All Forum Posts by: Dustin Verley

Gang, EVERYONE, I respectfully will tell you to read this message if you want to change for the better.

If I tell you all that you are wrong, I get resentment, so I am trying to say it in a polite way...

Let me show you this:

All these leads are free. I do not find them. They find me. I am not "persistent" and I don't "follow up", (they follow up with me), I do not lift a finger, I don't do ANYTHING. They just come to me.

The reason why SMS, cold calling, and driving for dollars etc. etc. don't work is because NONE of these strategies can target motivation. NONE.

In fact there doesn't exist a way to target motivated sellers,. NOTHING. No batchleads, propstream, forclosure list absentee owners list, no nothing.

Do you know what I truly hate?

SOOOO many of you get nowhere using these strategies, but everyone stays quiet. If everyone started coming out and acknowledging that this crap doesn't work, less people will fall into the clutches of these gurus misleading the masses.

Again, do you truly think you are the exception? No dude. millions are struggling.

Stop chasing random people and hope they are motivated. What kind of strategy is that?

The ONLY way to reach motivated sellers is for you to make it easy for them to find you. That is the ONLY way.

Think facebook ads, think SEO, etc. etc.

Also people should stop saying things like "it is a numbers game".. as if that makes it OK. 

There is absolutely ZERO strategies in counting on a "numbers game".

Furthermore let me prove to you mathematically, that it is NOT a numbers game.

If you were to cold call half the nation, then yes it COULD be seen as a numbers game. When your audience sample is the entire nation and you reach out to a significant portion of that sample audience, then this could approach a numbers game.

BUT how many people are you truly reaching?

There are 209,128,094 adults living in the USA. How many people do you call per month?

100,000?

Well that is 0.00478% of the population you are calling.

This is SUCH a small portion of the entire sample, and chances are you will have ZERO motivated sellers in your subsample of 100,000 people.

So it is NOT a numbers game, right? A numbers game implies that it is 100% certainty that there is at least 1 motivated seller in your targeted audience.

If I have a pond with ONLY red fish in it, and you are fishing for green fish (but there are no green fish in the pond), is it a "numbers game"? Will you eventually get a green fish if you keep fishing? NO! It is only a numbers game if there IS a green fish in the pond!

But what rule implies there is? It is a mere assumption dude!

When I read people talk "numbers game" it hurts my soul. NO people.. I know you mean well and it is so awesome you all take the time to offer help... but you are wrong. Not opinion, this is data! This is YOUR OWN data. Your own data tells you it is not working... yet you are surprised when it actually does not. So friggin weird people are.

You all know before even trying all these strategies that your conversion rate WILL be less than 1%, but you do it anyways, and then you are shocked that it is not working. I TRULY do not understand you humans!!

If it was a mere numbers game don't you think a lot more people would be successful?

Yes right?

NO ONE would be afraid to spend their last fortune on cold calls because the more calls you make the higher chance you get a deal. Everyone would then simply spend $30K on cold calling and they should make $300K in return. But no one does that. Not even the people that replied telling you that it is a numbers game.

This is the mistake you all are making.

He over there got a deal using texting to the foreclosure list.

And Linda over there got one, DMM the absentee owner's list. And Gorge over there, he got one driving for dollars.

Now, this is what you all do...

You selectively grab and collect ONLY the people that have gotten a deal, put them into one bucket and say: "SEE it works, these strategies work, I have 3000 people in this bucket here that got a deal".

But that is obviously not fair, right?

You have a pond with red fish blue fish grey fish orange fish, and you selectively only pick redfish and then conclude, that the point only has redfish.

What you should do is throw a net, and see what you get.

What you should do is ask 1000 RANDOM people that do all these strategies and then ask them how many of them do REPEAT deals doing these strategies.

Even if you just asked 1000 random people if they got a deal, never mind "repeat deals" the number would still be extremely low.

THAT would be a fair assessment of the strategies right?

Hope you all learned something here...

Think... success will follow!

 I have a few in Sharon Hill. They are ok, but I find the tenants to be a little tougher. I like a little further north better, in Collingdale. I am not a fan of Chester or Eddystone. There are plenty of people that make good money in those areas, but you need to be ready to deal with tough tenants. 

I wouldn't expect much to change, I think investing hoping for a change in an area can be risky.

 Thanks Scott, appreciate the advice. I've been in the process of signing up for a convention and looking into other meetups. I really do want to connect with people to form that team including a hard money lender that's new investor-friendly. In the process, I want to find a mentor thats interested in supporting me here and there. Definitely not hand holding as you mentioned. Fully agree there.

@Dustin Verley

With Subject-to financing, the loan(s) stay in place. The 'buyer' takes over the responsibility of paying the loan(s), which are in the seller's name. So for this deal, the VA loan and the solar loan stay in the seller's name. The buyers make the payments to those loans. The note drafted for the agreement and parties is serviced by a note servicing company. The buyer sends payments to the company, and the company makes the payments. There are several ways it's structured to mitigate risk for the buyer and seller but I'm not going down all those rabbit holes right now. Since this is my first sub-to and wholesale, I was only interested in assigning the contract to a) someone I know & b) has experience with sub-to deals. It's my responsibility to protect myself and the seller. Seeing as how they are military and I am too, I'm not going to allow them to be taken advantage of, and want them to be happy with the deal and the buyer. The buyer plans to use it as an STR and there is enough room for profit for them to make the deal palatable. They're into it for about 10% of the purchase price (sum of both loans) with a very low-interest rate locked in on a 10-year balloon. They'll make back the initial investment within the first year... enjoy an infinite return for the next 9 years while they gain equity and loan paydown. Then they can refi or sell in a decade into a loan in their name.

@Dustin Verley It's definitely a good idea to set up a Series LLC if you own (or plan to own) multiple properties. You also only need one Series LLC, and then each property would be held in a separate child series under it.

Creating new child series is fairly simple and does not require any additional filings or fees with the state, as opposed to needing to set up a new LLC for each property.

Just learning about it now. Have not purchased one yet but am going to a weekend long seminar this weekend to learn all about it.

Different states and counties have all different rules. Tax deed state, tax lien state, tax redemption states. Best to focus on one area and master that to begin with it seems so you don't get too overwhelmed. Tax liens can be a good source of passive income, but come with some not so obvious risks such as other liens(IRS) holding a first position to your lien certificate that would need to be paid off by you if the property gets foreclosed on and you now hold the Deed. Another con is your money can be tied up for years