Rank #1: SREI 107: How to FIND Deals Part 1 of 4 by Holly McKhann
On this special episode of “The Secrets to Real Estate Investing”, Holly shares the very first step to flipping a house: FINDING the deal. In this four part podcast series, Holly explains the steps to completing a deal. This is the perfect opportunity to start taking action towards your first or next flip.
Holly found and bought her first 100 houses on the courthouse steps. Once those deals dried up, she found a new strategy and has found over 125 deals from networking.
In this episode you’ll learn:
- Three networking techniques that have worked over and over again for Holly
- How to set yourself up as the solution to people’s problems
- How to leverage the networks you already have, and get out there and find more
- The power of follow up and maintaining relationships
Free download: Holly’s Secrets to Finding Deals document lists many more ideas to getting started networking and finding deals without spending marketing $$. Find it at hardhatholly.com/107
As always, text “hardhat” to 38470 to receive this free download as well as past downloads and to get weekly notifications of upcoming podcasts.
Rank #2: SREI 095 Tom Carafella flips 100 homes a year and has 300 rentals
Tom Cafarella from Boston shares his advice on this episode of “The Secrets to Real Estate Investing” with Hard Hat Holly. After starting his career in accounting, Tom realized he didn’t want to be stuck in a job he didn’t enjoy, so he started into real estate investing and now he never wants to take a day off from work. Tom took his “lucky” first deal with a helpful mentor, to a successful business that flips over 100 houses a year and rents over 300 units. He has plenty of strategies to share, including how to get profitable leads through targeted Facebook ads and cold calling.
In this episode, you’ll learn…
- The importance of a quality mentor
- What price to offer to get the deal
- How to get interested clients through targeted Facebook ads
- How to build a marketing strategy to grow your business
- How to create a strong team to help you along the way
Free Download — Don’t know what ads to run on Facebook? Here’s an example of one of Tom’s most successful ads that can guide you in the right direction.
Check out his Facebook page and websites for more tips to help your business—
Rank #3: SREI 096 Take control of your life with real estate investing – Matt Theriault
Matt Theriault joins us today on “The Secrets to Real Estate Investing” with Hard Hat Holly. His interesting life path took him from the marines, to the music industry, to working as a grocery bag boy, and finally, to real estate investing. He was able to take control of his life and career and gain financial independence, and now, he teaches others to do the same thing. His signature motto is to “travel as far as you can see, and when you get there, you’ll see further”. By not being afraid to take action, Matt has found some amazing opportunities that have lead to his current success.
In this episode, you’ll learn…
- How to find someone to partner with in your investing journey
- What steps to take as a beginning real estate investor
- How investing out of state can bring high returns
- How to shift your focus from saving cash to creating streams of cash
Free Download—Matt has outlined five principles to be prepared to launch in any market. Don’t miss this valuable tool to expand your real estate investing to other markets.
Rank #4: SREI 0033 Hot opportunities in HUD homes with Larry Goins
On this episode of House Flip Masters Holly is joined by guest Larry Goins. Larry if from North Carolina and has been investing in real estate for over 30 years.
Larry first got started in real estate when he saw a seminar on TV, this seminar is what got Larry to catch the real estate bug. Larry has his real estate and general contracting licenses, he has done stoke brokerage. Larry has dabbled in all areas of real estate but really loves residential. Larry says that there two things that he hates in real estate which are: rehabs and tenants. Larry is currently doing 21 deals and says that the deals that he seems to lose money on are the rehabs. Larry also doesn’t prefer to deal with straight tenants because he prefers to do lease options or seller financing for tenants which he refers to as ‘Home Owners in Training.’
Holly asks Larry to share with listeners about HUD houses; which Larry is said to have wrote the book on. A HUD house is defined as Housing and Urban Development which FHA has insured a home loan on - FHA does not give the loan but they insure the loan. Part of your payment goes to HUD to insure that home, if the home loan goes into default HUD buys that home back.
When asked why he likes HUD homes so much Larry says because there is no marketing that goes into it he does not have to make any calls or put out any bandit signs the homes are already listed and they are generally listed below market value. He also likes HUD homes because they have a PCR, Property Condition Report. A PCR basically lists the major issues with the home - a PCR will not list cosmetic issues with the house it will tell you if the pipes need to be replaced or the roof needs to be replaces. He also likes that a HUD house will already be cleaned out before it’s sold, for example if there were animals in the home and the carpet had an odor HUD will remove the carpet. Larry also likes that there are no deed restrictions on a HUD home and he loves that there is a lot of data available on these types of homes.
Holly asks Larry to share with listeners where he finds his HUD homes. Larry says that all the HUD homes to be bought can be found at www.HUDHomeStore.com and each home that is listed on this website have an realtor already attached to them and the only people who can place a bid on these homes are licensed agents with a NAID, Name Address Identification Number, or a non-profit with an NAID number - HUD is a daily auction. When asked home the HUD home auctions work Larry tells Holly that all HUD homes go through this website, any agent that wants to place a bid on these homes has to be licensed in the state where the home is located as well.
Larry informs listeners that HUD homes for the first 15 days can only be purchased by an owner who intends to occupy the residence, investors cannot even bid on these homes within the first 15 days. Once those 15 days have passed investors can have their agent bid on the HUD homes if the investors agent submits a bid and does not hear back from HUD the next day the bid will automatically expire. When bidding on a HUD home Larry advises that it is vitally important to check the box that asks to keep the bid or to use the bid as a backup if the current offer falls through. If you place a bid HUD has the opportunity to counter your bid, when that happens you have 4 options: you can do nothing about the counter, you can counter back, you can submit a new bid, or you can accept their counter. Lastly, the third that can happen with a HUD home is that they accept your bid and now you own a HUD home.
Holly asks Larry how good the deals are on HUD homes; how much of a discount is he getting on these homes. Larry says that he has bought homes 20 to 103% a list. Homes are already listed very low which allows for a large profit margin. When asked how many of his 21 deals are HUD homes Larry says that of those 21 homes 16-18
Rank #5: SREI 087 Making $15k/mo with Airbnb. Zeona McIntyre
In this episode of “The Secrets to Real Estate Investing” with Hard Hat Holly, we’re excited to talk with super woman and side hustle queen, Zeona McIntyre. This Boulder, Colorado resident has built a business that generates $10-18k per month through her portfolio of vacation rental properties and her “co-hosting” service for other property owners. Wise investing and services like Airbnb have afforded this young woman the ever illusive early financial freedom. Zeona began her journey during Airbnb’s infancy in 2012, first by subletting a room in her apartment, then both rooms in her apartment, and now she owns five rental properties and manages another 20 on the behalf of her clients around the world. On this super fun and enlightening episode, you’ll discover how Zeona began her real estate journey with a whole lot of couch surfing, frugality, business smarts and hustle. Join us today as we dive deep on this and her wealth of knowledge when it comes to the power of Airbnb and short-term rentals. This episode is sure to blow your mind with real estate’s endless possibilities, so sit back and enjoy the show!
In this episode, you’ll learn about…
- How short-term rentals can provide significantly more cash flow than traditional rentals
- Zeona’s numerous tips and tricks for getting the biggest bang for your buck
- How you can get started in this location independent side hustle today with just a spare room in your home
- Why you have to think of business partnerships like marriages, the importance of having solid contracts (JV agreements), and the pros and cons of doing deals with your friends
- Why real estate investing should be thought of as solving problems for profit
- All of the ways in which Airbnb and short term rental investing is different than traditional investing
How to contact Zeona
Website and blog: www.ZeonaMcIntyre.com
The website that Zeona uses to help price her rentals is www.usewheelhouse.com . A great resource for investors!
Listen to the podcast here at … www.hardhatholly.com/87
As always, text “hardhat” to 38470 to receive this free download as well as past downloads and to get weekly notifications of upcoming podcasts.
Rank #6: SREI 058 S Corp, LLC or nothing? Matt Owens talks entities
How does one go from getting lucky with a few real estate investment deals in 2006 to taking “a punch in the teeth” in ‘07 and ‘08 to flipping over 600 properties to date? What is the secret to this man’s success? Our guest today is Matt Owens, CEO of OCG Properties, LLC. According to this former CPA and UCSB graduate, the answer is education and experience, coupled with the importance of networking and relationships. Matt explains his unique perspective in how losing money is what “compounded his growth exponentially forward.” He has observed that “if you haven’t taken a hit, you haven’t been in the game long enough.” What an inspiring thought to ponder on! Matt is based in Southern California but invests primarily in Memphis, TN and Atlanta, GA specializing in equity and cash flowing real estate investments. He also invests in value add multi-families, promissory notes, seller financing for his international clients, self storage units, mobile home parks and the list just goes on!
On this episode, you’ll learn…
- The importance of networking and relationship building and why this business is ALL about these relationships
- The benefits of investing out of state (especially if you reside in California!) and how this forces you to implement air-tight systems in your business
- The pros and cons of setting up an entity and the tax and legal implications of your choice
- The benefits of an SCORP vs an LLC in general and specifically having to do with salary dividend splits and your payroll taxes
Contact Matt Owen here:
Matt has very generously given our listeners his list of questions to ask yourself before setting up an entity. Just text 38470 with the word “hardhat” to get our super awesome free download of the week!
Rank #7: SREI 0052 How to flip houses with 4% interest loans-Matt Cady
On this episode of Secrets to Real Estate Investing by House Flip Masters, Holly is joined by guest Matt Cady. Matt is going to share tips about financing for listeners especially those who might be confused about how financing works. Matt has been a mortgage consultant for 17 years with a background in construction financing. In 2007 when most construction products went away, Matt started providing renovation loans. Matt works in San Clemente California for a Summit Lending.
Holly says that often times people who want to get into house flipping don’t have lots of cash or want to take advantage of the tax free capital gains that you can get from living in a house for two years. Holly asks Matt to compare for listeners the possible different scenarios. Matt says these programs are great for those who want to minimize their down payment and to have a better alternative than a hard money loan. He explains that renovation loans will save you about half the money in interest that you would normally pay with a hard money loan. According to Matt, renovation loans are applicable to both FHA and conventional purchases. He gives the example that a buyer who is going to live in the house would only have to put down 3.5% of the total cost of the house with an FHA loan. Holly adds that with hard money loans, 2 points are usually added to them which means that renovation loans definitely will save over half of the interest expense on the loan.
Holly asks Matt to share what the rules are on the amount of money a person can borrow for renovating a home. Matt explains that a limited 203K is for minor cosmetic repairs, and there is a cap at $25,000 of the repaired value. Matt also says that because the limited 203K requires less documentation, more lenders offer this but Matt has seen people take as much as $100k for renovations. When asked about exclusions on the loans, Matt explains that you cannot add an in-ground pool or a built-in barbecue with the money from the loan.
Holly asks Matt about options a buyer has if they are not going to live in the home. In that case, Matt points out that a Fannie Mae HomeStyle Renovation loan can be used, which is a conventional loan with a minimum down payment of 15%. However, Matt suggests putting down 20% because mortgage insurance is really expensive on investment properties. The down payment is determined by the price of the property plus the cost of repairs.
Matt says that he doesn’t deal a lot with flippers because if the house is flipped and sold within six months, lenders be heavily penalized. Holly adds that with hard money, lenders do not have as many parameters and guidelines as loans that are provided by the government. Hard money lenders look at debt to income ratio and where the income is coming from, and they are willing to give money more easily and quickly than the loans that Matt offers.
Matt details how the programs that he utilizes works. The loans offer a "contingency reserve," which means that whatever the cost of the renovation, they will lend an additional 10% in case the renovation expenses are more than planned. He also says that another great thing about this program is that it is "fund controlled." Matt says that with both FHA and conventional loans, you can work in six months of mortgage payments so that you can “skip” six months of payments.
Holly and Matt discuss the contingency reserve a little more in terms of using it when a project is nearing completion. For example, if the buyer had the reserve remaining and wanted to upgrade the flooring from laminate to hardwood, the loan could be used to help offset the cost of the upgrade. Holly asks if the money can be used for energy efficient renovations. In California energy efficiency is something a lot of investors look into. Holly asks if this loan covers changes like solar panels, and Matt explains that it does.
Holly and Matt discuss the expected time needed for
Rank #8: SREI 083 Starting with a $100 property purchase to becoming a master of Creative Financing with investor Adam Adams
In this episode of “The Secrets to Real Estate Investing” with Hard Hat Holly, we get the opportunity to meet real estate investor and podcaster, Adam Adams. Just like many of our guests, Adam read “Rich Dad Poor Dad” and, with the help of his own father, learned about the power of positive cash flow and caught the infectious real estate bug. Believe it or not, this man’s career began with the purchase of a $100 property in 2005. Adam went on to manage large multi family properties and then began to purchase these types of properties himself. In this information packed conversation, you will hear Adam explain how a few big failures and humbling experiences helped shape him and contribute to his success in real estate. We dive deep with Adam and learn the various strategies he’s implemented within his business, such as owner financing, no money out-of-pocket deals, implementing other people’s money, tax liens and tax deeds. If investing in real estate is your dream, there is only one way you can make it a reality…just get started!!! So go out there, take action, and live the life of your dreams!
In this episode, you’ll learn about…
- The pros and cons of managing your own properties and Adam’s advice and tips
- The pros and cons of renting and doing business with friends and/or family
- Why it should be called “winning and learning” instead of “winning and losing”
- Multi family investing and syndication
How to contact Adam Adams
Podcast: RealBlueSpruce.com “The Creative Real Estate Podcast”
As always, text “hardhat” to 38470 to receive this free download as well as past downloads and to get weekly notifications of upcoming podcasts.
I'd LOVE for you to listen in today and write an iTunes rating and review letting me know what you think of the podcast – What was your biggest takeaway from the first episode you listened to? What do you love most about the episodes? What would you like to hear more about? Please share with us! And thanks for listening!
Rank #9: SREI 077--Rags to Riches with Don Costa
In this episode of “The Secrets to Real Estate Investing” with Hard Hat Holly, we get the opportunity to sit down with a man who truly has one of the most humbling stories of any investor that we’ve met thus far. In 2003, Don thought he was too big to fail. He was making money hand over fist flipping houses when the crash came and it all came tumbling down. This man literally lost everything. Don hit rock bottom when he found himself paying for gas with
quarters and having his debit card decline very publicly at Taco Bell. Today he shares with our listeners many of the powerful lessons that he learned after going to hell and back. Tune in and
listen to these powerful insights so that you too can overcome seemingly insurmountable obstacles and achieve financial freedom through real estate! Go out there, take action, and live
the life of your dreams!
In this episode, you’ll learn about…
● How to treat your business like a business, how to stay focused in your investing
● The importance of creating structures, systems, efficiency, and great teams in your
● The powerful use of employing OPM- not “other people’s money” but “other people’s
● How Don “shakes every bush” when it comes to searching for deals, but that networking
is his best proven method by far
● How building relationships and networking is crucial for your business- and no, this does not mean just handing out business cards at a REIA meeting. This means building real
How to contact Don Costa
Don has a highly informative podcast entitled, “Flip Talk,” which has some amazing content that all investors, newbies and seasoned pros alike, can benefit from. Go check it out and give Don some love! Don can be reached at firstname.lastname@example.org or on Facebook.
For our free download of the week, Don has generously offered our listeners a copy of his JV agreement, which helped him tremendously in his early days and he continues to use today.
Our listeners can use his exact copy or feel free to modify it however they wish. Thanks so much for sharing, Don!
Rank #10: SREI 076- Lane Kawaoka - How a W2 Employee Can Make it Big in the World of Real Estate Investing
In today’s information packed episode of “The Secrets to Real Estate Investing”, we get the opportunity to meet young Lane Kawaoka, an engineer, real estate investor, blogger and podcaster. Like so many Americans, Lane started out on your typical, linear path. Go to a good university, get a good job, work 50 plus hours a week, and save up for that primary residence in the best neighborhood in your city. Lane soon realized that this would never be the path to financial freedom and independence. After becoming an accidental landlord and experiencing great returns with this strategy, Lane officially caught the real estate bug and, after educating himself in all things real estate, he eventually discovered turn key rentals. This particular niche ended up being the perfect passive investment strategy for him, as he most definitely prefers to be a cash flow investor. Listen today to find out what Lane’s take is on the ever popular cash flow vs. appreciation debate and why one should NOT quit their day job. Join us for today’s exciting episode to discover how this man has made real estate a highly lucrative side hustle while maintaining his W2 career.
In this episode, you’ll learn…
- Why B and C class neighborhoods are your sweet spot for rental investments
- Why investing in secondary markets is more advantageous if you would like to follow the 1% rule
- The merits of keeping your full time job and why keeping your W2 income is a great and critical strategy for acquiring more rental properties
- Lane’s best practices for being a landlord
- Why Lane believes SFRs are not scaleable, and why he loves to invest in larger multi-family properties
- Investing in multi-family apartment syndicates
How to contact Lane Kawaoka
Here you will find his podcast and blog:
www.SimplePassiveCashFlow.com or find the podcast on iTunes here… https://itunes.apple.com/us/podcast/simple-passive-cashflow-podcast/id1118795347?mt=2
Also, please check out The Simple Passive Cash Flow secret Facebook group - a great networking source!
Lane has so generously offered our listeners a spreadsheet of turn-key property providers that he has personally vetted. Thanks so much for sharing, Lane!
Listen to the podcast here at … hardhatholly.com/76
I'd LOVE for you to listen in today and write an iTunes rating and review letting me know what you think of the podcast – What was your biggest takeaway from the first episode you listened to? What do you love most a
Rank #11: SREI 0041 The "homeless millionaire" Mike Wolf and his freedom lifestyle
On this episode of House Flip Masters Holly is joined by guest Mike Wolf. Mike has been investing for 27 years, Holly says that Mike is super laid back unlike most of the real estate investors who hop from one deal to the next. Mike is going to share with listeners his 27 year story.
Mike started in real estate entirely by mistake. Once upon a time Mike followed his mother’s dream of Mike becoming a lawyer - so Mike went to school and he racked up a lot of debt. Before going back to school he got a job at the phone company and that is when Mike bought his first property with no money down. Two years later Mike was still working at the phone company and paying off his student loans and the market started to take off and he found himself sitting on a good amount of equity. Mike admits that at that time he didn’t really love his job and figured that if he did this deal by mistake what would happen if he did it on purpose? Mike decided that he wasn’t going back to law school and also decided that he was going to qui his job at the phone company and continue to buy properties - so that is what he did. Mike didn’t want to take two years to get another property so he decided to fast track his property buying which ended up hurting him. Mike admits that at one point he thought he was a know-it-all and from mishaps with his fast track ideas he turned into a person who wanted to learn it all.
When Mike quit his job at the phone company working 8 hour days to working 16 hour days and was really starting to love his job until one day he started to not like the real estate business so much and was concerned that he didn’t think he could do it anymore and the passion started to disappear. It was at that point that Mike decided that he needed to figure out how to work smarter not harder so that he didn’t lose the passion that he had in real estate and so that he could get his life back. At that point he decided that he needed to hire people to help him manage his properties. At that time Mike was working in Canada doing everything but wanted to branch out in the United States which forced him to hire a property manager which he admits was hard to do because as an entrepreneur he wanted to do everything and entrepreneurs often have a hard time delegating work to other people. Mike found that by having a property manager they were able to do the job better than he would have been able to and in doing this he was able to get his life back. Now that Mike has all this time on his hands he enjoys traveling, spending time with his family, and volunteering. Mike says that he wants to help other entrepreneurs to get their lives back so that they can work smarter and not harder.
When Mike first started his real estate investing with a longterm approach and really purchased another property aside from the one he lived in as his retirement plan. Mike had quit his job and realized that he needed to get busy and find more deals so that he could make more money so that he could continue living his lifestyle and not have to go back to law school or go back to work at the phone company. Mike realized that he didn’t know what he didn’t know so he went out and networked so that he could educate himself and get those properties that he wanted and put his systems in place so that he could continue to make money.
Mike’s friends call him “The Homeless Millionaire” because he is always on the go staying in hotels and chasing the sunshine. Mike prides himself in not taking on any deals or projects that are stressful - he only does the deals that he wants to do. He enjoys teaching others about how to do what he is doing.
Holly asks Mike how his buy and hold deals work. Mike says that you need to have cash to do this but it doesn’t have to be your money. There are people who have liquid cash, or money in their retirement funds that are willing to loan you that money as long as you make the loan worth their while. Mike suggests
Rank #12: SREI 0037 How to price your flip house to sell for top dollar with Aaron Hendon
On this episode of House Flip Masters Holly is joined by guest Aaron Hendon. Aaron shares his secrets on finding selecting a realtor to be on your team or to work with you on your investments. Aaron is a Seattle realtor, real estate investor, author, educator, and speaker. Aaron is also the managing partner of Christine and Company, a Seattle magazine awarded 5-star real estate agency winning team the past five years, he is also this years individual rising star in Seattle real estate winner.
Being a New York native Aaron finds that hustle is engrained in him that he uses to his advantage. Aaron graduated from art school and found himself waiting tables, and shortly after opening a bakery that he owned and operated for 9 years until he sold it. Aaron quotes author Daniel Pink saying that ‘to sell is human,’ as a business owner Aaron got into the sales business which ultimately lead him to real estate.
Aaron is an advocate for education, teaching first time homebuyer classes, he wants people to be knowledgeable about the other side of real estate so that they are empowered to make better choices in their real estate decision. Aaron is in the process of writing a second book to help people learn about the real estate process and what happens on the other side of the equation.
Holly asks Aaron when selecting a real estate agent what numbers do people normally focus on and what numbers should they focus on instead? Aaron says that people pick their realtor based on the number of units a realtor has sold or signs on homes being sold; a higher volume of units sold equates to a better agent. From the realtor’s perspective it looks great that they have sold a lot of houses but the number of homes sold does not tell you about the person’s performance or how much better they are than the next realtor. Aaron asks Holly what she looks for when she’s looking to buy a property - to maximize the bottom line in the shortest time possible. Aaron recognizes that this is important to a lot of flippers or investors and says that no one asks him how much over listing price he averages compared to the local market average; a question that you should be asking when selecting an agent. Aaron averages about 5% more than the local market average. When Holly asks how he does it Aaron says it’s all in his marketing plan, the way they set the price of the house, and not taking every listing. Any agent will take your home and price it at what you want, but not Aaron, if your home is not valued at what you want to list it at he will not take the listing because it is not going to sell.
Holly reminds listeners that a lot of time when a home is being sold, that home often has more value to the people that lived in it than what it is worth on the market. These people raised their children in these homes, made memories, upgraded the flooring 10 years ago - these sellers are often offended or get their feelings hurt when they cannot get the price that they feel that they deserve. As a flipper Holly reminds her realtor that her feelings will not be hurt by the price the home is listed at or what needs to be fixed because she is in the business of making money and getting in and out of the flip quickly.
When you select a realtor you need to have someone who is going to price aggressively and not overprice the home. You can get over your price when you have 4 or 5 bidders, but if you price too high people will not continue to look higher than what the home is originally priced at. To sell your home you need to be proactive and have a strategic plan in place to get the most people in and seeing the home to have a better outcome.
Holly and Aaron talk pricing strategy saying that you want a realtor that has come to you with the data; the market value and the trends of the homes selling in your area; they need to have the evidence because any realtor can say that they know the neighborhood but its they don’t have the ev
Rank #13: SREI 0043 Buddy Broome bought a property worth $550K for $900K and is loving it!
On this episode of House Flip Masters Holly is joined by guest Buddy Broome. Buddy is one of many real estate investors who does real estate investing on the side. Buddy works full-time as an attorney and an investor he was introduced to investing as a young man in high school through his father. Buddy’s dad told him about the first property he purchased; his dad couldn’t afford to purchase a property so he approached the owner and asked if he could make payments on the property and the owner agreed because he knew that Buddy’s father was an upstanding, honest man who would pay for the propertu At the time Buddy felt that what his dad did was not the smartest way to invest but as he got older he says that his dad’s story taught him 3 important things. The first thing Buddy tells us is that his father’s story reminds him that you have to ask for what you want, second is that you can be a real estate investor with very little to no money, and lastly your reputation matters.
After high school Buddy went to law school and got a job with a big law firm in Los Angeles, he felt that the only way to earn money was to climb the corporate ladder and put away money into a 401K and eventually he would be able to retire comfortably. One day his wife introduced him to the book “Rich Dad, Poor Dad,” Buddy was not interested in what the book had to offer and felt that it was stupid. His wife left the book laying around and Buddy decided to check it out, 48 hours later he flew through the book and decided that he needed to talk to people and get the ball rolling because this book really spoke to him.
Buddy read the book and took some investing classes before he and his wife decided to purchase their first property in August of 2008. It was in September of 2008 that Lehman Brothers crashed and their dreams of becoming overnight millionaires were smashed. From that point Buddy and his wife had to change their lifestyle and become really frugal. When the crash happened all of the surrounding properties in his area had become very cheap and he decided that he wanted to make another purchase but was having a hard time with the income that he was generating.
Buddy was introduced to a group called FIBI (For Investors By Investors), the gentleman who lead the group, Ellis San Jose, offered to mentor Buddy and his wife on how to make investing work for them. Ellis then introduced them to two men, Gary Johnston and Clyde Wilson, who he insisted that Buddy and his wife take their class. Buddy says that this 3-day class changed his life. Slowly but surely Buddy and his wife have been building what he refers to as his ‘snowball’ - buying one property at a time.
Holly asks Buddy if he has ever purchased a property with no money down, and he says that he has. He learned about no money down in his first deal. In his first deal a third party investor asked him if he had the money, which they did, but he was told that if they didn’t have the money that they would find them someone who did for him. Buddy reminds listeners that when you are hoping to not use your own money down, that the deal needs to be a good one and worthwhile to the lender. If you have a mediocre deal it will be hard to get someone else to put their money down on that deal.
Buddy reminds listeners that when you are wanting to buy a property you need to not ask how much a house is, or how much money you can make on it but the most important question about buying a property is why is that property being sold?
As Buddy recounts for Holly one of the first deals that he made and all of the hoops he had to jump through to make it happen, Holly asks if Buddy was using a financial calculator during the time that deal was taking place. Buddy says that during the time at the table with the sellers Buddy did not pull out a financial calculator because he prefers to have the other party do the math to keep it as simple as possible and to make sure that t
Rank #14: SREI 0047 Maximize your flip's sale price using Feng Shui with Dr. Janet Woods
On this episode of Secrets to Real Estate Investing Holly is joined by guest Janet Woods. Holly and Janet discuss tips on how to use Feng Shui to help maximize the price of your flips. Janet was originally in the corporate world working for Xerox for 15 years where she actually discovered Feng Shui. In the early 1990’s Janet started studying Feng Shui and she left the corporate world to help people to utilize Feng Shui in their lives to get what they want. Janet is also a doctor of Asian Metaphysics and she has been practicing for 18 years. She has been helping people all over and from all walks of life on how to use Feng Shui. Janet explains that Feng Shui is the art of placement that originated in China, and in the corporate world Feng Shui is referred to as space planning. Feng Shui is about creating an environment that nurtures, motivates, and inspires a person into action to have a better life.
Holly recalls that she was surprised when she learned about Feng Shui how simple it was because it deals with placement and color. Janet advises that when you use Feng Shui in a home you are trying to sell you need to use energy and placement to make the buyer feel like the home is already thiers. Holly reminds us that buyers will purchase a home, whether they realize it or not, based on emotion and have been known to turn down what would have been a perfect home because something about it felt off to them. One of the first experiences that Holly had with Janet was with a home that had been on the market for 5 months and Janet came in and spent 20-30 minutes to make some changes to the home and the first couple who walked into the home ended up buying it that same day.
Dr. Janet has prepared a download for listeners with extensive information on how to use Feng Shui in your homes.
Dr. Janet advises that we want to see the home through the buyer’s eyes. Holly asks Dr. Janet to share with listeners how to give their homes curb appeal because it is the first impression that a buyer will get when they see the home. Dr. Janet says that when talking about curb appeal buyers want to feel safe and you want to draw people to the front door. To do this you need to plant flowers in purple, red, or white. Holly asks why those colors - Dr. Janet says that those colors are linked to safety. It is also vitally important to have a welcome mat, you should also remove things that are dead or unattractive, and remove any personal items that you may have in the home. Also keeping the home as clean as possible is important because once again this is the first impression to a buyer.
Holly asks when staging a living room what are some steps that should be taken. Dr. Janet says to remove anything person that has a special meaning to you because it may not have the same meaning for a potential buyer. When placing decorative items Dr. Janet says to keep items in groups of 1, 3, or 5. Keeping the space minimal allows for a buyer to visualize the house with their personal items in them. By keeping the space open and minimal allows for it to feel like there is more square footage. Removing unnecessary furniture and rugs will add to the look of more square footage.
Dr. Janet advises for people on a budget to go to Home Depot or Ikea to purchase black folding trays that you would use to watch TV on and use them as end tables because they are easily stored and portable. You can use these trays as well to display flyers of the home you are staging.
In the dining area some important principles are that the area is inviting and that once again people see themselves in this area - you want to make sure that you have 2 or 4 chairs at the table and not more than that unless the home is over 3,000 square feet in which case you can use 6 chairs. Another tip Dr. Janet discusses is that when you have a dining table to pull out the chairs a little bit almost as if the chairs are inviting the buyer to sit down. Holly asks D
Rank #15: SREI 0028 From $28k/year employee to freedom in house flipping with Kristi Cirtwill
On this episode of House Flip Masters Holly is joined by guest Kristi Cirtwill. Kristi is a native of Canada who has come to Southern California to flip homes and invest in real estate.
Kristi moved from Canada 10 years ago and before her move and before real estate investing Kristi tried her hand in several fields of work, Government, corporate, non-profit, before she realized that she wanted to do something differently. After reading Rich Dad, Poor Dad she realized that she needed to figure out how to get into real estate investing and make it work. She knew that she could make a business of real estate investing in California and decided to make the move.
Kristi started out wholesaling and did not know a lot of people so she joined the Real Estate Investment Clubs, she also got on Craigslist to find hard money – she got out there to just meet as many people as she could so that she could get to know the business. Kristi went to open houses and networking events so that she could educate herself and make contacts in the business.
Holly and Kristi discuss hard money and what it takes to get that money, reminding us that as real estate investors you often times cannot get money for free without some of your own money in on the deals. Holly says that without hard money lenders real estate investors probably would not do as well without them. When asked about private moneylenders, Kristi says that she does use private money; often time money to cover what the hard moneylender did not cover. Kristi says that some of her private moneylenders are just regular people that she meets at the Real Estate Investing Clubs. Holly reminds us that when seeking a private moneylender it is helpful to use someone who knows you and someone who trusts you because without a track record in real estate people might not be so keen on lending private money. Kristi suggests starting with hard money first because this is their business and you have to treat their money like it is your own. With a private lender you want don’t want to take someone’s private money and not know what to do with it.
Holly asks Kristi to share how she calculates her profit goal per deal. Kristi works with homes that are under $1 million, when calculating her profit she has a formula that runs her numbers. Kristi factors in the remodel costs and adjusts the purchase price so that the property gives a 10% return of the resale price per deal.
Holly asks Kristi what she likes most about house flipping. Kristi obviously likes being successful in real estate investing but she also prides herself in the jobs that her investments create; the teams and people that she needs to complete a flip. Knowing that she is creating jobs for those in her community is something that she really enjoys about house flipping.
Holly asks Kristi to share some tips that have helped her to be successful in real estate investing; Kristi says that she does not give up. It was helpful to het to find investors that were successful in this business so that she could learn from them and see that the end result would be there if she did not give up. She recommends focusing on the next deal and making sure that you are networking to obtain more resources. Work hard in the beginning so that as time progresses your work becomes more systematic and the job becomes easier and more manageable.
Kristi found her deals in the beginning by networking and 90% of her properties were coming of the MLS, now Kristi still uses networking to find her deals – about 50% come from realtors, the properties she gets now are ones where the seller wants discretion in their sell. The other half of her deals come from word of mouth and direct sellers.
Holly asks Kristi to share what it is like to be a woman in the business of real estate investing, Kristi says she did not let the male dominated business stop her, she feels that
Rank #16: SREI 126: Insider Tips for Breaking into the Vacation Rental Industry - Rob Stephens
Rob Stephens joins us on Secrets to Real Estate Investing with Holly McKhann today. Rob is the co-founder of Avalara MyLodgeTax, the leading provider of tax compliance solutions for the vacation rental industry. Rob went from owning a vacation rental in Vail, CO, to creating tax solutions for short term rental owners. Rob had to overcome some challenges starting out in vacation rentals, but he says it’s part of the journey. Now he makes it easy for investors to manage their short term rental taxes.
What you’ll learn in this episode:
- Creative ways to invest in short-term rentals
- Which entities require a tax on vacation rental taxes
- What you need to know about vacation rental tax as you get started
- How to decide if you will manage the property yourself or hire a property manager
- How to scale your vacation rental tax situation as your investments grow
Rob’s FREE Download: Insider Tips for Breaking Into the Short-Term Vacation Rental Industry in 2019 - This guide will kick-start your vacation rental investing! Get it at hardhatholly.com/126 or by texting the word “hardhat” to 38470.
Contact Rob: mylodgetax.com
Rank #17: SREI 0048 Living a lifestyle of freedom and being with her kids through flipping houses by Erin Pullins
On this episode of Secrets to Real Estate Investing host Holly is joined by Erin Pullins. Erin joins Holly to discuss how she finds her deals in the market where deals aren’t as plentiful as they once were. Erin started her career out of college in financial services, while she did love this field she wanted to have the background because she knew that she didn’t want to do it forever but she did want to learn all that she could. Erin worked in financial services for 8 years before her and her husband had their first child, after their first child was born she went back to work part-time until the couple had their second child. After the birth of their second child Erin found it to be much more difficult to work and take care of the family so she quit her job to take care of the babies. While both her and her husband were working they started buying and renting properties and once her youngest was in preschool they started flipping properties. Both Holly and Erin boast the love that they have for the flexibility that their real estate journey has afforded them.
Holly asks Erin to share the story of her first flip. Erin and her husband partnered with someone who had experience for their first flip which Erin says did not go so well. The person that they flipped with was a member that they were in a mastermind group with; in retrospect Erin says that this member was someone that they didn’t know very well and other members also didn’t know this person very well. The deal was structured so that Erin and her husband were to bring in the money for gap funding, the amount of money that the hard money loan does not cover - Erin and her husband brought the money for gap funding. Long story short Erin says that her and her husband lost $50,000 on the deal because the person that they partnered with was getting paid all along the way and was not passing the money down through the partnership. While Erin and her husband did lose a lot of money from this deal they both felt that it was a learning experience and they have not let this happen to them again they also knew that this bad experience would not make them quit because they knew the lifestyle that real estate investing offered was one that they really wanted. Holly reminds listeners of one of her favorite quotes “it’s not you win or lose, it’s you win or learn” because at the end of the day each experience is one to learn from.
The next deal that Erin and her husband did was one that came from an agent that they work with a lot and one that they trusted. This deal came to them because the deal was brought to them and it was already ready to go. Holly asks Erin how she finds her deals - Erin says that 50% of them come from realtors and the others still come from the MLS. While neither Erin or her husband are licensed agents they do a lot of the searching on their own and Erin says that she favors Redfin to look for deals because of the way that they lay out the information which Erin feels is much friendlier and easier to read than the MLS.
Holly asks Erin what her strategy is when she gets her deals from realtors. Holly says that a lot of time realtors will set investors up on an auto email for deals similar to the ones that are sent to those for people who are looking to own and occupy the home. Holly reminds listeners that this can be frustrating for investors because the realtor often times does not even check out the information that is being sent out on these auto emails. Erin shares that her strategy when working with real estate agents is that she talks to the listing agent. On one property Erin called the listing agent and was told that he couldn’t represent her and connected Erin with a colleague that specialized in working with investors. This agent has now become an agent that Erin and her husband work with often because this agent knows the specifics that they are looking for and sends them exactly what they want which is helpful because ther
Rank #18: SREI 0038 What Sharon Houseworth did when her flip didn't sell
On this episode of House Flip Masters Holly is joined by guest Sharon Houseworth. Sharon has been a real estate investor for just a couple of years which is exciting because she is newer and also successful at what she does.
Before Sharon jumped into real estate she was in a couple industries. She worked with her mother who worked as a life and health agent - Sharon admits that this really wasn’t her thing. After that she went into the administrative field most recently a construction company which always had her interest. All of these jobs led her to property management and fixing and flipping.
When Sharon when was doing property management she says that she was kind of just thrown into it. Her family had always had rentals and when her mom got older she helped her to manage those properties. In 2009, her uncle passed away and Sharon inherited the 34 units that he owned and became the property manager for those properties. While she isn’t a licensed property manager she was still able to manage her own properties legally. Holly asks Sharon how much time these properties took for her to manage each week - 30 hours is what Sharon was working when she was managing these properties. She found that she had a lot of work because the properties had a lot of deferred renovations that she had to take care of and get up to date and up to code to make sure that she was protected as well as her tenants. Sharon until recently was managing these properties on her own, calling maintenance when things needed to be fixed and collecting rent from the tenants. Sharon recently turned over her property management to a licensed property manager so that she could free up her time. Sharon says that all of her time as a property management has taught her a lot but decided that she needed to move forward and do something different.
After the passing of her mother Sharon recalls hearing a commercial on the radio about learning going to a seminar to learn to fix and flip so she decided to do it. Sharon says that learning to fix and flip has been completely life changing for her.
Holly asks Sharon to share with listeners how she found a deal in Fallbrook that coincidentally ended up being on the same street as a flip that Holly was working on. Holly asks Sharon to share her insight on this deal, as well as her need to adapt to certain elements of this specific deal. Sharon found this deal by getting involved in an investment club for women after completing a 60-day challenge that they offered. From that challenge came this deal, Sharon was called by a realtor about this deal - this property that she was tipped off on was that this property was going to go to auction in 3 weeks. Sharon says that one of the biggest thing that she’s learned is that people come before profit and she was so happy to do this deal because she was able to help the man this man by keeping a foreclosure off his record, his house out of auction, as well as giving him $40,000 in his pocket at the end of the day. Sharon called some investors who might be interested in investing as well as investing in this area which is a little off the beaten path. Sharon cashed out an annuity as well as had a hard money lender who was willing to take a chance on her with her first deal. Sharon decided that she wanted to do this deal with her own money so that if she made a mistake, she would rather do it with her own money. Holly reminds Sharon and listeners that there is no such things as win or lose when it comes to a deal it is win or learn because you don’t know what you don’t know and the only way you will learn is by making those mistakes and that each realtor has bumps in the road and for those bumps they are made smarter. With this property Sharon needed to extend on it twice and was only charged 1 point on the second extension. Holly reminds listeners that there is always a charge for an extension. Sharon owned this property for close to a year when she d
Rank #19: SREI 093 Blake Stevens -5o deals by asking for help and learning from free resources
Blake Stevens is on “The Secrets to Real Estate Investing” with Hard Hat Holly today with tips and tricks he learned on his path from accidental landlord to successful house flipper. When he couldn’t sell his starter home during the economic downturn, he took the leap and started renting it. Now, after assorted adventures through renovating meth houses, experiencing seller drama, and finding private lenders through snail mail, Blake has plenty of advice to share with you.
In this episode, you’ll learn…
- how to find flip houses for cheap
- how refinancing can help save you money on your flips and rentals
- how to build equity first in a flip house
- how to access a wealth of real estate know-how for free
- how to find private lenders for life
FREE DOWNLOAD-- if you’ve ever struggled to estimate renovation costs and appraisal values in a home, he’s done the work so you don’t have to with his free Estimation Sheet download. So, enjoy Blake’s stories and take his advice to “get out there and do it”.
Rank #20: SREI 017 Over 300 flips and going strong with Doug Van Soest
On this episode Doug Van Soest creator of podcast Spouses Flipping Houses joins Holly as they discuss how to be more successful in your real estate business. Doug and his wife, Andrea, got their start in real estate after reading “Rich Dad, Poor Dad” while they were engaged. This book helped to open their eyes to other possibilities in their life and real estate became a real possibility for them.
Both Holly and Doug got their start in real estate in August of 2008 and have not looked back since. Doug began his career in a concession stand business, Kettle Corn to be exact. Doug got his start in real estate investing by listening to free real estate podcasts where he was advised to go to a REIA club. At his first REIA club he heard Bruce Norris speak. Norris advised those attending to get out that the sky was falling and Doug and his wife took the advice and started a two year process to get homes and started investing.
Doug started out flipping houses off the MLS, flipping about one house a month. In 2011 they decided to ramp up their business and started mailing directly to landlords to get more deal and started growing and introducing wholesaling into their business strategy.
Doug is based in Murrieta and does most of his business in the Inland Empire, San Bernardino and Riverside County areas. He has flipped and wholesaled a total of 300 properties in his real estate career. As of August 1, 2016 he has flipped and wholesaled 35 total properties.
Holly asks Doug what advice he would like to give to listeners, Doug advises that every deal is unique and that as a real estate investor you need to expect the unexpected. If you are going to take on a project that gets the city involved, or a home designated historical, you need to take into consideration the amount of time it will take to turn a property but don’t let time hold you back.
Doug also shares with Holly his most recent best deal. Best deals are when you get homes in a desirable area with good schools and working class people. Families want to live there and they will pay a premium to live in that area in a nice home. Because of the desirable location and low cost rehab on the home he was able to make 30k over their estimated sale cost.
In the beginning of their real estate career Doug and his wife were the only two on their team since then they have grown their team and have added more help as their business becomes more successful.
Doug reminds us that a single person can do the work to start out with but as you grow, you add people into your business and grow one person at a time if you begin to feel that you are too busy. You can look at your schedule and see what tasks you are doing that you can outsource to others so that you can lighten your load and direct that focus on tasks that require more of your attention. Holly also says that you need to learn to delegate to grow
Doug’s best advice for a brand new investor is that you need to take action, get some education but don’t get stuck in the idea that you need to learn more before you take your first step. Take smart action and just do it – look on craigslist and look for opportunities. Opportunities will come by way of your hard work.
Seasoned investors don’t always want to let go of the thing that they are doing but if you want to grow and be successful you need to let go and find people to do tasks for you that are taking up your time. You need to let go of certain aspects of the business and let other people help you so that you can grow your business. Time freed up in your life is a form of success in Doug’s eyes.
To continue to educate yourself and learn business building strategies you can listen to Doug and Andrea’s podcast, Spouses Flipping Houses, as well as checkout their website for more information. Doug can also be reached by email for any inquires that you may have.
Doug Van Soest
Spouses Flipping Houses<