In this article, we’re going to discuss something VERY important for you to know when it comes to making offers. Once you grasp the EASY strategy here, you’ll be able to make offers just about anytime, anywhere…without facing or feeling rejection or any negative feelings most other people often associate with this part of the business. In fact, I’m going to do like I always do – make this simple, easy, and FUN to use. Best of all, you’ll be able to put this to use right away, starting TODAY if you like!
Ready? Let’s go…
Are You Scared to Make Offers?
Let’s face it – When we’re asked how many offers have we made lately, we feel ashamed, because many people just DON’T make offers. And that’s why they often struggle or don’t succeed at first. And as you should know by now, “If you ain’t makin’ offers, you ain’t makin’ money!” That’s what one of my early mentors taught me.
But why be scared? It’s actually really easy… once you really know how to do it the right way.
The OLD Way of Making Offers:
Before we get to the right way that we make offers now, let’s take a quick trip down Memory Lane…
Making offers used to be kinda hard. Especially for ugly houses. Many investors would go to the house themselves to personally inspect it. They’d take their tape measure, note pads, materials estimation lists, etc. Then they’d go get 3 estimates for repairs from different contractors (often a good idea – but not in the early stages of making an offer!).
Then they’d crunch their numbers, double check the formula, make sure all the “i”s were dotted & “t”s were crossed, and work out an exact, specific number to offer.
By the time they were finally ready to think about making an offer, another investor had already come along and scooped up the deal because that first investor took too long! Classic definition of ‘you snooze, you lose,’ right?
Plus, I think we can agree that this is an awful lot of work to do just to make an offer, right?
Surely there has to be a better way! (Don’t call me Shirley)
The New/Right Way to Make Offers
Thanks to a some relatively new understanding and breakthroughs in sales & psychology, we have practically perfected some amazing new ways of making offers to sellers… or buyers… or private lenders. Or anyone, actually! This “New Way” of making offers is a LOT easier & more fun. Plus – let me remind you of my original promise – it’s a lot more fun, too!
The way I like to think of it is if you divided this “New” way into TWO parts.
And the FIRST part sets up the SECOND part…
1. The “Soft” Offer
A SOFT Offer introduces an idea or Concept to the prospect to see if they like it.
It’s a simple way to prepare them for the next type of offer (below).
As I wrote in the article, “Baby Steps to Success,” we don’t always want to just jump right in to making an offer with many sellers or prospects. It really depends on a few things, such as how much rapport you have with them, what stage they are in the sales process, and your own individual skill, experience, and confidence levels.
Just like going on a date, it’s often better to find out what they want, then give them a TASTE of what you’re offering, gauge their understanding and interest levels, and proceed accordingly.
For example, if you’re talking with a seller, and you find out that they’re selling their beautiful $1.2 Million dollar house because they want to downsize & move to Costa Rica to retire, you wouldn’t just jump in and say, “I’ll pay you $400,000, cash, close in 21 days. Take it or leave it!”
That would be like going on a first date & telling them that you want to get married & have 3 kids…and you’d like to start tonight!“
No, rather than trying to shove your offer down their throat, you’d be much better off by first taking a couple of minutes to find out what’s important to them, and what they want out of the situation. We like to call this finding out their “needs & greeds.”
After that, we look to find out what they’d be open to doing by presenting them with a CONCEPT of what we can do for them, along with a couple of benefits that fit their needs.
Here’s an example. Let’s use that same scenario of the $1.2 M house where they want to retire in Costa Rica (nice!)…
Suppose you said something like this, “Since you’re moving to another country, it sounds like you’ll probably want to have some cash flow coming in so you don’t have to worry about your living expenses there, right? What if there was a way that you could get some great monthly income from this house for a while, and then get a big, fat check some time after that? Is that something that might work for you?”
Here’s another, more common way of basically saying the same thing, but in a way you’ll probably use yourself for a long time. This is a great way to introduce the IDEA/CONCEPT of a seller taking TERMS for a while:
“What if there was a way we could buy your house at a price that works for both of us, close whenever it’s convenient for you, and make this a really easy transaction so you can move on with your life & not have to worry about this house any more. Would that work for you?”
When they say yes, you continue by saying, “Well, we can definitely do that! The only thing we would need to know is if you could take payments on your house for a little while until we’re able to get you fully cashed out. Is that something we could discuss?”
Boom! Do you see how that introduces the foundation CONCEPTS of the main things we can do for them on a terms deal?
This is a simple example of making a SOFT OFFER. Remember that a Soft Offer is where we make an offer by presenting a simple CONCEPT or IDEA of what we can do, then listen to their reaction/answer, and go from there.
How Did They React To Your “Soft” Offer?
After you present your simple concept (another ‘baby step’ in the right direction), you’ll need to LISTEN to how they react and go from there. If they do NOT like that idea, no problem! Just present them with another idea or concept and do the same thing. If you run out of ideas and they don’t like anything, they’re probably not motivated and this most likely isn’t a good fit for them at this time… Which is fine! In fact, MOST sellers you talk to will probably fit in this category.
But here’s the GOOD news! You’ll find out EARLY. You won’t be wasting your time. You won’t be begging, or trying to ‘convince’ anyone of anything! You’re simply presenting an idea and seeing if it will work for them or not.
Another way of putting it: You’re giving them a ‘taste’ of your cooking and seeing if they like it. If they don’t, offer them something else until you find something they like or it’s determined that they just don’t like your cooking.
NOW, if they DO like what you have to say, then you’ll continue to work your way towards…
2. The “Hard” Offer:
A “Hard” offer is one where numbers and timelines are named. This is where the rubber meets the road. This part can be frustrating for some – until they master the art of doing it the right way.
For the sake of comparison, let’s go back to the ‘Old’ way of doing it for a moment. This is where YOU have to do all the heavy lifting of crunching numbers and present them to the seller for their consideration and approval. Then hope that they either accept or counter to continue the game. We’ve already been through the pain of that, and how this is probably the wrong approach to take for the right prospect.
Of course, if this prospect is NOT ready to do business, there’s nothing wrong with throwing out 2-3 offer scenarios for them to consider, then follow up with them later.
Now let’s look at the NEW way of making an offer to the right prospect. Once we’ve introduced the SOFT offer (concept of terms, for example), we now move to working on negotiating a HARD offer, where we start to work out the numbers of buying their house.
What are the ‘numbers’ we use? It’s simple. As I wrote in my other article, “The 5 Points of Negotiating a Terms Deal,” we’re going to look at:
How We Negotiate a Killer Deal
Now that we have the WHAT out of the way, let’s look at HOW we do it…
The simple idea is that we want the SELLER (Prospect) to make US the offer! How? By ASKING! We simply ASK them what they’d accept, and we present it in a way that works best and easiest for us. I’ve found that the best way of doing that is to present the questions in a way that gives the prospect the maximum benefit for them for the best price for us.
For example, when it comes to Purchase Price, you could ask this (pay close attention here)…
“So, if we could buy your house as-is, close whenever you like, and make this a really easy transaction for you, what’s the least you could accept for your house?”
Do you see how that works? We give them 2-3 benefits, then ask the question so that we get THEM to name the lowest price!
Just make sure the next question you ask them after they answer you is, “Is that the best you can do?” 🙂
The Easiest Way to Buy Houses With NOTHING Down
Immediately after asking that question, you’ll want to move on to the down payment. Let me share my KILLER way of asking the magic ‘nothing down’ question. This just WORKS – almost every time. Check this out…
“Ok, well, if we’re going to pay you a high price like that, we usually buy for nothing down. Ok?”
The KEY here is to ask that question with a vocal tonality of… you just expect them to agree & say “ok.”
I believe I’ve already covered the rest of the questions in that other “5 Points” article, so if you want more, just check that out.
A Killer Tool To Use For This
Remember that you already have access to my “Closing Call” Script & Form to use whenever you like (as long as you’re logged in to the site, of course). That’s a POWERFUL way of using exactly what we’re talking about here.
PRO TIP: Use that tool for your first 10-20 live seller prospects (and to submit your closing call leads to me for joint evaluation). It shouldn’t take you long to get comfortable with this process. THIS is a killer short-cut you can take now to help you get early success in this business.
Another Killer Tool To Use
So now that we have the NEW way of making a Hard Offer understood, let me share something else with you. This part is optional, but you’ll definitely want to check it out.
As we’ve already discussed, we want to use the techniques discussed in this article here for TRUE prospects – the ones with whom we may be able to do business TODAY. If you’ve read my article “The Art of Prescreening,” you remember that we have THREE types of sellers: Suspects, Prospects,andProjects. If you’re dealing with a true Prospect or Project, you’ll definitely want to use the techniques discussed right here. However, if you’re dealing with a Suspect – someone who’s NOT ready to do business today or any time soon (the ones that want full price, all cash now), you have absolutely nothing to lose by still getting something in front of them and making a few “test” offers. You’d then follow up with these people later on to see if time & circumstance have changed their minds yet. And you’d be surprised how often they do!
For those people, what if there was a way you could get them some powerful information that will help give you ‘another turn at bat’ for when you follow up later? What if you could give them not ONE, but THREE offers for them to consider? Do you think that might help open the doors for you to possibly do business with more people? Your answer should definitely be ‘Yes!’
So, if that sounds good to you & you’d like more information on this killer tool that I’ve personally developed, feel free to check that out by clicking on this link:
Wrapping This Up
Now you know the two types of offers that will help make your real estate business life a LOT easier:
Soft Offers to set up Hard Offers. Step One sets up Step Two. That’s why I used the picture of the footsteps for this article. Remember to use the idea of introducing a CONCEPT to your prospect, then see how they react to that, and act accordingly. If they don’t like it, move on. If they do like it, continue in that direction.
And if they DO like it, then you do the best you can to transition from the Soft Offer to the Hard Offer, where you negotiate the numbers of the deal.
Finally, we use the idea of ASKING the prospect to name the numbers so that THEY make US the offer. This makes OUR job a LOT easier – and a LOT more FUN! (Promise made – promise kept)
Hey, I’m giving you the main ingredient of my ‘secret sauce’ recipe here, so please give it the consideration it deserves. 🙂
If you’ve read all the way to here, you should have ideas bouncing around in your head right now! That’s a beautiful thing.
NEW Feature: I’m opening up these articles to let YOU share your thoughts & ideas right here! Look below – there should be a place for you to share your feedback on this article. What do you think? What was the biggest idea or takeaway you got from reading this article? HOW will you put what you’ve learned here into place? How many more offers do you think this will help YOU make? Share below! Thanks for reading, and I truly look forward to hearing from you on how these techniques work for you because of all the easy offers you’ll now be able to make!
Until Next Time, Here’s To YOUR Success!
–>Be Sure to ‘Leave a Comment’ Below!<–
“And Now For Something Completely Different!”
In this post, I have something very cool to share with you.
Just recently (late April 2019), I had the pleasure of being interviewed by the one & only Jay Conner!
He interviewed me for his podcast.
I swear I’ll have to start me one of those podcast jobs soon! But until I do…
Here’s what you’ll discover in this great interview:
So check out this powerful interview by watching the video below…
Jay Conner Interviews Tony Pearl
Quick Note: For some crazy reason, Jay decided to title the video “Salsa Dancer, Tony Pearl, Closes 160 Real Estate Deals”
If you’re wondering what the heck that means, it’s a reference to my previous career as a Ballroom & Latin Dance Instructor & Competitor. Yes, that’s what I used to do for a living in case you didn’t know. Even though I am a certified high-level instructor for all the dances you see performed on “Dancing With The Stars,” Jay chose to call me a Salsa Dancer. Not sure why, but maybe because it’s such a sexy dance! 😉
Anyway, I hope you enjoy the video. There’s a LOT of really powerful information in here that I give away, so it’s well worth it!
Put this to good use,
Hello! Here’s a quick update for you that you need to read…
I just heard from the man, Ron, himself. He shared a quick status report on how things are going, as well as giving out some very sage advice, as Ron is known to do. You’ll DEFINITELY want & need to read this, as it affects YOU!
Here’s the deal.
For some time now, Ron has been calling people who enrolled in the Masters Program after about 30 days of their enrollment.
He says that most of these calls are the same, which is not terribly surprised, all things considered.
There are a few people who hit the ground running and do well very quickly.
Several people seem to struggle, as life gets in the way.
But the majority of students all seem to struggle with ONE huge issue…
Can you guess what it is?
That’s right—Mastering the phone calls, especially with sellers!!
Many times, a lot of people will try to say that they’re not getting enough leads or are just looking for a new cool way to generate leads…but at the same time, they’re not handling the leads that they are getting correctly!
So… WHAT is the Solution?
Well, we have an answer for that, in the form of an actual ASSIGNMENT for you to follow!
Here’s What To Do To Fix This:
Great TIPS (Filling in the Details):
Sending those two calls to me is imperative. Vital. Essential. So do it. Again – only if you’re a current student, please.
NEXT: Regarding LEADS, Marketing, and spending money…
Ron & I do NOT want you spending a bunch of money on your marketing…until you’re totally ready to do so.
And by ‘ready,’ we mean that you’re already doing deals, have your skills sharpened, and really know what you’re doing.
Putting money into marketing means that you’re ready to scale your business up, based on the success you’re already having.
This means NO yellow letters until you’re able to master the call and maybe you might not even need to send letters out at that point, either. Ron says that if you do what’s taught at the Quick Start event, you won’t need those costly yellow letters.
Here’s a quick, easy, cheap/free list of activities you can do to really start generating all the leads you’ll probably ever need…assuming that you’re handling the calls correctly.
Quick List of Lead Gen Activities:
Ron says that everyone he has talked to is getting leads, but none of them are handling the calls correctly.
If you do these things, you should get plenty of leads, and if you’re not getting any deals, it’s probably because you may be screwing up the calls. We need to fix that.
Remember the Ugly House business! While you’re chasing nice homes, you can also be working in the lower end areas doing the same things – looking for cheaper houses to take over debt as well as houses that need to be renovated.
It doesn’t hurt to do a wholesale deal or two, especially when you’re just getting started!
That is all the updates we have for you for now.
BONUS!: CLICK HERE to download the latest call script from the recent “Mastering The Phone” event!
REMINDER!: CLICK HERE to use the Form/Interactive Script I’ve already created for you to use when doing closing calls with sellers.
In our last article, we talked about the words we use and how powerful they are.
This time, we’re going to take it to the next level.
So there’s a famous study that was done a while ago by Dr. Albert Mehrabian, that showed that only 7% of our communication is conveyed through words, 38% is from our vocal tonality, and the rest (55%) is through ‘nonverbal elements,’ such as your posture, gestures, and facial expressions.
Based on what I wrote in my last article, “The Words We Use,” I believe that our words represent a lot more than only 7%, but that’s not what this article is going to be about. No, in this article, we’re going to get into that other stuff – specifically, the Magic of Tonality – HOW we say what we say.
Call me crazy for trying to write about something you HEAR. Obviously, this would be a lot easier for me to demonstrate in a video, or on an audio recording. But we don’t have that luxury here, so I’ll just have to flex my writin’ skills!
Have you ever watched a movie in another language that you didn’t understand? With no subtitles? If you watched the actors closely, you almost didn’t need a translation of what they were saying. You can tell by the tone of their voices who’s angry with whom, who’s jealous of someone, who wants to kill the other guy, or who wants to jump someone’s bones!
There’s a funny scene in the famous 80’s movie, “Ferris Bueller’s Day Off,” where a history teacher (played by Ben Stein) is trying to teach a class of uninspired High School students about economic policy. Not the most exciting, sexy subject to teach, but he made it exceptionally boring by the way he used his voice! He had a flat, monotone style that had very little to no inflection whatsoever. The result: Everyone was asleep or looking at him cross-eyed, because they were so bored! Don’t be that guy.
The right speaker can take something boring and turn it into something exciting, while the wrong speaker will do the exact opposite. And when you take something that’s routinely boring AND you add a boring person… you get your High School History teacher! (no offense to real History teachers–they’re the best!)
What makes a speech interesting? What makes it hard for you to tear yourself away from a good performance by an actor, or a powerful motivational speech by someone? Is it just the subject matter? Or simply the words they use? Probably not.
No, chances are that when you’re riveted to someone speaking – about anything – you’re probably interested because of the emotion, tonality, and vocal inflection of their VOICE!
Check Your TONE, Tone! (Tony)
What the heck is vocal tonality? Well, it’s obviously the tone of your voice.
But it’s really a lot more than that. Just by injecting the right emotion into your voice, you can drastically change the entire context and meaning of what you’re saying. You can have a commanding tone. Your tone can be fearful. Or angry. Happy. Or sad.
One of my favorite tonalities to use is one of curiosity. It’s so FUN to use a ‘curious’ tone when talking with someone – especially in a sales situation, because it really engages the listener and activates some really cool psychology. Try it!
Here’s a little pro tip, combined with a mini script that gets great results in real estate investing. The next time you’re talking with a seller about the possibility of doing a terms deal, say this next line with a curious tone when you want to introduce your objective: “What if there was a way that we could…” (then state what you want to do)
Look In The Mirror To Check Your Inflection
The next technique is vocal inflection. That’s where we change the pitch or tone of our voice in order to emphasize certain words to stress their importance. It’s easy to do when writing – just italicize a word. Or put it in ALL capitals. Or make the word you want to stand out in bold.
But when we’re talking, it’s important to occasionally emphasize a certain word in your sentence in order to not only get your main point across, but also to vary the tone of what you’re saying so that it’s more engaging to the listener.
For example, say this sentence out loud: “Bob thinks he’s a genius.” See how we emphasize the word ‘thinks?’ Now say the same sentence, but emphasize the word ‘genius.’ And one more time, but now emphasize ‘Bob,’ or ‘he’s.’
Now ask it as a question! See? Totally different meaning every time!
How SLOW Do You Go?
Next, let’s talk about CADENCE. This is the speed at which you talk. Do you talk at the SAME speed all the time? Or do you occasionally speed it up & slow it down?
A good example of when someone might slow down what they’re saying is when giving instructions to someone else. We slow down because we want to make sure that we…are…completely… understood. We usually slow down for emphasis on important ideas, and speed up on most other things.
Most of us never ever even think about these subtle little conversational nuances, let alone use them in our everyday conversations. And most people just take how they talk and communicate for granted every day. But once you understand these little secrets, you’ll quickly start to see why some people are pleasant and effective communicators, while the rest…? Not so much.
Loud & Proud? Or Quiet As a Mouse?
Finally, let’s talk about VOLUME. Sometimes, you have to scream and shout to stand out, no doubt! Other times, the best thing you can do is barely whisper your ideas. Which is more powerful? It depends! There’s a time and place for each of those.
But I’ll give you something to consider. If you really want to draw someone in and get their interest, try lowering your voice so that they can barely hear you. Then tell them something important and interesting. I can almost guarantee that you’ll have their full attention – especially if you sprinkle in the right emotion & tone in there! #Powerful
Before we go any further, I should point out something important: These ‘powers’ can be used for good or for evil. Should you become interested in learning more, then eventually commit yourself to mastering this craft, you’ll be able to understand how people use their voice to influence other people by speaking directly to their subconscious mind. This is the part of our brain that determines how we feel, think, and act about things – without even realizing it!
But for now, just be aware. Start by listening for how the actors talk when you watch a movie. Or listen to a news reporter (they’re especially evil these days!) if you have to. Just stay away from CNN!
HOW you use your voice will have a LOT to do with how successful you’ll be. So if you really want to have success, and part of that relies on speaking with anyone, you’re going to need to master these skills the best you can. And one of the best ways to do that is to model the most successful communicators. Especially salespeople. Sell or be sold. That’s your choice.
Now That You Know…
And now that you know how the game is played, you finally have the power to choose which side you’ll be on – The boring old way most people talk, or the fun, new way that gets results. Choose wisely, my friend.
So there you have it! When you use the right words and combine them with great vocal tonality and inflection, and then infuse the right emotion, you’ll have the raw tools needed for some incredibly dynamic and powerful communication. Using these techniques properly, you’ll be able to influence just about anybody you talk to – often without them even knowing what you’re doing. Yes, this can be used for dealing with anyone from sellers, buyers, and bankers to brothers, mothers, your kids, etc.
The bottom line is that you’ll be able to get BETTER results – easier and faster than you ever thought possible. This means more money with less work & effort.
The icing on the cake is that this is super FUN, too!!
Please use these new ‘super powers’ responsibly. For good. Because if you don’t, you’ll have to listen to Ben Stein teach you all about ‘voodoo economics,’ and that’s just not sexy at all. Bueller? Bueller?
Until Next Time,
Oh, and if you haven’t already done so, please Read Part One of This Article, “The Words We Use“
Copyright 2019 Tony Pearl | YourRealEstateCourse.com | All Rights Reserved
STOP What You’re Doing and Read This. I Promise That it’s Worth it.
You have more power in you than you know. Right now, you have the ability to change someone’s life, starting with your own. And starting now – in this moment – you’re about to learn some secrets that can produce powerful results for you.
The “Big Secret” is this: The words you choose to use every day are vitally important. To you and everyone around you.
Words have power. They have the power to uplift. They have the ability to motivate, to inspire, to elicit emotion. Words can make someone laugh, cry, or smile.
For example: A horse walks into a bar. The bartender says…
“Hey buddy… Why the long face?” LOL
See? Of course, words can also make you roll your eyes at a horrible joke like that!
But just the opposite is true. Words can also make someone angry, feel insulted, or motivate someone to do something bad.
“Handle them carefully, for words have more power than atom bombs”
There are a few things that factor into how words are used. The first thing that comes to mind is: Intention.
What do you intend to say with your words? What feeling would you like to elicit from the listener or reader? What action would you like them to take when you’re done? Are your intentions good, bad, or indifferent? It’s amazing how few people take that into consideration before communicating, just as it’s amazing how many people seem to talk just to hear themselves talk, as if they think they’re getting paid by the word!
Most engineers know that awareness of a problem is half the solution. So how do we know if we even have an issue with our communication? Simple. How do people react to what you say? Are they bored? Are they adversarial? Do you make people angry or uncooperative? Or do you inspire people and make them happy to be around you and want to work with you?
Here’s a real estate example: When you’re talking to a seller, do they usually answer your questions? Or question you? Do most sellers tell you how much they still owe on their existing loan or do they resist by telling you it’s none of your damn business?
If they usually don’t want to answer, it could either be because they’re just not motivated, or it could be because you’re not asking in a way that makes them feel comfortable enough to answer you accurately.
It could very well be the words you’re using or how you’re asking them.
Consider the situation and nature of the conversation you’re having with someone. If you’re talking with someone who’s skeptical, suspicious, or just doesn’t trust you yet, it should go without saying that if you’re not able to put them at ease and feel comfortable discussing things with you, you’re just not going to get very far with that person at all!
So how do we begin to help someone open up and begin to trust us? How do we bridge that gap of communication? By taking small steps. By speaking the truth, and by using the right words that help our cause.
Here are some examples of the type of language needed in situations like that…
If someone is resisting you, you’ve first got to use words that acknowledge that you can relate to them and their situation and that you’re not judging them. Meet that person at the place/level where they are before you take them to where you want to go.
Words that are best for this include “I appreciate and…” or “I respect and…” or “I agree and…” For example, “I respect you for bringing that up and…” or “I can appreciate that this has been challenging for you and your family, and…”
(Notice the use of the word “AND” rather than “BUT”)
When you use this type of language, you will break down the walls of resistance, because the person with whom you’re communicating will feel understood and respected, and will therefore want to starting working with you, rather than against you.
In other words…
“Seek First to Understand, Then to Be Understood.”
By the way, the exact same ideas & language works with the people with whom we already have relationships (or want to have relationships with) as it does in business!
Now that you know about how important the words we use are in our everyday personal and professional lives, you’re partway there to becoming an extremely effective communicator, master influencer, and more dynamically powerful individual!
But wait…there’s more! Because just important as words are, it’s even more important HOW we use them! So be sure to read my next article, when we take things to the next level and learn some real ninja communication tactics as we discuss HOW we use these words!
Until Next Time,
Copyright 2019 Tony Pearl | YourRealEstateCourse.com | All Rights Reserved
Today, I’d Like to Break Down the FIVE Steps
of How We Do What We Do:
To Summarize: There are FIVE Steps to Success in Buying Houses:
With that in mind, I strongly suggest you re-read this post now AND in the future whenever you get ‘stuck.’
Now that you know this, there should be NOTHING to STOP YOU from getting out there and tearing it up.
Just remember to touch base with me, your trusty mentor, if you need help.
And be sure to write a nice Testimonial as often as you like!
Hope this helps you out.
Until Next Time,
We’re going to do something a little different in this post here today.
If you like this, I’ll happily do more of it for you.
Rather than write another brilliant article, report, or bite-sized training module, I thought I’d bring in another professional to help bring the heat.
So today, we’re going to be doing an interview with a very good and qualified professional that you’ll want to have on your team. Please allow me to introduce my friend, Paul Ritter, owner of MyCreditTeam.com and ScreenTheTenant.com.
Paul specializes in helping you prescreen your tenant buyers – so that you can best decide who the most qualified tenant buyer is before you install them in one of your houses. Yes, we’re talking about background & criminal checks, income verification, and of course – credit worthiness. Paul can also help you prepare your tenant buyers to get their credit repaired and eventually cash you out by buying those houses you’re selling them.
We cover a LOT of great information in this interview. That’s why I had to chop it up into two parts. The first one is where you’ll meet Paul and watch his presentation. The second part is where I grill him with a bunch of great questions.
So listen until the end so that you can take advantage of a some excellent money-saving specials that you’ll surely want to take advantage of as soon as you’re ready to do so! This is a great interview for you if you’re doing this business, or even if you know someone who can use some excellent credit repair services.
Watch Part One:
Here is Part 2, the Q&A Session:
After watching/listening to this interview, you may contact Paul at 412-242-2733.
Or for more information, you may check him out at:
For Credit Screening Services: ScreenTheTenant.com
or for Credit Repair: MyCreditTeam.com
“You know… like, nunchuck skills, bow hunting skills, computer hacking skills… Girls only want boyfriends who have great skills!”
-Jon Heder, from “Napoleon Dynamite,” (2004 movie)
Not long ago, I wrote an article titled “Talent vs. Skill,” which discussed the important differences between the two, and how to best benefit from that understanding. In this article, we’re going to expand on how vitally important it is to properly choose the right SKILLS to learn and master for maximum positive impact on your life. Yes, this includes finances. For instance…
If you’re struggling with certain things, you probably need to master some new skills. If you’re not as successful as you’d like to be, it’s most likely because you haven’t acquired the right skills you need yet… Because once you DO get the right skills, everything can and will change for the better…the moment you start properly applying them.
You have a choice. You either learn & master the right skills you need to succeed in life or you don’t. It’s as simple as that.
The Right Skills For The Right Job
Every job, career, profession, or occupation requires certain skills. Every single one. As a general rule, the easier & faster a skill is to learn and be functionally good at, the lower the compensation is for which you get paid to use that low-value skill. Anyone can quickly learn how to flip a burger, sweep a floor, or push a few buttons with pictures on them. That is why most jobs at fast food restaurants pay minimum wage – because the pay matches the skills and the value that’s provided by those skills.
This is also why minimum wage-paying jobs are not meant to be lifelong careers. They are not designed to help you support your family. They’re meant to get you started in the workplace – to help you establish yourself and build up your work ethic and good habits. They’re usually not designed for you to continue doing the same menial tasks for long periods of time. Could you imagine?
Now contrast the skills that a fast food worker has with the highly specialized knowledge and skill set required to be a brain surgeon, and you can understand why there’s such a difference between them and how they get paid. While this is about as extreme a comparison you can make, it validates the point nonetheless.
All this recent talk about massively raising the minimum wage could have drastic consequences for reasons that will become more evident as you continue reading.
As I’ve been saying for years, “Nothing happens until someone gets either pissed off or excited enough to DO something about it!” How this applies to someone working a low-paying, low-skill job is quite simple… One day, that person hopefully wakes up & decides that he or she is tired of working for peanuts, that he’s better than that job, and he’s ready for a change.
But in order for that change to happen, the actual reality is: HE must change!
It is said that ‘progressive discontent is responsible for the upward mobility of society,’ or to put it in more simplistic terms: If you’re not happy about something, do something to improve it! To put it yet another way so that it’s relevant to this article…
Learn Some New Skills!
If you’re struggling and frustrated when you want to step up in life and make more money, you have to ask yourself if you’re adequately equipped to handle the tasks you need to do. Do you have the right skills for the job?
Here’s a real-world example… Let’s say you want to get a high-paying job in the technology field, developing software. It would be pointless to try to get a job if you can’t even freaking write code well. And could you imagine how frustrated you would be if you somehow DID land a job like that but you didn’t have the needed skills? The obvious thing would be to go get the essential knowledge & skills (Learn to Code), get competent in them, and THEN go out and compete…and be compensated accordingly.
What Skills Should YOU Learn?
Now let’s apply this to real estate investing. If you’re looking to do deals, you’ve first got to learn HOW this business works. Get the right knowledge & training. How to market for leads & deals. How to negotiate & structure deals. How to get the funding for deals that require it. How to properly repair the properties that need it. How creative transactions work. How to sell or rent out the houses you’ve acquired. How to deal with other professionals. And everyone’s favorite activity: How to take your checks to the bank to cash them!
After you get the required knowledge, you’ll then need to learn the skills that go along with what you’ve learned. And after you’ve learned those skills, you’ll just need to get good at them. So it just makes sense that if you want to learn something, get the knowledge you need, and then learn the skills that go along with what you’ve learned.
For example, if you want to learn Spanish, you’d either take a class, learn online, or learn by immersing yourself in the culture (best way!). But what good is learning the language if you don’t have the skill to communicate in it? So you’d have to practice speaking, listening, and communicating en Español (in Spanish) to truly acquire that skill!
Likewise, if you don’t yet have the skills to properly speak to sellers or buyers so that they not only understand you, but also WANT To do business with you, it’s just like trying to speak Spanish without knowing the language…or get a job coding software but you don’t know how to code. The result?: You’re going to be massively frustrated until you DO learn those skills! Duh!
If you have a hard time stringing a sentence together properly or even just talking to people, it should be pretty obvious that you’re probably going to struggle at this business until you get competent in that skill set. You can either overcome this by hiring someone better than you at that and paying them well, OR work on yourself for as long as it takes, doing whatever it takes until you learn and master this essential skill.
Can You Give Me Some Examples?
Sure! If you’re wanting to be a successful real estate investor, some of the skills you’ll need to acquire include: Communication, to talk to sellers, buyers, and other professionals correctly; Negotiation, so that you can negotiate profitable deals with all required parties; and Sales, so that you can easily & successfully do the previous two.
Another skill you’ll definitely need to get good at is Marketing, because if we’re being honest, we’re really in the marketing business. Everything else comes second after that. Unless you’re a total dunderhead, as long as you are skilled at marketing, you should be able to get the phone to ring, and be successful.
Speaking of communication (pun intended), do you know what many of the highest-paid professionals on the planet all have in common? They’re all excellent speakers, communicators, and persuaders. Do you know what a popular study indicated as people’s #1 fear? Public speaking! It only follows that if most people are afraid of doing something, the market should and will reward those who not only DO it but do it well. Just something to consider, cough cough.
Where Do You Learn These Skills?
The next question to naturally ask is, WHERE do you acquire those specific skills? Remember that all skills are learned. You can either teach yourself or acquire the training needed to learn whatever skill there is. Depending on the field you’re in, those skills are usually taught in some sort of class or school – such as a trade school, if you’re learning how to be a mechanic or work on HVAC units. People who work in fast food, for example, receive on-the-job training to get the skills needed to fry up a burger, ring a cash register, or mop the floors to keep the place clean. Engineers usually get their skills from learning their craft at a university, then those skills are practiced and enhanced when they’re working in their job.
But when you boil it down, there are essentially TWO places to learn:
1. From someone or somewhere else, such as a school, university, private organization/institution or a coach/mentor.
You could even say the internet (YouTube or online courses, for example);
2. From the ‘School of Hard Knocks,’ aka practical experience, aka “the streets.”
Trial and error. Learning the hard way.
All the options above are going to cost you both time and money (except for possibly YouTube, which is free, but may take the longest to find the best/right information).
It is of VITAL importance to consider the source from which you’re learning your skills. Is the teacher or program truly qualified to teach you what you need? Do they themselves have the best possible teaching skills for you to effectively learn? Have they mastered these skills so that they can easily demonstrate their proficiency in them?
It goes without saying that one of the BEST places to learn and master a desired skill is from someone who has already done this themselves. Someone who has gone through all the struggles and still found a great way to make it work…and can then teach that to YOU in a way that not only makes sense, but also works for YOU.
Yes, I’m obviously talking about learning from a great coach or mentor. 😉
So now that you’ve learned a skill, it’s now time to master that skill…
The Simple Secret To Mastering Any Skill
After you’ve learned what you need to learn, then next part is easy to understand. In order to truly master any skill, you must PRACTICE that skill. Over & over again. In a variety of situations & circumstances.
One of the greatest ways we can practice the particular skills we need to master in this (or any other) business is by ROLE PLAYING! It’s fun to do. Just recruit someone who can help you & get crackin’! Make it FUN by practicing with just about anybody you meet, even in social situations, restaurants, on the phone, etc. Make the WORLD your experimental laboratory!
The Power of Choice
The good news is that we ALL get to choose which skills we want to learn. The bad news is that we may not always have the talent needed to be good at certain things. Remember that a skill is basically something that we can learn, while talent is something we were born with. This is why the best combination is to acquire/master the skills that enhance our natural talents.
Talent aside, we still have choices to make. And it’s up to YOU to choose which skills you’d like to learn and master. Then you simply have to get out there and DO it.
Where You Started Is Different Than Where You’ll Finish
When we all start out in the workplace or marketplace of life, we pretty much don’t know a damn thing. Unless you actually paid attention to your parents who had valuable, marketable skills, and they took the time to teach you (a RARE combination), you probably had no skills. Worse, you didn’t even know that you needed to have skills in the first place.
Most people realize the hard way that education is no substitute for skills. Instead, it is often the basis for properly learning and developing your skills. Education is completely different than skill. Another way to look at it:
Skill is the practical and practiced application of specific education.
How To GUARANTEE Your Success
Who doesn’t love a good guarantee, right? So how can we get one in life or business? The answer is so simple, you’re going to kick yourself that you didn’t think of it already. Are you ready? Here it is:
The right MINDSET
+ The right KNOWLEDGE
+ The right SKILLSET
+ The right ACTIONS
= Your Guaranteed Success.
Write that down. Post it up on your wall. Memorize it. Read it every day. And live it.
The KEY to Guaranteed Success is to combine the right Mindset, Knowledge, Skillset, and Actions.
Put those together, and you just can’t go wrong. BUT! If you’re missing just ONE of those, you’ll be scratching your head, wondering why things didn’t work out for you as well as you had hoped.
Think about that, and it will all make perfect sense.
For example, if you have the right mindset, knowledge, and skill set, but you fail to take any action, what will happen? Nothing!
If you have the right mindset and some skills, you take some action, but you don’t know anything, you might have some success, but not as much as you could have if you were properly trained with the right knowledge.
And if you have the right mindset and knowledge, and you still take action, but you don’t have the SKILLS that Pay the Bills, you already know you’re going to be frustrated. It just won’t be easy for you until you get those skills.
It goes without saying that if you have the wrong mindset, nothing else will matter, because everything starts with mindset.
SUPERMAN Has This.
Now YOU Can, Too!
Superhero movies are all the rage these days. We just can’t get enough. The next time you watch one of these blockbuster movies, pay close attention. What’s so special about that hero or heroine on the screen? Is it because they can fly, or are they super strong? Maybe they can shoot lasers from their eyes or run really fast?
Sure, those are all really cool superpowers to have (and who wouldn’t want them?!), but look at things a different way. Instead, imagine that those superpowers really represent SKILLS. Rather than being born with them or mutating to acquire them, or being powered by the sun, imagine that you can LEARN a superpower! What if you could acquire a new skill that truly impresses others or makes you a lot of money or just makes life a lot easier for you? Wouldn’t you WANT that for yourself?
What’s stopping you? What Superpower Skill do YOU want to learn?
As we wrap this up, I’d like to leave you with a quote from a great movie that will really help you put this issue of ‘skills’ into true, deadly perspective. So take it away, Liam Neeson…
“…But what I do have are a very particular set of skills, skills I have acquired over a very long career. Skills that make me a nightmare for people like you. If you let my daughter go now, that’ll be the end of it. I will not look for you, I will not pursue you. But if you don’t, I will look for you, I will find you, and I will kill you.”
-Liam Neeson, from “Taken,” (2008 movie)
Hasta la Vista/Until Next Time,
Copyright 2019 Tony Pearl | All Rights Reserved
So you’re a new investor. Congratulations! One of the essential TOOLS you’ll need to quickly master in this business is the PAPERWORK you’ll use to control and leverage real estate. As they say, “You’re only as good as the CONTRACTS you use!”
Well, the good news is that we’ve got some great contracts. They’re powerfully written in your favor. Not only that, we’ve done all we can to make them as simple as possible – for both you and the people with whom you’ll be doing business (sellers, etc.).
Read this quick report to understand WHAT agreement you’ll need to use WHEN. I’ve written this so that it’s as simple & easy to learn and use as possible.
There are really only TWO situations for which you’ll need to be prepared:
1. When you’re BUYING a house;
2. When you’re going to LEASE PURCHASE a house.
With that in mind, there are only THREE documents you’ll need:
1. A Purchase & Sales Agreement (for when you’re BUYING)
–>How To Be Prepared For Anything (What To Do):<–
This way, you’re ready to buy OR fall back to a lease purchase!
Where to Get These Documents:
–You may get all these docs as PDF Files when you Click HERE (Should be logged into your Google/Gmail account)
Or get the FULL INSTRUCTIONS, DOCS, and everything you need Here:
Contracts For BUYING Page
THE REST OF THE DOCUMENTS WILL BE PREPARED BY YOUR TITLE COMPANY OR REAL ESTATE ATTORNEY!!
This is what we’ve found to be the absolute simplest solution. You focus on doing what you need to be doing: Finding & negotiating deals.
Let the other professionals who will be working for you do their jobs.
After you get your agreements signed, you’ll send them to the title company for them to check the title and begin processing your deal.
That’s it! Hope this helps.
Good luck & good fortune!
Good question, right? That’s exactly what we’re going to discuss in this article, so keep reading…
I recently had another student ask me that familiar question, “Tony, here are some details of a lead. Should I talk to them? Is this a possible deal or not?”
Since I’ve been asked this question more times than I can count, I thought I’d tackle that exact issue right here & now, for everyone’s benefit.
Here’s a typical scenario… You’re going through Craigslist, Zillow, or any source of FSBO leads. Or maybe your VA sent you a lead. Nothing out of the ordinary there, but then you see something a little ‘different’ than what you think you should normally expect. And then you wonder, “Is this even a viable lead? Should I call the seller? Or should I just let it go?”
For example: You see a really ugly house, and you’re looking for pretty houses. Or you see a really pretty house while you’re looking for ugly houses. Or you see a really cheap house while looking for higher-priced homes. Or you see a really expensive house when you’re really trying to find cheap houses. Or maybe you see that a house is being advertised for sale by another investor! Or maybe there’s a house with a motivated seller, but it happens to be listed (with an agent)!
What To Do? What To Do!?!
First, don’t freak out. These things happen. Like, literally, ALL the time! (Millenial speak for ‘this is a common occurrence’)
Next, remember what our essential ROLE is. We are (Cue the trumpets) PROBLEM SOLVERS! Picture yourself arriving on the scene, hands on hips and cape on back, waving in the breeze (even if there isn’t one). We get paid massive sums of money to provide solutions and FIX people’s problems. In this other article, I talk about that very thing – how we are essentially looking for problems to solve in order to provide value to others & make money for ourselves in the process. I suggest you read it when you have the chance.
The downside of that is simply: If there’s no problem/issue to solve, we’re not going to have as strong a position to stand on to deliver value. Therefore, if someone doesn’t have much motivation or flexibility to sell their house, for example, we’re probably not going to be able to do business with them at that time.
For instance, if a seller honestly tells you that they don’t really care if they sell their house or not – that they’re just ‘curious & wanting to see what the market would be willing to pay for their house,’ then get the fuck off the phone immediately. You’re wasting your time, and no matter of skill or sweet-talking will ‘convince’ them to sell you their house on terms or a low enough price to do business!
This is why it’s SO important to be an effective PRE-Screener! So you can quickly identify who is worthy of your time or not. Naturally, I’ll refer you to my article, “The Art of Prescreening” for more valuable information.
With all that in mind, let me now answer the question: “Should you call them or not?”
The answer: “How the hell should I know?!”
Just kidding! The real answer is: “Yes, you should probably call them. What have you got to lose?”
And here’s why: Since you obviously don’t know what the heck is going on with them or their situation, you should go and FIND OUT! Why not call them up, channel your inner Columbo*, and ask a few questions to see what’s going on with them TO SEE IF YOU MIGHT BE ABLE TO DO SOMETHING TOGETHER!
*Columbo was a TV Show Police Detective. If you’re old enough, you’ll recognize the reference. If you’re too young, sorry!
In the most recent case of my cool student asking if he should call the seller or not, it was because the For Sale By Owner Seller was also an Investor! Yes, I recognize that this may be confusing, because if you’re new or just don’t know any better, you might think that we shouldn’t talk to other investors, because they’re essentially doing the same thing we are, and we’d just be competing with them.
That’s the WRONG way to think! Why? Because other investors are just like US… They’re Businessmen (and women). They’re simply looking for a solution to their house issue. They’re (usually) not emotionally attached to their house like many homeowners are. In addition to that, they “get” that we’re looking to possibly structure a deal that makes sense, too, and are often okay with sharing some of the profit of the property if we can bring some value to the table. Truth be told, there are many times I actually prefer dealing with other investors over regular sellers, because of this fact.
For example, let’s say that you have several qualified tenant buyers you’re working with, but only one house to sell (or none!). You have a few people with healthy downpayment amounts, just ready for a house. But you don’t have another house to sell them! So what do you do? Well, one solution is for you to call up as many sellers as you can and try to work out a deal. Another possibility is to call another investor you happen to know and see if they have any deals they’re looking to get filled & can work out some terms with you. Maybe you can partner with them to get half the downpayment/option consideration if you bring the buyer to the table?
That’s just one creative example. This exercise is meant to get you to think.
Let me share a quick story with you. Several years ago, I DID have a tenant buyer who had a sizable downpayment & was really interested in buying a house on a lease purchase in Washington, D.C. I contacted a FSBO seller who was not only an investor but also a real estate agent as well! Double yikes, right?! Wrong! When I asked him what was going on with this deal, I found out that he just wanted to do something quick with the house & was more than happy to walk with only a $500 assignment fee. Since my tenant buyer had more than $10,000 to put down & I was all out of houses at the time, that was what we like to call a ‘no-brainer.’
So we got the deal done. Quickly & easily. Don’t you just love it when that happens? I know I do!
Now as tempted as I am, I won’t discuss numbers as they relate to deals here in this article. If you’ve been sufficiently trained, you should know that stuff by now. If you still need help in that department, you may just ask me. Who knows – maybe I’ll write another article here for you.
Instead, I’m going to focus on the concept of simply talking to people to find out what the problem/challenge/issue is, then finding a way to work together to solve that problem. From there, it’s merely a formality to work out the ‘numbers’ on the deal to everyone’s satisfaction.
Does that make sense?
So with that in mind, here’s the simple advice/tip I have for you today:
Network. Call people. Talk to sellers. Talk to investors. Call me crazy (you won’t be the first), but you can even talk to agents!! Contrary to popular opinion, they’re not (necessarily) the enemy!
Would you believe that I actually did my very FIRST DEAL with the help of a veteran real estate agent?! It’s true! She actually helped me put together a smokin’ HOT Lease Purchase deal that converted to 100% owner financing after one year (after I had shown the sellers that I was a man of my word who did what I said & paid on time).
Remember that you’re looking for what the PROBLEM or the PAIN is. In every deal, we’re looking to either FIND, CREATE, or EXACERBATE a problem so that we may then solve it. And get paid to do so.
This problem may be something related to them, personally, such as a divorce, death in the family, job loss or relocation, or just being a tired landlord. Or it could be with the house, such as it needs too many repairs, or they owe too much & can’t cash out because no one wants to buy it for all cash/get a loan at a high price.
Still with me?
So there’s your somewhat simple take-away. You just don’t know what’s a deal or not until you actually gather the FACTS. It’s not just about the numbers, it’s about the SITUATION. What’s the problem? And can you find a way to solve that problem and get paid to do so?
All this and more will be revealed…
…When you simply pick up the phone and call them. Or talk to them in person, if they’re right there in front of you.
Get to be really GOOD at asking QUESTIONS to find out what’s really going on here.
Just like Columbo. 🙂
QUESTION: Some of the biggest challenges I’ve noticed with mentoring people is the HUGE lack of sales, communication & negotiation skills. Too few people truly possess them. Due to this fact, as well as the glaring omission of true quality training that’s available in this space, I’m seriously considering putting together a course or some training to help teach you the secrets of How to Communicate, Persuade, Influence, and Sell people in a way that is fun, smooth, easy, and profitable.
If this is something that you might be interested in, please let me know by simply sending an email to: [email protected] with the subject “Sales Training Please!” and any questions, suggestions, or comments in the email. If I get enough interest, I’ll do it…and it will incredible, because I have a LOT of super powerful secrets to teach here. Stuff that can massively change your life for the better, just as it has for me.
Again, if you’d like to see this, just send me the email now. Thank you!