All Forum Posts by: Chris Clothier

Hey John -

I have met with Geraldine several times going back to 2008 and have watched her REIA really grow and become a great resource for investors. We are actually going to speak at the REIA for the first time in August. Looking forward to getting out there and meeting with investors.

I think that would be a really good start to finding good groups to network with.

Chris

Danny -

I hate that I just came across this post today. You've got a new fan up here in Memphis - best of luck with what you have going on. I'm looking forward to getting more acquainted with your blog when i can. Keep it up!

Chris

Will and Jimmy both gave you great ideas about how to get them and I don't think either would cost you any money to obtain. You are following a great path to building a quality list of investors. I have some examples of mailings that I use if you are interested from letters to postcards. get a very good response from this exact list thru direct mail.

Good luck,

Chris

Dionte -

As the owner of a company that focuses on investors looking for passive investments, I would say that owning real estate does not meet the requirements you laid out. Just as Bryan and Phillip stated, owning investment property - even when purchased turn key or with the promise of being totally passive - still comes with the risk you are looking to avoid and requires much more of your time than it appears you want to give.

Plus, investment property is a slow road to building wealth. It appears that you are looking for a simpler way to earn a consistent return with minimal risk and I think some form of lending or note buying is probably best suited for your risk tolerance. I would urge you to find the expert here on BP in each of those categories and seek a little advice before taking action. But you should be able to earn the return your looking for with minimal time input on your part and relatively safely.

Owning an investment portfolio does not fit the needs you laid out regardless of how you are purchasing it or who you are buying from and I bet that is the point Bryan wants you to see. Way too much risk and you absolutely must put in the time and pay attention to detail if you want to own property and consistently earn good returns.

best of luck with whatever path you choose

Chris

A friend of mine here in Memphis has been investing in properties for several years and does quite well at it. He spends time purchasing the properties, inspecting them and even does a majority of the work himself. He and I have talked many times about him letting me take over some of the heavy lifting and doing his renovations and management to save him time and money. It takes him three times as long to do the work and often twice as long to rent the property. However, he enjoys it.

Here is the real point though...

You see, it's not just about finding more deals - it is about how you earn your living. My friend is a lawyer and bills at between $250 and $400 an hour. He estimates that he spends between 20 and 25 hours a week on his portfolio on top of working between 40 and 50 hours as a real estate attorney. The money he saves doing it himself is not comparable to the money he loses not billing in his law practice. But, as I said, he loves doing it.

In the black and white - he loses money. In the gray areas, he is probably a lot happier doing the work than he would be billing the hours and that satisfies what he is looking for.

Chris

Hal -

I love the post. That is awesome. FYI - I took a mentor the first time I met with a homeowner I was so nervous. That was 10 years ago in Colorado. I can tell you this much without knowing anything about the situation. What has always made me successful is that I have never lied or pretended to be someone I was not. Meet with the owners and have your facts together on the value of the properties and the activity in the area.

They know you are an investor from you letter, but let them know very early on that you do not pay retail and you are in the business of purchasing property at substantial discount. Let them know that you in no way want to offend them, but you would like to make a fair offer for them and a fair offer for you.

From that point, it is all about the condition of the property and the research you put into the properties on the front end. I always made offers when I visited the owners, but I had to eventually give that up. I spent way too much time talking to owners about their personal stories and learning about their cats. It made them like me, but i spent a lot of time!

So do your homework, be honest and be prepared.

I am sure you will do great.

Chris

Kevin -

I know that there are 'Gurus' who talk about placing fake newspaper ads, craigslist ads and even posting bandit signs about property for sale when you really have none. To be completely frank, i think these suggestions are made by people who make more money selling goods and ideas to unsuspecting people than they do actually transacting real estate.

Under no circumstances would I ever tell someone to place fake Craigslist ads. There are simply too many investors our there looking for good deals and if you find one and get it under contract, you've done the hardest part. If you have a deal, you can find a buyer.

best of luck,

Chris

Greg -

I know the conversation took a turn and this may not be exactly what you were meaning, but when it comes to growth I just wrote a blog today about that exact topic. It definitely takes commitment and a willingness to get away from the business for a time and review EVERYTHING! We have grown 114% in one year after already being the biggest property buyer and seller in West Tennessee.

We simply committed to get better and better and to not accept being really good. We wanted to be great. So we thought bigger, hired better and shard our vision of growth with our entire staff. Part of our vision came from masterminding with extremely successful business men including former heads of Kodak, Freddie Mac and two international companies. Their advice and insight inspired us to keep pushing and today we still mastermind every few months.

So without knowing exactly where you want to go, but understanding why you want to go there, I can tell you that it takes hard work and dedication. I would be more than happy to share with you how we raised over $6 million to operate our business without bank financing and have built a sustainable growing business that will be here for my kids and possibly there kids!

Best of luck,

Chris

Yes Jimmy -

You can use your self directed IRA to wholesale properties. Your custodian simply directs the money into the purchase of the property and then the funds are replaced at time of closing on the back end.

We have a ton of clients who use their SDIRA's for short term loans which is not the same as wholesaling, the transaction is just as quick.

best of luck

Chris

Hey Rob -

There is one way to get a list of SDIRA account holders who are purchasing real estate. The title will reflect the fact that there is a custodian of the title. It will say something in the effect of "Equity Trust Company FBO Chris Clothier". I may have the verbage incorrect, but the title will reflect that company. We created a computer program to search records for these types of transactions. I am quite positive you can use a list providing service that can compile these transactions for you in your area.

To Chris' point - there is a 2 day seminar in New Orleans during September. Equity Trust University. Both Will and Chris are correct. This would be a great opportunity to network, but there will be a ton of companies there with tables and some, including mine, will be speaking about investment options from stage. Obviously I think it is a great place to connect with the exact audience you are looking for.

best of luck

Chris