Better ROI with Land or Houses (LA 723)
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 Southern California.
Steven Butala: Today Jill and I talk about, do you get a better ROI with land or with houses? Or with mobile homes or with skyscrapers. Or apartment buildings.
Jill DeWit: Or apartment buildings
Steven Butala: Yeah. You got it.
Jill DeWit: Or gas stations, or industrial.
Steven Butala: Why do you guys just, did you guys choose the land over apartments because you get a worse ROI? I don't think so.
Jill DeWit: Good point.
Steven Butala: Is this all happen on accident for you, Steve and Jill?
Jill DeWit: Right.
Steven Butala: Were you just sitting around and kinda fell backwards into buying and selling land?
Jill DeWit: Yes, I just kinda ...
Steven Butala: Just hope for the best.
Jill DeWit: Yeah, I just ... what's it, swing hard?
Steven Butala: Swing hard and hope for the best.
Jill DeWit: Yeah.
Steven Butala: It's how I play golf.
Jill DeWit: Yeah, you know, it was either this or, you know, that cleaning service that we talked about. I don't know. Could you imagine?
Steven Butala: I owned a dry cleaner one time. I'll tell you about that in a minute.
Before we get into this, let's take a question posted by one of our members on LandAcademy.com online community. It's free.
Jill DeWit: I do remember you saying something about that, by the way, and every time we were anywhere near a laundromat you'd look at those coin machines like, oh, like your eyes light up. Like people put money in for this.
Steven Butala: So, I owned two laundromats. I was very young in my early 20s. And one with a dry cleaning service and then later in life I owned a dry cleaning drop off. Talk about printing money.
Jill DeWit: Mm-hmm (affirmative).
Steven Butala: But like the houses, every time we buy a rental house, we own it for about five months, do the math and say, “If I keep this rental house, I can sell it right now for three times what I paid.”
Jill DeWit: Right.
Steven Butala: "Or whatever the numbers are. Or I can just rent it out forever and just collect the money. I think I'd rather sell it. It's gonna take me like, I'll be dead before I actually make my money back."
Jill DeWit: Right.
Steven Butala: So we would just sell it. That's what happened with all those laundromats and everything.
Jill DeWit: I understand. All right, so here's David's question.
Hi everyone. I'm getting ready to send out my first mail campaign.
Steven Butala: Yeah.
Jill DeWit: I live in L.A. I know I don't need to market close to home, but if at all possible, I'd prefer it. I want to be fairly close to a big city and I also want a place where the land is relatively inexpensive so I can afford to get into the game, buying up multiple properties in a short period of time. What criteria do you all typically use when researching and choosing an area. Population?
