Multi-Family Deal Lab Episode 008

David interviews Don Goff

Speaker 1: Welcome to the multifamily deal lab podcast, where we dissect a deal before your eyes and ears. So you can discover the strategies and tactics that got each deal to the finish line strategies and tactics that you can put in your own toolbox to get you to the closing table from sourcing the deal, raising due diligence to the property takeover. Multi-family deal. Lab shows how you too can get the deal done. And now here’s your host. David Lindahl, everybody welcome to multi-family deal lab. I’m your host, Dave Lindahl

Speaker 2: This week. My guest is Don Goff. Don has been a friend for many, many years. We met, jeez, I don’t know when Don, right Right. But when I first started teaching back in 2003, 2004, go into real estate investment groups in the area during, after one of the presentations I had done and his partner Craig asked me to have lunch. And I was like, yeah, sure. Let’s have lunch. So we had lunch together and they were telling me about their business. They were mainly wholesaling, a lot of properties. They’re still working in corporate America. Well, seeing a lot, doing really well. And I asked him, what’s preventing you from, do you need the money That’s that was my question. Do you need the money And they’re like, no, we, you know, make pretty good money in corporate America. Did you have savings Like, yeah, we’ve been doing all these flips.

Speaker 2: I said, well, why don’t you start holding them You know, do the repairs and then get the brunt of the money in the back end, you know, a big chunk. So that was a life changing advice, right Why don’t you tell what happened after that totally changed everything. Because now instead of making 5,000, $10,000 a deal, we’re making, you know, 20, 30, $40,000 a deal. And, and as you mentioned to the, Hey, that’s your value getting the deal. I mean, once you have the deal with the rest, that’s the, that’s the easy part. You already have it in your hands, hold onto it. If you can, if you have the money to take it down and private money, take it down wholesale, you set the flip, flip our, equation because we’re rehabbing one and wholesaling three, you said money rehab three and wholesale one.

Speaker 2: So if your money gets tied up, just wholesaled out instead of passing on the deal. So you still make money on it and go from there. And that was life changing. We were able to get out of corporate America because we had to replace both our incomes. Right. And then that led us, you know, to flipping more properties and then getting into multis and living your life. Yeah. I don’t know, like actually virtually. Yeah. So then he started coaching for us after success and multifamily. And you just had successful single family business all those years. I started coaching first. It was a 2006, 2007. Six. Yeah. As soon as, as soon as you brought it in house, we started right away. It wasn’t, it’s not that much difference as far as the whole process. I mean, there’s obviously some differences, but you still need to be able to go out and get properties.

Speaker 2: You still need to be able to go and get money. You still have to get it in the contract. You still have to make offers. It’s just, you’re changing all the details, but the steps are pretty similar, no matter what kind of real estate you’re doing, that’s what we found. Exactly. And then every little, every piece of real estate has its niche. You know, like single family multifamily, again, all of that. So I brought Don on the call today. so we could talk about, he’s been coaching for us since 2006, very successfully students have a lot of great results. but not everybody, not everybody is successful. So even though we’ve got this program, that’s proven it works just like our home study system proven works. And it’s worked for, you know, at this point, thousands of people yet, some people aren’t successful. So what I wanted to do is have Don come on and talk about best practices. What is it that the things that those that are successful are doing that those that aren’t successful are not doing. And I’m happy to say that we have more successful people that aren’t successful, but then again, everybody defines their success in different terms as well. So we can’t really define, you know, anybody,

Speaker 3: I think everyone’s successful that joins the program. And one way or another, whether it’s personal development or real estate, the business development, because the thing is they go hand in hand, right So, even though they might not have gotten to that ultimate goal, they still learnt a lot from us. As far as that, they can actually implement an Elyse, like, be more organized time management systems and so forth that you can implement to any business. So I, I consider it. I struggle with that. To be honest with you, Dave, at the beginning, sometimes when people didn’t have success to it until I was talking to him, one of my business coach, he’s like, well, how do you define success He said, if you change that life, that life is better for them after they leave the program. Just because you did everything, you’d coach everyone the same way. They might not have taken the actions they’re were supposed to. That’s not on you, but you still gave them every, all the information, same way you give to someone else and you still change their life. So I consider that success.

Speaker 2: Yeah, absolutely. So, a big thing is, is the head game, you know So I mean, we teach on the fundamentals on how to buy real estate, but then you’ve got that big thing between your ears. You know, the preventer. Yes.

Speaker 3: Well, that’s the first thing I wanted to talk about is mindset because, and I tell a lot of my students this, and even when we’re on some of your stages, you know, sometimes you get into do your why’s and your goals. And everyone’s like, I want to meet. I want to meet, you know, they want to talk about the deals, the analysis. You’re never going to get to that, unless you have this straight, you know, we all have stuff going on in life. We’re all adding this to our lives. You know, when we’re getting in, whether it be from corporate America, you’re in another business and you have to get that right. So the best practices coming right out of the gate for me is mindset. And that’s what I’ve seen. And what I mean by that is having a why you need to know what’s driving you because if you don’t know what’s driving, you, you’re gonna have some challenges because it’s not all sunshine and rainbows.

Speaker 3: You can make a lot of money in real estate, just like everything else. It’s not immediate gratification. So you need to have your, why that’s what drives you every day to do better. Or if you have a down day is going to keep you to move forward and people that, the best practice is to write that down, write that down and write your goals down. Because unless you’re writing things down, it’s more of just a dream you’re dreaming about it. You don’t have a plan in place. So that’s one of the biggest things. And at the beginning of it, with that, I say, let’s set a foundation, right You have to have that foundation first and write it down. And, but a lot of people coming in never had that development before. So they think it’s trivial or always time. They just to start going, which is good. I like action takers, but you know, you don’t want to, you want to be efficient with your time and you want to have success and you want to have a plan. And that’s really how you can actually get your plan to work better is by having those goals. Because now it allows you to say, Hey, am I hitting my goals And I might not hit my goals.

Speaker 2: So the first step is to start with that game and, figure out that why. So what are some other best practices that you see successful people do And then what people don’t do

Speaker 3: Well managing their time is one of the biggest things. A lot of people don’t have a plan, so they don’t manage their time correctly. We all have a ton of ton of things going on. So one word I want you to take out of your vocabulary is busy because busy, busy, busy. I don’t believe in it. Everyone’s busy. Tony Robbins, what does he have A, he has like 15 companies or something. So this business is just a, a, an excuse in my book. It’s not a priority, which is okay. If someone tells me it’s not a priority, it’s okay. Cause something else, if it was my kids and they were sick and they were in the hospital, that’s a priority to me. So I didn’t get it done. It was a priority. So I’m passed to my family. It was a priority, but going to a cookout, going to this it’s that that’s a bigger priority than working on your business.

Speaker 3: Then that’s okay too. But you can’t say you’re busy. You know, you have to make things a priority. So that’s the first thing. And then it goes hand in hand in that is time management. And with time management, one of the biggest things is setting. I believe anyone can do anything for 90 days. I don’t know about you, Dave, but you know, when you set a goal 90 days, you can do anything. If you really set your mind to it would do agree. Absolutely. So I like to start off with those quarterly goals. Like you have your year goals, you have your visionary goals, your long-term, but really focused on that. So people didn’t do 90 day goals, whether it’s, you’re trying to lose weight or for prove your health, when no matter what you do improve your marriage, no matter what in life, those 90 day goals are really key because it gives you that set amount of time.

Speaker 3: You have four quarters a year to really focus and maybe had a bad first quarter. So now boom, to start the second quarter strong. So what I like to do is take that and the again, best practices is using the R equals C times F for them. That’s what I’m really leading into here that you shared with us. When I first started, I learned it from you and revenues equals competency, times frequency. I use it. I know you used it to build multiple, multiple businesses in. So have I, because the more you build your skillset and the more you take action, the faster your revenue is going to grow. Not either one. If you build up either one, then your, your revenues are going to grow. So I like to use it personally. You know, some people like to use on a weekly basis, a two week basis.

Speaker 3: I personally like to do it on a 30 day basis. Your 30 day R equals C times F because what that does again is now you have your goals. You have your plan, you know what you want to be 30 days from now, where do you see a business in 30 days And then what you do, and I’m going to, I’ll get back to time-blocking. I’m going to bring this back in a second. You use that. And then you look at it every single weekend and you say, okay, what am I going to knock off I have four weeks at four time blocks that I have to, to reach these, to get all this stuff done. So every weekend you look at it and then what you want to do is now you’re going to have your weekly goals. So best practices, every single weekend, you’re looking at a sheet and you’re planning your week using your RN equals C times F form. And then now, you know what your week’s going to be When are you going to do it Get it on your schedule. Best practices. When the best things you can learn from this call, there’s a lot of things that will content when it cover, but get it on your schedule. I know for me, I don’t know about you, Dave, but it’s not on my calendar. It doesn’t happen.

Speaker 2: Yeah. That’s absolutely true. It’s hard to stick everything inside that calendar. Sometimes, you know, there’s two different types of people. I know you’re more analytic than I am. I’m more of the creative type. And, when I see all of a sudden, my calendar is like completely filled up. I feel like, I feel like I’m so bogged down. It’s like, damn man, I have no free time to think. I’ve got to. I set myself. I give myself two days during the week. I give myself Tuesdays and Thursdays, no meetings. You know, it’s a create those two days of creative, like, you know, create a, my, my deal, a deal analysis that going after deals, we’re working on my businesses just time. But Mondays, Wednesdays and Fridays, they’re fricking jam meetings. I want to get back to our equal seat times right now that has the ability to everybody that’s listening right now, live our mentorship, students and mastermind.

Speaker 2: so there’ll be the ones asking questions, but the, the most important part of R equals, C times F is the F  – it’s frequencies. it’s how often are you doing those key things that are going to bring you the things that you want You know, that’s what you do. You just dissect, what do I want deals Okay. If I want deals, then what am I going to get deals Well, maybe I’m going to get it from talking to brokers or I’m going to be doing direct mail. Okay. If it’s going to be talking to brokers, then I’m going to be doing, I’m going to be talking to X amount of brokers per week. I’m going to be sending them out X amount of direct mail pieces per week. And as long as you do those frequencies, it works, you know, your competencies, you’re going to be, you’re going to be good at stuff.

Speaker 2: You know, I’m going to be good at stuff. Somethings you should be good at re regardless, you’d be not good at not like underwriting underwriting that like you hate underwriting. You know, you’ve done so many deals and he it’s like, yeah, he in underwriting is so analytical. It’s so time consuming, you know, I mean, I’d much rather be working on the deal, you know, point making the contacts, arguing the brokers, the underwriting part of it. I don’t like it, but I learned it and I know it. I know it inside out. I know how to find those outliers. And I know when there’s a problem and that’s what I need to know. So even though I don’t like doing it, I learned it so I can delegate it off. I give it to other people. So that’s what you get to really understand about your competencies.

Speaker 2: You’re not going to be good at everything, and there’s going to be some things you just don’t like to do. And if you don’t like, and the other one is when you’re talking to your, your investors, you know, if you’re the head of the company, you’re the one that’s going to talk to the investors. Even the, you may be an introvert, you might hate it, but there’ll be maybe a point where you don’t have to do that anymore. But at the beginning, you need to understand it and do it go out and do it. but frequencies is like, that’s the key. Every time I’ve ever run, it owned a business. When I first learned this platform of our eco C times F realizing that you could be successful in anything that you in life, if you just apply this formula. I also realized in my other businesses that I would run my employees for this formula and those businesses.

Speaker 2: and then I would find that they would fire themselves because like you were doing it on a monthly basis in those frequencies were key. So they would actually sign a con, we call it the contract. They would sign a contract every month where they talked about what their goals were, what they’re going to work on, on the competencies, but their frequencies, what they’re going to do to get that goal. And they would come back and they would say, you know, if they didn’t do their frequencies would be like, okay, what happened You know And just listen to the excuses and say, okay, that’s the last month. Now let’s focus on this month. Don’t even talk about that’s a BS excuse or whatever, you know, blah-blah-blah, or don’t even give any, not even a criticism. It’s just, okay, that’s in the past, let’s focus on the future.

Speaker 2: You do that the next month. And we’ll get the frequencies done by the third month. That time that meeting rolls around on the third month, they’re gone, they fired themselves. They left the company because they don’t want to face you again, on that third month, unfortunately for, you know, people that are running this on themselves with they’re running it through a coaching program, you know, you typically don’t get fired from a coaching program and you typically don’t fire yourself if you don’t get it done, but you’ve got to look at it in that aspect, you know, is that this article C times F the F who’s your boss. And if you commit, we used to have people sign these, you know, so it was more of a, more of a commitment. And, I’ll tell you the people that, that follow the army could see times out, they were very, very successful. They all did well.

Speaker 3: Well, Dave, I mean, what I look at is by teaching them that form and using that form, it gives them a tool, right But anything that we give our clients, it’s not homework, it’s a tool we’re helping you build your business. You don’t have them work in business, right You have activities you need to do to build a business. So it’s a tool that they can go on and hold themselves accountable if they down the line, when they’re doing it on their own. So it’s a great tool for that as well. But also what it says, like, to your point, Dave, is that when you look at your schedule and it’s already full, well, this is how by time-blocking, you don’t set yourself up for failure. If your schedule is already full Dave, you’re either going to, if something new comes in, you either got to make it a priority and bump something out, or you have to not make it a priority and say, no, that has to get bumped to next week. But what a lot of people do, they don’t know that cause they don’t keep a calendar. So then they, Jim Hampton and then they didn’t get the things done. They wanted to, and then they feel like they failed and they’re down on themselves because they didn’t accomplish what they wanted to when they weren’t in the first place.

Speaker 2: I absolutely agree. And here’s the thing. When I say that my Mondays, Wednesdays and Fridays have full the, it starts off being full with the three meetings that I have during those days, the three teams that I have to be with so I can get the stuff done that I want to get done. Those take the priorities in those particular days, and then I’ll schedule stuff in between them. But you’re right. So that, that’s how I do my time blocking. It’s like, all right, they’re already in there. You know what we’re going to talk about I don’t know, but I know I’m going to meet those people Wednesday and Friday. So yeah. So that’s a little distinguishing between time-blocking and then letting the things show your calendar.

Speaker 3: Yeah. Well, and that’s what, I mean, what you were talking about a little earlier kind of feeds into the next thing I wanted to talk about for best practices is really focusing on two things in this business that you always want to do. The people, the best practices for this business is to always be focusing on two things, which I’m sure you still do, even though you’re doing larger deals is you’re focusing on finding deals and finding money. That’s really our role. You know, we can delegate a lot of the other stuff out, down the line as you learn it, but you need to be focused on those two things. You’re the contact, it’s a relationship business, which I’ll cover that too in a second. But that’s the main thing you want to be doing if you’re not focusing on those two things, or if someone gets overwhelmed with something, you always want to go back to those two things. Am I doing any actions to find deals And am I taking any actions to find money And when you do that, that’s how that’s a great practice.

Speaker 2: Yeah. Perhaps that’s go right back to the ass. Yeah.

Speaker 3: So, and that being said for both of those, for both of those things, you want to have really, it comes down to relationships, right I had one thing I want from you, Dave, is you always say, we’re not in the real estate business, we’re in the marketing business and those are two marketing activities. but I also say we’re in the marketing and the relationship business, because we’re, we’re going to be in order to find the deals. What are we teaching you to develop relationships with your brokers So you get those pocket listings, you get those off, we don’t buy retail. We don’t buy top dollar. And thank God we don’t what’s this just happened in COVID right. That we have cushions in there built in. We teach you conservative ways to buy. And, but in order to get those deals, you get to build relationships, to get people, to invest with you. You have to be able to build relationships. And it’s funny because on a lot of people join us and come in, they think they’re going to go to one meeting and the money’s going to come flowing in. You’re going to those meetings to stock the relationship. And that’s when everything starts rolling. If you never go, you never stopped the relationship. You never call your brokers. You’re not starting the relationship because then it can’t go to the next, next level from there.

Speaker 2: Yeah. So it is, it’s a, it’s a, a, it’s a journey, everything. It all starts with the first step.

Speaker 3: But the steps though is, you know, when you break it down to this level, there they are, easy steps to follow and to go along. And you know, so I’m going to talk a little bit about best practices in both of those areas and where you kind of want to start off with both of those. So the first one,

Speaker 2: I just want to say one thing for those of you that from our outside of new England, I’ve got a Boston accent, even though we both drop our ours. If you will notice that there is a difference in the way we say the rest of our words,

Speaker 3: I don’t even talk to an Island anymore. I lived in Boston for five years. I looked at Wister, then Rhode Island, everyone, my Rhode Island friends make fun of me now. So I can’t figure it out. I just talk the way I do. So as far as the first thing we had broke is did you want to be a savvy investor And I can’t tell you Dave, how many times And I love paradise every time is that, Oh my God, I called my broker. And he’s like, they were surprised how much knowledge I have affidavit. What’s the first multimillion bootcamp. And they using the scripts that we have. But that’s your first goal with the brokers and the best practices to become a savvy investor. And what I mean by that is use this, the talk tracks. I don’t want to call them scripts because no one wants to follow a script.

Speaker 3: You want to follow a talk track and follow the talk, track, use what we said, but also do your research, do your homework. You know, you want to be able to tell someone why you’re interested in that market. You know, you’re not just calling to say, Hey, help me find some deals. Why are you even calling the first place I’m interested in market Cause X, Y, and Z. And then what you want to be able to tell them, as you want to be at a state I’m potentially interested in your market, because it’s a psychological thing. When you say I’m potentially interested, you’re not saying I want you to find me deals. You’re not coming from a desperation. You’re coming in. Hey, I did my research. I want you to tell me more. What do you see on the ground out there And because I might be potentially interested in your market, it kind of taken a different role.

Speaker 3: Would you agree, Dave, like kind of taking that approach Yeah. So now you want to do that personal relationship. You know, you want to build a commonality that we always talk about. And one thing that I do a lot and I, I kind of drive some people and not say things, especially my friends, because I asked a lot of questions. I want to know why I’m curious. Right So what you want to ask a lot of questions, to the brokers. That’s how you’re going to get to know them. They’re kind of telling you how they want to be talked to and you can ask, right Personal, well, how’d your kids or what are you doing this weekend or what I saw you on You know So you haven’t, you haven’t played sports. Yeah. Things like that. Yeah. But you know, especially with COVID right now, you know, you’ve changed with the times, right

Speaker 3: And I just put a book out there who moved my cheese. I made a post the other day on that. And because things change over time. And with this it’s one of the best times you can be doing this because you’re going to ask the broker, how’s your family doing How are you going to get to know them Personally Is anyone been impacted severely by it Are you talking about personal things That way, it’s a great way to be able to introduce it into the conversation. But then you’re also going to want to talk about, they might say, Hey, I had a vacation I was supposed to go on and maybe it was a rule book. And then you, maybe you went there. It just opens a door for commonality, best practices. You’re always looking for touches with the broker. You’ll always look at a reason to follow up, whether it’s questions on a deal, something that happened in the market, meaning anything you find on COVID right now, share what your brokers use.

Speaker 3: These calls, you should be on every single one of these calls. I hammer on my students to get on these calls every Tuesday, especially right now, because you can regurgitate anything you want on these calls and say, Hey, did you know about this Did you know about that And now you provide a value to them, right That’s what people want. They want value. So if you want to use that to your advantage and you know, think of the holidays we have every year you have what, five or 10 times a year that you can actually call them to talk about that holiday. Maybe, you know, they’re a veteran, maybe it’s Christmas, right Three months as a holiday, except for one August. There you go. That’s it. I have my birthday. They say, that’s the holiday in August. So everyone write that down, stays birthday, send them cookies, candy.

Speaker 3: You know, he’ll put on the August 15. So, you know, but that’s what you want to do. And the bottom line with brokers is really to, I mean, eventually you want to work up your goal to be actually meeting them. Face-to-face and I know everyone just did OSI right now because of the current affairs going on. But you know, let’s talk about a normal situation. It’s not this, with COVID then I’ll talk a little bit about that. But the normal situation, what you want to do is you want to try to get three. First goal is to get three to five good brokers, your team. That’s not the max, that’s the minimum in that market. But what, you know, you have three to five that you might want to work with. You know, you kind of did. It’s a sorting process. You want to talk to 10, you find three to five.

Speaker 3: That may be, you know, two to four weeks of you calling in. After that, let them know, Hey, in the next four to six weeks, I’m going to come to the market. That’s a best practice. Why Because now you just plant it in their head. They’re gonna take it more serious because a lot of people don’t go to the market and you’re trying to buy million dollar deals, a $4 million deal. So you just planted a seed, say, Oh, they’re going to come. They’re more serious. So now you get a little bit higher on their list. Then you go to the market, you know, you follow up with them in for three to four weeks. You let them know when you’re going to go off that. Then you go, and now you put a face with a name and Dave, I’m sure you can comment on this. How important that is to go to the market. And really at that point, because now you can ask them, Hey, what are you getting the pipeline

Speaker 2: Yeah. There’s two things I want to comment on. First of all, is the fact that you can really establish a lot of rapport and a relationship on the phone prior to going to the market. And somebody has asked me a couple of calls ago, you know, what can you do now Nobody’s you can’t really travel in and meet people. It’s like, well, this is the way we do it anyways, at the very start. When we’re, when we’re meeting new people, because you want to, you can build your whole team. Cause when you go to the market, you want to have your team ready to meet. You don’t want to just go there and start building your team. You want to get them all lined up and you know who you’re going to be visiting. It’s a, there’s this two day cycle. You’re in mentorship that you’re watching and mastermind.

Speaker 2: You know, you just go into the mentorship website and you’ll see the, the, the meeting planning, you know, it’s a, it’s a two and a half day cycle. When you go in there, you’re telling them the people that when you’re coming, you know, you meet with the brokers. You don’t view properties with the brokers, unless there’s a hot deal there because that takes up too much time. you want to be seeing the properties in case somebody says that, you know, Hey, can you put an offer on this property Have you seen it Because that’s one of the things that will get you eliminated from a deal. If you haven’t seen a property, you know, before you’ve gone to a market and that can even be overcome by just by saying, you know, once you get your team members established, one of my team has gone and seen that property.

Speaker 2: So that’s an easy one to overcome. But when you’re planning it, you want to meet as many people as you can. And the amount of time that you’re going to be down there, and you want a view from the outside as many properties as you can to drive buys with the drive-throughs, but you don’t really want to tour them because taking an hour, an hour and a half, two hours to our property, what was your original question I forgot. I went on this long tangent just about talking to brokers face to face. So yeah. So you talked to them face to face, but then yeah, then you get there and you talk to them and then they see you as a real person and you take them out to lunch or you bring them something about the commonality that you, that you established. And now you’ve really, you become friends with this person and you become very viable.

Speaker 2: And before, you know, you’re going to have a deal, deals really flow after you, after you reach a market, not to say that you can’t get deals prior to going to a market, which you can, but there’s going to be a time when you’ve built rapport. They give you a deal that works. You’re going to have to go there and see that deal. You’re going to want to go because your investors are relying on, on your take on that particular deal. So, but the sooner you can get to a market, the sooner you’re going to do deals. Well, the thing is too like, three to four

Speaker 3: Months ago, you know, they would not, a lot of brokers have done a zoom right now. Everyone knows how to use zoom with a majority. So now you want to start bringing this into your process because if you can put a face to face, people get immediately a different field for people don’t even go to the market and weed. Some of your brokers out, you might think you have four people you want to deal with. You might drop off two after you get there and meet them and really get to know them and so forth. But that’s what you want to do. Anyway. You want to eventually get the, I have a lot of students, one of the biggest questions I get, they want to go right away. Like you said, they want to go right away. But it’s, to me, it’s a waste of time because they don’t know anyone yet. You don’t want to have a good three to five brokers, at least. So now they know who you are. You know something about them. Like Dave said, bring them something, whatever

Speaker 2: Management fees, lender who might be in the area, attorney, closing attorney that might be in the area. All these people are on your list. You know, the attorneys will bring you to the fanciest restaurants. They always planned dinner with them. These are the little things you learn over the years

Speaker 3: Broke is really mine. And then that’s really, what’s going to get you to the next level. Cause that’s what we’re always trying to do with trying to get better. That should be a goal every week. Right Get better and get better on it. Now, private money. I like to try to break things down as easy as possible over the years. So, you know, then coaching, I keep breaking down more and more because sometimes a lot of people get overwhelmed with a lot of information to starting something new. So I make it very simple. I said, you’re going to be raising money from people, you know, or people you don’t know. They, they fall into one bucket or the other, right. There’s no in between. And we have different best practices for each. When you know, people you don’t want to, they know what you’ve been doing for your whole life.

Speaker 3: They know your career, your background, what you’ve done. So the best practices when you’re dealing with them is you really want to, first of all, be excited about what you’re doing and be able to share. They know if we just went on a trip to one of the, you know, one of the seminars or maybe you’re going to visit a market, you know, you get to tell them how I just got back from, Texas, or I just get back from North Carolina and then you just tell them about it. And you’re excited and what you’re doing, how you’ve grown this business on the side of your job, your current job and why you’re doing it. A plan B, you wanted to have a plan B, but let them know you’re serious. Hey, I’m part of a national mastermind group that studies market cycles. I’m part of, I have an advisor on my team.

Speaker 3: You know, I hired an advisor because I want to know this industry inside now, because I know you again, they know you’re not a real estate expert, but now they’re like, wow, I want a plan B Oh, Joe’s really taking this series. He’s hiring advisors part of a national mastermind group. So that’s a great way to be able to approach your friends and family pretty easily. Cause that’s one of the biggest things, right I know the mindset thing back to that. What do people think they’re asking for money, but you’re not, you’re sharing an opportunity. We have a vehicle at the end of the day, we have a vehicle. We have a vehicle for, for friends and family or other people to actually either make a high return on their money or to diversify their money and as a boatload of money that’s out there. So we’re just looking at as option. And as, as, as we’re seeing right now, a lot of those people that said no three months ago, because they’re making a killing in the stock market, they just got to wake up, call that they need diversification. Right

Speaker 2: Yeah. That’s typically when the phones ring, the hardest is after a big drop in the stock market.

Speaker 3: Yeah. So it’s now they’ll know and now they’ll pay attention because they know they want that diversity. Yeah. Everyone can make money in the market when it’s going, everything’s going good. But you know, you want to say, don’t take all your winnings, put a portion of your winnings aside and you’re good. So what you want to do with that. So that’s the people, you know, that’s how you’re going to be introducing you to them. Now you’re going to have people that, you know, you have three or 400 people in your phone. The average person does. So now what you want to do with them is you’re not gonna call them right away and talk about real estate. You’re gonna reestablish a connection or you’re gonna reestablish use social media to reestablish a connection, start commenting on their posts and a friend requests them. And then you start the relationship.

Speaker 3: You do that at the beginning, when you’re first starting out by three or four months in, you could have another, a hundred people, friends on Facebook now that you might get approached them. Maybe they’ll see what they’re doing. If you do win some type of type of marketing on there. So that’s what you want to do. You don’t want to just jam it down the throat and be all excited and tell them about all that stuff. The first time you called them and Oh, by the way, do you want to invest in my deal You haven’t talked to them in four years, that doesn’t work. No. So the last thing is the, as far as private money goes is really the expanding your network and what you really need to do to expand your network. Because remember we have people, we know people, we don’t know if they fall in those two buckets is you need to be getting out there or you need to be expanding it on social media is one way, but really want to be getting out there and have a plan for yourself.

Speaker 3: And you want to be able to, you know, have to go to two events a week. And Dave says it all the time that you want to be talking to people every week when he does the Tuesday calls, as you want to get to two events, because you know, you’re gonna be able to build relationships with them over time at all those things. So get them on your account and go to two week in. You want to do that by having some goals, how many people do you want to talk to every week So that way you can know what are you shooting for So if you want to talk to 30 people a week and you’re not going to any events, well, how’s that going to happen And it’s not. So you’re setting yourself up for failure again. So, you know, and then if you have any friends and family, any, any kind of interaction with them or any events I should say, birthday parties. And you know, during the course of the year, that’s all bonus, right Because again, you’re gonna be meeting some of their friends, maybe from their local neighborhood. It just gives you an opportunity to network.

Speaker 2: Yeah. It gives you up to, if somebody say, what have you been up to And the tone that you’re looking for, what do you do What do you do

Speaker 3: I mean, that’s the key thing. I mean, everyone that starts a conversation, they’re going to go there. One of the first things they would go to, what do you do You know So that’s, that’s a great, a great way. So the more people you’re in front of the more chance you have of raising money, because there’s people out there, obviously everyone wants to make a higher return or they want to diversify their money. They just going to see this as the right vehicle. And you don’t want to talk to these people at length when you’re at these parties or whatever. You just want to have a conversation say, Hey, you know what I know you want to talk to a lot of people. We’re here for a party. Hey, let’s exchange cards. And you know, I’d love to take you for a cop, a cup of coffee next week, or this week, you know, what works better for you at night or, you know, on the weekend. And now

Speaker 2: That they want to be closed, you know, they want more information on the deal just by the questions that they ask,

Speaker 3: What exactly they see engaged, right

Speaker 2: That’s the best part of it. You know, when they say, what do you do And then you explained to them excitedly, you know what you do with real estate you’ll know by what they ask you next, whether or not they’re interested or not. And if they are, you know, gonna start asking you some questions and you’re going to answer those questions very intelligently because you’ve been trained. and then the next thing you know, either they’re offering you out or you’re offering them out and that’s the start of relationship. I know you got a hard stop. Date is one. Yeah, I’ve got to go. Okay, well, Don, thanks for coming onto the call. I appreciate it. Yeah. Thanks everybody for joining us on this particular call and, as always, for a mentorship students, your, your homework is to do two things, go out there and get yourself two offers, but two offers in and then get yourself into two networking situations. If you simply do two, two, you cannot help but be successful. And we’ll see everybody next week on deal. D-Lab by everybody. So you guys,

Speaker 1: You’ve been listening to the multifamily deal lab podcast, where the deals get done. If you’d like to learn more visit Dave’s free book.com and don’t forget to leave a five-star rating and review and hit that subscribe button. So you don’t miss an episode. Thanks for listening.