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

Steven Butala:                   Today Jill and I talk about real estate crowd funding, and it's here to stay let me tell you. I love it.

Real Estate Crowdfunding (LA 862)

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

Steven Butala:                   Today Jill and I talk about real estate crowd funding, and it's here to stay let me tell you. I love it.

Jill DeWit:                            I know.

Steven Butala:                   It's just, I love crowd funding in general. It opens up opportunity, where it wasn't before.

Jill DeWit:                            Is it just me or is it not like, I don't think ... It should be huge and celebrated, but I don't see it very often. Is it because there are not as many people out there, or are you going to share that when we get into the show, because I'm ...

Steven Butala:                   I just don't think it's caught on yet. I don't think it's even in the first inning.

Jill DeWit:                            That's even better.

Steven Butala:                   Yeah.

Jill DeWit:                            Well good, that's where I want to be.

Steven Butala:                   Right, me too. That's why we're doing this show.

Jill DeWit:                            Cool.

Steven Butala:                   I think it's, especially for real estate. We all know what crowd funding is.

Jill DeWit:                            Right.

Steven Butala:                   I think it's, in its current form, is really silly, but we'll talk about that in the show. 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 as you're listening please drop your questions into the comment section below.

Jill DeWit:                            Matt asks, Hello, I'm looking to purchase a parcel of land that was rolled into someone's mortgage for their primary residence. It has its own EPN from the property, with a home on it. Will I be able to purchase that? I could foresee the mortgage having some due on sale clause, or something if you sell part of the property, that was used as collateral for the loan.

Steven Butala:                   Yeah.

Jill DeWit:                            They still have the house and everything, so maybe they can be separated. Anyone have experience?

Steven Butala:                   The best way to ... Unfortunately it's probably not going to be good news. Deals like that are cross-collateralized, so ... We've all seen this. If there's a house and a vacant lot next door, and they're being sold together, and they're two EPNs, if you're lucky there are actually two EPNs. Banks love that, because you just kind of look, and buyers love it. It's like getting a free piece of property.

Jill DeWit:                            Right.

Steven Butala:                   Hopefully the owner of the property was smart enough to separate them out, but I really doubt it.

Jill DeWit:                            Sounds like so maybe they could be separated. It sounds like they didn't.

Steven Butala:                   Yeah.

Jill DeWit:                            Is there a chance that there is a lien on both? That's, I think, the question.

Steven Butala:                   Yeah, I think it's the same lien.

Jill DeWit:                            That's what I think is the problem.

Steven Butala:                   I think there's one lien.

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 am Jill DeWit, broadcasting from sunny Southern California.

Steven Butala:                   Today Jill and I talk about the beginner and intermediate groups of Land Academy. You know, I was thinking before

Beginner & Intermediate Groups of Land Academy (LA 861)

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 am Jill DeWit, broadcasting from sunny Southern California.

Steven Butala:                   Today Jill and I talk about the beginner and intermediate groups of Land Academy. You know, I was thinking before we started this that these groups kind of form themselves.

Jill DeWit:                            It's true.

Steven Butala:                   Everybody in our group was a beginner-

Jill DeWit:                            True.

Steven Butala:                   And they just moved on to the ... they just got better at it. So what could be better than that? Just like-

Jill DeWit:                            And they need different things now.

Steven Butala:                   Yeah, and so do Jill and I.

Jill DeWit:                            Yeah.

Steven Butala:                   Which is-

Jill DeWit:                            I'd love to hear in a few minutes what you need here, Steven, and what you don't need anymore.

Steven Butala:                   I'll be happy to cover that.

Jill DeWit:                            I know.

Steven 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. As you're listening, please drop your questions into the comment section below.

Jill DeWit:                            Luke asks, "I was looking through some surveys today around some land I have. I see others are buying smaller land than mine for more money. They are splitting them up five ways with a survey. They are drawing in easements to county roads. They are adding water well sites to the easements. They are drilling a water well and selling the lots. I talked to some guys doing this. They are doing well sharing contracts. They have the first one developing to pay for the pump and plumbing, etc. The second pays all the costs, 1/5, then 1/3-"

Steven Butala:                   This is brilliant.

Jill DeWit:                            "Pays all the less, the 2/3 costs are split until all the costs are split five ways." Oh, is this good? "It got me thinking, would you guys mail on this process?"

Steven Butala:                   Yeah.

Jill DeWit:                            "Either carry it out or sell the land with the plan. What pitfalls do you foresee? Do you think I can sell land contingent on a water well and then get it drilled and paid for out of title? Sell one lot to pay for the land, one to pay for the well, and then the three for profits?" I like that one the best. "The economics look good. Timely, not very long. Am I crazy?"

Steven Butala:                   No.

Jill DeWit:                            Yeah.

Steven Butala:                   This is a perfect example of now intermediate to advanced rural vacant land. What you're talking about is a development project-

Jill DeWit:                            Right.

Steven Butala:                   Albeit short timeframe and very inexpensive compared to let's say developing a commercial piece of property in an apartment building, or a strip mall, or a regional mall.

Jill DeWit:                            Yep.

Steven Butala:                   But how many people are doing this? Very few.

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

Steven Butala:                   Today Jill and I talk about diversifying your risk with multiple lines of revenue.

Diversify Risk with Multiple Lines of Revenue (LA 860)

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

Steven Butala:                   Today Jill and I talk about diversifying your risk with multiple lines of revenue.

Jill DeWit:                            We do that.

Steven Butala:                   I know, yeah. We've been doing that for years, so just the thought of it makes me happy.

Jill DeWit:                            Can you diversify risk with children somehow? Is there a-

Steven Butala:                   No.

Jill DeWit:                            ... plan? Darn.

Steven Butala:                   That's all pure luck I'm convinced.

Jill DeWit:                            Oh, okay.

Steven Butala:                   I think you have more control over successfully raising a dog than you do a child.

Jill DeWit:                            That is probably true. That's very funny.

Steven Butala:                   That so quickly got off of real estate.

Jill DeWit:                            Okay.

Steven 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. As you're listening, please drop your questions in the comment section below.

Jill DeWit:                            Victor asks, "Does anyone have an experience selling land notes? I'm considering selling some land notes or person notes to free up some cash for new deals. Most of my notes are around $8,000 with $150 payments. What is standard to ask from a note buyer? Any advice or past experience would be great. Thanks." I love, by the way, some of these questions how people are just kind of thinking bigger. It's not just that online community is not just about land, but all kinds of other business things that you need to know. As a matter of fact, he's talking about a note. It could be a note for a dentist bill or something. You know what I mean?

Steven Butala:                   Yeah.

Jill DeWit:                            There's all kinds of notes and a lot of this stuff applies.

Steven Butala:                   Let's define what a note is essentially. That's a perfect place to start. If you're brand new, you may not know, but there's this whole ... If you're into real estate investment or any type of financial investment, it's more of a financial investment backed by real estate than anything else, then you know all about this. There's this crazy world out there and it all is rooted in the association with paper and real estate. There's all kinds of paper and things that can go right and wrong with the paper part of the real estate. When you look at the piece of real estate, it looks fine.

Steven Butala:                   All kinds of things that can be going on in the backend, ownership problems, clouds on title, people aren't paying their mortgage, maybe that was a bad market in the place, legal issues. There's lots of paper in the real estate. What this person has very intelligently done is bought a piece of real estate hopefully for very little, sold it to somebody on terms and they're making payments. They created a note. Let's just call it a mortgage note. This person is using the property somehow making monthly payments. After about six months or so, you have a financial instrument that you can do stuff with.

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 scaling your business with partners. Jill and I had the unfortunate event

Scaling Your Business with Partners (LA 859)

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 scaling your business with partners. Jill and I had the unfortunate event of being trapped in a car for about 10 hours on the way back from the holiday weekend between Scottsdale and Los Angeles.

Jill DeWit:                            Yesterday.

Steven Butala:                   And we watched about 400 episodes of Shark Tank.

Jill DeWit:                            Yes, we did.

Steven Butala:                   And it dawned on me that all these guys are doing is bringing on partners and scaling up what ends up being a holding company or an investment portfolio of companies.

Jill DeWit:                            Yep.

Steven Butala:                   To their benefit. It's a win, win situation. So, we've been doing that for a really long time with the boot selling ground program. We're about to launch a couple other companies that are driven by people who are better at the stuff that we're about to go do, than us. They're our partners.

Jill DeWit:                            Exactly.

Steven Butala:                   I figured, heck, logical extension of everything seems to be having a show and talking about it.

Jill DeWit:                            Isn't it fun to spend that much time in a car with your significant other too. I just gotta say, Steven, that quality time that we got to share together yesterday was just, oh priceless, and I cannot wait to do that again.

Steven Butala:                   Somebody said to me, "You know, there's these things called airplanes."

Jill DeWit:                            Yes.

Steven Butala:                   It would of been just as bad, I think, in the airport.

Jill DeWit:                            Yeah. That was my thing. Last minute, do we jump on a plane, but I'm like, no, this is the worst day ever. We would be standing in line at security. That could be worse.

Steven Butala:                   And sitting on a tarmac for a year.

Jill DeWit:                            That's true. Yup.

Steven Butala:                   Before we get into it, let's take a question posted by one of our members on the landinvestors.com online community. And it's free. As you're listening, please drop your questions into the comment section below.

Jill DeWit:                            Mark S. asks, "How are you planning for 2019?

Steven Butala:                   That's a brilliant question.

Jill DeWit:                            Yeah.

Steven Butala:                   Sometimes the shortest, easiest questions are the most brilliant and the most difficult to respond to.

Jill DeWit:                            Yeah. I already got a couple answers.

Steven Butala:                   Go ahead.

Jill DeWit:                            So for me personally, it's what this show's about. We're gonna talk about that. The second part though is, I'm just thinking, from our members perspective, if I was a member, here's what I would be doing. First of all, if I was a brand new member, I would be blowing through 1.0 and 2.0, which is now available, as fast as I can. I would have it open on one computer, and I would be doing it on another computer,

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 how the advanced group is self forming nicely. It's the group that we talked about yesterday.

The Advanced Group is Self-Forming Nicely (LA 858)

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 how the advanced group is self forming nicely. It's the group that we talked about yesterday.

Jill DeWit: I'm so happy and so excited, I want to also say, "Yay, it's the day after Thanksgiving. It is officially Black Friday." and that means it is officially 2.0. So if you are a member and you have not logged on to your member dashboard, go there now. It is there ready and waiting for you. I know a lot of our members have been oh so patiently waiting for that, I know that they're excited to have it, so, yay.

Steven Butala: I have to say I'm kind of happy that its behind me too. It takes a lot of work on both of our parts, Jill and I, it takes a lot of time to put together a five hour-

Jill DeWit: How many hours is it all together?

Steven Butala: It's about five hours.

Jill DeWit: Okay cool. And that-

Steven Butala: The first one's about 10.

Jill DeWit: Okay, and I wanted to say too, this is not a replacement of 1.0, this is an addition to it. It builds on that, and add more, and takes you more into Info Lots.

Steven Butala: By the way you can't buy them separately, it's value added. Jill and I try to continually add things for our existing members and for obviously new members.

Jill DeWit: For right now.

Steven Butala: Yeah.

Jill DeWit: As of right now it's all one. So as of right now if you are an existing member you get it automatically for free, and as of right now if you want to take advantage of the special that's going on today, Black Friday you get them both.

Steven Butala: Are you thinking about separating them?

Jill DeWit: I'm not sure yet. I'm leaving the door open.

Steven Butala: I never even thought about that.

Jill DeWit: Yeah, leaving the door open. I might do something with that, we'll see.

Steven 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 as your listening please drop your questions into the comment section below.

Jill DeWit: [Chloe 00:01:59] asks, "When I look at Realtor.com/research, I see a chart that shows market trends, median list price, y/y. Then I look to the right and I see a county name/state name. Then I see a column with the median listen price, y/y. Can someone explain to me what this y/y means? If the median price for an area is $174000, and the median list price, y/y says 2.4%, what is this telling me?" So confused.

Steven Butala: First of all this is a fantastic question. Jill and I say this all the time, "You can tell out of the box who's gonna do well at this right away." And you are clearly one of those people because you need to know these statistics and understand what they mean so you can use them to your advantage when you make decisions about where to send mail and for how much. Y/y means year over year, and \M, means month over month. So the working example here is that for whatever area you chose, the median price for an asset's $174000, y/y, year over year, it increased 2.4%. So, that $174000 house last year, it went up 2.4%. I hope that's clear. What I look for when I look at these statistics is, is it going up or is it going down? 2.4% is pretty low, the average is 3-5%.

Jill DeWit: Got it.

Steven Butala: And some markets like Seattle are up 90% year over year.

Jill DeWit: What's the median house price right now in the whole country?

Steven Butala: $220000.

Jill DeWit: Okay so this is a lower one too.

Steven Butala: Yeah.