If you’ve been using Batch Skip Tracing, today’s guest is the guy you need to thank. Jesse Burrell is a successful entrepreneur, developer, and realtor. He is also the creator of Batch Skip Tracing and BatchLeads, two programs that seamlessly integrate skip tracing and lead generation in one platform.
Prior to becoming an investor, Jesse considered a career teaching people how to play golf. When he discovered wholesaling however, it didn’t take long for him to figure out it he preferred real estate over swinging a golf club.
Tune in as Jesse shared how he found success in wholesaling, how he balances his time between his two companies, and how he picks the markets he goes into. Regardless if you’re looking for your first deal or your nth one, you’d surely find this episode beneficial so don’t miss it!
500 Deals In 40 States! With Jesse Burrell
My guest has done over 500 wholesale deals in 40 different states. He is also the owner of BatchSkipTracing. It is my absolute pleasure to introduce Mr. Jesse Burrell to the show.
Thank you for having me. Your energy is infectious.
I’m excited to have you here because not only have you done deals virtually all over the country, which I think is a hot topic for a lot of people, especially that who are in smaller markets where they do not feel like they can build the momentum to hit their financial goals. On the flip side, they are in such a big market that there are huge groups that spend millions of dollars on marketing and push everybody else out because they outspend them. You have had a lot of experience with this. Tell us about you and your background. How did you get into being a real estate investor and a real estate wholesaler?
It is a longer story the most, but I will try and make it short. In 2014, I was graduating college. I was working in golf to become a golf teacher. I’m teaching people how to hit golf balls. I worked out a bunch of courses, and I was like, “This is not what I want to do.” I’ve got to wake up at 4:30. I’m making $16 an hour and I have no social life.
My friend got into real estate by working for an investor. She is talking about how great it was, flipping houses or doing rentals. I was like, “If anything ever comes up, I’m looking for something. I have always thought real estate was cool.” They have a position and I get hired. I do not even know what escrow is. My parents owned a couple of rental properties, had some stuff, and apparently, I did not care that much. I did not know anything. I worked for them for a year and underwrote deals. I’m looking for flips on the MLS. This was back in 2014. That is all I did. I was an underwriter and offered on MLS.
This is important because being able to understand the business and not necessarily have to put out a lot of money to be able to do that for the first six months, a year, whatever it is. It is a great way to get your experience in the business and to be able to get the confidence that you need moving forward to say, “Can I do this myself? Is it in your core to do it yourself?” It was. You have been there for a year. You are making okay money.
I made $36,000. I thought that was awesome at the time. I got to learn the flips too. I was involved and curious. I would contract them, but I had to learn how to contract them. I would go to our projects. The owner, at the time, would show me what a full remodel looked like and how much it would cost. He would show me what a lipstick remodel looked like and how it costs because I need to underwrite when I’m offering on homes. I was an acquisition rep. That was before the wholesaling was popular. That is how I got started. I never even thought about it that way.
When Jesse says, “A lipstick remodel,” he is talking about typically carpet and paint, no major investment. Usually, the budget is lower. You are seeing both sides. You are seeing these properties that need total renovation and properties that need a little bit of love to get them spruced up so that somebody will buy them from a traditional standpoint.
Some appliances, new carpet in the bedrooms, maybe new flooring and a coat of paint on the inside and outside, your in and out.
Was this company wholesaling, or was it fix and flip?
I did not even know what wholesaling was still at this time. I was finding properties for him to flip. We are also buying rentals. He was from Israel. He had investors from there that would give him money to find him rental properties. He made a fortune in the crash. He started doing this in 2010, but he is from California. We had a property management side and a flip side. I worked on the flipping side. I would help out placing renters in some properties every now and again.
Let me ask you this because a lot of people are interested in this. You said you were finding these deals on the MLS. Things have changed a little bit since 2014. When was the last deal that you found off of the MLS?
Some people still do it and have some success, but I have not bought a deal off the MLS, me, and my personal house. It has been a while.
This is interesting because there are certain techniques to find or put in a lot of offers on properties on the MLS. I personally, in my business, take the standpoint of, I want to go after everything that is off the market. I want to go out. I do now want a ton of competition as soon as it hits the market, typically. At least here in Phoenix, there are 15, 20 offers, whatever it is, if it gets bid up. To the point where truly, it goes to those flippers or those who will keep it in a rental in their portfolio and not wholesale deals.
Everybody started not knowing what they were doing. It’s just having the courage to go in and talk to somebody. You don’t have to take, take, take. Just go have a conversation.
This show is all about wholesaling deals. Let’s talk about off-market properties because Jesse is in an awesome and unique position. He has a $1 million wholesaling business. One of the strongest tools that I use and promote is the skip tracing service through Batch Skip Tracing. You have two companies. How do you split your time between both companies?
I luckily have two amazing partners. Annie runs the day-to-day on the wholesaling. I’m in all the meetings on there. I help some of the properties, or if she is out of town, I will step in. We compartmentalize. She does this, I do that, and my other partner, Eva, does this. We are primarily focused on data companies because we have multiple products in there now.
You are mostly focused here in the Phoenix area.
I have done stuff all over the country prior. We could get back into that, but we decided to niche down and focus on where we know. We are flipping now. We want to buy in Phoenix, where we have the option to wholesale or flip. We are not set up to flip virtually.
You told me before the show that you close the wholesale deal in Alaska and in Florida on the same day. That is incredible. Let’s speak to the people that are interested. Maybe they are in those smaller markets or bigger markets. They want to do virtual wholesaling. They want to go to a market where they feel like they could be the most successful. Give me some tips. How did you pick the markets you were going into? How do you be successful once you were there?
This will be a lesson on what not to do. A lot of people know PPC or paid ads on Google. The broader you go, the cheaper it is. Me and my partner at the time decided to do the whole country because it was way cheaper. We are having to constantly learn new markets and new buyers. We have made it work and bootstrapped it, but there were no systems in place because we do not know where our leads are coming from.
I’m sitting there on BiggerPockets, having a pro account, finding the biggest players in these cities, reaching out to them, skip tracing them, which we were doing at that time. I’m doing a mile radius around where we got the property and calling flippers that were actively flipping, but we did not know how to price them. That was a problem.
We did not know if we had a good deal, an okay deal, or a bad deal. It was too much canceling of properties. If we had a big rip, we get taken advantage of by one of the big players saying, “I will buy it for $10,000 more.” They are going to go make $60,000 on a reassignment. We did not know that at the time.
For anybody going into a new market, the two biggest challenges off the bat are, is this a deal or not a deal, deal or no deal, and how big of a deal is it?”
My advice for people that are going to go into a new market is, I would build a buyers list and boots on the ground first. That is the first thing I would do because when you start reaching out to buyers saying, “I’m going to be having 3 to 5 deals a month consistently for you, what are you looking for?” Actual flippers, not other wholesalers. I could find flippers. They are going to tell you the areas to market and the hot areas where.
In other markets like Memphis, for example, there are areas where you do not market to. That is marketing dollars spent where people do not buy in these little pockets. You need to learn that first. You can learn, “Where do I want to market to? What type of prices are actual flippers paying?” You know what a deal and not a deal looks like.
I’m thinking for somebody brand new, getting into a virtual market to call up somebody off of BiggerPockets or maybe getting their information through TTP Data, through PropStream, finding the cash buyers, that type of thing. They have got the phone numbers, and now they are ready to make the call. What do you say to them if you have never done a deal? Do you tell them, “I’m going to bring in 3 to 5 deals a month to you?”
I was like, “This is a new market we are getting into.” I was probably embellishing a little bit, to be honest with you. If you are nice to somebody, call them up. You teach people to talk to people. Call them up and have a conversation. I’m providing value to them. Most of the time, when I call them is when we already had something contracted.
This is a huge point because I always tell my TTP family members in the program, “If you want to build up your cash buyer database, have something to sell to them.” It is a lot different from a conversation that says, “I have got this deal here. Do you want to look at it? See if it fits what you are looking for,” versus, “I’m going to find some deals. I’m going to be there.” They get a lot of those calls and conversations. People are reaching out or DM-ing, and it never turns into anything. They are looking for somebody to help them comp and try to figure it out. If you bring something to them, all of a sudden, now you are taking it more seriously.
Luckily, we had deals. It might be a little investment. My best thing is to start your market, learn it and understand it. If you are going to start virtually, hopefully, I would do something maybe a couple of hours away in a bigger city, and drive to the REIAs and go meet the people to where you could have a face-to-face and ask those questions. What you are supposed to ask at REIA is, what are people buying? What is this? What is that? If I were to restart, that is how I would do it if I was going to go virtual. I would make sure I was within a couple of hours’ distance, spend a few dollars in gas, go talk to them, and have the deal. That is where you can start expanding your network.
Having that face-to-face conversation, they can see that you are sincere, a real person, and doing the work. You have to explain to them that you are doing the work. If I were brand new, having that conversation, I would come up to you at a REIA. I would tell you, “Jesse, I know you do not know me, but all I’m doing is calling homeowners to find good deals for three hours a day. If I find a good deal, can I bring it to you?”
I would say, “Absolutely.”
If you are like, “I’m going to try to figure it out and try to find some deals.” Have a specific plan. If you are showing that you are that hungry wolf out there, you are going and being proactive. The people who have the money, big databases, and can open up doors for you will be impressed that you are being proactive. What other choice did they have? No, I do not want to see your deals. They want to see the deals.
If I see them putting all this effort and telling this to me, I’m going to want to help you. The people that are getting new, hungry, and do whatever it takes. I will go out of my way to be like, “This is why I do not think it is a deal. This is maybe something you could do better next time. What do you need help with?” If you came up to me like that, I would happily help you.
Going to a REIA meeting, a meetup, some of these BiggerPockets meet up, whatever it is in your market, is super important, but you can’t sit back and be quiet. You have got to network. The issue that most people have is, “I do not have anything to offer and say. I’m going to go up to them and try to take. They are going to stiff-arm me. They are not going to like me.” If you go with this approach of, “I want to give you deals, will you help me out? I’m doing the work. I’m already doing it,” it is going to open up those doors.
When I got started, I did not have anything to offer, but I went to this one REIA where it was like, bring your own beer or something. I bought a 24-pack, and I went up to everybody. I was like, “Tell me what you do, and I will give you a beer.” That was all I had to offer at the time. It was an ice breaker to like, “Can I get your business card, get a beer and see if we can help each other if I could even learn something from you?”
If you stroke someone’s ego, it goes a long way too. It is having confidence. Everybody started not knowing what they were doing. Sometimes, new people forget that. I did not know what I was doing at one time. I was in their shoes. It is having the courage to go in and talk to somebody. You do not have to take. Go have a conversation.
I keep saying this because I think that this is true, is there are no secrets. There are things you do not know yet. That is what it is. There are no secrets to this business. It is things that you do not know yet. That is why I encourage people to read the blog post, go to meetups and more importantly, get on the phone and have a quality conversation with distressed property owners. You do not have a huge budget if you are starting with nothing. What other options do you have? Bootstrap it.
That leads me to something that I think is important because what I try to push, impress and focus as much content on is the key to this business is quality conversations with distressed property owners. That seems like a simple sentence. If you break that up, there are magic and power in there, having a quality conversation, understanding the personality types, understanding the communication type.
The second part is where you guys come in and truly revolutionize the whole business. You did because having the distressed property owners of that sentence, talking to distressed property owners, focusing on that, focusing your efforts on the distressed properties. That is key. You are providing the phone numbers for those through BatchSkipTracing.
A big part of it is, as you are saying, “Talk to these people. What is the best way to talk to them?” We have spent a lot of time, long hours, and effort making sure that we are providing your students and everybody with the best possible data out there. It is for those who are getting started, and it is for those who need to get their first deal.
If they have the right data in front of them, and you are showing them how to talk to people the right way, it is a recipe for success. That is why we have had such a great relationship because I’m able to add some value here, and you are able to add the value there. You have many students that are thriving because you came to us and you tested our data. You asked us. I’m like, “It is great.” You are like, “I’m not promoting anything until I use it, see it, and believe in it. We had to sell and prove ourselves to you because you are particular with who you promote because you have to believe it.” You test and use it.
If you look back in the day, you were not able to get accurate phone numbers. It was like this guarded information that only a couple of companies were coming out with. You had to go through all these hoops and all these qualifications to be able to get the data you guys broke through. We are able to provide it to anybody now. You can provide it now. People upload the list. They get there the numbers they are often running.
If they have the right data in front of them and you show them how to talk to people the right way, it’s a recipe for success.
The best part that I love about this, Jesse, is there are no excuses. There is no more, “I can’t get the right numbers. I made a ton of calls, and they were the wrong numbers.” No, the information is right and strong. It is exploded people’s opportunity to come into this business and get a distressed property list, even if they are driving for dollars, going for pre-foreclosures, or going for tax defaults. There are a ton of different lists that you can go after. Now they can get accurate information. They can have those conversations now as opposed to taking so much time or finding different methods to market to these people to try to get them to call.
The big thing that I took from what you said is when someone is driving for dollars, you are spending all this time. If you go to a bad data source, or when you spent ten hours getting 100 phone numbers of making sure it is a distressed property, or if it fits your criteria, and you are calling the wrong people. I feel awful when people do that because it is unfortunate. They are doing everything right but one little thing.
If you can’t get all the right person, they can’t talk to anybody. You preach that there is a data side and a talking side. When you marry that together, your students have crushed it. I’m lucky to have met a bunch of them. They praised you, and they thanked us too. It is rewarding knowing that all the hard work we put into making sure we are giving the best products and services we can, and they are happy with us. I love it. That is what makes my day.
If you are interested in putting a face with the voice, go to Brent Daniel – Real Estate Coach, on YouTube. You can watch this whole interview there. Let’s talk about the deal you sold me. You made a ton of money on me. Jessie owns this building, this whole thing, and the bat. This is Mecca in Phoenix, where people come in every single week. If you are part of my TTP Program, every Friday, the doors are open for you to come in.
We have $4 million wholesale companies under one roof here. We got the best data company on the planet here. We open it all up for the TTP family members and the TTP students. It has been phenomenal, but it was an easy sell for you once you got this deal. I want you to walk through your wholesaling.
This was a fun deal. I did not even go to sell it to you. That was the best part. We do quite a bit of texting, calling, and RBMs. This was a text lead that came in my acquisition.
What do you use for texting?
We have our own texting platform now. It is built inside our lead stacking software, BatchLeadStacker.com. What we did was we texted somebody. This guy is building a new custom home. It was a nice house in Scottsdale, Arizona. He pretty much wanted to make $10,000 off of what he bought it for in 2012.
My acquisition rep is like, “This is crazy.” Right when he locked it up, I was in a great mood. I came up to you, and I guess I was a disposition agent on this one. I’m like, “We have got the sweet deal in Scottsdale. I’m talking to people. I’m excited to sell it. It is going to make for a great Airbnb. Worst case scenario, we could flip it and make $60,000 doing nothing to the property.”
Your ears perk like, “I’m looking for one of these. Where are you going to market it? What are you going to do?” You came in Monday morning and handed me a formal offer, “This is what I will pay.” I was like, “We can get a little bit more. Let me market it for a week.” The next day, I’m like, “Let’s give it to you. I know you are going to buy it.” We ended up making $36,000 and selling it to you.
I’m going to ring it because I have got a phenomenal property.
It is just talking to each other. You do not do a ton of flipping anymore, and you are more wholesale-specific. I was excited and like, “Brent, I got this deal.” You are like, “I want that.”
When it comes to finding the right cash buyers for your property, the more people you talk to, when you are getting going, and when you are building up your cash buyer database, you have got to get your lists of these cash buyers. You got to be pounding the phones in the beginning until you have thousands of people in your cash buyer database, which you can.
If you are looking for any instructions on that, go to the YouTube channel, and read this blog post. We talk about it all the time. Check out some of the videos there for building your cash buyer database. If you are getting your first couple of deals and you need a solid cash buyer, pick up the phone and call them, talk to them, have a face-to-face meeting and go to a meet up with it.
Once you get that deal, if you do not sell that deal and it is a true deal, you got it at the right price, and you can’t sell that deal, it is because you were afraid to pick up the phone and call those cash buyers and put it in front of them. You do not have the permission to be afraid in this business. Not if you read this blog post, or not if you are watching the YouTube channel. You have got all the skills, tools, and talents that you need to be able to sell these properties. Get out there and get your property sold. There should be no excuse whatsoever to do it. It is that easy.
I want to reiterate that. You want to keep building up your buyers list with emails and phone numbers. You could text these people often. You could send them email blasts, but at the beginning, while you are working on all those methods that you are teaching them, call people. Have a few strong buyers and market to the areas that they buy in because you have that buyer.
You are not like, “I do not have anybody to sell to.” That alludes back to what I was talking about at the beginning. Talk to the people and start your marketing around the core group of real buyers you have, not other wholesalers but flippers. Buy and hold people are the best people to sell to because they are going to pay a little bit more than a flipper because they are going to put it into their portfolio. They are super happy. They still buy on the MLS. You want those fat rips. I’m telling you guys, buy and hold people, talk to them.
I take away everything. I will give you $500. I drop you into the middle of the country. It does not matter. I’m going to drop you into Nebraska. You got $500. How do you get your first deal?
I would probably be resourceful. I do not even know if I have used the $500 with what I know now. I would learn the market real quick.
How do you do that? How do you learn that? You are in Omaha, Nebraska. How do you know where cash buyers are buying?
This all keeps going full circle. I would go to some meetups, meet some people, look for buying whole people, get on every list I could, probably try and daisy chain a couple of properties. Buy from a wholesaler, sell to a buy and hold person, even make a couple of grand and start building that up while I could. Once I had a little bit more, I would skip trace it. I would cold call because that is my time and effort getting a hold of homeowners. The most expensive part is the skip tracing. Text messaging costs a couple of cents per message. I would be texting those same people to be trying to get ahold of them.
A specific list, would you drive for dollars? Would you pull up a list?
I would get the city code violation list in Omaha, Nebraska. I go figure out how to get that from the county. I would skip trace that. That is the best list because we have a ton of data in Phoenix. We have a bunch of lists stacking. The people that are on most of the multiple lists come from code violations. That is someone who is vacant, something boarded up, or people who are behind on their taxes.
They are high on this list for the stress points on the code violations. There is a city violation to that property. That is a list that you want to get if you want to call, text them, and harass them because these people are more likely to have to sell their homes and a high equity list and ZIP code. You want to target distressed people. In Phoenix here, that code violation list cost me $12.50. I have $487.50 to text people, call people, and talk to people. It is not rocket science, guys. It is action.
Thank you for being on here. Guys, check out BatchSkipTracing.com and BatchLeadStacker.com. That one is what we have implemented in our business. We are not getting into it now because it is advanced and it is incredible, but it is one of the tools that we cannot live without now. Check that out if you guys are getting those consistent deals every single month.
If you are interested in joining the most proactive group in real estate investing is the TTP program. Go to WholesalingInc.com/TTP. Check out what the program is about. Check out all the testimonials. If it feels good in your gut, sign up for a call. I look forward to working with you personally. Thank you, Jesse. That was incredible. I hope you guys got extreme value out of this. Until next time, guys. I encourage you to talk to people. I love you.
- TTP Data
- Brent Daniel – Real Estate Coach
- TTP Program
- Be sure to join the Wholesaling Inc. Facebook group
About Brent Daniels
Brent Daniels is a multi-million dollar wholesaler in Phoenix, Arizona… and the creator of “Talk To People” — a simple, low cost, and incredibly effective telephone marketing program…
Also known as “TTP”… it helps wholesalers do more, bigger, and more profitable deals by replacing traditional paid advertising (postcards, yellow letters, bandit signs, and PPC) with being proactive and taking action every single day!
Brent has personally coached over 1,000 wholesalers enrolled in his “Cold Calling Mastery” training, and helped 10,000’s of others who listen to him host the Wholesaling Inc. podcast, watch his YouTube channel, and attend his live events…
A natural leader, Brent combines his passion for helping others with his high energy, “don’t-wait-around-for-business” attitude to help you CRUSH your wholesaling goals as quickly and easily as possible!