How To Buy Cheap Houses With Larry Goins
Episode 516: How To Buy Cheap Houses With Larry Goins
Are you looking to buy a cheap house for yourself? Is your purpose for selling and earning extra income? Listen to Larry Goins as he shares his 35 years of experience in real estate. Larry is currently maximizing his business, finding the right deals, handling calls, emails, and television advertisements through the help of virtual assistants. He is also conducting webinars that teach people steps for passive income, free and clear! Do you know how to pick the right market and choose the correct listings? Tune into this episode to learn more!
Watch the episode here:
I’m here with Larry Goins, my good friend. We have a lot in common. We’re both backwoods country dumbasses who like to write songs and buy a lot of houses. We’re going to be talking about how to buy cheap houses and what goes into that because nothing happens until you buy a house. We can have all the theories and everything you want, but until you get a house on a contract, it’s all for nothing. We’re going to start where the rubber meets the road at buying a house.
Larry has been in the business for a long time. I know well enough to say this. Neither one of us claim to know everything about anything, but we do have a lot of experience in these venues that we’re talking about, which gives us some clout because if there has been a mistake to be made, we’ve probably made them and then had to undo them or figure out how to not make those mistakes again. That’s the whole point of this brain consortium. It’s many years combined of what not to do. Let’s kick-off at the beginning. Larry, you’re sitting physically in what city and state?
I’m in Lake Wylie, South Carolina, right across the state line from Charlotte, North Carolina. We’ve got a small office here. I’ve got a small team. We still buy and sell about 7 to 12 deals a month. I got a contract offer accepted. That’s what I do. I love real estate. I do teach occasionally. I don’t travel, speak and teach as much as I used to when I stopped doing my own events right before COVID.
I got a couple of girls in the Philippines. I keep them on Zoom all day long so they could talk to me. They’re my setters and they’ll tee them up for me, gather seller information, property info, motivation and all that. They’ll unmute themselves and say, “Larry, can you take a call?” They’ll transfer it to me live, stay on the phone and listen. Now, I even have them make offers as well. It works out pretty cool.
What a neat idea to have them on a screen all day long in Zoom, like if they were sitting in your office. If they got a question, they unmute and ask you the question. If they got something hot, they say, “We got a hot one here. Do you got time to chime in?” That’s brilliant.
The coolest thing about it is it makes them feel like a part of the team. The only thing they can’t do is physically be here and have a meal with us, but they are a part of the team. They’ve been with us for many years.
To your point of what you said, a lot of times when people don’t have the camaraderie or they’re not involved in the culture of the business, they drift off and lose interest. They feel disconnected. That’s a great way for them to be connected. They have to show up. You would know if they weren’t there because sometimes it’s a problem when you’re dealing overseas. I don’t know why I hadn’t ever heard of it or seen it before, but that’s a good idea. The key is finding a deal. We’re going to be talking about a webinar that’s coming up. It’s methodically thought out. We’re giving the highlights. If you guys want to be on this webinar, you go to 1000Houses.com/Riches.
We got a giveaway for you. It’s a one-page offer to purchase. If you want to know what that one-page offer is, there’s a chance to go get it right over at 1000Houses.com/Riches. You also have a chance to connect with this webinar that’s going to be going on here in the very near future and get the ABCs all the way from A to Z, exactly how it works in order. We’re going to brief you with it in this episode. Where does finding cheap houses start in your world, Larry?
To piggyback on what you said, the webinar is going to be all about how to make more money on a rundown $5,000, $10,000 or $15,000 house than the average investor makes on a $100,000 house guaranteed. It’s similar, but it’s different from what you do. What you and I do are similar in some ways, but they complement each other. That’s why we work so well together.
I’m excited about the webinar that we have coming up that we’re going to do live for everybody and share with them how to make triple-digit, even infinite returns. It’s going to be a little twist on what you do. I love what you do as well because I listen to your show when I’m running or walking and I’m taking notes and writing the stuff down. You got some good stuff out there as well.
To get back to your original question, where does the deal start with? Now, you’ve got to get off-market properties. You can’t be buying many properties off the MLS or HUD. I wrote a book about HUD houses, HUD Homes Half Off: How to Buy Them for Pennies on the Dollar. There are not many of them out there now. I don’t care if you do direct mail, RVM, Ringless Voicemail, SMS, text messaging or cold call. It doesn’t matter.If you love doing real estate, you want to learn more about how to do it. Click To Tweet
The first thing you got to do is you got to be in the right market. You got to pick the right market. I’m in the Charlotte MSA. Charlotte is right across the bridge from me. We’re right next to the lake. I haven’t bought a house in Charlotte in 5 or 6 years. I’m a firm believer you go out 2 or 3 counties outside of the MSA and that’s where you get the deals. I got an offer accepted. I told you I had one accepted. I had two accepted now that I think of it.
One was for $35,000 for a 5-acre lot. The lots are going for around $15,000 or $20,000 an acre over there. That’s not a bad deal. I got another property, a single-family house that has been vacant for 4 or 5 years. I got it for $7,000. That’s two deals. I’m a firm believer in going out into small-town USA. You have less competition. You’re dealing with salt of the Earth people. You’re not dealing with the big competition like you have to deal with in the major MSAs, where all of the big companies are that have teams, salespeople, acquisition people and disposition people.
When you’re going into small-town USA, you’re dealing with Bob, Mary and Jim. You’re talking junk to them and having a good time with them. It’s all about the relationship. It’s not about, “I’ve got eight other people giving me offers. What’s your offer going to be?” It’s not that at all. The first thing you’ve got to do is pick the right market and then you’ve got to pick the right list. I’m a firm believer in having the right list to market to.
Here are some categories that I like in my list. I want under $100,000 value. I want free and clear owned by an individual for at least five years. With it being free and clear, I could make multiple offers on that property. In fact, we sometimes make 3 or 4 offers on every property with every seller that we talk to. Of the 7 to 12 deals a month that we buy, about 1 to 3 of them I buy with 100% seller financing and no money down.
When I named my company Cash4Houses.net, I did that because we’re supposed to make four offers on every deal. There are four different choices. I don’t care which one they pick. You said the right market and I get that. The list is under $100,000 free and clear and the owners have had it for at least five years.
It’s not anything out of the ordinary. I like under $100,000. I want it to be in free and clear. I want it to be non-owner occupied. I don’t like owner-occupied stuff. I like vacant properties, maybe the rental-owned. A tired landlord is one of my best sellers because they’re tired. They don’t want to pay taxes when they sell the money.
They like the cashflow, but they’re tired of dealing with tenants, trash, termites and toilets. They’ll sell me those properties all day long where I could set up the terms. I can pay them their price and give them no interest, 3% or 5% interest. I can keep their payment about 50% to 60% of what the rents are. I can sell that deal all day long or I could keep it for myself.
Let’s talk about that. Those landlords that don’t want any more have run their course. 1) They may have multiple properties to sell you. 2) They understand cashflow, lien law, how they’re protected and that it’s okay to take their money and payments. Last but not least, a lot of them have already made it into a certain tax bracket. They understand the importance of not taking the lump sum that they spread out over the years. Landlords are a good place to go if you’re looking for seller financing or someone to seller-finance you the purchase because they have a lot going for them in that department. You don’t have to explain a bunch of stuff to them. They get it.
The cool thing about dealing with landlords is I say, “I want you to write this down. The IRS has this term called installment sale. It says, ‘If you sell your property instead of selling it for cash, if you receive your equity and monthly payments plus interest, you can take what’s called the installment sale and spread out your tax bill over the life of the term of the loan.’ Would you like to hear more about how that works?”
I start putting some numbers together or whatever they ask for the property. I give them exactly what they want for the property and I say, “The banks are charging at about 2% to 3% right now. I can make my numbers work and pay you 5% interest.” I figure out the payment. Let’s say the rent was $1,000 and I’m going to be paying them $550 a month. I stretch it out whether it’s 10, 15 or 20 years. I also quote them the total payback, “You’re going to get $548.29 a month for the next 240 months. Your total payback is $128,277.”
You don’t say, “If you die.” You say, “If God forbid something were to happen to you, your wife or son would keep getting that money every single month just like clockwork until you received all that $128,000 or whatever it was.” They like that. Most of the people that you buy it from that way are in their 70s and 80s, “I’m not going to live that long.” “Let me ask you a question. Would you rather outlive your money or would you rather your money keep going after you? Would you rather your money outlive you?”
That’s a very good reply because most of the people that are up in years, their biggest argument is, “I’m not going to live long enough to get all that money.” You say, “That’s a perfect answer. Do you want to live longer than your money or do you want your money to live longer than you?”
Here’s another good one too. I say, “Some of my sellers tell me quite frankly, if something happened to them and their kids inherit the cash, it’s going to be gone within 30 days. This way, you know your son and daughter is going to get a check every single month and it’s going to last much longer.”
That’s a good reply, too, because most people who don’t earn the money will blow through it pretty fast. Heaven forbid, they have a propensity for drugs or something. That amount of money could kill them. You got your list. You found your market. You have your list in the market. What happens now? I’m guessing you turn them over to the VA. They start doing some kind of work. What are they doing?
We can either do postcards. I like to send out direct mail. Here’s what I tell people, “What do you have more of, money or time? If you have more time, cold call. If you don’t have money, cold call. If you have more money than you have time, then do direct mail or some of the other things to make the phone ring because I like to make the phone ring.” Now, our two main sources are TV. We spend about $8,000 to $10,000 a month on TV and we do some direct mail. We mail out about 30,000 postcards a month. We make the phone ring.
Even in our TV ads, we tell people, “Call us right now. We’re the ones you’re going to talk to on the phone. It’s Candace and me in the TV ad.” You know Candace. She goes out to take a look at the properties. Once we get locked up under contract, she goes out and does the property eval. She might have to get the contract signed, but most of the time, we try to get it signed through RightSignature or a mobile notary upfront. She goes out and walks the property and takes pictures with them. We tell them, “We’re the ones you’re going to be working with, not somebody else. You’re going to be working directly with us.” That’s pretty cool. It gives you some legitimacy and they’re like, “Are you the guy that’s on TV?”
What do you have your VAs doing for you?
They’re what I call setters. We have a set and close script and they’re the setters. They tee them up for us. What they do is gather all the property details, look up the tax ID number and find out whose name the property is in. They get all the information about the repairs, “What has been done in the last couple of years? What hasn’t been done? What does it need to have done? Is there anybody else involved in the decision-making? How soon do you want to sell? What’s more important to you, quick cash sell as is or getting the most amount of money even if you’ve got to wait a while and fix it up? Is there anybody who is going to be upset if you sell? What do you plan to do if you can’t sell?” It’s all those kinds of things. Right from the Philippines, they chat me the link and then transfer the call to me live. They stay on the call so they can hear me. Now, they’re closing some of their own deals.
That’s one of the advantages of them getting to hear you because they learn how to talk to the people.
I’ll always start out my call and say something like, “I understand you’ve been talking to Jean about your house. How did Jean treat you?” “She is a sweetheart. I love her to death. She is a great part of our team.” The people on the phone won’t even know they’re in the Philippines. They have no idea.
There has been so much going on in the Philippines. You could go through third parties who would hire and train. There are so many Filipinos that have gone through these programs who have worked for people like me, Larry or other people. They’re out there all the time. Nothing is easy. You can usually find the right person for your business if you get out there. I have been using the website OnlineJobs.ph. That’s how I find some people.
I’ve had some people from OnlineJobs.ph.
Surprisingly enough, a lot of people that answer my job position opening have worked for years for other people. They’re very familiar. You don’t have to train all of them from the beginning. A lot of them know how to do a lot of stuff.Keep your money going after you. Click To Tweet
I’ve used many over the years, but now I use VLM, Virtual Lead Managers. They’ve been trained in advance. I know the owners of it, Christina Krause and her sister, Brenda. They’re awesome to work with. They train them for real estate up front and they also have weekly trainings. We also have weekly trainings as well.
On Thursday morning, right after our morning meeting, they’ll spend 45 minutes or so and they’ll go through some kind of training. Mitch, it might be your training. It might be Closers Olympics or Steve Trang’s training about sales, negotiating and handling objections. On Friday, we do call critiques. We call them Plus Delta. They’ll pick one call from each person and listen to it. The whole team will be on Zoom listening to it and they’ll say, “What did they do right? What could they have done better?”
You’re keeping those VAs engaged and growing. Their minds are fully engaged all the time. I know it’s a commitment, but that’s probably a large part of your success right there.
They’re doing a great job. We’ve got them on our website. Their picture, direct phone number and email address are on our website. If you go to our website, you’ll see them right there on our website and they love that. They’re part of the team.
The Filipino culture loves being part of that team and making a difference for their boss or the company, which might be hard to understand from an entrepreneurial setting over here in the United States. That’s their culture and that’s important to them. Do you do any skip-tracing? Do you use a skip-tracing company or you’re calling people?
Yes, we do. I’m in a couple of masterminds. There are a lot of different skip-tracers out there. A lot of people are like, “How cheap can you get skip-tracing?” It’s not all about how cheap you can get it. There are some out there that you can get for a few pennies, but then there’s more expensive and most expensive. A couple of guys in the mastermind had done some research on all the different skip-tracer sources.
What they had found was one of the best ones out there was Skip Genie. It’s the most expensive, but it’s one of the best. They get a very high hit rate as far as like. If you upload a list, they’ll be able to skip 90% or 95% of them. The next in line was Lead Sherpa. What we try to do is we will skip them with Lead Sherpa and then skip them with Skip Genie, the ones that Lead Sherpa didn’t get a hit on. Lead Sherpa also does SMS marketing. I know you’ve got some of that too. You use LiveComm. I’ve used that before too. It’s an awesome service. I love the way you use it to sell properties too.
I got mine down to four days on the market. It’s a little evolution. Larry Higgins over at Skip Genie is a good guy and a good friend of mine. I liked your cleverness. You used a little bit cheaper one. If you get a hit on the numbers, that’s fine, but the ones they don’t get a hit on, you move that remainder over to Skip Genie. At the end of the day, you need the phone number or nothing works with that information. It doesn’t matter if you pay $1 or $10 for it. You’re not buying anything if you don’t start connecting with people. You got to get good information.
We found that there have been people on our list in our database for a year or a year and a half or even two years. We’ve called them, sent them postcards and done everything, but then all of a sudden, they’ll call, “I happened to see your TV ad.” Come on. We’ve been calling you, texting you, sending you a ringless voicemail and sending you postcards for two years. You see us on TV and now you’re calling?
On the webinar, what are you going to be teaching? I heard it’s about an hour and a half long. Is that right?
It’s about a 90-minute webinar. I’ve had more people get started with this one method I call Filthy Riches. It’s all about finding dirt-cheap houses, turning around and selling them for 3 to 6 times what you paid with owner financing and reasonable down payment. We’ll go into detail on the webinar the way we do it and structure our deals. The way we structure our deals and work with the sellers and buyers is not only are you getting triple-digit returns, but I can show you in twelve months, you can have over $12,000 a month of passive income coming in free and clear.
If you’re not as aggressive, it might take you 24 months. If you’re a little lazy, it might take you 36 months, but I can show you how to do that. We’re going to go into detail on that and I’m going to show you step-by-step. I’ve got nine simple steps that we’re going to go through step-by-step on the webinar, 1000Houses.com/Riches.
When they go there and register, we’re going to save them a seat. Make sure you get a pen and paper and take lots of notes. We’ll do some Q&A if you want to at the end. We’ll make sure that you get all your questions answered. I don’t care if you can barely spell real estate or you’ve been doing real estate longer than me. I guarantee you’re going to learn some things you never knew about real estate.
That’s from that many years’ worth of experience in that very niche. Few people have spent that amount of time developing Larry’s niche, just the same with the niche that I’m in. Few people have spent years in seller financing their properties to their buyers. Not a whole lot of people have done it.
Since you mentioned how long we’ve been doing this, I had a student a while back. He told me, “Larry, I never get on webinars. I don’t do this. I’ve been doing this business for fifteen years. I don’t need this stuff, but something about your webinar intrigued me. I wanted to get on it.” He had sent me this email and he was like, “After watching your webinars, going through it and taking notes, I came to realize I didn’t have fifteen years’ worth of experience. I got about 1 or 2 years of experience repeated fifteen times.”
I was like, “This guy gets it because I’ve been doing this for 35 years, but I’m still learning.” I watch podcasts. I subscribe to your podcast and there are other ones out there. I’m watching webinars and masterminds and buying courses. My credit card statement came in and my wife said, “What’s this $997?” I was like, “That’s a real estate training I got.” She said, “I thought you teach this stuff.”
You only need one nugget to change the whole way. If you’ve been in the business for a lot of years and have done a lot of transactions, it gets harder to find a nugget. When you walk into the seminar, it’s a little harder because you know a lot of things already. The only reason you’re going there is to find one nugget out of the whole weekend. It’s something you didn’t know that could improve your business. Larry, have you ever been to a webinar or seminar and slapped your forehead when you heard the nugget and said, “If I had known that trick in the last fifteen years, I would be worth $150 million?”
As we were talking, I pulled up my notes from my iPhone and typed in your name. I’m like, “Here’s a whole page of notes right here with your name at the top. See? This is good stuff right here.”
One of the last ones I fell into was when I learned that you could collect the note servicing fee in with your PITI payment. You could collect PITIS or Principal, Interest, Taxes, Insurance and Servicing and make your buyer pay for the note servicing company. I had serviced thousands of notes, but at the time someone showed that to me, I thought, “It’s $30 or $50 a month per note per month.” Everybody, it was worth hundreds of thousands, millions of dollars. I didn’t know where I was or how I didn’t find that until a long time down the road. I was slapping my head like, “If I had known that, it’s a whole lot of money.”
You took it one step further. Is it your daughter in the note servicing business now?
Yes. It had to be that way because I was collecting the money, but if I collect the money, principal and interest, then they might add that $35 servicing fee to my APR because it’s going in my pocket. I had to break out the note servicing company to someone who wasn’t me or my company to still collect it.
In the case you were audited, it wouldn’t be usury or something like that. I get it. That’s awesome and very smart.
Those are some of the things you learn when you’re going to these seminars. That’s another thing I learned at a seminar. They said, “You probably can’t collect all that money and the servicing fee yourself because they’re going to add it to your APR and hold it against you in the Dodd-Frank rules.” I said, “I better get that fixed.” When is this webinar going to be? Have you set a date yet?Even if a long time has passed since you’re doing real estate, you’re still going to learn new things every day. Click To Tweet
I’m not sure exactly when the date is.
Your people and my people are working on figuring it out now as soon as we get this over to them, but I understand it’s in the near future. Go over to 1000Houses.com/Riches. Be sure to find that date, go ahead and register for it. Also, I want you to go over there and get your one-page offer to purchase. You can see what Larry uses as a routine over and over again to buy all these properties. If you don’t have a contract or you’re not happy with one, take a look at his and see what he’s got. It’s completely free. What else do you want to talk to us about, Larry? What do they need to know out there? How many deals have you done in your career?
I believe it’s over 1,000 houses. I’m not sure. I haven’t kept track, so I say somewhere close to 1,000. I know you know you’ve done well over 1,000. I was traveling so much for a while, and I had other people running the real estate business. We had a big operation at one time with 26 employees and all that, but we weren’t doing near as many deals as we’re doing now. I have done deals in twelve states. I do know that.
I bet you’ve done way more than you think you have because I had no idea. The only reason I figured it out was I sent someone down to my storage facility where I had all my files stored. When I walked in there, I was blown away by the stacks of files. I was like, “Holy crap,” because I had to find something in one of these files. My first inclination was I’m never going to find it. I sent someone down there to count all the files and I did the math. That’s the only reason I know and it was way more than I thought. I’m pretty sure you’ve done way more than 1,000 deals because I know how long you’ve been around and how prolific you are.
Sometimes we buy packages of deals. I call it a 6-pack or 12-pack of houses.
Get over there and get your one-page offer to purchase and make sure you sign up for the webinar, 1000Houses.com/Riches. It’s about the nine steps to wealth. Let’s talk about this. Everybody starts out and they want the money and the big hit. They need to get some money in their bank account, but eventually, every real estate investor comes to the same conclusion, “It’s just a job until you learn how to create some cashflow that comes in, whether you get out of bed that month or not.”
That’s another important thing that Larry is going to point out to you in this webinar is how to get $12,000 a month coming in. I wish we had an audience so we can see, but if I asked this whole audience reading to raise their hand, “How many people could live comfortably off of $12,000 a month?” I bet you that 95% of the people in this audience could quit their job and be better off.
My wife will not spend money. She is good at saving and investing money. She runs her own hard money lending business and we use our own monies. It’s not even like we’re brokering loans or anything. She does well lending out money part-time. Don’t get me wrong. It can be some work because she goes out and does her property inspections herself, but she is making a good return on our money and taking good care of it.
I came out with a book called The Art of Private Lending because it’s the next easiest thing to do once you figure out the business, real estate, liens and network. I did it for two reasons. You’ll appreciate this. I’m teaching people how to make 12%, 14%, 16% or 18% on their money if they want to go to work. If you don’t want to go to work and you want to make a premium rate of return, like 8%, 9% or 10%, you can call me and I’ll apply all the things that I’m talking about here to protect both of us.
I’m using it not only to teach people how to make over-the-top returns for themselves if they want to go to work, but how to have a passive income by loaning it to someone like me or Larry if they don’t want to go to work. They want to keep playing golf, but they want to get a good return on their money and have more of a passive income. That’s why I wrote the book.
I got to share a victory with you. I probably only have 150 copies out. I already got a phone call from a man in Dallas that said, “I read your book and I got $150,000. I want a loan. Can we meet?” I said, “Yes. How do you know me? Have you been following my blogs and podcast?” He goes, “I don’t know you. I just bought this book.” From reading the book alone, I picked up a private guy. Do you operate off your own money now or do you use any OPM?
I borrow money from my wife.
For the majority of the people out there, let’s dispel the myth right now. When you first started and you didn’t have any money, what were you doing?
You have to use OPM.
If you think you have to have money to do this business, none of us would have ever been in business because none of us had money when we started. I only know of two guys that had money when they started and they had a lot of money. They ran through it and lost it all. They had to learn the business and build it all back, learning how to do it with no money because it’s too easy to spend your own money and do things loose when you don’t.
When people come to me and say, “Mitch, I want learn how to do this business. I got $500,000.” The first thing I tell them is, “Take the $500,000. Go put it in a two-year CD. We’re going to learn how to do this business with no money. If you learn how to do it with no money or none of your own money, then you’ll understand the business and now you can go get your money and not lose it. You’ll understand what to do.”
Raising private money and being able to talk to people about private money will change your whole world. If you don’t learn anything else in the world, you have to find deals because what brings the money is the deal. It’s not even about you, your bankruptcy, what color you are, you don’t speak English so good or you haven’t been in the business. It’s the deal that will bring the money.
If the deal is good enough, people are going to want in on it and then you got to find the money. It’s finding, funding and selling. Those are the three things. Don’t ever forget to treat them equally in importance because funding is everything. You get a bottom list or you learn how to be good at finding OPM or finding the source where you’re going to fund your deals. You can run flat out now and buy all the deals you want. It will change your life 100%.
I’m glad that you wrote that book because you and I both know there are people out there. Maybe they’ve done 2 or 3 deals and all of a sudden, they’re an expert. When they start using other people’s money, if they haven’t gone through some school of hard knocks, they’ll overpay for properties and put other people’s money at jeopardy. That’s why it’s very important for everybody reading this to work with somebody that’s got some years of experience under their belt and knows what they’re doing and has stood the test of time. That way, when you do write that check, you know that they’re going to treat it as if it was their money and they’re going to be conservative with it.
The number one rule for me was, “You don’t have $26 million of private money out right now on the street.” I make payments on $26 million to private lenders on the first of every month. It’s non-recourse collateral-only loans. I can wrap this mortgage at real decent rates for longer periods of time like 10 and 15 years.
One of the reasons for my success and I know that you have the same school of thought, “Just because you have a bunch of money, either from other people or in your own bank account, doesn’t mean you change your underwriting guidelines.” You’re still going to buy houses at this rate, this level or this amount risk. You don’t start changing it because you have a lot of options to get money. You stay with the formula that made you successful.
You don’t pull a Zillow and go spend $7 billion paying retail for properties that you’re now trying to dump below market.
I can’t even believe that story. It blows me away. When I first saw the formula what they were doing, I said to myself, “These guys are going to go broke. On every single one of these houses, they have no idea what can happen to them.”Make sure you know if you have more time or money. Click To Tweet
One of the guys in a mastermind we’re in was buying some stuff from Zillow now. I went on Zillow and started looking at the properties. They own 78 in Charlotte, 92 in Raleigh and 246 in Atlanta. I went through and looked at about 30 or 40 up because there’s a button under the More Section. You can click on Owned by Zillow. I did that and I searched about 30, 40 or 50 of their properties. Over half of them are listed below what they paid for it.
I couldn’t believe the prices that they were paying for it. These are $300,000, $400,000, $500,000 or even $600,000 houses. There’s no room in these deals to make any money. I have no idea what they were thinking. The guy in our mastermind is out there making 60%, 70% or 75% of asking price offers and he has bought 2 or 3 of them like that. They’re ready to sell.
It’s another case where it’s not their money, “Let’s try something. If it didn’t work, who cares?” If a private guy loans me money and it doesn’t work, I’m going to be dead before it doesn’t work because that’s my whole reputation. If I don’t have those people in my corner, I don’t have a business. You and I look at it quite differently.
I appreciate you having me on. This has been a lot of fun. I’m looking forward to the webinar we’re going to do too. That’s going to be awesome.
We’re going to do this webinar. Go to 1000Houses.com/Riches. Get over there and get your one-page offer to purchase. Sign up and get registered for the webinar. Anything else before we go, Larry?
Let me tell them about that one-page offer. When I’m on the phone with a seller, I say, “I’ve got a simple standard one-page agreement. It says I’m buying your property as-is for cash. I’m paying all closing costs. There are no commissions and I’m paying the attorney fees and all that. Even if I’m buying on terms, it’s got the terms built right into it along with my clauses, like non-recourse, fully assumable and first right of refusal if they sell the note. It’s all those good terms that you want.” That’s my one-page offer to purchase and it says at the top of the one-page standard agreement.
When you go over to the show notes, you’ll be able to get that, download it and use it for yourself. I don’t know the laws in all 50 states. Check it out with your local real estate attorney that you use to make sure there’s not anything that’s left out or you need to add for your state, but I haven’t heard anybody yet that can’t use it. Go over there and download that.
I would like to thank everybody for stopping by to get you some Larry Goins. Make sure you sign up for that webinar and get your one-page offer to purchase at 1000Houses.com/Riches. I would also like to thank LiveComm.com for sponsoring this episode. It is all about smartphone numbers that capture incoming caller’s phone numbers and then being able to take that whole distribution list of captured inquirers and text them for $0.02 apiece to tell them whatever it is you want to tell them.
It’s the cheapest bullseye ever. Someone has called on your sign or ad. You now have their cell phone number. You can text them for $0.02. It’s a hit right between the eyes. You get to tell them about the other houses you have for sale or any opportunity you want that makes sense to be delivering to that person. It has cut my days on the market down. It was nine days before COVID and something happened in COVID. Now, I’m averaging four days on the market with 200 houses.
I’m using LiveComm in conjunction with a Facebook Business page, which they’re all pennies to deal with. It’s ridiculously cheap. I used to spend a lot of money trying to sell houses to put in classified ads. I don’t spend hardly any money now. Check it out, LiveComm.com. There’s a video on the homepage. It will give you a clue. This works for almost any business that would like to have the phone number and be able to text the customers that called them. What business doesn’t want to do that? I appreciate you, Larry. We’ll see you on the flip side at that webinar.
Thank you very much.
- 1000Houses.com/books (Get Mitch’s New Private Lending Book)
About Larry Goins
Larry has been investing in real estate for over 30 years. Previously, Larry served as president of the Metrolina Real Estate Investors Association in Charlotte NC, a not-for-profit organization that has over 350 members and is the local chapter of the National Real Estate Investors Association.
Larry is an active real estate investor and travels throughout the United States speaking and training audiences at conventions, expos, and Real Estate Investment Associations on his strategies for buying and selling houses. Larry has also written several books on real estate investing that are available wherever books are sold.
Larry and Kandas are also the host of the BRAG Radio Network. BRAG is all about investing in real estate to Be Rich And Generous.
Between speaking engagements and mentoring other investors, Larry oversees the daily operations of his investing business that wholesales properties, seller finances properties and holds properties for investment.