Jack Thursday - There's Always a Solution (LA 1816)

Transcript:

Steven Jack Butala:

Steve and Jill here.

Jill K DeWit:

Hello.

Steven Jack Butala:

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

Jill K DeWit:

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

Steven Jack Butala:

Today's Jack Thursday and I'm going to talk about how there's always a solution.

Jill K DeWit:

Is there?

Steven Jack Butala:

Always. I'm a huge proponent for this.

Jill K DeWit:

I know. Does it mean I'm going to like the solution?

Steven Jack Butala:

Nope.

Jill K DeWit:

Got it.

Steven Jack Butala:

Could be incredibly painful.

Jill K DeWit:

Got it. Think I heard that-

Steven Jack Butala:

You might have to check your pride at the door and all kinds of other stuff at the door. You might be defeated, you might have to turn your entire life around, but there's always a solution.

Jill K DeWit:

Thanks.

Steven Jack Butala:

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 please don't forget to subscribe on the Land Academy YouTube channel and comment on the shows you like.

Jill K DeWit:

Charlie wrote, "What is everybody doing to create recurring income from their land other than just buying and selling? Leasing and owner financing are the first few that come to my mind, but I'm sure there are others. And who do you lease to?"

Steven Jack Butala:

Owner financing is a very, very popular option here. We have tons of people in our group who buy property for five grand, sell it for $200 down, $200 a month, and the sale price is $20,000. This has been going on forever. That's very popular. Jill and I used to do it, we don't do it any longer. We feel like we're better at selling it for cash, or we're just better acquisitions people versus babysitters.

That's one way. That's by leaps and bounds the most popular way. If you have commercial property in an urban area, leasing property if it's zoned correctly to construction crews or for RV storage, that's very popular and extremely profitable. In fact, mobile home parks are based on this model where you just lease the land. The owner would put their own mobile home on that park, pay two or three or $400 a month for a pad lease and everybody's happy.

It's incredibly affordable for the owner and incredibly profitable for the park owner. That's a great option. There's two, the reason I put this in here, two new ones that popped up recently. One is buying a piece of rural land, making sure that it's very usable, and then VRBO-ing it out as campground land for $30 or $40 a night. It's very popular as long as the use, again, the zoning's correct.

To my knowledge in most places, especially if it's county land, there's no reason that would be restricted in any way. And so if you have an RV, you go park it out there for a certain number of nights as long as it's compliant, or if you just take a truck out there with a tent, make a fire, as long as it's all compliant.

That's very, very, very profitable. You can buy in certain places, even in Los Angeles County, you can buy property for $4,000 or $5,000 and start renting it out for $30 or $40 a night.

Jill K DeWit:

What's the second one?

Steven Jack Butala:

And the second one is... Why? Am I going too slow?

Jill K DeWit:

No, just curious. I was impatient.

Steven Jack Butala:

The second one is putting up some type of structure like a yurt, this is all over Discord right now, where you take that VRBO land rental model and make it just a little bit more attractive. A couple years ago, it was Airstreams. Make a little Airstream community again as long as it's compliant, and then rent those out.

Jill K DeWit:

Cool.

Steven Jack Butala:

Today's Jack Thursday, there's always a solution, this is why you're listening. I was watching a reality show that many of you maybe have seen, or not seen. I find it fascinating,