In this episode, Larry and Kandas shared the importance of masterminds. They also talked about the things they learned and experienced from their last mastermind and how it helped them to develop and grow.
Larry: Hello, hello, hello. How are you doing? Good to see you. Good to see you. Look, we already got comments going on.
Kandas: Manny. You know, Manny is already coming and he’s on here five minutes ahead of time.
Larry: Pink Floyd in the house. You know, there was a documentary about Roger Waters the other day where he was being interviewed, and I always love Pink Floyd, but I don’t like that guy’s polical views.
Kandas: That’s not the show though.
Larry: He is out there, right? He is out there. So, thanks guys for watching. Please share the video. Share, share, share. Right?
Kandas: Do we have a share winner last week?
Larry: Look who’s on. Look.
Larry: Scott Jelinik is on.
Kandas: It’s been so long since we’ve seen you.
Larry: I know right? We just saw Scott yesterday. He’s in a Mastermind that we’re in, and you know, kind of like a coaching or mentoring program. This guy’s a great coach. He’s an awesome guy. I just love him to death. Make sure you follow him. He’s a great guy. Thanks, Scott, for being on.
Kandas: We’re going to get into that too in a minute, about our experience with our Mastermind. I think that’s more or less our theme.
Larry: Look. John Jackson is on.
Kandas: What’s going on? I’m trying to make it funny and you interrupt me just because our friends are getting on.
Larry: We do have friends.
Kandas: Every once in a while.
Larry: Oh, that’s right.
Kandas: I was saying something. Oh! A little bit later, we’re going to get into kind of what we learned in our last Mastermind and our last experience with the Mastermind. We think it’s good for you guys to share. We still get coached. The whole purpose of this Mastermind is that we still get coached.
Kandas: We still need to be developed. We still need to grow. One of our core values is grow or die. Larry and I are very intentional about making sure we read not only just developmental books but also the latest real estate courses, what everybody is doing, trying to stay up on kind of what everybody is doing in the market because there’s so much stuff that you can do with real estate. It is just at times it can be a little overwhelming but just trying to stay relevant and current for you guys so that we give you the most that we can. John Jackson, just go ahead. Go ahead on somewhere.
Larry: He’s a comedian.
Kandas: Jeez louise.
Larry: Thought it was a Joe McCall video. That’s funny. Somebody last week commented about Joe. What’s going on with Joe McCall now? They watch our show to find out about Joe McCall? What’s up with that?
Kandas: He does his own stuff, you know?
Larry: We saw Joe yesterday too, by the way.
Kandas: You can get up with him. He has easy ways to follow him. Joe is everywhere. But anyway, we’re glad you guys are with us today. We’re going to get to the share sponsor winner from last week. So you have a jumpstart, either HUD or real estate day training whichever you want.
Larry: Real estate day training, HUD, it’s up to you.
Kandas: Send an e-mail into firstname.lastname@example.org , email@example.com. Benjamin Floyd and I will be sure to get whichever one you want.
Kandas: Benjamin Lloyd. I think about Pink Floyd. Benjamin Lloyd. And I’ll get that out to you.
Larry: That’s awesome. Look, my kid, his watching too. What’s up, buddy?
Kandas: We just saw him too.
Larry: He just said it was great catching up with us the other day.
Kandas: That’s awesome.
Larry: That’s really cool.
Kandas: Stop by and hang out for a little bit.
Larry: Look, we got people watching. That is awesome.
Kandas: Easy to please over here.
Larry: That’s awesome. There you have it.
Kandas: Just the little things in life, guys. Just the little things in life.
Larry: Please share the video. Do you want to give away something for a share contest?
Kandas: For next week?
Larry: For next week.
Larry: What do you want to give away. We can’t give away that Filthy Riches because they’ll be gone. In fact, go and tell about that.
Kandas: Okay. So, we made a mistake and if you guys haven’t seen the email that went out, it’s not very often that I make mistakes but I did. I could see your face even though I’m not looking at you because of your face. God!
Larry: That’s hilarious.
Kandas: Now he’s got it recorded as well me saying this. This is good. But I did, so we had physical Filthy Riches courses in the office for a long time. That’s how we ever did. We moved to digital and we sold out of physical Filthy Riches courses so we thought we had cleaned up everything in the office. We have storage rooms and storage building and we had consolidated a bunch of stuff and thought that we had gotten rid of all of the Filthy Riches physical courses.
Larry: Guess what I found?
Kandas: However, leave it to be where he’s going to get into something, and he found some boxes of Filthy Riches courses, physical versions, people have been wanting these and when honestly I did not think we had any. At my whole job, well not job but a big part of what I was focused on, we decided to go digital just to make sure we had no inventory and somehow, out in the storage building behind tables and desk and other junk, we have Filthy Riches physical courses. So, if anybody is watching that has been wanting a Filthy Riches physical course, we have them on special right now as long as they last. We had 40, now we’re down to 37. I think.
Larry: We literally just sent out an email, but actually three people had called in to let them know if we had any. So, that was even before the email went out. There’s mom. Hey mom. How are you? So, yeah, we have 36 of them left. An email just hit literally. Just the reason we didn’t send out an email for this show because we had another email going out about the Filthy Riches. It’s not even an open box or anything.
Kandas: It’s a solid box.
Larry: They’re sealed up. Brand new. In fact, if you got the email, you can click on the link for the email. It’s in the email and you’ll see a video of me showing you all the 40 boxes and stuff like that, but they’re all sealed up, brand new, all that good stuff.
Kandas: This time for real, when they’re gone, they’re gone. I really did not think we had any left. We haven’t sold a physical course since. I thought we ran out in February of 2018.
Kandas: I thought we were done with them, but this is just to blow them out and get the inventory gone because I don’t want to have inventory.
Larry: When they’re gone, they’re gone.
Kandas: So, the physical Filthy Riches courses right now are 500. You can call 888-212-6567 and see if we’ve got any left. I know the guys were on the phone when I walked in here. I know they’re not going to last long but if it’s been something that you’re looking at or had been looking at and wanted the physical copy, this is the time to get it.
Larry: Right. If you want more information on it and learn what Filthy Riches is, just call them and they’ll send you the link to go right to the webinar replay.
Kandas: Yeah, you can watch it. I mean, it’s not even a webinar, so you’re taking your chances.
Larry: Right, then they’ll be gone. There’s only 40, well there’s only 36 or whatever left. Ben says if you don’t have it, get it. Yeah, Ben got it. It’s the training that teaches how to make more money on a rundown 5, 10, 15, 20,000 dollar house then most people make 100,000 dollar house, all with no rehab and no buyer’s list, right?
Larry: I will even fund your deal for you, right?
Kandas: There are certain things that come with course. I mean that it’s just like getting an a 997 course but for 500 so I can blow this inventory out.
Larry: Yeah, it’s 50% off.
Kandas: The only thing is we don’t sell them anymore so there’s no refunds, or I’ll go ahead and put that out there. If you get it, there’s no refunds on it because when we’re out, we’re out. It’s a done deal.
Larry: But it’s 50% off, half price.
Larry: They’re normally 997. We sell them all day long, digital, 997; but you get the physical course if you want CDs, DVDs, printed manual, all the flyers, inserts, all that stuff.
Kandas: It’s the same exact course.
Larry: There’s less than 40 of them, right?
Larry: So, Benjamin Lloyd won the share challlenge.
Kandas: Bejamin Lloyd won the share.
Larry: Yeah. That’s the one.
Kandas: Last time I asked who won the share.
Larry: Yeah, Ben Stuart asked.
Larry: But Benjamin Lloyd won.
Kandas: Thanks Ben. Yeah, you won’t need a refund for reality reasons, I wanted to throw that out there though.
Larry: There you go. That’s good. Okay. What are we going to talk about next? The free investor’s kit?
Kandas: Okay. That’s not part 2. Do you want me to do that part?
Larry: Yeah, you can do that. Go ahead.
Kandas: Alright. This show for you so far has been like you just walked up acquiant and walked in the room and sat down.
Larry: Literally, we were in San Antonio this morning.
Kandas: Until 4:30.
Larry: Literally, we landed at 10 o’clock. I had to record an 11 o’clock podcast. I have a 12 o’clock doctor’s appointment. I came in and ate lunch and boom, here we are.
Kandas: I don’t think it mattered on that for you.
Larry: No. It doesn’t matter.
Kandas: So, investor’s kit. The investor’s kit that we’ve got is a digital kit. You can call 877-LarryGo and Zenovia, who is our in-office Indian. You see, I don’t want to keep calling her that.
Larry: I don’t know if it’s non-virtual assistant.
Larry: We outsource to India but she is really just down the hall.
Kandas: But out India happens to be in the office. Yeah, it might sound like you’re going overseas but you’re not. She is here with us and she answers the phone on 877-LarryGo and she’ll be glad to set you up with the Investor’s Kit. There’s a copy of the HUD Homes Half Off book, How Do You Start in Real Estate Day Trading. Hey mama. That’s my mama right there.
Larry: That’s your mama. That’s yo mama.
Kandas: I guess she was ashamed enough the other week. So Z can get you set up with that. 877-LarryGo. It’s got books in it, some links to our trainings, asset protection, different things, whatever we feel like throwing in there, but it will definitely get you on the right path to get started if you hadn’t ever done real estate before and don’t know how to spill it.
Larry: There you go. That’s exactly right. So, today we wanted to share a little bit about...
Kandas: Today, we are gathered here.
Larry: We’re gathered here today. We wanted to just share a little bit our Mastermind and what is a Mastermind, kind of like a Mastermind or coaching program, mentoring program, that sort of thing. Here’s kind of the levels of real estate education, okay? You watch YouTube videos, get on podcasts, you buy a book, you get a home study course. You do some kind of a coaching or mentoring program and then you get into a Mastermind, right? A Mastermind is where like-minded people get together and they talk about their business, the good, the bad, and the ugly.
Kandas: Not just about their business.
Larry: That’s a good point. That’s a good point.
Kandas: Sometimes it’s personal. It got personal for us six months ago in June of 2018. We had a life altering, not just in business. There was business aspects too, but there were personal aspects as well.
Kandas: That happens. You get associated with these group of people and you form like a core, almost, a core community and these people become like family.
Larry: They end up watching your YouTube videos and your Facebook Live.
Kandas: That’s right. They do and then they’ll text you afterward and critique you.
Larry: That’s awesome. It’s a lot better.
Kandas: It’s a lot better. These people become like family though. What my goal with wanting to be in this, the specific one was not only to surround ourselves with like-minded people but to then also get input from people that we value.
Larry: Hey Marie.
Kandas: That can feed into us, not only on a business level but on a personal level.
Kandas: So it can be personal and business.
Larry: That’s so true. The thing about a Mastermind or coaching or mentoring program is you get to know the people, right? You get to know the people and you build relationship and it takes two or three meetings, but you get to know the people and build a relationship, and you end up helping them. When they’re down, encourage them when they’re down, like we just started a… tell them about the little Facebook group we started, well one of the guys started.
Kandas: While we were at this Mastermind, health has been an issue, not an issue but a topic, a conversation with a lot of the guys in our group. When I say guys in our group, I mean, there are..
Larry: Guys and girls.
Kandas: Guys and girls but there’s three girls.
Larry: At least.
Kandas: Yeah, three girls not counting spouses, right?
Kandas: Which are important too. You know, it’s brought up about health and so what we did at this last Mastermind was one of the guys started a Facebook group just for our Mastermind group and it’s a fitness group. We can keep track of each other, encourage each other, share goals with each other, maybe even photos. We don’t know whatever the people throw out there. It’s just to keep each other motivated until we see each other again. Typically Masterminds are three or four times a year. So there’s long spaces a time in between and that connection can help you stay on tract.
Larry: So you should set a goal to be able to get to the point where you can get to a Mastermind, right? As I mentioned, you know, you watch YouTube videos, podcasts, and books, courses, coaching, mentoring, and Mastermind. We did start that or one of the guys started that Facebook group. It’s a closed group just for people who are in our room and to be able to share, you know, when we work out, if we miss to work out or our health, how we’re eating and stuff like that, right?
Kandas: Yeah, food recipe, just different types of things. Matthew… we haven’t really called him too since we were on the radio.
Larry: Superman. Kandas’ husband, Matthew, is superman. In fact, the kids call him hawksmash.
Kandas: They do call him Hawksmash.
Larry: Right? Daddy Hawksmash.
Kandas: Yeah. Yes.
Larry: Daddy Hawksmash. This guy’s a big guy.
Kandas: Matt calls him superman. I mean, Larry calls Matt Superman.
Larry: And he calls me daddy Man.
Kandas: He did not. He calls you Married Man.
Larry: He calls me Married man. It’s my son who calls me daddy man. Matt calls me Married Man. I want to wear my shirt one day.
Kandas: Matt also has a name for Larry. You should. Matt also calls Larry the Flash because half the time when we fly or when we used to fly, he shows up as this time to just walk right on the plane.
Larry: Like the last one to board.
Kandas: Yes. He knows he’s got a good seat so there’s like no reason for him to get there early and try to get any type of overhead space or anything. So yeah, Matt calls you the Flash for running through the airport.
Larry: The Flash.
Kandas: But you don’t really run through the airport. He just briskly walk.
Larry: Briskly walk. That’s funny.
Larry: Alright, let’s talk about the Mastermind. What are some things we learned? What we learned from the Mastermind, okay?
Kandas: What we learned?
Larry: Well the first thing we learned and I can’t give you a whole lot of details but there’s a new course coming, right?
Kandas: Why are you doing that? Why would you do that?
Larry: There is a new course coming, right?
Larry: Well, you’re the one that sold me on doing it. So anyway, we got a new training based on some of the stuff that we’ve been doing and that’s going to happen, eventually, right? So, a couple of things I’m going to share with you.
Kandas: It is now what you just told the free world. You can’t take that back.
Larry: That’s funny. Some of the things I do want to share that we learned is, there is a tool that I believe it was a joke, McCall mentioned about using for interoffice called Slack. I don’t know if any of you guys have used Slack before. If you have, let us know and put your comments in there. But it’s an app. It’s done by Google, right? It integrates with a lot of other items, but allows you to communicate and set up groups. It’s kind of like texting, phone, email, sharing documents, and Google drive and all wrapped up into one little app, right? You can create groups like marketing group, sales group, fitness group, invite whoever you want to in the little group or you could create a project group.
Kandas: Then everybody stays updated, yeah.
Larry: Yeah, yeah.
Kandas: We’re going to look into that because we don’t have that yet.
Larry: Yeah. Ben uses it. Slack is amazing. See, I was asking what is the difference between that and the Google, not hangout, but the chat, Google chat.
Kandas: I don’t know anything about it. All I know is we’re going to look into it because several people in the group love it. Now that, you know, Ben, Tammy are commenting that it is really good. I think it’s a viable option for us to look into, to kind of have the different teams even for that matter where we can go to one place and seeing different teams and what’s going on.
Larry: Right. That is good.
Kandas: More or less to hook us up just at a glance.
Larry: I’d heard of Slack a long time ago.
Kandas: Not looked into it though.
Larry: We’d never looked into it but we’re going to now. In fact, I got a couple of Youtube videos pulled up, or another tap that I’m going to watch when we get off this call, right?
So the next thing I want to talk about is I always write down a little one liners or little things that I’d think that I’d want to remember.
Kandas: These are quotes that end up going into the book of second opinions. You should actually take your book of second opinions with you so you’d just add them in there.
Larry: That’s true. Anyway, this little quote, right? If money was no object, write out what would be your perfect day? What do you think about that?
Kandas: Just a day, yeah.
Larry: If money was no object, right?
Kandas: Everything is quite a way.
Larry: If money was no object, write out your perfect day. I don’t mean be extravagant with every little thing, you know.
Kandas: Like you’re picked up in a helicopter and waste away.
Kandas: Nothing like that, like just average.
Larry: Just what would be your perfect day if didn’t have to go to work every day, right? And then, build your business around to support that, right? It may not be that you need 500,000 dollars a year, right? It may not be that you need a million dollars a year. You may not even be 200,000 a year, right?
Kandas: You’re kidding.
Larry: I don’t know what’s going on.
Kandas: Hey Pamela!
Larry: Look, my wife’s on. Hey honey. Okay. some of the other things. I love this one right here. I forgot who said this, but don’t prioritize your schedule. Schedule your priorities.
Kandas: I remember who said it, but I can’t give out names.
Larry: Oh, you can’t say. Okay.
Kandas: That was a very good one. I love that one.
Larry: Don’t prioritize your schedule. Instead, schedule your priorities, right? I can’t read my own writing.
Kandas: I am not surprised.
Larry: Oh, be profitable with your business and charitable with your profits, right? Where that came from is a lot of people talk about accepting mediocrity in their business.
Kandas: With certain people because you feel like there’s something else other than the work that you can offer them or that you can feed into them or something like that.
Larry: Right. Look, Sarah is on. I hadn’t seen Sarah in a long time. Sarah is one of our mentoring students. She has a copy of a 200,000 cheque hanging on the wall.
Kandas: Right outside that door.
Larry: Right outside that door, and that’s just one, right? Alright, so be profitable with your business and charitable with your profits. Here’s another one I really, really like. This is in the context of being generous and donating. BRAG-ing, be rich and generous, right? Tithing. We don’t give to get. Instead look at it as we get to give. We don’t give to get something in return. Instead, we get to give, right? Let’s see. What are the other things we talked about real estate related. There’s a lot of new tax laws, guys. A lot of new tax laws. In fact, we’d probably do a training on some of the tax laws, some of the highlights about that.
Kandas: High level because you all need to go to tax attorneys and CPAs and stuff like that for specifics for your situation.
Larry: You got to have your own CPA. We should get our CPA on here or on a webinar or something.
Kandas: He would do it.
Larry: She. We should get her.
Kandas: Oh, I am thinking about our attorney.
Larry: Right. So, we should get her on. We can get him on too. But anyway, so there’s a lot of new tax laws. One of the things that came up was bonus depreciationg. You can take a lot of extra bonus depreciating if you are a real estate professional and that means if you spend more than so many hours, I think it’s 700 hours or something in a year in real estate, so you can do that. You can take a lot of extra depreciation and you can offset about that against all of your income. I mean, I know guys that pay zero taxes. Zero taxes.
Kandas: And have. Like they paid zero taxes for years and for years to come. They’re not expected to have to pay.
Larry: That’s exactly right. So, think about that. We’ll do a show on that, or a webinar or something, right?
Kandas: He/she? I knew somebody was going to catch that. We’ve got two just to clarify. We have a tax accountant and that is a female, and then we have our tax attorney who I was thinking.
Larry: That I was talking about.
Kandas: He is very in the know with stuff like that.
Larry: Listen, he’s the more research than all of these guys.
Kandas: So that is the guy that I was referring too. I think it would be good to have both of them on at some point this year if we can get them while they’re in tax season. That may be a lot bit difficult.
Larry: When they’re not in tax season.
Kandas: Right now, that’s what I’m saying, it would be a little difficult.
Larry: Probably so. Alright guys. Listen. Here’s the most important thing I wanted to share with you. Okay? We talked a lot. In fact, we had a special meeting at the Mastermind meeting about changes in the market. Right? The economy. The market. What’s going to happen, right? Market changes. What’s coming? Guys, do you guys think there’s going to be a crash? Let us know. Do you think there’s going to be a crash and if so, do you think it’s going to be as bad as 2008, right? Because 2007, 2008, 2009, that was pretty tough, right? I mean, there was a lot of over exubertance in lending, right?
Kandas: Over exuberance.
Larry: I like that word.
Kandas: You’ve been waiting here a while where you can fit it into the conversation.
Larry: That’s hilarious. So, there has been a lot of over exuberance, right? Listen, like my father in law, and he tells me, he told me this for years, trees don’t grow to the sky. What comes up is going to come down, right? It may not come down all the way but what goes up will come down, so you got to prepare yourself, right? Now, the consensus was that in our Mastermind, it’s not going to be near as bad as it was, but it’s going to go down, right?
Kandas: It will. The reason behind the whole is not going to be as bad as it was is because banks are not at the point of lending like they were in 2008. We had a mortgage company then, and I was a loan officer for that mortgage company and the loans, that I was able to get completely legally for our investors were crazy. I mean, it was all as far as the months and everything were going, it was completely legal to do those loans. I don’t know what they were thinking, but those types of loans haven’t been available since then. That’s were the premise came from that it won’t be as bad because lending hasn’t been as easy.
Larry: Yeah. I agree with Sarah and with Manny. I don’t even think you could call it crash, right? I think it’s going to be, like Sarah said, it’s going to be a recession or a correction.
Kandas: That’s a good word, Rob. That’s a good word.
Larry: That is a good word, Rob. It’s going to be a correction. But here’s the thing. Here’s what you’ve got to be able to do guys. You need to right now, you need to be getting in a position to being able to stash cash for the crash, just what I’ve been saying, stash cash for the crash.
Kandas: And we’ve been saying that for about a year.
Larry: We have. It might take another year. I hope it takes until December of 2020, right? Before it turns. But anyway, you want to be ready to deploy capital. Now, what does that mean? That means, even if you’re buying 30, 40, 50, 100,000 dollar houses, if they’re right here, they’re going to be right here. So, we right now are in the buy-sell, buy-sell, buy-sell, buy-sell, buy-sell. Right? We’re in a buy-sell mode. We have one closing on Tuesday. We’re buying it for 50. We’re selling it for 89,900. We’ve got another one we’re buying for 100 tomorrow, right?
Kandas: Or was it today? I forgot what today was. When we fly, I lose all track of time.
Larry: I know. Today is Wednesday. We’ve been thinking it was Thursday all day.
Kandas: So yeah, tomorrow it’s supposed to be.
Larry: So yeah, it’s closing tomorrow, but we’re paying 100. Paint and carpet, and we’re going to sell it for 200. Paint and carpet. Sell it for 200. Kenny, don’t be using my quotes.
Kandas: Or at least give credit where they’re due.
Larry: There you go. That’s right baby.
Kandas: Oh, no. You guys know, and I don’t know if we’ve mentioned this one, the paint and carpet house on the show, but you all know we don’t do rehabs so it wasn’t a hard sell for me to get on board on this once I saw the spread, but sometimes regardless of what you do day-in and day-out, if you get an opportunity, like we’ve got with this house, I mean, you got to switch course. You’ve got to do it. The spread is there, you can’t pass on the deal like that because somebody is going to get it.
Larry: You got to roll with the changes.
Kandas: It’s not something that we look for but this was a referral. This wasn’t even off hook like any type of market that we got.
Larry: It was a referral from someone we just bought a house from last month.
Kandas: Right. But when it comes along, you’ve got to. It’s great. If you can be in a position to, then say alright, yeah. Let’s do it. Spread is there. It’s great. Let’s roll with it. Just because you focus on one area, like wholesaling, like we do, don’t be completely oblivious and have blinded on to other opportunities that could be there. That’s right.
Larry: I love that, Ben. Look what Ben said. First time you hear a quote, it’s Larry said. Second time you say it, someone said, third time was I was saying.
Kandas: That’s so true.
Larry: You shouldn’t showed that to Kenny.
Kandas: Nah, Kenny is going to use that.
Larry: I know, right? That’s funny, or I once heard. That’s a good one. So, guys, you need to be stashing cash and get ready to deploy capital.
Larry: Now remember guys. It doesn’t even have to be your capital. Right? If you haven’t built up capital, you’re in this booming times, go out and start finding some private money, so when you can pick up that 50,000 dollar house for 30,000, you’ll have the capital lined up ready to do it; or the 100,000 dollar house for 75,000 or whatever it is. You want to make sure you have the capital to deploy when the time comes and I’m telling you. It’s coming. It’s coming. You know. I’ve had people ask me, you know, Larry, how does your real estate business do whenever the market turns down?
Kandas: Well that was something else we talked about.
Larry: We did talk about that.
Kandas: Everybody kind of went through because there’s educators in this room, there is investment. I mean, all of us have invests. Only some of us are educators, but we all went through that same question on, if some people hadn’t been in the industry since 2008, somewhere in it before 2008, so they haven’t been through this type of situation, this type of correction that’s getting ready to turn. You can go ahead.
Larry: No. I was just going to say. You’ve got to have your money lined up and you’ve got to be ready because when the market goes down, that’s the time you ought to be buying.
Larry: That’s the time you ought to be buying.
Kandas: When the media says it’s horrible. It’s the worst economy ever. It’s the worse housing market ever, that’s when investors know. Alright, yeah. I can get really good deals right now.
Larry: That’s true. You just got to be ready. I am one you would call a contrarian investor, okay?
Kandas: Not a canary investor. I always hear canary.
Larry: Yeah, contrarian. Now, think about this. I’m just going to tell you how this works. Okay? I’m just going to just lay it out there and tell you. When real estate is hot and everybody is talking about real estate, when real estate is hot, everybody attends the seminars, right? When seminar rooms fill up and you see all the seminar companies traveling around the country and filling up room, after room, after room, right? And filling up three-day events, that’s when you ought to be selling. Buy-sell, buy-sell, buy-sell, buy-sell. When real estate starts to go down. Nobody wants to learn to be an investor. That’s when you invest.
Kandas: The media has everbody scared of the market.
Larry: That’s when you invest. The great Phyllis Rockower from California, Bill Bronchick’s mom, alright? She’s passed away now.
Kandas: Wonderful woman.
Larry: Oh, I know. She was awesome. I stayed in her condo in Cobo one time. Anyway, when she used to say, when real estate is hot, be in the seminar business. When real estate is not, buy real estate. That’s the way a lot of those people do. Now, we teach and educate people. We teach and educate people year round because we don’t have one business. These businesses, the seminar and the real estate business are counter cyclical to a certain extent, right? I look like I’m swimming. Alright, counter cyclical.
Kandas: Please don’t try to swim like that. You’re going to drown.
Larry: I know, right? But anyway, when the seminar rooms are filling up and real estate is hot and everybody talks about how it is booming in, that’s not the time you want to be buying to hold. Right?
Larry: That’s the time you want to buy-sell, buy-sell, buy-sell. Then when real estate is down, that’s the time you want to take the money you made in buy-sell and you use that money and/or private money and buy and hold. Right? Listen, America is going to be on sale. I don’t know when. I don’t know what month, what year, you know it could be this year or it could be next year. I don’t know. But all I do know is there’s already a slowdown starting. The higher priced properties, the luxury priced properties, the very expensive properties...
Kandas: And new construction.
Larry: And new construction. They’re taking on longer days on the market. Longer days on the market. When starts happening, then the prices starts slowly start coming down, right? Slowly coming down. Then I can’t see my hands so I’m thinking nobody can see me. Yeah. They slowly start coming down, right? Look William Tingle is on. What’s going on, buddy? So, when the prices start coming down, that’s when you want to be ready to deploy your money. Right? We had a long conversation about this, probably maybe an hour or two, at least just about that. So guys, I would definitely, definitely, definitely be stashing cash for the crash. If we can help you with any of that, if you want to partner with us, all you got to do is go to LarryGoins.com/apply. Right? LarryGoins.com/apply. We’ve got a few partner students that we work with and where we truly do partner with you. We help you get up and running. You come to my office for three days.
Kandas: We got a full house in a few weeks.
Larry: We do. We have 23 or 24 people I think, right? So anyway, we do it about every other month and it’s partnering with me and my team and I work with you to get your marketing set up, when you come here...
Kandas: It’s implementation.
Larry: Right. Not education. It’s application and implementation. You got to bring your credit card because you’re going to be setting up your direct mail or signs, getting your CRM, your website and all that stuff. We’ll get all that stuff set up, right while you’re here. So the goal is, when you go home, your phone starts ringing off the hook, right? Generating motivated seller leads, right?
Larry: That sound good? The only other thing that I think we didn’t talk about was the deal of the week. We have been forgetting about the deal of the week, for the past couple of shows, right?
Kandas: We haven’t been forgetting about the deal of the week. This is the second show since the beginning of the year.
Larry: Right because we took off half of December.
Kandas: Right. I mean, this is the second one, right?
Larry: But I don’t think we did it last show.
Kandas: We didn’t do it last show. I know we didn’t do it last show and when we first came back, we hadn’t been here to have anything going on.
Larry: That’s a good point.
Kandas: It’s actually the third show since we’ve been back.
Larry: That is a good point because when we came back, even though in December, we closed and did like 88,000 dollars in assignment fees. We didn’t even mail anybody in December. Right?
Kandas: We turned out.
Larry: We haven’t mailed anybody yet in January.
Larry: Our first mailing is going out this Friday.
Kandas: Yeah, we begin in another week. We should definitely have a deal of the week by next week.
Larry: Well I’ve got one this week, because I was here last week and I got five houses under contract last week.
Kandas: So that’s your sure this week.
Larry: Yeah, I can do one this week. I’m just pick one of the five. I don’t know which one.
Kandas: Yeah, just do one of the five, but I mean, it is the third week back and so we hadn’t been here. We hadn’t done any direct mail. There’s no point to lie to you guys and pull a deal from somewhere or from way back when. If we don’t have one, we’re just not going to share one.
Larry: There you go. There you go. So, I did five deals last week and I was only here four days because Kandas and I did what’s called a same-page meeting based on EOS. That was just how we run our business and we wanted to make our plans for the next 90 days for business, for the education side, and for the real estate side. So, it was kind of funny. We were in a meeting all day long. I came out to her office. I came in here and I’m like, I only want to make one or two phone calls. Who can I call them to buy a house? So I went through my list and I had two or three people that I wanted to follow up with and then I felt pretty good about it. The first one I called, she was in the hospital, okay? In fact, we put her on our prayer list out there. She was in the hospital she didn’t even tell me until we’re about ready to get off the phone but I ended up buying the house. I got it under contract and we’re buying, actually two properties.
Kandas: From her.
Larry: Right from her. I told her we’d put her on our prayer list. She said, thank you very much.
Kandas: On the prayer list. You sounded very contrary when you said it.
Larry: The prayer list.
Kandas: I told her we’d put her on the prayer list, which we did.
Larry: Yeah we did. But anyway, she’s already out of the hospital by now. I’m sure because she said she was already on the mends, right?
Kandas: Another southern phrase.
Larry: I’m on the mends. But anyway, so I got those two under contract. One of the ones that I really want to tell you about was a lot. Now, I normally don’t buy lots. In fact, we took lots off of our direct mail list, but this lot is up on Lake Norman. Right? It’s not on the lake but it’s at Lake Norman.
Kandas: It’s in a lake subdivision. Walking distance.
Larry: Lake subdivision. The houses up there are 250, 350, 400,000 dollars. Now typically lot expense is about 20% of the total price, right? About 20%, give or take depending on where you are. So, a 300,000 dollar house would be a 60,000 dollar lot. I’m paying 6,000 dollars for this lot. Six grand for this lot. So we’re going to put it on the MLS probably 39,900 something like that and just turn it around and blow it out, sell it, really quick, right? Which reminds me. We got to get some houses on the MLS.
Kandas: Yeah. You know what? I need to do that. We got to service.
Larry: We got to do that. Alright, so anyway, that’s the deal of the week right there. Usually on lots, I offer like a thousand dollars or 500. We’ve got two lots right now up in Hickory or Conover. They were paying 6...
Larry: 1250 for two lots.
Kandas: Yes. 625 plus...
Larry: Side by side, 1250 for two lots. I think we’re selling them for 10 grand maybe or something. I can’t remember. But anyway, so that lot is the deal of the week. Don’t turn lots away guys. Look and see what the other houses, see what the other houses are selling for in the area and think that the lot value is probably going to be around 20% of the value of the house. Then offer about 10% of that, right?
Kandas: Be embarassed with it. They’re going to say, if they don’t want to sell, then they’re going to say no. Then you can open negotiations, but why start high when you can go down.
Larry: That’s so true. So guys, I hope you guys enjoyed this. Please share, share, share, right? So, thanks a lot for watching. We really appreciate it. Be sure to call and get your investors kit, and if we can help you with anything, please don’t hesitate to reach out. We’re here for you. With that, that’s it, right?
Kandas: That’s it.
Larry: I got to get on the phone and buy something.
Kandas: Bye guys.
Larry: See you. Bye. Bye.