How to Work Smarter in Your Land Business (LA 1669)

Transcript:

Steven Jack Butala:

Steve and Jill here.

Jill K DeWit:

Hello.

Steven Jack Butala:

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

Jill K DeWit:

And I'm Jill DeWit, broadcasting from the Valley of the Sun.

Steven Jack Butala:

Today, Jill and I talk about how to work smarter in your land business.

Jill K DeWit:

You would think we'd be doing this every day.

Steven Jack Butala:

We have... Yeah, this is a whole string in Discord.

Jill K DeWit:

I'll tell you one way we don't work smarter is like right now.

Steven Jack Butala:

What do you mean?

Jill K DeWit:

Like, it's Tuesday and we're recording for Tuesday. We kind of never do that. Talk about cutting it close. That's not very smart.

Steven Jack Butala:

Jill and I were just talking about it. We are still reeling from the holidays and reeling from 2021.

Jill K DeWit:

Mm-hmm. It was a good year.

Steven Jack Butala:

We moved states. We had a great year, great year financially and socially. We moved. I don't have to file a California tax return this year.

Jill K DeWit:

Right.

Steven Jack Butala:

So it's all positive. Before we get into it, let's take a question posted by one of our members on the landinvestors.com online community. It's free. And don't forget to subscribe on the Land Academy YouTube channel and comment on the shows you like.

Jill K DeWit:

Zola wrote, "Seeking advice. I have an agreed price to buy a piece of land in Virginia. And I already have a buyer, which is a neighbor. I want to transfer the property directly to the neighbor and not take possession to avoid closing fees. I'm thinking of using a transferable contract. Any advice? Or better yet, a purchase agreement template."

Steven Jack Butala:

What would you do?

Jill K DeWit:

I hate this.

Steven Jack Butala:

So do I.

Jill K DeWit:

I don't like this.

Steven Jack Butala:

I'm right there with you, Jill.

Jill K DeWit:

This just gives me such a bad feeling.

Steven Jack Butala:

I totally agree.

Jill K DeWit:

It's like a wholesaler's... That's what it's... Not to pick on you, Zola. It's just, I'm not comfortable with it. I always feel like if I believe in the deal, I'm not going to take an assignment or a fee, but that's kind of what you're doing. I would buy it. So I wouldn't even, as far as the purchase agreement template, you could just... There's so many out there you just copy or just add on there or assignees kind of thing, as far as who's going to take ownership. And if you're going to go through title, I mean, you can go through title. Everybody's going to see what it's purchased for. And everybody's going to see your chunk of money in the middle of what you're taking out of it. And then everybody's going to see what the new guy's buying. And it might not leave them with a good feeling.

Steven Jack Butala:

One of our jobs here at Land Academy is to undo bad advice that we've all received in real estate and in real estate investment. This is bad. This is not a good idea. There's a... The concept of assigning contracts and wholesaling has become abused and has now a stigma, a negative stigma. So here's what you do. It's going to cost you maybe $1,500 to $2,000 to close this deal and buy it. And that's it. Buy the property and then resell it immediately. Have a hold-open binder with the escrow agent and resell it for whatever the numbers are to the new buyer, the neighbor. If you don't have the money, this is what [crosstalk 00:03:02].

Jill K DeWit:

... deal funding.

Steven Jack Butala:

This is what Land Academy is for. Just posted. Thank you, Zola, for putting this in Discord. That's the best thing. I'm glad you did this. Somebody will step up and help you-

Jill K DeWit:

They'll fund it.

Steven Jack Butala:

... fund the deal. Take a small percentage, in this case, because you already have it sold. Maybe 10 or 10% ish.

Jill K DeWit:

That's easy.