Collecting Keys - Real Estate Investing Podcast

What did you think of todays show??In the real estate industry, interacting with other people is a non-negotiable. You need to build a connection with others and establish relationships to bring your business to the next level. But for that to happen, you need to start by finding the right people.In this episode of Collecting Keys Podcast, we share our tips on how to find the right people — both in hiring and selling properties.Here are some power takeaways from today’s conversation:Hire people with skills you don’t haveValue your employees and give them opportunities to growBuild connections with potential buyersFind cash buyers in your marketParticipate in joint ventures with your competitorsEpisode Highlights:[01:27] HiringMike and Dan are in growth mode, so they’re focused on hiring. Running a virtual company necessitates that they hire people who are good communicators.When hiring, offloading tasks shouldn’t be your only aim; you need to hire people who are better than you. These people can fill in the gaps in your knowledge or skills. Even without the revenue to pay a large group of employees, you can find a smaller set of the best people and bring them to your business.[13:43] Finding the Right PeopleMike and Dan have found most of their best hires from social media or referrals. Go straight to the source where you can find the kind of people you want to hire. Present them with an opportunity to invest and grow. Build trust and loyalty with employees. Don’t shortchange or undervalue them.Listen to the full episode to find out how Mike and Dan find their virtual assistants![21:10] Finding BuyersFacebook groups are the easiest way to find cash buyers. Learn the big names in real estate. Connect with potential buyers and build rapport with them. Don’t rely too heavily on outsourcing to third-party services; it can harm your business if they aren’t trustworthy or go belly up.Find cash buyers in your market. Start with a large funnel and filter down until you find the perfect buyer. Know your competitors and conduct a JV with them so that you can learn how to make deals and gain access to better buyers.Notable quotes from the Episode:[13:13] “If you want good employees, you have to already have the opportunity there, and then make it available for them to capture and benefit off of it.”[17:39] “If they are doing that task and it's taking them half the time, who cares? It's doing what you need to do and, realistically, it's costing you so much less than if you hired an American person to do it.”[37:22] “Don’t be afraid to get involved in your local community with other investors. And don’t be afraid to collaborate with people.”Resources Mentioned:collectingkeyspodcast.cominstantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandaninvestorlift.com

What did you think of todays show??There are many ways to gain find sellers — and cold calling is just one of them. But if you don’t know how to build trust and communicate with people, your lead is likely to go cold.In this episode of Collecting Keys Podcast, we discuss our opinions on cold calling and whether it’s an effective strategy to get leads. We also share our tips for cold calling so you can leverage it and increase your conversion rate.Here are some power takeaways from today’s conversation:Don’t be afraid to deal with tenantsProper communication is key in the real estate industryBuild rapport with clients and potential leadsMake sure you’re acquiring leads from a trusted sourceGet skilled individuals to do the cold callingEpisode Highlights:[00:55] Investment and Housing ShortageWith the current labor issue, Mike and Dan end up closing properties since it’s easier and more sensible than wholesaling them. If you want to invest in real estate during a housing shortage, you’ll need to deal with tenants — and sometimes, those are the best deals.Evicting someone can be pricey and complicated. Look at the numbers, balance it out with the cash for keys deal, and determine the worst-case scenario.[04:50] Communicate with OwnersBuyers should be the ones paying for their due diligence. Always communicate with the owners — they’re likely willing to figure things out with you. Building relationships is crucial in the real estate industry.[08:48] Dealing with Difficult TenantsWhile walking through one property, Mike and Dan had to deal with particularly difficult tenants. They even suspected something illegal going on.Listen to the full episode to hear how Mike and Dan dealt with these nightmare tenants and other projects they’ll be working on![12:41] The HOA Insurance DilemmaMike and Dan’s condo flip got blocked by the HOA insurance. The only other insurance available was at a fixed cost and wouldn’t cover the actual cost. They took this as a sign that real estate is quickly growing.[19:52] Cold CallingCold calling should either be targeted or there must be a highly skilled person in-house to monitor progress. Be skeptical of anyone providing leads of unknown origin.. Don’t go for cheap data. Avoid hiring low-quality people.Tune in to the full episode for Mike and Dan’s process that you can follow for cold calls!Notable quotes from the Episode:[02:42] “If you're in a housing shortage situation and you want to do deals, you’re going to have to eventually deal with tenants. And sometimes, those are the best deals.”[08:10] “Your network is your net worth.”[35:34] “If you just go to push the easy button, you might get results, but you’re going to be spending a lot more money getting those results, and it’s not going to be as in your control.”Resources Mentioned:skipgenie.comcollectingkeyspodcast.cominstantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandan

What did you think of todays show??Estimating renovation costs on a property isn’t as hard as many people make it out to be. But if you don’t go about it the right way, that’s when you can find yourself in trouble.In this episode of Collecting Keys Podcast, Mike opens talking about a recent trip to Miami for a GoBundance mastermind. In the educational section, we share our tips and tricks on how to really make a renovation costs estimate by being conservative and using a simplified process, and how to get the most value out of a renovation.Here are some power takeaways from today’s conversation:Surround yourself with like-minded peopleBe intentional, inquisitive, and truly listen in all of your dealingsMake conservative estimates when coming up with renovation costsLess renovations is more if you want to make money flipping housesEpisode Highlights:[08:50] Making the Most Out of Mastermind EventsMike recently attended a GoBundance event that he found very inspiring. But while it’s easy to leave a talk feeling pumped, the action you take after is what’s really important. Be intentional, inquisitive, and truly listen in these types of events to get the most out of them.Listen to the full episode for more of Mike and Dan’s takeaways![17:47] How to Estimate Renovation Costs on a PropertyMany people become overwhelmed at the idea of estimating renovation costs, but it can be as simple as conducting a walkthrough and taking photos of what needs renovating as you go along. The key is to make conservative estimates.Consider Mike and Dan’s Instant Investor Program and check out their calculator tool for easier estimating![26:32] Bolstering Your Budget With a Contractor WalkthroughBy conducting another, more detailed walkthrough with your contractor, you can build confidence in your initial estimate or make adjustments as needed. This second walkthrough will also allow you to come up with a materials package.Your walkthrough with your contractor is when you take note of the quantities and measurements of everything that needs to be replaced. This will help you check whether your new findings line up with your initial estimates and smooth out your entire renovation process.Notable quotes from the Episode:[13:50] “Being intentional, that's how you go from zero to 100 way faster than the average person, is really being intentional about those action steps.”[15:53] “It's beyond just you. And your new reality is like what is possible, as opposed to what you're used to seeing every day in your life and how you move forward.”[30:50] “It can be a major swing in your profits, honestly, little things add up — that nice, cute backsplash, those new countertops that you didn't have to do, the whole new bathroom, tile shower, and all that sort of stuff can be unnecessary and really effect your bottom line.”Resources Mentioned:collectingkeyspodcast.com/calculatorinstantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandan

What did you think of todays show??The housing market is a complex system affected by various factors. If you don't understand these factors and their effects, you can't make informed choices and ensure financial security.In this episode of Collecting Keys Podcast, we discuss the current housing market: its current state, predicting its future, and how to take advantage of it.Here are some power takeaways from today’s conversation:The housing market is more than just inflation and appreciationHigh-end real estate may fluctuate in price but consumer-level real estate will always be in demandInvest in real estate in places with significant economic growthA recession won't affect housing, but it will spread the wealth gap furtherFind ways to elevate your incomeEpisode Highlights:[00:57] Real Estate PricesReal estate prices are rising; people often cite the real estate market in 2008 due to the hiking prices today, but there were more houses  on the market then compared to now.There are few new constructions; there's land to build on, but it isn't developed. It all comes down to affordability since it dissipates so quickly.[05:40] Factors in the Housing MarketMost people correlate interest rates with housing and mortgage. So they think that recession, inflation, etc., will cause problems in the housing market, but it doesn't guarantee that housing rates will tank.Inventory and liquidity also affect housing markets. People are always looking to deploy their cash and find suitable investments, but the wealth gap is also a concern.[13:45] Inflation and Economic DownturnsPeople who own assets tend to do better in inflationary periods. Goods cost the same, but assets rise in price. Inflation is higher than the government has quoted in recent years. House pricing will either remain stagnant or increase every recession.[17:53] Why Get in on the Housing MarketHousing might experience minor, 5-10% price changes, but that only affects high-end real estate. Due to affordability, there will always be a massive demand for consumer-level real estate.A recession is coming. It won't affect housing that much but will widen the wealth gap. The government will not address that gap, so find ways to generate income without relying on others.Notable quotes from the Episode:[13:53] “People who own assets tend to do better in inflationary periods.”[21:59] “If you’re buying houses, you’re buying real estate in places that people are moving to, are growing economically, have a general demand within their market for people that are like moving there and not just investors, you’re probably not going to lose in those situations.”[25:34] “Stop letting people strip value out of you for their own profits and go strip value out of something else for yourself.”Resources Mentioned:stlouisfed.orgcollectingkeyspodcast.cominstantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandan

What did you think of todays show??What’s the best way to fund an off-market deal?Many of us stick to taking out loans, whether long-term loans or hard money loans, for our funding. What we fail to realize is that, with the constant fluctuations in loan rates, it’s much safer to diversify our options.In this episode of Collecting Keys Podcast, we talk about the importance of keeping other avenues for funding open when going after off-market deals. We also talk about building trust and rapport with potential lenders, and how this can open up the way to more, even better deals.Here are some power takeaways from today’s conversation:Financial freedom is a luxury; appreciate it if you have it. Not everyone can afford to take the same risks as you.Don’t judge potential tenants on their income category alone. Any lack of due diligence during the screening process is on you.Given the constant fluctuations in loan rates, it’s important to have backup funding options ready.Simple preparation and a pleasant disposition can go a long way when dealing with lenders.Episode Highlights:[02:19] Money Does MatterThere seems to be a trend of people reaching a certain level of success and brushing it off, saying they “don't care about the money.” Mike and Dan find offense at this and argue that kind of behavior is arrogant and discredits the struggles of those lesser off.Not everyone has the luxury of not caring. Without that safety net, many people are forced to pick not failing over taking risks.[10:43] The Misconceptions of Section 8 Real EstateMike and Dan talk about doing their final bouts of due diligence on a 6-unit property. They later learned that it was a Section 8 property, but this didn’t deter them.The world and our economy are growing at a rapid pace and some people are having a harder time keeping up. Most Section 8 tenants are good people, just in bad, low-income categories.[19:01] How to Fund Off-Market DealsNowadays, long-term loans and hard money loans are worth about the same thing. Mike and Dan speculate that lenders must think that the current spike in rates is only temporary, hence the change. This is why it’s important to have different funding options available.Tune in to the full episode for Mike and Dan’s discussion on other avenues to funding off-market deals![31:29] Getting on a Potential Lender’s Good SideWhether you’re well-prepared and on top of your work can make or break a deal with lenders. Every interaction is a window into how easy or difficult you are to work with as a business partner — make it count!Notable quotes from the Episode:[06:23] “‘Money doesn't create happiness.’ No, but it does make things a lot less stressful, a lot easier for you. That's why a lot of folks in our circles are marching towards financial freedom.”[15:12] “[Section 8 tenants] aren't keeping up with inflationary rents and all that sort of stuff, but it's not because they're bad people. Things grew around them.”[23:58] “Your relationships with your lenders are growing their business because one of the first things some of these [lenders] are looking for is like, ‘What's your track record?’”Resources Mentioned:collectingkeyspodcast.cominstantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandan

What did you think of todays show??Is driving for dollars truly an effective strategy for acquiring deals?You might have been told that driving for dollars is a great way to collect lists and acquire deals. It’s simple, easy, and doesn’t cost much at all — sounds like a great strategy, doesn’t it? But the truth is, it’s probably not the best use of your time.In this episode of Collecting Keys Podcast, we talk about how effective driving for dollars is (or, in this case, isn’t) and what you should be spending your time doing instead. We also talk about building trust with and taking care of properties and tenants, which are always intertwined.Here are some power takeaways from today’s conversation:Consider the class of your tenantsBuild rapport with tenants and prospective clientsInstead of displacing tenants, do what you can to help themTake tenants’ requests into considerationSpend time having conversations and building trust with peopleWork for other investors and learn from themEpisode Highlights:[0:41] Lessons From Their First DuplexIt was chaotic when Mike and Dan bought their first duplex together. There were property issues and confusion with the contractor — but in the end, they still own it now and it’s their best cash-flowing asset.[02:51] Consider Tenants’ ClassMost people fixate on the class of the property, but what’s important is the class of your tenants. You should avoid C-class tenants in B or A-class properties. It’s also important to build trust with your tenants, but remember that some tenant modifications are as good as others.[04:38] Dealing with Properties and TenantsMike and Dan officially did the final walkthrough on a property. It needs some work, but it’s easy to manage if they have to fix anything. But they recently learned that the tenants are Section 8. You can work with local housing authorities if you’re below-market rents to avoid having to displace tenants. Displacing them would be unethical and cost a lot of money.[08:24] Taking Care of Properties and TenantsPeople think investors just want to buy things, max them out, and sell them, but a landlord’s job is to provide housing. If you’re marketing your own property and buying it at a good price, you don’t have to turn it into an A-class property and jack up rents. If you want to hear about how Mike and Dan acquired property of the market by building rapport with the previous owner, tune in to the full episode![15:59] Driving for DollarsDriving for dollars is simply driving around and looking for a crappy property. If you spot one, save the owner’s phone number and try purchasing the property. That’s why apps come in handy so you can find the owner, number, mail, and address. You should be able to adapt and grow with the market. Driving for dollars can work with the right mindset paired with other marketing and data strategies.[30:03] Tips for New InvestorsIf you want to be an investor but don’t have money, work for an investor that’s getting deals done and be their acquisitions manager. This will help you get exposure to the investment process and learn how to conduct acquisition conversations  Work for the people that are doing what you want to be doing, then start investing. Resources Mentioned:collectingkeyspodcast.comhttps://drinkinbros.com/Instantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagra

What did you think of todays show??Do you ever wonder whether or not your team is enough for your business?Maybe you think that you can do almost everything for your business. Juggling tasks may be easy for you, but is it the most efficient way to do things? You may think that you can do it all, but the truth is, you shouldn't be wearing all the hats. There are jobs where people other than you can excel, like the acquisitions manager role. However, if the acquisitions part of your business is what you enjoy, then you probably should avoid the temptation to hire one just because its what everyone else is doing. In this episode of Collecting Keys Podcast, we talk about how an acquisitions manager can help you and your business in the long run. We also talk about the road to success and why building your business around an office is not a good idea nowadays.Here are some power takeaways from today’s conversation:There is no wrong way to succeed, but there is a right way.The little nuances in a physical office do not matter to workers anymore.Workers want flexibility and to make money.Building your business around an office is not the cornerstone of freedom.Be honest with the job description.Hire for what your business needs, not for what you want.Episode Highlights:[03:23] No Wrong Way to Becoming SuccessfulThere's no wrong way to succeed, but there is a right way to do it. There are many different ways for you to choose your way to success. The base process is all similar, but the journey makes it different.[06:04] The Little NuancesTraditional business owners tend to overlook the effects of the current COVID-19 pandemic on the industry. Workers do not want to return to offices even with the perks like a taco day or recreational activities. Workers want flexibility and to make money productively.[10:09] Being Together is Not The CornerstoneIf you are trying to run a profit, you want to be focused and fast. Wanting to be physically together as a team can become counterproductive. There is value in working face-to-face, but it's more important to have a better communication system. Building a business around an office and requiring you and your team to be physically present is not the cornerstone of freedom and financial freedom.[17:06 ] What is An Acquisitions ManagerAn acquisitions manager can take on various roles, but they typically engage with leads for a business. They are in charge of the follow-up sales calls, running appointments, and contract signing. They are both the face and salesperson of a business.[22:08] Strengths and WeaknessesAssessing the strengths and weaknesses of your business reflects on the vision of your business. You must look at it as a whole and not at just overhead. Knowing when you need a person to take care of specific tasks shows growth for your business.[25:23] Hiring for the RoleHiring an acquisitions manager or any other role must be out of need rather than want. If your business calls for a person in this role, then you must do it.Resources Mentioned:collectingkeyspodcast.comhttps://drinkinbros.com/Instantinvestorprogram.cominstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandan

What did you think of todays show??Do you have trouble dealing with tenants?Maybe you feel guilty having to evict people? Or it could be that you don’t know the approach to take without looking like the bad guy. Whatever the reason is, knowing how to deal with people, be it tenants or buyers, is an integral part of real estate investing.In this episode of Collecting Keys Podcast, we talk about the most effective ways to deal with tenants in a “cash for keys” situation. We also explore the attitudes, mindsets, and habits you’ll need when dealing with people in real estate.Here are some power takeaways from today’s conversation:Organize your scheduleKeep an eye out for unique opportunitiesBe consistent and transparentAlways look at the data when making decisionsIf you don’t know something, find someone who doesBe firm, fair, creative, and kind with tenantsEpisode Highlights:[03:07] Make Professional Investor DealsAn amateur investor may try to make a purchase in cash for a number that doesn’t quite make sense. That would not be a good deal unless you’re willing to solve the problem that exists there. You need a good eye for unique opportunities.[08:57] Look at the DataLooking at your data is crucial. The comps can tell you what the price should be and can be. They will also determine whether renovations are needed or not. You need to believe in the fundamentals of your assets and improve them.[19:48] Cash for KeysMany investors get scared away from buying properties with tenants. The problem is, there are so many deals to be had if you are willing to tackle the tenant issue. Learning how to do cash for keys to encourage tenants to move along is a great tool and one we use on a regular basis.Notable quotes from the Episode:“You don't have to know how to figure it out. You just have to know who does know how to figure it out.”“At [real estate’s] core, it’s just not being afraid to talk to people.”Resources Mentioned:collectingkeyspodcast.cominstantinvestorprogram.combiggerpockets.com/podcastinstagram.com/collectingkeyspodcastinstagram.com/mike_investsinstagram.com/investormandanConnect with us:Connect with Michael DeHaan on LinkedInFollow Michael DeHaan on InstagramFollow Michael DeHaan on TikTokVisit Dan Austin's websiteFollow Dan Austin on InstagramListen to more Collecting Keys episodesCollecting Keys Podcast on InstagramIf you enjoyed this episode, please leave a REVIEW and RATE it on iTunes, Apple Podcasts, and Spotify!

What did you think of todays show??Do you think real estate investing is a gateway to money and success? Don’t be fooled! Real estate can be a tricky investment if you don’t know what you’re getting into. Many roadblocks can impact your portfolio equity and value. The truth is, real estate investing is both a people business and a long-term investment. If you want to succeed, you need to be patient, strategic, and consistent.We here at the Collecting Keys Podcast are relaunching this episode as a reminder of what real estate investing is all about. We talk about the common roadblocks in real estate investing and the value of good properties. We also discuss the differences between cash flow and equity, and why you need a good balance of both. Here are some power takeaways from today’s conversation:Real estate investing is a people businessBalancing cash flow and equity is important for successIt’s better to consistently buy rather than speculate on propertiesIf it’s a good deal today, it will remain a good deal tomorrowEquity is more significant than cash flow in the long termEpisode Highlights:[00:40] The Truth About Real Estate InvestingThose in real estate investing like to talk about the wins and big earnings, but the truth is, this business tends to go up and down. Real estate investing is difficult to sustain long term and it’s impacted by several factors including insurance and renters. The earnings of the 90% who appear to be winning now will disappear after a while. Real estate investing is a people business, and you will meet disagreeable and difficult-to-work-with people. At some point, you’ll need to learn to stand up for your principles.[11:13] Knowing the Money ProblemRoadblocks can easily disrupt profits, which can then disrupt business decisions. If opportunities come, you’ll be forced to raise money and deplete business funds. Since a flipping business is capital intensive, it’s difficult to maintain and scale up. Properties may suddenly be worth less than what you bought them for in as little as a month. This is why it’s not advisable to borrow money. You can be sued or have relationships ruined.   Don’t be lured into a vanity metric. Some people use private money to buy 1000 doors at retail value but the equity is not theirs. [18:01] Difference between Cash Flow and Equity People will value different metrics based on the amount of financial freedom they have. Real wealth comes from equity accumulated over the years. You need to know your long-term and immediate goals. Even if your real estate investment is meant to be passive, you need to treat it as a long-term investment. Good quality properties that appreciate over time can be more significant than cash flow. Cheap properties may have good immediate checks, but net gains are usually terrible. It’s good to have positive cash flow, but appreciation is more powerful. This is why you need a good balance of both. Resources Mentioned:http://www.collectingkeyspodcast.comhttps://www.instantinvestorprogram.com/https://www.biggerpockets.com/podcast https://www.instagram.com/collectingkeyspodcast/ https://www.instagram.com/mike_invests/?hl=en

What did you think of todays show??Episode 25: Show Notes.Hello and welcome to a brand new episode of Collecting Keys - Real Estate Investing Podcast! We’re glad you joined us. Today we discuss the value of consistency in seeing results, and why the process of becoming location independent is dependent on the team you choose. We talk about the toss-up of choosing to split opportunities and fees with someone who can help you to grow, and list some of the indicators that can inform your decision of whether to flip, wholesale, or rent. You’ll learn why value-add is much more than just cosmetic, and why sometimes it’s much more beneficial to wholesale an outdated home. Find out what you can learn by looking at your appraisal value, and hear about the dangers of over-renovating, before hearing why your financial position is the ultimate indicator of which option is the right choice for you. Thanks for tuning in! Key Points From This Episode:Why consistency is the most important thing in business and audience-building. [01:08]The story that started with a cold call. [02:45] How our hosts entered a space where their business is being worked on 24/7. [05:50]How they have moved to being location independent. [08:05]The advantage of building a team you know and trust wherever you want to go. [09:00]How splitting opportunities and fees with someone can help you to grow. [10:35]The Instant Investor Program and how it can benefit you. [12:45]The condo with its own HOA. [17:53]Indicators that it is well-advised to do a flip and not a wholesale. [21:10]Why value-add is more than just cosmetic, for example, increasing square footage. [21:50]Why it can be better to wholesale an outdated home. [23:55]What you can learn by looking at your appraisal value. [25:02]The dangers of over-renovating. [26:45]Why it is different to approach a flip if it’s a once-off than as a career. [28:04]Why your financial position must guide your choice between wholesale, flip, and rental. [29:56]Why you should never try to force a rental property to be a deal by doing something too wacky. [30:41]Tweetables:“It’s amazing how quickly things can grow if you’re just consistent. Whether that’s business, whether it’s an audience, whatever that looks like, consistency is the biggest thing.” — Dan Austin [0:01:08]“That’s such a huge advantage, if you’re looking to do any kind of expansion, to have someone you know and trust wherever you are trying to go.” — Michael DeHaan [0:09:07]Links Mentioned in Today’s Episode:Instant Investor ProgramMichael DeHaan on LinkedInMichael DeHaan on InstagramDan AustinDan Austin on InstagramCollecting Keys PodcastCollecting Keys Podcast on Instagram