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Speaker 1 (00:01):

Hey guys, Peter Vekselman here. I got one of my amazing partners, Joe. Kalemia on the other line on the other side. Hey Jill, how are you? I’m good, Pete. How are you? I’m not sure if this records this, but in case this records, the subtitles. That is not Sarah. That was the first thing I said when Joel logged on. I’m like, I bet you’re married. Aren’t you? So all good. Good. Thanks for, uh, thanks for joining us. So the first thing is Joe, just, um, like I said, this is like, you know, partners talking to partners. Tell us about yourself before us. What w what did your world look like? How’d you find real estate and all that.

Speaker 2 (00:38):

I’m a full-time real estate investor now in Bergen county, New Jersey. Um, we’ve been doing over the last couple of years, basically fix and flips, um, and foreclosures pre-foreclosures in and around the area. Um, it’s been getting extremely competitive over here, very difficult to find deals. Um, and, uh, one of my partners who’s been investing for 25 plus years, um, has been, uh, to many, um, seminars around the country and has break, brought me to a few. And, uh, that’s how I, um, came across Partner Driven um,

Speaker 1 (01:15):

Before, before you get into that, some people, you know, when I talk about it a lot, like it’s competitive out there. People sometimes think they could just jump in and the deals are just, you know, you call a real estate agent, Hey, I want to make a lot of money in a real estate agent. Just lays it on the platter. Talk, talk about the reality, like of real estate. Like when you say competitive, talk about that, what that means.

Speaker 2 (01:35):

Yeah. It’s, uh, it is, it’s very difficult to, um, to find a deal that that makes sense. Um, you know, whether it, if know, we have the resources to rehab, uh, properties on our own, and it’s, it’s very difficult, nevermind. Trying to, uh, wholesale a deal like that to another investor, because now you have to take an additional discount in order to do that. Um, so we have tried to learn many different ways, um, uh, uh, finding deals and becoming a true transactional engineer in order to open our horizons, uh, in order to take down more and more deals, but it is extremely difficult. You can’t just call up a realtor and try and tell them what you’re looking for and have this come to you. You really have to be proactive, um, and find different ways to find direct to seller motivated seller leads. And then you got to get on a phone, I feel, um, and start making those calls, um, and, and just hit the phone every single day. Um, and it’s like, everyone says, it’s a numbers game. It truly is. Um, the more and more you do it better and better you get, and the better chance you have of finding a deal.

Speaker 1 (02:44):

No question. What do you think, um, was the biggest thing lacking in your initial real estate model? I mean, I know it’s competitive, but like, what was the one piece that you and your partners that was like, that was the one piece that was really missing?

Speaker 2 (03:01):

Definitely like everyone says is lead generation. Um, and then, you know, once the way I find the most leads for me is Facebook marketing. I started getting into that and, um, trying different things. And I, I started getting leads that way. Um, in my area, it, it was not easy because people were getting retail value for their homes and getting multiple offers every single day. Um, so I had to kind of venture out into different areas, um, to find someone who didn’t just want to sell their home, who needed to sell their home. And that’s a big difference. Um, but once you get someone that truly needs to sell their home, they’re willing to work with you. Um, and that’s how I was able to start getting leads that, um, had a chance of becoming a deal.

Speaker 1 (03:44):

What initially, well, first of all, how did you find us?

Speaker 2 (03:49):

So I was like, I was saying, my partner has been investing for twenty-five plus years. He’s been around a while. And, um, he, he showed me partner-driven, uh, and said, this might be something that could be, could be good for you, um, to start getting some deals under your belt on your own. So I looked into it and it was kind of at the same time when I was creating leads in other parts of the country where it was completely virtual for me, I needed kind of the hand-holding to help me do a virtual wholesale deal, because I’ve actually never done a wholesale deal anyway. Um, so to do it in a virtual market is something that I really needed to help, um, to do that. So I felt that partner driven would be that, um, that help, that I definitely needed in order to actually do some deals outside of where I’m living.

Speaker 1 (04:39):

Yep. I love it. And obviously, you know, I don’t want to get into it. You know, you already sensed that before you even got started with us, but I’ve been preaching, especially recently with everything that’s going on, that the opportunities for a wholesale deals right now are huge. Um, you know, a lot of people got pushed out of the market for obvious reasons. You know, a lot of hard money dried up, you know, a lot of hedge funds are, you know, having capital costs. So they’re not lending. So that cleared the model, the market. But what that did is it introduced a lot of new players into the market people cause, cause you know, there’s plenty of people have cash and, and those people are even willing to overpay a little bit. So now what we’re seeing is we’re seeing margins, um, on the wholesale deals, believe it or not that sometimes we were only getting on the fix and flips just because there’s so many new players in the marketplace with cash and, uh, you know what, they were paying a little bit, they just need inventory. So you, you are thinking even before they’ve even started thinking as before this whole, all this stuff started happening. But I mean, exactly what I’ve been preaching recently is exactly what you’re thinking. So awesome. I’m glad. Uh, so you found us, you, you, you, you, you, you now you’re fairly new with us, but from my understand, you already have some success going on. Talk about it.

Speaker 2 (05:53):

Yeah. So, um, you know, once I joined up, um, last Wednesday, um, I was still calling my leads, um, left and right. And, um, on, uh, I think Thursday afternoon I ended up calling a seller in Georgia. Um, yeah, it was in Georgia and, um, you know, she just, basically, it was the perfect model for what I was looking for. It was a motivated seller that needed to sell someone who bought a home, was gonna, was gonna renovate it and then just, um, ended up, uh, having some family issues and just couldn’t bear, uh, the renovation costs anymore and just really wanted to get rid of it. And after going back and forth with her, I ended up, um, getting it for what she paid for, um, back a couple of years back a couple of years ago. Um, so I was able to lock up the deal that way. And so I think I joined partner-driven on Wednesday and by Friday afternoon I had that under contract. Um,

Speaker 1 (06:48):

That’s awesome. What, give me, give me someone, I know it’s preliminary, give me some preliminary numbers.

Speaker 2 (06:53):

Um, so, you know, based on what I could see and what the, I, I spoke to a local realtor there that’s been around for a long time. He sold the house right down the street. It’s an old Victorian house and he saw one that’s very similar old Victoria and a little bit bigger. He sold that for three 19, a few years ago. And I said, you know, this one’s pretty similar. It can conservatively say ARV 2 75 to 85. And he said, absolutely if you fix that up. Um, and, uh, it would probably needs, I would think close to a hundred thousand dollars in repairs. Um, but I locked it up for 58, 5. And you know, based off if you did the, you know, Mayo of 70% ARV minus a hundred thousand, I’m still even an investor. Uh, if I sell it for a hundred thousand, that’s $110,000 where he’d want to be, if he was going to, you know, uh, retail value at 300,000.

Speaker 1 (07:47):

Awesome. That’s awesome. Again, we’re still in the forefront of the deal, so we’ll see what happens, but that’s totally awesome. You know, this is interesting because the one thing we constantly hear, and you’re a great guy to ask this, to kind of address this a lot of times. And I, and I know it’s not just us. It’s, it’s, it’s everybody. When people say you cannot get ahold of a direct seller, it’s impossible. You got to go through some intermediary, you gotta go through realtor, you got to go through a wholesaler. You know, people will be like, oh, wait, calling sellers is a waste of time. They’re hard to get ahold of you have experience. Obviously you understand, that’s not true, but talk from somebody who’s actually doing it and having success. Is that not the ultimate way to build this business?

Speaker 2 (08:29):

Yes. And you know, what’s funny is when I first started, I thought those same things that, um, it’s going to be impossible for me to get someone on the phone. That’s going to want to sell something to me and, um, be able to work with me to create a deal in my behalf. Um, but the more and more I just said, I just got to do it. I started getting better and better on the phone. And I probably make, I was thinking about today probably close to 50 calls a week. Um, and I could probably be doing more, but you know, I’m doing other deals too, her around here, but I would say probably 50 deals, 50 calls a week. So you start adding that up. Um, we’re getting better and better. Um, and you know, you start realizing what you can do. And I think you do a, a couple of videos on partner-driven there about negotiations. Um, and it’s it. You make very good points that you can really negotiate the better and better you are at negotiating the better and better you’re going to be at this business. And, uh, becoming a master on the phone is what you really need to do. Um, and then that’s how you start seeing your chances of creating deals. Skyrocket.

Speaker 1 (09:27):

You got it. I mean, that’s, that’s like playbook, you know, one-on-one, um, you know, interesting. Some of my biggest partners now we did start out and actually, I, I hate to see as the words start out, because now even a couple of years into the process, we’re, we’re killing it on the wholesale side, but on the other side of that, Joe, and you could address this too. A lot of people will like get ahold of us and they’re like, I want to do wholesale deals. And then we’ll walk through our program that we split the profits. So like, oh, I don’t need a partner in wholesale. It’s so easy. I could just do it all myself. Why would I want to split profits talk about like, why would you, somebody who has already got experienced, I will not sell you on a wholesale side, but you, you, you know, obviously you understand real estate talk from your perspective, why would you partner with us? You know, conceptually, you know, you could possibly do it yourself.

Speaker 2 (10:18):

Yeah. Conceptually I could, but you know what it is. Um, so for me, I’m a big team guy. Um, whenever I could be a part of a team, uh, that just makes me feel that much more confident and comfortable, um, and, uh, learning about partner-driven that they split the profits with you 50 50 and help you along the way, um, through some of the clerical things with the closing process and, um, you know, finding attorneys or title companies, whatever it may be in a virtual market. It just said, you know, it was everything I was looking for. Um, and it also reduces kind of the risk, um, that I have and the amount of deals that I can do because now it’s on limited. I just got to keep making those phone calls. Um, and I got to work the numbers and, you know, I know that I know what numbers I need to be at.

Speaker 2 (11:02):

Um, and as long as I can do that, um, then th there’s, it’s unlimited of how many deals that I could do per month, per year, whatever it may be. And then on the flip side, if I did want it to do a fix and flip in this area, or if I had boots on the ground somewhere, um, you know, we could do a rehab at a hundred percent of the costs. Again, it’s no risk to me, but still, um, going through that entire process, going through that whole deal and still getting 50% of the profit, it just, it was a no brainer to me.

Speaker 1 (11:30):

Yeah, no, you’re, you’re like textbook totally textbook. And I always tell it’s the guys that are already doing this, their textbook it’s somebody who has no idea what, you know, a couple of things you hit on. Number one. And I, I preach this all the time. It’s a business of leverage, right? I mean, it’s it, the pie’s big enough and I’m always want to leverage myself out as much as possible through other people and other partnerships. And the other thing that you hit on that’s, you know, so many new people, I, it may be new, but maybe even a more experienced, I understand it’s a business, it’s a team kind of a business, you know, sometimes you think, well, it’s, it’s a one man. It’s a one woman show. And I always point out to them. I’m going to see again, it could be, but then you’re thinking small, you know what I mean?

Speaker 1 (12:10):

You’re thinking small, if you literally want to do everything yourself. So yeah, no, no question about it, man. Listen, I appreciate it. I told you I was only going to hold you for a couple of minutes. I appreciate you taking the time, Joe. You’re you’re, you’re a great partner. I mean, you just even keel just talking to you. I just say, you know, some people just go up down, up, down, you just, you just straight forward. I love it. Glad your partner was get some closings behind us. And uh, and I want to keep on showcasing, you know, you’re, you’re a great example for a lot of people. I appreciate you taking the time. Thanks a lot, Joe. Thanks buddy.