Posted on: December 19, 2019
WI 335 | Stay Committed

 

In the wholesaling world, it’s easy to get disheartened when you have so much going on. However, if you find ways and stay committed, you’ll have a business that will reward you in more ways than you can possibly imagine.

Jenny Ordonez is an amazing new rhino and a doting mom of two. Prior to discovering wholesaling, she processed mortgage loans for 3 years. However, aside from feeling like she wasn’t compensated well enough, giving birth to another baby made it difficult for her to have a 9 to 5 job.

Fortunately, with wholesaling, she was not only able to spend more time with her children, she even made the equivalent of her annual salary in just a single deal! Talk about impressive!

If you’re experiencing unexpected setbacks and ready to throw in the towel, today’s episode is definitely the pick-me-up you need! You will not only learn a thing or two about persistence, Jenny’s optimism might just rub off on you too!

RESOURCES:

How To Stay Committed When You Lose Heart With Jenny Ordonez

Episode Transcription

Welcome. If this is your first time coming across this, and you have been searching for the right show to tune in to get the absolute best instruction for getting your first wholesale deal or scaling your wholesaling business, this is it. If you are one of our long-time readers, welcome back again. You guys are the absolute best. We love you so much. Let’s start this thing out with a little bit of belief. Let’s think about belief for a second. If you’ve never done a real estate deal, if you are coming into the real estate industry for the first time, how do you have the belief or the faith that you can do a real estate wholesale transaction?

What that comes down to is a certainty. If belief is a tabletop, what are the legs that are underneath it? Those are all reference experiences. “What if I don’t have any reference experiences? What if I’ve never done anything? I’ve read Rich Dad Poor Dad. I’ve been inspired. I feel like I can do this. I have this burning passion to be a real estate entrepreneur, but I don’t have reference experiences.” That is the beauty of this show. We interview the most incredible people from around the country that are taking action every single day. They’re giving you inspiration so that you know that you can do it, too.

The interview that I have is going to blow your mind. This is one of those true stories where you hear about persistence. Persistence is this overall term that covers a lot of different things and characteristics. You hear about persistence, faith, certainty, and not wanting to do a deal but having that must factor. “I must be successful in wholesaling. I must put together a real estate transaction. I must be a successful real estate entrepreneur.”

It is a huge difference between wanting to do something. Wanting got you to this show. Wanting gets you to the starting line, but must is different. “I must succeed. I must not have a job ever again. I must show my husband, parents, significant other, or high school principal that I could be a successful entrepreneur.” With that, I want to introduce a powerful woman coming out of San Antonio, Miss Jenny Ordonez. How are you?

I’m good. How are you? Thank you for having me.

I am on fire because you put me on fire. You posted something to the TTP private Facebook group and it blew everybody. I don’t think anybody got more comments on a post in our group than you. With that, go ahead. Tell me a little bit about you. Tell me about your experience. Tell me about what’s going on.

I’m originally from Okinawa, Japan. I am married to my husband, who’s on active duty. We move around quite frequently. I’m a college dropout. I thought that making money wasn’t something that I could do or at least a lot of money. I have two children. That’s my background. Before wholesaling, I was mainly processing mortgage loans. I was doing that for three years.

When I moved to San Antonio, I was pregnant three weeks before my due date and my boss essentially fired all the processors. He looked at me, and he’s like, “You have your loan officer’s license. That’s what you’re going to do. You’re going to be solely commission-based from now on, sink or swim.” I stumbled upon wholesaling around that time. It was a little after I gave birth. I was like, “I’m in a transitional phase anyways. I’m going to go full throttle and transition completely into wholesaling instead.” That’s how I started.

Where were you living at the time? Were you in San Antonio?

I was in San Antonio. I had been here for almost a year at that time. Even as a loan officer, I didn’t have those connections. I hadn’t gone with realtors to have them bring me those leads, even qualified leads. As people may know, if they’re a realtor, typically, they don’t want to go with a new loan officer if they already got something good going on. It was hard to try and earn someone’s business, let alone when I was about ready to sneeze out a baby at any moment.

You just had your second child. Your schedule was tight. As a new mom, it’s a crazy town. There’s no way to time block things. There’s no way to be on a set schedule. It is crazy. How did you do it? How did you transition? What gave you the confidence to say, “I can be a mom of two? My husband’s in the military.” You’re were staying at home doing all of this.

Even when I was processing, I was only seeing my daughter for an hour and a half during the day. The compensation wasn’t even worth it. It’s not like I’m here raking in the big bucks. I didn’t want to do that anymore. I’m optimistic by fault, so I was like, “Sure, I could do it. Loans, wholesaling, I’m pretty sure it’s the same thing.” It’s not the same thing. I was like, “I’ll do it. What do I have to lose at this point?” I didn’t have a job to lose. They already put me on commission base anyways. I hadn’t been working for a year at the time, so I didn’t qualify for maternity leave. I had saved up all my paid time off for that date. Once they put me on commission, I lost all of it. There was nothing holding me back at that point.

You said something there that is often overlooked. That’s being optimistic. Have you always been that way? Were you born that way? Is there something in your life that happened that made you optimistic? Was it your upbringing? It’s interesting. Is this something that we’re born with or is this something that we learn?

It’s almost a combination of both. Maybe I do have an optimistic personality. Where I come from, Okinawa is an island. They’re chill. It’s a saying that translates to, “Everything’s going to be okay.” No matter how bad things were, everything was okay in the end. It wasn’t as bad as I initially thought it was going to be. It’s fine.

How do you start out in this business with a brand-new baby? How far apart are your kids?

They’re two years apart.

Two years apart. You have a crazy toddler, a two-year old.

She’s always trying to kill my son. My son’s always trying to kill himself because he’s trying to climb up the stairs.

How do you fit this into your schedule? You knew that traditional marketing wasn’t the route for you. You had to be proactive. You have to do it in the times that you have. How do you figure that all out? How do you schedule all of that?

Initially, a schedule was not a thing because of the baby. A newborn baby eats and sleeps on demand. I would try and cold call while he was sleeping. As he got older, when I maybe got a deal or two deals in, then I would try and hire someone to go with me on my appointments and walk with them in a stroller while I talked to the seller. I don’t want to bring a toddler or a baby to the appointment for mainly safety issues. It’s also a little bit difficult to focus on the seller and make it all about them. I had someone walk around the block for maybe about an hour during the appointments. I have to roll with the punches at that point.

Is that lead follow-up? Is that prospecting? When would you be reaching out? Did you hire somebody to do that?

When prospecting, ask more questions and listen. Don’t jump the gun and try to answer a question that they didn’t even ask.

When I’m out seeing a person, it would typically be after I cold call and it’s a lead.

Would you cold call yourself?

I was cold calling myself.

How did you do that? While the baby’s asleep, you make calls?

Yes.

What about your two-year-old?

She was at daycare. That’s why I only got to see her for an hour and a half while I was working. By that time, I had dropped her off and picked her up. At that time, she used to go to bed at 7:00. I come home. I’m making dinner and a bath. Maybe I get to play with her for 30 minutes and then bedtime. Now I have a lot more flexibility where I’ll pick her up earlier because I want to be with her. I have a lot more bonding time.

She has a baby that’s sleeping. Instead of relaxing or chilling, her brain is ready to go. It was the opportunity. You were waiting for the baby to go to sleep so that you could get on the phone, call strangers, and ask them if they would consider an offer on their property. You started building it up. You wanted to understand the script. You wanted to understand the way to communicate with people and what was the right list. You needed to get the most bang for your time possible because you had short windows when the baby was sleeping that you were able to make these calls.

How incredible is that? You’re incredible. That’s crazy. I remember being a dad of a newborn. I was napping when they were napping. You’re wired incredibly. That’s huge that you’re being proactive during those times. You didn’t say, “I’m going to push this off.” Maybe some days you did, but for the most part, you started getting consistent, getting some leads, and making an impact. Talk to me about that. Talk to the audience about when you’re starting to make calls for the first time.

The first time I started making those calls, I’m pretty sure I was a train wreck. I got nervous. Even though I had the script, I’m pretty sure I jumbled up all the words together. It was embarrassing. In fact, one of the times, my son had just woken up. As I’m trying to prospect this lead, you hear a screaming baby in the background like bloody murder-type screaming. It was awkward.

I do get analysis paralysis. I couldn’t stop to think before I called. That’s always my downfall. “Let me think about this.” I take too much time analyzing, so I have to click that call button. When I first started, I was nervous. I didn’t want to do the auto dialer. I did the click-to-call because I was so nervous. Finally, I did the auto dialer. it’s like, “I should have done this from the get-go.”

The big thing is you’ve got to get everything set up. You press go and you can start talking to people. If you distract yourself, you’re going to stop. I say the same thing with my driving for dollars team or anybody out there that’s driving for dollars. If you see a for sale by owner, if you see somebody that has an estate sale, stop the car, get out, and go talk to them. If they’ve got a number on their lawn that says, “For sale by owner,” call them now. Don’t even think about it because you will come up with reasons not to call.

I’m still guilty. It’s still something that I have to work on. The creative avoidance struggle is real. I have to keep myself in check all the time.

Maybe it’s not there yet, but you’re getting more comfortable with it. You’re confident with the calls. You’re staying consistent. How many sellers did it take for you to talk to be like, “I understand that there are only six responses? I know in the first 30 seconds if this is going to be somebody that’s going to work with me. I understand the tone that I have to use.” How many conversations did you have to feel comfortable?

I’m still learning and there’s something that I’m learning all the time after each conversation that I have. I look back and I’m like, “I should have asked more questions and listened. I feel I jumped the gun and tried to answer a question that they didn’t even ask.” It took me maybe even a good month or two because I get so nervous. It wasn’t something that I got used to immediately.

I can talk to anybody.

It took me a while to feel comfortable, but you have to do it. I didn’t want to do mailers. I didn’t want to use any other marketing method aside from cold calling. I have to keep at it.

WI 335 | Stay Committed

Stay Committed: If you see a “For Sale by Owner” or “State Sale,” stop the car and go talk to them. If they have a number on their lawn that says “For Sale by Owner,” call them. Don’t even think about it because you will come up with reasons not to call.

 

Let’s break down this deal because I love it. When we break it down, let’s break it down by the four pillars of pre-qualifying. If you’re reading this for the first time, you want to understand how to pre-qualify a motivated seller. It’s based on four things: the condition of the property, their timeline to sell, their motivation to sell, and the price. Let’s start with what list was it that you were calling?

It was an out-of-state, absentee owner list.

Where did you get the list from?

It might’ve even been from ListSource.

The beautiful thing about being in either the Wholesaling Inc. program or the TTP program is you get ListSource at $0.03 cents an address. This is phenomenal because it’s usually $0.09 or whatever. You pulled the out-of-state absentee owners list. You started calling. Who picked up?

The seller owned it with her then-husband. She was the breadwinner and the one paying for everything. The ex-husband had never contributed anything financially. They owned it together because that’s what they had in the divorce decree that they would co-own the house. It’s difficult.

Were they recently divorced or were they divorced for a while?

They had been divorced for a while, but they didn’t have any official alimony or anything like that. I don’t know what happened in her marriage that made her feel obligated to do so or if it was from the kindness of her heart. She was still paying him on a monthly basis an unofficial alimony per se.

Let’s start with the condition of the property.

Honestly, this one was a blind offer. The house is newer. It was built in 1998 or 1999. She hadn’t seen the house in about ten years. She didn’t know what the condition was either. She was like, “I think it’s good.” The price was right. I jumped on it and that was that. I was like, “I’ll check it out. I’ll figure it out if we need to go lower.” I told her that, too. I was like, “If I go and your tenants have punched holes in the walls or whatnot, then we’ll come back to the table and discuss numbers again.”

When you went to the property, were there tenants in it?

Yes.

Were they month to month or was it a long-term?

It was long-term until December, but they were understanding of this situation. However, they didn’t have money. I had to pay for their moving expenses. It was a 3,000-square-foot house. She was a hoarder, so it was quite daunting.

Walk me through that. How does that happen? Does the transaction close, you get paid, and then you pay movers to help them?

I took a risk. I went out on a limb on this. The tenant had fibromyalgia. She had vertigo. She wasn’t making a lot of money. She said, “I would move. I get it, but I don’t have the money to move.” I said, “I’ll pay for it.” At the time, I could not afford to do that, but she needed help. It was the only way that it was going to happen. I went out on a limb and I did it.

Did you hire movers to move them?

Pre-qualifying a motivated seller is based on four things. The condition of the property, their timeline to sell, their motivation to sell, and the price.

I hired movers to move these people.

Did they move all their stuff or did they throw out a bunch of stuff?

They had to leave a bunch of stuff behind because the place that they were moving to simply didn’t have enough space to accommodate all her belongings. She still wanted three-quarters of the house with her, but it was a lot of stuff.

What did it cost you?

It was close to $1,700. The thing was that this ex-husband was trying to be tricky. He didn’t show up to closing a couple of times. I was nervous. I did put a memorandum so that at least if anything happened, I could be compensated for the moving expenses. I had invested money into it. I felt it was only fair that we get that back. It was that whole thing of, “Everything will be all right.” If it falls through, eventually, they’re going to sell it. They would have to, so it will be all right.

You mentioned a memorandum there. For anybody that’s not familiar, when you get a purchase contract on a property, my strong advice is this, whatever state you’re in, talk to a real estate attorney and get a memorandum drawn up for your state specifically. You’ve got a contract to purchase the property. The seller is in contract with you. If they breach that contract, you’ve got a couple of different safety nets that you can use.

One is a memorandum saying, “I have a contract on this property. They’re not fulfilling. They’re breaching the contract. This memorandum is filed against their title.” It clouds their title, so they’re not able to transfer title through a title company or closing attorney without removing that. To remove that, they either have to pay or it goes into the courts or some legal action.

Talk to an attorney about that. It is protection if your sellers start getting wiggly on a deal where they have committed to you and you’ve committed to them. All of a sudden, you have a cash buyer that’s closing on it or does the deal that you want. It helps protect you. Look it up, google it, and talk to an attorney in your area because it is powerful when people start getting a little bit tricky.

Sometimes the sellers that we work with are not responsible people. They don’t keep their word. They’re impulsive. They have ideas. People start talking to them. They start having different plans. They’re not committed to what they signed off on, which is a big problem. When they try to breach, have some protection for that. You had the memorandum. You were like, “I’m protected here.” It seems like the guy came back.

He did eventually. It worked to our benefit that she was paying him because he was living off of her check essentially. He never got a job since they had divorced years ago. She said, “I am not going to pay his check if he does not sign,” because he was essentially being greedy. He was like, “I want to sell for more,” because it did appraise for more, to be fair. She rented the house out ten years ago, so it covered everything. After ten years, now the house needs repairs. The taxes have gone up. She was losing money on a monthly basis and he wasn’t helping her out with any of these expenses.

She was like, “I’m done. I want to get rid of this house.” It’s easy for him to say, “I want more. I’m going to sit on this and not sign until we get more,” because he wasn’t losing any money on a monthly basis. The motivation was there. Finally, once he was like, “I need that check,” I made sure she wasn’t going to get legally in trouble, that there was no court order for that. Finally, he was like, “Fine. I’ll sign the papers.” That’s how we got it done.

What’s the condition? Would you say cosmetic rehab?

Some cosmetic rehab. It needed some upgrades like the water heater and whatnot. Whoever built it wasn’t thinking right because it didn’t accommodate the size of the house. Either the AC would be on upstairs and not downstairs, or vice versa. The water won’t heat it if, God forbid, two people wanted to shower at the same time. One of them is showering with cold water. It was slightly more than cosmetic, but not that much. It wasn’t like the Leaning Tower of Pisa.

The motivation was she was done with it. She didn’t want to deal with it anymore. She wanted to get that tie that she had with her ex-husband done or severed and be done with it. Let’s get down to the price. After being totally fixed up, what does this thing sell for? What does it go for on the market?

I would say $245,000, $250,000.

How much did you lock it up for?

$100,000.

WI 335 | Stay Committed

Stay Committed: Networking is really important. Go to all the free lunch-and-learn seminars and build your circle. Don’t ever try and be the smartest person in your inner circle. Don’t be on an island.

 

How much worth of repairs do you think was needed? Three thousand square feet could eat up a lot of repairs.

I would say maybe $35,000, $40,000-ish maybe.

What did you sell it for?

I sold it for $134,000.

What did you net in your bank account going to Jenny?

It was $33,910. I’ll say $34,000 because it’s sexier.

$34,000 from a phone call. You’re calling when your baby is sleeping and turning that in. What did it do to your head? Once you get that deal, you get that check. It’s in your account. You’re sharing this whole experience with your husband. How are you feeling?

I had done some deals before and in a lot of them, I had to change the strategy as I went because the baby is growing in different stages. This one I did entirely by myself. It was not easy. Both the sellers were trying to ghost me all the time. I had to print out the Zillow page of that house. I taped it on my door and said, “Don’t give up.” It affirmed that persistence is key. I came in to do the marathon, not the sprint. I kept having to remind myself, “Follow up.” For some reason, that was the deal where I’m like, “I’m a wholesaler.”

Here’s the thing. That stays with you forever. You have that forever. It’s building on it. Learning the wholesaling business isn’t for the next year or for the next couple of years. This could be a lifetime business that pays you and your family forever. It’s building on. It keeps scaling up. Use the actual data, the actual numbers that you look at, to understand, “How many people do I have to talk to get a deal? Can I hire somebody else to help me with this? Can I hire somebody else to do this?” All of a sudden, you’ve got a business wholesaling real estate.

This show is Wholesaling Inc., but take wholesaling out of it. It’s sourcing real estate opportunities. You have the opportunity to do whatever you want with it. Wholesale it, keep it, flip it, develop it, do it. You’ve got so many opportunities. It’s incredible, but you need to have that big chunky deal, that big $30,000, $40,000, $50,000, $60,000 deal to blow your hair back and be like, “This is incredible.” Unfortunately, our military doesn’t get paid nearly enough, but I imagine $34,000 is a huge amount coming into a military family.

The thing was that my annual salary working 9:00 to 5:00 as a processor was $40,000. I just made my annual salary on one deal. I got to spend a lot more time with my kids. It doesn’t even compare. I thought for a long time that I didn’t have a career. Because we move around a lot, I thought that making a lot of money was not in my cards. This made me have to level up and think differently about myself and my future. I’m excited.

People like Lamborghinis, big mansions, and these exotic trips. The most important thing that wholesaling provides is freedom of schedule. It’s the freedom of schedule to spend that time with your kids when they’re young, to be able to move around your schedule and do all these different things. That’s why talking to people every single day or picking up the phone and being proactive is so powerful.

You get to do it on your own schedule as opposed to waiting for people to call you and then having to run around with your hair on fire and drop everything, which you can’t. If you don’t make that call on time, you lose that deal. You’re a prime example of being proactive and doing things when you have short little bursts of time of opportunities. You’re doing something great with it, making income, making big checks, and having that freedom of schedule. It’s incredible.

Thank you.

First of all, if people want to reach out to you, they’re inspired by you, they want to communicate with you, what’s the best way? Is there an Instagram, Facebook, or email?

On Instagram, you can find me as @MamaBuysHouses. On Facebook, you can find me under Jenny Teruya Ordonez. You can email me at Ordonez.Property@Gmail.com. I would say Facebook or Instagram would be the way to go.

Give us some final words. If you were speaking to somebody that was in your shoes, is thinking about doing their first deal, or wants to be inspired, give them a little bit of advice.

A wholesaling support system is something that you have to proactively create.

I spoke to a couple of people that said, “I was for four months into wholesaling. I never had a deal, so I quit. I can’t believe you’re still doing it.” Someone else said, “I tried doing it. I didn’t have a support system. It didn’t work out for me.” A support system is something that you have to proactively create. You TTP, but it’s not just with sellers. It’s also with fellow wholesalers and investors. A lot of the reason I’m still here is because of other wholesalers.

If they see you grinding and working hard, they’re going to want to help you, give you tidbits, and reach out to you. If you’re going through a funk, they will say, “I was there, too. I didn’t get my first deal for three months.” Networking is important. Go to all of the free lunch-and-learn seminars, all those kinds of things, and build your circle. Don’t ever try and be the smartest person in your inner circle. Don’t be an island. These are things that have been said before, but that’s a big portion of why I’m still wholesaling.

Thank you so much for being on the show. If you are reading out there and you are interested in joining the most proactive group in real estate investing, if you’re looking to not be on that island by yourself, go to WholesalingInc.com/TTP. Join Jenny. Join the absolute best people around the country, around the world in this TTP program, in the TTP family. Check it out. Scroll around. If it feels good in your gut, set up a call. I would love to work with you personally and introduce you to Jenny.

Jenny, thank you so much for being on here. It is an incredible story. I think that you’re going to speak to a lot of people out there whose schedule is congested. They’ve got a lot of responsibilities and passions. They’re looking for an example of somebody that’s done it and done it well and is happy and continues to do it. Thank you so much for joining us.

Thank you.

Everybody out there, I encourage everybody as always, to go out and talk to people. Until next time, I love you. See you.

 

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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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