Posted on: September 19, 2019
WI 309 | Cold Calling

 

Many wholesalers typically find their first deal within 90 days from the time they first started. Today’s guest however defied the norm and found a deal in just 31 days!

Pete Christianson is an exceptional rhino who loves to help others through wholesaling. While the doting dad of 2 has been working for corporate America for over a decade, he still felt he wanted to do something else. Fortunately, he found wholesaling though his pastor and he has not looked back.

Even with a significant sales experience, Pete still felt nervous prior to making his first few calls. However, he didn’t let his nervousness get in his way. He still took massive imperfect actions, followed instructions strictly, and 31 days after, he’s $5,000 richer!

Regardless if you’re still trying to find your first deal or about to close your nth one, you’d definitely love today’s episode. It’s filled with amazing insights and practical gold nuggets so don’t miss it!

RESOURCES:

Cold Calling Your Way to Success With Pete Christianson

Episode Transcription

Cody Hofhine, Tom Krol and I in every single episode try to bring you the absolute best instruction, ideas, psychology and interviews from amazing people around the country. It’s our absolute pleasure to do this time and time again and keep this show going full of energy, enthusiasm and passion for this wholesaling business.

Wholesaling business is a cash machine. It is the answer you’ve been looking for. It is hitting the lottery. It is so much fun. You provide so much value to the community and that’s why you can make so much income and money in this business. It’s phenomenal. To bring that energy, passion and enthusiasm, I have an incredible wholesaler from Louisville, Kentucky with me, Pete Christianson.

What’s up, Brent? It’s an absolute honor to be on the show with you. Thank you so much for having me.

Let’s bring some energy and enthusiasm. For everybody that’s reading or maybe watching this on the YouTube channel, let’s provide a ton of value for them, which I know we will. Let’s set the foundation and see, learn and hear about you. Give me your background. Who are you?

I have a background in sales and a general failed entrepreneurship. I’ve been in Corporate America for ten years or so, maybe longer. Essentially, I’m looking to make a transition into something I have a real passion for. For the first time in my career, I found myself between work. I’m married with two kids. I have an amazing wife, Bethany. We have two girls at home.

For the first time in April of 2019, I feel myself at a loss. I’m like, “What is going on here? I need to find a job.” I’m searching for a new opportunity and I was meeting with my friend, who also happened to be my pastor. He told me about this idea and the concept of wholesaling. I said, “Wholesaling? That’s legal? That’s what I want to do.” That was April 23rd of 2019 and I haven’t looked back since.

Your pastor is the one out there? Is he actively wholesaling as well?

He’s not. He was a tribe member. He did it for a little while. With the combination of a busy job and a growing family, it was a lot on his plate. He’s been an amazing resource and sense of encouragement. It’s been awesome to have him in my corner.

That beautiful wholesaling seed is planted in your brain. What do you do next?

I’m old enough to know that if I had somebody around me that’s been where I want to go, I’m going to get there a lot faster. I went to YouTube university and started looking for as much information as I could find. I came across this crazy video of you, Brent, driving around Phoenix, Arizona, driving for dollars and writing things down on a legal pad. I thought, “I can do that. I like this guy.” I remembered Andy, who I’d met earlier. Your name stuck in my mind. I’m like, “This is the guy Andy had mentioned to me.” I looked into doing the TTP program. I knew that it was going to help me go a lot faster and farther than if I tried to figure all this out on my own.

 

WI 309 | Cold Calling

Cold Calling: You are not calling distressed property owners to sell them something. You are connecting with them to help them out of a burden.

 

 

You went green right at it into the TTP program.

I waited a week to join. I had a call with Bart who is awesome and kind. He helped me get things going and then we talked later that day.

The incredible thing is you got in. A percentage of it is you have a sales background, which is a huge benefit when you get going in this business, especially when you get going and you want to go in a proactive direction. When you don’t want to do marketing, you want to do prospecting. There are two different sides to sourcing opportunities. It comes down to sourcing opportunities. There are three ways. You market, prospect or wait for referrals. What you decided to do is you’re like, “I already know how to talk to people.” You’ve been talking to people in your professional life for years.

I had been in an inside-sales role. I was managing sales reps. I was one myself. I found success there. Honestly, I thought, “This TTP program is for me.” I already have a skillset there. I just need to know the mechanics. I need to be encouraged. I learned a ton from going through your program. Thank you for that.

For anybody who’s wondering what Pete’s talking about or what I’m talking about with TTP, it stands for Talk To People. It’s the basic philosophy of the more quality conversations that you can have with distressed property owners, the more deals you’re going to do, the more money you’re going to make and the more success you’re going to have. It doesn’t matter if you’re doing marketing, referrals or prospecting, it’s going to come down to talking to people.

We crazy people choose to be proactive about it and not wait around for the conversations to come to us but to go out and attack those conversations in a respectful and meaningful way. Also, to be able to have an impact on truly distressed property owners. Here’s the thing about wholesaling. It is all about finding a problem that you can solve, which means that the sellers have to have some distress. There are one million different reasons and motivations for it.

You’re not looking for the person that wants to sell their house retail, that upgraded it and put a ton of money into it. You’re looking for properties that are typically run down. They have some issue or distress there, whether they inherited the property, owe taxes on it, foreclosing on it, it’s been a rental for a long time and they’re tired of the upkeep or whether they can’t keep up the property physically or financially.

With those people, they need somewhere to turn and they want to turn to somebody that’s going to give them a cash offer and an opportunity to sell their property without having to pay real estate commissions, title and escrow fees, go through inspections and all the other things that go through with traditional real estate. That’s where we come along. That’s when we’re introduced to their life. Tom Krol says it best when he says, “People will trade equity for speed and convenience.”

I’m done with my little soapbox there. Honestly, Pete, you go out there and start taking action right away. You start following the instructions in the program and get in there. This is something interesting. I’m going to take a little side path here because it’s important. You can have all the tools. You can have everything set up for you. You can have the step-by-step. If you don’t have the right psychology and mindset to take action, you’re always going to be stuck saying, “I should do it but I didn’t.”

What is your psychology when you’re getting ready to pick up the phone and press go? What are you thinking about? What’s going through your head? Maybe you’ve already been trained because you’ve done so much inside sales. Go back to young Peter when you first started getting on the phone. How did you build up your psychology and the mindset to be able to talk to people all day every day?

 

If you have somebody around you to help you where you want to go, you will get there faster.

 

I’ll tell you a secret, Brent. It’s not a secret for those who are successful in wholesaling. This business is all about serving other people and helping them. I heard this from you one time on a previous episode. When I go to pick up the phone, I need to think, “I am calling this person to serve them.” It’s not that I’m calling to sell them something or buy something from them. I’m calling to connect with this person, build a relationship and help them out of a burden. These distressed property owners need help.

They’re stuck in a place and they don’t realize that they can sell their house because it’s usually in a pretty poor condition. My mindset when I go to pick up the phone and I press go is I’m thinking, “I’m going to connect with this person and provide them a ton of value. I’m going to build trust with them and solve their problem.” That’s essentially it.

The negotiation piece comes in but negotiation is trying to solve other people’s problems in real estate. Once there’s some relationship there, they’re going to go a lot further, open up to you and share the motivation behind why they want to sell. My goal was to help serve them, understand why they want to sell and then help see if I can solve that problem.

That’s huge. That’s part of pre-qualifying those sellers. We talk about the four pillars of pre-qualifying based on the condition of their property. Anybody who’s reading this, if you haven’t learned this, there are four things that you need to pre-qualify every seller to see if they have a problem that you can solve. These are the four things, the condition of the property, their timeline to sell it, their motivation to sell it and the price. If you know those four things or if you ask those four things, you can truly understand if you can solve a person’s problem, if you’re wasting their time or if they’re just looking to get an offer out of you but they don’t have a problem that you can solve now. It’s critical, especially when you’re starting.

If you’re just starting on this, you get so excited for anybody that’s talking to you who’s so nice and being gentle with you, not angry and having a good conversation with you. You feel so excited that you rush out to their house and go to the appointments. You then find out that they don’t want to sell. It is important to pre-qualify every single seller every single time so that you can understand if you truly can serve them. It’s phenomenal.

Let’s get into the nitty-gritty. I’m going to gloat up for you for a little bit. In 31 days from starting, he got his 1st deal. That is an incredible achievement. If you’re getting into this and you’re wondering what the timeline is, if you’re working at this hard 20 hours a week, it’s within 90 days that you get your 1st deal, he did it 1/3 of the time. How did you do it?

Honestly, Brent, I can only give the glory to God. That is not me. I’ve heard a great saying, “You get lucky when you work hard.” Honestly, I was working hard. I was following what you said to do. I was making calls and driving for dollars. When I connected with the seller on the phone, he was a nice guy. I pre-qualified him on the phone. He was experiencing some health challenges, which I didn’t learn about until I met him on the property.

Break it down. Let’s put the four pillars into exercise. What was the condition of this property?

This was a property that they built in 1979. It was 40 years old that was going through a full rehab. He was in the middle of rehabbing it. The subfloors were exposed. The bathrooms were demoed and he had new stuff he was going to be putting in the bathrooms. It needed everything like paint, flooring and the whole nine except for the roof, which is in great shape. I came to the property. We talked on the phone initially and he drew out a price over the phone. He said $175,000 and I was thinking, “That’s in the ballpark because this thing fixed up is going to be about $245,000 or $250,000.”

I also talked about the timeline to sell and he was ready to sell. I said, “Would you ever consider an offer on your property?” He said, “I hadn’t thought about it.” He thought he needed to fix it up to be sparkling clean and perfect before somebody would buy the property. This is a successful businessman, who owned multiple homes in different states and had never thought about somebody coming and buying his house not fixed up. It was perfect timing. He was right in the middle of it, experiencing challenges and didn’t want to deal with it anymore.

 

WI 309 | Cold Calling

Cold Calling: Negotiation is trying to solve other people’s problems in real estate. Once you build the relationship, they will open up and share their motivations behind selling their property.

 

How much in repairs do you think?

It’s depending on who you are. If you’re in construction, it’s going to be cheaper. I estimate it to be around $25,000 to $30,000. Other people estimate it around $37,000. It was a pretty big job but it was straightforward. Everything structurally was great. There were no issues there.

The property was vacant?

It was vacant.

He’s getting some work done on it. Did you get it from a driving for dollars list or from a different list?

I got it from an absentee owner high equity list on ListSource.com. I called him about a different property, the one that was pulled from ListSource. He said, “I have that fully renovated and I have a renter in it. I’m not interested in selling it.” I said, “I understand. Do you have any other properties that you might consider selling, maybe something that needs a little love?” He said, “I got this other one.” That was the one.

That’s turning a no into a yes. It’s in our TTP script that if they say no, that’s the natural question to ask. I’m telling you, we get at least a dozen deals a year. At least once a month, we get a deal from that second question. The specific thing that you said right there was amazing, “Something that needs a little bit of love.” “Do you have any other properties that maybe need a little bit of love?” Here’s the thing, you don’t want to cause friction in these conversations.

Words matter. You don’t want to use a lot of verbiages that are going to be too aggressive. When you go with something like the word love like, “It needs a little bit of love,” all of a sudden, they start thinking. If you were to say, “Do you have anything that’s trashed or beat to hell,” it sounds a lot different. Everybody reading, there’s something there for you. It’s incredible. You get it from ListSource. You skip trace it, I assume. Why did you use skip trace?

I used Batch Skip Tracing, used the TTP code and got the discount. I uploaded my list to Mojo Dialer and started calling people. Believe it or not, this was one of the first days I was calling. I ran into this guy on the phone and it went from there.

He got the address from ListSource.com and went to BatchSkipTracing.com for the accurate phone numbers. If you use the TTP code, you get it at $0.18 an address instead of $0.23, $0.30 or whatever it is. You put it into your dialer and press go. All of a sudden, you’re using the script.

 

Listening to somebody makes them feel important and validated. That’s the best way to negotiate with someone.

 

It’s an amazing script. It’s very straightforward. The script is to get the conversation going. Once you’re talking to them, you’re connecting with them, trying to relate to them and building trust.

The script is a skeleton to keep you there. The first 4 seconds on a cold call determine the next 30 seconds. You’ve got to give the first 4 seconds, get 30 seconds and then ask the question, “Would you consider an offer on the property?” Once that happens, you only get six responses. You get, “Yes. No. Maybe I’ll sell in the future. How much will you give me? Who are you? How’d you get my number?” There are only six responses. Learn how to respond to those responses and keep the conversation going. It’s amazing. Proof right there. Pete confirmed it. You only get one of those responses. You are rocking and rolling. You press go and start to talk to people. How is it the first time you get on?

Honestly, it’s weird. I felt nervous when I first started calling people on Mojo. I have lots of experience. I have thousands of hours on the phone and yet I’m still nervous. Don’t worry about being nervous, you’re just calling to serve people. If they don’t want to sell, put them on the no list and keep going because there are so many who want to sell.

You get that property, lock it up and sell it. How did you do?

I did okay. For my first deal, I was happy with it. I got it under contract for $165,000, turned around and sold it for $170,000 so I made $5,000 on it.

In the 1st deal for 31 days, you get $5,000. You went from believing you could do it to a fact. You said from faith to fact before we got on this show. I love both versions of it. It’s true. Here’s the thing. You’re starting and you’re like, “I think I can do this. I believe I can do this. I have faith I can do this.” All of a sudden, you are holding a check for services, doing this, going through the whole process from start to finish and wholesaling your first deal. All of a sudden, it opens up the floodgates. You can do this.

Congratulations. It’s proof that you don’t overthink it. You take instructions. People who read this show can take and implement things. It’s just getting into that psychology or mental. You put it perfectly. You are coming from a perspective of, “How do I serve the community?” That’s what it’s about. That’s what gets you up enthusiastically. I hope people watch this on the YouTube channel at Brent Daniels – Real Estate Coach because they can see your sincerity and put a face to the voice.

He’s not going to get into a rut, which I find happens all the time with people when they make dozens, hundreds and thousands of calls. He gets every conversation that Pete has. He makes him feel like the most important person that he’s talking to. His enthusiasm, the way that he talks, the way that he comes, the energy that he brings to his calls and the energy that he brings to this show and this video on YouTube is the secret sauce. You’ve got to make people feel like you are there.

Sometimes I hear it because I listen to a lot of recordings for my students and my prospectors. You hear this rut. They’re sitting down and there is no enthusiasm. Have you ever been to a party or networking event and you’re talking to somebody and all of a sudden, they’re looking around? You feel terrible. If you can use your listening skills, focus on, listen, respond, confirm and approve what they’re saying, they feel that trust. It’s like somebody standing there looking you in the eyes and giving you the time and the respect that you deserve. That’s a huge thing.

They feel validated. We all want to feel validated and important. If you listen to somebody, it helps them feel important. Essentially, you are giving value by listening. The best way to negotiate is to listen and gather as much information as possible so that you understand the context and why this person even wants to sell if you can solve their problem.

 

WI 309 | Cold Calling

Cold Calling: If you want to be a good negotiator, focus on addressing their problems. Try to understand their motivations and problems to know how to solve them.

 

You did your first deal. You’re off and running. Are you being consistent? Are you staying up? You got leads in your pipeline. You’re getting this thing going and rolling. How does it feel?

It feels amazing. I’d like to have another deal right away. I don’t have another one locked up yet but I got a lot of good leads and opportunities in the pipeline. I’m writing offers. Every time I go to a property, I’m writing an offer. Hopefully, I’m going to be walking through another one. We’ve already agreed on the price over the phone and I’ve seen the property several times. It might be a real possibility.

It’s super important. The theme of this show is getting your first deal done as soon as possible. This is a fact that you can do this business. I don’t care if you make $100 or $100,000 on your 1st deal. One impacts you. Honestly, Pete, I’ve seen people make $100,000 on their 1st deal or $50,000 or $30,000 and never do a deal again because it was so big. All of a sudden, they have this big check in their account and they start overthinking.

They’re saying, “I need to hire all these people. I need to go and do all this other marketing. I got build this, do a CRM, a website and all these other things.” They get distracted from the fundamental principle which is quality conversations with distressed property owners. I have seen a ramp-up long-term. If you look at the long-term trajectory of people that have done amazing things, they all almost exclusively start out doing a deal that’s $2,000 or $3,000.

In the first deal that I did, I got paid $2,500 as a commission. I didn’t even get the assignment fee. I built it up and it was enough to keep me motivated. I imagine if I would’ve gotten a huge deal off the bat, I don’t know where I’d be. I would let it go to my head. I’d think that I could do that every single day and it would dilute my efforts a little bit. I love that you got a $5,000 deal 31 days into it. It’s not a life-changing massive deal that we talked about but you’re taking the steps to get there. I support and love that.

I’m super grateful. It happened and it worked. Wholesaling is a legitimate form of business that provides tons of value to the community. This house is going to get fixed up and improve property values in the neighborhood. I helped a homeowner get out from under something he can’t handle any more due to his health. It’s a win for everyone.

Wrapping up this episode, let people know how to get in touch with you. Before you do that, do me a favor. Give some advice for people starting. This was you before.

Brent, if I could give some advice, whether you want to be great at basketball, wholesaling or anything, you got to get around people that are doing it and doing it well. I’m a firm believer in learning from others that have gone before you. I’d get on a strategy call with you. You didn’t tell me to say that. I believed in the program.

If it’s not with TTP or wholesaling, go with somebody else. You got to get a mentor to help you because you’re going to waste your time trying to figure this out on your own. You can learn so much more from other people that have already done it. Get connected with somebody that can help you and walk with you.

Start taking action. Quit thinking about it. You know what to do. Brent laid it out in the show what to do. Find a property that looks distressed and get in touch with the owner. Come up on the PVA, skip trace their number, call them and say, “Would you ever consider an offer on your property?” They’ll say, “Yes. No. Maybe. Who are you?”

 

If you want to serve others, you will succeed. If you try to swindle people, they will smell it a mile away and avoid you.

 

Do that. Start taking action. If this is something you want to do and serve others, you’re going to succeed at it. If you’re trying to swindle people, they’re going to smell it 1 mile away and they won’t want to talk to you or do business with you. You’ve got to have that posture when you’re coming to people, “Can I help you? Is there anything I can help you with?” What I would say is to get a mentor.

One gold nugget that I would like to share on the show is I heard this in Jay Scott’s book on negotiating real estate. He said, “If you want to be a good negotiator, focus on solving problems.” Try to understand your seller’s motivation. When you understand their motivation and what their problem is, you can try to solve it. If you can solve their problem, you can sell their property. It’s that simple.

You’re outside of Louisville. What town are you in?

Shelbyville.

How can people get in touch with you if they want to reach out to you?

They could get me by email. It’s Pete@NewHopeHomeBuyersLLC.com. You can call me on my phone at (502) 645-6276.

You’re bananas and a wild man. Get ready. Talk to people. That’s what it’s about. He gave you the opportunity. Especially if you’re in the area, on the network or you’ve got deals, talk to him and reach out. Pete, I want to say thank you so much for joining us. It was a real pleasure. You are an incredible guy. You’re going to have an incredible business. I’m excited to see it explode, flourish and provide you and your family with all the opportunities that a lot of income provides.

For everybody else out there reading, if you are interested in joining the most proactive group in real estate investing, it is the TTP Program. Check us out at WholesalingInc.com/TTP. Check out what the program’s all about. Go scroll down. You’re going to have to scroll down for a while because there are a lot of testimonials. Nobody has more testimonials. I’d love to work with you. Pete, you’re the best. I appreciate it. Thank you for sharing so much. Until next time. I encourage you to talk to people. See you.

 

Important Links

 

About Cody Hofhine

403Cody Hofhine, a multiple Inc 5000 Business Owner. Co Founder of Wholesaling Inc. the #1 Real Estate coaching program across the nation. Co Founder of Joe Homebuyer the leading Real Estate Franchise. A successful Real Estate investor/mentor and sought after Speaker.

Cody has coached over 3 thousand students on how to successfully Build their Real Estate Business through his real estate training as well as help individuals perform at their highest levels with his one-on-one mentoring.

Cody used his background in sales to quickly build multiple 7 and 8 figure Real Estate Businesses that all start on the foundation of clarity or Vision and Purpose.

Cody loves being with his family and doing crazy tricks behind a boat.

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