Posted on: August 27, 2020
WI 502 | Unconventional Approach

 

One of the most important things you need to know about wholesaling is this: the road to success is not always linear. This is something today’s incredible guest can definitely attest to!

Natasha Turner is a driven wholesaler from Wilmore, Kentucky. This selfless teacher secured a massive 21-unit deal that not only put money on her account but also taught her so many invaluable lessons about the business.

In this episode, Natasha chronicled the excitement, frustrations, and triumph that lucrative deal brought. You will also learn how she effectively addressed the issues she encountered along the way.

If you’re facing a few hiccups in the business and can use some motivation to keep going, this episode is for you!

The Unconventional Approach This School Teacher Used To Land A 21-Unit Deal With Natasha Turner

Episode Transcription

“If I could make success easy for you or I would be cheating you out of its biggest dividends, that is the sense of awareness, aliveness, empowerment, ultimately, self-confidence that can only come from confronting your problems head-on, rising despite your fears to their collective challenges and ultimately prevailing.” That is a quote from the book, Self-Made in America. It is a fantastic book. It is under the radar, but it is a perfect introduction to this wonderful interview that I’m having with an incredible wholesaler out of Wilmore, Kentucky. I would like to introduce to the show Natasha Turner. Natasha, say hello to everybody.

What’s up, TTP Family?

I’m excited because you have a rollercoaster of an experience to talk about here, the excitement, the thrill, and almost being in a boxing match with a seller going back and forth and taking your lumps. At the end of it, you were able to complete a fantastic 21-unit transaction that went from a complete grand slam home run to something that was an incredible learning experience. It is something that is still profitable for you and we were going to break that down. First of all, how did you find wholesaling and why do you want to be a real estate investor?

I happened to hop on wholesaling accidentally. A good friend of ours invited us to a Tony Robbins event and someone at that event was talking about wholesaling, and I was like, “That sounds intriguing. My husband should do that.” That wasn’t in the cards for him. I was looking for something interesting to listen to one day while I was working out and I came across this show, and it was super energetic.

It caught my ear, so I kept listening to it every day. After a couple of weeks, I was like, “There is something to this. These are real people with real stories. It is not hyped.” I got hooked. I talked to my husband about it, and he is like, “If you want to give it a try and you are willing to do the work, go for it.” I was like, “Are you serious? I was hoping you would say no.” He gave me full reign to go for it, so I did.

I don’t know if many people mentioned this on the show, but every time that we were talking with somebody that is telling a story about a deal that they closed, everything is completely above board. Everything is vetted out and looked at. We look at settlement statements. We have got a TCPA attorney that is all over us all the time. This is real life, and that is something that you have touched on. These are real people and real life.

This isn’t made up, a fantasy or some sales pitch. These are incredible people around the country that make a decision, and that decision is, “I am going to wholesale real estate. I’m going to do what it takes.” That is why this show is such a blessing. It is incredible to be a part of it because of people like you, Natasha, that were reading the show, took action, and now get to share your story on the actual show. It is a full circle and beautiful.

I appreciate you being on here more importantly and sharing your story. What did you do before you went to Tony Robbins that led you down this path to not only get into real estate but be an entrepreneur and be a business owner? Did you grow up with that? Were you working for a while, and then all of a sudden, you got out of it? Tell me about pre-Tony Robbins.

I didn’t grow up in it at all. My dad wasn’t in real estate or anything like that, but he taught me two things. I had asked him one time, “Dad, if there was anything you could tell me, what is the most important thing I should know? What do I need to change to become a better person?” He told me two things, “Work hard and walk in love.” I took that to heart and I built my young adulthood on those two things.

I was into mission work. I traveled overseas and to lots of different countries. My way of showing love was to help people as I came across them. Whoever needed help, I was willing to go on any adventure and do whatever they needed. I enjoyed that, but it didn’t make money. There is some funny quote that my husband says all the time from a movie. I don’t even know what movie it is. They are like, “They told us we could live on love.” The wife was like, “We need money too.” That is basically my life story.

I was in Nigeria working as the principal of a school, and I got deathly ill. I was lying on a deathbed and wasn’t even strong enough to travel home, so they had to do some things to build up my strength enough that I could even get on an airplane to go back. They are like, “You do need to go back to the US if you want to survive.” My husband made the call that that was enough of the adventure and we were going to go back and take care of that, so we came back.

I was sitting on the couch one day talking to a friend, and I realized at that moment that I had a choice right then. I could either wallow in all the things that I have fallen through in my life or choose not to be a victim and say, “I’m going to take the bull by the horns, and I’m going to do something with this extension of life that I have gotten, but I have no idea what that could be.”

Right before Nigeria, I had started investigating entrepreneurism. My son was interested in it. He had me reading a bunch of books about how to be an entrepreneur, and I was like, “These people are awesome.” I could identify with the drive and the vision that they had. It was around that time that I ended up going to that conference, and then it all came together in a weird way. I never thought I would be into real estate, but I’m going to try this.

It was only because of you talking on the show about how you could do it with not much money. By that time, our funds were exhausted. I remember one particular story on the show. There was a couple sharing their story about how at night, after work, they would handwrite out letters to sellers with one-by-one stamps. I was like, “If you can do it with that little money, I can do this. I’m going to conquer my fear. I’m going to do what Brent says, and I’m going to talk to these people cold. What is the worst they can do to me? All they can do is yell at me. That is it. They don’t know where I live.”

I remember you joining the TTP Family and we were texting and calling back and forth, and going through whether it would be deals, it be something that was going on, or it be you were close on something and then it wouldn’t come through. This was a while. It wasn’t like you got out of the gates and then all of a sudden, you were making money on day 30 or something like this. You really head in. That is why I had that quote for you. I read this and I was like, “This is perfect for Natasha.” You had to go through that hard part, that 90 or 120 days of hard, “Can I do this?” You have to keep your faith strong.

It is a huge lesson to anybody out there that thinks that you get on the phone one time, you call a list of sellers, and then it starts raining down $100 bills. It doesn’t work that way. You have to build it up. You have to build up your endurance, your skills, your lead pipeline, and then things start rolling. All of a sudden, you are there negotiating a 21-unit deal as one of your first deals, and it is like, “What are you doing, Natasha? What are you getting yourself into?” You are like, “I want to help this woman out. I want to be there and work with her. She needs some help.” Why don’t we dive into that story a little bit? Let’s talk about your deal.

It came from two separate lists. It was driving for dollars. I had marked it down. It was also a vacancy list. It was her ex-husband who I was trying to call. I remember specifically, five minutes before that, I was like, “I’m so tired of these calls. I want to end it. I’m done with this.” Your voice was in my head and it said, “No. You need to finish the time because you will never know when that last call is going to be the call.” I was like, “I’m going to do it.” I’m psyching myself up.

I kept calling. Sure enough, she picked up and she is like, “That is my ex-husband. I haven’t talked to him for however long it was. Why don’t you buy my place because I never wanted to be a landlady anyway? I would sell mine.” My brain was like, “What?” She is like, “I own 21 on the same street.” My brain was like, “It is getting ready to rain. I can’t believe this.”

I finished the conversation with her and then I had to stop the dialer. After that, I ran out of the room and I was like, “Guys, guess what?” At that moment, I thought it was going to be all amazing, rainbows, and super smooth and easy. It was a good thing I got to think that in the moment because that is probably what only gave me the energy to get through what came after that.

Work hard and walk in love.

There are some interesting things to piece this together. This is for everybody reading. If you want to put a face with the voice, check out Brent Daniel’s YouTube channel, where you can see Natasha and me. Truly, when you are driving around and you get an address of a property that looks run down when you pull the information, and you skip trace that information, oftentimes, it comes with family members or spouses that are attached to that property. They might have been divorced.

She might not have even owned that ugly property that Natasha was originally calling on but she owns other properties. You never know what people own. You have got to ask the question. You have got to see what is going on. I don’t even think you have to ask the question. She was like, “Get me out of this situation.”

If somebody says, “No. That is not my house. No. I don’t want to sell that property right now. I love it.” The next question is, “Do you have any other properties that you would consider selling, maybe something that needs love or something that needs some work?” Some little tips are there for you when you are making your calls. If you do talk to a spouse or a family member, make sure that you ask them if they have any other property.

Don’t make it a broad statement like, “Do you want to sell anything?” No. Be specific. That is why I say, “Do you want to sell something, maybe something that needs some love or needs a full remodel?” That is what we were looking for. It pinpoints in their brain, “I remember that I inherited a property from my aunt a month ago, and I haven’t been to it, but I need to sell it.” These things happen. You would think that it is crazy but it truly does happen. You make this initial contact with her. She says she has 21. Are they houses or townhomes? What are they?

Townhomes.

Are they all connected?

Yeah.

Is this your first deal?

It was my third deal. I’m pretty sure I closed the other two before that, but they came at about the same time.

On the first two, how much did you make?

You make me share all the awful things. The first one, because I was partnering with someone who is a shrewd businessman, I only made $500.

The second one?

The second one, we were still partnering, and I got to make $5,000, so that was fun.

In your first two deals, you did $5,500. Now you are standing in front of a 21-unit townhouse complex, and you are like, “I got it. I will handle this.”

Pretty much because I was listening to you every day, I felt I could conquer the world.

Were there any issues with the pricing? You pre-qualified her. I remember talking to you as soon as you had that call and pulled it out of her. What was the condition of these units?

She described them as being budget units. She fixed everything anytime it went wrong but she didn’t do anything fancy to them whatsoever.

She didn’t update them and upgraded them.

WI 502 | Unconventional Approach

Unconventional Approach: You need to finish the time because you will never know when that last call is going to be the call.

 

Not until someone moved out. She wouldn’t put in new ACs until one broke or replace the roof until something was wrong with it. She kept them up basic. I do remember when it came time to value, something in my gut was telling me that I needed to double-check with you because they were all rented out and they were hardly ever vacant.

I knew the wholesale’s normal pricing didn’t make sense there. I remember texting you about that and you advised me to do somewhere between 80% and 90%, depending on our area. I went with that, did the math, and I was like, “If she agrees to this price, I could make $200,000 on this deal.” I knew it was only going to be $100,000 for me and $100,000 for my partner but it was still super exciting. That is where we started.

That is how it feels.

She accepted the offer and I was flipping out like, “This is great.”

Did she give you any indication on what she wanted for it?

When I asked her price, all she would say was, “I don’t have a firm price in mind. I know that the appraisal value on the PVA was $67,000 each.” I had to multiply that by 21. I got a number and I was like, “That is pretty close.”

PVA is the tax assessor, the city, or the county pulling value to be able to tax the property.

I looked at some townhomes that had sold close by and they were up a little from that. I knew that gave me some good margin there. I went ahead and made the offer and she is like, “That is not out of the question. That is in my price range.” She didn’t want to do any business over the holidays. It was right around Thanksgiving. That is such a big thing around here. The older people don’t want to do business during the winter, around Christmas, or Thanksgiving.

Every once in a while, I was checking on her, wishing her a happy Christmas and all that good stuff, making sure I didn’t drop out of her mind. It might have been February 2021 before we had a signed contract. That is when you were like, “Time kills all deals, Natasha. This one might be dead. I don’t want it to be dead.”

Something real quick for everybody out there, if you are looking at the tax assessor value or the property valuation from the assessor, typically, they are going to be much lower than what the actual value of the house is going to be. If you hear an owner say, “The tax assessor hasn’t valued or appraised at this price,” there should be lightning bolts coming out of your mind. You were like, “Oh my gosh.” It is so exciting because you know that they are going to be reasonable with the price. What was the price that you guys had agreed on?

$1.2 million.

If you are reading this and you are like, “$1.2 million for 21 units, this is incredible.” What do you do? How do you find a buyer for something like this? This isn’t a mom-and-pop fix and flipper. This isn’t somebody that dabbles in this business. This is a serious buyer that is going to scrutinize the deal, work the numbers, understand the language, understand what is going on here, understand and be interested in what you are going to make on the deal. How do you find a buyer? How did you do it?

My first thought when I came across this property was my business partner had some interesting connections and one of them was a hedge fund manager. He had been looking for apartments or something like that in Kentucky because he likes the area, and he can get a lot more value for his dollar here than he can in Colorado, where he is from. I was like, “This would be perfect for him.” He is an upstanding character. He would take care of these people. That was important to the seller because she had owned them for 24 years and built them from the ground up with her husband. These people were her family, so that was important to her.

I started out hooking up my business partner and asking him to contact them. That was dragging on and on, and I was sweating it. I went into the Facebook groups and started looking for different people that gave indications that they looked for bigger projects, and I started messaging them. A lot of them I didn’t even have phone numbers for, but I could check their activity in the group and see what they liked, so I reached out to them. I got three people that were rising to the top, like, “Yes, I’m interested. I have the funds. I can give you a proof.” They were all interested at $1.4 million, which is what we were asking.

You locked it up for $1.2 million. They are in the numbers of $1.4 million.

There were several people interested at the same time and one came back with, “I will give you $1.41 million.” I was like, “Done.”

How long was the period from the contract date to when it was supposed to close? Do you remember how long the escrow period was?

I think I did 30 days because I didn’t know any better.

I know you did because I remember you telling me this and I was like, “You get on the phone and call everybody. I want you to be exhausted at the end of the day because you are calling so many cash buyers and trying to figure this thing out.” How did it go? Obviously, it closed easy-peasy and you made $200,000.

The number one most important thing is your mindset.

Absolutely not.

What happened?

The buyer number one who I liked a lot, the guy from Colorado, fell through. We had locked up a different guy that I liked a lot and as I was double-checking on him and he was going silent and I was like, “What is the deal? Are you going to put in your earnest money now?” He was like, “HGTV signed us up to do a show. I can’t do both so I’m doing HGTV.” I’m like, “That one is down.” We got to the $1.41 million guy, signed him up, and he was like, “I will be back in town tomorrow. I can check them. I have been in Florida.” He comes back to me two days later and he was like, “I did the numbers a little closer.”

There was a fatal mistake in this process that was made along the line. Why don’t you explain it?

I remember you guys talking about double closes and assignments but the other ones we did assignments were super easy and no big deal. My business partner had heard of a double close but didn’t know what it was and didn’t know how it works. He is like, “I don’t think we should do a double close.” I’m thinking, “Everybody else said to make too much money, you should do a double close.”

He said, “It is going to cost us more and that is going to be thousands of dollars we have to pay. I don’t think we should do it. Let’s do an assignment.” I’m like, “He knows real estate. I don’t know real estate. I guess I will do an assignment.” I sent buyer number three the assignment contracts. He saw the spread and he wrote back to me, “You are making $200,000?” He wrote a day later and he is like, “I did the math. It doesn’t make sense to that number.”

Here is the lesson for everybody out there reading. If you feel like this is a big deal, it is a buyer you have never worked with, it is somebody that is experienced in the business that is buying the property and they don’t know you, they don’t have that personal relationship, or they don’t want to try to take money out of your pocket, you are going to run into some issues if you do not close on these deals and then sell it at the same time.

What it is called is a double close where you close on it as the buyer but on the same day, the new buyer is buying it from you. You don’t own it for a long time but you do take actual ownership. If you have a title company that will do a double escrow, what they will do is they will use the funds from your cash buyer to fund the purchase of your contract.

What happens is the end cash buyer doesn’t know exactly how much money you are making. They know that they are buying a property for $1.4 million as opposed to buying a property for $1.2 million and paying Natasha $200,000, which he backed out. He was shaky and was like, “No, I don’t want to do it.”

What happens here is it is not necessarily that it was a bad deal at $1.4 million. It is not even necessarily that he didn’t want Natasha to make money. What goes through the mind is, “What am I not seeing here? Why did they sell it for so low? Is there something in there that is strange or something that is going to screw up this deal and not make sense?”

Anytime that happens in an investor’s mind, the price goes down because they feel like the risk is going up. They need to do something to insulate themselves from that risk so they are going to hit you up to reduce it. It is not because they are mean, bad people, or they hate. When you are making or they are greedy, there is something going in their head that they are uncertain that they are getting a good deal. When that happens, you either lose them or they try to beat you on price. What happened?

Originally, the agreement between me and my partner was I would find the deals and he would bring the buyers. That is how we were going to do it. Around this time, I’m like, “Time to find another buyer. Let’s go back to the Colorado guy and talk to him this time.” I asked my business partner about it and he is like, “I will talk to him,” but then he went on vacation for a week or two and didn’t do anything. I’m like, “We have got not much time left.”

I had to get an extension and that is when the seller started getting like, “I’m not digging that.” I was able to sweet-talk her. I held her hand and we were all okay for a little while longer. My business partner came back and he finally got ahold of his friend and the guy was super interested, he is like, “We want this. This is a great deal.” What we didn’t know is that he wasn’t a cash buyer. He wanted to buy through a credit union and then COVID happened. It was getting dragged out even longer again.

When the extension only had three days left, I kid you not, they finally told us that their banker turned down their request for a loan and they were not going to be able to do it. This was after we already had the explosive conversation that I told you about where I sat on the phone and was yelled at for twenty minutes straight.

That is a lot of yelling. She went from on your side, “You are helping me out. This is going well.” You are the sweetest woman in the world. You are the nicest. You are volunteering overseas. You are almost dying to educate children. You are not used to somebody screaming, being mad at you and being disappointed. You got to sit there and absorb this.

It is the opposite of anything that you would put yourself in a situation. Here you are, you have made $5,500 so far. In your third deal, you have got this 21-unit that you have got $200,000 there. You are ready to do it and you are getting extensions, disappointments by partners and buyers backing out. How did you get through it?

During the screaming session, I remember it went through my mind, “I wonder if she is going to try to sue me or something. I should probably record this.” In Kentucky, we were allowed to record calls so I did record it for my own safety. I shared it with my business partner and he is like, “I could only listen to five minutes of that. That was awful. You handled it well but I will see if I can take some of the weight of it after this.”

At the same time, I knew in my gut that the weight of finding another buyer was going to be on me and I had three days left, so I called in a good friend of ours. My husband went to the military with him. We have been friends for many years. I was like, “Daniel, I have got three days to sell these properties. Do you want to help me?” He is like, “Okay.” We gave him the lowdown and he is like, “Let’s do this.” We went back through the other people who had been interested before and started recalling them.

WI 502 | Unconventional Approach

Unconventional Approach: Being an entrepreneur not only provides jobs in the community, but we are turning ugly turds into something that is super beneficial again.

 

He brought two back in and one of them was the HGTV guy and he is like, “I want this. I have got the money. It is ready to go. My wife is okay now that COVID is leveling out here. Let’s do it.” We thought for sure he was going to do it. He was going to do it at $1.3 million. I was eating humble pie but I was willing to do that.

When we were waiting for his earnest money, he’s like, “I need two weeks to think about this.” We had already gone back to the seller again to see if we could get a little more time and she was not having it. No way, no hell because people were already circling back around to her making offers like, “When it falls through, come to me. I’m going to buy it.” I was like, “That is not happening. I’m going to do everything I can to close this deal.” Daniel was like, “If we have to go back to the original guy who saw your assignment fee and gave you a much lower offer after that, are you willing to let it close with him?”

I had to think about that long and hard because it was majorly eating a humble pie. It was a literal tick in the gut. I remember telling him, “I can’t talk about this right now. I want to think about it on the drive home. I’m going to go take a run after this and then we will talk.” It took me 24 hours to become okay with it and I was like, “Let’s do it.” He called him back, talked to him like a math guy, and they got it done for $1.267 million.

What did you net?

$21,000 or $22,000, something like that. 

You split 50/50 with your partner so it was a $42,000 deal.

What we did is since Daniel was the one who helped us on the crunch time, we gave him 20%. What was left, we split 50/50.

What was the total net though?

$67,000.

How is business now? You are rocking and rolling.

It is great. My board is overflowing. My brain is exploding. I’m calling Daniel again to be the integrator to help stop my swirling thoughts and bring some focus.

That is incredible. It is going to finish out fantastic. You have got a lot in your pipeline. It is caught up to all those efforts. There was a time that it was grinding for the first few months. You popped a couple of smaller deals. Truly, they probably were bigger deals, but business partners and whatnot, they are only giving you $500.

What advice would you give to somebody that is reading this for the first time and they are like, “I have always had a passion for real estate, to be my own boss, and to not have the schedule of the everyday man.” For somebody that is special and reading this, what advice would you give to help them on the path to getting their first deal?

You guys say it all the time and maybe the readers get tired of reading it, but it is true. The number one most important thing is your mindset. The man who came on before said that the number one in your day has to be getting your mindset right before you do number two, which is lead flow or lead generation. I wrote that on my calendar. Number one, at 5:30 AM is the mindset. At 6:30, I do what they said and started planning out the day. After that, I start making calls. You have to do it every single day.

As you are starting to build it up and get these deals to close, all of a sudden, you do have the fortunate opportunity to hire other people and bring blessings onto them, but the beautiful thing about this business is we were only working with people that are in distress. They are only going to sell a property if they are truly motivated because they cannot handle this property anymore, or they don’t want to handle it anymore. They will trade equity for speed and convenience.

Because we were out there helping, it is special when you get to that point, that threshold, or when you push through, you have got consistent leads to bring other people that you know, love, or whatever, into this and say, “We are going to change the community.” We were going out there, not only are we getting these deals, but we were getting them into the hands of people that can make them beautiful and have pride in them again. Also, we were making sure that we were taking off this huge stress of the seller.

Getting people to buy into that vision or accept that vision is so rewarding and unbelievable. It is the best business ever. It is what you are on the path to do. Daniel is sitting there next to you, you guys are rocking and rolling, and you have got your sub-to posters up. You got leads on the board going crazy. You are going to grow and bring this opportunity to the people that you know, like, and trust or maybe their family, and it is such a blessing.

I’m looking forward to the point when the business is to the place where it can start providing jobs in the community. That is what’s most exciting to me about being an entrepreneur. Not only are you providing jobs in the community, but we are turning these ugly turds into something that is super beneficial again. It is really fun to listen to the buyers talk about their pride and how much better it looks. That $500 check I made is now being sold for $127,000 and it is gorgeous.

Get your mindset right before you do lead flow or lead generation.

We are changing the neighborhoods. The only reason wholesaling exists is because nobody wants to deal with the emotions of the seller and distressed, ugly properties. Here we come in and we are going after them, we love them, we support them, we communicate effectively with them, and then we build a company that does that, and we were off to the races.

Now, you are making $30,000, $40,000, $50,000, $100,000 a month doing that. The only way you do that is if you are providing $20,000, $30,000, $40,000, $100,000 a month in value to your community, and that is the biggest reward ever. The biggest reward is understanding that the income that you are getting from these assignments, double escrows, double closes, or flips that you do coming from the value that you are putting into that community, which is incredible, and you love it.

This is somebody that has traveled the world taking care of people and now you got to do it in your backyard with the people that you love, so it is incredible. I love watching your growth. I love communicating with you. You have always been a shining light in our TTP group and with me personally. I want to say thank you for that and thank you for being on the show.

Thank you for being such an awesome coach. I’m thrilled to hear your voice in my head and it helps me all the time.

You do all the hard work. I’m the guide. I have got the path. It is an incredible blessing to be able to work with people like you. It is awesome. To tie a bow on this show, there are a couple of things that Natasha mentioned. She mentioned driving for dollars. I highly suggest the DealMachine app. Use the TTP discount code. It is the biggest discount they have. You will get it from $50 a month to $40, which is great. She had talked about skiptracing and giving the numbers. BatchSkipTracing.com is the best resource to be able to get those phone numbers that are accurate for the properties that you are trying to get ahold of.

Last but not least, if you are interested in joining the most proactive group in real estate investing like Natasha, it is the TTP Family and the TTP Program, go to WholesalingInc.com/TTP. Check it out. If it feels good in your gut, sign up for a call, it will either be with me or my right-hand guy. I look forward to working with you personally. Natasha, thank you for representing the wonderful city town of Wilmore. She is doing some incredible things and we were excited to watch her as she progresses. For everybody out there, as always, I encourage you to talk to people. Until next time, I love you guys.

Important Links:

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!

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