Hey, guys, welcome back to another episode on the REI network show. If you are watching on YouTube, make sure you like and subscribe. We’re going to have a ton of videos coming out. And again if you’re watching on the podcast. Welcome back. Make sure subscribe to make sure you don’t miss any of these episodes today. I want to talk about the benefits of virtual wholesaling. This is something I’m super passionate about. This is kind of the strategy that I’ve done from day one. This is the one I think is one of the best strategies out there for a number of reasons. And I want to talk to you about things. If you’re not doing virtual wholesale and we’re going to look at that, you know, the pros and the cons and the systems that you need in place to be able to do it.
Right now, I’m travelling in my RV. We’re in Arizona. As you know, I live in Savannah, Georgia. And we’re gonna be going off to Phoenix, Sedona. Working our way back through Louisiana, New Orleans, Florida and then back home. We’re probably going to be gone for four or five weeks and I’m super excited. I’m working from a Starbucks right now to get some good Internet, and I love it. I love to be able to travel. And that’s kind of why I like virtual also because it allows you to do that. So let’s talk about, you know, why virtual? Why not in your own market? You know what are the pros and the cons of that?
Because a lot of people say you need to be boots on the ground. You need to go and meet with the homeowners. You need to get face to face, be able to show your buyers. And yes, there is a time and a place for that. I’m not going to lie. Okay. Face to face sales is always better than over the phone. But in saying that, the way I look at it is let’s say you’re going to go and look at a property that’s 45 minutes away. You get stuck with the seller for an hour. Okay. Then you got a 45-minute drive home. You’ve lost pretty much two and a half hours of your day to go and get one sale that’s probably going to get a no.
The way I look at is how many phone calls can we make in them two and a half hours to be able to get contracts. And that’s what I look at. We know this is a volume game. It’s all about how many souls you’re talking to, how many offers you’re making. A lot. Follow up your leads. So as long as you have an Internet connection, a phone line, okay, then you got to go. And you can do as many as you can. Now, there is an art to it. Obviously be on the phone and he’s trying to position things definitely. And get your mind around, not go in and see in the house is when I got started, I was scared to go into the house because I didn’t know. I don’t know anything about repairs. Okay. I don’t know how to flip a house. I don’t know how much a roof costs. How much the paint is all these other things.
So for me, it was easier to be on the phone than do that because again, my position on the phone would always be, hey, Mr. Salah, I’m when after come and see the house, I’m going to have to ask you some questions. I’ve seen the house yet. Can you tell me a little bit about it and gather that you have to do an inspection? So once I gather that information again, I’m looking for the four main pillars when we’re in them conversations. Okay. Which is their motivation situation, which is the timeline, how quickly do they want something to happen? The price point that there are and the condition of the property. And once we’ve got that on a virtual level, we’re talking about virtual wholesaling right now.
But again, we have some great strategies that you can learn on the way of creative finance to make to meet multiple offers. Remember, only do that when you’re ready. Let’s go. Master, one thing that’s going to be brilliant. The one thing. Let’s go make some money and then you can get into creative finances, start financing, start utilizing your leads to get results. Okay, so that’s just one of the things that you can do, obviously on the virtual level. More phone calls, more offers, more follow up. And again, you don’t have to go and see the house, which means, guess what? You can do it from anywhere.
One of the biggest things to get your head around, guys, is that you aren’t going to the property. So this doesn’t matter if it’s a mile down the street or if it’s in another state, because as soon as you are determined and you stay disciplined to not going out to the property, not one never says that there’s a big difference. And we explain there why then you can do this business anywhere. So once you are not personally going to walk in that property, then you are now virtually. Okay. And then we can put things in around it to make to help you just for you to get deals done. Okay. So, for instance, what could we be doing when we go virtual? Who might we need to help us?
So we could get a runner. So what’s a runner? A runner, someone that you can hire 50, 50 bucks, 25 bucks. Okay. That goes out. Maybe picks up a contract for you and gets it signed. If they’re elderly, they don’t use dockside. Maybe it’s to get pictures, a walk-through video, put a lockbox on. All these things that you can use a runner for. You can advertise on Facebook, marketplace, Craigslist for this family members, friends, whatever, to go out and do these college kids, Uber drivers. And you can hire them to go and do that.
And then once you’ve done that, you’ve got a lock box office, empty, vacant. You can send your buyers and to view the properties, you’ve got the pictures now to send out to your buyers. You’ve got the video and you don’t actually need someone on the ground. You can just hire a runner. Depending on how you want to set this business up, we know that there’s multiple ways of running the business on a virtual level. How big do you want to build the business? You know, for me, I don’t want a big office. I don’t want to talk to hassle. I don’t want to. Team, I want to be able to do deals from anywhere. Working from my R.V., having conversations, making offers, following. I can do all my coaching calls from and I can do it from anywhere. That is what the goal is for me and your guys is maybe a little different. But even with our team, we work in virtual markets.
Everyone, you know, does things virtually very rarely will go meet a seller without knowing a no. Knowing that we’re close. Okay. Sometimes, yes, we do have to go and they’ll say, well, I’m not signing off until you see it. No problem. We can send a buyer and we can send a runner and going at pictures and then we can make that offer and be a bit more assertive with it. So there is, again, a ways around it. The other thing is as well, like you have to decide how you want to run the business in terms of you can get a wholesale partner, you can run the system, set the systems up.
Okay. You can be the person that’s doing the marketing. Getting it and feeding into a partner on the ground that is on the ground that will go and see the property, lock the deals up and move it. You can take a percentage of that and be very hands off and automate this whole process. Automation, delegation. We throw that around. We teach a lot on it. It’s really, really good. Everyone should be doing it. But I will tell you, one thing I do want to share is that you can’t do that, okay? If something’s broken, so people say I’m just going to, you know, automate the business, I someone put systems in place to do this. Is this. Yes. As long as it’s not broken.
You cannot scale something that’s broken. Okay, so if there’s something in that system that isn’t working. If there’s a missing link, a weak link, then you can’t scale that because it will just be a money pit and you will not succeed and do more deals. Okay, so you want to be brilliant at the basics, get the basic things down and then you will be able to scale. You’ll be able to put some automation in. Okay. Which means it could be all right. I’m going to set up so text messages and emails are going out in 15, 30 days, 45 days. All cold leads are going to get that all by warm and hot leads. I want to be reaching out personally. I want to be doing personal phone calls, personal text messages on them follow ups.
Okay. And the idea is, is that you’re trying to get your cold leads to be warm. Your warms to hot. You hearts closed. Normally your hot leaves will close, normally first. Okay, so you want to try and get them cold ones to get warmer again and then back in play and hopefully get them closed through follow up. That is going to be over a period of time. The other big thing is, as well as wholesaling, or virtual wholesaling, is that you don’t need to use your own money. You’re controlling property without owning it. Now, not saying that you should have the power to close if you want on the deal, meaning transactional funding. A lender, if you want to take that deal down, you can.
But a lot of the times you are going to be able to sign that contract or double close on it with funds from the empire in place. A case or double close. Back to back double close, meaning that if I’ve got a contract for a hundred thousand dollar with a seller, I sell it to a buyer for hundred and forty thousand that I’m going to close on the seller. So I’m A to B, so B closes with C in position and then we do a back to back close. So I have to pay closing costs. Okay. But their funds take care of that. Just literally comes out of my 40000 spread. I have to take my closing costs off and then it’s kind of like disguising the sale. But you can do that.
Also you can bring transactional funding into closing property as well. And we do work with multiple people on that for a fee. So that’s really good. You don’t have to have money in this business. You need time. Okay. Time or money or both, ideally, if you don’t have any money. I started off. I spent 750 dollars on direct mail, didn’t get a deal. So you have to get creative. I started to go into meetup groups locally and start to work on old leads. Just following up. And that’s the first time. That’s my first two deals that I ever did. They were small. Fifteen hundred bucks. Two thousand dollars. So they were small. Okay. But it’s a massive win. For me, it was just like I’d done a 50 or 100-thousand-dollar deal. It was a feeling that no deal can do. Now, it doesn’t matter how big it is because it was a massive win that I could achieve this when I’d never done it before.
You know, a guy from England, golf professional, that’s going into real estate doesn’t know anything about it and just learning and working hard and self-belief. I feel that I can lock up deals over the phone. And I’m going to be honest, guys. I’ve probably been in five properties in my whole career in real estate. I’ve never got a contract face to face. All the deals that I’ve been into, we’ve already had under contract. So, you know, it’s pretty crazy and it’s just comes down to that kind of mindset and the way that you think. If you think you have to be there, then, yeah, you have to be there because that’s your thought process. So you need to change that and understand that it’s all to do with position in the sales cycle and getting across and getting now them objections, because that’s what it is. It’s just objections.
Well, you know, the seller might say, well, are you going to come and see the house? Yes, sir. We have to do due diligence and everything we buy. I’m just gonna be honest. I want to see if we can get the number close enough before we make that happen. So and then I will again get back to the price. Can we lock this deal up? Because I need to do my inspection period, which then obviously my buyers or contractors will go in and do. All right. So remember, on virtual wholesaling and why fast cash. Okay, you handpick deals for buy and holds. You handpick deals for fix and flips. You make money on the front. Less money involved in terms of other than your marketing and your time. No risk. Pretty much no risk at all.
Because you’re not taking these down. You’re not borrowing money. Hard money, et cetera. You’re moving it to buyers that you already have. Closing deals. You can do it from anywhere in the world, not just in the US, anywhere in the world. In England, I still do it. So you can do that. You can travel around. You get the right systems in place, which is for my team. I’ll tell you, I mean, multiple markets. So we do lead. We manage all the lead gens. I have cold caller VA’s. Okay. We do some individual dials, we do some triple dialing. We do some individual text messaging to the small niche lists. We do very little direct mail.
Maybe I’m talking five, 600 mailers every three months. Just on real niche lists. And then we make up process leads, come in and then acquisition or partner on the ground, picks up the phone and gets into a follow up sequence. What we’re trying to do is we’re not trying to close deals on phone call one. So don’t expect it to happen. It won’t. Very rarely. So what you’re gonna do is you’re going to gather information. You’re going to build rapport. You’re gonna make an offer. You’re gonna make take great notes. And then what you’re gonna do is you’re gonna look to see what changed over a period of time. Okay, so next time we talk in 30 days, 45, 60 days, whatever it may be. Has anything changed between me and the seller since we last spoke? And that is what follow up is. So, hey, Jeff, this is Gavin. And we spoke 30 days ago about 123 Main Street.
How you doing? Oh, hey Gavin, how are you? Yeah, I just I know you probably super busy. Just wanted to check in, Jeff. You know, I know we talked about this is there’s last time as that hasn’t changed since we last spoke. Well, actually, I mean, I thought I’d be back to work now, but I’m not, you know, with Conehead and an old idea. I can’t can’t believe it. Okay. Well, you know, I guess this house is. Is it still vacant or. Janet rent on a still vacant. Oh, really? Well, we’re still interested in buying Jafa. I know he wasn’t too interested in my offer of what we could do about. I’m willing to, you know, see if we can kind of relook at life that works. Yeah, I think maybe that’s what we’re going to have to do. Look, if it doesn’t rent in the next week, can you call me back?
Yeah, no problem again. Now, what we’ve got on our next follow up. I call them if. And I always say if they call, say, a week, I do. Four days. Five days. If they say a month, I do two to two weeks. Three weeks. I always cut it in half or at least two thirds of the time. And that’s what you’re doing, guys. You’re just shadowing, building rapport. And that’s how we close all of our deals. So don’t panic. When do they want too much money? No problem. No problem. Just be there. Just hang in there, because that’s when the deals are gonna come.
And the big takeaway is you do this from anywhere and that’s the key. You gonna start having a lifestyle business, you know, what are you working for? What’s all this about? Why are you even doing this? You know, I earn, you know, decent money. There’s people in the industry that make more than me, but the work is way harder and I work hard. Don’t get me wrong, I don’t want to play up. I don’t do anything good. I do I do work hard, but I work on my time. I work where I want, when I want. If I wanna take a day off, I take Fridays off. I mean, I play golf. Because I can. I’ll schedule things around that accordingly.
So that’s what you need to be doing. You need to kind of build the get the bigger picture, go in and then put systems in around it. So back to that with acquisition, getting the contracts disposition move in and then we all get paid on it and having them people in place, that takes time. You’re not gonna listen to this podcast and. Oh yeah, I’m just gonna outsource everything. Of course not. Outsource your weaknesses. Outsource the small dollar an hour activities and you focus on making money. And once you’ve got that and you’re making it and you’re comfortable, then you will put the next thing in place. That’s how you’re going to build a business that’s actually profitable. I’ve just spoken to a new client of mine and I’m not going to mention it. Mention his name. Okay. And if he’s listening, he’ll know.
What they did about gross 750000 last year, 750000 last year. Fantastic. But people in his team are under him that work for him are making more money than he is. Let’s try again. 750000, the owner of the company. There’s people in the company making more money than the owner. That makes absolutely no sense whatsoever. Stop thinking about volume, start thinking about profit, profit margins. Okay. Stop thinking about ten deals, thinking about margins, profit margins to make money. Okay. And that is how you’re going to get in the financial freedom, whatever that is. We, we throw that word out so loosely and you need to say what is it to you. What, what is that. What is financial freedom, you know, for me is to do what I want with who I want when I won. And I need enough money to be able to do that. And everyone else maybe go in a short speech. Some clients I work with want one and they say and I see to make 5000 amounts governance. That’s all I need. And that’s easy. That’s one deal.
If you apply yourself, of course you can do one deal a month. Course you can. What does that tell? Tell me right now, Gavin, what have I got to do to get one deal a month? To do my first deal consistently? Okay, I want you to talk to five sellersa day, I want you to make three offers a day that’s 15 offers a week. I want you to do it for a month. Two months, three months in three months. You spoke to 300 sellers. You’ve made 180 offers. You telling me you ain’t going to do a deal? I bet you’ll do 10 deals more than follow up kicks in game change. Don’t be panicking about not doing a deal in 30 days, 90 days. Get following up after 30. 90 days. Hey, you’ll be closed on the first month’s marketing. Guarantee. Test it. Message me and say, you know, why did it go? But go back now in your marketing and call everyone from 90 days ago or under in 80 days or a year ago, however long you’ve got that marketing.
Call them all. Okay. Go and call them. Follow up. And I bet you can get a contract. Go and do it. You have to be in it to win it. Stop thinking about motivation right today. Over time, situations change. Okay. Which means if the situation changes the offer, the circumstances change. Which means you’re there to get the deal. All right. So remember that. That’s why the benefits of this as a virtual wholesaling. Okay. Controlling property without owning it. You’re making money. You don’t need money to buy the properties. Okay. You can get cash now. You can handpick your deals. You do it from anywhere in the world. Build the right systems along the way. Start using automation, delegation.
Okay. Scale when you’re brilliant at the basics and if you take them principles. You’re gonna do great. All right, guys. Hopefully this helped. Again, if you want any of the downloads that I have. Go to our REINetwork.com/downloads. If you want to get on our email list to make sure any updates that we have, please reach out and. Yeah. Like and subscribe. If you want to if you’re interested in working with me. Email support at REINetwork.com and we’ll go from there. All right, guys, I really enjoyed the episode. I did. I’m very passionate when it comes to virtual wholesaling and. Yeah, we’ll talk to you soon. All right. Thanks. Bye.