If you’re a wholesaler who can barely find a deal in several months, closing 2 to 3 wholesaling deals a DAY can seem a bit preposterous. However, for today’s special guest, it is very possible if you know how.
Jamil Damji is the president of the highly successful real estate investment firm KeyGlee Investments. KeyGlee is known for providing the most streamlined and friendly process regardless if you’re a seasoned investor or someone looking to purchase your first ever investment property.
However, that’s not even the most impressive part. Jamil can easily do over a thousand deals a year (yes, that’s 2 – 3 deals a day!). Whats even more amazing? He makes it look easy!
In this episode, the exceptional wholesaler, entrepreneur, and real estate investor shared the exact blueprint he used to make his mark in the wholesaling world. If you’re looking for effective tips, tricks, and techniques that can take your wholesaling game to the next level, this episode is for you!
- What they look for when they step in a new market
- Two types of buyer tiers
- Why you need to build your buyer database first
- What to do when you don’t have a buyer base yet
- The type of buyers who pay a lot more compared to others
- How he finds good lenders
- Indicator of potential stagnation
- Research tools they are using
- Action steps you need to take
- Why it’s important to make friends with the marketing people in a title company
- How to get free legal advice when you’re still starting out
- Wholesaling Inc – TTP
- KeyGlee Investments on Facebook
- KeyGlee Investments
- Wholesale Real Estate- Over 1,000 DEALS in 2018…Deep Dive!!!
- Episode 161: Why the Proactive Approach is the Winning Approach in Wholesaling
- My Neighborhood Source
- Fidelity Investments
- Dropbox Link for Step by Step Instruction
- Jamil on Instagram
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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Brent Daniels: Welcome everybody to this special Wholesaling, Inc. podcast episode. This podcast is absolutely for anyone, anyone that is looking to do wholesale, virtual wholesaling. Okay? Anybody that’s looking to get out of their market and go into other markets and succeed. I have with me in this discussion, I have the number one wholesaler on planet Earth. That is Jamil Damji with KeyGlee Investments.
Jamil Damji: What’s going on, bro?
Brent Daniels: Hey, welcome.
Jamil Damji: Thank you.
Brent Daniels: Now guys, you might recognize his voice if you’re watching this, if you’re, if you’re listening to this on the podcast, if you’re watching it on YouTube, then you would have seen one of the videos that we walked through your office, you open the doors. We actually went through your office, saw your operation, really broke down some really great information. So if you guys haven’t seen that, check it out. It’s on the YouTube page. And he has also been featured on a podcast where we just kind of talked about what you did and how you built your business. But this is a special edition podcast. This is a special edition video because this is going to be very, very specific and you’re going to lead people with the exact blueprint that you’re using to go into other markets.
Jamil Damji: Absolutely, man. And so, Brent, the reason why I’m here today is because as we were venturing into new markets, I thought, “Who better to talk to about this than Mr. TTP himself, Brent Daniels?” I know that you’re student-based and all the folks that are following you at Wholesaling, Inc., everybody wants to know, “If I’m in a market of 50,000 people, is that it for me? Am I stuck here? How am I going to do business?” And you know what? Don’t get down. Don’t feel bad about it. Live wherever you want to live. You can crush it in any market in the United States, but you’ve got to do it smart, and that’s what we’re going to talk about today.
Brent Daniels: I love it, I love it. So let’s get into specifics.
Real quick. Just for a little background, guys, Jamil and his company does over a thousand deals a year.
Jamil Damji: It’s true.
Brent Daniels: Okay. Just let that just settle in your brain for a little bit. This is two to three deals a day. Okay, so this is coming. I mean, this is just a huge honor for us to have him on the podcast, on this video. So really, again, we go back to growth mindset. You need to find a minimum, and there’s going to be way more, but a minimum of three things that you’re going to take action on when you’re watching or listening to this podcast.
Jamil Damji: Fantastic, Ryan. So that’s great. Take action. Number one thing. I’m going to hop right into it. So what does KeyGlee look for when we’re analyzing whether or not we should step into a new market? [crosstalk 00:03:29]
Brent Daniels: And he’s looking at his phone here, guys, [crosstalk 00:03:34] because he’s got this all laid out. This is going to be [crosstalk 00:03:36]
Jamil Damji: What are we looking for? So in the beginning, we’re looking for the types of buyers, right? So we’ve got two types of buyer tiers. We’ve got seasoned investors, and we’ve got speculators. Now, seasoned investors, they’re our favorite types because there’s not a lot of rapport needed. You don’t have to really massage the deal. They know exactly what they’re looking for. They understand their numbers. They’re going to come in, they are going to buy what they’re going to buy, and they’re not going to buy what they’re not going to buy. This is the buyer you’re really not going to ever push, right? This person understands their situation.
Brent Daniels: You’re not going to explain to them why it’s a good deal. [crosstalk 00:04:09] They see it and they make a decision now. They’ll buy it sight unseen. They know the neighborhoods. They can make decisions quickly. They’re experienced.
Jamil Damji: Absolutely.
Brent Daniels: Love it. I love that you started out with, “I go into other markets and I look for buyers first.”
Jamil Damji: 100%.
Brent Daniels: This is the Wholesaling, Inc. whole model. Build up your cash buyer database first.
Jamil Damji: Why? Because if you’re doing acquisitions before you figure out how you’re going to sell your deal, you know what that makes you? A liar. It makes you a liar, and I’m sorry to say that. I don’t want to use a negative term, but the fact is you’ve got no way to perform. Unless you’ve got that money or that hard money source and you’re willing to take this deal down, don’t contract the house. Figure it out. It’s super easy. It’s just like understanding how to do a math equation. You got to know that certain things come first. Buyers come first. Get that buyer base built up. If you don’t have a buyer base, come into a market that KeyGlee is in, we will help you to get your business jump started and then fly on your own once that’s figured out.
Brent Daniels: Love it.
Jamil Damji: The other type of buyer, the speculator. Another one of our favorites. Why? Because these are individuals with quite a bit of net worth. They’ve got the money. They are always looking for places to put it and sometimes they put them in Ferraris, sometimes they put them in Lamborghinis. All good stuff, but a better investment for these types of buyers? Real estate. Now these are the guys that are going to pay a lot more money than the other type of buyer. Why? Because if you can give them a 10% gain, so selling to them at 90% of ARV, they are happy. Why are they happy? Because they got a deal and they didn’t buy a Ferrari instead. So-
Brent Daniels: Well, and I think- in our experience that’s a lot of doctors, attorneys, high level professionals, business owners, people that are outside of the real estate business. They’re not necessarily professional flippers or developers or whatever, or have these robust rental portfolio, but they’re just kind of getting going and maybe they’ll flip it, but a lot of times they hold on to it. And those are some of the best buyers ever because they pay more.
Jamil Damji: They pay more, but they require more work. Right? You’re going to talk a little bit about what that’s going to look like. So, absolutely. First things first, rapport. Right? You’re going to need to build that rapport. You’re probably going to need to connect them with some form of capital. It’s always good to have your hard money lenders. I prefer Capital Fund over here in Phoenix. I think they’re in Colorado, too, but always get a lender, a great lender, somebody that’s reliable and no closing day shenanigans. Because remember, everybody that you’ve introduced to your client pool is a reflection of you. So if you do deals with Mr. Shenanigans and shenanigans happen at the closing table, guess what you are? Mr. Shenanigans, right? So don’t put yourself in that spot. Venture vendors, be prepared to have your name be on the line every time somebody that you refer is doing business with your clients. So you’re going to-
Brent Daniels: Real quick.
Jamil Damji: Yeah.
Brent Daniels: Just real quick, how do you find a good lender?
Jamil Damji: So for me, the best vetting that I’ve been able to do is talk to some past clients. Go online. I mean, I can’t tell you how many times I get asked a question that would be easily answered by simple Google searching. Right? Just look people up. Go on to BiggerPockets. BiggerPockets is one of those really interesting places where people have a lot of good things to say and they’ll come and share fantastic information, but you piss some people off and they’re also in BiggerPockets talking about it all day long.
If you find your lender to be one of those that everyone has something bad to say about it, where there’s smoke, there’s fire. I would say take heed and maybe don’t introduce them to your clients at first. Maybe try to use them on your own. Just vet them out. So I think, see the type of volume they’re doing. Ask them how many assets under management they have. These are questions that a lender should be able to ask. Find out if they’re licensed, first of all. Right? Holding a lender’s license, either as a mortgage banker or even as an LO. These are important pieces to the puzzle. You don’t want to be involved in transactions where your lenders are getting paid side money. None of that stuff is going to come back and look good on you. So just be prepared to do business with the right folks.
Brent Daniels: One thing that I found, the best hard money or private money lenders came from referrals from my escrow officer. I said, “Who is the easiest to work with on closing?” [crosstalk 00:08:34]
“This is the guy. This is the gal.” [crosstalk 00:08:36]. I want to get to the meat and potatoes of this.
Jamil Damji: So typically they’re not going to require too much of a discount. They understand they’re buying under value. So that’s great. And you’ll probably have to sell. So this is where your salesmanship will come into play. You’re going to need to talk to them about benefits. You’re going to need to talk to them about longterm investment strategy. Get your understanding right, get your information together, and just provide value for what you’re trying to sell.
So that’s the different types of buyers we’re talking about. Now, when we’re looking at a major Metro area and market types, what are the things that we’re looking? So certain specific types of market. Appreciating markets. Just one like Phoenix, the one that we’re in. Right? So that’s a great market for what we want to get involved in. Why? Because we know that assets are appreciating. There’s going to be a lot of investor activity. Access to capital is going to be pretty easy. So that tells us that buyers are going to be able to fund, deals are going to be able to get done quickly, and we’re definitely in a good spot.
Brent Daniels: Yeah.
Jamil Damji: We’re also pretty good in stagnant markets. Right? So volatility is not our friend. If you’re on the upward peak or if you’re kind of leveling out, it’s great for investor activity. Investors love stability. They want to know that if they purchase a property, in six months it’s going to be worth what value they’ve added. They shy away from situations that they’re going to see some depreciation. Right? So stable markets or appreciating markets, those are the types of markets we plan.
Brent Daniels: So you’re saying, you don’t go into some of these markets that there’s just a ton of properties at like 5,000 bucks, 10,000 bucks, 15,000 bucks. [crosstalk 00:10:19] I mean, I feel like the whole country is appreciating or stable.
Jamil Damji: Sure, sure.
Brent Daniels: You know [crosstalk 00:10:24]. Is there a price point that you’re saying, “You know what? This isn’t appreciating. Nobody’s going to land.” I know most conventional lenders, they don’t lend under $60,000. So you have to buy these cash, so you can get great cashflow to rent them out. But then your renters beat up the property and who do you have to sell it to? You got to sell to investors when you want to exit and they want a discount.
Jamil Damji: Absolutely.
Brent Daniels: Interesting.
Jamil Damji: Also, remember that every market has its own sub-markets. Right? So, in Phoenix, for instance, our luxury market. It is a depreciating market.
Brent Daniels: Ah, got it.
Jamil Damji: Right?
Brent Daniels: That makes sense.
Jamil Damji: So we are not going to enter the luxury market in Phoenix because we understand that the demand is lower, there’s a downward pressure on pricing. And so really dive in to understand. It’s not just about, “Okay, Phoenix is appreciating.” No. “Phoenix is appreciating into this price point. Beyond this price point it’s stable, and above that price point it starts to depreciate.” So really dial in those numbers. Don’t take one section of the market and think that it’s going to work all the way across. Cause that’s not true.
And then what factors do we consider? So, when we’re looking at a market and we’re making the decision whether or not to enter it, population. Obviously, right? So if you’ve got a population of 500,000 people or more, there’s going to be homes there for us to turn.
Brent Daniels: Is that your threshold?
Jamil Damji: It’s our threshold. 500,000 or more. Yeah, because beyond that, there’s not going to be a lot of activity. The attraction to capital. Now there might be good deals, but the volume- because remember, we’re a volume wholesale business. Right? Now, if you’re happy doing one, two deals a month, that’s cool. Maybe being in a market of 100,000 people is exactly where you need to be. But if you’re trying to really grow and explode, and if TTP is what you do every day, do you need people to talk to?
Brent Daniels: That’s it.
Jamil Damji: Right? So that’s why you got to get into markets where there’s going to be people there.
Brent Daniels: So when you look population, do you just Google? You just go-
Jamil Damji: Yeah. We Google it. Usually the censuses are like 2015, so you know that people have been [inaudible 00:12:27] and there’s going to be more babies. So that’s happening. So you can probably add a little bit to that. But yeah, Google, Wikipedia is a great place to find out a population and just make sure you’re keeping tabs and you’re not just entering a market because your buddy’s there. Right? That’s a little irresponsible.
Brent Daniels: So 500,000 plus. What’s next?
Jamil Damji: So wholesale volume, our house is sitting on the market. Right? Because remember, if an investor’s buying a property, they’re adding value, and then that property is sitting on the market. What’s happening? Their profit margins are decreasing, their debt services is going up. They are less likely to reenter into another cycle. So the fact- the ability of them to come in and say, “Hey, that worked out well. I want to do this again,” it decreases. Right? So, if houses are sitting on the market for some time, that’s an indicator that there’s a potential stagnation or potential depression or a decrease in price coming. So, just be careful about that.
Brent Daniels: So do you look at supply and demand? Is it how many months of inventory is on the market? [crosstalk 00:13:30]. Explain that. So months of inventory, basically you look at how many homes are going under contract or selling a month, closing a month, versus how many are active. That’s the equation there. So in a, in a regular market it’s about six months, but here in Phoenix and a lot of other areas, three months. [crosstalk 00:13:50].
Jamil Damji: So if you’re playing in a market with three months inventory, again you’re probably safe. But really be careful about those luxury areas because that’s where you’re always going to have a completely different mathematics. Right? It’s just, it is what it is.
Brent Daniels: I think that you can look at the median price. And look at that and I would say, “What would be kind of a threshold? Maybe double the median price.”
Jamil Damji: I think so. I think double the median prices- [crosstalk 00:14:15].
Brent Daniels: I think there’s a big difference between even buyers that are under or above $600,000. You know what I mean? Like that five to six- maybe that’s their forever home or the next- [crosstalk 00:00:14:26].
Jamil Damji: I always pay attention to lending. Right? So what’s the threshold for a jumbo mortgage?
Brent Daniels: What is it?
Jamil Damji: Well, over here I think it’s $460,000. So beyond $460,000 it’s a jumbo mortgage. Right?
Brent Daniels: Mm-hmm (affirmative).
Jamil Damji: Getting approved for a jumbo mortgage is not easy.
Brent Daniels: Right.
Jamil Damji: It’s very difficult. You need all kinds of income. And a lot of guys who are in that higher income category, they have different sources of revenue. And some of that revenue is cash, some of it might be through investments, some of it might be through different vehicles. And so getting all that together so that a lender can make sense of it isn’t always the easiest. And that’s why you’re going to have those- [crosstalk 00:15:06].
Brent Daniels: That why there’s less buyers.
Jamil Damji: That’s why there’s less buyers.
Brent Daniels: Got it. Appreciate it.
Jamil Damji: Available inventory. Obviously that we touched on that. Appreciation over one year. So, how much has the property been appreciating from 12 months. Right? That’s pretty simple. We’ve been seeing an average of 7% here in Metro Phoenix. So, if you’re finding that there’s some appreciation in that market, you’re probably in a good spot.
The appreciation over the last five years. Now let’s look at that in terms of, “Okay, so in five years has that appreciation- are we into now a steep angle? Is this appreciation, is it pretty level, consistent, year over year over year?” And then-
Brent Daniels: Oh, what are you looking to find these?
Jamil Damji: Prices? Do you mean like the appreciation-
Brent Daniels: The appreciation level.
Jamil Damji: [inaudible 00:15:48] We’re going through a different bunch of different data sources. Tax records are typically our favorite to use cause that’s the most accurate. But I think you can find a lot of information from just the online resources like Zillow, Google. There’s a lot of information available to us online that you can get fairly easily.
Brent Daniels: I think If you just Google it, then you should be able to find that information somewhere, the appreciation over the last five years.
Jamil Damji: Yeah. But now the appreciation over the last 10 years. We want to understand the [inaudible 00:16:17] market cycle. Right? Look at California.
Brent Daniels: Mm-hmm (affirmative).
Jamil Damji: California did not get hit- and not all of California, but LA, Southern California, Northern California- they did not get hit the same way as the rest of the country in the Great Recession. Right? So what’s happened over the last 10 years and how close to the peak are we right now? It’s important, guys. Pay attention to market cycle. Do we feel like we might be at the top? Do we feel like we’re climbing towards the top? It could be potentially be on a downward slope. Just know where you are so you know where to position yourself. Right? 10 years will give you a full market cycle. Pretty close to full market cycle. So pay attention to that 10 year curve.
Brent Daniels: Yep.
Jamil Damji: And then this is a real big one. Trustee or Judicial State. Have you ever had an opportunity to talk to your client base about that? So Trustee State, guys. Trustee States are the States that attract all the hard money lenders.
Brent Daniels: Mm-hmm (affirmative).
Jamil Damji: Why? Because if you’ve got a borrower who’s not paying their mortgage, guess how long it takes to get them out? At most 90 days. 90 days. That is golden for a lender because they got to get that money out. They’re paying on that money. They’re losing every day that their borrower is defaulting. So they want to turn. They want to be able to get that borrower out, get that property back on the market, turn it around again. Now Judicial States, that can take up to a year, maybe even longer sometimes.
Brent Daniels: That’s what private money charges a lot up front in some of these states. Right?
Jamil Damji: Absolutely. That’s where you’re going to get points. You’re going to have all kinds of fees. There’s going to be all kinds of extra guarantees involved. I mean, that’s just going to decrease the amount of investor activity you’re going to have available to you. Right? If we’re signing personal guarantees-
Brent Daniels: I never even thought about it.
Jamil Damji: Yeah, so Trustee States, get after them. The Judicial States, you’re going to have to do a little bit more digging.
Now, proximity to you? I mean, I don’t know. I think that’s neat. I think it’s important for it to be close, but I think that’s like way, way, way, way, way, way down on the scale. Right? I think how close you are to a market is not important. We live in the age of the internet. Getting people to get out and do something for us for a very minimal amount of money is there all day. Right? TaskRabbit. [inaudible 00:18:32] What’s another one that you like to use?
Brent Daniels: I honestly, we posted the Craigslist-
Jamil Damji: Fiverr, Craigslist.
Brent Daniels: We posted to Craigslist just to get somebody to take pictures cause we do a lot of land deals.
Jamil Damji: Sure.
Brent Daniels: So they’re out in the middle of nowhere.
Jamil Damji: Yeah.
Brent Daniels: So some dude with his phone- which is fine we just need a [crosstalk 00:18:50] iPhone and video- 50 bucks.
Jamil Damji: 50 bucks?
Brent Daniels: 50 bucks, yeah.
Jamil Damji: Guys, you’re in business, you’ve got pictures, you’ve got the information. You can start selling your deal. So, do not care how close the market is to you. It’s like the far- and then what I think the thing is, is that that’s the number one thing people start to think of before they take into any consideration what we’ve already talked about. Right? And in our opinion it’s the most unimportant. So don’t worry about how close it is to you because that’s what phones and emails are for.
Now, I did miss a line. Public data versus a nondisclosure state. [crosstalk 00:19:29].
Brent Daniels: More and more it’s coming up.
Jamil Damji: More and more. Right? So public data. Why is that important? Because that’s where you’re going to find your buyers. Your buyers are going to [crosstalk 00:19:36].
Brent Daniels: and your list of distressed properties.
Jamil Damji: And your list of distressed properties. Right? So, does the state easily provide you data or do you got to search for it, dig for it, spend all kinds of money, have these relationships with these third party sources that are charging- I mean there’s some third party sources that will charge $20,000, $30,000 a month for access to data in certain counties. That’s just crazy town. Right? So try to be in States where it’s disclosure and the access to data is there.
And then average sale price. Right? For us as wholesalers, it doesn’t really bother me if the average sale price is high, like Northern California, I can tell you wholesalers are crushing their assignment fees up there. Why? Because we’re talking houses that are tear-downs being worth $1.5 million. For you to be able to flip that $1.5 million contract for 1.6 and make $100,000 assignment fee is not a big deal when you’re talking San Francisco Bay. But, can you make $100,000 flip on a house in Phoenix? Might be a little harder. Right? It’s a lot harder. Right? So, average sale price. What you can assume is, the higher the average sale price, the higher your assignment fee and the lower your volume.
Brent Daniels: But look at the numbers. If you’re going higher, look at the numbers, watch how it’s trending appreciation-wise and sale-wise, and how long they’re staying on the market, if it’s a luxury property.
Jamil Damji: Absolutely. Absolutely. Awesome. So, research tools., So what are some of the tools that we’ve been using to get our research? So City-Data.com, everybody knows that. MyNeighborhoodSource.com, another great. Realtor.com, another great one. Trulia. Just simple Google searches. Please, guys, just take some time before you ask crazy questions to people that you probably shouldn’t be asking crazy questions to, if you want some simple information just Google it. Again, go on BiggerPockets. There’s some pretty smart people over there spending their days. There’s all kinds of public data sources, so just get after it.
And then what action steps can you take? So create your own spreadsheet. Really get serious about it. I think that if you’re going to spend time and you’re going to spend resources buying data, and you’re going to hire callers- if you’re going to do all that work, be top-heavy. Begin by doing some research, create a spreadsheet, make sure you really, really, really, really understand everything that there is to know about that market before you jump in. And then when you do jump in, go in both feet.
Brent Daniels: Go crazy. But that doesn’t mean months of research. Right? How long do you think it will take?
Jamil Damji: Two days.
Brent Daniels: Two days?
Jamil Damji: Two days.
Brent Daniels: Two days.
Jamil Damji: Spend two days thinking.
Brent Daniels: Probably in there, there’s probably two hours.
Jamil Damji: Yeah. I’d say gather the information, absorb it, think on it, take action. Cool? Yeah.
Now the next thing we’re going to talk about are what do we at KeyGlee do when we’re going to enter in a new market? We’ve made a decision. Okay?
Brent Daniels: So what markets are you in?
Jamil Damji: Currently we are buying and selling houses obviously in Maricopa County, Phoenix, Tucson. We’re in Tampa. We’re in Orlando, and we are in Atlanta, Georgia, right now. These are all our active, active, active markets. I think I said Tucson, as well. These are our active markets. We are days away from Salt Lake City, so super excited about that. Need to pick your brain a little bit about that afterwards. And then we are a few months out in Houston and Dallas. So those are the next-
Brent Daniels: So you went through these exact- guys, he went through these exact steps to go into their markets. And when you go into a market, I mean you go in fierce so what are they actions steps? What do you do?
Jamil Damji: I love that question. So we’ve got some pretty important things that as- some of this is going to sound like it’s a common sense but it’s only common if you use it. Right? So, first thing you do, file your LLCs in a new state. Guess what? I am Phil and I Buy Houses, LLC in your specific area that you’re buying houses in does not translate into a new market. You’ve got to form a new company. You can’t use your Arizona LLC in California. It just doesn’t work. Title companies are going to go berserk. They break when you send them a deal with an out-of-state operation. [crosstalk 00:23:49] If you want to see people break, that’s how you break them. You said-
Brent Daniels: Don’t do it.
Jamil Damji: Don’t do it.
Brent Daniels: Don’t do it.
Jamil Damji: Don’t do it. It’s not where- [crosstalk 00:23:56]
Brent Daniels: So you file an LLC for- [inaudible 00:24:00] You guys got one in Texas? You got one in Utah?
Jamil Damji: Yes sir. File your LLCs.
Brent Daniels: Yep.
Jamil Damji: Create the internet infrastructure. So, build your websites, build your apps, build out your Podio, get your phone numbers, your email templates. Get all that set up so that you’re organized. Because remember when you get into your market, after the fact is not the time to get organized. Organize yourself before the fact. And I can’t stress this enough. Look I’m a big fan of Magnus Title. Obviously, we’ve got a partnership with them, but Fidelity Title, man. They are the most amazing, amazing, amazing partners that you will ever find. Noelle Moretti, Sharon over here, Dena Jones, they have opened so many doors for us across the country. I can’t say enough nice things about them. Every title company that we’ve worked with that they’ve referred us to has been the best.
So, do this. Make friends with the marketing people at your favorite title company. And if you don’t have one, take my advice and go to Fidelity. Why? Because they are, nationwide, the biggest. They’re investor friendly. They will take care of you. They may not send you to basketball games, but buy your own basketball tickets. They are going to open doors for you. They are going to show you who you should be dealing with and who you shouldn’t be dealing with. So, just make those relationships because they’re awesome. Also have them have their attorneys look over your paperwork. I can’t stress this enough because this is what we had happen to us in Florida.
So, in Florida, for those of you who are watching from there, you’ll know that in order to cancel a deal, cause that happens every once in a while, the buyer and the seller have to agree. So even though you’re in the inspection period, the deal’s not going to work out, you send a cancellation, try to get your earnest deposit back, that has to be approved by the seller. And if you’ve angered the seller for whatever problem, whatever reason, the deal didn’t close, they can jack your earnest money. They can have it sit in limbo and it will sit there and a title company will not release it. It doesn’t matter how many mean emails you send them, you have to actually sue. So in order to get, what, typically we’re putting up around two grand for an earnest deposit? So we have to file a $2,500 lawsuit to get her a $2,000 check back. We did it on principle, but we did it just so that we could win the fight.
But what Fidelity did for us, was they’ve got in-house counsel and their in-house counsel looked at our contracts and helped us tweak the verbiage so that we removed to clauses that give us brain damage, we add the clauses that protect us better, and that just allows for a smoother and easier situation if, for whatever reason, your deal’s not going to work out.
Brent Daniels: Guys, the the title companies have an attorney on staff.
Jamil Damji: That they pay.
Brent Daniels: That will help you out and not charge you. [crosstalk 00:26:50] I mean, it’s just asking them. It’s talking to them- building that relationship with them, talking to them and saying, “Hey, this is the paperwork I want to use. Do you suggest anything different?” Right?
Jamil Damji: Exactly.
Brent Daniels: And listen, if you can afford to get your own real estate attorney, which you and I both have, that’s excellent and that’s a great resource. But if you’re just starting out and you want to get some legal guidance that’s free from somebody that’s doing it every single day, talk to the title company, sit down with their in-house legal counsel, and there you go. It’s a huge resource.
Jamil Damji: And let me just add this. Even if you have your own attorneys and you’re not trying to leverage the costs, the fact is, if you’re going to use that title company for your escrows, then have their legal look at it first. Because your attorney might have said, “No, I’ve got this all figured out. You’ll have your earnest deposit released.” Well, you know what? That escrow officer’s attorney might have a different idea. So let them see it first because they’re the ones going to be making the decision anyways. Right? So have them look at it. Hire a property specialist in that market. So, don’t just rely on Craigslist and TaskRabbit or Fiverr forever. Start to make a relationship. If you like the guy from Fiverr, hire him again. Keep him going and keep those relationships expanding because the more loyal you are to your people, the more loyal they are to you.
And then just update all of your contact information. Right? People want to see that there’s some form of local activity. So if that means that you need to get a local phone number, just don’t be sketchy looking. Right? Right?
Brent Daniels: Yes.
Jamil Damji: Because I don’t answer phone numbers anymore that aren’t local because I’m getting robo-dialed all day. Right? And so is everybody else. So update the contracts, update your email, update your phone numbers, contact information. Common sense stuff, guys. But really, if you really want to do this at a high level, it’s important to dot all your I’s and cross your T’s.
So TTP guys, that’s what I’ve got to share for you. It’s super, super awesome. This program is great because it allows you to do wholesaling from anywhere. So if you’re really interested in jumping into a virtual market, get that link below. I’m going to have that uploaded for you. Alejandro is going to have that uploaded for you, guys. It’ll be on the link. Any questions about dispositions. I told you the markets we’re in. We’re in Phoenix, we’re in Tucson, we’re in Tampa, Orlando, about to start Salt Lake, and Atlanta, Georgia. If you’ve got a deal for us to sell, reach out, man, we’d be happy- [crosstalk 00:29:17]
Brent Daniels: This is the secret formula that Jamil has in his business. Going from Phoenix and doing 70 deals a month, 80 deals a month, to doing this in different markets is easy. You build up your cash buyer database. I mean, you’re the best at disposition in the country. That’s [inaudible 00:29:37] People bring you deals when they have trouble selling them or they come to you as the buyer. They know that when they come to you the deal gets done, nothing gets backed out, and there is a lot for them [crosstalk 00:00:29:47]. So guys, if you want to reach out to him, if you’re in those markets, I highly encourage you get on to KeyGlee [crosstalk 00:29:58], K. E. Y. G. L. E. E. It’s the craziest business name in the country. [inaudible 00:30:03] It’s KeyGlee.
Jamil Damji: @keyglee on Instagram, K. E. Y. G. L. E. E. On Instagram. Find us there.
Brent Daniels: And meet with [inaudible 00:30:16] guys that are local there cause they’ve got boots on the ground in each area. Right?
Jamil Damji: Absolutely.
Brent Daniels: Okay. So it meet with those guys. Really, really an unbelievable resource for these markets that they’re going in. I highly encourage you guys to consider doing business with them. And you’re the man. [crosstalk 00:30:32]
Jamil Damji: You’re the man, Brent.
Brent Daniels: This is exciting. I mean, you gave a lot of instruction, you gave a lot of information here. You’re going to have it. People can download it down at the bottom of this. If you’re listening to the podcast, just go to Brent Daniels Real Estate on YouTube and find it there. And, as always, if you’re looking to join the most proactive group in real estate investing, it is the TTP program at WholesalingInc.com/TTP. Check out the page, check out the testimonials. If it feels right in your gut, set up a call, and we’ll be talking to you soon. I look forward to working with you personally. Until next time, guys, you guys are the best. Thank you for subscribing to this channel. Give us a like and we’ll see you next time. See ya.