Posted on: August 18, 2020
WI 495 | Closing Deals

 

Will age, background, and experience matter in wholesaling? Definitely not! In fact, today’s amazing guest is just 18 years old and he’s already crushing it in the wholesaling space!

Carter Libis is not your typical 18-year-old. Rather than spending most of his time playing video games, he’s driving for dollars and finding deals! Carter’s wholesaling journey is solid proof that as long as you get the right guidance and put in the work, you’ll succeed in wholesaling.

If you’re looking for an inspirational conversation to motivate you and get you going, this episode is exactly what you need to hear!

Case Study – How an 18-Year-Old Closed Two Deals . . . in His First 2 Months of Wholesaling with Carter Libis

Episode Transcription

We are going into a time machine, back in our brains on this episode to what we were doing when we were eighteen years old or even better, before you’re eighteen when you’re seventeen years old. In this episode, I am interviewing an eighteen-year-old wholesaling prodigy coming out of my home state of Arizona. It is my pleasure to introduce Carter Libis to the show.

What’s up, guys? Thanks for having me on, Brent.

I want to sink the hooks in for this episode where the people are going to read this. I don’t care if you’re 68 or 18 years old and you’re reading this . This is going to hit all of those little different thoughts that are going in your head and whether or not you can do this business. This is one of the most important interviews that I’ve done.

I’m so excited to break down your story, but what this is all about is saying, “It doesn’t matter about my age, experience, background, and whether or not my family has been doing real estate for decades or not. This is about taking action, following instructions, and having that confidence and certainty to go out there and help out people in your community.” Carter, tell us a little bit about you, where you’re from, where you grew up, and how does somebody at eighteen years old already have two deals under their belt and one that was a big deal?

I turned eighteen in April 2020. My family moved here to Prescott, Arizona, in August 2020. I was born and raised in South Dakota my whole life. It’s been weird because of the whole year with Corona and everything. It’s been a difficult change, but it’s going good. I’ve always wanted to get into real estate during this whole Corona time. My dad owned a few small businesses back in our small town of a whopping 800 people. He always showed me the ropes.

I love the whole idea of passive income and the whole fact that people can pay your mortgage and put money in their pocket each month. I always want to get into that. During the whole Corona thing, he forced me to read Rich Dad Poor Dad. It’s an awesome book. I wanted to get into real estate and find a way to with no money.

I remember he sent me this book, The Art of Wholesaling. I’m not even sure who was by. I don’t even think I read it. I just YouTubed and found your channel and everything. I’m like, “I could do this with no money? Are you serious?” It’s like you said, “It’s like hitting the lottery.” I’m like, “This can’t be real. It’s got to be like another scammer or influencer.”

If you grind right away, you can build something special.

When I was driving for dollars, I was driving around the neighborhood, taking pictures of the MLS signs by the brokers or whatever. Thinking back to it, I’m like, “I’m stupid for doing that.” I would be calling them and found out that the MLS deals weren’t the ones to go, but that’s how I got into it. It was a lot of YouTube. During the Corona time when we didn’t have school anymore, I was devoting it. Instead of playing video games and doing stuff most eighteen-year-olds are doing, I busted down and found out what I wanted to do. I love it.

Did you start calling strangers and talking to them about real estate?

Yes.

Your dad has owned businesses. You’ve seen that. What do you think is the main advantage of being an entrepreneur in your head? What’s your goal for this or your plans with it?

Dad’s always been able to attend our sporting events and be there for us all the time. He was very supportive and everything like my mom, but he’s given us the freedom. He can do work from anywhere. He’s still in South Dakota right now. I liked the fact that when we’re on vacation, he’s still getting monthly income from the properties that he owns. He deserves it because he’s putting the money in those sweat equity into them. I love that if you grind right away in the first couple of years, you can build something special. My whole goal with wholesaling is to build up a lot of cash and then go invest those into multifamilies and have that income for the rest of my life.

It’s important. The intro of every single one of these shows is the most proven path to financial freedom. What financial freedom does is that it gives you freedom of schedule. We’ve got one shot at this life. You only have a certain amount of time. It’s critical that you get the most out of it that you can. The only way to do it in our world is to find financial freedom to open up your schedule so that you can have the opportunity to go to sporting events, vacations and be around your children, family, friends, whatever you want to do.

Maybe you want to be by yourself in the woods. Whatever it is, you need to have financial freedom and the freedom of schedule. It’s beautiful. I see the relationship that you have with your dad. You guys have come into the office and spent time. Once things open up and get back to normal with the whole COVID situation, anybody in the TTP family is invited into my office. You took advantage of that. I saw the connection. Your dad’s not in the business, but he understands that if you talk to enough people, you’re going to find deals. He supports you 100%. How big is that for you?

It’s awesome. Me being wholesaling and calling every day and trying to find those deals, he loves the fact that I’m doing this. He’ll have the first option at those deals that can be fixed and flipped or another rental in the portfolio. I’ve shown him proof that it’s amazing. On the other hand, my mom is great and so supportive. I’m very blessed to have a family like this. She works so hard too. I showed her what I was doing, and she was there on the sideline cheering me on too.

When you were starting, weren’t you nervous? This is a totally selfish thing. I’m putting myself back to when I was eighteen years old. I could barely order my own food at that time. I know people might sound like that might be goofy, but in restaurants, I still was looking to my parents to help ease the conversations with strangers. Here you are getting on the phone. How did you overcome that? Was that ever an issue? Have you always been naturally, “I’m going to do it?”

WI 495 | Closing Deals

Closing Deals: Even a little bit every day of making those calls would make a huge difference. Be consistent. It’s all about building the pipeline and getting that ball rolling.

 

The thing with me is I’ve been blessed to be able to talk to people. I’ve always had that trait where I’m very likable. I can always relate to someone, have a good conversation with them, and get to know them. I don’t think it was too big of a deal with me. I never had I was scared to jump on the phone and have a conversation with somebody. Once I get on the phone and have a conversation with them, I know I’m blessed to build rapport with and get into them. It’s the fact that when I go into appointments and they’re like, “Hmm,” I was the guy that they were talking to. That’s a good thing. They think they’re talking to an older, more mature person. In reality, I’m eighteen trying to hustle stuff.

It’s rare. A lot of people don’t have that, but some people do. There needs to be an outlet for them to be able to be successful. One hundred percent is wholesaling real estate. If you’re one of those people out there that are reading this, and you’re like, “I feel fine. I’m not scared of people. I have big dreams. I want to hustle, but I don’t want to do the same hustle every eighteen-year-old is doing and not making any money.” You’ve done two deals for over $42,000. When did you start?

I started in May 2020.

What an unbelievable talent you are, but talent only goes so far if you’re not taking action, working it, and staying consistent with your efforts. Are you out of high school now?

Yes. I do have a job at a country club here in town in Prescott. I work about 3 to 4 days a week, but when I’m not working, I try to follow that 9:00 to 12:00 noontimes where I make calls. I’m probably averaging about an hour and a half a day on the dialer. With it, I believe if I can do at least an hour, an hour and a half a day, even a little bit every day to make those calls and be consistent. It’s all about building the pipeline and getting that ball rolling. If you can be consistent every day, you’ll do deals. My whole goal right now is I want to do one deal a month. That’s my main goal. If I can be on the dialer for a couple of hours, an hour and a half a day, I feel like I can do that. It’s all about taking action.

When do you prefer to make your calls? Is it the morning or the afternoon? When do you find that you can be not only consistent and sustainable, but that you can have the energy, enthusiasm, and those good conversations?

I love the morning to make calls starting at 9:00, 9:30 to 11:00, 12:00. I like to make calls the way it is. I don’t care what time of the day it is as long as I can make a couple of hours where I can make calls and follow up with people. I’m not going crazy 6 to 7 hours a day. I get worn out by then. That 2, 3, even 4 hours is perfect for me. It gives me those little small wins to know that I’m building it up and the deals are going to start rolling in. I don’t care what time of day it is. I like to knock it out no early in the morning, so I got the rest of the day to do whatever stuff popped up. I like to get it up and get it over the way. I’m not stuck, having to squeeze it in at a certain point or not being able to do calls at all. Ideally, I get up, and I get right to it.

The whole goal with wholesaling is to build up a lot of cash and then invest those into multifamilies and have that income for the rest of your life.

What are the best lists that you like calling? You’ve had a couple of months under your belt, and you’re getting into a rhythm. Are there certain lists that you find easier to talk to than others?

Not necessarily. I like the pre-foreclosure list. I have an agent in town that sends me that list pretty frequently. Due to the whole Corona thing, the list is small because the banks are giving extensions and stuff like that. I haven’t been targeting that list. I got this list from ListSource. I put Yavapai County, so it’s the whole county 40% to 100% equity in the residents and up to multifamily. That was about 3,000 addresses. I’m texting and calling it. It should keep me busy for a while. I still got a lot of addresses to hit, but hopefully, there are a few deals in there.

What about driving for dollars?

I forgot about that. I pulled a list in Prescott. It’s about 250 addresses that I’ve got from driving for dollars. After LLCs and everything, it was down to 180, which was good. I love that list because you’re out there. You’re finding those real properties.

Are you using an app?

I’m using DealMachine.

We get the biggest discount ever. Use the coupon code TTP for your driving for dollars. It gives you everything, all the owner information, lets you know if it’s owner-occupied or a rental. It’s phenomenal. DealMachine.com, TTP, when you check out, you get $10. It’s only $40 a month.

WI 495 | Closing Deals

Closing Deals: If you can be consistent every day, you’ll do deals. It’s all about taking action.

 

DealMachine is great because even if we’re going to church and I see a property, I’m in the back seat and I’ll pull up the app and zap it quickly. It’s awesome. You don’t need to slow down, write the address down, and stuff like that. It’s great. It’s a real convenience. I’d recommend that app.

Let’s start breaking down because of the first deal that you did. You were excited. It wasn’t that very big, but it did the crucial thing, which it took you from believing that you can do this to it being a fact that you can make money, income, close, and help solve the problem of a distressed seller. Give the first brief overview of the first deal that you did.

The first deal was a pre-foreclosure. This was a list that the agent sent me. He was over in Camp Verde. It was a mobile home. I was going through the list and got ahold of them. It was a young couple. They had a little daughter too. I wanted to help them out because it seemed like they were going through a tough spot. I did my best to help them out. This is my first deal. I’m about to say this many first deal mistakes, but the ARV, I found this nice mobile home that was all fixed up.

I’m like, “That’s what it would be like someone comes in, buys it, and fix it up.” That was $195,000. They were high. I promised them we could lock it up for $110,000 and that was it. I had them send me photos of the property. I locked it up before I was there, which was a big mistake. They send me photos of the property. I had them send them over text messages inside and on the back. They never sent me a photo of the front, which was a little sketchy.

Anyway, I put it in on the marketplace and Craigslist. I got a few calls. One guy wanted to finance or a carry. I’m like, “Yeah, that’ll work.” I got a couple of calls to drive down there to show the property. When I get there, I pull up to the house. On Zillow, I found out that those pictures were from 2011. It’s a good-looking property from Zillow.

When I get there, the chimney is knocked out. A tree must have hit it and blown it out. It’s in terrible condition. There was a carport on Zillow, and that was totally gone. There are 6 or 7 junk cars on the property. I’m like, “I don’t know if I’m going to be able to help this couple out.” I get there and show it to this first buyer. He’s practically teaching me about this property because I had no idea what septic was. I’m like, “I’m trying to make a couple of bucks here.” He was not interested.

I was about to leave the property and got this call from an investor in Camp Verde. He comes over and takes a look. I was totally honest with him and like, “I got this property locked up for $110,000. I’m trying to make some money here. I’d let it go for $115,000.” He’s like, “I’ll call you in the morning and see if my wife and I will agree to that.” Anyway, I haven’t heard from him. It’s about 11:00 or 12:00 that next day. He calls me, he’s like, “No, this is not going to work.” I’m like, “I’m going to have to cancel on these guys. It’s going to be tough.”

I call them back and renegotiated the price down to $95,000. I’m like, “It’s either going to be $95,000 or I’m not going to be able to help you out.” I get back on the phone with the Camp Verde guy and I’m like, “Is there any price that’ll work for you?” He’s like, “It’s got to be under $100,000.” I’m like, “Will $98,000 work?” He’s like, “Let me call you back.” He hangs up and calls me back. He’s like, “We can do $98,000.” I’m like, “Awesome.” Anyway, it’s going through the process. I’m calling everybody, “Guess what I did? I made $3,000 or whatever.”

Celebrate those small wins. You don’t have to burn yourself out by working more than 8 hours a day. What’s important is you’re doing something.

It came upon closing, and $2,700 has to be paid with their mortgage. I called them up, and she’s crying and like, “We’re not going to be able to pay this off. Our house is going to be foreclosed.” I’m like, “I’m sorry, but you’re going to have to try to come up with this money.” I’ll make $200 to $300 if I had to pay it off myself, and I was like, “Can you please pay this off? It’s going to be the best for you.” They ended up paying it off, and I was able to help them out.

People find a way. When people ask, and they’re like, “We can’t make this happen or whatever.” It’s not something crazy. It’s not like $100,000 or $50,000 or something like that. It’s under that $5,000. I get this all the time, Carter, “Brent, they have people living there, and they don’t have anywhere to move.” They’ll find a way. They will find somewhere to move, solve the seller’s problem, and you’re going to make it. They will help themselves out at some point, especially when they’ve committed in their mind to getting rid of this property. They start finding creative resources that they didn’t believe they had before, and it works out.

It was great. I was able to help them out. It wasn’t the biggest wholesale fee, but it showed that this business is very profitable. It made me some money, and I didn’t need any money. I needed an hour road trip down to Camp Verde and an hour back.

Did you make $3,000?

Yes.

I’m going to ring this bell, but I want to ring the bell for this bigger one you closed. Why don’t we break this thing down? First of all, tell us what list you got it from, how you initially made contact with them, and then go into the condition and timeline and all of that.

The last deal was a cold call, too, by the way. For this deal, it was a Prescott multifamily. I got it from PropStream. It was one of your lists that you recommend in the program. It was multifamily in town, 30 to above equity, owned it for so and so.

When he says so and so, we want at least 5 to 10 years of ownership so that it seasoned up a little bit.

That was the list. Prescott is a small market. It was like 56 properties, enough to get skip trace. The minimum is you need 50 properties. I skip traced it and got ahold of them. This was a long process, not too long, but it wasn’t like one of those where you’re on the phone and locked up a deal. They wanted to sell and wanted to put their money somewhere else. They were willing to sell at a discount. I’d build a lot of rapport with them. It was a lot of phone calls, negotiating. $480,000 was their bottom number. I’m at $410,000. I’m trickling them down. They’re at $460,000. All of a sudden, I got them at $430,000. I’m trying to sell it good here.

How’d you get them down on price, Carter?

I was certain. I’m new. I try to be very confident with my number. I tried to give them some facts and where I’m at.

The facts being maybe some comparables.

I was mentioning multifamily. That’s $125,000 a door and it was a four-unit. I kept knifing them. I’m like, “That’s a lot of money for each door.” They were willing to come down. I was going to try to buy this property myself. I was looking at down payments, assistant loans and stuff like that. This was a good deal. Prescott for $430,000 and a multifamily, it’s instant equity if you’d buy it. I got them to $430,000. I went over there. I try to bring my dad along, so I have some older people there.

I wanted to bring him to this one because I was going to try to buy it and get over there. They remodeled one of the units. They’re super people and a great couple. I was going to buy it and get a text one day from a buyer that I worked with down in Phoenix. We JV a little bit, and he texted me. He’s like, “You got anything up in Prescott.” I’m like, “Maybe I’ll send them this four-unit.” “I got a four-unit whatever.” He’s like, “Awesome.” He sends it out and he’s like, “I got a buyer for $450,000, sight unseen.” I’m like, “That’s $20,000 right there. Yeah, I’m going to jump on that.”

WI 495 | Closing Deals

Closing Deals: It’s 10% knowing real estate and 90% building rapport with the sellers.

 

Why did the sellers want to sell this fourplex? There’s not a lot in Prescott. Prescott, to let everybody know, is the mountain town. It’s beautiful. People leave Phoenix to go escape up to Prescott. People retire there. It’s a step up in pricing because it’s like a vacation, a second home market. Getting multifamily there is pretty difficult. What was their motivation?

They wanted to put their money somewhere else. They didn’t have too much like, “We got to get out of here.” No. They wanted to move on from that property. Even though they only owned it for 4 or 5 years, they were tired of it. They wanted to put their money somewhere else and get rid of it. I offered them speed and convenience. They were going to deal with me. They were going to list it on the market for $520,000 or $532,000. I’m like, “Yeah, let’s do this deal. Let’s try to come up with the money and put it back on the market.” I JV-ed with the guy down in Phoenix. The closing was $470,000. It was about $40,000, and I netted $20,000. It was super good.

This was truly a $40,000 deal if you had a big enough buyer base.

My mistake here was I didn’t know the market enough. I could have marketed this so much higher. When I got the text, like, “I could sell this for $450,000,” I’m like, “That’s $20,000. That’s got to be the best thing ever.”

Now you know, though. Not only that, you got a learning experience and a $20,000 check. You just had your high school graduation party.

It went through. It was a super quick process. I didn’t have to do any disposition. I didn’t send it to any of my buyers. I jumped on it. It was great. I learned that I probably could have made a little bit more money, but you have to be grateful and move on to the next one.

First of all, if people want to reach out to you and tell you a great job or talk to you or connect with you in the markets you work in, how do people get in touch with you? What’s the best way?

On my Instagram, you can message me on there. It’s @Carter_Libis. You can search that name on Twitter and Facebook. I’m always replying. Reach out. I love to help you as much as I can. I’ve been learning a lot. I’m soaking in a lot of your information and other people’s information and reading a lot of books. I’m doing my best to learn as much as I can. Feel free to reach out. I love to love to try to help you guys and get some checks together.

Give some advice to somebody starting out.

If you’re starting out and you’re on the verge of thinking that this is the right thing for you, honestly, if you guys can do a little bit every day, my main thing is if you can be consistent on this whole wholesaling business, it’s truly like hitting the lottery. If you can find a good discounted deal and build rapport, that’s another thing. It’s like 10% knowing real estate and 90% emotion, building rapport with the sellers. If you can become friends with them, that should be your goal for each and everything. Gain a friend. If you’re on the phone and going on appointments, try to know as much about them. What’s their dog’s name? What’s their favorite color?

Build up a true relationship with them. They’re willing to do business with you. If a guy comes in $20,000 higher and they’re declining it and doing business with you, you can build rapport and stay consistent. It’s awesome. Wholesaling is great. Please get into it. Pick up the phone, talk to an agent. They’re more than likely loving to send you a list of pre-foreclosures. Go drive for dollars, write down some addresses. Give them a call because, literally one deal, it’s insane. If you can find a good deal, you’re going to be able to move it. A buyer’s going to want it.

Thank you so much for being on here. A little bit of resources that he was talking about, DealMachine for your driving for dollars. Use the TTP coupon code. Carter mentioned PropStream. You can get that at TTPData.com. It is phenomenal. They came out with a free app if you get the subscription there. He talked about skip tracing. If you’re not familiar with that, you use the method to get accurate phone numbers for the addresses that you’re trying to get a hold of. That’s BatchSkipTracing.com. Carter, I’m excited for you. I love that you’re here. I love that you come down, and we get to spend some time together, mentor you personally, work with you and see you do what you do. You do all the hard work. I’ve got the plan and the maps. I’m your guide.

You’ve provided me with a lot of information, and your program is awesome. It’s so worth it. I begged my dad like, “Please give me a chance. I promise you this will pay off.” It’s a lot of YouTube. There’s so much free education out there for you guys. Go all soak it in and be a learner of the game.

If you want to take it to the next level, join the TTP family and work with me personally, go to WholesalingInc.com/TTP. Check out all the success that people have been having around the country. Nobody has had more success. It is incredible. If it feels good in your gut, sign up for a call. You’ll either be talking to me or my right-hand guy. We look forward to it. Until next time, Carter, you are amazing and a prodigy. I love it. You’re incredible. Everybody out there reading, as always, I encourage you to talk to people. Until next time, I love you. See you.

Important Links:

About Brent Daniels

WI 810 | Virtual WholesalingBrent 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!

 

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