Data Driven Real Estate Acquisitions Yield the Best ROI (LA 999)

Transcript:

Steven Butala:                   Steve and Jill here.

Jill DeWit:                            Hello.

Steven Butala:                   Welcome to the Land Academy Show. Entertaining land investment talk, I'm Steven Jack Butala.

Jill DeWit:                            And I'm Jill DeWit broadcasting from sunny Southern California.

Steven Butala:                   Today Jill and I talk about data driven real estate acquisitions and how they yield the best RIO.

Jill DeWit:                            This good, this is important. I'm glad we're talking about this. There's lots of other ways to do this, but there's ... the whole point for me is if you can't get onboard with data, you're gonna be left behind, it doesn't really matter what you're doing, you're gonna be left behind.

Steven Butala:                   Somebody asked me recently, hey give me the elevator pitch on what you guys do, I don't understand it. Jill and I were looking at a boat.

Jill DeWit:                            Yeah.

Steven Butala:                   And the broker said, what are you guys doing at night ... and I said, we buy a lot land and we resell it. And he said, well give me the elevator pitch, I don't understand. People ask this stuff. I'm sure, you're all in land business, too, they ask you some version of this all the time.

Jill DeWit:                            Exactly.

Steven Butala:                   I said, we use data. I'm like everybody, to buy and sell property for less that it's worth at that current moment. And a light bulb went off, and so I decided to make a show out of it.

Jill DeWit:                            Well I agree.

Steven Butala:                   Like everything. Before we get into it, let's take a question posted by one our members on the landinvestors.com online community, it's free.

Jill DeWit:                            Jacob asked, has anyone had trouble purchasing land in the Midwest region? It could just be my mailer or price, however I've had more success marketing and purchasing in the south west region, and was wondering what the issue might be. Good question.

Steven Butala:                   Great question. I have like a really simple answer, you go first.

Jill DeWit:                            All right. My answer is, no.

Steven Butala:                   No?

Jill DeWit:                            I'm sorry. Well, no, because as I'm looking at my inventory right now about, you know like Colorado and Texas property and other ... in the Midwest parts, I'm not having ... I have Ohio. So I don't have issues, so ... I'm ...

Steven Butala:                   What Jacob means is this, in my opinion ...

Jill DeWit:                            I'm guessing it's a little bit of a pricing thing. Or ... go ahead.

Steven Butala:                   If Jill and I are saying the same thing. What he's saying is, I seem to have a lot better luck buying properties at 100 bucks an acre in the south west than I do in the Midwest, and he's absolutely right.

Jill DeWit:                            That makes sense. Yeah, you do have to change your pricing. Like I was just looking at this Colorado property that we sold, we bought for like 6900 and sell for 36000.

Steven Butala:                   Mm-hmm (affirmative).

Jill DeWit:                            So ... and it was fast.

Steven Butala:                   Colorado sells fast.

Jill DeWit:                            It does. I can't remember the name of the county right now, but I was just looking at it. But, yeah, it's not a $100 an acre transaction, it's a much more expensive thing. So spend some time, I'm sure I'm you're gonna say the same thing, spend some time and do all the stuff that you know how to do, looking for, you know what Steven says, looking for those areas where there's consistence and you can kind of figure out some pricing.