Why Real Estate Is The Perfect Business

Kandas and Larry answer more questions from the three day event in Cleveland Ohio.

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

Welcome to rank radio leading the world to be rich and generous. For the next hour best selling real estate investing author Larry going to and co host Kansas. Will carry them anyways real estate creates the ideal investment. What they want to flip houses or become passive investor making double digit returns while others do all the work. You'll learn how on brag radio leading the world to be rich and generous here are your host Larry and Kansas welcome welcome welcome have. Be Saturday afternoon Kansas you do it. Matthew in the girls. And it's not them who could put I don't know they made you know. What I'm hearing now that goal ultimately record horseback ride or anything and leaned on them. We can't do that you got your game away. We you can not make it out you can tie it. And with your family you were playing golf I've been reduced to use the cart girl. The car mechanic and drag off the act indicated that player at least you're not dry and the golf. And if Alec adding them I'm not Danny Chia. Arturo small ball at all. A gimmick caddies the car yeah exactly that you don't look at that. Are incurred. It's they. I know nothing about golf now the girls. You surprising though a couple of weeks ago when you're at the and this. We're talking golf with that student at lunch program and you just popped off with foods on the leaderboard for tour right now. I just turned the TV off the game down from a hotel room and they are however I would sound. Yeah there. I did have over the what people around. Usually when we're in the situation in the top sports campuses to speak and while he. Let me talk to the campus. Do a lot of if you would come to our events talk football for some reason as seems to be added choice. Sport for people come to fireman this football they do you know occasionally as golf sometimes is basketball but guardians the pop he has. No clue now Oakland. Whatsoever. You know he'll actually kick touchdowns and get to listen grown up I never had a football map slow and I don't know anything about it. Eddie BP is home that night. Around than in like it's like for it's it's my god what are. The plant the logo at a rate that the clerk at the that's fallen anyway. So. Urgent that the third in a couple weeks ago and in Cleveland right in Cleveland and we not enough and questions they came out. Which is and some more you answer. Them and. Sure sure dominant in their questions that would be great because you know chances are somebody has a question. You know and they and there's probably a lot more people that you know maybe that and even thought to ask the question. You know in we do have a three day event coming up in Charlotte as well right. We do. August 4 patents it. 98 at all glory days old and they want to read an entry what did they learn that the three and the it. Do you know what they. Do you know what is tall that are read it I'd do really I think I speak immensely but it's particles last week someone right. Through it and threw me the rattled at all. Let me in making offers. Options I. Date trading at separate action and shirt during. That tree in. And much more. When I put my hand over your but it. And that's why did this. Bruno had in laws and for people to register it and I'll ask that same question now and learn. We have an 181000. Where it. Unless they're from simulating. From the minutes bills later learned. No need for the that's on let's amounts yes you think and now on. That's funny. Students asked related questions and for those guys have been to our three day events you know that replace them bleary. And if you are just listen to show and he had a minions would play his game cost them Larry and it is exactly what it sounds like he does ask him questions about real estate. And he's gonna tell you see year legal professional for that. But on real they're related he's done about everything we get it's kind of questions and earn some rundown. So one of then is. The newest one dollar and I like this and what is that what is a point of sale inspection. That's a related question you know there's some municipalities. Cities when you're buying a property. Today when you're buying a property in a city. Typically. City is not gonna have a point of cell. Inspection. Unless. There's a lot of houses in this. And the purpose of a point of cell inspection. It is when someone sells property in the city. The city wants to make sure that the property is not just going to be sold and and not fix stuff. So in order to convey the deed to property the CD must inspect the property. And make sure. I to a right up on like a code violation right. And anything on that list. Will have to be completed within X number of days in depending on how big the list is a major or minor items are. You know the city will give view maybe fifteen days sixty days thirty days 45 days. Whatever all the repairs completed OK. So it's a point of cell inspection they don't do around here. Hearing that you know not something that I have heard. Really. From people that we talked you were only about half in Charlotte what do you BO RD list we don't how but in our area. To give you an idea that started a lot of it started. Back in 2007. Actually is gonna we're kind of started snowballing if you will. It have been done some areas but they've really started like cut in Detroit. Akron Ohio Youngstown. Ohio Cleveland Ohio. Some areas that. We called depressed markets that were depressed for awhile. And they did that so people couldn't dislike. You know sell their properties dirt cheap in the nobody fiction you know the mean they've got to be fixed that they're trying to trying to entitlement. Try and improve the community. Community and our movement initiative. That released and the glamour. Yeah I'm not CIA. Compute community improvement and they go through so that's who would appoint a cell inspection is now however we'll tell you how to avoid that. You can avoid. They point of cell inspection by conveying your property with the equipped claim deed. If you or property with a quick and income they sell it with a quickly indeed. There's no point of cell inspection required. However it's okay to sell it all right with that. However I would not ever ever ever by a property with equipped claim deed. Unless. I'm less. All the taxes have been paid. Taxes. And there was no code violation there's no liens and judgments against a property because a lot of a lot of properties. That have back taxes liens judgments and code violations they do come to me. By quickly and so those don't have to be paid close like a regular rules state closing. Everything's going to be pro rated to the date of sale. The seller is gonna pay the taxes up to date they sell it and in the bar's going to be responsible taxes afterwards. And with the quickly indeed none of that stuff is pro rated and you know the property can complain with backpacks is liens judgments and code violations. So a point of sale. Inspection can be avoided if you need to. Buy complaining of property with the quickly indeed however whenever guy. A property with the quickly indeed get a general warranty deed. A blast it's a buying gold property and individuals called a special work team or limited work which is okay that's to standard okay. So. We do have a three day event coming up in the whole three days as well personally buy me. And Candace will be there as well so we'll Ron David and team our our education consultants. They will be there and they'll be talking with people one on one help them create a game plan. So just give me she called she can tell you all about it she can you signed up for. Not gonna cost you an arm and a leg in this it would be told personally by me if I dislike because she's thing is that what. Google didn't get your students 97 dollars the registration even to get that back the week after the event. Yeah it's just a registration fees you will get that but it's just to make sure you're gonna show that was seven dollars for three days come home if you break. Pick up the phone right now culmination. Teller Larry says so. Not an act. To brag radio that the and it made there doesn't it. Singing and Joseph. He's coming you were thing in town I was Leon's not in there and put the I like this'll this'll be off of nine I didn't ask a question of it breaker we ended with the answer that. Right. I. Haven't done here. Chad deeply keyboards. No literally get their keyboard and don't you move your fingers around it looks real well it's very often a good job. And it. So what are we doing Candice. We've got more questions so the one or the other questions that came in from one of the last events. Is what is a zombie foreclosure. One well. I mean people let their herd of zombie foreclosure raise your hand. Unless your driving keep both hands a little. Money. So a zombie foreclosure. It's really kind of spooky residents have. Yes it into it. Well you know what what is a zombie. Well to me I'm talent Arum it's like that half half dead right is that what it is Ted the living dead the walking the living dead more the idea okay. So an island. So I think about this that's think about this so what what is zombie foreclosure and rules state. It would be. Half foreclosure. Rate actually at work are a living foreclosure. So I and let me explain explain Lucy it's like. Two way you know you wait too young to be using that quote. On. How many and yet when you were grown clean and in that. News out of it will be heard and pull out now. All right so meanwhile back at the ranch what is AMIS what is on the foreclosure. Let's say your house goes into foreclosure okay. The borrower quits making payments Ari maybe the house's rundown. Needs a lot of work. And and whenever property goes into foreclosure the people get delinquent. The bank typically will hire somebody. An asset manager were filled service rep and they'll send them up to number one verify occupancy. Okay is is the bar were still living in the private property but they're not gonna let their knock on the door and what's your name what are you doing here and all that stuff. They're just gonna verify occupancy. Rates steady job kind of a drop by yes maybe it you and Allen went there and hunt could be creepy. With blue moon. Car and keeping cars in Japan now the property. In Ireland. I've got to bring you. Analysts and Pam my wife did that one time machine to docket over there. Host of the column aren't on the way it's steered her so bad it's a lucky was in the she jumped in the car backed out ran over a big brick column. A yeah. Excuse me from the I'm worried about a Kazaa before closure so. Say that let's say that verify occupancy OK and there's nobody in the house the house's run them. You know the bank looks at the house in the closet and they're gonna verify. Verify the condition in the house and run them okay. So the bank says. We don't really want this house carry. We don't want that we don't wanna deal with the problems because if they take it back the heap about the city's going to be in case the gonna put code violations again. The city is going to charge back taxes. In charge taxes. They're going to write them for that the grass now been cut you know so if the bank for closes they're gonna have to do all the upkeep and maintenance and art and all that stuff to keep this appeal the case. Especially. In a market where it may be depressed market there's a lot of foreclosures. So what the bank would do. The I will simply stalled before close. Down the borrowers not paying. By buying instead of moving forward with the foreclosure. They're going to stall before closure. And just you know the bar were still owns the property the bank never for clothes that beat for closure today. Had a big hit how does it. The comment islands on the foreclosure like what ultimately happens today's sell it before they actually foreclosed in a bowl getting in. But what does it what does the bank did get out of this situation. There's a couple of things they can do OK number one they could shelled out delinquent notes okay. Let's say the bar were close a 100000 dollars or 8 AM but the property may only be worked. Thirty or forty or broken just as an example. Well the by my. And up sell on that note for maybe 20000 dollars okay they owe the bank a 100000 the borrower does. But the properties they can its rundown debate doesn't want it. They could sell that know so whoever buys that note then they'll have to go in and finish the foreclosure. Or contact the borrower and how to work a little to a loan modification or whatever but. But this abandon I mean if there's nobody in that their fathers that is not occupied. The likely had a fun and you know. The bar that was originally and it is slim to none. What they could find the borrower eventually but the likelihood of the bar or even wanting to. You know to a loan modification excellent and so basically you just buying a non performing notebook today. Now. The second thing the war. Eat it or you can also say OK so if you are buying. If you're one of the people that bias nonperforming us those are zombie foreclosure. Some of those could be a guest of actual mobile could be OK so. The other thing is an investor could come along see the rundown property. Inquire about it see who owns it try to reach out to them and then also try to reach out of the bank and negotiate a deal where they could. Get the deep from the cellar and then get Pia get the bank to take what's called a short sale on the property okay that's not there are. Yeah it's a long about a short sellers along by now then maybe they could do the same thing where they would get the bank to accept. Maybe 20000 dollar pale you know but that investor put the deal together by getting the deed from Baruch in the bank to to accept a short sell pay off. And and pick up the property that way but Islamic foreclosures basically the house that nobody wants. Maine then on a buyer can correct. Me. House that was a good answer massacring it was just there he was. You know as scary not still in La La means I guess it depends on my exit strategy with this weather out levee around them or not. Whereas like a zombie person Arnie no I don't hear them. Is another island so many ask yes. Or ask get the ads and stump Larry they said how do you establish that ARD and mine's an important. To question him first of all animals and. Share what they are obvious you know what that is like an actor fair value yet after repaired. When you're investing in real state okay. Some people wanna know what what he has his value is asses value is in a row okay. That means nothing zip zero nada OK. But the after repaired value. Is very important because you want to by OK you wanna buy edited the discount because he prepares and in Charlotte. Based on the ARP York after repaired side okay so the question was how to determine a RV. Yeah how does he ask how do establish how do you establish ARV. Can request. Okay so the first thing you could do is you need to look at sold cops Culp is short for comparable another properties similar. In size. Construction. And location. To the subject property that you look and okay. Usually like you would like for them to be calm and the saint street in the same neighborhood. Within a mile. Com I think appraisers like to have a really like to have within a mile but I think they're kaput somewhere around three miles of some but I'm not an appraiser. I don't know for sure about how would this several hundred appraisals in the last fifteen years and it seems like the best. Constantly can get our you know within a mile is really what they like to do not within the same neighborhood. That's exactly. That's exactly. So the best place to find those cops that the best free placed upon them is it a little dot com CI LOW dot com. Don't look at possessed him. As I asked them that means. Zilch. He knew what goes yes quality and ultimately don't know to fill in the letter to writing I'm so you know it kibo. You write your show about fashion. So. So go to zillow dot com. You type in that ad or basically the Palestinians it was just Google address okay you type in the address in Google hit entered the first thing is gonna come up is the. We're gonna witnesses going back. The called icing. On the AZ eight cents and Larry don't stick around Phoenix and it's in question on how to use. These mines and 877 married now. Welcome back. Keep it going to look at Ted is that this will vote if you want it to Chad loves them and view themselves with the people. I love the market itself. Many worry keyboard player. From way back from from a I. Could be. From late may that was Johansson bastion back. Joseph and access. Or humans busted on me anyway. And it. Did you about it with him a Sebastien the the exit row yeah. To have with him. And figure it didn't. And music filling out these. Well yeah that's what you do when you played in my right eighteen in life you get it there you go out there. One hit wonder thing right there but there's still have some more yeah I'll remember you boys see that you had this heat don't win. A distinction. Between. A that means you. Don't have the patrol rolled the wrong side of the control. And you. The wait till she puts her hand up like it's closed. Well. Let me show for. Does that to me. I'm not. This. Thing. And in the hall remember. Anyway I RA we were answered a question and get a break RB. How do you have a party at Google Earth. Google the address okay to establish after repaired value when you're looking at buying property. Go to the address the firstly is gonna come up as the street map. You wanna make sure this little pitcher in the corner with they for the street map and that'll show you that Google Maps has actually driven the street. And that it's all paved road that's all the dirt road that pitcher won't be there on a bar houses on dirt roads and applicable to our. Exactly I mean you know. Under the offer Derek you can see the pavement from the traveling annual match. It's on the firm believer keep it simple. Holes opened its easy to sail OK if it's over Abdur rose going to be harder to sell right so anyway. So the second link typically is going to be the Zoellick go to zillow. You click on the link go to zillow and as you scroll down you'll see a a neighborhood link. And click on that link it'll pop little map and zoom out a scrimmage. And then you'll find all of the other similar sold properties in the area today. And it'll tell you the others of course also that way. You can take a more into Louisville has tool which is which says get copper schools OK you can click on that leak as well. And you can pull out multiple car troubles. And when you do that you can it will average them you can and can't take them out one that looks and mergers ones that don't you take a mild. And then it will figure you're a yard field after repaired value. For use that greater war and death and now that's awesome that's awesome. So well that's the way you figure that after repaired value if you if you just starting out and you don't want to invest and so public real Questar shall than that we used so while they have. Awesome. Serious ask because we talk about at these at these three days we talk about our offer process and how we go through Macon offers but in the mentality make opera with analysts properties and things like that so many ask us what is our success rate. With all the offers we make. While you mean like how many offers get accepted vs how many Suisse and that's the way we answered it. Yet so it'll hurt the way I do this is. Especially on making bids on line like hard houses. I want to get the property and Pete Pete just because you were wholesale. If if we bought a house that 40000 that we hold so for fifty and that's they are bar's gonna put when he unit they'll have seventy unit. And it's worth a hundred they still have 30000 dollars and usable equity. You know I mean they're not make the program because in close and calls the rules that commissions and stuff like that if there or the money to pay interest. But they start with a gross of 30000 dollars and patent so. So we have to make a lot of offers great that we probably make you know. I don't know 150 offers a day but these are all automated. And all digital offers we have a VA mercy in the Philippines she system for a computer. Polls are spreadsheet. And all she's doing this that they're putting in bids and every day. All day long okay questioned in detail but she was about three hours okay. And everyday every day five days away she works three hours a day as she makes four dollars an hour she's in the Philippines. Okay. And she started out with a flick a dollar an hour supplements she didn't she has been with this long time. And she's just a sweetheart never talked roomful machine to slow in the eyes. It was rated and and. Or that his side judge. And where is mine at a real. High it reports rabbit but if you are in the hot heat I'm not prescribed it. But the only reason I know the name is as I've had many people tell me I should be yell at a so what's our success rate. If we put in. A 150 bids a day for a week we might get one to four bids accepted a week and that's because you were making. Low low low offers. I mean guys you guys out that list and you could make car offers we do. All right because we have a lot of adults defeats speak we acquisitions we have cells went over have been Hosni. You. Know. You heard it its way from it and it's. She ain't she knew I am I. Right. So I am glad momma got to get paid. So so we will we try to make 12151000. Dollars every deal. You know a lot of people out there will wholesale house to make 3005000. Dollars all right so you've been. Heard. Do you want it anymore deals a week now that's just don't ha okay now for making an offer only in the last. We might make just on the MLS we might make somewhere between one. 23 offers good day okay per person. And that person might get one week one every two weeks of supplement that. Now if I make it offers will tell you this at me personally make offers I'll probably get about 120. All right just because I'm going to be working with the real trouble at all to negotiate with them I'm gonna sell the realtor on selling meat to the cell Torre. So I can I can get a lot more accepted when I'm the one person on the fold. That's why I love train people see in that ratios in percentages go up. When maybe they were only doing one deal LaMont that you have to do 1235710. Deals well after we shall do to. And that was a long way to answer that but I hope that. Yeah I think it was and I think an answer their questions. And a very long way here right. What do you own ethnic violence in Maryland. We've only got ten minutes is not my favorite lines are really I think it what do you say when an attorney says you can't beat them. When an attorney says I can't do senator Harry goes deep in some. All this ago when all your attorneys listen this you're gonna hate me today. Anytime an attorney says you can't do so than the first thing I say is would you mind shall mean the general statute that says it can't do that. So. If an attorney ever ash you are ever tells you that you can or not allowed to do so than. I asked them to show you the generals that okay. Now. How a lot of attorneys that told me things like that over the years. So mobile have been able to show it to me and some of whom have come back consent issue were right you can't do that. So. Any time one match you make sure you just and I don't mean he has not like you really call them out or anything but really you wanna know you can put it. That way I'm religious term to learn so so share with me you know the general statutes likened to batteries are. Does that make cents. It does he says they don't have to policeman now when he pulled you over Purdue on them student in denial or show me the general that you were shows I was speeding. There are nine that if they're real thick questions and turning python thing. Experience you know now I would not saying that announcer that note some evil in anatomy and the Mets and art students in it seemed like the type that would push that element. Of relief over. That. On the sort of we got a three day event coming up. You need home EC 877. Literally go 877. Live Rico called Lacey she EU summit for the three day. She could tell you while we're gonna teach at the three days tall person about me you get to beat Kansas you meet our team may seem ready to stop by herself. She's my little soldier of fortune. And right yeah she's my remote retired marine at twenty years old and tattered. And she's also gonna show you how you can get a free investors here. So call Macy will be right back. Yeah. Welcome back to brag radio investing in real state to be rich and generous I'm wearing a candidate. As that term. Is that serious time. I love this segment wheelers so much about people that we worked with the people that we are working and Lance. And students that have kind of come through our system and network keeping in touch went and that they let us know how to do and and everything like that. We've learned so much about so many organizations in so many ways to be generous that. There are just not even commonly thought of but they touched somebody and there's people get involved with them every day. And down today. I know that you guys have heard us talk about pol on the show before. And and he's got a lot going on right now in. It's the only there and Paula thought. Hey hey. I doing. All the man the legend. And the myth. All of one person so me as a few racers that you might even have seen him and talk and Larry are doing some training videos. He's got some training ideas in them and our education here. As well he does and he's created some of our analyzer software yeah spreadsheets some of our our Odeo stuff as well. And Paul thank you so much for being you know today we appreciate it. They keep happening like you and me but I'm excited. Now all. Used to be used to work at our office full if you have heard us talk about it before he used to work at our office full. And now he's gone out on his old. He's financially independent. He's out there making it happened to win deals on his own now not that he wasn't doing deals when he worked with the cost but now he's just doing it full time and I'm really excited. All that you're able to do that but I used to call Paul my relational. Technology. And her mom made up remember that. That oh man a lot denser snow right. All is able to take technology. And real lead to real state and make it happen you know it's and it just blows me away some of the stuff that he can do. So while Paul what coach tells Wilbon about what you're doing and rules. So did I'm actually right they don't do a lot of recap shall call. It is two things that aren't they and we pointed out very clearly on the show that we don't be rehab and we don't we don't buy in Charlotte. But you guys is likely toady to everybody's got their own model and and this is what works for you right. That's exactly right now I love it I wrote author rebuilt Cutler archer he's restore torture well. And I just look Rick Warren thing though of these on the beat out what you can get dirty restore out. I'm dean Allentown and four point right now the clintons all the short while fielded the ball remarks. You're doing one new construction. Yes there did you about Lowrie had to pare it down and to do it in builder how about. Basically problem we have right now at this one won't won't take the root ball club it removed all the interior walls were around original exterior wall foundation. And it worked to rebuild everything loud. That's extensive. Was that the word I was a little thing I parading that might threat do you think. That is great to tell tells about the deal what are you gonna have an audience though for how much is the rehab. That. One actually. What were actually. They have a contractor. In the final numbers out purchased it one week. It's over in the jock who. These at university area which is the major integration area it's gone from 30000 dollar bill out as she happily involved at all. Crafted doubtful. Well yeah it is believe will happen. There's a market or Charlotte you know plot that would the very early stage. Here. All. The pop up the award by chipped it with a lot is that the foundation of the property. Law I'm going to put wind around 400000 dollars and rebuild audits will be denied practice Staal and are now. Won't take the root beer right now all of double. Where would agree and I'll make your second story were removing all injured walled reason laying up our ball more land. Call it that well. And they want that done I should be but never Donald re 25. Serial writes which is the Christmas you're in that area. With all the up to date on the market is what that these over that area right. It looking like the way Charlotte going right now I completely agree is easy but my numbers are down 325. That is great you wanna be conservative and I know I mean you're really good at picking areas and markets. That are from around. And I remember used I remember when you worked with us. You've done some deals are you did some deals where. By the time we got it rated the shell it was worth more than it was when you bought it. A few months earlier and you were actually able to set nutrients and you've prices in the market in the neighborhood right. That because that's exactly right I've done that over when there are autistic or not when you're when the market well actually they they get on board yeah. Are all you know they are not while busy street and I'd never buy a busy street and the one that was just too good of a deal. I've picked up warm up he waited to cut in the right areas east lake. Ball where it actually Beckett like the best they've put her up about people in the guide didn't want any more than 80000 dollars for the house. Aired a vocal bit into it and most recent call that will be used for my how. Is a huge issue that readers are sort of mine and he spoke to any. While I exudes that cute. So Paul I know your I mean you know. You and your wife home school your kids that you got a great wife and family kids' stuff. And I'm just really excited about how you get them involved tell us a little bit about what you're doing to be generous. It accidentally cool. You know I try to me that my life where I can win I want to. Ian what would look like there's little cooling off the win give you get one look I'm in that one I mean actually. Are all the past week whether we're in the beer. A girl. Why should all the partly out of nowhere. AMD and it'll look at how old are not trying to be doing the law. Structured much like the web out out preterm. And how outfit all I read that will. On to what happened cute contribute to their play with their kids want their act. We are actually it other family. People that we don't know what I'm just aren't cool stuff. So that one topic we're doing the ball a look at what people need help and trying to do here. All that we all while helping other ball well call that doctrine that technologically up to date. But what they argued that trying to actually help out on top but ouch. Number date if the Obama. You know got left knee didn't really get to you in the market that. Oh what they do now is. When I know what our problems are putting in all property. Information packet on I agree there. Pretty happy days are involved. Not prop eight outlaw. Went to England area and they go up in the fuel the ball well. For people who don't want people water their war walker considered commercial. World. But is it accepted as it did well. So ones who are doing is actually got the information packet out and actually going to take part of my own property. It has been linked to country community. That's awesome call which you don't know though an acute just mentioned veterans back. Last. Last week's show we had kindling the own. We worked at hand we worked with him down and spotlighted his company for and almost a year now and they do tremendous for x.s and is great that you're working with women in trying to get that aspect of his company and YouTube got the time. And to do that to put forth an effort in into a nonprofit like that as well as give back to what was the name of that hydrating humanities and. Hydrate humanity get it has not about the I worked with him for quite a while actually work Berkshire bought one are many years ago he had it started there out of the church. The guy who started at sea are all. I thought to catalyst partners children back up a target to reach Turkey are on about all our cold water. Are in need it just they they don't. Happen over there leader eco. Certain wording about hope and homes which are going over well one of the real well it certainly. Ian if he doesn't it leaders after all the public education work you know. But it is water also get education that's actually better ability to. Thank you so much Paul we really appreciate your vehicle today. For more information about what Larry in Kansas discussed on today's brag radio leaving the world to be rich and generous got to brag radio dot com. You can also call 877 Larry gopher for investors get. Or to schedule a tour of the office or get more information on upcoming events that's 8775277946. Tune in again next Saturday as best selling real estate investing author Larry Collins and co host Candace teach you the latest strategies and techniques the pros used to make money real estate it's ranked radio leaving the world to be rich and generous on news 1110993. WTC.