All Forum Posts by: Ed Brancheau

@Daniel Shaffer Thanks for the reference. I'm going to check it out tomorrow when my brain is fresh. I do like that he has a Youtube channel because that makes it a little easier to determine if they know what they're talking about or whether they're full of crap. I don't mind paying thousands for training if it's worth it because I have my own business and time is valuable.

 I was on a call with them last week and that's 60-80 wholesale deals per month with their TEAM of 10 plus support like receptionist, assistants, etc. Miah, the guy I spoke with, claimed that 3-4 is highly achievable for noobs and 6-8 per member is the goal after a few months. Take it for what it's worth but even 3-4 deals per month would be excellent for someone new.

*** I say KeyGlee throughout as more of a representation because they're the brains behind Astroflipping. I don't know if you are actually selling to KeyGlee.

I'm looking into Astroflipping myself but I "Astro" is just branding their specific type of wholesaling. And from what I can tell so far is that it's a kind of arbitrage.

This means that they tell you what kind of deals they (KeyGlee?) will automatically buy the contract from you and sell to an institutional investor they have. You keep 60% of the difference, they keep 40%.

For example, you sign a contract for $100K and the institutional buyer pays $120K. You get $12K and KeyGlee(?) gets $8K.

The other part is that you find wholesalers that have soon-to-expire contracts that match the criteria. Then you offer to buy their soon-to-expire contracts to be bought automatically from KeyGlee(?). And you split your commission with the original wholesaler.

For example, you find a wholesaler with a deal that matches the criteria valued at $100K and the institutional buyer pays $120K. You likely make a deal with your wholesaler to split half your commission. So, you get $6K. They get $6K. And KeyGlee(?) gets $8K.

Of course, your wholesaler will take the deal because otherwise they'd get nothing when the contract expires. You'd take the deal because you get $6K for just having the connection to KeyGlee(?).

Now, of course, we'd all like to be in KeyGlee's middleman position because they're not doing much to connect us. But they've already done their part by finding the institutional investor. Knowledge, and connections, is power.

That said, I'm still skeptical and doing more research.

 I'm looking into this myself because I'm deciding which real estate avenue I would like to take. So, that's why I'm researching Astroflipping and came across your post.

One thing I would suggest with your quote here is that asking for a referral to speak to a student or client really doesn't help. I get why you want to ask but after all, they're just going to give you the name and number of someone that will speak highly of them. That could be 1 person out of a 100.

But, checking them out on places like BP is a good move and leads me to ask... did you sign up? If so, what's your experience been so far?

Thanks!

 I'm looking into this myself but I was curious about the "60-80" deals that Miah, the rep I talked to last week, said that their TEAM was doing per month. So the team is the same team that does KeyGlee and the 60-80 deals are the number that KeyGlee is doing with a team of ten. If these numbers are true, that's still a really good number. Basically, 6-8 deals per person.

And Astroflipping is simply the BRAND of the course/group. It's not necessarily a new type of wholesaling.

What does look different is that, it's my understanding and I'm still investigating, they have certain criteria that they show you to search for deals. When you find these deals and get them under contract you become the 1st wholesaler. Then the contract will automatically be bought by a 2nd wholesaler (KeyGlee?) and automatically sold to institutional investors.

You as the 1st wholesaler gets to keep 60% and the 2nd wholesaler gets to keep 40%. Honestly, I'd love to be the 2nd wholesaler in this strategy but, of course, I don't have the experience or connections.

 Just wondering if you signed up after all? If so, what has your experience been with them?

I'd bet that it's the virus and you are not the only one experiencing the problem. The realtors I work with are saying it's happening here in California too. And my clients are already feeling uncertainty.

So, it drives me crazy to read posts from across the country that everything is fine and they're just going to buy and hold. 

I hear them say, "People have to move."

No. Unless they're in the military, they don't have to move.

Even if they get a new job. For one, they could decide it's not worth the risk to take the new job and move because they might get laid off due to a recession.

Second, they might be able to do the job remotely.

Most Americans just haven't been hit yet but it's just a matter of time because we don't have a vaccine, this virus spreads quickly and, in many cases, people never know they have it.

But while you're in a bad situation, people don't understand that it could get worse and fast. Just like it did yesterday in Italy.

And for the "buy and holders", you could actually get renters who are then put under quarantine. They can't pay rent, you can't kick them out, you can't pay your loans, and you lose your property.

There's only one thing you can be certain about... People that are CERTAIN that things can't get worse or will get better really soon should be ignored because they're just not thinking logically. They write it off as merely "panic" as if that's not real. But panic is real. That's why economists track consumer confidence.

Finally, everything might get better tomorrow but that is not what the experts and the market are saying.

Years ago, I was thinking about opening a restaurant and as I was reading about how to be successful, I came across a study that said having a super clean bathroom was critical. It had something to do with an clean bathroom had a psychological affect that made food taste better.

Then they mentioned that one thing that made the bathroom SEEM cleaner was to use bleach. I guess the faint smell of bleach also had a psychological affect that made the bathrooms seem cleaner.

Anyhow, after I read that, I began to notice that best businesses all had clean bathrooms.

My point with this is to make sure that there's a faint hint of bleach to trip that psychological trigger that tells prospective renters that your property is really clean.

I'm interested in hearing what others are planning because I'm at a total loss because we're in uncharted waters.

I have a digital marketing business that focuses on realtors and last week I had no problem selling leads and appointments. Even clients that have been with me for years are worried that that might not even have the opportunity to sell next week if their city or town goes into lock-down.

This week potential clients are saying that they don't want to invest in appointments right now because they don't know if they will physically be able to show houses because of quarantines or lock-downs.

I can't fault their logic so I'm looking for a way to help them in the meantime. But I don't know what that looks like right now.

I'm in San Diego and on Tuesday, I was driving home and the street that normally takes 20 minutes to get down had no traffic. It was eery. When I mentioned it on Facebook, I got a lot of people saying the same thing. And a good friend up in Seattle showed me photos. It's like a damn ghost town.

Now, I'm still looking for investing opportunities but I'm really wary.

Flipping? The last time there was a worldwide pandemic was the 1918 flu and it subsided in the summer before coming roaring back even worse. I hope that doesn't happen but that's generally how pandemics work.

So, I'm thinking about a flip here in San Diego but I'm going to make sure that it's a really quick flip that I can buy in April or May and close by September. I don't want to be on a 12-month hard money loan and not be able to sell the property because people are not able to even physically go out. Then I'd lose the house and my investment.

Hold and rent? It's possible that renter's might be locked down in quarantine and you can't evict them. But at the same time, you got loans to pay back.

Even safe mortgage notes could be a problem if home values plummet and the note ends up costing more than the property is worth.

Here's one thing I pretty sure about this crazy *** situation... Avoid people that are ABSOLUTELY CERTAIN about anything because they don't have a true appreciation of how much worse this situation could get.

I'm interested in hearing what others are planning because I'm at a total loss.

I have a digital marketing business that focuses on realtors and last week I had no problem selling leads and appointments.

This week everyone is saying that they don't want to invest in appointments because they don't know if they will physically be able to show houses because of quarantines or lock-downs.

I can't fault their logic so I'm looking for a way to help them in the meantime.