Posted on: August 04, 2022
WI 1009 | Wholesaling

 

Daniel Alvarez is living proof of the power making friends and talking to people can have. Having moved around his whole life, Daniel became comfortable in new environments and making new friends quickly. He joins Brent Daniels in studio today to talk about how these skills have helped him go from struggling coffee shop employee to profiting nearly a quarter million in wholesaling in his first few months. Daniel also talks about the inspirational goals that fuel his wholesaling like his youth ministry and community work.

If you’re like Daniel and you know there is something greater for you then where you are currently at, apply to Brent’s TTP training program today.

Show notes:

(0:45) – Beginning of today’s episode.

(1:40) – Daniel did a quarter million in his first 6 months. Here’s how he did it.

(5:02) – Daniel’s background and how it prepared him for real estate.

(11:40) – The importance of finding your motivation.

(14:19) – How Daniel closed his first deal for $90k.

(22:20) – Daniel’s inspirational long term goals.

Resources:

Want to learn more? Check out our TTP training program.

To speak with Brent or one of our other expert coaches call (281) 835-4201 or schedule here.

$240k In 6 Months – From Coffee Shop Worker To Wholesaling With Daniel Alvarez

Episode Transcription

I have an incredible conversation that we will be having on the show. I want to introduce to the Rhino Tribe and to the show, Daniel Alvarez from Boise, Idaho. How are you?

I’m good.

This is incredible. You are set to close $240,000 in income in your first six months at wholesaling real estate, wholesaling flipping, and a combination of both. We’re going to dissect all of that. The average is you don’t do any deals for six months. If you’re pushing and being proactive in the first 90 days, you could usually get something that is going to be a good deal that you can sink your teeth into, but $240,000 in six months, you have to understand that’s incredible.

I’m excited about it.

How did that happen?

Off of being bored at my new job and watching YouTube, diving in the weeds, and seeing a podcast that you held with a guy in my market, Ryan Weimer, and being excited about it. I’m trying to get many options for what’s next, what excites me, what keeps me going, and what makes me happy. It started with the show. It’s crazy being here.

That’s such a unique advantage that I get to have because Casey Ames is huge. She is one of the biggest in your market. Ryan Weimer is incredible and one of the biggest in your market. Both I’ve had the fortune to have these conversations in these interviews and understand what they’re doing. You are watching that. You went and took action, and now you’re on the show. That’s the whole point.

I want everybody to be on here and talking to me because they went and took action. They are not just by standards. They’re actually in the game. They’re not sitting on the bench. They’re playing the game. You went out there and did that. We’re going to break down how you did your first deal from a cold call on Zillow. Before we do that, you had a lot of experience in real estate and before, you started watching YouTube. What was going on? What’s your background?

On the transactional side, it’s just being a realtor. How that happened was I was in coffee for a long time.

What do you mean by, “In coffee?”

I started as a barista. I got exposure to that while I was living in Australia in 2015 or 2016. I moved back to the states. I was at Bible College and working coffee at the same time. Long story short, I moved to Washington State, progressed into a relationship with my wife and got married. I worked at many different local coffee shops there. What got me into real estate was Kennon Maurer. He was 18 or 19 at the time. He was younger than me. The guy was making $200,000 in selling real estate as a realtor. He would come. In the back of my mind, I was like, “There’s nothing different about this guy.”

He would come into the coffee shop because his girlfriend would work at some of the coffee shops I worked at. Now, they’re married. They’re awesome people. I asked him like, “How do you do this?” In my mind, business is not huge in my family. My dad ran a commercial painting company way back when, but never a huge business. I always thought they were super far-fetched to attain. I asked Kennon one day, “Can we grab lunch or have coffee? Can I hear about this real estate thing?” He said, “Sure, let’s do it.”

We got coffee at Mud Bay Coffee in Cooper Point. Kennon was like, “You’d be great.” I was like, “What do you mean?” I am horrible at tests. I failed the Washington State Real Estate Test three times. I failed the Idaho three times after being a realtor for years. I knew that about myself, “I’m great at this but I’m horrible at this.”

I was telling Kennon and he was like, “You’re going to be fine. You’re talking to people. You’re being relational. You have that in your background.” I dove in. In the first year, I sold 17 or 18 homes through open houses, door knocking, and cold calls in Washington. I married into a family that is awesome, but they’ve lived their whole lives there in Washington State in Olympia. I knew more people than they knew after four months of living in that place. I didn’t move there of like, “I got into real estate,” and they’ve lived here and I tapped into this referral business. No, I had to work at it to get started.

Do you think that you’re good at communicating because you’ve lived in many different places? You were born in Dallas, moved to Virginia, lived in Scotland, and came back to San Antonio, Virginia, Washington, Idaho and Detroit. What is going on in your brain every time you move? Are you like, “I got to go meet new people?” Is it a situation or do you want adventure? What is it?

As a kid, you have no choice. Your parents sit you down and say, “You’re going to move.” Long story short, my father was an orphan in Mexico. He was at the orphanage until about the age of seven. When he was adopted, his adoptive mother abused him and burned his hands. He ran away and lived in the streets of Mexico for ten-plus years. My dad never did higher education. He never finished high school or anything.

In his mid-twenties, this guy is serving waters at a soccer field. Soccer used to be our religion, but this guy served water. My dad was like, “Why am I doing this?” Long story short, my dad had the itch to start school. He sold his business and everything. He had $40,000 in his pocket. He sold all the cars and everything to go to Bible College. He first started learning English, went to Bible college, and then he kept going. He never stopped. We lived in Downtown Dallas and we went to Regent University in Virginia Beach. My dad was like, “I want to do a PhD.” We got the funding. Everything was paid for it. It was harder to say no to progress.

He’s going to be a doctor. He is an orphan on the streets in Mexico for ten years, and then he’s going to get his PhD and get it paid for. I assume it’s because he’s an excellent student.

He’s great. He inspires me to do a lot of different things, but business was never a huge thing. It was always school. None of my brothers and me finished college. My dad is huge in schooling. That’s why we moved. We never had to stay. The running joke with my brother and me was, “Everywhere we moved, we had to make new friends.” Sometimes we went to the same school and when we rocked up to the school to go through the gate, we would say, “Good luck. Let’s make friends by lunch.” That was the thing. On the first day of school after summer, everybody is raising their hands, “Who went to this middle school and going to this high school?” Everybody knows each other. That was never the case for us. We always had to reinvent the wheel of friendship. That benefited me a lot from making those connections.

Closing a deal is all about connecting and talking to people.

How do you make friends? What did you learn from that?

You just say hi and talk. Everybody is human. You connect through a similar mutual interest and you’re going to find somebody that’s your friend. In high school, I remember I had a fifth-period lunch. In the first period, everybody is like, “How’s your summer?” We just moved back from Scotland. Scotland’s schooling system is way different. It was funny. We moved back to the States. We were going to stay and my dad was like, “We’ll move back for you because I know you want to play soccer in college. I know it’s better if we move back.” In O’Connor High School, we made friends by lunch. It progressed from there. That is what’s helped me with this business.

That’s what you’re doing now. That’s essentially what our business is. It is making friends with strangers all the time. That’s what it ends up being at the end of the day when it comes to the sellers and the buyers that we’re working with. We’re building a friendship there. Have some trust and respect, and try to help each other out here. They know that we’re investors. They know that we’re going to make money on this. They’re fine with that as long as we can help them out.

These might not be best friends that we hang around with forever, but they have to at least like, trust and know us to be able to do that. That’s a huge advantage that you are going in just having the confidence, so you and your brother going, “We need to make some friends.” As you’re talking, I’m thinking to myself, “That’s what we do all day.” When people are mean, angry and nasty to us, we don’t have to be friends with those people. If they’re going to open up, be kind, listen, and at least allow us to enter their life in some way, those are the people that we can work with and help out. It’s the same type of philosophy and parallel there. That’s why you got off to such a fast start.

I was super nervous. I had the golden handcuffs. I was telling your team before of having the job that I had, which paid well, six figures, after dwindling our bank account and moving to Idaho. I was fearful of like, “Is this thing legit?” Feeling the imposter syndrome of, “This won’t work.”

It’s for two weeks before you got your first deal, and the two hours before you picked up a phone or something?

I remember telling one of your workers, Jed, who does onboarding and stuff. I watched the podcast, dove in the weeds, and inquired, but I was like, “I have a deal going. I’m totally nervous if this is real. I’ll join as soon as I know it’s real,” then we got it under contract. It hadn’t closed yet because we ended up deciding to wholesale it. I joined the program before it closed.

Let’s talk about your business now. What are you doing to generate leads? Is it just you?

It is just me. My private money lender’s son just graduated high school. In the bigger picture, I love mentorship. I want to be an impact on the youth because I was impacted by some mentors as well, not just in business but in guidance through life. I see him as a good person for that. I took him out to lunch to show them what we do. How my business runs is I cold-called as a realtor. I door knocked. I did open houses. That wasn’t new to me. I was working at Keller Williams as a VP there. I had a steady income coming in every month. I sold the tiny house that I built.

I had money from that to put towards this business. I hired a cold caller out of the gate. Not because I was scared of cold calling, but just because I didn’t have time. I have to leave my house from 7:30 to go to work, to be there at 8:30. I didn’t get off until 5:00 and didn’t get home until 6:00. I was like, “When am I going to call?” I’m huge on time with my family. I have a daughter Adelin Rose and my wife, Jessica. I am huge on time with them. They do support me and would, but I didn’t want to take too much time away from that so I hired a cold caller. That’s how I got started. Leads started coming in, started to follow up, kept following up, and it just happened.

Right before you get on the phone, what do you do to be confident? You’ve got a dad hat, husband hat and Keller Williams hat at the time. You got all these other different hats that you’ve got going on and you got yourself. How do you put on your real estate wholesaling and real estate investor hat, get it straightened out and get on that call? What do you do?

In the beginning, while I was working at Keller, I was like, “I don’t want to be here.” That’s what got me motivated. We left well on good terms. They are great people. Even at that point, the owner, the broker and the whole corporate structure pulled me into a meeting and they were like, “What’s going on with you?” I was like, “What do you mean?” They are like, “You don’t seem happy.”

I can assume that people would figure that out quickly with you. If it’s a bad day, people are like, “What is happening here? I haven’t heard from him in ten minutes. Something is going on.” With you, when you walk in, you have stars in your eyes and you’re ready to go, and you don’t. They are like, “There are some changes here.” We’re unemployable. I think most people here are. A lot of people have responsibilities and families. A lot of people have things that they have to take care of. They need the income coming in.

We haven’t necessarily been taught how to start a business or haven’t had enough time to build the momentum of a business, but we all have that brain. We all want to be in control of our schedule, financial futures, and the opportunities that we can have for our families. It’s getting the opportunity to be able to build a business that’s going to replace our income so that we can take care of those responsibilities and then rock and roll. That’s the position you’re in now. Before getting on the phone, I was like, “I got to work for myself. I got to build something for myself. I’m going to get on with confidence and do it.”

I was working fully on this business while I was working in KW. I had a lot of autonomy in that role. You live and die by your schedule, by your calendar. I interviewed three producing agents a day. I had different Zoom meetings for the bigger KW family and everything. I knew there were different slots. I would go on seller appointments while I was working. I would take calls and do X, Y, and Z. I was like, “I love this. This gets me more excited.” I’m happy I was coming home. I hadn’t even told my wife yet that I started this until the deal is closed because I didn’t want to let her get too excited. What kept me going was the fact that I said, “Even if I made the same amount of money or $20,000, I’m much happier doing this than being here all day.”

Let’s break down a deal. Which one do you want to break down, your first one or the most recent one?

The first one.

You watched this YouTube channel in February 2022. Two weeks later, you got a pre-foreclosure under contract.

WI 1009 | Wholesaling

Wholesaling: Not wanting to be in a job gets you motivated.

 

I was calling a scoured YouTube and everybody was like, “Pre-foreclosures are the low-hanging fruit. Also, they’re the ones that get called the most.” I was like, “Let’s give it a go. Let’s see what happens.” I’m calling and getting like, “You’re the 150th person.” I kept calling even if they said no. The seller, Christy, is awesome. It was my first deal. She answered the phone and said, “Who’s this?” We spoke for 30 seconds. She was like, “I’m busy. Can we talk tomorrow?” I said, “Sure.” I got super excited. I was like, “She’s going into foreclosure in three weeks. What do I do?” I kept watching YouTube. I wasn’t in your program yet so I didn’t have so much direct support.

From watching Ryan Weimer’s show, I reached out to him. I had not gotten fully under contract yet. I said, “There has to be something ultra different here. I’m used to listing and selling houses. I’ve never dealt with foreclosure. That sounds like Chinese to me. What do I do?” I reached out to him with like, “I’m willing to 50/50 with this with you. I saw your podcast. I’m super pumped about it. Let’s connect.” He doesn’t live there. He’s a great guy. I met with his acquisitions guy, Ryan Miller. He underrated it with me. I have access to the MLS there because I’m an agent there and it’s a non-disclosure state. I was able to see what was happening and what the actual data was. I thought we could wholesale it for $20,000 to $25,000.

They reviewed it. After following up many times with the seller, getting the confidence to go with us and what warmed her heart was I told her that I was a youth pastor, and I didn’t lie. Her response was, “That’s great. I want to work with you. Can you send me your website?” I froze. I was like, “I don’t have a website. I started this thing two weeks ago. How do I get a website?” I’m super responsive with all my communication because if you’re not, there’s a discrepancy in that. It can make you credible and legit if you keep communicating and have confidence.

Ninety-nine percent of people don’t understand how to respond fast. You don’t have a website. She’s asking you for a website through text. You have to respond fast.

I’ll backtrack a little bit. At this point, I hadn’t contacted Ryan yet. I hadn’t formulated that relationship yet, but in my mind, I was like, “Who was going to say no to money?” I knew it was a deal off of the data. I ended up saying, “Offer Now Idaho is our website. Feel free to look at it. I’m new on the team. I’m not in any of the testimonials or videos.” Ryan Miller is awesome. He’s somebody that has worked with us for a while. Ryan Weimer is our owner. I’m out of it but before we’ve formulated, I step into the role of saying, “I’m part of this company.” After doing that, she was like, “This is perfect. This is great.”

Apparently, she knew somebody that had worked with them before and was like, “I talked to my realtor. You guys are legit. This is great. Let’s meet.” I backtrack and message Ryan, “I saw your podcast. My name is Daniel Alvarez. I said I’m on your team. I used your website. Sorry in advance, but we can 50/50 to this.” He said, “No worries. Great. You should talk to Ryan.” I called Ryan Miller, his acquisitions guy, the next day.

You didn’t even have a cell phone number.

No, I just DM-ed him. We hopped on the phone a few days later. We got connected. We underwrote the deal. They said it was a deal like I expected. We met at a Starbucks. I shadowed the interaction.

They go on the appointment with Ryan Miller.

His acquisitions guy went on the appointment with me. I stepped away from my KW job for about three hours and went on this appointment. We got the contract signed. At this point, they hadn’t told me that we could get more out of it because they ended up going to see the house. They’re like, “This is super clean.” This was a few months ago, so the market wasn’t as it is right now. Things were still flying off the wall. They were like, “We can close on this and wholetail it.”

I didn’t know what wholetailing was at the time or any of that. They said, “We can wholetail this. Maybe we can pull $60,000 out of this.” I was like, “I’m going to make $30,000. I can reinvest all of that and get into your program.” They were super happy with the service. We gave them the rent back in a week. They were crying at the closing, super happy and super thankful. They walked away with $80,000 themselves.

We saved it from foreclosure. She was super emotional about it. She was like, “You saved us from foreclosure. We’re walking away to do well.” They both have great jobs. She works at the hospital and he’s a trucker. They made some difficult decisions to end up there and we just connected. I was like, “This is what it’s about. It’s connecting and talking to people.” That’s how that happened. We closed the deal.

What did you buy it for?

We bought it for $193,000, and then we just painted the interior. That’s all they did. There wasn’t carpet, but we just painted the interior, and then we listed it five days later. I know we listed it for $30,000, under what it is sold for. We got five offers within 24 hours. It closed at $310,000. We listed it at $279,000.

How much did that paint job cost?

It was $3,500 or something like that.

What did you guys net on this thing?

We netted $90,000.

You live and die by your schedule.

Ring that victory bell. That is incredible.

We split it 50/50. I walked away with $45,000. I joined your program with that and reinvested everything in the business.

It does not cost $45,000.

No, I just invested everything back in the business.

How did that feel?

It is great.

Have you ever gotten a check like that ever before?

Not at once.

That’s saving, hitting, and doing some other real estate deals here.

I made my first six figures a couple of years prior but not in one deal. I was super shocked. It was weird. When my wife saw that, I finally communicated to her, “I started wholesaling. This is what we’re doing.” She didn’t believe it until I showed her and do everything to support them. I love them. They’re my pride and joy. It opened everything to say, “Maybe I don’t have to do this corporate job anymore. Maybe I can walk away.” I was just happier. It ignited something. I came home with my swagger back. It was great. My wife was saying, “You’re different. There’s something different.” It was awesome.

When you get to work for yourself and get that income based on your efforts out there in the streets, having conversations, it’s a different feeling than just getting a slice of something from some company. You went out there and provided that much value. It wasn’t the company or the whole thing. It was you. Obviously, Ryan and his team are incredible. They did a great job. They did right by you and you split the deal.

He made me out of escrow. I wasn’t even on the contract. We have a great relationship now and I hit him up for different things. I know we’ll do business in the future. Now I have his actual direct cell phone number. He lives in England now. It allowed me to have a relationship with one of the biggest players in my market. That was worth $45,000 to me to partner with them and it opened the flood gates.

What’s the big goal now? What gets you excited?

On our first call, you asked me what’s my goal. I thought the goal that it communicated during that call was outlandish. I wrote down $360,000. The reason I wrote that down was 24 deals at $20,000 or $50,000. I wrote that down and taped it in my corporate office. It’s next to my scripts to talk to agents. It said, “$360,000.” I was like, “How am I going to do this? I did the $90,000 deal, so this should be simple.” The bigger picture or goal after going to the all-in event in Phoenix, I wrote down our new goal of $500,000.

Since I am a licensed agent, I don’t want to do this for the entirety of my business just to save capital. I’ve gotten two listings off of these leads that I’m servicing, but in the future, I’ll refer them out. Between flips, listings and wholesales, we’ll do $240,000 in the first six months. The big picture is $500,000, but beyond that, the bigger picture is more time with the family, running a coffee shop, and having an impact on the community.

Talk to me about the coffee shop. Give a vivid detail of what your vision is for this because I love it. Are these everywhere or under the street corners?

It’s maybe two, but I think just one spot. What’s beautiful about this business is my LLC, the wholesaling company is called Harbor Home Solutions. I’ve invited my wife to choose the colors and decoration of the flips. That got her excited. She’s a stay-at-home mom, which is great. The bigger picture with the coffee shop is her having a flower stand, chickens and eggs at the coffee shop. I want to call it Sagrado Familia, which means sacred family in Spanish. Spanish is my first language, but mentoring the youth of the local area, serving beer at night, having light music, and being a connection and pulse in the neighborhood.

Coffee doesn’t make the big box but to me, it’s the impact that means more to me. I want to give glory to God. That’s what this has been about, and being able to bless people when they fall in hard times and giving free coffee away sometimes, having events at the coffee shop, maybe real estate events, small groups through the church. The bigger goal is that, and my wife wants to homestead.

WI 1009 | Wholesaling

Wholesaling: The goal is to have an impact on the family.

 

You’re modeling this community-based mindset from your dad. Tell everybody what he does and the sacrifices he has made because he can go bananas with his income.

My dad has two Master’s, one Bachelor and one PhD. He’s in Aguascalientes in Mexico. He teaches at a Master’s level to pastors that can’t afford that education. Rick Lane is an amazing man. He called himself my uncle. He has been blessed financially through stocks, bonds and real estate. He funds my dad’s projects. My parents collectively make $60,000 a year. It’s nothing huge, but they’re the happiest people I know. They’re teaching the community, having an impact, and having people over for dinner. I want to retire my parents one day. I tell them that all the time. My dad laughs, but it’s the goal to have an impact on the family.

How can people get in touch with you? People that want to squat up in Boise, people that read the story, feel inspired, and want to be in your world. You’re a connector type of personality, networker, and somebody that wants to provide a ton of value.

I have Facebook @BoiseDanielAlvarez and Instagram @SoldWithAlvarez. My number is (208) 994 9775. I know most of the people in my market, but there’s another student in my market, Tyler. He lives in Middleton, which is seven minutes from me. I want to connect. I feel happy when I’m having conversations with people or if somebody wants to have lunch or coffee.

The more connections you have, the faster you get that coffee shop to even have more connections in the community. It’s all talking to people, having those quality conversations, providing value, about squatting up and having that network of people that are positive, optimistic, proactive, and you want to be around. They’re happy and great energy people. You can feel it, and people feel it from you. Everybody out there, make sure that you reach out to Daniel. That’s incredible. Thank you for being on the show. It’s going to be incredible watching your journey.

Thanks.

If you’re interested in joining the most proactive group in real estate, investing it is the TTP family. Go to WholesalingInc.com/TTP. Check out what it’s all about and the incredible people like Daniel that are in our community. If it feels good in your gut, sign up for a call. I look forward to working with you personally. I sign off encouraging everybody to go out there and talk to people. Until next time. Love you, guys.

 

Important Links

 

About Brent Daniels

WI 480 | Critical Energy ShiftsWholesaling Inc Coach and Creator of the TTP Method, Brent is considered to be one of the most successful Real Estate Wholesalers in the country. Through his unique approach to Real Estate investing with his TTP system, Brent has bought and sold thousands of properties across the country and has taught aspiring Real Estate investors how to do the same. His no-nonsense, “step by step” coaching methods along with his passion to help others succeed has created a loyal family of successful Real Estate investors.

 

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