Our Most Recent House Flips Net Us 100K (LA 985)

Transcript:

Steven Butala:                   Steve and Jill here.

Jill DeWit:                            Hi.

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 our most recent house flips net us about a hundred thousand bucks. Jill's like right before the show, "What do you mean it net us $100000?"

Jill DeWit:                            I don't even look anymore. I'm like and did it what? What are you talking about?

Steven Butala:                   We made $98000. These three properties generated.

Jill DeWit:                            I get so-

Steven Butala:                   $98000. When you think about that, it's actually pretty amazing.

Jill DeWit:                            It is.

Steven Butala:                   And you think about doing one a month. It gets to millions pretty fast.

Jill DeWit:                            Yeah. Do one a week.

Steven Butala:                   Yeah. I need it. Yeah.

Jill DeWit:                            That's really what you'd like.

Steven Butala:                   If we didn't have a show and we didn't have Land Academy and House Academy. If we were you, listener.

Jill DeWit:                            We're going to get back to one a week. All good.

Steven Butala:                   We're putting food on the table. 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.

Jill DeWit:                            Kevin says, "Hi everybody. Yesterday, I received a call from a property that we just put on the market". And the caller asked, "Why is it so cheap?" I love this. Isn't this funny how this happens? It's so darn funny. Half the time I feel like I'm going to mark it up just because they don't believe it. "That is my second favorite question when talking to buyers. One, it tells me that I got the comps right. That is important feedback when there are very few comps. In this case I really had to dig to look for listings and recent sales to get a number. Two, if the buyer is serious, he isn't going to haggle much. He already knows that the price is great. Three, the buyer won't drag his feet on a deal because he knows that other buyers will be attracted to this price. In this case, I have two buyers out looking at the property after being on the market for two days. And number four, I have the opportunity to explain my business to the buyer, so he knows how we purchase properties and why the price is so low."

Jill DeWit:                            "I also explained that there are no liens or back taxes. That way you can stop worrying about the property being a toxic dumping ground and get on with making a good purchase decision. Oh yeah. My favorite question is how can I buy it? If you want to hear people asking you these questions? Send more mail."

Jill DeWit:                            And I agree. That was good.

Steven Butala:                   That's a Luke Smith call.

Jill DeWit:                            I like that.

Steven Butala:                   Stop asking all these questions. Just send more mail.

Jill DeWit:                            Isn't that funny? And it's so true. That happens all the time because our whole motto is buy a right, mark it up, this is, we're talking land of course, mark it up so you double your money, but you're still way below everything else out there. And then it's going to sell really fast. And you are going to get these calls and these people going, "What's wrong with this?" And the question is nothing and you better hurry up because I got, there's other people looking at it, kind of thing. It's great. What do you want to add?