[Music] welcome to Wholesale Hotline i'm Brent Daniels i'm Jamil Dami and I'm Jerry Norton and I'm Pace Morby every week we bring you the best information on real estate investing be sure to participate in the comments and subscribe [Applause] [Music] [Music] so thank you so much for calling Wholesale Hotline wow that was great welcome to Wholesale Hotline number 26 i'll tell you what if anybody watched the Masters yesterday what an incredible event rory Maroy has tried to win that event since 2009 so anytime that you're like "Oh I talked to four sellers today and nobody wanted to sell their property or I I made five offers and none of them got accepted or whatever." Just think about what Roy went through right here all right he finally won the Masters after 16 years absolutely incredible what do you think Pace i actually started a training off yesterday morning at 7 a.m for a really high level group that I trained called Owners Club and it was an hour and a half long story about Rory Maroy and the history behind it and how Rory was obsessed with um Tiger Woods watched every single tournament his parents for over 10 years would only see each other one day a week because mom would work a schedule and dad would work a schedule that were polar opposite from each other in order to afford the the golf clubs the golf balls the travel to get Rory out there and start playing golf they were so obsessed with their son's um dream because this kid saw something at an early age and he used his drying his dryer his washing machine as a way to hit golf balls into it the kid was two three years old he just knew he wanted to be a golfer he emulated everything Tiger was doing and as he grew up his parents made a little bit more money and got some raises from working so hard and so obviously that benefited his parents and they were able to start traveling and seeing some of Tiger's events ultimately Rory became pro and he followed in the footsteps of Tiger Woods and one of the things that people don't understand is guys there has been tens of thousands of professional golfers that have played on the PGA Tour over the last 95 years since the Masters has been out um and been a thing however there's only been five people in the world that have won all four majors this is called a career grand slam so you've you've got the Masters which is the number one the absolute number one um tournament that every player wants to win in fact if you asked a PGA Tour professional would you like to win 100 tournaments where you get a check for $1.5 to $2.5 million a hundred of them in your career or just one time win the Masters the answer is always going to be I'd rather win the Masters one time and get one check because it's just about the prestige and entering into that club well Rory in 2011 on hole number 11 miffed it the pressure the absolute insane pressure on a 23-year-old kid playing in the Masters with a three-shot lead as he went on to hold 10 and 11 he ended up shooting like uh I think he ended up shooting nine over for the day and losing the lead and he has not been in a a situation where he had the opportunity to to win the Masters for literally 14 more years since it came down on him every question that he has been asked at every press conference for the last 14 years is do you think that this is your year to win the Masters it has been nothing but pressure so imagine what Brent is talking about do you Hey when are you going to get your first deal your family your spouse your co-workers your people that are saying "Oh how's that little business?" You know like my gosh the amount of pressure this man went through and then on top of it about four years ago Saudi Arabia comes along and says "Yo f the PGA f all the tradition that goes into American golf f those guys we're going to start throwing hundreds of millions of dollars to each individual top player and we're going to pull those players off the PGA Tour and go create our own tour that steals the eyeballs away from the tradition of golf." Rory Maroy turned down a $400 million contract that's verified the one that we heard multiple times that he turned down an $850 million contract to stay on the PGA Tour because the tradition and his goal meant that much to him this man has gone through so much agony so much pain all of these things and what he said yesterday is he said "I have one message to share to everybody after I've won this tournament." By the way I was so convinced he was winning the ma the Masters yesterday that as people were criticizing him and talking crap on X and Twitter and all of these places i kept telling my wife there's no doubt in my mind that Rory is going to win today it does not matter and when he went down two shots and when he came back up and then when he went down again he went back up the whole entire time i said "No Rory did not go 14 years to make the Masters happen easily he doesn't want the masters to happen easily he wants to have it be full of agony up and down it needs to be the most memorable masters of all time because that is what it's like getting your first apartment building or getting your first rental or getting your first wholesale deal it is monumental and it has to be hard it cannot be easy and you don't want it easy and as he's behind this guy has a five-foot putt to to win the Masters and it would not have been dramatic enough and I told my wife I said "He better miss this and he better go to a playoff that is the only way that this man can get this jacket." She's like "Well you know he needs to win right now." I go "No no no it needs to be dramatic." And it and she's like "You're crazy he comes along in the freaking playoff hole wins this thing with a birdie in dramatic fashion it had to be this way history in this universe had to be that way and it had to be that hard." And so my friends it is going to be hard and it is going to be challenging and that tournament yesterday was so many parallels into the real estate world and my life and Brent's life and all of the naysayers and all the people that will be critical of you do you really want it and are you going to really make it happen are you going to listen to all the naysayers that are do This is what's funny rory says yesterday goes "Well I could have listened to all the people out there criticizing me that actually know nothing about golf or I could have just been laser focused on my goal and that's what you're going to deal with you're going to deal with people that fight against you you're going to deal with your spouse doubting you your friends your family members people you go to church with people you go to the gym with they will say some stupid stuff." And I'll tell you specifically what it happened to me 12 years ago I had a friend of mine that worked at Apple and I thought that was the most prestigious job on the planet i thought "Oh my gosh this guy works at Apple man this was peak Apple this was like when Apple was the bomb they were inventing things things were happening the iPhone 5 was out oh my gosh." And my friend was working at Apple and I said "I'm going to get into wholesale real estate i'm going to become a wholesaler." and he says to me "Is that the thing that they steal people's old lady's equity?" And my friend almost freaking pushed me off my axis and I almost did not get into this business because I was listening to a guy that made $70,000 a year that still to this day 12 years later is still working at the same gosh dang store with the same gosh dang position how dare I ever listen to that guy's opinion so my friends it's going to happen it is such a parallel of life that freaking message that he sent yesterday to the world of listen he says "If I could go back if I could go back and tell every boy and every girl in the world just don't give up on your dreams it will happen i promise you it will happen." But the shity that he had and the way that I felt and the confidence in his voice yesterday I said that was one of the most magical moments of my life to watch a guy's struggle but literally never see him lose his resolve even when he was down when he hit the ball um in the water on hole 11 and he fell back again and even when he was on hole 13 he had 87 yards for an eagle shot and he chunks it in the water this guy still comes back with freaking roaring furer and freaking hits a seven iron on the green of of 15 and comes back just to get into a playoff just to freaking win it was so incredible dude and I I think that there's so many par parallels in the real estate world of people that will give up on their dreams because of something somebody else said or man this is hard guys i don't want to do easy things in my life i want to do really really hard things because it's the person you become that is the true reward land and actually Landon and I were texting the whole time and I was texting Landon i said "There's no way he's not winning this there's no way he's not winning." I just kept texting i was like "He's winning no way it's going to happen gonna happen gonna happen." I did not doubt him in the slightest so did you watch the whole thing Brent i did and you know it's interesting Pace it um it was kind of uh a big full circle in my life because in I' I've never really watched golf i thought that that was just what old guys watched after football season was done and after the NBA was kind of winding into the playoffs and it was just it never it never really grabbed me and I um I remember losing everything in in 2009 and getting the judgment and so I had signed an office lease with a personal guarantee um for 10 years so this office lease was was for a total of $743,000 in payments over a 10-year lease and the economic world melted in 2008 my economic world melted in 2008 and they sued me it was my first experience with a lawsuit it was my first experience with like getting served and how old were you at the time i was um this is 2000 2728 right 2728 to get your first lawsuit of a 700,000 plus attorney's fees holy moly but they would so every every quarter they I would have to go to the attorney's office they would pull up my bank accounts they would pull up anywhere where I had money they would see if I had any money to to basically like hold me by the ankles and shake out my pockets type of thing i didn't have anything i didn't have anything for years it took me two years of like really self-loathing and really feeling bad about myself and really just kind of being a being a shell of the person that that I was before that and um and then I started crawling out of it and crawling out of it and crawling out of it and in 2013 it was supposed every if you guys don't know this if you have a judgment against you every five years they have to renew this judgment or it gets a it it falls off and the day before the renewal in 2013 they renewed it and it was renewed with interest so now it was a million dollars pace it was a million dollar judgment that I had against myself right and um I had just met Aaron and I'm telling her "Yeah I I owe like a million bucks on this thing and I have terrible credit and I oh yeah I have this baby over here." And uh it was just it was all coming down and then I was a real estate agent and I didn't really like it because it was like I was always applying for the job of of helping people buy and sell houses and then I discovered wholesaling i discovered wholesaling when I when I sold a deal to my buddy Derek Jar and then he really broke down um he didn't like teach me it but he it showed on the settlement statement that uh he got this big $40,000 assignment fee and I was like $40,000 this is this is crazy and I remember I started finding great opportunities selling these opportunities for 10,000 12,000 20,000 then I finally closed one for $42,000 and I was able to hire an attorney to negotiate this judgment that I had had since I was 27 28 years old and it had always been hanging over me and you can't buy real estate if you have judgments guys you can't it like hangs over you you have to pay off the judgments to go and buy real estate through the title company if you're going to get title insurance and so it was this whole mess and I ended up pace I ended up settling for $56,000 right $56,000 i don't remember that part of the story that's incredible on on this judgment last year Pace I spent 54,000 to go to four days at the Masters i went we followed Rory for a whole day all of Saturday we followed him around he didn't have a great round but it was fine we followed him i was with my family i was with my brother-in-law i was there it was absolutely incredible and it all was because of finding really good deals really staying diligent to going out having conversations like really burying all of the sal self-doubt all of the concern all of the I failed and I'm climbing back out all of that stuff and just going to [ __ ] work just going to work just going to work every single day and finding these unbelievable deals and I got to experience the masters with my wife with my uh sister and brother-in-law and my mom and my dad and everybody it was just absolutely incredible for the same amount that was hanging over my head for this judgment and it was all because I saw ugly houses and and so it all brings up a lot of you know emotions and a lot of thoughts in in my head just watching the Masters now so that's that's something I think that um will always be kind of a core memory and and watching the watching the Masters and that's why I want to pull this up i know that you you had been such a huge fan of Rory and and and the Masters but you know switching switching kind of tracks pace you you mentioned something really interesting and I want to get into this and I want to get your thoughts i want to get the audience's thoughts now as we transition into talking more about wholesaling and finding great deals equity stripping that's what you talked about right equity stripping is what um I had a really good friend that I grew up with Sean Brennan his dad Mike was like "Oh you're stealing you're stealing old people's equity you're stealing old people's equity you're stealing old old people's equity." And that's what equity stripping essentially is what What are your thoughts on this what are your thoughts on you know going out and negotiating these deals and your experience Pace have you ever stripped equity i had this uh the answer is no i've never stripped equity and I've never once done a deal where the seller and I didn't build a relationship and um in some weird way I fell in love with the seller or their family or something that was going on and um I had this guy actually on my my most recent YouTube video made a comment and he was really respectful so not this isn't not not to meant to be like disrespectful or anything like that but he leaves this comment that basically is like "Hey um you know you why wouldn't Okay he says "Honest question why would they sell a cash flowing property?" So I bought a property just recently 2.7% interest rate sub 2 deal in Phoenix Arizona and it's going to cash flow like crazy and I went and did a YouTube video went in front of the house and you know just took my little camera and filmed it myself and this guy was like "Why don't they just catch up their payments and cash flow the property themselves?" And I'm like my response was "Hey really appreciate the response." So what I'm about to say to you is going to sound really critical of you but it's obvious that you've never met a seller in a bad situation guys they I I don't know about you but I can remember times when my brother or somebody in my family was pulling my arm behind my li my back or wrestling with me and then I got myself in a position where I couldn't breathe and somebody was sitting on my face and you ever you ever wrestle with people so much Brent you felt like you're going to suffocate because somebody's on top of you you know i grew up in a family of 12 kids i got wrestled and beat up and all sorts of stuff my whole life and I had these moments where I felt like I'm like "Get off me i can't breathe you know type of stuff and when you hang out with sellers in foreclosure or they're going through a tough time maybe they've gone through a divorce recently or their house is so beat up that they can't sell it on the retail market and you sit down with these people and you look at them and you sit in their living room and you understand the story of their life wholesaling is by far the best solution for them somebody coming along along and giving them convenience and speed to get out of the situation they're in is by far the best situation you could ever imagine here's here's and this is this one's a really interesting one i have a deal right now um I'll show you guys in Phoenix that I'm flipping i actually bought this from one of my students here in Phoenix it's really an interesting thing because people I I actually took people on a ride along the other day and I took them to the house you know where um Lucy's is yep oh yeah what's that on it's on 12th Street yep oh no 16th Street you're right yeah yeah yeah okay cool so right at Lucy's okay so I'm Here's the little neighborhood i want to pull this up because I want people to see that this is so common it's a cute little house and I take my students on a ride along to this project okay and I had just bought it maybe 30 days ago so two days after I close on it I take a van full of my students and I go "Let's go check out the project we're about to start the demolition." So we go over to the house and we go to the house and the seller is still moving out of the house even though I bought their house two days ago this is somewhat common this happens frequently whatever but I'm so glad the seller was there okay and I wanted to show my students I wanted to show the subto community like "Hey I want you to meet this seller seller tell me why you sold this house to us at a $200,000 discount." And she said "Well we thought about going with a real estate agent we're not in foreclosure we're not losing our house but we got a job opportunity in Wyoming and we really are excited about this." and we recognized that we'd have to you know clean the house up a little bit and we'd have to do these things and it just didn't make sense for us we we were so excited to get it get up to this house that we you know answered the call of one of your it was actually um one of my students does PPC and PPL um actually one of your clients and he gets this call from the the people buys the house sells it to me makes 50,000 bucks I'm going to make 80,000 so think think about that the wholesaler made 50 the flipper me is going to make 80 and this family knew that they were so excited because of this job opportunity their kids could not wait to go to their new school and I met their kids i met their husband and so one of my students that was in this van ride with me says "Dude I thought like everybody was in distress and you know they were like losing their home and like no a lot of them just understand they don't want to go through an agent they don't want to wait five months or six months they want the the certainty of a quality price but the the guaranteed of speed they want to be out of there and move on to the next chapter in their life they cannot wait so of course there are those situations where people are in like really really bad distress like foreclosure or whatnot but the majority of people are like I just want a good price and I want to move on my first deal was the lady was not in foreclosure her house was paid off she just hadn't renovated it in almost 40 years single pane windows you know the hot water heater literally had duct tape on it and I got I made 25 grand on my first wholesale deal 12 years ago and I'm like she's not in distress why doesn't she just sell with a real estate agent and once I recognized how there's thousands of these deals in every single market every single month and if we doubled tripled or quadrupled the amount of people in wholesale we still wouldn't be able to touch all the opportunity nope you we did we did in 2021 pace quadrupled the amount of people that are doing it right now for sure right and so the answer to your question is I've never met a seller that I I didn't feel comfortable letting them know how much money I was making what my game plan was with the house i didn't feel comfortable you know having other sellers call my previous seller and saying "Hey well if you want to know how I operate here's the seller i just closed the deal." Never once has that happened and man alive I I just wish you know when you when you look at your previous life which is like hey I used to take advice from my father i used to take advice from my mom and I love them but my parents got me to like where they needed to get me by the time I was maybe 18 but sadly I was taking their advice until I was 28 29 years old and the advice I had from my mom and my dad was like you know those types of things aren't for us you know those big fancy houses building living in house neighborhoods like that that's not for us just you know work your guts out two jobs if you have to that was the mentality I grew up with and I never thought real estate was a thing for me i never thought it was something that was possible for me and I'm grateful that people along the way Brent Daniels was one of my first mentors uh J was was one of my first mentors jerry Norton is one of my first mentors i am so grateful that I've had people shift my mindset and give me a new paradigm to see the world in a different way because now when I drive down the road I'm not looking at houses that people live in i'm looking at opportunity everywhere I go in fact when you truly understand this business the biggest problem you have is there's too much opportunity how do I focus on the stuff that I that I need to because there's too many ways to win i could do RV parks i could do mobile homes i could do self storage i could do uh you know apartment buildings and start a fund and I could flip and I could wholesale and I could do this and I could JV deals and I could do direct to agent direct to when you understand this business it is so crazy how many different ways there are are to make money so um no I've never once stripped equity from somebody and I've never once not felt comfortable giving somebody a hug at the closing table what about you Brent have you ever ran into anything like that like interesting you know it's um I came you know my background is being a real estate agent so I thought in I thought in terms of three and six% right and in wholesale you can make 10 to 20% on a deal just depending on the deal but what what I would do pace is I would go on these appointments and I'd go here is the price if we put your home on the market now when it's on the market uh it's going to be exposed to everybody in the world um it's going you're going to have to show the property now we can set it up so that they only come in the weekend or you can if you want to get the the highest and best offer you you got to it's it's got to be available pretty much all the time right and I think you should do these little repairs here and there because the conventional banks are really tight right now um in with the condition of the property and so they'll make you do these things um for them to qualify for the loans whether it's an FHA loan a VA loan or even a conventional loan and so you you're going to need to do these things you know paint and you're going to have to cover up that hole and you're going to have to make sure that there's a cover over the outlets like the little things not not thousands of dollars maybe a couple hundred dollars you're going to have to put your dog away you're going to have to do this type of thing pace I am telling you 10 out of 10 10 out of 10 when I go this is what you could get on the market here's what I can offer you cash asis done nobody's no there's there's not going to be millions of people coming through the house you don't have to do anything to the property but you are going to be 50 60 70 $100,000 less than if you go and and do these things right here and put it on on the market and I'm the best agent in town i know I could get you the highest offer no problem which one do you want do you want the cash offer or do you want to put it on the market oh well I I I'm so embarrassed about the house i just want the cash uh I won't let anybody in the house because my dog will bite them i don't want to be hassled with any of it i just want to have my cash and move on even if it's 50 70 $100,000 less yes yes you know what I mean yeah it's It's the most fun business I've I've ever been in i um It's interesting like when I was if you guys go back on my Instagram account um I started my Instagram account probably at this point 15 years ago and I remember um one of the first posts I ever made was a a post of my son Asher holding up his baseball glove and we were playing catch i thought it was a cute moment so I took a picture and I posted on Instagram this is before video was even a thing on Instagram it's just photos and behind the photo was all these commercial buildings and I saw that Dennis and all these people that were in these commercial buildings and as I took that photo I remember looking at my son just going I need to provide more options for you and I don't know how to do that and at the time I was taking advice from my father who was a contractor still is a contractor here's Jerry let's bring him up here what's up brother how you doing hey how's it going so I was I was taking advice from my father at the time and again I I don't want to sound like I'm critical of my father at all i just want to let people know like hey it's perfectly okay for you to at some point stop taking financial advice from my parents um I was 28 at the time i was two years away from getting my first deal i had been telling myself for five years prior to that that I was going to get started in real estate flipping mastery on YouTube wasn't a thing yet and um I was really frustrated i felt like I just had a lack of options i felt like I was in a prison cell without any sort of reprieve there was no way I was ever going to get out type of thing and I was upset i was actually really pissed off at the rich people that own the buildings like the dentists and the doctors and the people that were in these buildings and I I like kind of cursed the world at at a moment and I said "These stupid doctors and lawyers their parents gave them all these you know teaups and they did all these things for them silver spoons and this that and the other." And I meanwhile blah blah blah blah blah blah blah and then I heard a Tony Robbins quote literally that night and the Tony Tony Robbins quote I heard was life doesn't happen to you it happens for you and I really started taking things more seriously i had a more positive attitude i wrote that down over and over and over anyway long story short 5 years later I owned that commercial building and I forgot until I went back to that photo i was like "Oh my gosh I own the commercial building now that I was looking at where Asher was in front of it." And I was pissed off at the people that own the commercial building i'm like "These rich people." The amount of power that you have when you understand real estate is unbelievable it is so unbelievable and the amount of things you can do g here's um you know one of my genius friends Jerry he's got a hotel in Puerto Rico he's got a um big multi-million dollar built pouring concrete on like an 11,000 foot home on the ocean and he's more concerned with how many chickens he has on in his barn and how what is what cowboy hat he's going to wear today than really anything else and I didn't have the right advice around me i remember the last time I decided to take my dad's advice was when I was 28 around the same time I took that same photo of Asher and I said I called my dad up i was working six days a week 12 to 14 hours a day as a contractor and I called my dad up who had always told me just work a little harder just work a little harder it's going to work out it's going to work out you know just really positive good dad well I call him up one day and I said 'Dad I I need to scale my business you know like I you know what what advice do you have for me and he says 'Well sometimes you got to work weekends son i was like well Dad I work Saturdays like I don't get to see my wife i don't get to see my little boy anymore you know other than Sundays and he said "Well you know sometimes what you got to do is you got to work half day Sundays just to catch up for the week." And that was the best possible advice my dad could give me and in that moment I realized I need to hire somebody i need to get a mentor i need to do something and um luckily I found a guy named John Bow i used to pay $500 an hour to dramatically underpriced i He should have been $5,000 an hour and now you know it's the same thing with you Brent it's interesting to see where I spend my money a couple years ago I became really good friends with Dan Martell and I paid him 30 grand for one hour of his time literally one hour of his time and to get insights from people that actually know what they're doing and telling me you know how to shorten my learning curve i don't want my learning curve to go away i want to learn it but if it took you 10 years I'd like for it to take me seven you know or if it took you seven I'd like for it to take me two and so um I'm I'm really grateful that I understand this business and I think that there's no better time to get into wholesaling real estate i also It was really funny i was on this call today with Spencer you and um a couple of people talking about "Oh yeah we're doing 50 you know my team does 60 deals a month is what Spencer says." And I'm like "How am I on a so like nonchalantly on a phone call with a guy that's doing 60 deals a month and you know Brent's doing 20 to 30 deals a month and Jerry you know doing with all his franchises probably doing 40 50 deals a month and it just seems normal." So I my piece of advice for everybody that's paying attention all 430 of you by the way guys you're spread between a couple of YouTube channels so some people are on my channel some are on Jerry's channel but we've got 450 people here today um my my number one piece of advice with to you is stop taking advice from people that you wouldn't trade your life for and start looking for the people that are living the life that you want and one of the people I really sought out was Jerry Norton and I said "That's the guy that I think is resembles the life that is the most similar to what I think is the p perfect life." And I sought him out i chased him down i thought "How do I become friends with this guy?" And man alive that man has not disappointed literally truly one of the best men on the planet um and that's that's what will change your life better than any book better than any video get around people doing the business so in the side chat today okay what I would be doing for the next hour next 58 minutes we'll be on here is I would spend the next 58 minutes trying to get to know three or four people in the side chat today i there's been so many times where people come in the side chat and go I made 50 grand from somebody in the side chat last week oh my gosh become friends with people in the side chat this is why we do the show live so um we got a question right here jerry get you into the show can I call the do not call list let me go first i do not give a crap that is my personal preference i will call the do not call list all day every day that is a personal thing however Jerry I want to know your thoughts would you have your franchises or would you call the do not call list we're we're doing something uh we're about to roll out with PropWire where we will give the data that we we'll we'll actually let you know hey these are on the do not call list do what you want right so you know everyone has a different tolerance level you may not want a chance calling somebody on there and having them get upset or whatever um you know that's Pace's opinion is is like what are they going to do is it really something I need to be worried about should I should I be really fretting over that or should I just get get on the phone and call another person you know so I don't know it's kind of a personal decision a personal preference i I'm kind of on the fence either way i don't really have an opinion too much about it but um you know you could you could call somebody on there who has an issue with that and and tries to do something about it i don't know why do you not care why does it not matter to you people can bring lawsuits for anything right there's just there's a certain segment of litigators that are waiting for you to call them that's their whole that's their whole business model is uh get called a bunch of times by people that um are soliciting something and then they they shake it down for a settlement andor want to take you to court but most of the time it's just a shakeddown for a settlement in small claims court but that is a business model for for people um and so just be aware of that yeah I have never um Okay let me say this correctly i have seen the shakeddowns happen so what happens is uh you know I have 20 between Gator top tier TC and sub 2 i have 22,000 students okay i have never seen one of my students ever get in trouble for calling the do not call list except for they have received demand letters that I tell them to ignore i say "Throw them away." Here's the thing about a lawsuit they're trying to get $3,000 out of you shake you down it will cost them more than $3,000 to go and litigate and take you to court they do not have the time to do that they're what they're doing is they're shotgunning they're sending out 500 you know messages every single day and they're hoping somebody stupidly pays the $3,000 for them to go away and so that's been my experience with it i don't know any wholesalers that have actually been in any sort of class action suit or anything like that i feel like we're such a small little part of the industry that we really don't rustle up any attention and by the way you're calling individuals like how many times do you think individuals call the attorney general's office and complain that somebody called me and I'm on the do not call list and it's not even related to wholesaling real estate it's probably around AT&T and other services and we are such a minuscule portion of that and so my I'm also somebody that will run a red light like so don't listen to me um I will I'm I'm not saying I will literally run a red light when people are around like if it's middle of the night I'm driving home from a late business meeting and I'm at a four-way stop and there's red lights I'm not waiting and there's nobody around i'm driving through it right like I know that there's a rule but I'm also not going to let some stupid rule control me and sit in my car like an idiot when there's nobody to be seen for five miles around and God's up in the in the heavens going "What is this idiot doing just drive through the light bro." You know so I have a different personality you choose which way you want to go but I will all day long in fact I almost want to do a challenge where all I do is call people on the do not call list so I can now give people that i will say Jamal will uh go through a red light as well um Howard Pace so there's a you guys might find this interesting there's a a lawyer and a handicap person that travel the country and they look they look for um inongruencies in the handicap the the what do you call it the ADA compliance and they they came to our hotel and then they sent us a letter demand letter and um because we weren't compliant but we were grandfathered in to not have to be compliant so we had to get legal involved and send them paperwork and stuff and then they dropped it but they literally just uh they're just looking they I don't think they ever litigate I think they threaten people and then they try to get five grand or 10 grand or whatever but they they literally show up with like a tape measure and try to get you for like oh you're two inches short on your entrance door or whatever you did you tell them hey I've been two inches short my whole life yeah i said I'm I'm doing just fine i'm doing just fine so I don't know what the issue is hey bro i got 10 kids i don't know what you're talking about this short thing this is too good um I have a this is a really good one right here get to get to Howard's real quick pace because he's been patiently waiting here okay Brent and Pace at what point in your life did you decide to master your emotions and get busy done how did you do it Brent yeah I think once you lose everything you kind of like you know you got a strong foundation rock bottom's a strong foundation so you know I felt like I almost like the emotions were zapped out of me during that whole thing because I was worried about everything and then I lost everything and then you all of your ego gets destroyed and all these other things so um don't go through that just just pretend that you lost everything like go through those you know right now don't don't you don't have to lose everything to to be able to really master your emotions i think about what you're doing i think that um you know if you when when you get a bunch of money in an account don't get stupid with it you're a young man and just be around people that are way further ahead of you way further millions and millions and millions and millions ahead of you and that'll help keep things in perspective um for me it's always the same answer to this question as how do I solve any problem is it's always the who that I'm hanging out with um yep and you know I'd say 50% of the time it's a quick text message to Jerry or to Brent or to Jamil and like I'll give you a a silly one like I remember two years ago I'm texting Jerry about the YouTube algorithm and I'm on a walk and I'm voice mumbing back and forth and he says to me "I don't care about the quantity of views i care about the quality of the viewer." And I I basically was like I don't have a tattoo but I might tattoo that on my body somewhere um and it's just you know you get advice from people that are actually doing the thing which is really nice that's that's 50% of why hanging out with people is important but the biggest reason why um hanging out with people is important is because we have copycat um molecules our molecules will copycat other people's molecules okay so it's simple things like permission to do cool things is a big deal um actually it's a couple of things i think it's permission to do cool things and then also feeling very lacking when I hang out with people like Brent or J or Jerry or I'm sitting there thinking I'm really cool one day I'm at Jerry's house two years ago and I'm talking to his brother Brian and I'm like "Yeah you know I buy businesses too." And Brian's like "Oh dude we got this business that does $650 million a year in revenue we're currently buying it and then we're going to take it to a IPO." And I'm like "That's cool i have a cleaning business that like cleans people's houses." I just flipped the house i just But you know so you want to hang out with anytime somebody's having a really hard time in their life and they're saying "I'm stuck." I already know what the problem is they're hanging out with their family members they're hanging out with people they go to church with um they they're hanging out with people from their nineto-ive job and that is by far their number one problem it there's nothing I remember I remember Pace after you hung out with Brian for a little bit um I remember you saying "Man I love being around your brother because it it helps me want to like uplevel my life just being around him for an hour and hearing about the things he's doing." And that's what you're talking about you naturally are gravitating towards a higher level higher way of being when you're around that type of person yeah we're her animals right so like we do what the crow the crowd is doing and so I would find the herd that you want to run with and the people that are doing the thing you're doing for me um I could say this a thousand times but and it would still be true every time i chose to be around um Jerry as much as I could and the way I did it is I bought a house by him i literally like I could buy a house in Utah i have more friends in Utah but Jerry lives a life that I want to I want to emulate he's so in love with his wife he's obsessed with his kids my kids and his kids are similar ages in some regards i love his kids too and I want my wife to be his wife's friend so I went out of my way i spent literally hundreds of thousands of dollars to get next to the right person and then Jerry goes and moves to Tennessee so that was great so but you know same thing with you know Jerry says to me a couple years ago probably six years ago he goes "Yeah I do this thing where like every three years I move and I reinvent myself and I force myself to find new friends and new relationships and new challenges and new things for my kids and I never want to get comfortable." So um the biggest problem that a lot of people are having when they're stuck is that you your comfort zone is my discomfort zone i I look at people that are like "Well Pace I'm stuck in my comfort zone." I'm like "Tell me 10 reasons why it's so comfortable." Because you make the money you want to make and you come home to the type of mattress i don't know about you the older I get the mattress I sleep on is super important so I'm like you sleep on the mattress you want to sleep on you drive the car you want to drive you live in the house you want to live in the neighborhood you want to live in you dress in the clothes you want you go on vacations the way you want to so that's comfort right that's the Oh no pace actually none of that's true so why do you call it your comfort zone because it sounds so uncomfortable right like I So identify why you think it's your comfort zone write that thing those things down and then I would do here's a couple of very actionable items um I would go to whereispace.com this is a really simple one watch i'll show you how simple this is go to whereispace.com i come and meet me and meet the people that are in my community um at some of the meetups like LA i'm doing one in LA on guys i will do 80 plus meetups this year where I travel around and meet people in person and I'm obsessed with the connection because that is really what's changed my life is connecting with people that are doing the thing that I want to do so if you scroll down you'll see okay Pace has an LA meetup Montana meetup this Friday I'm going to Jordan Reyes has a new RV park right by mine and Jerry's house i'm speaking in Denver then I have a Denver meetup i'm then speaking in San Diego then I have a San Diego meetup Phoenix meetup Denver meetup New York meetup Philly Central PA Chicago St louis te Austin Texas like I have things on my calendar where you can come out and you can meet me but most importantly you can meet people in those markets now the thing is the sub 2 community has 155 meetups every single month all over the country where I do not go to them they just run them because they understand the importance of connectivity so what I would do is I would go into the creative finance with pace morby Facebook group say where are pace students where are the meetups going to happen i'd love to come by and meet Pace's students and in the sub 2 community that is an actionable item there's not a si single city in the country that you can't find someplace to go to a meetup it h they happen everywhere okay uh Keith Warren says "Come to Charlotte or Asheville big dog." I definitely will there was a question that you just popped up you will pop it back up there um no there's a um yeah Zillow's messing around uh with Compass uh the the brokerage and Compass wants to have their own little kind of MLS which is just theirs and Zillow's pushing back on them so I don't think it's a big deal um we'll see how it shakes out but I think DJ has a great question here what are your guys thoughts on wholesaling a creative finance deal where your assignment is paid by the de buyer's down payment um that is where your assignment should get paid from my friend is exactly from that spot i have uh like five videos on my YouTube channel about how to wholesale a sub two deal um the paperwork gets updated every six months because laws change and things adapt and all that kind of stuff so I don't give the paperwork out on YouTube but um the answer is yes that's a great place to get it where else where else would it get paid from there's another really interesting way um I call it the afterparty and so you can structure it in a way where when the when the buyer sells the property let's say the down payment for example the seller wants a really big down payment you find a buyer that barely covers that down payment there's really no money left for you the way you do that is you raise the price to the buyer 20 30 40,000 bucks and you have them pay you when they refinance or sell the house oh you you have a lean so there's there's a dozen different ways you can structure it i mean when he says down payment he means entry fee really right like it's just the total it's getting added added to the total fee the buyer brings to closing i will say Pace um I don't know how you feel about this but I do get a little nervous if the buyer is um if the buyer's financing their entry fee now I know it's common to get PML for the entry fee but I get a little nervous because my my worry as the wholesaler is if that buyer is raising money to cover the entry fee they're going to be a little exposed they might there might be some risk here of if that thing gets unwound I get sucked into it right so I do get concerned about that so it is a question that I like to ask hey how are you how are you funding this entry fee and I mean my favorite buyer would be oh we've got the capital and we're just going to pay it so I do get nervous when they're like yeah we're borrowing PML to cover all so because they're getting 100% in which I get you know like I get that but if they default on that and the seller this thing goes back to the seller and there's a lawsuit the wholesaler always gets sucked into that lawsuit yeah i the way I've I've set up the paperwork on that is that I hold a I do a hold harmless clause and I as the let's say like for example one of my students wholesales me a sub two deal which happens frequently i think last year I bought like 55 sub two deals from my community and in that situation we call the seller i introduce myself as the buyer i let them know hey I'm paying the person that introduced us i'm the actual person that's making the payment etc you do a good handoff you do a really good handoff yeah and I tr I make sure I train the sub two community to do the handoff the same way because you will have those situations happen so if you are assigning a sub two deal there's two ways to do it one clean handoff make sure all parties are communicated to and you can do that after close of escrow too okay you can you can do that i prefer to do it beforehand that's the first way the second way to do it is um when you're doing the um like when I I don't know that I want to go through the go through the explanation on this but when I when I when I do the the sub two deal I will raise the money for my purchases because I'm buying so many things i don't want my cash tied up in those situations and I will make sure oh here's another here's the second way and I'll make this really simple better way to say this so the first way is clean handoff the second way is again a very similar thing I call it sub sub not sub two I call it sub three and what sub three means is that I assign the seller's deal to a buyer and I then write in the buyer's contract that if you default I get the house back not the seller so that I get to do that sub two bill another time which is why I call it sub3 so I've this has happened probably a dozen times in 12 years where people have brought those deal like they go I can't make the payments i go perfect I'll just take the deal back and I'll go resell it again and I'll make an extra 20,000 bucks so I will do that on good deals that have really good interest rates that I don't mind actually holding in my portfolio but if it's an end buyer like I see a deal that there's no spread for me and there's an end buyer I will very cleanly hand off the relationship and say "I'm out hold harmless clause i'm out see you later." So but they're really good points to bring up and and there's extra paperwork and documents that most people are not used to on a sub so really great really great one um and we got a lot of freaking great questions in here today here's a good one in today's market with the high prices and high interest rates is it is now a good time for a licensed agent to pivot to wholesaling or is it too late it's never too late you know I uh I was just on a a podcast talking about should agents wholesale and my honest opinion is if you're a real estate agent and you don't learn how to wholesale I think you're going to become obsolete and you're gonna be out of a business pretty soon because you better you better be able to wear multiple hats or you're going to be I want to correct one thing i want to correct one thing you don't have a business if you're an agent you have a job that is a job i You could not pay me you literally if you told me pace I'll give you a billion dollars if you'll be an agent for the rest of your life i I'll ain't no way that's happening you are not giving me a job that is a high paid job where you only get paid okay and scaling a brokerage are you kidding me managing agents commissioned agents that's the highest form of an agent guys there being an agent is maybe a very good um what's the word gateway drug into real estate but if you've been an agent guys the only way up and the only way out is to start wholesaling and and start owning your own properties and you know fixing and flipping and all that kind of stuff the answer is yes and I don't know here's a good question boys has there ever been a point in real estate that wholesaling would not have worked no because think about it wholesaling is just bringing inventory to buyers so when the market you know here's the market and here's a wholesaler right like we just we just kind of doesn't matter doesn't matter at all we just adjust with it up down sideways we don't care because it's real time we're we're we're selling properties real time we get the deal today it's got a value today we move it today so it doesn't matter what the market does we could care less yes correct 100% and um here's a good question taylor Bell does anyone prefer lending in Missouri i lend in Missouri just I deployed $2 million last week on loans please guys if you need capital email moneypaceby.com and Taylor if you have buyers that have good HUDs and they're active fixing flippers let me fund their deals i'm funding 100% of purchase and renovation money right now so your buyers can be flipping with no money out of their pocket so moneypace.com okay Jerry how can I um send wholesale prospects to you i'm having a hard time going in for the close i would say you got to get over that dude i mean you could send you can send those leads to me or really any any good wholesale operation local to you they'll take those leads they'll close them but if you're recognizing like man I'm having a hard time closing that's not something now you outsource that's something that you double down and you go in you you lean into that like what's where are you getting stuck at where's the challenge let's have someone mirror you a little bit find out where where where you're falling apart there but like dude you got to tackle that you're never going to be good at this if you don't know how to talk on the phone and build build a relationship of trust and and anchor low and all the things right like you got to be able to learn how to do that i would I would highly recommend not outsourcing that anybody can generate leads there's no real value there i can generate plenty of leads it's closing those leads that's a skill set you want to learn um Jerry Gayen good to see you brother ttper sub tour awesome dude he's he's he's finally figured it out we're super proud of you brother he says "Hey Jerry can you please touch on the regulation passed in Tennessee where you can't date your sister anymore?" I mean sorry something about wholesale regulations a different law Pace uh yeah so P Tennessee just passed a law a couple weeks ago it's really focused on disclosure so some of this is pretty normal like all of us should be disclosing but your contract with the seller has to disclose that your whole that you may wholesale and then the thing that's a little different and unique about Tennessee is 3 days prior to when you sign the assignment with your buyer you have to first disclose in writing to the seller that you're about to assign the property so there's a little kind of there's this the confusing part similar to Arizona well Arizona is not requiring that once you do the assignment you disclose again there's a second part you have to you have to actually tell the seller in writing hey here I am about to do it now i told you I might do it now I gota tell you I'm doing it you're joking yeah and but uh I really poured through Tennessee's law because what they did is they defined equitable interest and it's really interesting when we look at equitable interest because equitable interest that's the that's what we hinge wholesaling on and the way Tennessee defined it now is basically it says um if you're dealing in contracts or transacting before and this is the key word everybody's got to understand before you take legal title that's equitable interest and now if you're going to market or sell your equitable interest you have to fill in the blank disclosure now why this is significant is because if the law now defines equitable interest as any any value you create before you actually own the property then that's that's equitable interest and now you have to deal with equitable interest well that would include an assignment obviously that would include an ovation obviously and this is what people don't want to understand that also includes a double close because think about it your BC contract with your buyer is when before you have legal title that contract is an equitable interest contract because you don't yet own the property so this is kind of a I think this is kind of going to be a shakeddown that we'll see more of pretty easy what you could do though is you could close in your LLC and have sold the LLC um well it's all about when you're marketing to your new buyer okay that's easy what if I just go to Jerry and I'm not marketing to him and I go "Jerry you want to buy this deal i'll go contract it." Well is your contract are you contracting your equitable interest i mean what if I don't pay for it um well I mean you wouldn't want to build a business model around verbals is that what you mean like it's just a verb i did I did for a whole year with Jerry or with J that's all I Yeah i mean if you've got your one guy that you have a verbal agreement with you know okay so then what we're talking about is we're talking about the takedown method that Jerry talks about on his YouTube channel which is basically hey buy the thing and then start marketing which which is what uh uh Brent is doing also the issue is a predetermined buyer if you if you predetermine your buyer and you contract with that buyer before you have legal title that's equitable interest that's what you're you're you're not selling your contract the the the reason why we're able to say "Hey I'm selling my contract," is because that contract has equitable interest okay well if they say equitable interest means before you have legal title and now we want you to treat that equitable interest in a certain way that's where everyone's got to understand so the the my point with that is just saying like everyone thinks that the workaround is a double close well no it's not if equitable interest is before you own it but the takeown method is very simple you buy the thing and then market it and it's just going to cost Here's what's really crappy about that method the method is amazing but what happens is wholesalers like us are smart so we're always going to find a way yeah right it's just like tax law you change the taxes on me I'm just going to figure out how to not pay taxes legally again i'll do it a different way and so um in this situation what you're doing is you're basically telling the wholesalers that you need to drop your price to the seller another $15,000 to accommodate the expenses it's going to take to close the deal and then market it it's going to hurt the seller all of this hurts what is their argument Jerry that people that are unlicensed are marketing properties is that is that not a license it's not a license so this law was not a licensing thing although uh in a recent video I did I covered case law that actually ruled that wholesaling as we define it is brokering and needs a real estate license but that was not the law that was passed that was case law in 2021 the wholesaler appealed it and they lost in the appeal court too so the courts ruled that selling your equitable interest is brokering and you need a real estate license to do that so there's that too going on in Tennessee but the law specifically was just around disclosure all it said was if you're selling your equitable interest you have to disclose that to the seller not just at the time of contracting but again when you actually do it you have to tell them what you're making it doesn't say you have to tell them how much you're making and it also doesn't say that the seller has to agree in writing it just says you have to notify them in writing so can they back out uh I mean that's it doesn't it doesn't say they have the right to back out it doesn't say they have to agree that you're that that and give you permission it just says that you have to notify them in writing three days before you actually do it so I think the idea the whole idea behind it is everybody needs to know what the heck is going on so they want that seller to know they don't want that seller to not know what's going on they want the seller to know and the buyer I guess so think about this let's say that you're doing uh I don't know let's say you're doing an ovation and 3 days prior to signing the new buyer you would have to go back to the seller and say "Hey by the way I'm about to sign with a new buyer i'm letting you know." You know what I mean like I don't I don't think they thought it through all the way it's just kind of weird the the and and what you three days before yes it sounds like they'll probably add additions to it as they go something because it's odd okay so today let's say let's say that what is today the 14th on April 14th I contract with a seller let's say tomorrow I go to I go to um Brent and I say "Brent you want my deal i got it for 100 you want it for 115?" Brent says "Yes." I say to Brent "Well hold on Brent we got to wait three days before we sign the assignment because now that you want to buy it I got to go back and tell the buyer three and then give them and then give it three days and then then you and I sign so like I've talked to some wholesalers in Tennessee and what they're doing is they're like post they're going to start postdating their assignments is there can we just can can we put a pin in this Jerry because I feel like this is the case i feel like real estate agents get angry at investors especially wholesalers and then they hire attorneys to push something through to get more regulations in these states like who was run who who who would be leading the charge if it's not realtors it's realtors 100% it's realtors yeah and this one went through fast like this thing went all the way through in a month and was passed in law it was like end of end of February passed into law end of March you know so the agents are going they're they're lobbying to get these these regulations in there so that there's more deals for agents i don't know if Tennessee was was specifically NAR but most all of the other ones are led by who who else would that be yeah like some some homeowners like if I would have only gotten disclosed three days uh before they assigned it and I had no I had no rights to cancel and it doesn't really affect anything in this deal besides me disclosing i mean it's got to be real estate agents that um are just they they've had too many negative experiences with wholesalers or are jealous oh 100% they're jealous yeah jealous peanut butter and jealous all day long dude like all day they're like I went to school for this for 90 hours and had to pass two tests oh my god and how dare these these guys go out there and make offers on properties in this reopen market how dare they think about it this way let's take a $100,000 house and let's say a listing agent gets that listing for 3% he's going to make $3,000 or he loses it to the wholesaler who turns around and wholesales it for $15,000 you think they're you think they're a little beefed about that yeah yeah of course but they couldn't serve that seller because what they're offering the seller is not what the seller needs they don't need it listed they need the speed and convenience of a cash offer so or creative financing or some other solution um create speaking of creative finance John Bay says um how do you do the Mori method if credit score isn't good um Yurzan is his name not John Bay yan um I I sponsor Morbby methods all the time people call me up and say "Will you sponsor my deal?" I will sponsor your deal if you guys need me to sponsor your deal meaning use my credit for your deals i do this on fix and flips for people um I for example I have a hard money lender that a lot of people in my community use called um myinvestorloan.com they go to myinvesloan.com and myinvesloone.com will turn them down for not be having ever done a fix and flip they go "We're not going to lend money to you you've never done a deal." And then the student says "Well that kind of sucks i'm brand new i What are you talking about you know and so what the company my investor loan does is they send me all those student turndowns and then I just sponsor their deals and find another sub two student to partner with them on that deal to make sure that they have experienced contractors and people and I take a little bit of money on top of it so um if you're doing Pace if you're doing a Mori method though like at 50% loan to value I mean does credit score even really matter much anymore i mean there's a not usually but your is your an immigrant so I think that's his problem okay i think typically you're doing a Mori method where you're only you're financing such a good front the front of that where your loan to value is so good because the sellers carrying most of the equity in a second that I mean they're they're actually really easy to get done because your loan to values are so good correct uh Keith Warren when are you going to start the wholesaler alliance and start fighting back against these regulations i met with the attorneys today we met with the attorneys today i still have my um reservations i'm gonna push really hard on it but I just feel like wholesalers don't want to actually be regulated at all and I feel like we could create the coolest thing on the planet but wholesalers are inherently you know the problem child in the real estate industry even the people in our all of our communities will probably go "Yeah why would I pay 500 bucks a year to be part of association i could use that $500 to you know are you gonna are you going to want unified contracts and a code of conduct and are you going to want to do all these things are you going to want to pay to a fund to do legal and fight back i mean all these things take money and the the industry would have to unite as a whole and and everybody come together and nobody wants that oversight nobody wants to be no one wants to conform no one no one wants I mean when I say no one by and large as a as a whole wholesalers want to just run around and be cowboys and transact however they want and no one tell them what to do so it gets hard you know what I mean yeah Rocky says gentlemen are you guys officially representing the wholesaling community to help with these new nationwide laws we're trying to but uh you know we actually Brent Spencer Jerry Jamil and myself who I would say are probably the five biggest names in the wholesale industry Um I don't know who else would I would we be missing anybody else is like big in the wholesale industry i mean there's a few other people but like but but it's all state by state Rocky so there's it's not like a nationwide we I mean ultimately nationwide law so we got to start with Arizona and and figure this thing out here right so I mean here's the And it'll be it'll be a challenge even then so like you got to get probably a good thousand wholesalers per state to pay probably $500 a year to be part of the association to cover 100 grand 100 grand a year to run it pace okay 100 grand a year it's 100 grand a year to run it about 30 for an attorney to stay on and then uh 70 for uh a lobbyist for for getting the uh Yeah for sponsoring the right um people in the government I guess yeah lob basically briber bribery legalized bribery i love it um so it is wild isn't it it is wild yeah rocky says "Yes where do I deposit my subscription?" We are we literally just decided today to move forward on the paperwork so we'll let you guys know as we go um I don't know that Steve Train is really producing anymore i think Steve Train is more of a sales trainer i don't think he's doing wholesale anymore but I could be wrong he is a good friend of mine i should check in on that um now John Johnson says "$1,000 a year per person." That sounds right but I'm telling you I sell stuff for a living and getting people to do something rather than talk about it so we'll see um can you underwrite let's see can you underwrite and sponsor a Morphe method on an apartment complex I'm trying to purchase in Corpus Christi raphael Compost you know brother i love you you can always text me um but yes email oh yeah rj Bates sorry about that r.j ates um I actually don't think he's the closer i think it's actually his beard that's the closer i think it's it's controlling him he It does all the work for him um have you ever seen him without a beard no it's got to be scary he probably looks like a bear shaved have you seen those videos or the pictures of a of a bald bear it is horrifying um okay so can you underwrite and sponsor Morbby method yes Raphael email moneypacem.com i got your back i can help you out chris Jefferson you know Chris Jefferson is a really great guy i really love Chris Jefferson i don't think he's doing a lot of wholesale um I'm really good friends with Chris he owes me a hubcap actually he um was driving my Prius like eight years ago and he took my Prius off-road in Phoenix and he messed up my hubcap so he still owes me a $20 hub cap okay um oh yeah Eric Klein he is not currently wholesaling right now he sold his wholesale business and he still has a non-compete on that for just a little bit bit longer so he's not currently wholesaling right now but he will be and he's a great friend of all of ours he's a good dude um okay what online lead generator do you guys use brent what's the name of your company talk to People yeah talk to people.com for uh pay-per-click um we we get to work with amazing people around the country like Jerry and uh and his whole crew there and some of the other guys um you know the the guys that are really Jerry I'm telling you I don't know if you're squeezing many novations out or if you if you can do no in your areas but holy cow that is like the cheapest most fish in a barrel technique ever you do pay click in the outskirts you get these deals coming in you do an ovation and these are huge deals i mean it's bananas let alone just regular flips and wholesale deals honestly Brent if you're going to be paying paperclick which is the good stuff right it's expensive but it's the high quality high intent leads you better not be a onetrick pony and you're just doing a low cash offer because you're going to spend a lot of money trying to get that you know that that perfect motivated seller so we look at like four things we want to do the low cash if that's appropriate an ovation creative finance or even list it if it's retail so uh and now what happens when we're able to do that is we get our conversions from one and 20 down to one and 10 one in eight because we have you know lots of exit strategies for those leads you know so I tell people all the time you know start where you're at like to learn the one thing get good at it but you really want to at the end of the day you want to be the solution for every seller's needs and your job is to uncover what their problem is and then give them the right solution for that problem and now now there's no lead that you can't solve there's no lead that you don't have a a solution for and that's really how to be a good acquisition company but I I'm telling you those outskirt nobody's click at like $2 a click type of leads Gary are bananas for Rich Wonders right now absolutely bananas i mean we're running for him and and some of his incredible um community as well and the the Novation guys are just absolutely destroying and then you know a lot of the East Coast guys do flips themselves you know the New Jerseys Pennsylvania the uh even even South Carolina is doing fantastic but they're they're buying those they they they do the lead genen and then buy them yeah yeah because there's nobody else in the market that is paying Google to get those leads so it's it's in it's incredible um here's a good question honcho let me tell you I'm not doing a lot of wholesale I'm not buying a lot of wholesale deals um I'm not wholesaling a I probably wholesale maybe two deals a month um that's not my primary business my primary business model this year is to buy probably close to $50 million in real estate i'm in the buying and holding phase of my career um I've got three RV parks under contract right now one in Big Spring Texas one in Kermit Texas one in Dallas Texas um I'm trying to buy another one in Big Fork Montana that I looked at today we don't have it under contract another one in Alaska i'm really trying to hold properties that allow me to cash flow in my RV parks are really good my mobile home parks are really good and I just launched sub two fund number two we sold out sub two fund number one in 2024 we're launching another fund um sub two fund number one net net cash flow is $53,000 a month every single month that we make i want to do more of that and so wholesaling I will wholesale deals that I don't want that people send to me but that is not what my um mode of operation is anymore i buy a lot of fix and flips in Phoenix Arizona so if you have fix and flips that you want to do in Arizona um or you want to sell them then send them to one of my students and I'll I'll buy them from them matthew Doy has been asking this about 8,500 times so Jerry's got this locked and loaded here jerry this is for you jerry sent me a whole text i'm about to just paste it if it lets me um Okay so you want the skinny on Pennsylvania yes i didn't know anything about this actually it's a lot okay so Okay so wholesaling is brokering falls under the jurisdiction of the real estate commission you must have an active Pennsylvania real estate license to wholesale must provide written disclosure seller is aware you intend to wholesale the property seller has the right to obtain an appraisal this is what you have to tell the seller that you might wholesale it they have a right to get an appraisal the seller can cancel this is where Pennsylvania is whack seller can cancel the contract and the for any reason the wholesaler has 10 days to refund any money paid seller or buyer seller has an unwable right to cancel the contract without cause for any reason now so they can cancel it they can just say "You know what never mind now if you've done proper disclosure they have up to 30 days from the executed contract or before closing whichever happens first if you did not do proper disclosure they can cancel anytime even past 30 days i mean most contracts close in 30 days so it's sort of like whatever but this this is a disaster in Pennsylvania and here's why you're inviting the you're inviting foul play because if your contract holds no weight what's the point of the contract i sign a contract with a seller but the seller can wipe his ass with it because it's meaningless he doesn't have to follow it he can he can sell to a different They can't get out what about a What about a retail contract with an agent can they get out of those nope um well I mean it says the seller has the right to cancel a contract so I don't I don't know i don't know if that happens maybe you could get a higher offer from somebody else and just cancel it if it's a traditional offer in Pennsylvania i don't know about a I don't know about a retail with an agent not wholesaling not Not there's no wholesale but if they're not being specific about it then maybe what they're saying is all contracts well I mean how do you know I'm going to wholesale it and then they cancel the contract they have the right to do that so you have to disclose that you're wholesaling it before or after before so you go I I'm going What if you can't assign it what if you just want to take it down anytime you buy something no one the problems all go away no license no disclosure no nothing if you buy it only these these problems only happen when you mess around with your equitable interest so why not just do the takeown method and then market it um well you'd have to buy it first then market it yeah yeah yeah i mean I I don't know why most wholesalers are not just doing that anyway like they are money the players are yeah i mean they have Jerry's money they have my money like what are they waiting on the pro the problem is here's the problem Pace and I deal with this constantly and I'm sure Brent does a lot too i You do too it's the problem here is this i want to start a business i want to learn how to wholesale i want to make thousands and millions of dollars with zero risk i don't want to own anything i don't want to put my name on some loan docks i don't want to have to be responsible i want to just sling mud and if it doesn't work out I don't have any earnest money on the hook i can just back out of the contract and go on my way that's what most of the people that get into wholesaling want so when you say to them Pace hey if it's a good deal I'll fund the whole thing for you just buy it they're like no no because that's risky well yeah there's some risk there but I don't know what you want i mean you want I like this one what car rod what if he he says "What if I don't identify as like a wholesaler?" Yeah this is where everybody gets messed up too okay so the way that the law defines intent is your history of behavior and your means and ability so if you say "I'm a cash buyer," but you've never actually bought a house for cash and you don't have the means the wherewithal you don't have a a lender or money in the bank and you've never done it before that's your intent not what you say but what you're able to do and your history of what you've done so nice try um Jared Frank good to see you brother congratulations on getting married um you believe that man got married check out that shirt that's right he's stronger than he is in that photo that's an old photo Jared you need to upgrade that photo you're a lot stronger than than Hey my kids have some TT TTP shirts you know what you know what they say it stands for time to poop there you go um healthy this is Yeah this is that's interesting jerry just said that um Pace it's hard to make a post in the free Facebook group without getting declined even if it's not breaking the rules i'm not the only one dealing with that problem currently yeah you know that's an interesting point so I have a Facebook group with 160,000 members in it um and the way that it is currently being managed is not something that makes me happy and so it is something I'm currently working on um I have a team of humans that do these things and when you rely on humans to do things then humans do things that humans do um and they turned on post approval because we had so many people in there just promoting their crap so we only have post approval which is sad um but we're I'm working on it thank you i appreciate you you know what people don't realize like what a nightmare it is having a free Facebook page unreal like seriously guys go build your own following and post your own promote your own crap like come on 99.9% of people like I did a I did a fiveh hour social media training the other day where I talked about my social media and how do how does everything work together and all of that kind of stuff five hours and I I opened it up by saying none of you going to do this i'm gonna give you five hours of the most condensed unbelievable content for five hours and I would have paid somebody a hundred,000 literally if somebody told me how much money my social media would make me and how many deals and raising capital and access to people it would give me I would have paid somebody a million dollars for what I'm about to teach you but you won't do it so why even take notes it is that hard it truly is that hard and running a free free Facebook group is one of the hardest things we do it's just sad pace that you have to have full-time staff to monitor that page to keep free Facebook group to keep the spammers and scammers off the page full all the time all around the clock keeping them off the page it's just insane i just closed this deal for 27,000 in the next 20 people that comment me too are going to get my blueprint to show you exactly how to do it i get those like a bazillion times a day it's crazy yeah it's it's tough um Jerry my wife wants to know "Are you in your pantry?" You know it's it's not much different than Pace's little basement room you know like the little war room or what do you call that room Pace down in the basement the Zoom room yeah no no windows you control the lighting but yeah it it is like a big pantry um what see guys will wholesale be dead in a few years the answer is no we will be doing the same amount of deals the difference is the way that you do them will change um I think what will happen it won't be in two years it will probably be as I track the flipping mastery YouTube channel i would say that wholesale in all 50 states will have some sort of regulation in all 50 states within 5 to 10 years um all 50 states and what will end up happening is the people that will end up making all the money are the people that lend the money on the wholesale deals because what's going to happen is everybody will be required to buy that deal become an owner and then market the property after they own it and it will keep all the knuckleheads out of the business the people that don't want to ask for money like Jerry how did Have you figured out your link for how to get money from you uh yeah it's just a long it's just like not a unique link but if you I I was thinking about it why don't I just say what Pace says if you go to supportflippingmastery.com you can ask for anything you want and we'll get we'll get it to you yeah so if you guys need money for anything just go to moneypaceby.com and for Jerry at supportflippingmastery.com um so you don't It's interesting to me that the mindset of a wholesaler is no I don't want to do anything that costs money i just want to keep watching free YouTube i talked it was so crazy to me dude check this out you know what we should do next week can we do something very specific next week for wholesale hotline can we use propwire to call buyers and build a five to seven person buyer list next week yeah easy okay cool so let's use Prop Wire to do that next week if you guys don't mind let's make that the whole episode next week no questions just let's get buyers put together the reason I say this is because people are still using Zillow to try and wholesale like what in the heck are you doing propwire is free okay and I I'm on a Q&A today i did a three-hour Q&A i have brand new sub 2 student comes in he goes "Dude I have been trying to wholesale for a year i need you to solve this problem for me i get deals under contract but I just can't get them to the closing line." I'm like "Okay that means you don't have actual buyers and you're only getting houses under contract before you actually talk to a buyer and you don't know if it's a good deal or not." and and oh he's like taking notes i'm like why are you taking notes he's like this is great information i'm like so I'm right and he goes yeah you're 100% right i've been trying to do this for a year i'm like okay we need to show you guys how to find buyers the people that are fixing and flipping can I show you what a buyer looks like by the way this is one of my favorite photos I've taken in like a month um I have a buyer i went and funded his deal the other day and I went to his fix and flip to to chat with him and like walked the property with him and I said "Dude can I just take a photo of you right now to show everybody what a buyer looks like?" And he's like "Sure i gota I I'll pull it up before we finish up in the next six minutes." He's a guy with jeans that has dirt on his jeans he's doing the work himself he's a Hispanic guy that has a construction team and he's like "I'm a con i'm a contractor and I flip houses on the side that's like 90% of my buyers is are people that are doing the work themselves and these people love talking to you they love looking at deals they want you to call them and what's so cool about them is that they will give you the price to go buy the house at this is what I did for my first year is I just texted my buyer and I go "I'm going to the house on 3268 Monterey Way in Scottsdale Arizona what's a good price I need to negotiate to?" so you can make money and they would tell me a number and I would just go "All right I want to make 20 grand or I want to make 30 grand." And I would negotiate that price and make 30 grand this business is that simple and people over complicate it by wasting all their if you're a newbie you should not be in my opinion calling sellers first you should get five or seven buyers talk to them and Jerry and uh Brent if you're cool with that yeah i would love to do a buyer a buyer showcase next week where we just call buyers and build a little buyers list and time ourselves of how fast we can put buyers together you know what' be fun pace would be if we had more time maybe we could do this separate would be to call the buyers and then show how to have that conversation with a buyer yeah let's do it we could we could try it but um we'll be calling at night and you know who knows if they'll answer we'll call West Coast okay yeah early west coast is it's 5 to 6:30 let's that's perfect time to call you cool with that yeah that'd be fun okay cool um yeah i think so many people over complicate all of this stuff it really Connor says "Dude that this sounds great." Perfect here's what here's what's going to happen if we do this next week I'm never going to ever answer a question of how to find a buyer ever again i'm just gonna send you a link to that episode and tell you stop being a nonresourceful knucklehead okay um so we'll do that next week if you're cool with that Brent oh yeah okay jerry can you te can you show us how to use Propway or do you need somebody show you how to use it it's pretty easy any A monkey could do it it's that easy are you sure okay um this is a good question brent what do you got yeah it's a must versus a want you know what I mean you can't just want this you can't just be like "Ah yeah I want to find some deals i want to You must do it." Like it has to be part of I'm going to do whatever it takes to get a deal i must not be average i must not stay in this job i must not you know live in this place i must not be in this environment i must that's the difference between the people that make it and the people that um are just kind of dabble in this thing and is you must go out and take massive imperfect action on a daily basis if you don't have it in you maybe there's some cool online business you can do but it's a must versus a have you know what I mean i mean that's if you really want to get down to it if you really really really want to you know boil it all down it's just are you going to actually do it you know are you gonna go out there and make a fool of yourself go ahead Bren i have a I have a question for you Brent how much do you think shiny object syndrome plays a factor in people's lack of success shiny object is just creative avoidance we talk about it all the time on this show it's just creative avoidance it's just something that gets in our way of having a quality conversation with a property owner and making offers on their property that's all it is that's all it is and I'm telling you guys 100% this industry is undefeated if you talk to enough people and make enough offers you will win it is impossible to lose it's impossible pace how often do you run into that where people are you know they get excited about this new strategy and they're going to do that now and then a month later they're oh now they're over here doing this other thing that looks really fun and exciting and then now they're doing that and now I have a I have a different perspective on this i actually prefer people have shiny object syndrome for the first three to six months um and what I do is I like Jerry you've got like Grace you know I love your daughter so much she's such a sweetheart she in some ways I think of her as my own you know and she's awesome would you want your daughter to marry the first man she dated no i want her to date a lot meet a lot of different people for sure okay cool and I think that that's the right thing because you want to know she wants to you know see what she's into and what kind of man treats her the right way and somebody that's going to be a leader like her father is and all of those types of things and would you say gosh dang it Grace you have shiny object syndrome no you would never say that you would encourage her to date around and so here's the thing guys my personal opinion is for your first like 30 to 90 days it's okay to have shiny object syndrome between a couple of things in fact it's kind of preferred for for most people's personalities they're not a Brent they're not a pace they're not a Jerry we are alpha crazy lunatics that will run into a burn a burning field and makes things happen we are golden retrievers we go retrieve the gold but a lot of people are not like us they need different type of piece piece of advice and I think letting them know it's okay to date for 30 to 90 days before they choose the right thing um I would say that's okay now if you haven't gotten a deal in 90 days then maybe we got a problem yeah how long how long's too long pace i'd say 90 because 90 days that gets snatched up real fast it goes really fast yeah i'd say 90 to 100 day 20 days max here and here's why I ask at pace because I've never met a successful uh wholesaler or flipper or any strategy where they didn't get into that groove where it was head down plow forward it was monotonous tedious it's boring and it's the thing that everybody tries to avoid that that those ultra successful people they can just do that work day in and day out again and again and again and get so good at it that the results continue to come in and so there's that moment of like hyperfocus on the thing to get really good at it and I guess that's my concern is at some point you know it's it's sort of like when Grace finally does get married she's going to have to like all in on that marriage for it to work well at what point do people need to figure this out and find their niche or whatever and just and now go to work just get up and go to work and stop getting excited about every new thing that comes along and hyperfocus you know I could I could steer this a really different direction because even me like I upgrade my thought processes on real estate every 12 to 18 months and I see new things and I you know single family was the thing for me for eight month for eight years and I loved it and I got incredibly good at it um but at some point I was like I want to go to the bigger thing and bigger thing right and I think that what is confusing is that people watch Jerry their hero and Pace and Brent and J their heroes doing cool things like I watch even I watch you Jerry and I'm I'm like man should I get into luxury flips like that guy's making a lot of money i know because I've been in the business long enough that's not for me that's not my personality type i know not I know not to but I would say if we just keep this about wholesaling specifically and nothing else just wholesaling and people are on here for wholesale hotline I would say um go and download I wish Jerry had links for things and he would have had them memorized like the way I have my links memorized i'm a yellowhead i have some of them memorized jerry has this really great report that's like the 56 different ways to generate a lead um or maybe it's 65 i can't remember i would go through that and see which one resonates with you and I would try that for 30 days um for me I think that's one of 67 okay great um we should you know we should do 68 we should do an episode not next week should be just about finding buyers the next week should be what's your launch plan to keep it very simple and basic what are the KPIs the exact actions you should do over 30 days before you look at anything else we should do that maybe in two weeks and we'll we'll answer that question now um what was Oh I was going to show you guys my buyer this is literally every buyer I sell a deal to not literally hobby is not literally every buyer but this is what my buyers look like they're hardworking dudes with jeans that are running a crew they have their jeans are dirty because they're doing the work themselves they've got a beat up van and they're running around and they're flipping houses like these are the nicest people they want you to sell them deals this business is so incredible and you know we don't really we never really highlight buyers next week we will call these people and talk to them about their buy box and talk about their deals we will have so much freaking fun next week so guys please invite your friends invite whoever you want next week's going to be a showcase on how we will find five to 10 buyers in an hour and we will do it step by step you guys will open your laptops do the exact same thing that we're doing step by step and we will make the calls and do the thing live and then the following week we'll do a you know launchpad series where it's like hey here's what I would do if I had 30 days to get a deal if I was brand new step by step by step and I only had 45 minutes every single day we'll we'll we'd love to do that maybe my wife I also think pace that the we just got to stop overthinking this thing you know what I mean like be dumb be dumb go out there see an ugly house and and have a conversation you know I while I've been sitting here for the last 90 minutes I've had four text messages from students that have that have uh closed deals today just from just brute force just going out there getting amazing deals josh Devin Julio Derek i mean it's we don't have to we don't have to overthink this i think people are putting themselves in this whole oh what do I do and how do I do it and I got to be perfect at everything and paralysis by analysis and perfectionism and procrastination get rid of the three Ps go out and take some massive action and you will win whether it's whatever strategy you want you want whatever strategy you want figure it out but either way you got to talk to people um should we have my buyer my my wife come on here and talk to buyer she's incredible in this business yes yes okay should we bring Laura guys next week we're going to bring Laura Morbby on as a special guest sweetheart get a babysitter because you're going to come on the show and then you and I are going to get naked immediately after i love you i appreciate you um everybody wholesale hotline 266 we will see you guys next week on the buyer showcase or just say squat up so squat up and enjoy the show yeah yeah okay one two three so squad up and enjoy the show what are you doing i didn't say nothing why i don't know so squad up and enjoy the show cool i think we should use the one where Jamil doesn't say anything