All Forum Posts by: Stephen Morales

Quote from @Sam Spoerl:

@Stephen Morales thank you. That's very helpful

 Anytime! Glad to be of service.

Quote from @Chris Pontello:

When you put it that way, it doesn't make sense. 

I've listened to some "internet gurus" talk about being able to pay more for a house (through subject to) than its currently worth because of how much the backend value would be. 

So paying the $2 extra for the juice, but being able to portion it out in cocktails that you can charge much more for... 

Paying more to guarantee getting the product versus jumping through hoops (short sale) or possibility of now owning it at all (auction).

I'm only asking questions to understand! I appreciate all the wisdom! 

Hey @Chris Pontello  

Just wondering what you ended up doing with this deal. If it were me, a shortsale through the seller is the way to go. It may be a bunch of hoops to hop through and a lot of waiting around... but if it's worth the upside then I wouldn't have any complaints. 

You also seem like a pretty compassionate person, which I applaud you for. But at the end of the day, we are not a charity...we are running a business. 

And the best thing you could've done for her here is helping them offload the property and avoid a foreclosure on their record. 

Quote from @Sam Spoerl:

@Stephen Morales thank you for this confirmation on the process working. Do you have a triple line dialer you prefer?

 So if you are committed to the process, I would look at Kixie. They have one of the highest connection rates of any dialer system but they do require some form of written agreement. Ready mode is a great alternative as they do month to month subscriptions and also provide great connection rates

Before the TCPA restrictions and TCR became a thing in 2023 we were having very high delivery rates and could send out 1200+ messages a day with no issues. 

Now anyone that does cold SMS blasting is technically doing it illegally and are subject to fines of $500 per text sent and 1500 per willful violation if they do get reported. The ones that continue to do it accept the risk of being fined. I know someone that has been fined 3x in the same week for doing cold text, but he is still doing it anyways...

Cold calling is still tried and true and more cost effective if you do it yourself. You still need volume but I would say conversion rate is much higher cold calling vs SMS outreach. 

Cold calling you still need a good dialer system that provides quality numbers you can use for calling. Readymode and Kixie have some of the highest connection rates we've seen recently with kixie being at 30% connection rate some days. Also, if you look around close enough, you can find some pretty amazing data providers to get high quality lead lists...

Hope this helps!

Well if they both agree to sign then it sounds like you have a good deal on your hands. I wouldn't look too much into this until you actually talk numbers with both divorcees. If the divorce hasn't been filed and there is motivation from both of them wanting to sell then as long as they both sign you're good to go. 

If not, it's best to wait until the divorce is finalized before getting under contract IMO. Don't want to get under contract during a divorce case and the court puts the property under a restraining order. 

Quote from @Jay Hinrichs:

Quote from @Stephen Morales:

Quote from @Jay Hinrichs:

Quote from @Stephen Morales:

Quote from @Susan Swanson:

Hi Jay,

There was definitely FOMO! I believe there were good underlying intentions, but when greed took over, it set the stage for investors being misled.  There were people getting pictures of close to finished properties that weren't theirs just to keep the charade going.  This intention was pure deceit.  Thankfully, I am boots on the ground here in SWFL for my investors.  I literally go take pictures & video of the properties with the address clearly showing.  Infrastructure has to be in place and this is what all these impact fees are for. It would be nice if all builders had your same knowledge and integrity.  Fortunately, there are many with this level of integrity and more due diligence is necessary and aligning with the right people and companies. 

Do you see Lehigh Acres being overbuilt?

There is certainly an oversupply of lots going on the market. I feel like I get an off market lot from Lehigh every couple of days. As far as I know they have been experiencing infrastructure issues for some time now 

 infrastructure issues from the day they recorded the subdivision platts. those lots have traded at tax sale and foreclosures for decades now.. just like many areas like it in other parts of the country.. just watch Glen Garry Glen Ross to see how those parcels were orginally sold.. that movie is dead on accurate. Plus its a classic.. Coffee is for Closers :)

IT TAKES BRASS BALLS TO SELL REAL ESTATE! xD Man I love that movie lol.

 well I grew up in that Movie my Dad worked as a land salesmen in the early 60s and he brought me along with him.. as a salesmen you got 2 or 3 leads a week.. company provided.. well hard to make a living iwth that few leads.. My dad decided to self gen his leads.. much like you wholesalers self gen leads today.

he bought a printing press I printed off door hangers after school and then my mom drove us to neighborhoods and we physically handed out the flyers door to door.  I would get 3 of my buddies that all wanted to make 5 bucks that day.. Of course could never do that today a bunch of 10 year olds walking through neighborhoods.  but that led to my Dad getting 10 to 20 leads a week and within a year he was top sales men and in two years started his own land business of which at 18 I got my RE license and started selling dirt.. 

In 1984 I was on a CA senate sub committee dealing with antiquated subdivisions that are all over Ca as well as the West and FLA.. we had a big convention in Ft. Myers and toured Le high with the local planners.. so I have some pretty unique experience and knowledge of the area.   And that market crashed like a lot of FLA in 08  I was buying brand new homes at courthouse in Lehigh for 30 to 50k each never lived in.. Had to watch out for Chinese drywall though.  Same house are what 250 to 350k today.. but that is a boom bust market if there ever was one.

 That's an amazing story Jay, You're parents are awesome! That is the kind of commitment and support that you need to be truly successful. Great team work!

I remember back in 2010-11 those were the glory days of picking up properties for cheap. I still wish we did in-person tax auctions to keep the competition local. But alas, those days are long gone. I remember selling one of my investors portfolios and like 5 of the 30 they sold they got at auction in 2011 for around $5,000 in Jax. Those same properties are fetching $100-150k. 

Thanks for sharing your story Jay!

Quote from @Jay Hinrichs:

Quote from @Stephen Morales:

Quote from @Susan Swanson:

Hi Jay,

There was definitely FOMO! I believe there were good underlying intentions, but when greed took over, it set the stage for investors being misled.  There were people getting pictures of close to finished properties that weren't theirs just to keep the charade going.  This intention was pure deceit.  Thankfully, I am boots on the ground here in SWFL for my investors.  I literally go take pictures & video of the properties with the address clearly showing.  Infrastructure has to be in place and this is what all these impact fees are for. It would be nice if all builders had your same knowledge and integrity.  Fortunately, there are many with this level of integrity and more due diligence is necessary and aligning with the right people and companies. 

Do you see Lehigh Acres being overbuilt?

There is certainly an oversupply of lots going on the market. I feel like I get an off market lot from Lehigh every couple of days. As far as I know they have been experiencing infrastructure issues for some time now 

 infrastructure issues from the day they recorded the subdivision platts. those lots have traded at tax sale and foreclosures for decades now.. just like many areas like it in other parts of the country.. just watch Glen Garry Glen Ross to see how those parcels were orginally sold.. that movie is dead on accurate. Plus its a classic.. Coffee is for Closers :)

IT TAKES BRASS BALLS TO SELL REAL ESTATE! xD Man I love that movie lol.

Quote from @Lynn Misiaszek:

Hi all!

I am new to the real estate and wholesale world in MA. I started doing some Facebook ads, but I am wondering what metrics I should be looking at/for?

What should I be aiming for?

Thank you!

 Hi Lynn,

Just checking into to see how your FB ads worked out. Have you looked into exploring other methods for lead gen? 

Quote from @Oumar Yacoub:

Hello everyone my name is Omar I’m 24 ,just recently came across wholesaling  and I started doing some research on it and it seem like it’s the best option for me now to get my foot on the door and eventually start doing flips down the road. 
since I’m new to wholesaling and barely know anything about it what books, YouTube chancel, podcasts, even a course that might help me get on track and learn the fundamental of wholesaling.

I always come across some type of strategy of real estate that I might consider to pursue but I never end up staying consistent and taking action but my goal is just to learn about wholesaling and find a way to take action now.

Well...first thing you need to do is figure out if this is something that you really want to do. You can sit and watch youtube channels all day making the creators more money or start applying that knowledge to make success happen for yourself. 

Find out why you aren't staying consistent. This is where you need to do some internal reflection and really have envision what you want and what you're willing to sacrifice to achieve it. 

Without vision you'll quit and if you stay in your head, you're dead. 

The biggest thing you would have to think about is the tax implications. As an individual I believe you would have to register and get an ITIN to file a 1040-NR. Not 100% sure and this is not tax advice or legal advice.