Land Diaper Change or Consulting?
Jack Butala: Land Diaper Change or Consulting? Leave us your feedback for this podcast on iTunes and get the free ebook at landacademy.com, you don't even have to read it. Thanks for listening.
Jack Butala: Welcome to our show today. In this episode, Jill and I talk about a land diaper change. Or is it consulting? Hmm. What's the difference? A diaper change, I haven't used that term in a long time. First, before we get into it though, Jill, let's take question posted by one of our members on the LandAcademy.com online community. It's free.
Jill DeWit: Okay. John asks, "As I'm preparing to send out my first offers to three different counties ..." Nice. "... I noticed a couple of properties on LandWatch for just above what I would be asking for in my mailer. I'm going to conduct more research on these properties and see why they appear to be so cheap. Maybe it's just a wholesaler trying to get rid of some property? I don't know, but I was just curious if you have had success finding gems like this on eBay, LandWatch, et cetera, and reselling them for a nice profit?
Jack Butala: What do you think Jill?
Jill DeWit: Great, great question ...
Jack Butala: Yeah!
Jill DeWit: ... and I think yes.
Jack Butala: Oh yeah.
Jill DeWit: Especially ... There might be another wholesaler out there, though, or somebody ... who knows who it is ... with property doing it wrong. They might be dropping the price when instead they should be making their posting look really good. I've seen some that have been sitting for weeks on some of these places to sell and they have no photos, no description, nothing to help the end user see the property and understand how great it is and why it's worth that price and all that good stuff. I could absolutely see scooping up something there. Jack, this is kind of how you started, too. You could scoop up something in one of these areas, dress it up, make it look pretty, have rocking photos, video, and make money off it.
Jack Butala: Yeah, exactly. This kind of this is ... When you get to our level, when you see a piece of property that's posted on, I don't know, any of places that you mentioned - Ebay, LandWatch, or anywhere ... Bid4Assests.com is a great place to buy property. Jill and I have had a lot of success there. When you see this kind of thing and then this thought pops into your head, "Well, I just sold a bunch of property, just like that for three times what they're asking." That's when you have some sales history experience or you have some competence about pricing. When you're brand new at this it's a lot harder to do. When you see something like that, you've got to get on the phone and find out what's going on. And, hopefully, the seller, they're responding ... The seller is in the situation that you're looking for by sending out the mailers. It's not so much about the real estate anymore. It's just the fact that they just want to get rid of it.
So, yeah. I love hunting down property. Jill and I bought a bunch of property in Big Bear, California ... If you've ever been there, it's amazing ... at a tax auction on Bid4Assets a long time ago and we killed it. Remember that? We bought those properties for five hundred bucks each and sold them for, like, ten grand each.
Jill DeWit: We bought them because I wanted them. Part of it. I mean ...
Jack Butala: Yeah!
Jill DeWit: ... it was a good deal, but I was like, "Hey, if anything, if it doesn't work out, I want this."
Jack Butala: Exactly! Exactly, but here's the downside. What you're doing now is ... Now you're going out and looking for property and getting sidetracked instead of what our whole system is based on. Send a bunch of offers out. The ones that come back, review them and buy them. You're not proactively really doing anything except reviewing data. This can be really time consuming and you can get hung up. Hung up and starting down the path of wasting a ton of time versus just sticking to the p...