While there’s no shortage of people who are earning huge profits from multiple wholesaling deals, there are also those who make a fortune from just a single deal. And in today’s episode, you’ll get to know a phenomenal wholesaler who was able to pull off the latter.
Brian Howard is an exceptional wholesaler from South Carolina. While he’s no wholesaling expert yet, he does not shy away from taking massive imperfect actions and asking for help when he needs it. Undoubtedly, his persistence and fearlessness paid off massively as he earned $59,000 from a single deal!
In this episode, you’ll not only discover how he was able to pull off a feat as impressive, you’ll also discover innovative ways to find prospects and close deals. So have a pen and paper handy, you’ll have plenty of game-changing insights to take note of!
- The importance of having a good attorney
- Why building rapport is key
- Why following up with the seller consistently is crucial
- How he determines the price to list a property at
- How he gets people to play by his rules
- Some of the things he learned from the deal
- Why he lets his attorney figure out the technical stuffs
- What he hopes to get out of the Next Level Wholesaling program
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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Speaker 2: Bam. All right guys, another amazing episode of Wholesaling Inc, America’s number one coaching real estate program on the planet. I love it. I’m so excited. I’ve got an amazing guest for you guys here today. An individual in South Carolina who just did a big, big deal over $50,000 we are going to pick his brain so that you know exactly how he did it so that you can have the same success that he had. This is the no BS, no fluff zone. I am not going to waste your time and I’m not going to waste his time. We’re going to get right to the meat and potatoes and put him in the hot seat, so we’re going to get started in a minute. Another big announcement is I want to let everyone know, I know everyone hates, all the marketing guys hate when I date podcasts, but I’ve got to tell you guys, I just reviewed 2018 numbers. We did over $1 million in assignments in 2018!
[bell rings] So I had to read the victory bell for myself here, but I’m also going to be ringing it for our guests in a minute. This is the Wholesaling Inc show. Let’s get started. Hey Brian, can you hear me?
Brian Howard: I sure can.
Speaker 2: All right guys. So I got Brian Howard on the phone from South Carolina. He is going to be an amazing guest. We’re going to hold his feet to the fire and force him to give us exactly how he did this deal so that you can do it. So first of all, Brian, you are in South Carolina, is that correct?
Brian Howard: That’s right.
Speaker 2: Awesome. Now we’re about in South Carolina are you?
Brian Howard: Well, I do my business in Greenville, South Carolina, but I live right around the North Carolina-South Carolina border.
Speaker 2: I love it. I know that area well, we have a lot of good rhinos out in Greenville, South Carolina. I know one of our Wholesaling Inc rhino students is Mike MacLeish. So a big shout out to Mike. He’s a good friend and a great student. A great rhino and very successful individual. So awesome to hear that. So today I know we’re going to be discussing a deal that you did and I want to just… It’s such a big deal. I want to dive right into it cause there’s a lot of people, they have a limited amount of time. They’re driving to work and they want to stop having to drive to work to go to that little cubicle and they want to do wholesaling. So if you don’t know guys, wholesaling real estate is the number one way to become a millionaire. Hands down. There’s nothing faster except for playing the lotto that I know of.
And wholesaling real estate is the art of consistently finding discounted properties. That is it. Don’t over complicate the simple business. If you can get really good at finding discounted properties, you will become a multimillionaire. Absolutely. So let’s get started with this deal, right? I usually give our guests a little bit of a time to do an introduction, but I know everyone is anxious to hear about this. So tell me a little bit more about this deal. My first question is how the heck did you find a person where you can immediately resell their house house with, now you didn’t rehab it, right?
Brian Howard: I didn’t even touch it. No, I mean other than taking some pictures.
Speaker 2: I love it. So how could you make 50K? I want to know number one: where did you find this seller?
Brian Howard: Really this was off of a postcard. I actually, the story started about three and a half years ago. I sent a postcard to an absentee owner. Real basic list, and that’s someone that owns a property but doesn’t live in it.
Speaker 2: He had some title problems with this. He had sold the property to a father and son and the son went to jail and the father died. He was selling it to them rent to own. So he couldn’t get the title problems figured out with the father dead and the son in prison, they weren’t running probate and he had a really bad attorney that wasn’t able to fix the problem. So fast forward three years to this last spring and he said, “You know what, I’m tired of working with this. I’m just going to let it go to the tax sale next year.” So what I did is I said, “Well why don’t you sign it over to me? I will fix the problems. I’ll hire an attorney, I’ll fix the problems, I’ll catch up the taxes. And when it’s all said and done, I’ll pay you $9,000 that’s 9,000 more than you’d get from the tax sale.” And he said yes.
Brian, just out of curiosity, because it sounds like it was going to tax sale. Was this homeowner behind on taxes?
Brian Howard: He’d been keeping him up, up until this last year. Yeah. So I only had to pay one year’s taxes, about $1,300.
Speaker 2: Got it. Understood. Okay, perfect.
Brian Howard: So he decided over to shoot me a quick claim deed and he had a mortgage against the property cause he was seller financing it. So he signed that over to me just so if I needed to I could start a foreclosure on the property, which that’s a whole different issue. But I didn’t have to go that route because my attorney, which is good to have a good attorney, I don’t think most of the attorneys that I know would have been as good at this deal, but this the one that an investor friend of mine recommended. But he cleaned it up in about three months, and so I owned it free and clear, clear title. I listed the thing with a flat fee listing of two fifty.
Speaker 2: Okay so let me yeah, let me just ask you a few questions. Cause you have people who are listening in, they’re kind of like, “Well I’m not sure exactly how to do any of that stuff.” Now. Number one is, first of all, so the list was absentee owners. So you sent out postcards to absentee owners. This guy called you and he basically said… Now I don’t understand, did you actually put the house under contract for a purchase price of $9,000?
Brian Howard: Well the original arrangement, he was actually going to sell to me with seller financing for 32,000 I think this is back in 2015.
Speaker 2: Got it.
Brian Howard: I offered him 20,000 and he wouldn’t take that and so I just kept calling them back every month. I just kept staying persistent, building rapport with them and by the time he was ready to give up on it, he didn’t mind just signing it over to me cause we had that relationship built.
Speaker 2: Okay. So when you say he signed it over to you, I’m not sure I understand that. That means you put the house, like he literally deeded the house over to you?
Brian Howard: Yeah, yeah, he deeded the house to me. We did a quick claim deed.
Speaker 2: Okay. So I’m not sure what quick claim deeds are. So that means that you guys went to the title company and he said, “I am good at” now is there an existing mortgage on the property?
Brian Howard: Only the one that he had against the people that were buying it. So it was free and clear as far as he was concerned.
Speaker 2: Okay. So the house was free and clear. So you went to the title company and you said, “I’m going to, he’s going to do a quick claim deed,” which means that they’re going to put the house in your name and you’re going to give him $9,000 is that what happened?
Brian Howard: Right. Well I didn’t give him $9,000 actually, I’m sending him my check today.
Speaker 2: Okay.
Brian Howard: I told him I would send him $9,000 after everything was done and he was happy with that.
Speaker 2: Just out of curiosity, I’m just wondering, and I’m sure a lot of our listeners are wondering the same thing. Cause, I know and just for all of our listeners sake, even though we have a very successful business, I know surprisingly very, very, very little about real estate and even less about what Brian’s talking about. So I don’t want anyone to think that you need to be an expert on any of them. So why wouldn’t you just have said, “Hey, I’ll put the property under contract and buy it.” What was the strategy there?
Brian Howard: Well I didn’t know if I could get the title cleaned up and that’s why I asked him to sign it over to me cause there were some complicating issues. It took me a little while to figure out. And the thing is that I’ve learned with real estate is if there’s a problem, there’s someone out there that knows how to answer it, whether it’s another investor or an attorney. And so I just have a tendency to just take action and I figured it out along the way.
Speaker 2: Yeah. Massive imperfect action and progress, not perfection, and ask who, not how. Right? So it’s not like you became a licensed and insured title company to fix title problems. And that you guys, if you want a lesson for today is progress, not perfection, massive imperfect action and ask who, not how, seek who don’t seek how to do something, seek who can do it. That’s one of the secrets… harnessing other people’s talents is the secret to entrepreneurship. I love that. So you put the house under, you get ownership over in the house through what’s called a quick claim deed, no idea what that means. And then you clean up the title, you get somebody to clean up the title. Did you have to pay that person?
Brian Howard: Yeah, I gave the attorney $2,000 and so I had to put some money into it, but…
Speaker 2: So you have the house that you have not paid a penny for and $2,000 of cost. Is that accurate so far?
Brian Howard: That’s correct.
Speaker 2: Okay, so now you own the house, the title. Now, the guy from the title company says, “Hey Brian, this house is cleaned up. The title is ready to go.” What do you do at that point?
Brian Howard: Once it was ready to go that day, I called a listing agent because I knew that was going to be… I sent it out to my buyers list too. I’ve got, I don’t know, four, five hundred people on my buyers list, but I wanted to get it listed on the MLS. So I did a flat fee listing, $250 bucks. Oh, there is one more detail that that came before getting it cleaned up.
Speaker 2: Okay.
Brian Howard: And I don’t know how important this is, but there was an error on the property that I had to kind of buy off. So I paid them $1,700.
Speaker 2: Got it. And at what point was that done?
Brian Howard: That was right before it was cleaned up, actually. They’d been given a check until they signed off and once it was signed off we were ready to go.
Speaker 2: Got it. Got it. Okay. So, okay, got it. So, now I understand all the dynamics of the deal. So now you own the property, you call a flat fee service. So that’s just somebody, that’s an agent or a broker who will put the property on MLS, which is great. Because guys, one of the key takeaways here from Brian’s episode is when you do that, your cash buyer list goes from, you know, hopefully it’s 2000 or 2,500 to like 25,000, right? Because so many people even across the country can get access to MLS listed property. So, awesome. I love that. And then what happens at that point? It sells immediately. It sits for a while. What did that look like?
Brian Howard: From the time I listed it, I don’t know the exact amount of time, but what I did is, is I put on the MLS, I said, I’m taking my highest and best offer by, I think it was the 21st of December and I think I gave them about a week and a half. It seems like I put it up there Wednesday or Thursday that week before. And so I said, “I’m taking my highest and best offer. I’m not taking any early offers, by December the 21st and we’re going to close by January the fourth.”
Speaker 2: Right.
Brian Howard: And so I got an offer for 77,000.
Speaker 2: Brian, let me ask you. A lot of people, because it sounds like, I want you guys to know Brian is… He knows what he’s doing, so there’s a reason why he’s on this show and there’s a lot of stuff we’re going pretty quick. But I just want you guys to know… Brian, a lot of people, when it comes to putting a property down in MLS, they’re not sure how to list it. But it sounds like you made the buyers play by your rules. So can you tell me a little bit more about how you did that and why you said when to give an offer by and did you do showings or did you not do showings and how did you determine how to come up with the offer for the price to list the house at?
Brian Howard: Well, I just listed it based on comps in the area. I listed it, not real high because I wanted to leave some room. I wanted to keep people interested enough that they would make an offer on the property, but I didn’t want to make it too low that I’d get a bunch of low ball offers.
Speaker 2: Right.
Brian Howard: As far getting people to play by my rules, that’s just, it takes really some guts cause you’ll get a lot of people that are like, “I’m going to give you this much today but you need to sign today.” I mean, almost everybody that contacted me said that or like, “I’ll give you 60,000 but you got to sign it today.” I’m like, “Well I’ll take that into consideration next Friday.”
Speaker 2: Right. And just out of curiosity did any of those people who initially reached out and stipulated some criteria that you had to accept, were one of those ultimately the buyer?
Brian Howard: No, the buyer came in the day before the end of the bidding period through the realtor that listed it, actually. And they didn’t have any stipulations. They said, “This is our offer.”
Speaker 2: Awesome. I love it. Very, very, very cool. And, okay. So how many offers did you end up getting on the property?
Brian Howard: I didn’t get a ton. I think I got seven or eight. I maybe got a couple that I didn’t really even consider. They were half of what I ended up getting, but I got probably seven or eight that were 50,000 or more.
Speaker 2: Okay. Seven or eight that were 50,000 or more. Got it. Okay. Awesome. And you’re all in so far at this property? If I’m doing the math right, is 2000 to the attorney, to the title attorney and another 1700 or so. So about $4,000 probably with the postcard, something like that.
Brian Howard: Yeah. And then I did have to pay one year’s taxes, 1300.
Speaker 2: Got it. Okay. So I love it. So about five or six thousand dollars. That’s awesome. Okay. So, okay, so now all of a sudden you get this buyer, it seems like that’s the highest offer. And what was his offer or her offer?
Brian Howard: 77,000.
Speaker 2: Wow, that’s awesome.
Brian Howard: Yeah.
Speaker 2: It’s the greatest business in… Do you know some people, they work an entire year and they don’t earn that. That’s just incredible to me. But okay, so you get this and then what happens at that point?
Brian Howard: Well, we just closed. They closed fast. They had an attorney, I think we closed on the 26th and I had gone to Wisconsin for Christmas by that time. So it didn;t completely closed until I came back. I’d forgotten to sign off on that mortgage that was in my name. So, but it was a done deal on the 26th of December, really.
Speaker 2: That’s amazing, brother. So first of all, number one question is, so how much did you ultimately make on the deal? Do you have your net revenue on that?
Brian Howard: Yeah, I don’t know to the penny, but it was right around 59,000 and then I got 77,000 and it was… The realtor fees were about 3000 and then all the other expenses, including paying the seller, the 9,000 was about 15,000 more. So yeah, right around fifty nine thousand.
Speaker 2: Fifty-nine thousand guys. Woo!
Brian Howard: Yeah,
Speaker 2: That is, Brian, that’s so incredible, brother. Honestly, I mean…
Brian Howard: It’s a game changer.
Speaker 2: Game changer. So before we move on, let me ask you, for anybody who wants to emulate your results, what are some of the one, two, or three takeaways from this deal? If someone’s trying to copy your success on that, what would you recommend to have this financial freedom number? I mean it’s incredible. I mean, what are some of the things that you learned and what can you share with us about that?
Brian Howard: Well, there were a couple of things. The main thing I think is persistence. I meann, I called the guy at least once every other month, probably closer to every month just to keep touch with him. And so we had a relationship built by the time he was ready to sign over the property. Another thing is I probably wouldn’t have even gotten a deal had I not offered him a seller financing offer because he wasn’t going to take my cash offer. Right. And so, I offered him a seller financing offer and that got my foot in the door. And the other thing… I’m sorry, go ahead.
Speaker 2: Yeah, I just want everyone who’s listening to understand something. There’s something that Todd Toback talks about. There’s something that Robert Kiyosaki talks about. There’s something that a lot of the people at the top of the pinnacle, they really talk about it and it’s this idea of be to have rather than do to have. And I just want everyone out there to hear this. When Brian is saying, “Well, I offered seller financing.” Some of you are listening to that and saying, “Well what does that mean? What is seller financing?” I want you to just keep one idea in mind. Just remember this guys, everything in real estate is negotiable and that’s really what seller financing means. It really means that anything in this life, think of it as any other deal. Real estate is no different. Whether you’re going to buy a piece of jewelry from a pawn shop or you are going to buy a car or a used car from someone on Craigslist, everything is negotiable.
You can say, “Hey, listen, what if instead of paying you any money today, I start giving you $100 a month.” People will agree to terms and create a financing. Don’t worry about how much you understand or don’t understand about seller financing, owner financing, lease purchase options, rent to own, and all this other fancy terminology to just basically describe that everything in this life is negotiable. And when I was younger and I used to hear very wealthy people negotiate or ask for a discount or ask for special terms or financing or a discounted price or whatever, sometimes people would say, “Oh, they’re cheap, rich people they’re penny pinchers,” but it’s not true.
The reality is they’re really good stewards of their money. They’re good stewards of the money that God blesses them with. So if you want to be a good steward of your money, you get into a deal and seller financing is the only way because the seller is motivated but they don’t want to reduce their price. Be creative. What does the seller really need? Maybe they don’t need all the cash today and then you could do a seller financing deal. So just something to keep in mind instead of to having deep dive, the whole area of seller financing just know everything in life is negotiable, especially real estate. So really good. Good point. But go ahead Brian, I didn’t want to cut you off there.
Brian Howard: Yeah, you don’t have to know how to do seller financing. All you have to know is what you can pay per month and use just a basic mortgage calculator on your phone and I always tell people, “just let the attorneys do all the technical stuff.” That’s what I do. I don’t mess with anything. I just tell him, my attorney, “I want to buy it at this much a month and this price,” and they take care of everything.
Speaker 2: Absolutely, 100% true, guys. Do not become an expert at that. Just figure out the terms and have the title company or attorneys figure out the rest. I love that. That is such… If that’s the one thing that everybody pulls from this episode, it’s just go out there and understand who you are. You are not a mortgage broker. You don’t have to figure that stuff out. There are people who will do it for you, be to have, ask who, not how. All the basic principles of entrepreneurship. So I love it. What else? Anything else that you have for us from this deal?
Brian Howard: The other thing is exit strategy. I mean that was done, that was the main key. I had, my regular investors on my buyers list were offering me 55,000 and I would’ve left 20,000 on the table.
Speaker 2: Right.
Brian Howard: So getting the best exit strategy is really key as well.
Speaker 2: I totally agree. So yeah, and wholesaling guys has nothing to do with exit strategies. This is the whole reason that Brian was able to hit such a big financial freedom number is because it’s all in the acquisition. It’s all in finding discounted deals. If you can get good, right? At finding good deals, you will become a millionaire. So, all right, so big, big news. Brian, I’ve met Brian before in person, I’ve met him, I remember once in Asheville and then another time in Asheville at the event. But I remember one time I was traveling and I think I was staying in the Biltmore park, right? And there was a local area, right?
Brian Howard: Yeah!
Speaker 2: So I remember, I remember so, good stuff. So Brian is a rock star, and then we actually met another time I think where we all went out to dinner and it was him and his wife and a few rhinos in town and Martine Jackson was there, one of my favorite writers of all time.
Brian Howard: Yeah definitely.
Speaker 2: So it was awesome. And Brian is a sweetheart and I just want to let you guys know. So Brian made a big decision. He actually joined, inside of Wholesaling Inc, there’s another level, it’s called next level. It is hosted by Todd Toback. If you guys want to find out more, it’s www.wholesalinginc, wholesaling I-N-C.com/nextlevel. And it’s an amazing program. Todd Toback is my older brother and my own personal mentor. So Brian, I understand that you just joined next level.
Brian Howard: I did!
Speaker 2: Oh man, that is awesome bro. You are going to be ringing that victory belt more often than not.
Brian Howard: Absolutely.
Speaker 2: So how long have you been in the program? Or did you just literally just start?
Brian Howard: Yeah, it was like a couple days. Thursday or Friday I think.
Speaker 2: Oh man. So, so have you had any calls with Todd yet or no?
Brian Howard: Yeah, I just had my introduction call and then I had a call, I think it was Thursday that I had joined and they had a group call that day. It was awesome.
Speaker 2: Yeah so Here’s the deal guys. Now, this is only for people who have done over $100,000, for instance, in a year. So it’s only for people who are really interested in going to the next level, building a business that runs without them instead of a job that they serve. So Brian, so here’s the deal with Todd. It’s so funny cause he was my mentor and all of my success, other than God, I attribute to Todd and all of his guidance and counseling. He asked me when I see him, “What do you want?” I said, “I want a million dollar business that runs without me” and bam. That’s exactly, yeah.
So be careful what you ask for. I would ask for $2 million instead of a million. So the key to work with Todd is, the one thing about him is he’s really focused on being a truth teller and a truth seeker. So I don’t know if you’ve noticed this yet, but the most important thing in those calls is just make sure that you’re tracking your KPIs. If he asks you a question and you don’t know the answer, just saying, “I don’t know,” and let him beat you up for not knowing, rather than being saying like, “Oh well I think it’s somewhere around…”
Brian Howard: Right?
Speaker 2: Yeah. I don’t know if you have experienced that yet. But Todd is… Todd definitely pushes people outside of their comfort zone, but that’s good. So what are you hoping to get out of the program?
Brian Howard: Oh, I want a million dollar business that runs without me.
Speaker 2: Easy peasy lemon squeezy. That’s exactly what happens. So, it’s good stuff man. Yeah, Todd is a rock star. Everything he says is totally honest, wholesome. It’s true. It’s good. He’s never led me in the wrong direction ever, and he’s made me super, super uncomfortable. I remember even on day one, he was like, “Build your cash buyer list.” And I was like, “But Todd, I don’t have a house or anything, yet under contract.”
So it was torture right from day one, but all good things. Yeah. Yeah. It’s good stuff, man. He’s good. Just make sure when you’re on those calls that you’re totally prepared. Cause he’ll definitely push you a little bit to know what’s important, what you should work on, and what you should put in your Sunday maybe folder. So he’ll talk about that, I’m sure and some other good things too…
Brian Howard: Excellent.
Speaker 2: Yeah, so good man. So I’m looking forward to seeing you in there. I don’t really participate too much in that at all actually, but I do kind of check in on it once in a while so I know those guys are all killing it and… Good to hear, man, so awesome. Brian, thank you so much for sharing all this gold information, this liquid gold for other people who are going to copy you. I hope you’re ready for some competition.
Brian Howard: Absolutely. Absolutely.
Speaker 2: Good, man. All right, well listen, say hello to that beautiful family of yours and I will see you at the next event. We are going to definitely have another conference very, very soon. It’s not up and running yet, but I’m looking forward to seeing you there and hopefully before then.
Brian Howard: Awesome, thank you so much.
Speaker 2: All right brother, god bless. Thank you so much for your time today, Brian. I really appreciate it. Thank you for sharing and have a great day.
Brian Howard: Thanks, you too.
Speaker 2: All right brother. God bless. Bye bye.
Brian Howard: All right, bye.