One Percent Difference Rule and Compound Interest in Your Land Business (LA 1774)

Transcript:

Steven Jack Butala:

Steven and Jill here.

Jill DeWit:

Hi.

Steven Jack Butala:

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

Jill DeWit:

And I'm Jill Dewitt, broadcasting from the valley of the sun.

Steven Jack Butala:

Today, jill and I talk about, really, it's kind of my topic as Jill informed me just now, the 1% difference rule in compound interest and how it's associated with your land business. I think it's associated with everything, but that's just me.

Jill DeWit:

Do you prefer pink nail polish or red? Because that's what I'm going to work on right now.

Steven Jack Butala:

It's wearer's choice.

Jill DeWit:

Thank you. That's how this is going to go right now.

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 I hope you know that we have a full blown commercial printing company dedicated to sending offers to owners. In fact, that's what it's called offers, the number two, owners.com. Check it out. Get your mailers out. We do eight or 900,000 units a month now.

Jill DeWit:

Victor wrote, "After closing a land purchase, what am I supposed to receive from the title company? I closed on four properties for the first time about three weeks ago. Yay. Three in one state, and one in another. And I've not received anything from the title company. No title insurance papers or deed. Is this a typical routine?" No. They're coming. It does take a while.

Steven Jack Butala:

This is all you, by the way.

Jill DeWit:

You're not nuts, Victor. And yeah, they're coming.

Steven Jack Butala:

Isn't it fun to just pay all that money and then get nothing?

Jill DeWit:

And then just nothing. Oh, I know. So here's how it really goes. So did he say he bought? Is this bought or sold?

Steven Jack Butala:

Bought.

Jill DeWit:

Bought. Okay. So you bought the properties. You sent the money in. You saw all the closing documents, because you signed everything on the purchase side. And now you're like, "Well, the check cleared. What am I going to get back?" It's coming. So a good title agent will send you back a copy of everything and then they'll follow up with hard copies. But some title agents will just follow up with the hard copies, that's what's coming in the mail. Either way, I do trust them when they say it's, "Hey, we're recorded. I'm good with that. I'm running with it." And you could check with the county if you needed to just before you run with it. But it's common. I don't know what it is. I don't know if it's a laziness or COVID, or COVID induced laziness or the new COVID schedule we have nowadays. I don't know.

Steven Jack Butala:

Title agents in general are drunk with power.

Jill DeWit:

Yeah.

Steven Jack Butala:

They're going to tell you how it goes, tell you what to sign, where to sign. And they're playing off of the fact that they think you don't know what you're doing, which is not the case with our group. We all know what they're doing. And we're very lucky that Jill has a transaction coordinator who's 30 years in the industry as a title manager, title agent, title supervisor, and all of it. She's seen it all. So you can't slip anything by her. But when Jo closes a deal, she hasn't done it herself. She hasn't done it recently. She's on the phone on every single deal saying, "I'm not going to sign this. There's no lead-based paint. This doesn't apply because it's a real piece of freaking land."

Jill DeWit:

Exactly.

Steven Jack Butala:

And I don't need to put a mask on because of COVID when we show the property. So there's all kinds of stuff that goes on.

Jill DeWit:

And three states over.

Steven Jack Butala:

Yeah.

Jill DeWit:

I promise I'll wear a mask when I call you. What? What? It's almost like that.

Steven Jack Butala: