For the next hour, best sell real estate investing author Larry Goins & Co-Host Kandas, will show you the many ways real estate creates the I.D.E.A.L. investment. Whether you want to Flip houses or become a passive investor making double-digit returns while others do all the work. You will learn how here on BRAG Radio.
Real Estate Mastermind Groups For Growth and Profits
In this episode, Larry and Kandas talked about the power of masterminding. They discussed the significance of a mastermind group and how it can help you. They also shared some stories on the advantages of joining a mastermind group.
A Mastermind is a group of people who work together to solve each other's challenges.
On the book The ONE Thing by Gary Keller
You should want to learn more, even after you know everything.
You do not corner the market on NEW ideas.
What's the one thing that will have the most impact on your business?
You have finite days to live, what are you passionate about?
What is the root of what you do (your reason)? Mastermind groups help to bring you back to your roots.
How a mastermind group can help you when you lose your why.
Reasons to join a mastermind group.
Once you find your passion (your why) all other things fall in to place.
"You want to be around people with the same caliber. But you also want to get to a point where you can give just as much as you get."
"You really can't do everything and you need to focus on the one thing."
"Impact gives you the most direct line to results."
Welcome to BRAG Radio, which is all about being rich and generous. Every week, your hosts, Kandas and bestselling author, Larry Goings, will show you how to be rich and generous by investing in real estat. Broadcasting around the world on the BRAG Radio Network from the flagship station, WBT in beautiful uptown Charlotte, here are your hosts, the rock stars of real estate, Larry and Kandas.
Larry: Hola. Que pasa? How are you?
Kandas: Are you on the right show?
Larry: Maybe. I don’t know. You messed me up there. So how are you doing?
Kandas: I’m good. How are you?
Larry: Excellent, excellent. I hope you’re feeling better this Saturday. I mean, you were like dragging last Saturday. What’s up with that?
Kandas: I was exhausted.
Larry: Are you feeling better now?
Kandas: A little bit, a little bit.
Larry: I’m so glad. I’m glad you’re going to be so lively this show because you were just dragging this week. Because I know you’ve been away from home for a whole week, right? And you had to get up at what, like 2:30 that morning?
Kandas: I don’t want to relive it.
Larry: Okay. I hear ya. You’re done with it, aren’t you? It’s so long ago, you don’t even put it in your mind.
Kandas: Yeah, I can’t remember what day I did what.
Larry: Good for you, good for you. So last week, we talked about creating your vision because your business or your career, your business, whatever, should be based around your personal vision, right?
Kandas: Right. What’s happening to you?
Larry: Trying to get lively a little bit.
Kandas: All right. I hear ya.
Larry: So Chad’s doing jumping jacks while sitting down.
Kandas: Ya’ll are so weird.
Larry: Anyway, we were talking about your personal vision last week. If you didn’t get a chance to hear it, it’s Episode 100, right? It was our 100th show. So now this is 101.
Larry: 101, right? So we want to talk this week about the power of masterminding.
Kandas: The power of masterminding.
Larry: The power.
Kandas: Now, it’s not like mining for gems.
Kandas: But you just might find a gold nugget or two. You like that?
Larry: Hey, that’s good. Good for you. You’re a little more lively this week. I’m excited for you.
Kandas: I’m excited for you. This is going to be easier this week because I’m not pulling you along.
Larry: Right, and you did most of the talking last week.
Kandas: I don’t know why you did that either.
Larry: Yeah, well, I was just trying to help you out.
Kandas: You’re setting me up to fail.
Larry: No, I wasn’t. You did a find job. So I want to talk a little bit about masterminds, you know? A lot of people, they have an interest in something, whether it’s real estate or business or whatever and they buy a book, maybe they’ll subscribe to some podcasts or shows, listening to shows like this or listening to the replays of the podcasts or whatever. But the thing is, you get to a level eventually, you know what I mean—you might even do coaching or mentoring or whatever, but you get to a level that you want to mastermind with other like-minded people, right?
Kandas: I think yeah, that’s part of it. You want to be around people that are about the same caliber, but I think, too, you want to get to a point where you can give just as much as you get. You’ve grown, you’ve had some experiences, you’ve had something that you can give to other people to keep them from maybe doing some of this same stuff that you did.
Larry: Right, right. And that’s the power of a mastermind because a mastermind, basically, if you’re not really sure what a mastermind is, okay—a group of about a dozen people get together and they take turns and they share what they’re doing, their business. They’ll share some things. Like, here’s what I’m doing in my business. Here’s something that’s really, really working well right now. And it’s ideal if the mastermind is topic-specific. Like, it’s a mastermind group of real estate investors. Or it’s a mastermind group of people who are in the car business.
Kandas: Or bank business or, where you guys can all kind of commonly share, we’ve all got common, maybe not even interests, but yeah.
Larry: That’s exactly right. And we actually are in several masterminds and we have our own mastermind, right? And usually, when a person gets to the mastermind level, they’re already like in real estate, they’re already full-time. They’re already full-time. Like with ours, you’re required to be a full-time investor. So you can contribute and give back. So you can help others to be able to—you have something to share plus you still want to learn because you realize you don’t know everything. It’s like Norman Schwartzkoff said, you remember him?
Larry: Desert Storm. You remember.
Chad: Stormin’ Norman.
Larry: Stormin’ Norman.
Kandas: So glad you guys can related to each other. Makes it so much easier on me. I don’t have to know all this old stuff.
Larry: Stormin’ Norman said, you can tell the caliber of a person by how much they want to learn after they know it all. You get some people that feel like they know it all, and then you’re like, you can’t teach me anything. You can’t tell me anything. I already know it all, right?
So you can tell the caliber of a person by how much they want to learn after they know it all. In other words, the more successful you become, you should still want to learn because you should realize even as smart as I am, even as much as I know, I’m not talking about me personally, I’m just talking about whoever. Even as much as you know, you can still learn more. There’s still other people out there that have done more, been where you haven’t gone yet, or have ideas because I don’t have an exclusive on new ideas.
Kandas: That’s right.
Larry: I don’t have an exclusive on it, and whenever we go to a mastermind or we host our own or whatever, I learn so much. I learn so much. And we come back with so many ideas. The office hates it, though, right?
Kandas: Well, we’re doing better with that, though. We’re doing better with not as much, coming back with new ideas and coming back with better ways to implement and better ways to kind of get the most efficiency out of what we got.
Larry: Right. And that’s true. You’ve got to realize that you can’t do everything. You can’t do everything. Right?
Kandas: Preach it now.
Larry: Why are you looking at me like that? You’ve been preaching that to me.
Kandas: I want that snippet. You just can’t do everything. You can’t do everything. I want that as a ringtone, Chad. Can you make that happen?
Kandas: Thank you.
Larry: You can’t do everything. But I do try sometimes, don’t I?
Kandas: All the time.
Larry: And I get good ideas.
Kandas: All the time.
Larry: All my ideas are good, right?
Kandas: And they all have their own merit.
Larry: But that’s a very PC way of putting that. That’s awesome. So you really can’t do everything and you need to focus on, what is it? The one thing.
Kandas: That’s a good book, by the way, guys.
Larry: And what is the one thing?
Kandas: For what? For me? Or for you?
Larry: No, tell them about the book. It’s a good book.
Kandas: I’m not done with it yet. I’m in it.
Larry: Well, The One Thing is a book by Gary Keller, who started Keller-Williams and he talks about what is the one thing that is going to move the needle most in your business?
Kandas: Make the most impact.
Larry: Make the most impact.
Kandas: Give me the most direct line to results.
Larry: That’s exactly right. I’ll give you an idea, I’ll give you an example. I have been holding, personally, interviews when we’re recruiting acquisition people or salespeople or a closing person or whatever in our business. I have been running the ads. I have been calling the people or taking their calls, and I have been holding interviews.
Well, in our latest Mastermind, there was one of the guys there that he said, look, I never interview anybody unless somebody else that’s not on the management team has interviewed them first and has said they like them and they recommend them.
Kandas: You guys, you’ve got to understand, too, the thing about a Mastermind is, we’ve heard that before. We’ve heard that before. That wasn’t the first time that idea came up but when I heard it the first time, it didn’t carry—I mean it didn’t carry as much weight as it did this time because we weren’t in this situation.
Larry: That’s right.
Kandas: So when we heard it this time, it was like, oh yeah, I mean that makes perfect sense now. But before, I didn’t really think twice about it.
Larry: That’s exactly right. And this is a guy in our Mastermind that we’ve taught many things, too, as well. But when he reiterated that it was like, wow. You know, we should really start doing that.
Kandas: That’s right. Yeah.
Larry: We really should start doing that. So no matter where you are in your business, you should get involved. If you’re not ready to be in a Mastermind where you can give back and actually contribute, then start with coaching or mentoring. But if you’re in a place where you can give back, where you’re already doing real estate full-time, we can help you. If you’d like to get in our Mastermind group, we have a few seats available right now. You can call Kandas, right?
Kandas: That’s right. Same line as always. 877-Larry-Go. You all know, we kind of talk about anything and everything so Masterminds is one of those things that we can kind of go into. Our coaching programs are another thing that we can go into. Basic, you can get the investors’ kit. Just get started somewhere if real estate is what you’re interested in. The investors’ kit, I can send that out to your e-mail. 877-Larry-Go or text BRAG to 803-897-6063.
Welcome back to BRAG Radio.
Larry: Leading the world to be rich and generous. We teach you how to invest in real estate, become successful, and then we implore you to go out and be generous. To BRAG. Be rich and generous.
Larry: Focusing on the generous part.
Kandas: That’s right. And generous means something different to everybody. It’s not like there’s a right generous and a wrong generous.
Larry: It could be being generous with your money. It could mean being generous with your time.
Kandas: And what we found is, within our Mastermind groups that we attend and the one that we’ve got, a lot of people get to the point where just cutting a check is not good enough.
Larry: Did you read what I just wrote down?
Kandas: I can’t see your paper.
Larry: Not just writing a check.
Kandas: I did not see that.
Larry: Wow. Would you just look at that?
Kandas: That’s scary. That’s scary when that happens.
Larry: Just look at it.
Kandas: Oh, bless me. Bless my soul.
Larry: So there does come a point, and we even talked about that in our Mastermind meeting just the other day, that there comes a time when you don’t want to just write a check again. You need to get physically involved. You need to help others. Find something that you’re passionate about. Right, Kandas?
Kandas: That’s right. For me, it’s kids. Matt and I have two beautiful girls and we love being around other kids and one thing that we know we want to do together is to give back to the kids in our community, in our local district, in our local community when it comes to sports. And when it comes to life, and when it comes to being somebody that can be there for them, that can kind of help show them the way. And you can’t do that with a check. That takes time.
Larry: That’s true. That’s true. And it makes you feel better when you know you’re contributing and you’re helping others, right?
Kandas: And it sounds really weird and if all you can do is write a check because of your time constraints, then that’s fine. If all you can do is time. Know that the people that you are able to give the time that you can’t. There’s nothing wrong with it. Don’t feel bad about it. Just know that there’s more to your life and you’ll get there.
Larry: And you know, being in a Mastermind like we are, we’re in several and have our own as I’ve mentioned before, but the thing about being in a Mastermind with other people who are kind of at the same level that you are, is you’re able to see some of the things that they’re doing for lifestyle.
Kandas: That’s right.
Larry: Because we all have a finite number of days here. I mean, just like you mentioned last week.
Larry: Finite. That’s the opposite of infinite. Right? So we have a finite number of days here on this earth and as you mentioned last week about one of the exercises you went through was creating your eulogy and what if you had 90 days to live, what would you do? You’ve got to think about those things and when you get to that level where money is not as important anymore, then you want to think about what am I really passionate about? What do I really want to do?
And that’s one of the things that a Mastermind can do because yeah, we talk about real estate. We talk about different things like automation. Here’s some new marketing things that we’re doing and here’s some new automation that we’re doing. Here’s a new app for this and an app for that or whatever. Here’s a new pay structure, this or that.
But one of the biggest things when you get to the Mastermind level, it’s doing life together. I don’t mean this in a bad way or whatever. It shouldn’t sound like a bad way, but it’s almost like small group at church, right?
Kandas: It’s focused. It’s a focus group.
Larry: Yeah, yeah. It’s a group of like-minded people and you get to the point where it’s not just about the money and it’s not just about growing the business. Yeah, we talk about business but we help each other with business. A lot of it.
Kandas: With challenges, because you’re going to face challenges no matter even if it’s—what was one of the guys—one of the guy’s biggest challenges this time was he didn’t know if he wanted to keep doing what he was doing. He had built it and didn’t know. He just didn’t feel the same fire with it anymore and he’s very successful. The business stands on its own.
Larry: That’s right.
Kandas: He’s not even in it every day but his challenge is, and most of us would be like, man, I wish I could get my business like that. Well, I mean, he’ll sit there and tell you, be careful what you wish for. Because when the fire of what you’re chasing is gone or you catch what you are chasing, then what’s next?
Larry: Right. And he was literally burned out on being involved in the business and he said, hey, we do a couple of million dollars a year gross. And you know, that’s a pretty good income and he said you know, I need to hire a couple of salespeople. And to sell more houses. Which is what he does. He sells houses. And you know, flips houses. And he said, if I can get a couple of sales people in here, I can get my numbers up to $5 million a year and I’ll net a million dollars. He said, I don’t need the million and it doesn’t really excite me anymore.
Kandas: And what’d you tell him?
Larry: So what we started talking about was why don’t you think about, because his passion now is not business. His passion is helping people. His passion is being a blessing to others.
Kandas: But it has always been that.
Larry: Yeah, it has.
Kandas: When you start asking yourself why. Like why did a start this in the first place? What was I setting out to accomplish? Why? And you go five layers deep and why. And you get to a more root cause of like, the guy we were talking about last week, the dentist. His root was in connections with people, right? Being a dentist was his vehicle. So this guy, his root, his true why, was helping people. He wants to be able to help and be a blessing to other people and be a positive change.
Larry: Help people in need and even help people who are starting businesses.
Kandas: That’s right.
Larry: Consult them, on business. I mean he doesn’t charge them or anything. He just wants to help others.
Kandas: And so sometimes, though, along the way, you lose your ‘why’. You lose that root cause as to why you work so hard to build what you’ve got. And Masterminds can help ground you again. They can help bring you back.
Larry: That’s exactly right. And one of the things that I had shared with him, in the group setting, was the million dollars doesn’t get him fired up. But to tie that million dollars to all of the good that he can do—
Kandas: Tie it to the result.
Larry: Tie it to the result that he wants to get and say, man, if I had another million dollars a year, look at all these people I could help. Earmark that money, for this, for this, for this.
Kandas: In advance.
Larry: Exactly. And then it will push him to get back involved in that business and to be able to really want to help people. Does that make sense?
Kandas: I mean it does to me. It makes total sense to me. Just having a little bit of a different perspective, stepping back and having other people that can feed into your problem and give you different alternative solutions that you can’t see because you were in it. He was so wrapped up in the burnout that he just forgot. And it’s not a fault or anything like that. It’s not like it’s a mistake he made or anything. It just happens. But having people that know you, that love you, and that can say hard things to you out of love is part of what a Mastermind is as well.
Larry: That’s so true. And I will tell you this. It takes two or three meetings for everyone to start to gel, to get to know each other.
Kandas: When you first get started, yeah. When you first get started, it does.
Larry: To start to gel, but I can tell you this. I could tell before he left that meeting that at the beginning when he was burned out, about yeah I just don’t want to do it, I don’t want to do it, I don’t want to work in this business anymore. I don’t want to build. I don’t want to add more salespeople. I don’t want to do that at all. But then when he started tying the result to what his passion was, he got fired up again.
Kandas: That’s right because I mean, what can I do with this money now? You know, he’s comfortable. He knows what his take-home needs to be. Everything else is lucrative at this point. So he’s got this huge heart. He wants to do these great things and now he has a drive to make the business make more money to fuel what his actual true passion is.
Larry: What his real passion is.
Kandas: That’s right.
Larry: That’s exactly right. That’s really, really good. There’s so many, many advantages of a Mastermind. And like I said, it’s not just the business part. It’s the personal part as well.
Kandas: It’s a vulnerable place. Like you get—
Larry: There was people in there crying.
Kandas: It happens every time. And with all of them. It’s just a place that if you do it right, fosters an environment for people to just be honest and open.
Larry: To open themselves up.
Kandas: Yeah, and know that anything that’s said to them is out of a criticism or something like that. It’s out of love. It’s because there are people that are trying to help them.
Larry: That’s so true. That is so true.
Kandas: So we can help you guys with this. Like Larry said a couple of times, we’ve got a Mastermind of our own. You can give me a call at 877-Larry-Go, shoot an e-mail to me, info@BRAGRadio.com. If this is the first show of ours that you’ve heard, we usually talk a lot more about real estate but this stuff has just been on our minds lately and we feel like we need to share some of this stuff with you guys. So 877-Larry-Go. For the investors’ kit, text BRAG to 803-897-6063.
Larry: Welcome back to the show. It’s segment three out of four. We’re three quarters of the way there.
Kandas: We’re trying to coordinate—
Larry: Chad and I are coordinating.
Kandas: And I forgot that before we had started coordinating, he had already given me the signal to come back on. There you go. There was a little bit of music for you people in Talk Radio. You know you don’t get a lot.
Larry: It’s my favorite song. My favorite fave song. Absolutely.
Kandas: Is it of all-time?
Larry: It is. That’s my absolutely favorite. I love that song.
Kandas: You sent an e-mail out to our internal staff asking for their top ten favorite songs.
Larry: I did. You have no idea what that’s about, do you?
Kandas: You want to create a playlist for us but I don’t know why.
Larry: I want to create a playlist for us and we’re going to blast it throughout the office. Everybody’s going to have their top ten. I asked everybody in the office, what are your top ten songs that motivate you, that make you want to get up and jump around, right?
Kandas: Yeah, so I did ten songs, right?
Larry: Did you really?
Kandas: I did ten. But then, it was like, I didn’t catch the whole jump around part so I’ve got four that are like jump around and four that are just like, I mean and then six that are just like my favorite songs.
Larry: Oh, okay. Well, they’ve got to be jump around songs.
Larry: They’ve got to be jump around songs.
Chad: Could it be the song Jump Around?
Larry: Yeah, it could be. Yeah, it could be.
Kandas: Because like Sweet Child of Mine is not really going to make me jump around.
Chad: No. You can do it though.
Larry: Yeah, I wish you could see this.
Kandas: We need to flip the camera around so Chad can see it’s about as good as an air triangle.
Larry: We need another GoPro.
Kandas: But I did. I have four. I mean, I wrote down a bunch of songs. You can see my whole list here. See my list? I did my assignment. However, only four of them are like get up and move type songs, so I’ve got to pick some more.
Larry: But we’re going to put a playlist together.
Chad: All ten of Larry’s songs are Van Halen.
Kandas: I know, right? And the only person that’s going to be jumping around is him.
Larry: Only nine and a half. Only nine and a half of them are Van Halen.
Kandas: You know how much of air guitar is going to happen in our office when those come on?
Larry: I know. I love it. That’s exactly right. They’re going to be either Van Halen, Pink Floyd, ZZ Top, REO, or something like that. So anyway, let’s get back to talking about Masterminding.
Larry: You’re still reading your song list.
Kandas: Just looking. Just looking at the artists. Just looking at the artists.
Larry: That’s funny. So a couple of things I want to share about Masterminding. One of the last Masterminds we went to, we shared some ideas of some things we’re doing and even though there are people there that have a successful business, they’re crushing it in their own market. They’re like, wow, that is great. That’s a great idea. Like, one of the guys came up to me and he said, he was just, we were talking and he was asking me some questions.
He was buying some property in a resort area and buying these condos. It’s going to be 16 months before the condos are built. So he’s got to buy them now and pay for them but it’s going to be 16 months before they start bringing in income because it’s what’s called pre-construction. So he was like, how am I going to raise private money and finance these, right? How am I going to do that? How am I go to raise private money—
Kandas: How’d you tell him to do it?
Larry: Well, I actually gave him about four or five different answers, right?
Kandas: See, that’s why you can’t Stump Larry. That’s just why you can’t do it. What I have noticed though, is sometimes some people in these atmospheres have the same ideas. He thinks a lot before he speaks about an idea so he’ll be up walking around the room. All of us are sitting at a boardroom table. He’ll walk around the room. Somebody says something, he’s like, I got it. You know what you need to do? This is going to be great.
Larry: I don’t say you know what you need to do? I say, here’s an idea. Here’s something we’ve done or here’s something you can do.
Kandas: What you can do is—and the whole time he’s thinking it, somebody’s said it. So he says it and they’re like, that’s an awesome idea, Larry. That’s great.
Larry: It happened twice in the last two days.
Kandas: It did happen twice in the last two days. Then though, you had the one transformational idea and you said it and we were all like, man, that’s awesome. And you were like yeah, nobody said it first. So you do get to rag on each other a little in these.
Larry: I know, right? That was awesome though. Some of the things I told him was, he was wanting to—because he had already bought four or five of these condos and paid cash so he’s out of his own cash. He needs to raise some private money to do this. That’s one of the things we can teach you guys how to do but he’s going to raise private money but he said how can I structure this thing so I don’t have to pay back the private money with payments or whatever?
Larry: So I said how many of these do you want to buy and he said, I’d like to own ten of them. He said they’re $100,000 a piece but I buy ten at once, I can get them for $80,000. I said, number one, why don’t you buy ten of them for $100K—now, this is in Mexico, okay? This is not in the U.S. So he can buy ten of them and have the builder give him one of them, right? And he’ll borrow the money, own ten, and have the builder give him one.
He can also buy 20 of them and tell the private money lender, I’m going to partner with you. Instead of lending the money, I want to partner with you. We’re going to buy 20 of them. At the end of five years, we’re going to sell 10 of them. I’ll pay you off. I’ll pay you all your money. You get half the profit. And then he’ll have 10 of them free and clear.
Kandas: That’s right. That’s probably my favorite suggestion though, of that thing. That’s the one I would want to do.
Larry: There’s many, many, many different ways. That’s just a couple of the ways. Also, he’s got his own wholesaling business. He’s got a real estate day trading business.
Kandas: Well, him and a partner do, yeah.
Larry: He doesn’t even have an office, does he?
Kandas: Nope. He doesn’t like the enterprise style.
Larry: No, he wants to work from home. He closes 150 deals a year. And he has no employees.
Kandas: Well, 1099.
Larry: Well he has people but he has—he has people but they’re not in his office. They’re not in the office. He has virtual assistants, he has virtual salespeople and the leads come into the website. They get sent to a lead manager, like the motivated seller leads come in, sent to a lead manager. The lead manager sets the appointment. And then they set the appointment to go out and see the house and make an offer on it, right?
Larry: And then they sell them on their website. So he doesn’t even have a whole business, right? I shouldn’t say a whole business but he doesn’t have a business in an office. So it’s just really cool to see the different types of business and different types of models that people have. There was one guy at our latest Mastermind meeting where he actually does multi-family.
Kandas: That’s right.
Larry: And he was telling us about a deal he bought five years ago, right? He paid $3.4 million for it. He borrowed $1.4 million, right? From private money and he had a management company come in and they turned the property around. They leased it up. They raised the rents over five years. And he just sold that property for $8.8 million dollars.
Kandas: It weren’t even—I mean, he thought about selling it. And now, he kind of set his own price. He said, I really wouldn’t even be interested unless I could get $8.8 and that’s exactly what they got.
Larry: And he took that money and did a 1031 deferred tax exchange and bought a $20 million dollar property that he had no more money invested in and now he’s got $300,000 a year in net income after the loan. After all the expenses. So he’s pretty much set for life, right?
Kandas: And did the 1031.
Larry: Which means he didn’t pay taxes on it. So guys, there’s plenty of reasons to join a Mastermind. Right? You get to meet and associate with people like that. Now, we do have a couple of openings for our Mastermind and you’ve got to qualify. It’s not like something, you know—
Kandas: You just go on in and that’s it.
Larry: It’s not something you just pay the money and come on in. We want to make sure it’s a good fit and it’s somebody that can contribute. So if you’re in real estate, if you’re already doing real estate full-time and you want to network with other like-minded people, call Kandas.
Kandas: 877-Larry-Go. If you’re driving, just 877-Larry-Go is pretty easy to remember. I was going to say write it down. Don’t write it down if you’re driving. Just 877-Larry-Go or when you’re not driving anymore, you can shoot an e-mail to me, info@BRAGRadio.com. You can text BRAG to 803-897-6063.
Kandas: There you go, Chad. Look at him saving me. Thanks.
Welcome back to BRAG Radio. This is Kandas.
Larry: And Larry. What’s up?
Kandas: Investing with real estate to be rich and generous. This is my favorite part of the show. I say that every week that we have a student on, and we have a student on that’s going to come on this week. Claire, are you there?
Larry: How are you, Claire?
Claire: I’m doing great, I’m doing great.
Larry: Are you having fun and making money?
Claire: I am having fun and I am even making money.
Larry: That’s awesome. So tell our loyal listeners from around the globe—
Kandas: The five.
Larry: Who is Claire?
Claire: Claire is someone who came off a tough divorce and had to rebuild her life and decided you know what, this is what I want to do. Guess what, I don’t have to ask anybody about it.
Kandas: And is doing a phenomenal job about it, too.
Larry: You ain’t gotta ask nobody nothin’. That’s great.
Kandas: And she’s having fun.
Larry: I’m loving it. That’s great. That is great. Congratulations. So tell us, what are you doing?
Claire: Well right now, immediately, I’m in the middle of a mobile home rehab in an over 55 park. And this baby needed it. It’s a 1961. It looks like a dark, dank, sad little cabin—
Kandas: A dark, dank, sad. Dark, dank, and sad. That is definitely a different way to describe it.
Claire: But no more. Now, it’s all better.
Larry: Would you put some life back into it? 1961. It’s 55 years old.
Kandas: Like the people that are going to live in it.
Kandas: Exactly. And we’re peers, frankly. We’re peers.
Larry: That’s awesome. That’s awesome. So are you doing a lot of work to it?
Claire: More than I expected.
Larry; That’s the way a rehab always works, isn’t it? That’s normal.
Claire: Oh, it is. It is. But it looks so much better. It’s like everything a woman could want, shopping and a makeover, right?
Larry: Wow, that’s great. All in one. You don’t even have to leave the trailer park.
Claire: Right, and at the end, someone hands you money. So it’s a trifecta.
Larry: So how are you making money on this deal? Tell us the deal. How did you get it? How are you making money on it?
Claire: Actually, I found it on Craigslist. I’ve got a friend who does these and I sat down with him one day and he explained what he did, I thought you know what, that reminds me of a Larry Goins thing. So with this one, what we did was we bought it cheap and the guy was practically with his car idling, ready to leave. He was so done with this. And he just needed a few thousand bucks to buy a trailer. That’s all he wanted. So then we borrowed $18,000 from a friend—
Larry: You mean, private money, right?
Claire: I do mean private money.
Larry: We were just talking about this on the last segment. Wow. What kind of interest rate did you pay them?
Claire: She’s getting 10%. She’s getting a very decent interest rate.
Larry: 10%. There you go.
Kandas: That’s good.
Claire: For ten years. And so we were going to sell it subject to, so she’s got the mobile home. She’s the note holder on the mobile home so that allowed us to have a little money to work on the mobile home and cash out a bit. And we actually decided instead of doing the subject to, we’re going to do a wrap with an owner carry and sell it for a little more because it ended up so nice. So we were just going to do subject to that particular loan and we walk away but it ended up working out better.
Larry: Right. That’s good. That is good. So I love it. I love it. That’s awesome. And you found this deal on Craigslist. Can you believe it. People say I can’t find a deal. I can’t find a deal. That’s because you’re not looking. Right, Claire?
Claire: Yeah, you know, it’s consistency. There’s always a little luck involved but you gotta look. You can’t just wait. It won’t fall on your lap.
Larry: You know what the definition of luck is, right?
Claire: What’s that?
Larry: It’s where preparedness meets opportunity.
Larry: So if you don’t know how to put a deal together, you never would have been able to put the deal together that you found on Craigslist that was already a deal, right? You wouldn’t know how to do it. But you knew what to do and how to do it. That’s what set you apart.
Claire: Well, you know, it’s just a lot of self-education. The Larry Goins Course, some others, REIA meetings, and just kind of seeing what other people are doing and eventually I was thinking today as a matter of fact that it makes so much more sense to me now, but that’s because I’ve been in action. If you start moving through the steps, it just becomes clearer.
Larry: That’s great. You went out and took action. You have our Filthy Riches training, right?
Claire: I do.
Larry: That’s great. That is great. And for those listening, that’s a training that we have that shows how to do exactly what Claire just did. Right, Kandas?
Kandas: That’s right. So Claire, why don’t you talk to us a little bit about how you are giving back or how you’re being generous?
Claire: Well, it’s interesting that this particular project is out of the normal area that I work in so I didn’t have a crew. And I ended up finding a crew through a place called Victory Outreach up here where they’re guys who have gone through rehab, sometimes coming out of prison, mainly young, 20s. Some are skilled, some are semi-skilled, some are not skilled. But they’ll do the work.
Some of the work, I guess. Some more skills for some but they were great. They were a great crew. It was really good being able to work with them and some have no interest in continuing in this field and a couple are really liking it and liking it as a skill and it’s just fun to watch. They’re a good group of guys.
Kandas: How long did it take them to complete the rehab or are they still working on it?
Claire: Actually, it was just cleaning brush from the back when you called. We were kind of doing the very last things right now, the last little detail work.
Kandas: Oh, good.
Claire: It’s about a month. Maybe more.
Kandas: That’s not too bad. That’s not too bad at all. And how many were working on it at one time?
Claire: There are always two. They always travel in twos as a kind of accountability thing but, anywhere from two to four at any given time.
Kandas: How can people get involved with this type of an outreach program in their community? What do they Google or how do they get kind of the same setup that you just had with this for the rehab?
Claire: Good question. I go to some of the local churches and start asking around because usually, they’re tied into a parish or a church or something. I didn’t find them. Actually, my other contractor, my main more skilled contractor found them and I said great, sounds like a really good idea.
Larry: That’s awesome. And it’s win-win all the way around, right?
Claire: Right. Exactly.
Larry: That is great.
Claire: If this helps save youths, pay for their live-in house—they’re in halfway houses and all this and it helps pay for that. You know, everybody wins, yeah.
Larry: So are you still looking for some more deals? You got any more deals on the pipeline?
Claire: I am. I am looking always and I am actually going through some possibilities this morning, yeah. So we’ll see. And I have some outstanding notes and things from the Filthy Riches and I just talked to someone today who’s willing to buy those notes so very exciting.
Larry: Good. So you did another deal and you got a note. You bought it. You sold it at a profit and now you can sell the note and cash out and a private, passive investor is going to take that note and they’re going to create a passive income. Maybe they’re retired but they don’t want to be active. They want to be a passive investor, right?
Claire: Exactly. Right.
Larry: That is awesome. Claire, we really, really appreciate you being on the show today. You’ve just been awesome. You’ve been a big help and you’re being a blessing to others and we appreciate you being the model of what a BRAGer is. Be rich and generous. And help others at the same time. Thank you so much, Claire. Keep up the good work.
Chad: Thank you, Larry. And thank you, Kandas. That’s going to wrap up today’s BRAG Radio, leading the world to be rich and generous. For more information about what Larry and Kandas talked about on today’s show or to get a free investors’ kit, call 877-Larry-Go. That’s 877-527-7946. You can also go to BRAGRadio.com. Make sure to tune in every Saturday for BRAG Radio, leading the world to be rich and generous. Larry and Kandas will show you how to invest in real estate in the many ways real estate creates the ideal investment, here on News 1110, 99.3 WBT.