Posted on: January 29, 2021

This episode is the second installment of the Do or Die series hosted by Wholesaling Inc’s brilliant new coach, Brent Bowers.

In today’s show, you will not only find out if Tracy followed the action steps Brent laid out during the first episode, you will also discover if she encountered a few roadblocks down the road. More importantly, you will also learn how she addressed the challenges she encountered along the way.

If you are looking for a way to make a quick buck, this is not the episode for you. However, if you want to build a lucrative and consistent PASSIVE monthly income, this episode is exactly what you need to hear!

Key Takeaways

  • The county Tracy has chosen
  • What her list looks like
  • What APN means
  • How to figure out the retail price
  • How to determine how much to offer the owners
  • Three ways to determine a land’s worth
  • Who are the people who will buy land
  • How to tell if you are offering too low

RESOURCES:

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Episode Transcription

Darren:
Hey guys, Darren Bentley here and welcome to episode two of the Do or Die series: How to Wholesale Your First Piece of Raw Land with Brent Bowers. Now, if you haven’t listened to episode one, I strongly encourage you to hit the stop button right now and go back and listen to that episode first so this is all going to make sense to you. Now on today’s episode, we’re going to learn if Tracy actually took the action steps that Brent laid out in that last episode. And how far did she get? Did she hit any challenges, any roadblocks? Well, we’re going to learn about that on today’s episode. He’s literally walking her and by default you listening, he’s walking her to her first raw land deal.
And the goal here is not just to make a few bucks on the deal. Obviously everyone wants to make money in this business or you wouldn’t be listening to this podcast right now. But the goal here is not for a quick hit or quick deal. It’s really about getting that first passive income deal. And once she is able to do that, she’s going to be in a position to just rinse and repeat as she builds a business that generates a consistent monthly income. Money that comes in regardless of how much you’re working. And something that many people in the real estate business want, but they don’t know how to truly achieve it. In fact, her goal is to be doing $10,000 per month consistently by September I believe, which is not that far off. So, can she do it?
Well, I guess we’re all going to learn soon enough. But I got to admit, I have a ton of confidence in her. She wants this. She really wants out, she wants financial freedom and I believe she is really determined to get there and she’s going to do it. And I especially have confidence in Brent Bowers. Just knowing what this guy has been able to do in such a short period of time. He is generating between 40 and 50K per month in passive income, passive income. That is crazy. So I am confident that they’re going to do this. So sit back and be like a fly on the wall listening in as Brent coaches Tracy to her first land deal. Enjoy.

Brent:
Just to recap, the last episode I gave Tracy some homework. Tracy, you had to pick your County and then also get a list in that County. Tracy is ready for time freedom. She’s ready to start flying first class to see her family in Florida. She is done with her old car having transmission problems. Tracy’s going to be able to walk in the lot and buy whatever car she wants when she gets this business built. Are you excited? Are you with me Tracy?

Tracy:
I am so pumped up. Just hearing you say that back to me and knowing my goals is so important because it gets me excited and makes me motivated to keep going.

Brent:
I love it. And you know what’s scary about doing this live on a podcast? You’re going to have 20,000 people holding you accountable to hitting your $10,000 a month by September 1st. So I’m going to show you the way to do this where it’s not all on your shoulders Tracy. You’re going to basically learn this and also build a team simultaneously to help you accomplish your dreams. There’s this famous quote, I think Zig Ziglar said this. He said, “You tell me your dream, I’ll show you your team.” Basically that means if you have a dream, you need to have a team because you show me any entrepreneur or business owner, I don’t care who it is. If they’re struggling, they’re doing it all on their own. I have a team, I swear by them, I love them, they are my family, we treat them like family. You got to love them. And from time to time, they’re going to disappoint you and upset you, but your family does the same thing.
So we’re going to talk to you about building a team at the same time. So you are planning on hitting $10,000 a month by September 1st, you’ve given yourself nine months to get there. That is a huge, huge goal. It’s going to take a lot of work, but it’s absolutely 100% doable. I know when I was starting this, I just wanted to be at $6,000 a month, and it took me almost, geez, I think seven or eight months to get there, but I was doing a lot of it on my own, I didn’t have a team in place. I was also scattered rain and doing other things. So focus, focus, focus, and build a team at the same time. Were you able to pick your County?

Tracy:
I was, I picked Brevard County in North Carolina.

Brent:
I love it. What does that County look like? Is it a lot of rural stuff, or is it a city, or how busy is it? I’m not familiar with that area.

Tracy:
It’s set back. I took your advice. I was looking for something that was 45 minutes away from that Walmart or McDonald’s and something that is just set off by itself. Then I got in touch with the County and it was pretty easy to get the list. I was a little bit nervous to make that phone call. I didn’t know if someone was going to wonder what I was talking about, but the woman right away when I explained that I buy land, and I need a list [inaudible 00:05:56] people, they were more than willing, she’s like, “Just give me your email address and I’ll send it to you.”

Brent:
Oh my gosh.

Tracy:
And then I was thinking, “Well, maybe she won’t really send it. This can’t be this easy.” So that was pretty awesome.

Brent:
Amazing. That was going to be my next question. Did you get your list? So what does the list look like? Is it like Greek alphabet or is it pretty understandable? Do you have any questions with it?

Tracy:
I was a little confused at first because properties were listed multiple times and then I realized that there was different years next to it. So I’m assuming that means that those are the years they were tax delinquent. And then I also got confused cause there were addresses from different states. So there’s a lot of different things that just kind of threw me off.

Brent:
Yeah. Those different addresses from different states, it sounds like the mailing address to me and the years, usually those are the years they haven’t paid their taxes and or that’s how many years they haven’t paid their taxes so they might be three, two, four or five years behind on their taxes, no telling. So I don’t really get too much into that. If they’re on that list, I’m sending them a letter because they need our help, because they’re behind on their taxes. They might be willing to get rid of that land at a massive discount.
So let’s make sense of this list. It’s probably a little foreign but so was your best friend at one time. You didn’t know your best friend and now that person’s your best friend. So I want you to start thinking about this in terms of, we’re going to take this list that the treasurer has sent you, which is the tax delinquent list and we’re going to turn that list into mailers. So that list is going to turn into who we mail. So how big is the list? Let’s kind of get an example of like what we’re looking at here.

Tracy:
Okay. Well, I just pulled the list up and if I go down to, it’s over 1000, but like I said, it’s like 1100, but there’s a lot of the addresses are repeated. So I imagine it’s much smaller than that.

Brent:
Oh yeah. It’s a very small list is what it sounds like. And then I assume that was the entire property list. So that probably included mobile homes, single family homes, apartments, and land. Am I correct on that?

Tracy:
The only way she said to decipher between whether it’s land, some of them say building code, and if it has a building code, that means that it’s a building and it’s not just land.

Brent:
Now, how did she send it? Was it an Excel spreadsheet or a scanned PDF? What does it look like?

Tracy:
It’s an Excel.

Brent:
Oh my goodness. So you can go ahead and filter out all the properties or all the line items that have building code on it?

Tracy:
Right.

Brent:
Okay. Awesome. Are you familiar with Excel at all?

Tracy:
I am, yeah.

Brent:
Okay. I am by no means an Excel genius. And this is where I talk about hiring that VA, the Virtual Assistant to help you out with this. Because when I got my first tax delinquent list, it was actually a scanned version, of schedule numbers or APNs, Assessor Parcel Numbers is what a APN is. But the schedule number is how the County tracked it so it was just a long 12 digit number. And then I had to get a virtual assistant, her name was Joanna, and she basically had the plug in each one of those schedule numbers into the property searchers app, basically the website to get the addresses, the names, the mailing address, all of that stuff. So it sounds to me like you’re cooking with gas, you’re already partway there. So I want to show you how to break down this Excel spreadsheet. We want to have these headers in a certain format and basically you want to start with the schedule number or the APN.
All that is, is kind of like a property identifier for the County, also for the owner so they can figure out what piece of property we’re talking about. So I want you to basically take note of this, and these are going to be the headers, the very top of your Excel spreadsheet. And it’s okay. It sounds to me like you can edit what you currently got on you. So we want to break it down by APN/schedule number which is the same thing pretty much, and then name of the owner. So this is the name of the owner of the land, the guy that’s not paying their taxes or the girl that’s not paying their taxes. And then the location of this land. A lot of times there’ll be scared or there’ll be upset but a lot of times the land doesn’t even have an actual Fizzle.co address unless they’ve applied for some type of building permit. So don’t be discouraged if it doesn’t actually have an address, that’s where that APN or the schedule number comes into play. So it’s okay.
Mailing address. That’s where you’re talking about you’re seeing other states. That is the mailing address. And then there’s size, whether it’s acres or square foot. The treasurer might have already offered that for you. But if not, it’s something that’s quick and easy to look up on the property assessor’s website and then, only two more, retail price, what the land’s actually worth, retail price, and then offer price. And I’ll get into how to go about doing that. Does that all make sense so far Tracy?

Tracy:
It does. I’m taking a look at it while you’re speaking. I see like a parcel number, I’m assuming that’s that APN or?

Brent:
That’s it, that’s it, the assessor’s parcel number.

Tracy:
Great. Yeah, it sounds like I have everything on this list that you just mentioned.

Brent:
Oh my goodness. That’s going to make things super simple, you’re probably just going to have to add the retail price and the offer price at the top of your list.

Tracy:
Okay.

Brent:
All right. So we’re going to add that. So you have the list, we want to break it down, we want to filter out all those buildings because at the end of the day, we don’t want to mail those guys a land offer letter or the LOL. Next step is, what in the world is this stuff worth? How we figure out the retail price and how do we figure out what we’re going to offer these landowners? So I want you to kind of think of it this way Tracy. Don’t worry about being the expert. I’m not training you to be a County assessor. I’m not training you to be an appraiser of land, I’m training you to basically be in charge of getting these land offer letters out. Just think of this as a business owner.
When I was a brand new Lieutenant in the Army, my battalion Commander called me to his office and he said, “Lieutenant Bowers, I don’t pay you to pump the fuel and the water,” because I was a fuel and water platoon leader at first. He said, “I don’t pay you to pump the water. I paid you to make sure it gets pumped. I paid you to make sure the water gets provided.” That always resonated with me, and it almost kind of went into being an entrepreneur. As entrepreneurs, we’re not the ones sending out the letters, we’re not the ones scrubbing this list and figuring out what the land’s worth, we’re not the ones taking the phone calls. At first we might have to start in that position, but we always want to look at eventually getting that hired out.
Susan [inaudible 00:13:02] says, “Don’t hire where you are today, hire where you plan to be tomorrow.” So let’s keep thinking about this as business owners. Does that make sense Tracy?

Tracy:
It does.

Brent:
All right. So going back to, I don’t want you to be the expert, I want you to look at the experts of what this land’s worth. So we’re going to do it a couple of ways. I’ve got three ways to figure out what this land’s worth. Number one, in the very beginning, I used realtors. I had this piece of land that I purchased for $285 and I couldn’t figure out what in the world it was worth and it was actually about an hour and 10 minutes from my home, and me and my wife and my first baby who is a newborn at the time, we drove through this land and it was just beautiful, but I had no clue what it was worth. And I knew I was buying this land, I just had to figure out the right price to offer to the seller.
So lo and behold, there was actually a real estate office about a mile down the road. And I called this real estate office and a realtor answered the phone. It was a Saturday, thank God she was there, and she was very familiar with the area. And I asked her, I was like, “Look, what can I list this land for on the MLS for it? I want to [inaudible 00:14:14] this thing out in 30 days. I want to be done with it.” She said, “Maybe $10,000.” I was blown away because me and the seller had pretty much already verbally agreed on $285. So I was thinking to myself, “My expected $285 investment’s going to turn into $10,000?” So I hung up with the realtor, I talked to my wife a little bit and the realtor calls me back in like five minutes.
So I take her phone call and she goes, “Hey, Brett, what do you think if I purchased the land from you?” And I was like, “Well, sure, what are you offering?” She said, “I could take 5,000.” And me being the amazing negotiator that I am, I said, “Well, when do you want to buy it?” She said, “I can close on Wednesday.” So this is a Saturday mind you so she can close in like four days. So I was like, “Let’s do it.” So I called the seller, I went and paid him on Tuesday, and I got my $5,000 check on Wednesday. So that was from calling the expert, the realtor, she told me what it was worth and she just turned out to be my buyer. I got lucky is what happened. But realtors. So if you call the realtor, you ask like, “Hey, what do you think this land’s worth, and, or you have another realtor you can refer me to if you’re not familiar with what it’s worth,” because realtors always know the land expert, they can always refer you to another land expert.

Tracy:
I was just going to ask. So in that scenario, what was the motivation. Why would she want to buy this land at that price? Are you concerned about that? Or you’re just, “Let’s do it.” You don’t have to figure out their motivation.

Brent:
So it’s a long story with this piece of land. The seller actually traded this land 10 years prior for… He was a CPA so he’s traded it for some tax work. And then this land actually was not buildable, and it’s still not buildable to this day because we’ve done many, many more transactions or deals in that area. But she knew the ins and outs of the city and eventually the city was going to spend the money to put in the second road, which was a second ingress egress. There was only one way in, one way out, the firefighters wouldn’t allow buildings to be put out there because they could get pinned down. So once they spend the millions of dollars to pave a road over the railroad tracks, this land would potentially be buildable. So she was a speculator at the end of the day, but I felt very comfortable doing business with her because she was a realtor, licensed realtor in the city.
So we make sure that our buyers, we disclose everything we possibly can, but that was her motivation. She was going to sit on it and wait for it to be worth Buku bucks.

Tracy:
Awesome.

Brent:
So a lot of times it’s just finding that, and by the way, this was on the tax delinquent list, this piece of land. The next would be Zillow. Check out Zillow. You want to see that there’s stuff that’s sold in the last six months. You also want to see the price that it’s sold for, spend five or 10 minutes on Zillow. Also see what’s available, what’s active, what’s currently listed on Zillow, what they’re trying to sell it for. Because if you get a price from a realtor and then you see what’s going on in Zillow, you can kind of see the averages and the patterns going. And at the end of the day, we’re not trying to be to the dollar or even to the penny. We’re just trying to get averages and be close, close enough.
And then the last are the land sites which is probably the absolute easiest thing to figure out what the land’s worth and the land sites are landwatch.com, landwatch.com, my absolute favorite landcentury.com, and landflip.com. If you check out all three of those land sites, Zillow, and call a realtor, you’re going to be accounting expert in 35 minutes on what this land’s worth. Any questions with that Tracy?

Tracy:
So, I’m trying to wrap my head around. So I understand getting the land at a massive discount, and then we’re going to turn around and get someone I guess essentially to buy it. I guess where my limitations are, I can’t visualize, who are these people beyond a realtor that’s going to be buying this? And if there are already people that are out there trying to buy land, I’m wondering why they’re not buying it at the discount. How is that connection? How are we the middlemen?

Brent:
Awesome, amazing. You asked two questions there. Let’s do the first one. Who are these people? So these are people, their dream is to one day build a cabin on this land, or have a tiny house, or they just want to own a piece of the United States, a piece of their own dirt, something they can call their own, something they can go camping with their children on, gaze at the stars, build a fire, you name it. These people are everywhere but they don’t realize that they can have this dream for $299 a month, or $499 a month.
So Ford F-150, best-selling truck in America. It might not be the best truck in America, but I guarantee if you go to Ford to buy a truck or a car, they’re going to figure out a way to get you financing. And at the end of the day, that’s what we’re offering to our buyers. We’re offering them this amazing piece of land for an easy payment each month. And our buyers, I mean, we’re literally creating buyers. They don’t even realize that this is an opportunity that they can get. Banks will not lend on land unless you are coming up with like 50% down. So not everyone’s willing to lend their land so we’re offering the commodity which is the land, the dirt, and we’re also offering them the financing. So does that make sense where our buyers are coming from, or how we’re getting our buyers?

Tracy:
That helps a lot because I guess I wasn’t thinking of it as payments, but now that makes sense. So if they’re not able to afford a plot of land themselves, but they can do it in payments, which is like most Americans that are living paycheck to paycheck, they have extra each month but not enough for a down payment.

Brent:
You hit it on the head. They might not have the $20,000 to do it, but they definitely have 399, 499, 699 a month. A lot of people think in payments. When you go to buy that vehicle, they ask, “How much can you afford each month?” They don’t ask, “Do you have the $75,000 to pay for this truck?” whatever you’re buying. That’s exactly [crosstalk 00:20:38] because we’re basically creating land buyers by offering that piece of dirt for 399 a month. And what we think, and I struggled with this in the very beginning, I was buying this desert land in Arizona, the scariest purchase I ever made because I didn’t like this land. I’m from Florida, we got trees and green grass and water everywhere. But I had this amazing opportunity to buy this desert land at pennies on the dollar.
I was so afraid when we were selling this land, I was selling it, this is back when I was making the sales and then I would ll call these buyers 30 days later that I sold this land to, that are making monthly payments to me, and ask them, “Hey, are you enjoying your land?” And I would be cringing on the other end of the line. And they’d be like, “We love it. We’re so happy. Thank you so much.” And they would refer their friends or whatever. I was getting such a positive response. Just because I didn’t like the land didn’t mean that they didn’t like it. They had just accomplished their dreams.
Now the second question, the middleman, why don’t they just do it themselves, right? That was the second question?

Tracy:
Yeah, that is it.

Brent:
I cannot tell you how many people we sell land to that the land is adjoining, or it’s adjacent, it’s touching their land. For years they’ve wanted to buy it. It was across the street, but they never took the action to learn how to contact the owner or never knew how to get started, and then one day my sign popped up or one day they received a text message from us or a letter saying, “Hey, we own the land next to you. We’d be interested in selling it to you for 399 a month, 5% interest,” and they take action, and they tell us, “We’ve been looking at this piece of land for 10 years. We just never knew how to go about buying it.” So most people are not willing to do what you’re doing Tracy, is to learn a new skill, start a business, or even go out on a limb and contact the landowner next door to them.
So 99% of the population is not just going to pick up the phone or look up the information and send a letter like we are. Does that make sense?

Tracy:
It does. That helps. Thank you.

Brent:
So we figure out the retail price. Let’s recap. Where we’re calling realtors, we’re checking out Zillow, we’re checking out the land sites, which are landwatch.com, landflip.com, landcentury.com. So we now have to figure out what we’re going to offer for this land because we have to get it at a massive discount to be able to sell it and make a profit, right? So, generally I like to start out at about 30 cents on the dollar. So let’s break it down. It the land’s worth $100, I’m going to offer $30. If the land’s worth 1000 bucks, I’m going to offer $300. If the land’s worth 100,000, I’m going to offer $30,000. Does that make sense?

Tracy:
It does.

Brent:
So, when you’re looking at Zillow and talking to the realtors and let’s just say, we’re looking at five acres, and they say, “Well, that land is worth about $5,000,” or you see it sold on Zillow for about 5,000, or you see on Land Watch that other land investors are selling that land for 5,000, and that’s for five acres. So if you take that 5,000 and divide it by five, which is five acres, you’re going to come up with a price of about $1000 an acre, retail price.

Tracy:
So you divide the price by the amount of acres, and then you’re taking 30%.

Brent:
Exactly. You’re going to take 30% of that and that’s going to be your offer price. But how I’m coming up with that retail price is, say it’s 10 acres, they’re selling it for 10,000, I’m going to take 10,000 and I’m going to divide it by 10, and that’s how I’m going to come up with $1000 an acre, retail price. This is the one thing that gets so many people. So I’m not trying to beat this to death, but I want to just make sure that all of our listeners understand it as well as you understand it, because this trips a lot of people up, coming up with, what is the land worth?
If you’re in an area that’s in the super high demand and the land is just flying off the shelf, building is booming, you’re probably not going to get away with 30 cents on the dollar offers very often. You’re probably going to have to send more letters. So let’s just say you’re in a super competitive market like Colorado Springs or Denver. You’re probably not going to get away with an offer on a piece of land at 30 cents on the dollar. You’re probably going to have to be more around 40 cents on the dollar, or maybe even 50 cents on the dollar.
But, do you think it will be as hard to sell that land if it’s in great demand? It won’t be hard at all. You might just have to pay a little bit more for that. So here’s how I gauge to see if I’m in a super competitive area or not much demand. I look at Zillow, I talk to the realtors, I see what’s going on on the land sites. I’m going to tell you a quick, easy way to look at Zillow and see if there’s a lot of demand for the lands. If there are more available than sold, it sounds to me like there’s more supply, less demand. Now let’s flip that coin. If there’s more solds than available, it sounds to me like there’s more demand, less supply. So that tells me we’re in a hot market, we’re in a hot market, and we might have to offer a little bit more.
But here’s what I love about this business that keeps it so simple. If I send out 200 offer letters and I get one accepted, that tells me that I’m about a half percent acceptance rate. So I sent out 200, I got one accepted. That tells me I’m dead on for my numbers. Let’s flip the coin again. If I send out 100 offer letters, and I get like three acceptance, what does that tell you, Tracy? It tells me that I’ve offered too much. I want to be at about 1% or less acceptance rate.

Tracy:
Yeah. At first I was thinking that you would want more acceptance letters, but now is it because then the gap is larger so you’re actually getting more in that one deal than what you would get for those three deals?

Brent:
Exactly. Yeah. You want a bigger spread. You want a bigger profit margin. It’s not the great real estate deals that I don’t do, it’s the bad real estate deals that I do. Those are the ones that we don’t want to stay away from. We want to do great real estate deals, we want to do great land deals. So I prefer, if I send out a thousand offer letters, I prefer to be at about four to five accepted offers. Four to five deals, land deals. So if I want to send out 1000 land offer letters, I want to do about four deals. So that keeps me at about a half percent acceptance rate. So that tells me my number’s right. Now if I send out 1000 offer letters and it’s been weeks since I sent those and I don’t have one accepted offer letter, that tells me one thing, it tells me I’m not offering enough. My first 2,500 letters I sent out were crickets, no one called, no one did anything. I was way too low on my offer price. So I had to increase it a little bit.
So my numbers told me. I tracked what I sent, I tracked how many letters I sent, and I tracked how many accepted I sent, and it was very easy to track the acceptance because there was none. So I knew I was at about 2,500 and no one was calling. So I had to go and reassess. I had to call the realtors again, had to check Zillow again, I had to check Land Century. I was sending out letters at about five cents on the dollar. I found out that that market wouldn’t allow that. When I got to about 30 cents on the dollar, that’s when I started doing deals. So I beat that dead horse to just make sure that our listeners understand and that you’re kind of wrapping your head around this, Tracy.

Tracy:
And would you say that, that 30, I know you started with that right? 30% as the offer. Would you say that usually is what you’re doing from now on, that’s how you run your business, is always 30%?

Brent:
Yep. That’s my general rule of thumb. I found some areas I can get away with 20 cents on the dollar, but they’re kind of few and far between lately, but that is the rule. So let’s recap. First action step is editing that list. Getting those headers in, I want the APN or the parcel number, which is the assessor parcel number, that’s the identifier of the land, the name of the owner, the location or the address of the land, then most importantly is the mailing address. That’s how we’re going to get our letters out to these people that need us, the size of the land whether it be acres or square feet, and that might not be on that treasurer’s letter but I’m going to talk to you about how to find that. Retail price, what the land’s actually worth, and the offer price.
So if the size of the land is not on that Excel spreadsheet, we’ve got to get it on there because if it’s 10 acres and we know that this land goes for $1000 an acre, we can’t just send out any price. If it’s 10 acres, and we know this land goes for $1000 an acre, that land is worth 10,000 and we’re going to offer somewhere around 3000 for it. So how do we find out how big the area is? That’s simply just by googling your County assessor. So if it’s for instance, El Paso County, Colorado, I’m just going to google El Paso County, Colorado Assessor’s Office, and you can property searches in there. And a lot of times, you can put the name of the owner, or you can put the property address, or my favorite, you put in that assessor’s parcel number, the APN or the schedule number, and it will show you all the details.
But I don’t want you filling in the spreadsheet yourself. I want you going and hiring a virtual assistant to help you do this. You can find these people all day long on a website called upwork.com. That’s spelled U-P-W-O-R-K.com. You can find someone to do data entry for as little as $3 an hour. These people do not have to be in the United States. I’ve got a girl that’s been working with me for the last five years. She’s got her PhD, she’s in India, and I pay her $4 an hour to do data entry. So she goes on, she plugs in the schedule number or the APN number into the assessor’s website, the County Assessor’s website, and she gets me all this data, the name of the owner, the location or the address of the property, the mailing address, and then she goes and figures out what it’s worth, and then she comes up with my offer price. She is amazing. She does all this for me. So-

Tracy:
My question was, would you suggest doing this before I even brought in any money with [inaudible 00:30:58]?

Brent:
[inaudible 00:30:57]. I absolutely suggest doing it yourself. I still got students that do this theirselves because they’re basically on their first deal. If the budget is the thing and you want to conserve money to be able to send out letters, absolutely do it yourself getting started. I have multiple students that have done this themselves until they pulled in about five or $6,000, and then they hired it out. But think about eventually hiring this out, and I recommend screen recorders like Screencast-O-Matic. This literally records your screen while you do these things. So go ahead and start recording your screen from the beginning and Screencast-O-Matic is free for your first 15 recordings and then it’s like $48 a year after that.
So get a groove, record your screen, and save those files for when it’s time to hire that person to do this for you eventually. So yeah, let’s get you some money in your pocket first.

Tracy:
All right.

Brent:
Now that you know how to get the size of the land, we need to start getting the retail price, and then the offer price. And that is all the action steps I’m going to give you today. One, we want to get that list edited for those headers, APN, name, location, mailing address, acres or size of the property, that could be acres or square feet. Square feet, you’d generally be looking at a buildable lot. Acres, you’re generally looking at agriculture or rural lands. Retail price, so what is that land worth? Let’s just say it’s 10 acres and it’s worth 1000 an acre, it’s worth $10,000 for the retail price. And then come up with your offer price. So you’ll have to determine in your areas that in super high demand, can you get away with 30 cents on the dollar or is there hardly any demand and maybe you can get 20 cents on the dollar? So that’s going to have to be a little bit of homework on your part Tracy.

Tracy:
Okay. Got it.

Brent:
Does all that make sense?

Tracy:
I think it does, yeah. I’m trying to think if there’s any other questions. So like on the Excel sheet that I have, they have a category called value land, and then there’s a price. Is that what they’re saying it’s worth or? I guess what I’m confused on is, what is retail price? Is that what someone’s saying it’s worth, or we’re going to have to calculate that through the acreage?

Brent:
Amazing. I’m so glad you brought that up because not all counties have that. So that is the county’s opinion of what that land is worth. I have found counties that are absolutely dead on, they’re completely accurate, and some that are 20% off. So that’s where you go to the experts. You’re talking to realtors, you’re looking at Zillow, you’re looking at the land sites. Let’s say for instance, that County, the County Treasurer has that land saying it’s worth about $9,999 and you find out that piece of land’s worth about 10,000 by talking to a realtor or Zillow or the land sites. That just tells you that the County’s accurate and you can go off of what they’re saying it’s worth. Now, let’s say for instance, the County says it’s only worth 5,000, and you’re talking to realtors, and looking at Zillow, and seeing on the land sites where it’s actually worth 10,000, that tells you that the County is about 50% off towards the low side.
Once you do about 10 or 12 of these and you see that pattern on every single one of them, every single one on the County is 50% off towards the low side, you can just use the County’s number and just double it. So use that to your advantage.

Tracy:
Okay. That makes sense.

Brent:
Use that to your advantage. That is amazing. Sounds like an amazing County. Not all counties are created equal. There’s over 3,100 of them in the United States. It sounds to me like you found a great one.

Tracy:
Awesome.

Brent:
Any more questions before I leave you with these marching orders?

Tracy:
Not at all. I feel like I have a lot to do, I’m excited about it. I’m hoping I get it all done correctly, but I will definitely check in with you to make sure or if I have any other questions,

Brent:
I love it. Next episode, we are going to be talking about what we’re sending to these people on this Excel spreadsheet. This is our LOL, the LOL. This is the land offer letter. This letter is going to be pure gold to the seller of this land, to your buyer of your land, and then also to you, Tracy. So thank you so much for taking the time today, have a great day and call me if you get stuck on anything.

Tracy:
Will do. Thank you Brent.

Brent:
You’re welcome Tracy.

Speaker 1:
Okay. So that concludes episode two of the Do or Die series. Be sure to catch the next episode, episode three which airs next week. And I could tell you that there are some very interesting developments in that episode that you are not going to want to miss. See you on the next episode.

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