Posted on: April 23, 2021

Being stuck in a 9 to 5 job decreases the possibility of finding opportunities to earn big to finally enjoy more time living life than working all your life. Our guest for today is a stud who worked hard and left the corporate setup in exchange for better opportunities in real estate wholesaling.

We have Brian Hemmerle today in the show. He walked down the land journey with Brent Bowers that opened opportunities for him in building his passive. He just got his first deal through it.

In this episode, Brain will share his deals and the process he underwent. He will also talk about building his passive income and his strategies in doing it. Also, he will share his passive income goals and about finding his rockstar VA.

If you want to learn how Brian made it in doing his wholesaling business full time, leaving his 9 to 5 job, then this episode is for you.

Key Takeaways

  • How long Brian landed his first deal and the process he went through
  • What he means about pre-marketing on Facebook
  • How long it took  him to find a buyer for the property posted on Facebook
  • On assigning his contract to the end buyer
  • His strategy to call back the seller after the transaction for feedback and referral
  • On getting a lot of help from working with Brent
  • His monthly passive income goal
  • How he found his rockstar VA

RESOURCES:

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Episode Transcription

Brent Bowers:
Hello Rhino Nation! Today, I’m your host, Brent Bowers, and I’ve got a stud, Brian, on with me today. Brian is out of Kentucky. This guy just left his nine-to-five just a few months ago, and he also walked down the land journey with me just a few months ago, and he’s already done his first deal.
Brian, introduce yourself. How are you today, man?

Brian:
Man, I’m doing awesome, man. Thanks for having me on the podcast, I really appreciate you asking me to hop on and share some of the successes I’ve had on the land side.

Brent Bowers:
It’s my absolute pleasure. Well, let’s just jump right into it. How long would you say, from beginning to end, that it took you to do your first deal?

Brian:
It was actually within the first few mailers. I think I sent out the first batch was 240, so with that I actually received my first signed purchase agreement back from the tax delinquent list that you teach people how to find for land.

Brent Bowers:
My goodness. Did I hear this correctly, you sent out 240 mailers and did a deal?

Brian:
Yeah. 240 actually purchase agreement letters that you teach.

Brent Bowers:
Love it, love it, love it. How did that feel? How did that deal come in? How did you know you had a deal? Did they call you, did they return the purchase agreement, did they fax it? How did that come through?

Brian:
They actually signed the purchase agreement and sent it in the mail to me. I have a UPS box for my house business, for the address. So I just went to go pick up the mail one day, and all of a sudden this purchase agreement showed up in the mail. As a matter of fact, I couldn’t read the guy’s phone number, so I didn’t know, I had to search him down and try to call him and talk to him about the land.

Brent Bowers:
I love it, I love it. What did you do from that point? You talked to him. Did you start pre-selling the land? Or, did you just straight buy it because you knew it was a good deal? Or, how did you go about that process?

Brian:
Yeah, good question. I had locked up this … Actually, the original purchase agreement, I think it was for 2600, maybe a little bit more than that. No, once I had the agreement, I started pre-selling it through Facebook Marketplace and other avenues.
Come to find out, once we did the title search on it, there was a lot of leans on it.

Brent Bowers:
Oh.

Brian:
So, I did go back and have to re-negotiate with the seller. I was able to get the price from 2600 plus, or whatever it was, down to 500. At the end of the day, I think there was roughly about, I think it was 8800, maybe a little bit more, in back taxes owed.

Brent Bowers:
Wow. Was this guy out of state, or just didn’t want the land? How in the world can you buy a piece of land for 500 bucks?

Brian:
Yeah. I think he lives closer to Tennessee. I think he’d owned it for years, and he had plans at one point to build on it but that never came to fruition. So, I think he’s tried to sell a lot of times, to different people, and a lot of people just didn’t want it. We just re-negotiated down to 500 bucks and I said, “I’ll see what I can do.”
I ended up selling it to, actually, a flipper whose now actually on my house buying list, to buy deals from me. I ended up selling it for $13,750, so I think the actual profit was $4098.

Brent Bowers:
$4098 off of, did you say 240 mailers?

Brian:
240 mailers, which I need to get better track of my numbers, but it wasn’t more than 100 bucks, 150 bucks in mailers.

Brent Bowers:
Wow! 240. I’m just doing some quick math. Basically, you made $4098, so you basically made about $16.50 for every mailer you sent out.

Brian:
Yeah. The response rate was really good. I mean, you consider one purchase agreement off of 240 purchase agreement letters, that’s pretty impressive.

Brent Bowers:
Yeah. A little less than about a half percent. One thing you mentioned there was you were pre-marketing on Facebook. That’s really interesting to me. So, what do you mean by pre-marketing on Facebook?

Brian:
Yeah. Any time you have a contract, all contracts at least in Kentucky and obviously talk to your attorney, but they’re all assignable contracts. So I can market that particular contract, to see if anybody’s interested in purchasing it from me. I was able to go on and post the information. It was actually an acre lot on a street near a lake, so it definitely had some characteristics, I think that, obviously people were interested in.
I got a lot of backlash, though, when I posted it which was … I think I reached out to you, I was kind of shocked. They’re all, “You’re pricing it way too high,” blah, blah, blah. And then, out of the blue, I got a message from a guy who builds houses, he actually owns a roof company, he flips houses. So yeah, he was interested in land, he’s going to build a house on it.
Yeah. The other thing, Craig’s List, there’s other places that you can go and post on. But, I think the lead actually came from Facebook Marketplace.

Brent Bowers:
Amazing. You know, we get that lash back, too. And luckily, my virtual assistant runs my Facebook stuff, and answers all those nasty questions, or those nasty remarks. I call those Facebook trolls. It’s not that you’re asking too much, it’s just they don’t have the money, most of the time. The people that are going to be beat you up on Facebook, I have found, have never, ever been my buyers. Those nasty people usually don’t buy from me 99.9% of the time. We don’t deal with those guys, anyways.
That’s so funny. You had mentioned that it’s near a lake, it’s a desirable area, you paid $500, you added them to your buyers list. How long did it take you to find this builder to buy this lot, after you started marketing it?

Brian:
I believe as soon as I started marketing it, it was probably within the first few days. But, we’d negotiated for a little bit, back and forth. So, I think I probably put a contract in place probably within the week.

Brent Bowers:
Wow. Do I understand correctly that you assigned this contract, you actually never took ownership of this property?

Brian:
Correct. I assigned my interests and the contract to the end buyer.

Brent Bowers:
That is brilliant. That’s brilliant, because by doing that you don’t have to worry about the fees on your end, it’s just one closing cost, one title fee, everything’s taken care of.
Let’s talk about the seller. Did you improve this person’s life? Why would they just get rid of something for $500? Was there a desperate need? Or, were you just getting this burden off of his shoulders?

Brian:
Yeah. The seller, obviously I never met him in person. He lived in a city called Monticello, Kentucky, which, man, I think it’s really close to Tennessee. It’s probably four hours from me. I think he’d probably tried to sell it in the past, before, for nothing. I think obviously he knew that there was a lot of tax delinquencies on it.
At the end of the day, the big part of this business is being able to solve somebody’s problem, and understand their situation and put a solution in place that works for them. Obviously, he was happy to get 500 bucks, and to let this property go. That’s where we come in, is to have the ability to either buy it myself, and/or market that contract to end buyer.
I actually just called him not too long ago and just said, “Hey, just double checking to make sure you got your check,” and he was happy as can be. He thanked me and I said, “We appreciate it, and glad we could get this done for you, and take this burden off of you.”

Brent Bowers:
I love that you called and followed up with him. I think we’re going to add that strategy, we’re going to implement that in our business as well. Because one thing that we’ve found, that when we’ve called back a month or so later, “Hey, just wanted to make sure you received your $500, make sure everything was good. And, was there anything we could have done better?” We are getting a critique of our company, so they’re telling us if we could have done anything better. But a lot of times, they have a friend that owns another piece of land right down the street, or the neighbor. And it’s amazing, when you call them to check in, now you’re a friend, now you’re a trusted friend. And they’re like, “Hey, Jimbo down the street also has a lot for sale. You should call him, here’s his number.” We’ve gotten referrals that way. That’s incredible.
Well, it sounds to me like everybody won. The buyer won, the seller won, you won. Keep rinsing and repeating. Imagine, getting the next one at $500 and selling it for $13,000 with no liens, no back taxes. This is only a small percentage of the land that I deal in. Not all of them have problems. It seemed like my first several had problems, like your house business, your first couple house deals probably had major issues. I think it’s just part of that ramp up process. The Lord saying, “Do you really want this?” And you get through all those problems, and it’s smooth sailing for a while.

Brian:
Yeah. I was just going to say, you’re right, you talk about that process. I just like to call people back and just make sure that they were taken care of, that they were happy. And always just leave, “Hey listen, if you have a friend or family, or if you know of anybody, we also buy houses and obviously land. So if I can ever help out anybody that you know, please stay in touch with me.” But, I just want to make sure that his problem’s solved, he was happy.
The other thing I want to say, too, is the house business is awesome, and I’m still in the process of ramping it up. I’m learning a lot. I’m learning on the go, for both sides. But, what’s so attractive about the land piece is, and hopefully you’ll have me back on when I do my first seller financed deal, but it’s just so attractive. You can find deals, and that’s what I love to do is find deals. And then, you go and sell them on terms, and that’s where you can really build up that passive cashflow. That’s something I’ve learned from you, and I’m just excited to grow that piece of the business, and just add as another marketing arm to help grow both businesses.

Brent Bowers:
Oh, it’s incredible. I want to shout it from the rooftop. We hardly ever sell land for cash anymore. Now granted, from time to time, someone will offer us a good chunk of money, and it’ll fit our criteria. As long as it’s over 300% ROI, we’ll take the cash all day long, because it’s about velocity of money and we can put that into another piece of property. But, we always focus on building our passive, every single day. My retired land sales specialist, she’s retired, she works on probably even less of a part time basis. She’s in Ohio right now, and she just came back from Vegas the other day, but she’s added almost $3800 to our passive income, per month, in the last 30 days. She’s added $3800 extra a month to our passive income, just selling these onesie, twosie, threesie lots for 299 a month, 399 a month.
It adds up. Sawdust shavings make huge piles.

Brian:
There you go. Yeah, I love that, man.
The other thing I want to say is, obviously since I started the training with you, man you’ve been very accessible to answer any questions, if I’ve got any concerns or issues. Just working with you has been a blessing, and I appreciate it, and I appreciate your friendship. Hopefully, obviously we’ll continue to learn from you and help grow this business to a large one.

Brent Bowers:
Oh my goodness, I’m so excited. I’m going to see you on October 4th, by the way, in Arizona. We’re going to be on a boat, talking about scaling our businesses for three or four days, so that’s going to be incredible.
And then, my last question. You talked about passive income, so that’s bringing this question up for me. But, what is your goal? What’s your passive income goal, per month?

Brian:
Yeah. We initially discussed this on our intro call. I think I said 10,000, initially. But, I think I need to bump that to 25,000.

Brent Bowers:
Yes!

Brian:
Maybe even more. You know, I’ve got to put in the effort, put in the work. That’s something I struggle with is I need to be able to put a team in place to help me do this, and that’s something that I’m going to hopefully learn from you and continue to grow from that aspect.

Brent Bowers:
You read my mind. I could not have done this without my team. I can’t take credit for any of this. If it wasn’t for my team, and a lot of my team is India and the Philippines, so I’m not paying them $35, $45 an hour. I’m paying an affordable salary, and they are growing my business that’s serving me every single day.
You know, I did the first five or six, or 10 land sales myself, all by myself, and that was work. It was work getting it off the ground. But, what was cool about that is I now had the confidence to train someone with, say, Screencast-O-Matic. And, I do a quick video and now they know how to do that process. That’s all I did. Every day, I got one more thing off my plate.
We talked about this the other day, but if you’re always getting one more thing off your plate, eventually there’s nothing else on your plate and you enjoy life on your terms.

Brian:
Yeah. That’s awesome, and that’s where I need to go to truly grow this business. I have a rockstar virtual assistant now, so I’d like to implement and find somebody who I can teach and train. But, the Screencast-O-Matic is awesome. Thanks to you, you told me about that. I use that all the time for trainings.
Yeah man, it’s really awesome. I really excited about the future, and I’m definitely excited about this mastermind session we have coming up here in October.

Brent Bowers:
That’s going to be incredibly. All right, I promise, this is the last question this time. You said you have a rockstar VA. I guarantee all of our listeners either have one, or they want one, or they just don’t know how to get one. How in the world did you find the rockstar virtual assistant? That’s what I mean when I say VA.

Brian:
Yeah. Actually, this virtual assistant came from … Actually, I don’t know if you know Bob Antoney. Do you know Bob?

Brent Bowers:
I sure do, I love Bob.

Brian:
Yeah, Bob’s awesome.

Brent Bowers:
[inaudible 00:14:45].

Brian:
He didn’t end up hiring this guy, but he said there was something about his humility and his loyalty. He just didn’t fit the criteria he was looking for, for the job description, so he referred me. So I interviewed him, and he’s been with me ever since I left my full-time job on June 12th, 2020. Man, he scrapes everything for me, he helps with my CRM. He does a lot of tasks that really, really help me focus on the sales aspect, the seller side.

Brent Bowers:
I love it. Yeah, I find a good VA and I treat them like family, and the most loyal, dedicated, hard working people I’ve ever met. It’s just been a great journey.
Well, thank you so much, Brian, for joining me. And, if you’re interested in getting started on your way to generating passive income through land, head over to wholesalinginc.com/land. That’s Wholesaling I-N-C.com/land. And schedule a call, my team will hop on a short call to discuss your real estate investing goals. If it sounds like we’re a good fit together, I’d be honored to help you on your land investing journey. I’ll see you next time, land sharks.

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