Acquisition Diversification is Part of Real Estate Investment (LA 1315)
Transcript:
Steven Butala:
Steve and Jill here.
Jill DeWit:
Good day.
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 and humid Southern California.
Steven Butala:
Today Jill and I talk about acquisition diversification is totally and completely part of your real estate investment scheme. Jill's got an idea she just shared with me about what that diversification is all about and why it's important. Give us a little prelude.
Jill DeWit:
Well, we talked about this, this topic came up yesterday when we were talking and I was just thinking about where we are in our career, and how good we're getting at picking things and dropping things. Like if it doesn't work out, let's not do it. And what I mean by that is, focusing on business that you know something about, and everything that we do is real estate base, because even within real estate, you can have a lot of niches, which is what we're doing and we'll talk more about this, and having several niches helps me sleep really well at night because I don't have all my eggs in one basket.
I'm not doing one specific property type, in one area, in one price range. And I know people do, a lot of people do that. They just hone in and that has worked. But for me, I just, like I said, I sleep so well because I have all these different things. I know that if one goes a little sideways, I got three other areas over here that's going to take care of it.
Steven Butala:
That's about it.
Jill DeWit:
Thank you.
Steven 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.
Jill DeWit:
[Molle 00:01:45] wrote, "Good morning. I have a couple of deals under my belt, but finally ran into a little problem on my third deal in Arizona. I have a buyer ready to go, but the escrow found a false deed of trust with the seller."
Steven Butala:
Did they?
Jill DeWit:
How is that?
Steven Butala:
Did they?
Jill DeWit:
How's that possible?
Steven Butala:
Jill's going to explain to us in a minute.
Jill DeWit:
And they-
Steven Butala:
The mistakes that escrow agents are capable of.
Jill DeWit:
They can do, yes. "And they might need to do a quiet title action and get the attorney involved. Given that this is my first time dealing with this, any advice on what I should do? Should I help pay for attorney's fees or anything else to get the deal done? Is it going to take a lot more time, like months? Is it even worth it or should I back out? Any advice helps." So I see ... Do you want me to read-
Steven Butala:
No.
Jill DeWit:
Okay.
Steven Butala:
No. This is a hot topic on land investors. So what Jill's referring to is just, I put in ...
Jill DeWit:
Some of the comments.
Steven Butala:
Just the comments, just to get a feel for what the ... It's not necessarily my opinion, but it's the opinion of other people on the forum. And just to give you a gauge, quiet title actions are amazingly profitable if you know what you're doing, the same way that restoring a '68 Camaro can be amazingly profitable if you know what you're doing, I do not know what I'm doing in both of those situations. So, I stay away from it. Quiet title simply means this. There's a piece of property somewhere, and somewhere along the chain of title, the ownership, how it was conveyed, is questioned. There's a cloud in the title, so to speak. That's the language in the industry.
Jill DeWit:
Can I say, it could be a spelling error. It could be something even that minor. I just want to throw that out there for people. That's not like a catastrophic ... It could be a missing deed, like from here to here, or just a spelling little thing. So, thank you.
Steven Butala:
And so, a quiet title action is meant to remedy that to the satisfaction that, Hey,