If you’re part of the tribe, it’s highly likely that you’ve heard of today’s guest. He’s one of the most successful wholesalers, and he has graced the podcast several times!
Zack Boothe is a rockstar wholesaler whose journey has been both fascinating and inspirational. From living paycheck to paycheck, he’s now considered one of the best in the wholesaling space. In this episode, listen in as Zack shared what his experience has been like when he embarked on a new adventure—advertising on radio!
If you’d like to try radio but would like to know what to expect and what’s in it for you, this episode is exactly what you need to hear!
How A Former Window Washer Landed A $38k Deal With A Radio Ad With Zack Boothe – Replay
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I got Zack Boothe. If you’re a part of the tribe, you know that name. Zack is a player and has been in the game for a while. You’re going to hear probably one of the craziest stories about radios so far on his journey. Again, I’m going to go ahead and give you a little bit of the climax of what you’re going to hear. He closes the first deal and puts $38,000 in his pocket off his first radio deal, but you got to hear how in the world he got here from where he started. Zack, what’s up? I’m glad to have you on the show. How are you?
I’m doing great, Chris. Thanks for having me, and it’s fun to be back on the show.
For someone’s tuned in for the first time, maybe they don’t know Zack. Give us a little bit about your background snapshot. What market are you in? What deals are you doing in the sense of strategy? What you got going on?
My name is Zack Boothe. You can follow me on social media and stuff if you want to. I was a window cleaner for several years and I was struggling. I had spent tens of thousands of dollars on coaching. I wasn’t doing any real estate deals, and it sucked. I was living paycheck to paycheck. I had some debt and it was painful. I met Cody Hofheinz here in Utah because he’s in my market. I’m here in Salt Lake City, Utah, and opening up my eyes to the potential, what I could do, and what I could do for my family. Wholesaling Inc has given me an opportunity to learn how to find discounted properties.
I had some struggles along the way, but ultimately, I found success. I was able to pay off my debts and create financial freedom. I’m able to help other people as well now. It’s been an amazing journey and it was super awesome to be able to meet Chris. He’s added so much value to my business as well. All of the Wholesaling Inc, Chris, I’m a huge fan of everything you guys do.
We love having you and hanging out with you. I love how your brain works because you look at things a little bit differently. I’m always picking up how Zack approaches something, which is cool. You’re a little bit more contrarian, which I value because you do things your own way. Again, people always like to know, and everyone’s like, “Let’s talk about lead generation.” How are you creating opportunities to find wholesale deals and flip deals? What were you using before radio that was working to create discounted opportunities for deals?
I’m still using and I was using driving for dollars. I love it. I teach it. I feel like there’s no other better way to get started when you’re starting out in this business. With any other lead generation source, there’s a certain point where you tap out your entire market. You own your market with that marketing strategy. I found myself in that position of driving for dollars, and I wanted more.
I feel like one of the big reasons that catapulted me to success is I learned that real estate investing is marketing. It’s not wholesaling, flipping houses, or buying and holding investing. If you are not consistently finding discounted properties, you’re not going to be in business for long. You can know everything in the world about investing and not have any discounted deals. You’ll go out of business within a few weeks as soon as you’re out of money.
If that first domino doesn’t fall, it doesn’t matter about any domino you have stacked behind it. I agree with you. Before we hop into the crazy story of how you and I met and how you got launched on radio, tell me what, from a characteristic standpoint, attracted you to the marketing channel of radio. What made you go, “This might be a great fit for my lead generation strategy. What was it characteristically?”
I got introduced to you through someone else that I trusted, and I thought, “If it’s making Chris money, why can’t it make me money?” Honestly, that was the number one reason. I don’t care if it’s driving for dollars, radio, or TV ads. If someone can show me and trust that person that he can produce a very profitable lead generation source, I want to know more.
I hear a lot of people come in and it’s like, “Because it’s set it and forget it. It’s a high-quality lead.” You’re like, “If it makes money, I’m in.”
There’s no other better way to get started in this business than driving for dollars.
I don’t care if I’m selling toilet paper or underwear. Make me some money. My brain’s way too simple for thinking strategically about these things.
Here’s the story. I’m talking to Tom Krol. Tom is like, “I need you in 48 hours to book a ticket and fly down to Florida to meet me and some other people.” Again, it’s typical Tom Krol, which I love. Brent Daniels is going down there. I have a great relationship with him and he’s a good buddy of mine. I don’t know who else is going to be there.
We get down there and I get to meet you, Derek, and some other people. We then have this concept of exchanging ideas, like this little bit of a mastermind, but here’s where it gets funny. At the end of it, Tom’s like, “We’re going to take you pheasant hunting.” I’m not a hunter at all, but I love his vision. I’m like, “Pheasant hunting? I’m in.” This will be something I can check off my bucket list. That was a cool experience. We go out to this place and it’s the full thing. We got the whole garb, hats, camouflage, guns, and this something that you’re going to Safari with.
You missed the point. Tom rode us in a limousine. It makes no sense at all.
You think we were going to Vegas or something like that, but no, we’re going hunting when we showed up in that limousine out in the middle of nowhere.
All these rednecks are like, “Someone is going to get shot.”
By this time, I know that Zack is an avid hunter. They’re like, “You need to get in your buggies,” and there are three of them. Everyone’s talking and hanging out. I see Zack get in the front one and I’m like, “I need to go with that guy,” because I’m like, “Am I going to want to be besides Brent Daniels or Tom when they hunt?” They may be talking about business but, again, I always want to be around the best.
Zack goes out and gets lost in the woods for a month. You’re the guy that kills a buck and tosses it over your shoulder like Rambo. This is Zack. I’m going to Zack. On this trip hunting, we started talking about radio and you know that I’m about to launch REI Radio. The thing I learned about Zack real quick is when he sets his mind on something, he wants to do it. He’s like, “What I got to do for me to be the very first person even before you launch REI Radio to help me set up radio in your market?”
I remember 100%. I know that I annoyed the hell out of you.
I got all this going on and I’m about to launch this program, and Zack is awesome. Again, by the time we finished hunting, I got to like you because I got to know you a lot more in hunting. You helped me kill pheasants. We had such a good time. Of course, you hit your max moment with a gun. You’re the guy that throws it behind his back. When I get back after this whole trip, you hit me up immediately 2 or 3 times. You’re like, “What do I get to do?” I’m like, “This guy is not going to give up. I’m going to help him set up radio.” Zack, were there any modules for you to watch at this point?
No, I got one-on-one with Chris Arnold.
Were there any other students to hear about their testimonials of how it was working?
Nope. Your word and Tom’s word that you know what you’re doing.
You’re like this anomaly. You and I get on the phone and I literally verbally explain how to do radio. There’s no written-out format at this point. We haven’t methodically built this thing out. You had off on radio. What’s interesting is we’ve talked about the negotiating part being the challenging part. When you got up to talk a little bit about your initial experience with negotiating, you didn’t get in and make it happen. It was a mental challenge for you.
It’s a huge mental challenge. It took me over six months to get my first radio station. That was not because I was trying hard. I was because I’d given up. I got discouraged because Chris was like, “When you have this many listeners, this is your price.” I went through and did everything he told me to evaluate what I should be paying for these ads. I’m like, “I want to pay $14 an ad.” They’re like, “That ad is $65.” It’s literally 1/4. Sometimes 1/5 of what they’re asking for, I’m offering a 1/4 to 1/5, and I’m like, “No. Chris said that’s the price I should get. I’m not going any higher. Call me when you’re ready.” I remember sweating bullets. I was like, “This is aggressive. I don’t think that I’ll ever get this.”
You didn’t have any other students to hear the success stories. I didn’t have X number of people I could line up, but here’s what happened. We launched REI Radio, and as time goes by, you set it down and go work on other things, which is normal if you get discouraged. You’re like, “I’m going to go do something else,” but it kept bothering me because I’m seeing all these students get set up, and there’s like that competitiveness to me going, “I want the first guy that I ever talked about radio before we launched to get up.”
All of a sudden, I start nudging and poking you like, “I think you should call these radio stations back. I’ve got all of these students that are up on radio and you’re not.” I’m trying to edge you on a little bit and poke you. I don’t know what happened, but you responded. You pick up the phone, get back at it, and then, what happened?
I landed three contracts in the first couple of weeks.
That’s the three radio stations?
Yes. I’m signing my fourth contract with the fourth radio station. The crazy thing about all this is you have some of the same students that I have. I’m on these support calls with my students. I’m like, “How are things going?” They’re like, “I’m negotiating a deal right now. Can you help me?” I’m like, “Let’s talk about it. Where’d this deal come from?” They’re like, “Radio.”
I’m like, “What am I doing? I paid so much money to Chris. He gave me the whole system. Why have I not set this up?” This has happened. Jay did a testimonial, and I saw that come in. Jay is talking about it. He’s in Phoenix. From the Midwest, Maurine and Roy, are two of my students. We’re working through their deals and I’m talking to them. I love my students. I’m involved with what they’re doing. I’m like, “This is working for them. Zack, quit slacking.” You then texted me.
I feel like all your excuses got shut down at that point because by yourself or being on your own, it’s hard to do it. Here’s the value and my takeaway from it. You’re highly intelligent. There’s no question that you’re a go-getter. The one thing you didn’t have was the community, the support, and those around you to hold you accountable.
You’ve got to have things that generate enough profit for you to be able to spend money on things like salaries, tech, and those types of things.
You were having an island unto yourself because technically, you weren’t in the REI Radio community. You were in an anomaly that convinced me to help you set it up before we ever got started. I believe that process of REI Radio community is now overlapping with your community, and all of a sudden there comes accountability. You get radio set up. What type of success have you seen so far since you launched it? How long have you been live?
I can give you some exact numbers. I had my KPIs pulled up for you to be able to know this. I got my first contracts and got some things up and going. The first one went live and then a couple of weeks later, I got the second. A week later, I got the third. As I said, I’m getting my fourth. I only have a couple of months of data, which is fun to see because we’re already getting awesome results.
We figured those together. We figured that between June and July 2021, you spent a total of $12,000.
Give or take a few hundred bucks.
If you’re reading this, you don’t have to spend that much again. Zack has the budget. He’s more seasoned in doing that. We always tell people that you can start around $1,000 to maybe $2,000, but Zack comes out swinging. You spend about $12,000 in two months, and then you close the deal for $38,000. You then have another deal that’s got multiple offers on, and then we figure that that conservatively is going to sell for what based on your offers?
I’ve got offers at $16,000, but I have a bunch of offers coming in. My acquisition manager texted me that we should make this pretty close to $25,000. Conservatively, we should make about $20,000.
If we take the $38,000 that’s closed plus the $20,00 conservative, that puts you at $58,000. You spent $12,000. From a dollar-per-dollar return right off the bat, you’re at $4.80 for the dollar that you spent. That’s amazing. I tell you 3 to 4 is what I set as an expectation. You’re $0.80 above what I consider to be a good return. How does that feel?
It feels awesome because I have an awesome lead generation system, but now I have another one. I have another tool in my belt to generate deals. I always look at it this way, and I tell people, “If you can spend less than 25% of your gross income on marketing, you can have a 50% profit margin wholesaling business.” That’s paying an acquisition manager and everything else. I calculated it.
Let me break that down. You spend 25% of what comes in on marketing. The other 25% goes to operations and acquisitions like commissions. Your goal then is to have a business that has a 50% profit margin. Again, if you’re newer to business, 50% is really high.
When I washed windows for 10%, I was like, “Hell, yeah.”
Twenty-five percent profit margin in the world of business is like bragging rights. Fifty percent is pretty bit bonkers on what you’re doing. Radio fits this model and allows you to put 50% of the money that comes in right in your pocket.
For me, it’s a no-brainer. It’s like a money machine. I feel this way about radio now, but I feel this way about driving for dollars as well. If you go to Vegas and sit down on a lottery machine or one of those machines, you throw $1 in, you hit the money machine, and $100 come out. You throw in another $1 and another $100 comes out. You throw in $1, and $1,000 comes out. If you do that over and over, are you ever going to get up from that table and go to another machine?
You’re going to keep pumping that machine and taking that money home. I tell everyone this, “Find a marketing channel like REI Radio that can continue to pump money into your business because that is essentially what’s serving you. That’s going to allow you to have the financial and time freedom, to be able to afford to pay people to service these leads for you, and serve other people in whatever way you want to and have a fulfilling life, not chasing just the dollar every day.”
That’s well said because you have the mindset of not running this thing like you own a job, but you truly own a business. To be able to run it like a business, you’ve got to be able to have things that generate enough profit for you to be able to spend things like money on salaries, tech, and those types of things. It costs money to not be the one that’s the solopreneur but to have your team do it for you, which I wish I love.
If you’re reading this, I highly recommend you go to YouTube, Chris Arnold – Real Estate, subscribe and see this video so you can see me and Zack. You’re so simplistic, which I love, and you’re responsive. I like radio because it makes me money, but outside of the fact that it’s being profitable for you, what are a couple of things now that you like about radio in the sense of the qualities it has versus other traditional stuff?
I’m a very simple dude. If I don’t understand it, I don’t like it. If someone tries to teach me something and they struggle to explain it to me, I run for the hills.
You’re saying you like radio because it’s not overly complicated?
Yes, it’s simple. You gave me the step-by-step of exactly what to look for. You have all these radio stations and narrowed it down. These are the radio stations. You said, “These are the criteria that you look for,” then you had me figure out exactly what I should offer. You explained how to negotiate that and then once that was all done, it’s running and done.
Any good marketing or sales guy has their scripts and systems down exactly what to do and what to expect. For me, that’s what I loved about your radio system. There are other guys that could teach radio or talk about radio, but they probably don’t have it as simple as you do. That’s what I liked most about the radio marketing system that you shared with me.
If you’re reading this and new, you’re overwhelmed with information overload. You know what it felt like to be in the beginning stages of, “Where do I start?” The idea is that you can launch a marketing channel that isn’t overly complicated to understand and, more importantly, it’s not overly complicated to run.
I like what one student told me, “Chris, when I launch a marketing channel in my business, I don’t want to feel like I launched an entirely new full-time job for myself. I want to be able to launch something that has some simplicity that gives me the freedom to be able to balance all the things in my life that I need to balance.” The point you’re hitting on is important to the fact that radio has a lot of simplicity to it.
Any good marketing system like radio is a plug-and-play. It’s truly a money machine. You put the people or the system in place, and then it generates leads and money. If you go, “I want to build my net worth. I’m going to keep one as a rental.” You can do that or wholesale everything and travel the world. Your lead generation system should serve you. I feel like REI Radio does a fantastic job of adding to my marketing channels.
If any of you are struggling to have anything in your life, if you want more money and love, focus on giving away whatever you’re trying to receive.
That’s exactly what we want to accomplish. I love that you convinced me when we were hunting to go on this journey. You’re looking now going, “I’m glad I was there to make it happen.” Let’s talk about one of the key things, and that’s buying radio at a discount price. This just happened. I had someone that came to me that launched radio outside of REI Radio.
Funny enough, they ended up joining because it wasn’t launched properly. I get it. If I can go do it without paying somebody to do it, I’m going to go do it. I’m not blaming anyone for that concept. I don’t think that you can do that with radio because even though it’s simple, there’s a very specific way that you have to line up all of the variables. How long is your ad? What do you say in your ad? When should your ads play? What station should you negotiate on or be on? What price? All of those types of things add up. You have a lot of decisions to make. To give the audience an idea, how much are you paying for a 60-second spot on some of the stations you’re on now?
It depends on the cumulative. It’s anywhere between $14 an ad to $30 an ad for a one-minute spot.
Let me put this into perspective. For a 60-second spot on the radio, Zack is paying between $14 to $30. I hope that you understand how inexpensive that is to know that you can get 60 seconds of radio airtime in which millions of people, or hundreds of thousands if you’re in a smaller market, are hearing this advertisement. It’s crazy that you can negotiate that price. Zack, what you figured is that if you had not hired myself and the community to help you build this, how much more would you have been paying?
If I had to go on with the marketed price, one of the $14 ads was saying low as they go $45 an ad. They started it at $55 an ad. I had other ads that were $120 an ad. I got them down to $30. It’s 1/4 of the price. Remember what I said that I’m 20% of whatever I’m making is going towards marketing? If I had paid four times, that means I would have been paying 80% or more of whatever I was making on marketing. I would have had to get a second job to pay my team to service those leads.
It’s no different than real estate. All the profit is made on the purchase. The same is true with radio. Here’s why I tell people that are trying to set up radio. If you want to go try outside of Rei Radio, be my guest, but I’m giving you the feedback I’ve gotten. We are teaching the secret of how to buy radio at fundamentally $0.25 or $.050 on the dollar.
Again, if you are getting into real estate, you are an investor, and didn’t know better but to pay retail, and then all of a sudden, someone comes along and says, “I’m going to show you how to buy a house at $0.60 or $0.70 on the dollar.” That would probably catch your attention if you’ve been paying retail. Do you agree with that analogy?
I did that. I got my first flip off of the MLS and lost money. I was like, “This does the work. I need to find a way to work in wholesaling.”
They’re paying retail for radio. If you call the radio station or you hire a media company, I got to be honest with you, they don’t have the mindset of buying what we’re buying at $0.25 or $0.50. That’s what hit home with me. He’s like, “Chris, the best value you add to me is number one, showed me what to buy it at and number two, proved to me over time that it was possible,” because that was your hurdle is that you were like, “They’re going to come down to 75% from where they are and did they?”
They did. The frustrating thing is I had followed up probably once a week for a few months. I was like, “Maybe this Chris Arnold guy is not all he’s cracked up to be.” I love you now, but there was a moment when I doubted you, but you stayed with me and encouraged me. I then started seeing some of these other people around me finding success.
I was like, “You’re slacking, Zack. Get back at it.” I’m grateful for that because now I have this other marketing channel. I feel like this fourth radio station is about all I’m going to want to do in my market. If the numbers hold true, this is going to add another $500,000 a year to my business and another $250,000 to my own pocket a year. That’s crazy.
That’s why I tell people I know experientially being in the game for several years, that radio, without question, is the best marketing channel that I’ve ever put in place for my business. That’s the only thing I’ve kept around for several years as long as I’ve been doing it. Again, it’s been a consistently profitable year in and year out. I’m proud of you. I’m proud that when I got in and edged you on a little bit, and more importantly, you were teachable. It sounds like you had a moment in which your students taught you or challenged you.
Have you found that being a coach?
That’s what I’m trying to say. Isn’t that the beautiful thing about coaching? We go into coaching, and then all of a sudden, our students teach us so much about ourselves.
I want to say this to the readers. If any of you are struggling to have anything in your life, like you want more money or love in your life, I want you to focus on giving away whatever you’re trying to receive. If you’re trying to make more money in your business, I want you to think about how you can put more money into someone else’s business.
If you start to focus on giving, for some reason, everything will come back. When I started teaching my students how to make money, talking about driving for dollars, and that stuff, I learned so much more from my students than I ever could have imagined. I feel so grateful that I found that when I did it and how I did it. Being a coach or mentor is the most fulfilling thing in the world. For some reason, it keeps coming back.
It’s the same for my students. REI students are so creative around radio that sometimes, I talk with my team, I’m like, “How did that student come up with that? We never thought about that.” That’s the value of being in a community. It’s that force multiplier of creativity and idea. Again, if you’re reading, I’m sure at this point, you’ve read about radio. We have one student after another coming on and talking about the value of this in their business.
What I recommend you do is book a call. See if your market is open. We have markets at this point that have been sold out. You could potentially lose the opportunity because we want to preserve it. We don’t want to oversaturate the country with it. Go to WholesalingInc.com/REIRadio. Zack, if somebody is on the fence reading, what’s the last thing that you would tell that person that’s going, “Should I make this decision on radio?” I’ve been there. It’s like, “Should I cross this launch? Should I pull the trigger?” What would you tell to the person that’s reading right now?
I’d say real estate investing is marketing. If you don’t have a marketing channel, you need to start. You need to find a way to make it happen. Come up with the money, whatever it takes, and start your marketing 100%.
Zack, I’m proud of you. I was so excited about doing this show because it closed this whole thing full circle for you in this crazy story. This started with you and me on a big Safari-looking thing, shooting pheasants with a couple of dogs and a hunting guide. That’s crazy. Now, we’re here. In those moments, you never know where the relationship is going to end up. It’s such a comical story in my mind of how this whole thing played out. To the rest of you, thank you so much for tuning in. Until next time, we will catch you soon, and we will add more value.
- Zack Boothe
- Chris Arnold – Real Estate – YouTube
- Be sure to join the Wholesaling Inc Facebook group
About Chris Arnold
Chris Arnold is a 15-year Real Estate veteran who has closed over 2500 single-family real estate transactions in the DFW metroplex. Chris is the founder of multiple companies that are managed by a US virtual team, which allows Chris to run his organizations while living in Tulum, Mexico full time. His passion for leaders has led to the creation of Multipliers brotherhood which serves the top 5% of real estate entrepreneurs out of the US. Most recently Chris has launched his REI Radio coaching program. This program is designed to teach real estate investors the marketing stream that everyone knows about but NO ONE is doing!