead deal? No, I'm still going to make an offer because almost all of this vacant land around here is very hilly, but I'm going to be more conservative in my offer, aren't I? Yeah, I mean, and this is too when you're negotiating, when you talk into the seller, you gotta talk to and say. How flat is the property? Do you know how much of the property is actually buildable or not? Looks like this property was actually purchased by somebody for 36 grand. All right, but anyway, and the seller might say, no, I don't know. You can say, man, it looks like to me, 85% of the properly is greater than 15% slope. Mr. Seller, I think I'm your buyer. You should probably just list it with a realtor. And so that's part of the negotiating process. But let's take a look at this deal now. I need to look this property up on Zillow and to look it up on Zillow, I need an address. This actually has an address, there it is, right there. So let's copy that and let's put it in the Zillows.

Okay, there is right there, and I'm just gonna click back to search. And I want this map. I'm going to click remove boundary. Let's reset all of my filters and let's just zoom in to make sure if there's our property right there. Oh, look at this right across the street is a similar size property for 49,000 now ours is three acres But you can bet I'm gonna be way cheaper than this guy And this guy is gonna be really ticked when my property goes on the market Because I'm going to be so much cheaper than his and it's been on Zillow for over a year Okay, sometimes, you know what looking at active properties are just as important as looking at sold properties. Okay So now let's look at for sale. Let's do land only and again our property was three acres, right?

So we're looking at land only. I want backups and pendings and I'm gonna scroll down. Let's do minimum lot size, one acre, maximum 10 acres. Now I don't like the really tight restrictions. I could have done two to five acres, but I want to look kind of almost as wide as I can. Click apply and let's start zooming out. I can zoom out, I could do, I can just scrape those right now if I wanted to, but I want to get at least 10 comps, right? There's two, let's zoom out one more time. Now I'm going to put more weight on those comps because now I've zoomed out three or four times and not much is coming up. Alright, now this is why I like sorting from low to high. Why is that? Because the property that's on the lake is going to be worth a lot more, right, than a property that is not on the Lake. So, if I sort this from low-to-high, you can see I get my cheaper comps there, those ones that are close, and I scroll down. A lot of these are going to be on the water. So what I might do is I'm looking at this thinking, all right, well, I know I can just exclude anything that's over 100 grand. So I might go here and say, don't show me anything more than 100 grand, and it removes all of those properties on the lake. Real simple. All right, so now I've got three properties here. If I wanted to, I could zoom out one more time, but I think that's probably a little too far. I've gotta 15 properties, but this is also one of those times too, when I'm talking to the seller, I might say, listen, I know you want 50 for your property, but there's two properties right now that are a little smaller that are currently for sale for 10 or 15. Something to think about, right? So if I scroll down here, let's load these all up and I'm going to scrape. I'm going to clear the results, analyze current page, and you can see here, this is interesting, the average is way higher than the median. The average price per acre is $18,000, the median is $13,000. You want those numbers to be pretty similar, so I might do lowest 50%. Now I'm only looking at the lowest 50% price per acres, and my average and my median are a lot closer together now.

So just looking at actives now, if I use $83.82 an acre, which is this number, and my property is three acres, I wanna make $10,000 profit, I'll pay a realtor 10% commission, 500 for photos. Maybe, you know, North Carolina is an attorney state, so I might do 3,500 for closing costs, 1,000 for unknown, so the property might be worth 25 grand, which means what? I'm gonna offer 7,600 bucks, huh. Remember too, the property is very sloped, so you know what, I feel better on being more conservative, right? Now, I'm going to list that property for 25 grand. What do you think these guys are gonna think, the guy who has listed his property for 49 and I come in, list mine for 25 or 30. Probably gonna sell mine faster, right? I'm always looking at this from, I wanna sell it quickly in one or two months, I wanna be conservative and aggressive on my pricing. Okay, I just looked at the time, I need to hurry up because my checkout is in eight minutes, so let's go. Cool, all right, so now I'm gonna look at sold. So let me zoom out a little bit more.

Okay, let's go to solds and then I'm going to go to solds in the last 12 months. If you have too many, maybe six months. And I still have that $100,000 filter in here, but now I've got seven comps. Maybe zoom out one more time. That's probably way too far. That's fine. I got seven. Let's scroll down to load them up. I'm gonna do the Zillow scraper analyze current page. Now you see I have the sold listing comps right here. And the average price per acre. Oh, look at this big outlier here. I'm gonna remove that. And I'm going to do show all, lowest 50% again. I only got six comps. So let's do show-all for solds. Yeah, so like the median 12,969. 12, 969, three acres, 10,000 profit. That says I should offer 20,000. So this is interesting because this. Actives, if I do lowest 50%, the actives are $8,300 an acre and the solds are even actually higher. So this is a really good, interesting point here. When you're making comps, and this is critical to understand, because you can get into analysis paralysis mode and just take forever and ever to come up with an offer. And so my general rule of thumb is when I'm looking at two different numbers, just pick the more conservative one, pick the most aggressive one, the lower one, okay? So if I have the average price per acre of solds or the median, whatever's lower, 10,318 for solds, but actives is 83.82, I'm gonna go with 83. 82. Let's just go for it, all right? You put it right here, 83. 83, three acres, 10 grand profit. I'll pay a realtor 10% commissions, blah, blah blah. I'm going to sell the property for about 25,000. Which means I'm going to offer 7631. That's it, that's it. Okay, so back here again, you can use this extension. You can export to CSV and it exports it into an Excel file and you can also do AI analysis. So this is pretty cool. I'm gonna show you something really cool here. So this property, I'm wanna list it. I'm a sell it for 25 grand. So I'ma click on AI analysis right here. And this is gonna take me to a custom built chat GPT prompt that I built, okay? And I'm just gonna talk into this thing. I have a property that I want to wholesale, and I'm gonna sell it for $25,000. Can you help me come up with some comps? I mean, help me up with an offer.

Okay, I just talk into it. Great, I can help you with that. And I hope you can see this. Let me try to zoom in a little bit. So it's gonna ask me about nine questions. Okay, what county is this in? I don't remember which county this property is in. Where's the land portal here? Jackson County, Jackson County North Carolina. It's three acres, okay. So let's go back here. I'm just gonna answer these questions. It's in Jackson County, North Carolina. The size of the property is three acres. I wanna sell the property for $25,000. My target wholesale fee is $10,000, I'll pay a realtor 10% in closing costs. I mean, in realtor commissions, I'll a realter 10% commissions. My closing costs will be 3,500 bucks. Let's do $1,000 for other miscellaneous costs. For my percent offer for cash, I'll do let's say 40% and for my percent offer for owner financing, Let's do 75 percent. What did I just do?

So sometimes when I send offers, I'll give the sellers options. I'll get them a choice. I'll send them a letter of intent. Here's a cash offer. Here's little higher price owner financing offer. And the idea is you buy it with owner financing and you sell it with the owner financing. So here it's asking me, it's giving me a summary of everything I just shared. All right. And so quick sale, 25 grand cash offer based on the 40% is 10 grand, but there's also method two best based on how much you get after the after all your expenses and minimum profit. So it's either 10,000 or 8,000 and they're going to go with the lower of the two 8,00 bucks. Cool. Let's go with that. Now owner financing will be 75% of what I could sell it for. And so if I'm going to do 5% down to the seller and I'm gonna pay them 337 a month. For five years, that's what it would be, and I can change that if I want. So now it's asking me to confirm. Are you good with the cash offer for eight grand? Are you with the owner financing offer for 18 grand? All right, so let's do this. So yeah, we'll keep the cash off at $8,000. Let's do $15,000 for owner financing. 5% down, 5% interest for 10 years. I'm gonna give the seller two offers, a cash offer, owner financing, offer, and I'm going to make my owner financing offer over 10 years because I want to cash flow. I'm to buy it over 10 on the sell it for maybe 10 or 15 years, owner-financing. And so you want to make sure when you're doing this, you know, you're getting at least $200 a month cash flow when you sell it in order financing, right? And OK, so here isthe here's my terms.

My monthly payment to the seller will be $151 and three cents. Now it's going to generate a simple explanation for both offers and create a little formal letter of intent. So you can copy and paste this and send it to the seller and you have to put in their information here, but hey, I'm following up on our conversation about your three acre lot near the city in Jackson County, North Carolina. Um, here are some options. I can give you cash. We can close in one to three months. We'll pay a closing cost. This is the simplest and fastest way. If you're looking to close quickly and walk away with cash or we can give you $15,000 with seller financing. $750 down, 5% for 10 years. Principal and interest payments of $151 per month.

This option gives you a higher price and steady monthly income over the next 10 years, so let me know what you think. Cool, so you can just copy and paste that, send that to the seller, pretty cool, and then check this out. It says, would you like help analyzing this deal as a wraparound financing strategy? So if I were to buy it with owner financing, sell it with the owner financing. What would my monthly cash flow be on this deal? Check this out, I'm just gonna say yes, please. Always be nice to chat GPT because one of these days it's going to remember when it takes over the world and it's gonna remember that you were nice to it. Just kidding. All right. So if I'm buying it with owner financing, selling it with owner financing. What will my cashflow be per month? Holy smokes. Look at that. $250 a month in cashflow. So I'm going to be buying it on owner financing, selling it on order financing. And normally when I sell it with owner financing I bump it up about 25%. Just general rule of thumbs here. Okay.

So my total profit over 10 years, almost $30,000. So you always are going to make more money on a deal when you can sell it with our financing cash upfront needed. So to the seller and closing cost minus what you're collecting. Well, actually your net out of pocket is $1,187 because you're going to get some money down payment from the buyers. That makes sense?So your first year cash on cash return, come on, 252%. It's ridiculous. And soyou can just play with this GPT as it goes through all of this. Pretty cool. All right. So let me go back to this Google doc here. These links, if you want, I'm going to put them in the YouTube description here to get my Chrome extension. It's absolutely free. You can't go to the store and search for it. You need to go to dirtflippers.com. If you want to check out the land portal and all the cool stuff it gives you, go to getlandportal.com I do get an affiliate commission from that but I would recommend it anyway.

I use it, I pay for it, re-grid is a tool that I also use. If you need my contracts and stuff go to simplelandkit.com, if you want to join my free five-day dirt flipper challenge which walks through in a lot more detail about how to do all this stuff, go flipdirtchallenge.com and if you need a free 30-day or $1 30-day trial into FreedomSoft, go to freedomsoftnow.com. All right, so real quick, key things to consider. You need to make sure when you're making offers on properties, does it have road access? This is really, really important, okay? And what can you actually do with the land? You need know about the usability. What is the terrain like? Is there wetlands? Is it sloped really bad? If it is sloped, or if it is wetlands, doesn't mean it's a bad deal. I would still make an offer, but I would be even more conservative, okay. Utilities, not that that matters, but are the utilities nearby?

You can sell a property for higher when it has utilities. What's the market demand, right? And we usually are fine with this because we only go into markets where there's already high demand, but you need to make sure you're not in an area that it's really hard to sell. Properties from soreally important comps. We already looked at comps That's important to make sure you need to learn how to look at active comps and sold comps Don't overthink it just make quick decisions when you're faced with two different numbers go with the more lower Conservative one be aware if a property is in floodplains or wetlands or not understand the zonings and restrictions This is typically after I get it under contract. I'm always looking I'm calling the county seeing hey What can I do with this property? Can I build on it? What is required and all that.

If anything, it just helps me sell the deal. And if I find out that, you know what, there's something really wrong or something dramatic that I need to do with this thing, then I'll just cancel the agreement. I have 90 days. I have90 days to close in my contracts. And how do you get my contracts, by the way? Go to simplelandkit.com, right there. Seller motivation, why is the seller selling? Sometimes we just forget to ask the seller these simple questions, right? What's more important to them, to sell it fast or to sell for the highest price possible? So you might be able to negotiate a better deal. When you ask more questions and understand their situation better. Okay, so those are all my notes. I gotta hurry up and get out of here because I gotta check out of this hotel. Appreciate you guys. Subscribe to my channel. Like this video. Give me a thumbs up and please subscribe to my channel. Appreciate you, guys. We'll see you. Bye-bye.