Posted on: April 19, 2018

While the wholesaling business is something anyone can get into and succeed at, the competition in the industry can be fierce and unforgiving. For instance, if you examine the statistics, you’ll be surprised to find out that on average you need to send out 18, 000 mails and spend approximately $5, 800 just to find 1 deal.

Yes, you read that right, just 1 deal! And this is just in Arizona. In other states like California, you can expect to shell out twice as much. In addition to that, there are basically just 5 list providers everyone uses and has easy access to.

But before you throw in the towel and decide wholesaling is not for you, you might want to listen to what Brent Daniels has to share first. If you think wholesaling is something you won’t succeed at or that you don’t have what it takes to keep up with the competition, today’s episode will surely change your mind.

So, tune in and let Brent teach you how you can dominate, thrive, and get ahead of the pack in the exciting and competitive world of wholesaling.

Key Takeaways

  • The best program in the world that will get you the best deals without spending a fortune
  • How much it will cost to get the accurate phone number for a homeowner in your area
  • The downsides of the “Pay and Pray” method
  • Why the TTP cold calling method is so powerful
  • The by-product of providing exceptional value and service to the sellers

RESOURCES:

If you are Ready to Explode Your Wholesaling Business, Click here to Book a Free Strategy Session with me right now!

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Episode Transcription

Brent Daniels: Hello, hello. It is Brent Daniels, and I am coming to you from my office. Actually, it’s my guest house, which is also my office, which is awesome because it’s only 20 feet from my house, which makes it really, really awesome to spend time with the family and hang out and then also be able to kind of get my own space and get on the phone and just talk to people, so really, really cool. But as I was sitting around here in my office and looking around, I was thinking about how much profit am I getting per deal. Like, really? How much? If I make $10,000, $20,000 on a deal, how much am I keeping, right? How much is the industry keeping? How much money is other people that have these huge companies that spend a ton of money every single month, how much are they really keeping?
I was looking at it, and I was looking at the stats, the actual stats in my area in Phoenix, Arizona. It takes 18,000 pieces of mail, at least the postcards, to get a deal, which equates to about $5,800 for one deal. For one deal. $5,800 for one deal. Now, if you’re in a similar market … If you’re anywhere in California, forget it, you’re double that. I’m telling you. If you’re in Florida, depending on where you’re at, it’s going to be high. If you’re in a big market, I’m telling you because of so much competition and because it is very, very, very easy for yourself and all your competitors to get the same list to send to. There’s only, what, five list providers that people really go to? They go to their tax data, their local tax data, they go to ReboGateway, they go to ListSource, they go to CoreLogic or aDaM Data, and they go to ForeclosureRadar or PropertyRadar.
Everybody has the same lists, right? How do you be competitive? If everybody has the same lists, and it’s literally just selecting what you’re going to send in the mail and sending it, or putting together a website and buying Google ads, well, what’s the barrier to entry? What’s stopping your competition from doing exactly that? Not only your competition. I’m not talking about your direct competition. I’m not talking about the guy that has similar experience and budget as you. I’m talking about the mega mega companies, right? The companies that are going to throw a lot of marketing at them.
I was thinking, and I was sitting here, and I looked at my desk. This is not a gag. This isn’t me just being silly, and I don’t know, pulling it up something like Carrot Top would do or whatever, but I literally had a quarter. There’s a quarter sitting on my desk. This quarter is exactly what it costs to get the accurate phone number for a homeowner in your area. For real. If you were to accurately skip trace, like a really, really good accurate skip tracer, if you were to spend it per address is about 25 cents. It’s about a quarter. This quarter literally can turn into $10,000, $20,000, $30,000, $100,000 with one connection. Okay? One connection that quarter right there can turn into. It could be life-changing from one conversation. That’s from you picking up the phone.
That combined with this thing, and you are off and running. But people look at this thing like it’s a cactus. People look at this thing like it weighs 5,000 pounds. They get so scared to talk to strangers when they know that on the other side of that conversation is $5,000, $10,000, $15,000, $20,000, $25,000.
Let’s look at this. Let’s look at what I got here. These right here, these are wire transfers that happen from the title company to my company. This one right here, $24,580. This one right here was a deal that I actually closed on, and then, ultimately, resold in the same day, but it was a cold call. This was in an area called Fountain Hills, and it was a townhouse. The owner of the townhouse had inherited it from her family. It was actually her aunt that owned it, and it had sat vacant for two years. We called her up. We had one conversation with her, we scheduled the appointment, we went on that appointment, we got the contract signed, and it turned into $24,580 and 41 cents from this, from this little quarter.
I’m being dramatic, obviously, showing you the quarter every time, but I need this to sink in your head. Literally, what are we talking about? We’re talking about the difference between 5,8000 and 25 cents. Now, does every quarter that you call end up in $24,580 check? No, and I get that. I know I’m being broad with it, but literally, if you just go out, and you find somebody that has motivation, that’s a distressed seller, there’s a million different ways to do it. You skip trace their number, you get their phone number, whatever it takes to get their phone number. You pick up the call, you know what to say, you know what script to use, you know what tone to use, you know what pace to use, you’re comfortable with it, then you will win.
You will win if you can be a human and be conversational and really, really have a good contact with that person. Be able to reach out and be proactive. It’s really, really important.
Let’s look at this one. This one was for $25,000. This is an assignment fee in Phoenix, and on this deal, the property was totally beat up, just in really, really rough shape. It came up because we did owner occupied with equity list. We called them up, and they were ready. The property was in really rough shape. They couldn’t keep up with it anymore. They wanted to move to Nogales, so we signed it up. We signed it up, we closed it. They actually had something called a post possession, which the title company held back $5,000 in escrow, and they had two weeks from the time we closed.
They got their money, and they needed their money to move. This happens a lot in this market, guys. This happens a lot, that people need their money before they can move. Provide the opportunity, solve their problem by closing on the deal, holding some money back in escrow to make sure that they get out of there, and then release the money once they’re out. Everything’s done, it gets closed, they get their money, you get the keys, the property’s cleared out, everybody’s happy.
Post possession in this market, really, really important because what happens is the seller goes, “Well, I can’t sell this property unless I have the money to move. I don’t have the money because it’s in the property, so what do I do?” Well, what if we can get you the money? You can stay for a couple of weeks. Take your time to move and find the next place and be comfortable and be able to make it a smooth transition. They will love you. That is called providing value. That is called providing service. Seriously, they will love you.
Let’s look at this one. Wait, wait, wait, let’s be dramatic again. Let’s do it again. Oh, the quarter. The quarter is what brought this one call. One call, $25,000. Another call, $24,580 and 41 cents, right? A quarter. A quarter to get it. Think about it, guys. It is about your ability to pick up the phone and to use it and to call homeowners and to have conversations with them.
If you’re scared of it, there is a process to this. You guys know me as the TTP guide. The TTP program, the TTP system is where I teach everybody how to do this in a really, really smooth and fun system. It literally outlines everything that you need at www.wholesalinginc/ttp. Okay? You can go there, schedule a call with the team, they’ll see if it’s a right fit for you. If it is, we will … Whoo! We will fire you up.
Look at this one. $12,5000. This one is another one in Phoenix. It was actually a townhouse. The guy had title issues and couldn’t sell it because the title, they couldn’t find. He had a private money lender that he had paid off, but they never filed the release of the lien. Okay? Everything was shown, the documentation was shown, but the title company needed the release of the lien, and he didn’t have it.
What did we do? We hunted them down. We found the name of the owner of the company, which no longer was still in business doing private money. What did I do? I skip traced him. Boop! It cost 25 cents, found his phone number, gave him a call. He was totally … He understood what was going on and got on board. The homeowner of this property was trying to get ahold of this company for two years, was sitting on this property for two years with tenants that weren’t paying him anything. It was the biggest nightmare of his life.
When we told him that we had found the guy and that the guy was going to sign the right documentation to release the lien, you would’ve thought that we created fire. It was incredible. He was so overwhelmed with emotion. It was great, just phenomenal, and solved this problem, and in the process, made $12,500.
Literally, from the quarter, the dramatic quarter, the dramatic thing. I want this to stick in your brain and to make sure that it sits there, and it has a nice warm, comfy place in your brain when you’re thinking that, “I don’t have the budget to compete with other people. I don’t have the budget to be able to go out there. I’m not good at talking to people, strangers. I’m an introvert.” All these things that we tell ourselves, it’s the silliest thing ever. The absolute fact of the matter is you don’t have experience in it.
You didn’t go to school to go talk to a thousand strangers and ask them if they’d consider an offer on their house. You haven’t, so it’s foreign to you, and foreign is scary. Foreign makes you clam up, and foreign is like, “No, that’s a little bit too uncomfortable for me. I’m going to put a ton of money into marketing, and I’m going to have them call me so that I’m in the driver’s seat, and I can feel good when they call me.”
Well, do you? Do you feel good? How do you even know they’re going to call you? How do you know that when you cut that check and send it out that they’re actually going to call you? You don’t. It’s a pay and pray. You are paying, and you are praying that they call. What if they call you at 8:30 at night? What if you’re at a basketball game for your son? What if you’re at a dance recital for your daughter? What if you’re at a basketball game for your daughter and a dance recital for your son? Who knows? What if you’re doing something, and you can’t take that call, and you lost 15 grand like that?
Not only did you lose 15 grand in potential profits, how much did you spend a send out all that mail? How much did you pay to buy all those Google ads that keep going up and up and up? Every time somebody clicks on your link, it’s $84. Do you know how many of these fit into $84 for somebody to click a link that says we buy houses, and it has your website connected to it? This is a no brainer. Be proactive. Talk to people, bring people to you, really reach out to them, reach out to them and have a conversation. You can do this.
The TTP cold calling method is so unbelievably powerful. Guys, I am employing the most profitable and the biggest deals that you can find in this market because there is no competition because other people aren’t doing it. But the barrier to entry for everybody is so much higher. Think about it. Really, really, really think about it.
www.wholesalinginc.com/ttp. Schedule a call today. Stop thinking about it. Stop being on the fence. Stop thinking that the next round of mailers is going to make you a millionaire. Be proactive now. Not only that, but the collateral damage of joining this group and talking to people every single day is that you get the ability and the muscles and the endurance to talk to anybody, anybody in your entire life, strangers that you were usually shy around or networking events where you sat with your best friend or your wife or your husband, and you didn’t really get out and mix and mingle are no longer a problem because you’ve talked to thousands of homeowners. You’ve talked to dozens of strangers. You’ve talked to hundreds of people.
You realize that with the right approach, the right tone, the right things to say, you can talk to anybody. That’s the absolute fact. That’s what we teach. Get on there now, www.wholesalinginc.com/ttp. I’ve said that three times now because I’m serious. I know that this is the best absolute best program in the world for getting you the best deals.

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