Posted on: July 07, 2020

Ever wondered how massively successful wholesalers like our very own Brent Daniels achieved the success they’re currently enjoying? Wonder no more! In this special two part series, Brent himself shared the 12 step system that has helped him dominate the market and attain financial freedom!

Regardless of where you currently are in your wholesaling journey, you’d still find tremendous value in today’s episode as you’ll be learning proven methods that Mr. TTP himself uses to get ahead of the pack. If you’re looking for a roadmap that can help take your wholesaling business to the next level, consider this episode a must hear!

Key Takeaways

  • Key to achieving consistency in your wholesaling business
  • Three ways to source deals
  • Biggest hurdle people encounter when they want to be consistent
  • Four pillars of pre-qualifying
  • The importance of building rapport and allowing people to warm up to you
  • Why you need to be enthusiastic when talking to sellers
  • Why tracking your numbers is crucial
  • Key things you need to track
  • Where the TTP (Talk to People) concept came from and what it’s all about

RESOURCES:

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Episode Transcription

Speaker 4:
Hey guys, welcome to another episode of the Wholesaling Inc podcast. And today’s episode is absolute fire from Brent Daniels. In today’s episode which is part one of a two part series Brent is going to literally give you a step by step plan for achieving massive success in real estate wholesaling. Now, it doesn’t matter if you’ve never done a deal before or maybe you’ve done dozens or even hundreds of deals, because what Brent is about to share in this two part series is his very own 12 step system for getting massive results with wholesaling. Regardless of where you are on your real estate journey. Brent has taken everything that has propelled him to massive success and has broken it down into 12 simple, easy to digest steps that you could start following immediately so you can start getting better results.
So regardless of where you are on your journey and what you were looking to achieve, maybe for some of you you’re only looking to make a few extra thousand dollars a month or you’re trying to get out of that job, escape the rat race as they call it and build your own business. Or maybe some of you just want more freedom in your life. More time to do stuff that you actually like to do I don’t know. Spend more time with your family. Maybe go on vacations, maybe do more traveling I don’t know. For everyone it is different, but whatever it is I believe that what you’re about to hear if you’re open minded and you actually implement what Brent is going to share here, you’re going to walk away with a roadmap to success. And I’m confident of that. So enjoy part one of this special two part series.

Brent Daniels:
Welcome to the Wholesaling Inc podcast. America’s number one podcast for new real estate investors, where we know that finding discounted properties is the most proven path to financial freedom. I am your host Brent Daniels, Mr. TTP. And I am telling you if I can do this so can you. So let’s get started because on this podcast, the gloves are coming off. I am going to dump so many action items on you. I’m going to give you so many step by step instructions in this podcast to get your first deal or to build consistency in your business that you’re going to need to listen to this again and again and again. You’re going to need to get out your pad or paper, get out a pen and write down these action items because I’m telling you this is the plan. This is the path, right? You’re the hero of this story, but I’m your guide. I’m your guide and I’ve got the path, okay. I’ve been there. I’ve done it. This works every single time if you take action.
Okay. So let’s jump right in. Let’s be honest, there is every time that we’re watching YouTube, every time that we are listening to podcasts, every time we’re going to a seminar, every time we’re going to a meetup, anytime somebody that’s doing business is giving us advice, we have to put it through the filter of is this entertainment, is this education or is this instruction? Every time, okay? Because I’m telling you, entertainment is phenomenal. It’s great. It gets us excited. It gets us pumped up. It makes us want to do something special, right? It’s all the inspirational stuff that we see and put into our brains, which I think is completely important for sure, but it doesn’t get us paid.
It doesn’t help us to be successful. Maybe, but only if we take action, right? Only if we’re actually out there every single day taking action on all that inspiration. But entertainment in itself is not going to get us paid. The second filter is is this education? Education is great. It’s good to understand theory. It’s good to put these things in our brain and understand terms and understand processes and understand the flow of the transaction, the flow of how do we go from never doing a deal to doing a deal. That’s great, that’s education. But that stuff stays in our brain, right? Education is not going to get us paid. What gets us paid is instruction, is taking these steps, is taking action every single day. That’s what gets us successful. So I end this, I’m going to give you instruction. I’m going to give you actual action items to take so that you can implement today.
Today, tomorrow. I mean hopefully as soon as possible. Because listen, the market needs us. The facts are six to 10% of the entire country, I don’t care what market you’re in. Obviously it depends on which percentage, depending on where your area, your state, your area, your community, your city. If you’re close to the 6% or 10%, but six to 10% of homeowners or property owners are in distress. Those are facts. Okay? That means there’s millions of people. It is literally a conveyor belt of opportunities out there in your marketplace, in your city, in wherever you want to focus your efforts. There is plenty of deals out there, but are you going to take the action to get in front of these property owners? Because literally you are one conversation, you’re one quality conversation away from changing your financial future. Because here’s the fact, if you’ve never done a real estate wholesale deal, you have faith that you can do it or you wouldn’t start.
You have faith that you can make a difference. You can provide value when you provide value to a distress property owner, you get paid. And it just depends on how much value you provide that distressed property owner, depends on how big of a check that you receive, right? Or how big of a deal that you get. And just like Robert Kiyosaki said, the deal of a lifetime comes around about once a week. And it’s absolutely true. So you’re literally one conversation away from a huge, massive deal. I mean I’ve talked to people and have students and have people in this rhino tribe that their first deal they do 30,000, 50,000, $80,000 deals. One of my students did a hundred thousand dollars deal his first deal in Seattle, incredible. It literally one conversation away.
But the beautiful thing is that takes you once you are able to complete a real estate wholesale deal, that takes you from the faith, which is unbelievable. You got to have faith that you can do this, but it converts that you cross that bridge to where it becomes a fact. And when it becomes a fact, that’s where the power is at. That’s when you know that you can do this, you know that you can repeat this, you know that you did that first one you can do it over and over and over again. So the key to getting your first deal or to get consistency in your wholesaling business is to have an unbelievably strong connection between your financial goals and your ability to have consistent quality conversations with distressed property owners. Okay? And there’s only three ways to do that. One, you can wait to get a referral from somebody that knows that you are a real estate investor. Whether that be a real estate agent, whether that be a neighbor, whether that be a family member, they know that you are a real estate investor, they bring you a distressed property owner.
They give you an introduction. They give you a referral. And now you’re having a conversation with a distressed property owner. It’s literally put into your lap. And by the way, it is a phenomenal way to get business, but you need to build a reputation. I mean people need to know that you close deals. People aren’t going to refer you their friends and family or clients if they don’t know that you can get the deal done. So it’s very hard to have predictable income if you’re only getting it from referrals. Okay? The second way to get deals is to buy them with marketing, right? Traditional marketing, biggest ones direct mail, pay-per-click, bandit sign. This is when you buy those conversations, you literally are buying people calling you. You’re sending out mailers, you’re designing a website and putting out Google ads to have people reach out to you and listen, it has worked. It works. It has worked, it does work it’s just expensive. Okay? It just costs a lot to have distressed property owners call you. Okay?
You need to have a big budget, especially with companies like Zillow and Open Door and Offer Pad and Redfin. I mean these guys spend millions of dollars on marketing and probably in your market, probably in your backyard. Maybe you’ve seen it. So can you compete with those people? But listen, you need to have some self awareness here. If you were more comfortable having people call you and buy those conversations, then do it. Absolutely do it. But the way that I’m going to encourage you to do is to talk to people. That’s why that’s the whole TTP, talk to people. You earn them with prospecting. You earn the conversations by being proactive, reaching out to these distressed property owners and having conversations every single day and seeing which one of them has a problem that you can solve.
Okay? So there’s three ways to source the deal. And listen, this is one of the biggest hurdles I feel people have as they’re trying to get their first real estate wholesale deal or build consistency so that they can quit their nine to five jobs so that when they get out of the military they have a business that’s already running, so that they don’t have to… Their kids are grown now and now they want to do something special with their life. They’re young guys, young people, guys or gals coming out of high school that have that entrepreneurial spirit. Like I don’t care who it is. You have the time to do this. Okay? You have the time to be able to succeed in this business. We all have 168 hours in a week. Okay? If you commit a minimum of 20 hours a week to your business, you will be successful, but that’s a minimum. 20 hours a week minimum and you need to find it.
It is not time management, we’ve got plenty of time. I don’t care if you sleep 56 hours a week, which is eight hours a night which nobody does. If you do, you’re amazing. But I don’t know anybody that consistently sleeps eight hours a night especially if you have kids come on, right? So you’ve got 168 hours a week, you got 56 hours that you are sleeping. You got 40 hours that you’re working your other job. That’s 96 hours. You still have, we have 168 hours in a week. What are you doing with the rest of your time? It’s not a time management issue it’s a priority management. If you make this business a priority for the next three years, I am telling you you are going to be set for life. You will be set for life because not only will you have consistent income coming in, you’re going to build a foundation for your business that is rock solid, diamond hard.
I am telling you you will be one, you’re going to have freedom of schedule which is probably the biggest blessing. It’s not even probably, that’s the greatest gift of all time is the freedom of schedule. You’re going to have freedom of schedule and you are going to be able to be an example to your children, to your friends, to your family, to people that don’t even know you but see the amazing amount of work and success that you have. I mean that is exciting. That is what it’s about and I’m asking you to commit 20 hours a week to that. I know you can do it. You know you can do it. It’s just you need to have the discipline and an honest look at your schedule and time block when you are going to work in this business.
Okay? The next step is you need to be proactive. You need to be proactive because here’s the problem. If you’re always waiting around for people to call you from referrals or marketing, you are going to start getting anxiety. Not only anxiety that nobody’s going to ever call you or that you just spent five, $10,000 on marketing or 500 or 50 or $150 on marketing with no results. You’re going to get anxiety that you’re going to get a phone call and for some reason you’re going to be in the shower, you’re going to be at the gym, you’re going to be on a date, you’re going to be on vacation, you’re going to be out of cell service. You’re going to miss that call and you’re going to miss an opportunity to make 10, 15, $20,000 from that deal. Because you better believe that if people are reaching out to you, you are not the only one, they are dating around.
Okay? These distressed property owners when they’re at the point where they’re calling somebody to give them a cash offer on their property, they are not going to wait around for you to get out of the gym. They’re not going to wait for you to put the kids to bed so that you can call them back. They’re going to call everybody else that’s on a stack of mailers or any other website that pops up we buy houses. Okay? So if you’re being proactive you can destroy all of that anxiety because you’re having conversations with distressed property owners on your schedule. From nine to noon every day you make calls. From 11 to noon on your lunch break you make calls. When you get off work at 4:30, from five o’clock to six o’clock you make calls. Guess what? You’re having those conversations on your schedule. You win.
It’s not people calling you in the middle of the night or in the middle of the weekend. When you set your schedule, destroy the anxiety. Okay? And next ask what your value is right now in your marketplace. How much income do you bring home? That’s how much value you provide to the marketplace. In our capitalistic society, our income equals the amount of value we provide. You can argue with me on that, but it’s the absolute fact. The more people you help out, the more value you provide, the more money you make. Again, you’re having an honest look at your schedule you might as well have an honest look at your value, okay? And what do you want it to be? BRENT I want to make a million dollars. Great. Provide a million dollars worth of value. How do I do that? You solve a million dollars worth of problems in your community.
You help distressed property owners. Listen, Tom Krol, the greatest wholesaling coach of all time tells it very simply. People will trade equity in their property for speed and convenience. It’s our job to find them. Okay? And every distressed seller, every deal that you do there is core elements for every seller. I looked back with my team I said, what is the common denominator here? What is the common element that every single deal that we have has? And it wasn’t what lists they were on, some were probates, some were pre foreclosure, some were tax defaults, some were driving for dollars, some it was predicted that they were going to sell at a discount by these brain scientists, right? No. What is the common element? It came down to three things? The three things are they want to sell their property. Okay? They want to sell it.
They want to sell their property. Listen, there’s this whole debate over whether you need to talk to people that need to sell versus want to sell. Listen, there are plenty of people that need to sell that foreclose every single day of the week. There’s plenty of people that need to sell that lose to their not paying property taxes or to judgments. Listen, they need to want to sell. They need to want to sign a agreement with somebody to sell that property. Okay? Number two is they need to trust you to get the job done. If they do not trust that you can get this across the finish line they will not do business with you. So number one, they want to sell. Number two, they trust us to get the job done. And number three is they have a problem we can solve. They have to have a problem.
I’m telling you if these property owners don’t have a problem, then they’re going to sell at retail. They’re going to put it on the market, right? Them wanting to upgrade to a bigger house is not a problem. If somebody that just remodeled their entire house and wants to get retail for it and minus just they don’t want to pay realtors because they don’t like realtors, that is not a deal. They have to have a problem that you can solve. Okay? Every single seller look for these three things. If you find these three things, these are the people that you’re going to do business with. And every single lead you need to pre-qualify, okay? We pre-qualify every single seller a hundred percent of the time. And we prequalify them based on the four pillars of pre-qualifying. Number one, the condition of the home. Number two, their timeline to sell. Number three, their motivation to sell. And number four is what price do they want?
We need to understand the condition of the property. I am telling you time and time and time and time and time again the worse the condition, the better the deal, truly. If this is a gorgeous property, unless something really off the wall happens, which has never happened in my career. I’ve never heard of somebody that had a completely remodeled house that they got a smoking deal on. Okay? So the condition of the property is really important. If the condition is bad, we will follow up with that lead forever. Forever I don’t care what their timeline is. At some point they need to make a decision. So the condition of the house is absolutely critical. Their timeline to sell. Do they want an offer? Great. Can they not sell for six months? Can they not sell for a year?
Do they not want to sell until three years down the road? The timeline is so critical because time kills all deals. If you give a written offer to somebody that’s not ready to sign it, they are going to leverage your offer to every other investor in town. Guess what, you became the lowest amount that they would take and they get a bid up and bid up and bid up and you go through heartbreak because all these deals that you give offers on all of a sudden everybody else is buying them because they were a thousand dollars over your offer. Timeline to sell critical. Motivation. What is their problem? That goes back to the core element. What is their motivation? We need to pull this out, we need to find out what their pain is. We got to let them be able to explain what is painful about their situation so that we can heal them, motivation.
And the fourth one is price. How much do they want? You can have all those things. It could be the worst dumpster fire of a house. They could want an offer, a move out yesterday. Their timeline is right now. They could be totally motivated to sell because they don’t want to deal with it anymore. But if they want double what it’s worth you can’t help them out. Okay? Maybe with some creative financing stuff and that’s fine. But listen, we’re talking about wholesale. We’re talking about finding deeply discounted properties, price matters. And by the way, out of all these pre-qualifying the price is the toughest one to get out of them. It is, so warm them up. Remember, when you’re talking to a stranger about their property the first 45 to 90 seconds they’re going to build a force fields around themselves that says, “I don’t trust you. I don’t know if you’re scamming me. I don’t want to open up to you. I have a reflex no to anything that you say.”
So my advice to you is warm them up. The longer the conversation goes, the more likely they are to tell you the truth and open up to you. And that happens by the easiest, by asking about the condition of the property. Because a lot of people will describe the property, explain the property. They’re comfortable with that. But when it gets to the real nitty gritty about them and their situation and their problems, then personally it gets tougher. So the condition of the property, that’s what you use to warm up that conversation. Well Mr. Seller, what remodeling have you done to the kitchen and bathroom in the last five years? When was the roof replaced? How’s your air conditioning unit working? Is the pool equipment still functioning as well as it can?
All of these questions warming it up. It looks like it’s a three bedroom, two bath house, is that right? Great. Okay and it looks like it’s 1300 square feet, is that accurate? Yes, that’s accurate. Okay, great. You’re just warming up with facts. If you’re using your tone of voice and you’re mirroring and matching the way that they speak, they will open up to you and you need to have enthusiasm. You need to protect your enthusiasm. I mean I don’t want you to blow them out and be bombastic, but I do want you to have enthusiasm. It’ll warm people up there. They’re going to work with you more. Okay? Next is now let’s assume you’re out there you’re getting leads. You’re having conversations. You’ve got a pipeline of opportunities that could pop at any time. You need to keep and be obsessive about a scorecard. Okay?
You need to track your numbers. This is the difference between somebody that tries to get deals and somebody that gets them consistently is they know their numbers. Here’s some things I want you to track. How many people do I need to talk to to get a lead? That’s number one. How many people do I need to talk to to get a lead? Number two is how many leads do I need to get a deal? How many leads do I need to get a deal? Number three, how many cash buyers do I have? How many cash buyers do I have? How much do I make per deal? How much do I make per deal? How long do I need to prospect to get a deal? This is assuming that you’re taking my advice and being proactive and picking up the phone and calling them. Remember to be proactive in this business, you have two options.
You can go door knocking, you can go straight to their door, zero budget you could do it today. Go find the ugliest houses in your area and go knock on their door and say, “I know this is out of the blue, but I’m actually interested in buying a property in the area and I wanted to see if you would consider an offer on your property here.” That’s it. It’s not rocket science. If you’re looking them in the eye, if you’re being kind, if you’re standing a little bit away from the door so that you’re not intimidating, you are going to have some good conversations. You can do that absolutely free. That’s how I started my business. I had no money, I was $742,000 in debt, real debt, not like mortgage debt, like judgment debt. Okay? I had to go out and door knock. I had literally no money, literally.
I had less than that, I was in the hole and that’s how I got my first few deals. And then I discovered that if you got accurate phone numbers for these distressed property owners, you can call them. What a novel concept? So that’s where the TTP philosophy all comes from. Either talk to people at the door or talk to people over the phone. You’re going to be way more efficient on the phone. And plus, I don’t know where you live, but in the winter a lot of this country’s super, super cold. And in the summer, if you’re in a place like Phoenix you will melt. So it’s very seasonal. So I encourage you if you are going to door knock also implement cold calling as well. Okay?
And how long do you need to prospect? How long do you need to be proactive to get a deal? And then how long does it take you to get paid? From your first conversation with that distressed property owner to the time that they wire the funds into your account how long is that on average? Now we’re starting to roll. Now we’re starting to get results. Now we’re starting to get predictability in your business. Okay?

Speaker 1:
Okay so that concludes part one of this special two part series. Be sure not to miss out on part two of the series which airs Thursday, this Thursday morning right here on this podcast. See you then.

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