Posted on: September 11, 2017

Tim got started in real estate back in 2001, and he spent time doing a little bit of everything: rehab, wholesale, lease options and auctions, Subject to’s, and even a few short sales.

He was out of the game for a while, but now he’s back, part of the Tribe, and consistently closing deals. We’re going to learn what he’s doing now, and how he managed to close a particularly difficult deal.

 

The Rollercoaster Deal

This deal is a rollercoaster, so prepare for a lot of ups and downs (spoiler: it ends on a high note!)

  • Tim markets through bandit signs, direct mail, and cold calling. Tim has only been cold calling for a few months, but he’s already seeing a lot of success. He has mastered the hardest part of cold calling, which we call TTP: Talking To People.
  • For this deal, Tim found leads from an equity list (homeowners who have at least 50% equity in their homes) via ListSource.
  • Tim’s VA made calls to the people on the list, and she alerted him to a hot lead.
  • He set up a time to meet the property owner, but it took a few weeks because she kept blowing him off. When he finally got to a meeting, she wasn’t there… but her (drunk) ex-husband was. However, persistence in the name of the game, so he didn’t give up!
  • Tim called her back the next with day with an offer, and she said “let’s do it!”
  • She was motivated because she had a $45k mortgage, the house had been vacant for 4-5 years, and she had to deal with her ex-husband.
  • Tim’s offer was $65k, and the After Repair Value (ARV) of this property was about $225k. However, the house also needed about $65k worth of renovation so Tim wouldn’t budge, and she agreed.
  • Five minutes after signing the contract, Tim started receiving a lot of worried texts. Later that night, she called saying she didn’t think she could do the deal (because her ex-husband was upset). She strung him around for a few days, and eventually said she wanted out because she found someone willing to pay $70k.
  • Tim was firm – this was a legally binding contract – but he didn’t want her to feel bad about the transaction so he matched the offer. He redid the contract, but this time they met in front of a notary.
  • There were 20-25 people who showed up to inspect the property, and they had a bidding war. Tim assigned the deal for $103.5k, which resulted in a profit of $33,500!

 

RESOURCES:

  • If you want to learn the most exciting and proactive marketing technique that will help you find motivated sellers, go to www.wholesalinginc.com/TTP

 

If you are Ready to Explode Your Wholesaling Business, Click here to Book a Free Strategy Session with me right now!

Subscribe to Wholesaling Inc

Episode Transcription

Brent Daniels: Hello Rhino Nation! My name is Brent Daniels and it is my pleasure to bring you another Wholesaling, Inc. podcast. Now, today we are going to drop knowledge bombs on everybody’s head. I have an extremely exciting guest with me today. Please say hello to Rhino Nation, Tim Saighal.

Tim Saighal: Hello Rhino Nation!

Brent Daniels: All right, Tim…

Tim Saighal: I’m excited to be on here.

Brent Daniels: Excellent! Well, it is our responsibility today to examine a deal that you have done recently and bring as much value to our listeners as possible. Fair enough?

Tim Saighal: Absolutely. I would be glad to help answer any questions that you have.

Brent Daniels: Awesome Tim, this is exciting. So why don’t you first tell us what markets do you work in, where do you live? Kind of give us a little bit of background and tell us a little bit about yourself.

Tim Saighal: I am in the Washington DC area and I’ve done deals in Baltimore, which is about 30 to 40 minutes away from where I live. I’ve done deals in DC, I’ve done deals in Northern Virginia, which is also part of the Washington Metro area. I actually got started in real estate back in 2001 when I was in my mid-twenties…I’m getting old. From 2001 until 2006 I did quite a lot of deals. I did a little bit of everything. I did rehabs. I did a handful of wholesale deals, lease options and options-subject-to’s, even did a few short sales, which I never liked. And then around 2006 I completely lost focus and I was just hanging out with the wrong people and did all the wrong things and just completely lost a focus.
I just really didn’t do anything as far as real estate is concerned, probably until 2014 or 15 I would say, when I discovered The Tribe, when I heard Tom Kroll. It was not Facebook live, it was, what’s the other website? I don’t remember what it’s called but he used to ring his bell and…

Brent Daniels: Like a Periscope?

Tim Saighal: Yeah, exactly. That was a couple of years ago, now it’s all about Facebook live. So anyway, I saw him on Periscope…Sorry I’m getting tongue tied here…I actually saw him on Periscope and just kind of got excited about the business but I still didn’t even know where to start. I had a job and didn’t have any money. I was pretty much caught up in the nine-to-five rut and I just kind of knew that I had to get back into real estate. I just decided to pull the trigger and join The Tribe and since then I haven’t looked back.
The first three, four months it was kind of rough trying to just figure out what needs to be done, didn’t have a lot of money for marketing. But I pretty much did what Tom said and did the marketing and got my first deal, got my second deal. I had a dry spell for about four or five months, but then did another deal and another deal and now everything’s going really, really well. The market’s heating up and the profits are getting bigger on the deals so I’m just forever grateful for being part of The Tribe.

Brent Daniels: Excellent, I love it. So Tim, break it down a little bit. What type of marketing do you do now? It sounds like you’re finding more consistency in your business right now. Give me a breakdown of what your marketing looks like.

Tim Saighal: Okay, well I do direct mail, I do cold calling. I also use banded signs. I’ve never really focused much on Facebook and PPC and online marketing that much, but my primary three methods are banded signs, direct mail and cold calling.

Brent Daniels: Cold calling, okay, great. Because I am the cold calling guy, let’s focus on that a little bit because that’s what gets me excited. That’s what gets my blood pumping. That’s what gets the dopamine flowing in my brain.

Tim Saighal: Same here brother. I get totally excited when I think about it. I’ve been able to do some pretty good deals as a result of cold calling and this all started when I reached out to you, probably three to four months ago when I found out what you were doing and you know how many times I called you…

Brent Daniels: I love it, I love it.

Tim Saighal: And you were just gracious enough to pick the phone up and answer my calls and help me out. I even went to Phoenix and saw your operation in Phoenix and it was just mind blowing to find out what you were doing. Frankly, I just don’t think I could have succeeded in the cold call game if I didn’t know you. So because of The Tribe I got to know you and I haven’t looked back since.

Brent Daniels: Well listen, you definitely had the hard part, which is actually getting on the phone and talking to people. You know we have a philosophy in The Tribe called TTP, which is Talk To People and I’m telling you all the listeners out there, Tim has taken that and he has ran with it. And he’s got some really, really unique kind of strategies that he uses to be able to talk to new and motivated sellers every single day, every single week. So Tim, let’s strip everything back. Let’s not talk in generalities. Let’s talk very specific. Let’s talk about a specific deal that you have done from a cold call. Kind of walk me through it. Let’s start all the way from the start. So tell me what lists would you have called this specific lead on?

Tim Saighal: This was a lead that we got from the equity list.

Brent Daniels: Okay.

Tim Saighal: When I say equity list I’m referring to homeowners that have 50% or more equity in their homes. There’s several websites where you can get the list from. I got my list from a website called List Source.

Brent Daniels: Okay.

Tim Saighal: I’ve got somebody that actually makes the phones calls on behalf of my company. She made a phone call to this person and basically just sent me a message on Skype right away that hey, this sounds like a good one. So, of course I called her right back. I called the homeowner right back and we played a little bit of phone tag. But anyway, finally I set up a time to go meet her, which was probably about three to four weeks after we first talked on the phone because she blew me off a couple of times.
I was supposed to meet her and then she would just send me a text message and say hey, I can’t meet you. So she blew me off a couple of times, but I…

Brent Daniels: By the way Tim, that happens to us all the time, doesn’t it?

Tim Saighal: Oh yeah, yeah.

Brent Daniels: People just disappear for a little bit, right?

Tim Saighal: Exactly, and persistence is the name of the game. I mean, in this business you have to be very persistent and keep calling and not give up. I finally got a chance to meet her and she was late. I got there at a certain time and the person who I actually saw there was her ex-husband who was completely drunk when I got there in the middle of the afternoon.

Brent Daniels: Oh my gosh.

Tim Saighal: And pretty much he just gave me a dirty look and told me that the house is not for sale and he was like, I don’t know what you’re doing here because this house is not for sale. Keep in mind that I had not talked to him at all, I was communicating with the ex-wife whose property this was and he had the keys somehow so she must have communicated with him. He still let me in. I looked at the house. At this point I can pretty much know in five minutes how much work the property needs.

Brent Daniels: Uh huh.

Tim Saighal: I don’t take a sheet of paper with me and line-by-line, write down it needs a roof, it needs new windows. When you’re a wholesaler and you’ve wholesaled quite a few houses, you literally know in five minutes how much work the property needs.

Brent Daniels: You get a feel for it, yeah absolutely.

Tim Saighal: Yeah. And you can be a little bit off and it’s not a problem. You know, that’s how I feel about that. So anyway, she finally shows up about 15, 20 minutes after I got there and by that time I had already looked at the property. I didn’t really spend a lot of time with her. Just, she’s like, okay, so you looked at the property and you know, what’s your offer?

Brent Daniels: Right.

Tim Saighal: I felt like it was a good idea to not give her the offer right there because the ex-husband was already there and I felt like he was going to get in the way and this made things difficult. The reason he did not want her to sell the property is because, over the years he had been demolishing the property, little by little. He did some contracting work on the side. So I told her, even though I knew what I wanted to offer, I told her and let me just go back to the home office and work the numbers and I’ll give her a call. So anyway, I came to the office and gave her a call the next day and I told her what I could offer and she said, okay, let’s do it right away.

Brent Daniels: So what was her motivation?

Tim Saighal: Well, she had a mortgage on the property for, I think the balance of the mortgage was about 45 or $46,000. The house had been vacant for about five or six years and she was making payments on a vacant house. And then she had to deal with her ex-husband who she did not want to deal with because of this property, because of his involvement and some work that he had done in that property. So she just wanted to just sell the property, be done with the ex-husband and just move on. So…

Brent Daniels: Got it, yep, got it.

Tim Saighal: Yeah, and then she tries to negotiate a little bit on the phone. I think I offered her $65,000 and the ARV, the after-repair-value, of this property was $225,000.

Brent Daniels: Oh my goodness! Oh, oh!

Tim Saighal: But the house needed about 65 grand worth of work.

Brent Daniels: Sure.

Tim Saighal: It needed work so that’s why the offer was justified. So I offered her $65,000 she said, well, can you do 70? I said, sorry, can’t do 70. So she said, okay, let’s do it. So we met at Boston market, my office…

Brent Daniels: I love it!

Tim Saighal: I’ve got several offices, McDonald’s is one of them and Boston Market is one of them…

Brent Daniels: Yeah sure, just run around, sure!

Tim Saighal: I think taco bell might be my future office, depending…
Then we signed the paperwork and we locked up the deal. Literally five minutes after we inked the deal and we shook hands and I left, this woman just started calling me like “Oh my God, what’s the attorney’s name and what’s the attorney’s phone number that’s going to do the settlement? I just want to make sure that I’m not getting swindled in all this…”

Brent Daniels: Sure, sure.

Tim Saighal: She was just one of those people that is worried a lot.

Brent Daniels: Sometimes they get a little uncertain after they make the choice to sign the contract, absolutely.

Tim Saighal: And then in her case, it was five minutes after I signed the contract. I assured her everything’s fine. I gave her the title company’s name and number that we use and she definitely called the attorney to make sure I was who I said I was. Of course I dodged that bullet. As I’m getting ready to send the property out to my buyers, she calls me that same night when she signed the contract and she tells me, “Tim, I don’t think we can do this.”

Brent Daniels: Uh oh! What happened?

Tim Saighal: Of course my heart just sank. I was like, Oh my God. Her reasoning was that her ex-husband…of course, you knew I was going to say that…

Brent Daniels: Uh huh…

Tim Saighal: He was just really upset and he told her that he had a buddy you could pay her more and she basically wanted to back out. So I said, let’s move forward and I want to make this happen and I’m going to do what I say I’m going to do. We have the paperwork, we ratified the paperwork, so let’s move forward. Let’s make it happen. She kept kind of stringing me along. She was like, okay, well give me five days, I’ll let you know. So the five days would come and we would talk on the phone and then she would ask for five more days, that kind of thing.

Brent Daniels: Yep.

Tim Saighal: To let me know for sure. So I was kind of pretty frustrated and pretty, had a lot of anxiety over this deal. Then I finally called her and then she said, “Well, Tim, I think I want to cancel my contract. I’ve actually got somebody who’s willing to pay me 70K for the deal.” That’s when I pretty much told her, look, we have a legally binding contract. And by the way, Brent, I don’t like to do this, you know what I mean?

Brent Daniels: Right. Yeah sure!

Tim Saighal: We’re in this business to make life easier for sellers. We want to help them out. But in this case, I felt like I had to do that because she literally was trying to sell the property to somebody else for more. So I felt like that was unfair because that’s why we have paperwork. That’s why we have contracts.

Brent Daniels: Absolutely.

Tim Saighal: So I said, look, Veronica, we’ve got to move forward. We have a contract on this in the state of Maryland. When you sign a piece of paper, that means you shake hands and you’re moving forward, right? And now you’re trying to breach the contract. So, I said, look, I’ll do whatever I have to do to protect my interest in this deal. I don’t want to, I mean I want to shake hands and I would move forward, but, if it comes to that then I’ll have to do whatever I have to do.

Brent Daniels: Uh huh. Uh huh.

Tim Saighal: Then of course she got a little huffy and puffy on the phone. To make a long story short, I decided to up my offer and give her the same price that the other…

Brent Daniels: Match the price…

Tim Saighal: Match the price. I said, look, I don’t want you to feel bad about the transaction so here, let’s redo the contract and I’ll up the price. She was fine with that, but I was smart enough to actually meet her in front of a notary this time and got everything notarized.

Brent Daniels: Perfect!

Tim Saighal: Because there was just so much uncertainty about this deal, I wanted to make sure I get everything notarized.

Brent Daniels: I literally feel like I’ve been on a roller coaster with this whole deal with you. I mean, I can’t even imagine what you went through actually going through it because this happens from time to time. Not always, but it certainly does happen where sellers either get cold feet or somebody starts whispering and giving them what their buddy would offer them or some other buyer reached out to them or they called on a postcard or somehow somebody puts it in their mind that they can get more during the middle of the transaction. And I think that you handled it absolutely perfectly. Well done. Well done.

Tim Saighal: Sometimes third party influence can definitely kill deals.

Brent Daniels: Oh, for sure!

Tim Saighal: Even though the third parties that they’re communicating with might be friends or family… But sometimes they just get wrong and bad advice and that prevents us from doing business with people. Anyway, I think she felt comfortable with me enough at this point because I stayed on top of it. I communicated with her every three, four days. Communication is very important, especially with a settler like this. You cannot just write up a deal, do a contract and then not get in touch with them for 10, 12 days. You have to constantly just be in communication because it makes them feel comfortable about you. Like, you’re serious and you’re going to move forward. So I had to communicate with her a lot.

Brent Daniels: Yeah. I think absolutely every time we ever have issues when we’re in the escrow period it is from a lack of communication so you hit it spot on. If you are communicating every couple or few days, you don’t have to go crazy with it, but something that you are in contact and you’re going through the whole process and you’re making sure everybody’s on board. It is vital. Absolutely vital to having a smooth transaction. So perfect point.

Tim Saighal: Yeah. Anytime I do a contract with somebody, I make it clear to them that I’m going to be in communication with you every step of the way. I’ll either send you text messages or give you a call at least once a week to let you know what’s happening and where things are and they kind of appreciate that. So anyway…

Brent Daniels: Excellent! So it went through and what did you sell for? What did you make on this?

Tim Saighal: I sent the property out for $92,500 which was going to guarantee me a profit of $22,500 but on the inspection day it was like the carnival had come to like that area.

Brent Daniels: Oh, yes! Yes!

Tim Saighal: There were literally 25 people that showed up and it got over-bid so I ended up wholesaling the property for $103,500…

Brent Daniels: Oh!

Tim Saighal: Which resulted in a profit of $33,500

Brent Daniels: Oh my gosh. Now I don’t have the formal bell, but I’ve got the little diner bell here for ya. [00:18:07 Bell ringing] It is weak, I understand and you deserve a lot more, but that is incredible. So what was the total?

Tim Saighal: It was $33,500.

Brent Daniels: From from one phone call?

Tim Saighal: From one phone call.

Brent Daniels: From one cold call?

Tim Saighal: One cold call it. I’m not going to go too much into this, but we have another one right now where it’s going to be good. I’m just going to leave it at that.

Brent Daniels: Here is the amazing thing Tim, people on a daily basis do not believe when I say that you are literally one conversation away from paying off your debts. From paying off your car, from making as much in one phone call as you can in a whole years salary. People just don’t get it. Everybody out there listening, Tim is doing it right now. He just made $33,500 on one phone call and he’s got another deal in the works that’s going to make even more than that. I mean it happens every single day. Those deals of a lifetime literally come around every single week and I mean Tim is living proof. Go for it.

Tim Saighal: And sometimes you’ll get them right away. I mean, sometimes it takes a lot of follow-up and you’ve got to keep calling them and sometimes you’ll just hit a home run and you’ll talk to somebody on the phone and you’re meeting them the next day and you lock the deal up and it’s literally that quick sometimes. And those are the good ones.

Brent Daniels: Absolutely. Absolutely. So Tim, just to kind of wind this thing down, if you could give any advice to somebody new starting out in wholesaling, what would you give? What advice would that be?

Tim Saighal: Well, of course, I think you can always go online and read books and go on Facebook and learn whatever you can. But I think the fastest way to success is to get a coach. I got a coach even though I’d been in the business for such a long time, I don’t think I would have started doing deals if I hadn’t hired a coach. So get a coach, surround yourself with positive people, read a lot of books, listen to podcasts like this because getting a coach and doing all the things that I’ve mentioned it basically makes you believe that you can do it. I think belief is the most important thing. You have to believe first because you’re not going to do any deals if you don’t believe it can be done.
Once you have the belief system, then you have to take action. You have got to take massive action. Implement the marketing right away and it’s going to happen. This market is hot. This is a fantastic market to make a lot of money very fast. Right now it’s a feast. That’s how I feel.

Brent Daniels: Absolutely. Absolutely.

Tim Saighal: So just take advantage of that and get a coach and surround yourself with the right people and take massive action and you will get a deal. You absolutely will get a deal if you stick with it. It’s the law of averages.

Brent Daniels: Beautiful.

Tim Saighal: Yeah, exactly.

Brent Daniels: Beautiful. That was just perfect and I really think there was a lot, a lot, a lot there. Everybody go back and re-listen to what Tim was saying, breaking down specifically what he went through. You’re going to have some deals out there that do not go so smooth, that you do have to be able to work effectively and be able to have the strategies to get those closed and you can tell by the conversation that we just had with Tim that he was able to do that and he got that deal from one phone call. It is incredible. Of course, he had a lot of follow-up after that, but the initial contact was one phone call. Thank you so much Tim, for being on the podcast today.

Tim Saighal: Hey, thank you. It’s my pleasure and thank you for having me.

Brent Daniels: Now if you guys out there are interested in learning the absolute most exciting, proactive technique or marketing channel to get and find motivated sellers, go to www.WholesalingInc/TTP. Stands for Talk To People. You will book a call there with me personally. We’ll chat. If I like what you have to say, I’ll invite you to join us in the TTP program. Thank you so much, Tim. Really appreciate it.

Tim Saighal: Thank you.

Leave a Reply

Your email address will not be published. Required fields are marked *

Wholesaling