Today I’m up on my soap box talking about the one thing you really need to do to succeed in real estate. It’s so easy, but it seems like every new investor I talk to isn’t doing it. That one thing is to make offers.
First, I walk through some of the common questions I get from newbie investors—all the hangups that are keeping them from making those offers. And then I explain how to handle those questions in one easy step. And that one step is tied to the #1 rule in real estate.
Next, I go through what to do when a lead comes in. It’s pretty straightforward. Then I get real and ask some hard questions about whether you’re meeting your offer-making goals.
I also explain how to handle newbie mistakes when making offers. Plus I talk about dealing with the fear of making those mistakes. Guess what—you’re going to make them. So you need to know how to deal with them.
Finally, I wrap up with some tips to make offers without any leads and keep your daily offer-making quota. Yes, there really is a way to make an offer without a single lead.
So get ready for a rant designed to get you up and moving and making offers—TODAY.
Listen and learn:
- Joe shows how to overcome hurdles to offer-making.
- The formula for real estate success isn’t what you think.
- You need a daily offer-making goal.
- Make offers even when you don’t have leads.
Mentioned in this episode:
- Joe’s podcasts on iTunes: Real Estate Investing Mastery Podcast
- Joe’s podcasts on YouTube: Joe McCall
- Joe’s new book: REISecrets.com
REI Secrets – Daily Nuggets of Real Estate Investing Wisdom
- Rental property website: gosection8.com
Download episode transcript in PDF format here…
Real Estate Investing Mastery. REI In Your Car. What’s going on?
Hey, I got a very simple, important message for you guys today and you know I’m beating a dead horse, but this is something that needs to be to be heard over and over and over and over and over and over again. You ready? Okay. This is really profound. Pay attention. This is deep. This is like insane profundity coming from yours truly, Joe McCall. Here it is. You ready?
Make offers! Nothing else matters. Make offers. Nothing else matters. Stop the silliness. Should I? What about the realtor’s commissions? how do I… Should I send a wholesaling lease option offer or a sandwich lease option offer? When do I send a cash offer? What about owner financing? Who pays the realtors’ commissions? How do I work with realtors? The tenant’s in the house, what do I do? The seller’s in the house, what do I do? The house is vacant. What do I do? The, oh, do you want me to just go on and on?
Now listen. I understand you’ve got questions. I totally, I understand. I’ve been there, done that. Like, and you know what happened when I finally started making money in real estate? I stopped asking questions and I started making offers. That’s it. Nothing else matters. Everything else is stupid. Forget your questions. Like, okay, now people hire me. They buy my courses; they hire me for coaching so I can answer their questions and here’s my answer. And you don’t have to pay anything for this. Make the stupid offer. Just make offers. Who cares? Who cares about anything else? Make offers.
What’s the number one rule in real estate? It’s not location, location, location. It’s make offers, make offers, make offers. Here’s the thing. Don’t overanalyze the deal. All you need when a lead comes in is a phone number. Don’t even listen to the voicemail. Don’t pull up the property on Zillow. Call the seller. Talk to them. Make an offer.
I don’t know if I’m sounding like I’m mad or aggravated or just silly. You know, I’m kind of like having fun here with this. Okay? But I’m dead serious too. At the same time, I don’t want you to feel like I’m yelling at you cause I kind of am, but I’m kind of not. I’m trying to be a gentle slap across the face… if there is such a thing. Like, start making offers! If you want to, you want to make money in this business or not? Do you hate money or do you want money? Do you love money or like do you hate money?
Well sometimes I’m wondering maybe some of you do because you’ll do everything but make offers. So, what do you do? You’re listening to this podcast right now. How many offers have you made today? How many offers have you made in the last week? Do you want to make money or not? Your speed to income is directly proportional to the number of offers that you make. Nothing else matters.
So, questions are important, but ask the questions after you make the offers. Because some of you, you’re afraid of making mistakes and I get it, but you know what? You can fix them. You can correct mistakes, but you can’t correct… What am I trying to say here? Like it doesn’t matter you… You got to… You’re not going to make money unless you make mistakes and you’re not going to make mistakes unless you make offers.
So, here’s the thing. Make the offer. If you made a mistake, you can go back and cancel the contract or the offer. You can renegotiate. It’s okay. Everything’s going to be all right. Just make the offers. Don’t overthink it. Don’t look at comps. I mean, okay, you can, you can look at comps. Don’t like, don’t spend more than 30 seconds looking at comps.
Look at the lowest solds. Look at the lowest actives and just pull a number out of your butt and make an offer. Make five offers a day. That’s 150 offers a month. And now you’ve got 150 sellers you can follow up with. You’re going to get 99% of them say no, but you’re going to get that one that says yes, you’re gonna make $10k, $15k, $20k. Maybe you only make two or $3,000 but you know what? That’s more than you’re making now by sitting around asking a bunch of stupid questions. Ask questions after you make the offers, and you’ll find that most of your questions are completely, totally 100% irrelevant. Doesn’t matter. Doesn’t matter.
What if this happens? What if that happens? Yeah, but… Yeah, but… yeah, but my market’s competitive. These houses are cheap. They’re in the middle of nowhere. These houses are expensive. There’s too much competition. They told me I’m the thousandth letter that they’ve received in the last week. Who cares? Doesn’t matter. Make the offer.
You know what you all should do? You should join every wholesaler’s list in your market. Just start networking like a banshee and go and join every wholesaler’s list. And when they send out properties, make an offer. Most of the time when they’re emailing out these deals, they’re overpriced, right? They’ve already been picked through and there’s nothing.
Make the offer for the numbers that work anyway. Because guess what? A lot of these wholesalers, they’re new or whatever and they don’t have good buyers yet and they didn’t negotiate a good price so they’re freaking out because they’re gonna have to go back to the seller and cancel the contract. But what if they go back to the seller and say, you know what, I’m sorry this price doesn’t work. I’m going to have to cancel the contract, but I got somebody that, I can pay this, because you sent the offer, even though it’s 50% of what they’re advertising it for, you know, they’d go back to the seller and say, I’m sorry I’m going to have to cancel the contract, but good news, I got an offer here and I might be able to buy it for this.
Did that make sense? Are you smelling what I’m stepping in or are you picking up what I’m laying down? Come on. That’s kind of gross. All right. So that’s my epic rant for the day. Cause, I’ll probably rant about this tomorrow and I’m hoping that this is like, this is what I want to do. This is my goal. I want this podcast to be a link and I’m going to get, I’m going to buy a domain called JustMakeTheStupidOffer.com and then I’m going to, whenever somebody asks me questions, I want to be kind and polite and nice and say, you know that’s a good question, but you should listen to this podcast first. Go to MakeTheStupidOffer.com and then come back to me if this is still an important question after you’ve made five offers a day.
I’m telling you guys, if you want to make money in this business, it’s really simple. Here’s the formula… you ready? Make offers, make offers, make offers. That’s it.
Now obviously you need leads. All right, so do marketing, but like if it’s at the end of the day and you’ve not made your five offers yet, go to the freaking MLS and just make five offers to properties on the MLS. Go to go sectioneight.com and pick up the phone and call 20 landlords until you get five of them that say, yeah, I might sell and send them an offer. Even if they say, I don’t want to sell it, send them an offer anyway. Ask them, do you have any other properties that you might want to sell?
My goodness. Okay, how about this? If by the end of the day you still haven’t made five offers, call some property managers, call them and say, Hey, I’m looking for some investment properties. Do any of your clients maybe have any properties they want to sell? I’ll still make sure you get the commissions. I’ll still pay you the commissions. Like in fact, you can represent me, and by the way, just saying that I’m going to get 20 questions on realtor commissions.
Who cares? Who cares about realtor commissions? Just make the offer and figure that out later. If you’re on the hook to pay the commissions yourself and there’s still not enough room in the deal, then maybe you go back and renegotiate a new price or something, but who pays the commissions anyway? The listing agents… the sellers who have the listing agents. The sellers pay the commissions.
Okay. Rant is over. I gotta go and we’ll see y’all later, but hey, if you want some more advice, why don’t you to check out my new book? It’s called REI Secrets: Daily nuggets of real estate investing wisdom. Go to REISecrets.com. It’s free. Just pay shipping and handling.
This book is massive. It’s like an inch thick full of good stuff you can read. Each chapter is like two or three pages long. You can read one chapter a day. Just get some daily nuggets of real estate investing wisdom, help you get more leads, close more deals, make more offers, overcome your fears of making mistakes. All right, I’m going to say it one more time. You ready? I’m just going to be an annoying drum in your ear. Make offers, make offers, make offers.
What are you thinking?
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Scott A Perry says
Joe, that was awesome, I am new to REI and you are spot on. You hit on everything I thinking about “the What if’s” it a scary not knowing a lot about REI but then again so is not being able to pay your bills or buy food ect. well enough said I need to go and start making offers, A big Thank you Joe
Joe McCall says
I appreciate the comment Scott. Now go out there and make offers! 🙂 – Joe