Do you want to earn money, have freedom, and help people while you’re at it? Our guest on this episode can attest you can make all three happen at the same time. How? Through wholesaling!
Phillip Villegas has been working in the insurance industry since 1999. The doting husband and dad from Austin, Texas discovered wholesaling by chance and decided to give it a try.
While his first attempt wasn’t really a complete success, things took a turn for the better after he enrolled in the TTP (Talk To People) program.
In this episode, you’ll learn how the TTP program helped him find his first deal, what the process was like for him, and how he successfully closed the deal, among many others.
If you’re considering doing wholesaling on the side for the time being and would like to know how you can benefit from the TTP program, this episode is perfect for you!
- Phillip found his seller from the driving for dollars list.
- Seller lives in a different city and would like to get rid of a property that’s been sitting vacant for 2 years.
- He was able to purchase the contract for $130, 000 and sold it for $167, 000.
- After all the deductions, he was able to net $35, 000 for his efforts. Definitely a huge payday for something he only did on the side and only took him less than 2 weeks to complete!
- Phillip on Facebook
- Mojo Dialer
- Brent Daniels YouTube Channel
- Wholesaling Inc TTP
- Wholesaling Inc Wholesaling Summit 2018
If you are Ready to Explode Your Wholesaling Business, Click here to Book a Free Strategy Session with me right now!
Subscribe to Wholesaling Inc
Brent Daniels: Welcome everybody to another podcast episode. This is Brent Daniels and I am excited as always to come on this podcast and just share as much information as possible. I know so many people out there are literally doing deals just from listening to this podcast, so that is phenomenal. I applaud you for taking action every single day. Let me ask you this question. This goes out to everybody listening. Who have you talked today?
And you got to ask that question every single day before you go to bed at night. Who did I talk to today? What motivated seller did I talk to today? Did I talk to one? Did I talk to five? Did I talk to 10? Because it is a beautiful, beautiful, beautiful science that the more homeowners, the more distressed homeowners that you talk to, the more opportunities that you’re going to get. The more opportunities you get, the more money you’re going to make. The more money you make, the more assets you can buy or debt you can pay off or whatever. You could buy toys. You could do whatever you want, but it all comes down to the conversation. That’s why we try to boil it down on this podcast to make it so, so, so simple. I don’t care if you’ve wholesaled 10,000 deals or you haven’t done a single deal. The secret is all the same: it’s just talking to people. It’s just talking to motivated homeowners all the time.
And if you just focus on that, if you take everything else out, if you don’t worry about what you’re saying, if you don’t worry about the scripts or the techniques or the skills, if you don’t worry about comping properties or finding cash buyers or any of these other things, if you just focus on who did I talk to today, you will win. I’m telling you everything else will fall in line. You will be so successful. So don’t get caught up in this whirlwind of all the things that you’ll have to put together to have $1 million business right now. Just focus on who did I talk to today. That’s it. I encourage you guys all to obviously talk to people and a phenomenal example of that is a guest that I have on the podcast today. He is from Austin, Texas, just outside Austin, Texas, and his name is Phillip Villegas. Phillip, how are you today?
Phillip V.: I’m doing great, man. It’s a beautiful day here. We have a little bit of clouds, but it’s still great day here.
Brent Daniels: Awesome. So exactly. Where are you located?
Phillip V.: So it’s in a city that’s called Pflugerville. Not a lot of people know it, but it’s Austin, Pflugerville, and then Round Rock. So I’m right in the middle between those two cities.
Brent Daniels: Awesome. So tell me about you. Tell me about your background. Are you a family man? Do you have, like what responsibilities do you have? What has led you into this path that is wholesaling real estate?
Phillip V.: So yeah. I’ve been in the insurance industry since ’99. Been doing that for forever. My mom’s in insurance. My wife is now an insurance. I’m married, I’ve got a four year old a as of next week we’re having his birthday actually in a couple of days here. But yeah, I’ve been in insurance for the longest time. Came across a podcast the end of last year, I think like Thanksgiving time. And that’s how I found out about wholesaling.
Brent Daniels: So what made you curious about it? I mean, to find a podcast, I mean, one does not just stumble onto a podcast. What were you looking for? What was missing? What did you feel you wanted to get out of the podcast? Or what did you feel was kind of missing from your career or your industry?
Phillip V.: So I honestly can’t say why I started looking at podcasts or how I ran across this. I think was looking for books and things like that to read or listen to. And I was on my iPhone looking at podcasts. There was a podcast about like on wholesaling. This guy was talking about how he made this much money on it. He’s got all this freedom now. Talked about how like easy it was and I was like, “Well, I want to have some freedom. I want to make money. I want to help people.” And that’s what I’ve been doing, ever since I’ve been doing the insurance lifestyle. So it was just about the money and just the freedom that you have when it comes with the wholesaling.
Brent Daniels: And helping people.
Phillip V.: And helping people. That’s sort of I’ve always done. Whatever I’ve done, it’s always been helping somebody. And yeah. Insurance has been that since, like I said, ’99, constantly helping people.
Brent Daniels: So when did you start the conversations with homeowners? When did you start getting into changing the hat that you wear that is insurance to the hat that you wear that is wholesaling? When did that happen?
Phillip V.: So the end of last year when I heard that podcast, it was another guy. I bought the program. It was just a small program where you looked at videos. He kind of taught you what it was basically. I put a bandit sign out and had a couple of calls from that. Actually was driving around the neighborhoods after posting like the bandit signs and saw this for sale by owner sign. I met with that guy. He wanted retail, wasn’t really wanting to sell it low is what I thought wholesaling was when I first got into it. And yeah. So that’s, I mean, that was the first thing that I did and then I just didn’t really do anything after that until I ran across you guys. And your whole podcast, I’ve been watching y’alls podcast for a while, I guess since like the end of last year. And I heard about you. You started your whole like “I’m a TTP,” but it was about wholesalers that had been involved a little bit more and then, yeah. So July of this year is when I joined the program and really started talking to people.
Brent Daniels: Yeah, I love it. So for anybody out there that is on the podcast listening to this and maybe they’re in insurance or something similar, maybe a real estate agent, maybe a mortgage broker, maybe something like that, was there any issues when you were transitioning into this role? I mean, it seems like you had always been in the people helping business, that you were always in a professional setting. Was it difficult to transition from insurance to talking to people about an offer on their property?
Phillip V.: Only because I didn’t know a lot about, of course, escrow, title companies, the contracts, stuff like that. That was the only difficult part because you’re not sure about all that stuff. But talking to people is, it’s just the easy part for me is getting … I mean, if I can get in front of somebody, it just comes natural, but, of course, with the whole title, the contract, make sure I have that all correct, that was probably the part that really slowed me down when I was trying to do it on my own.
Brent Daniels: Got it. And it does slow you down. It slows a lot of people down. That’s what I was talking about at the beginning of this message is that you get so bogged down with all of the other details when it comes to putting a deal together that you almost get scared, right? You almost get fearful that you’re going to look stupid or you’re not going to know what’s going on or you’re going to screw something up or if there’s going to be these huge consequences when in fact, if you’re being open and honest with people and you literally tell them that you’re new at it and that this is something that you’ve just started or that you’ve had a passion for for a long time and you’ve got a coach that’s helping or whatever else, people are very, very, very cool. I mean, for the most part. If they have a problem with it, then they’re probably going to be the worst transactions anyway. If they don’t just drag you along with, “I want to think about it” or they drag you along with, “Call me back in a few months” or any of that.
So I mean it really gets a lot of those people that are going to be unfun to work with out of the way. Just taking that action and picking up the phone and talking to people, like you were saying, I mean, it’s just that is the point. That is the whole point of it. Understanding the escrow and the earnest money and contracts and buyers and everything like that is absolutely important, but it comes second to having those conversations. And so you started having those conversations, right? You started picking up the phone. You joined the TTP program of course, and you started picking up the phone. How hard was that when you started?
Phillip V.: So picking up the phone wasn’t too hard, I would say. I’m not great at just doing like a cold calling side of things, but once I start talking, it’s not a problem. But yeah. I mean, I just followed your steps. I started, like I said, July 26th, July 29th, follow the steps, said what you said to do, went through the program like you said. As soon as it was over, as soon as the modules were over, I picked up the phone the very next day, pulled those lists and just started calling. Yeah.
Brent Daniels: So who do you call? Who did you call?
Phillip V.: So my first list was the driving per dollars. So because I meet with clients sometimes with my insurance agents, [inaudible 00:10:58] or I have to go to dealerships and pay him like a referral fee or things like that, I was always driving neighborhoods, trying to find the ugliest houses or the houses that needed some work. And that was my purse list. It was about 54 names that I pulled initially.
Brent Daniels: Love it. And then you skipped trace their phone number. You’ve got their phone number and did you hand dial it? Did you use a dialer? What did you do to call those 54 people?
Phillip V.: I’d use the Mojo Dialer. I use a single line Mojo Dialer. If I didn’t get ahold of them or I got the voicemail, I left a a specific message for them for that property. So they would call me back. But yes, I did the skip tracing, called them just one line at a time.
Brent Daniels: Got it. And how did it go? I mean, did people talk to you? Did people call you back?
Phillip V.: I actually had got about four or five people on the phone from my initial session of that. One guy had like three or four properties that he had, but he thought it was funny that I was calling him about them. He wanted me to talk to him about the 10-31 exchange and I didn’t know anything about that. But he just thought it was funny that I was calling him to buy his house and I didn’t get anybody that was really mad at me or anything. They were just talking to me and I just had a conversation with them.
Brent Daniels: Love it. And when you left specific voicemails, were you getting called back too? I mean, you mentioned that you had got ahold of some people. Did anybody call you back?
Phillip V.: I didn’t have anybody call me back from that. Actually except for the deal that I did close. I sent her a-
Brent Daniels: Oh, except for that one?
Phillip V.: Yeah. I sent her a mailer and I also called her, but I found out she had like two different phone numbers and I don’t know if the one that I had was an old one or like a new one, but so yeah. I sent her a mailer and I called her.
Brent Daniels: Got it. So let’s talk about that. Let’s talk. Is this the first deal that you ever did?
Phillip V.: First deal ever.
Brent Daniels: Okay. So break it down for us. Let everybody … Everybody wants to know [crosstalk 00:12:47].
Phillip V.: Yeah, like I said, I had the list of like the 54 names. I was driving for this address. I skip traced the phone number. I called and I left her a voicemail about the house. This was a house when I drove by, like the gutter was like falling off the house. I kind of looked like, not really in the window, but I looked like in the front yard. You could kind of look inside the house and you could see that it was vacant. So I called her. It looked like a good lead. It was in a good area. I was just like, “Well I’m going to go ahead and just send her a mailer also.” This was probably on like a Thursday or like a Friday. I got a call from her the very next week, like Monday or Tuesday. She called me.
She was like, “Oh Phillip, thank you so much for reaching out to me. I need to get rid of the house. I bought it like two years ago. It’s been sitting there. I’ve been trying to fix it up myself and I live in a completely different city.” So she ran out of money to fix it, so she needed to sell it quick. I said, “Okay, yeah, I can definitely help out with that.” Asked her the price or she wanted to get like a 130,000 for it, which was actually a little bit lower than I was going to probably offer her for the house and yeah. So I mean, it was … I talked to her on like a Tuesday. I told her that I’d send her the contract that night, sent the contract. There’s a little bit scary because I’ve got the DocuSign where you can see if they’ve actually looked at it or opened it.
Brent Daniels: Yep, yep.
Phillip V.: She never opened it like the next day. So I called her, she didn’t pick up, she never returned my phone calls on that next day.
Brent Daniels: Yep.
Phillip V.: I’m like, “Great man-”
Brent Daniels: [crosstalk 00:14:25] Heart starts pumping. Yeah.
Phillip V.: I gave her what she wanted … Exactly. I’m like, “I gave you want you wanted. Why are you not signing it. And what’s going on?” So I called her the next day, which was a Thursday, like in the morning, I guess her router had like gone out so she didn’t get it. She didn’t see it. So she opened it up, sign it immediately. I had it on like Thursday afternoon. Friday I went to the title company that one of the other members in our group had actually told me about, met with them with like the contract. Again, I’m not sure about the contracts, but I had one that I thought worked, took it to the title person, was waiting for her to tell me, “Well, this isn’t going to work.” But she was like, “Okay, this is great. You have the earnest money.” I put down like a $100 earnest money.
Brent Daniels: Yep.
Phillip V.: Wrote a check for it and then I sat there and had to wait, I guess, for the title to clear before I wanted to find a buyer for it. But I did have a buyer lined up because just like the program says, “Talk to people.” So I had been telling people what I do. I’d find these properties. So I had a family friend of mine that wanted to buy a house to flip. So she was already lined up. I told her that I would get her a contract and a price once I knew that the title was actually cleared.
Brent Daniels: Yep.
Phillip V.: Got a title clearance the next week. So I delivered on Friday, title cleared on Tuesday or Wednesday of that next week, and presented the contract to the buyer. She signed it, sent it over to title, and we closed in less than two weeks on this entire transaction
Brent Daniels: From start to finish?
Phillip V.: Start to finish. Talked to her on like a Tuesday, Wednesday, and then two weeks later on a Thursday, closed.
Brent Daniels: It’s that fast. I’m telling you. This is hitting the lottery, right? It’s like a cash machine. I mean, you cannot …
Phillip V.: It was.
Brent Daniels: I mean, just incredible. And a couple of things that I want to point out in what you just said. Number one, when they tell you the price they want, those are always going to be the biggest, best deals. Now, of course, people are going to tell you prices that are way above anything that you can ever offer them. But when they tell you the price first, when you get that price out of them first, I mean, there is magic that happens there that some people just want a certain price and that makes them completely happy. And boom, they’re done. Like you said, you would have probably offered more if push came to shove, but she was the one that said it first. Beautiful. I love that.
Second thing that I took out of that is when you’re talked about TTP being, I’m talking to everybody about what I do. That is the mantra. That is the philosophy. It’s not just about cold calling guys. It is a whole overall philosophy in this business that you’re talking to people all the time about what you do because you’re not trying to be this undercover investor or whatever. You are out there and you’re explaining to people that you can provide value and service to the marketplace and the community, which is huge. So I applaud you. So let’s get to the juicy part of this. How much did you make on your very first deal in wholesaling?
Phillip V.: So I did a double closing. I got the house under contract for 130,000. I had the contract for my buyer at a 167,000. So because I’m a double closing, I had to pay some of the closing costs.
Brent Daniels: Yep.
Phillip V.: So it came out to just over $35,000
Brent Daniels: Oh boy. You know what time it is? $35,000 on your first deal in two weeks, start to finish, dude. I mean, people listening to this, listen. This is real life. Phillip is not a paid actor here. This is real life. He literally went out there and he took action and he … one phone call, one phone call and we’ll put an asterisk. That might’ve been his mailer. We’ll see, but one conversation led to $35,000 in two weeks. This is real life. This happens in this business. Wholesale. Anybody that is in real estate, anybody that’s thinking about investing, anybody that has that real estate bug, this is it. Wholesaling is the best way to make those huge amount of money in a short amount of time and provide an incredible service. So let me ask you this. What did your buyer do with the property after they close? Do you know? I mean, I know this is what a month ago, a month and a half.
Phillip V.: We closed on the sixth so it’s only been about six days. She’s going to put some money into it to fix it up and then she’s going to sell it here in like a month or two. I don’t think it needs like too much work. It was already, like the floor’s were already taken up. There was already some paint on done to it. It just needs flooring, some windows, a new roof, some paint. So yeah, they’re going to fix it up and just sell it.
Brent Daniels: So what do you think they’ll sell for?
Phillip V.: They should get about 240 to 250,000 for it. That’s what I’m saying. I think I was going to probably give that lady a little bit more, but she had that price and for the 130,000
Brent Daniels: Awesome. And here’s the thing, by the way, her motivation to sell this property was she no longer lived in the area, right? Was this property vacant?
Phillip V.: Yeah, it was vacant from like the time that she bought it.
Brent Daniels: Right.
Phillip V.: But she lived in a completely different city and was going to fix it up to sell it, to live in it, but she ran out of money and she didn’t live nearby.
Brent Daniels: Right. So she’s got a vacant property. You’re able to take that responsibility, that burden off her hands. You make 35,000 in the process and then your cash buyer, the flipper, is going to make whatever on the backend after the fix up. I mean, this is just, everybody wins in these scenarios. It’s absolutely phenomenal. I just love it. I mean, everybody is happier for you because you are the catalyst for this. That lady could’ve sat on it for a long time. It could have been a huge burden for it, or worse, she could have put terrible tenants in it that made it even, that beat up the property even more. And your cash buyer, that their livelihood, their job, their business, their, maybe it’s even a side business. The way that they make money in income and provide value in the community is by fixing up and making houses beautiful and selling them. They wouldn’t have that opportunity if it wasn’t for you using your voice, your talents, your abilities to pick up the phone, have a conversation with a stranger and solve their problem. You the man. You the man.
Phillip V.: Thanks Brent. It’s all because of you though.
Brent Daniels: No, well it’s certainly not. You do all the hard work, but here’s the deal. So I like asking this question. If you had a superpower, what’s your superpower? What is your superpower? What makes you … What’s the big thing that you do really, really well?
Phillip V.: Persistence, I think, is probably my superpower or something I’m good at or something I can help somebody or if I can help somebody out, I’m going to try to find a way to do that.
Brent Daniels: I love it.
Phillip V.: I think it’s just going to be persistent.
Brent Daniels: I love it. And where do you go from here?
Phillip V.: So like I said, I own an insurance agency. That does take a lot of my time right this moment. So I’m doing the wholesaling part-time, but I want to get into this full-time because selling $35,000 worth of insurance products in one month is a lot of work and a lot of attention. This is a little bit easier. So I think I’m going to start trying to move out of the insurance maybe a little bit.
Brent Daniels: Got it. I love it. So you’re doing this as a side hustle. Hey listen, he’s making cold calls as a side hustle on top of his owning an insurance business. I mean, how phenomenal is that? That is just huge. I mean, there’s just no excuse not to pick up the phone. You can find the time. Remember there is no time management issues. It’s just priority management issues. If this is a priority, you will make it happen. Just like Phillip. Fantastic. So give us a book, give us a book that you would suggest everybody reads because I think that reading is literally, literally, literally like sitting down with a mentor for hours and hours and hours and it costs you $20, whatever it is. So give us a book that you would suggest.
Phillip V.: There’s a lot of books. I think The Secret was one that really spoke to me because it does talk about whatever happens out here is because of what’s in here. And I think that’s what I think people need to get started with anything. As long as you believe what’s in here, then you can make things happen outside.
Brent Daniels: [crosstalk 00:22:42] It’s mindset.
Phillip V.: Take an action. Yeah, exactly.
Brent Daniels: Yeah, love it. And if people are in your market or around you, how can they get in touch with you?
Phillip V.: You can find me on our Facebook. Phillip Vegas reach out to me there. Yeah, I’d be happy to talk to you.
Brent Daniels: Spell it for then.
Phillip V.: But yeah, so Phillip with, I’m a two L’s and then I’m a Villegas is V-I-L-L-E-G-A-S.
Brent Daniels: Awesome. Awesome guys. Definitely reach out. If you are in and around Austin, definitely reach out to meet up and/or if you are in the insurance business and you’re wanting to get into this reach out. I mean, it’s just a, this community of people through this podcast, through Wholesaling Inc, through the TTP program is literally the best group of people that I know in the real estate investing world. It really is. So really take advantage of it cause you’re not an island out there by herself, just trying to figure things out. You’ve got a huge community behind you, so definitely, definitely, definitely reach out. And with that, that dovetails into a face to face with all of these wild, crazy energetic, positive people in Asheville, North Carolina, October 15th through the 17th. Guys, sign up now. Just get to it now at wholesalingsummit2018.com.
Get your ticket, get in there. You’re going to meet the most incredible people in the industry. I guarantee it. And just like Phillip said, if you’re looking for a step by step proven system that is going to get you to your first deal or going to add so many more deals to your business and really cut your marketing budget down, really, really … by the way, what did it cost you Phillips to get that deal? What was your marketing budget with skip tracing those leads and with a dialer?
Phillip V.: $288.36.
Brent Daniels: Less than $300 turns into $35,000 with a phone conversation with picking up the phone and doing it. So I’m telling you guys, if you are interested in this, if you are proactive, if you are tired of spending tons of money on marketing, or you don’t have money to spend on marketing, you got to join the TTP program. Sign up for a call with my team. They are the best at wholesalinginc.com/TTP. It’s very easy. Just register. We’ll get on a call. 30 minutes. It’ll be the best call of your year. It could be your life. Who knows? And also if you are looking for this video or similar videos like this podcast, check me out on Brent Daniels Real Estate Coach on YouTube. So check that out.
So Philip, you the man. Thank you so much for being on here and sharing what somebody can do part time with just a minimal budget, but with a really big heart and really big actions and I really appreciate it. Thank you so much.
Phillip V.: Hey, thank you.
Brent Daniels: All right guys, until the next episode, it is Brent Daniels and I encouraging everybody to talk to people. Talk to you next time. Love you.