Rank #1: SREI 0046 How Whitney Nicely did 50 deals with little to no money
On this episode of House Flip Masters Holly is joined by guest Whitney Nicely. Whitney has been called the Queen of Weird Real Estate in Eastern Tennessee. Whitney started flipping houses in 2009 with her parents, her mother was a real estate investor and she knew that she would become one herself. The first house that she flipped with her parents is when she fell in love with the process of flipping homes; she also fell in love with this particular house and ended up moving into it instead of her parents selling it. In 2013, Whitney and her brother were buying houses with cash, like her mom always did. They bought 3 houses and one of them was a total loss. With the two houses that they had left she realized that they had their life savings in them. Also, with only two houses she realized she was never going to get ahead. Whitney knew she had to figure out a way to do real estate without putting any of her own money into the pot. Since than Whitney learned about lease options and did her first deal in the Spring of 2014. Although Whitney has only been using this method for the past 3 years she has done over 50 deals without having to use any of her own money. Currently she has 19 apartments and 7 chunks of land that she hasn’t had to use her own money to purchase. Holly knows that a lot of people are interested in getting into real estate don’t have a lot of money which is why she is so excited to have Whitney share her success with listeners. Whitney says that her favorite way to purchase a home is through lease options, or as she refers to them as band-aids, because they can fix any situation. Holly asks Whitney to share with listeners some situations in which a lease option is good choice. Whitney says that when a house is over leveraged a lease option is a great choice to get a piece of property without using any of your own money. Holly asks Whitney to share how a lease option works and what the process might be like. A lease option is an agreement that allows someone to rent the house with the option to purchase it at a point in the future at an agreed upon price today. Whitney shares that when she was a normal real estate agent she had her license for 18 months and only made $1,200 in 8 weeks using lease option she made $15,000 doing a lease option that she posted on Zillow. Whitney shares with Holly that she recently found out from her lawn guy that he owned 13 properties, and after talking to him Whitney decided to buy a few of them from him. The first house that she bought was a cracked house-- the house was literally cracked and had been partially burnt. An interested party saw the listing and wanted to buy the house from Whitney. She was able to turn her small purchase into big money by offering the right option to the buyer. When her lawn guy found out that she turned around and made more money on it than he had initially charged her Whitney decided to give him a little more than she originally agreed to. The second house that she got from her lawn guy is not proving to be as successful as the first, but because it is not successful Whitney has decided that she is going to owner finance this house and put a big pink “Whitney buys houses” sign in the front and use it as advertising in that neighborhood. Whitney says that her bandit signs get her a lot of homes to look at so she is excited to see what this option will bring her. She will actually own the land instead of renting billboard space. When Whitney started doing lease options and owner financing she said that everyone else was working in one suburb so she decided to go the other direction and work in another county. She decided to do this so that she could get the experience and learn to play with the big boys in her neighborhood and have the portfolio to back it up. Holly mentions that Whitney has provided
Rank #2: 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
Rank #3: 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 Episode resources: Ocgproperties.com Contact Matt Owen here: email@example.com Free download 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 #4: 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! Free Download: 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 #5: 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 Website: BlueSpruceHoldings.com Podcast: RealBlueSpruce.com “The Creative Real Estate Podcast” Email: firstname.lastname@example.org 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 #6: 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 Ma
Rank #7: 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
Rank #8: 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 business ● The powerful use of employing OPM- not “other people’s money” but “other people’s marketing” ● 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 relationships. 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 email@example.com or on Facebook. Free Download: 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! www.hardhatholly.com/77
Rank #9: SREI 000 My journey into real estate investing
On this episode of Secrets to Real Estate Investing host Holly McKhann shares her journey into real estate investing. Holly is excited to share her knowledge and experience about real estate investing journey that she has experienced in the past 7 years. Real estate investing has allowed for Holly’s husband to quit his job in the corporate world and had afforded Holly with not having to go back to work in corporate world. Holly has set out to do this podcast so that she and her guests can share their various experience and education with listeners who are interested in starting the journey to real estate investing. Holly asks why do you want to start in real estate investing? Is it for freedom? Financial freedom, lifestyle freedom? Whatever it is Holly is ready to help guide you and help to get you educated. Holly will have various guests; lawyers, realtors, investors, bankers, etc. will all be on the show to help listeners learn the ins and outs of real estate investing and the multiple facets of the business. All of the guests will help to guide you on a personal or professional path and they are happy to help and share their journeys. Topics that Holly will cover are house flipping, land lording, raising capital, investing, how to invest with various types of funding, etc. Holly says that real estate investing has allowed her and her husband to pay for 4 college educations for their children because real estate investments have a lot of tax free incentives. Holly and her husband have purchased over 200 homes in Southern California; they’ve dealt with remodels, water damage, fire damage, they’ve added and removed rooms from homes, in all of the years that she has been in real estate investing Holly has seen all sorts of homes in her flip journey and she has even built homes from the ground up. Holly has an accounting degree and worked as a CPA for 5 years right out of school. Holly mostly dealt with taxes which she says has really been helpful in understanding taxes and other financial situations that her flips encounter. Holly’s husband’s background is in civil engineering, he worked for various different cities before he started working for home builders. This is how he got into real estate because he really loved being apart of all of it when he was a civil engineer. Holly and her husband were married 11 weeks after they met and they bonded over house flipping right off the bat. Holly says that when she had her first child she quit her job in the corporate world and when her first youngest started kindergarten she started getting involved with real estate; she started with bookkeeping. At that time her husband had successfully completed one land flip that allowed her husband to quit his job. With the money that they made from land they went to a seminar on mobile home flipping and decided to get into the business and purchased their first place in Moreno Valley. While this first deal wasn’t the perfect deal she said that it was definitely a learning experience but they decided to stick with it and they kept on their real estate journey. Holly shares how her and her husband did their first 100 houses and how when things got tough with investing how she turned to networking to help find deals through relationships. Holly also shares some of the financial strategies that they have used to get homes. In 2014, Holly decided to get her real estate license when they started to get a lot of deals from wholesalers. She decided to do this so that she could get in there and gain some extra commission on the deals that she was interested in. Holly is excited to bring the best experts to you to discuss the topics that matter most to, you, the listeners. If you have any topics that you would like to hear discussed do not hesitate to email your requests in to Holly. Holly started this podcast so that you ca
Rank #10: SREI 059 Syd and Julie Chase's adventure of flipping over 400 houses
Syd and Julie Chase give some valuable insights and experience on this week’s show. They have done over 400 deals over a couple of decades, which gives them HUGE experience to share with us. Some of the highlights of this interview are: Their first deal--the tenants knew more about their rights and laws than they did, and how they recovered from the challenges in the situation. -Why Syd says a beginning investor shouldn’t buy a single family home to hold as a rental -The maximum number of properties Syd puts in an llc and why -How they used tax liens when he first started out investing You can reach Syd at www.SydChase.com Free download of his second book: No Bull Real Estate is at this link: http://www.hardhatholly.com/59