When is it OK to Talk About Money? (CFFL 532)

Transcript:

Jack:                      Jack Butala with Jill DeWitt.

Jill:                          Hi

Jack:                      Welcome to the show today. In this episode, Jill and I talk about, when is okay to talk about money? And when is it not okay? More specifically, as it pertains to real estate as always.

Jill:                          Got it.

Jack:                      Before we get into it, let's take a question posted by one of our members on the land investors dot com online community, it's free.

Jill:                          Okay. Mike asks, "Anyone have any advice on how to manipulate improvement percent to include properties with well or septic tanks?" Has anyone ever tinkered with this?" I would love to find some properties in some of my areas with old wells I could salvage. It would double the value of the land."

Interesting spin he's going on here.

Jack:                      Mike, once in a while we get a brilliant question and this.

Jill:                          Yeah.

Jack:                      Congratulations, you won this month.

Jill:                          Thinking about, thinking outside of the box.

Jack:                      Here's the thing Jill. The further we get into this Land Investors Land Academy, offers investors, offers academy thing, the more intelligent people keep joining our groups. And so this is brilliant. There's a two part answer.

Number one, and I asked part of our staff to memorize this sentence. The data that we have in real quest pro and data tree and everywhere [inaudible 00:01:18] and all the other data sources that we provide is only as good as the assessor and the assessor's cake eaters put in. So man, that would be great to say, "Yep, it's got a well."

Jill:                          Silly.

Jack:                      Like a whole separate column. If I had my way, I would say there's a whole separate column for septic, a whole separate column for well, for well. It's that important for rural real estate.

Jill:                          Right.

Jack:                      Unfortunately they don't. So wouldn't it be great though, that said, if the improvement percentage was like fifteen. Like the property's been approved  fifteen percent and that man had had a well on it in every county. That's dreamy data situation.

Jill:                          Wouldn't that be great? I mean there really is a category for that on some of our data sources where you kind like check the box that you wanted to pop in. But you're right, I mean a pretty large percentage of the time it's not accurate information. The don't fill it in.

Jack:                      So for the record, by the way, the first time I heard improved, "Is the property improved or not?" That was a lot of years ago. What I thought immediately was, "Does it have a house on it or construction?" and that's not what it means. If the property has been improved in any way, like let's say it's part of a subdivision and there's roads and stuff and there's sewer hook ups at the street and all that. That's improved property. And what it really it means is that lenders, lenders sit up in their chairs and say, "Oh, it's improved property, I have an interest in lending you money on it now."

Jill:                          Right.

Jack:                      I have an interest in lending you money now so that if you default I can own it. But that's a different topic.

Jill:                          Right. Exactly.

Jack:                      So now, to answer your question Mike. Brilliant question. It would be great if you could somehow [inaudible 00:03:00] find that specialization and buy properties with a well, like a defunct well. Man, you would be off to the races on that financially. In fact, you could talk about how much money you'd make.

When is okay to talk about money?

Jill:                          That's the [inaud...