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Speaker 1: An illegal alien from Guatemala charged with raping a child

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Speaker 1: in Massachusetts. An MS thirteen gang member from Al Salvador

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Speaker 1: accused of murdering a Texas man of Venezuelan charged with

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Speaker 1: filming and selling child pornography in Michigan. These are just

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Speaker 1: some of the heinous migrant criminals caught because of President

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Speaker 1: Donald J. Trump's leadership. I'm Christy nom the United States

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Speaker 1: Secretary of Homeland Security. Under President Trump, attempted illegal border

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Speaker 1: crossings are at the lowest levels ever recorded, and over

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Speaker 1: one hundred thousand illegal aliens have been arrested. If you

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Speaker 1: are here illegally, your next you will be fined nearly

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Speaker 1: one thousand dollars a day, imprisoned, and deported. You will

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Speaker 1: never return. But if you register using our CBP home

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Speaker 1: app and leave now, you could be allowed to return legally.

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Speaker 1: Do what's right. Leave now. Under President Trump, America's laws,

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Speaker 1: border and families will.

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Speaker 2: Be protected sponsored by the United States Department of Homeland Security.

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Speaker 3: So real estate is and will be probably one always

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Speaker 3: one of the greatest investment tools out there, especially because

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Speaker 3: of the tax benefits that come with it. And you

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Speaker 3: have to understand the tax play behind buying that much

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Speaker 3: real estate as well. So these people are rich and

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Speaker 3: wealthy and they're trying to hedge their taxes and minimize

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Speaker 3: it too. So what's the best player real estate, brick

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Speaker 3: and mortar. Because of things like depreciation, cost segregation, there's

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Speaker 3: a lot of different things that you can do to

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Speaker 3: offset your wins. If you got huge capital gains, you

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Speaker 3: can put that in ten thirty one changes, buy real

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Speaker 3: estate so you defern your taxes down the road. Right.

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Speaker 3: Real estate gives you all these plays that the wealthy

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Speaker 3: use at scale to continue to grow their wealth. Whereas

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Speaker 3: with us in our community, we like to listen to

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Speaker 3: everybody else, but instead of following the money.

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Speaker 4: My graduates from my school being forced back drops drop.

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Speaker 2: Mike, drop back drop.

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Speaker 5: All right, guys, welcome back. We got a stranger to

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Speaker 5: the program. Stranger somebody that you might not have ever

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Speaker 5: seen before, Matthew Garland.

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Speaker 3: And at all that's five eight seven and LS snow

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Speaker 3: five eight seven zero zero. But it's all good. Yeah.

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Speaker 3: The mortgage guy, The mortgage guy.

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Speaker 5: Matthew Garland, CEO of the Garland Group. UH, star of

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Speaker 5: Ransom Gyms see UH international speaker.

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Speaker 3: International speaker. You gotta add that to the resume.

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Speaker 6: Of course, damn sure to be having gyms.

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Speaker 3: You know, I got a let in my bio now

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Speaker 3: international speaker.

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Speaker 5: True, Okay, that's a fact. Yeah, real estate experts. So

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Speaker 5: obviously you guys are familiar with man if you're familiar

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Speaker 5: with Earn your Leisure. He's been on a variety of

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Speaker 5: different times, Market, Monday's invest Fest, you name it. He's

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Speaker 5: always around providing great insight when it comes to real estate.

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Speaker 5: And we did two episodes so far, and you know,

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Speaker 5: whenever it is time, I feel like it's time to

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Speaker 5: revisit this real estate conversation. So like this at the

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Speaker 5: beginning of the year twenty twenty three was a great

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Speaker 5: time to have the third trilogy three p. There's so

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Speaker 5: much stuff that we haven't talked about before, and there's

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Speaker 5: so much stuff that has changed a lot of people.

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Speaker 5: Are you know, nervous economic environment that we're in, interest

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Speaker 5: rates and recession, different things of that nature.

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Speaker 6: So and on a personal level, during this time, we've

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Speaker 6: had a relationship of you helping us with our properties. Absolutely,

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Speaker 6: So that's even something that we're going to add to

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Speaker 6: this conversation too.

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Speaker 5: I love it, Yeah, I love it so you know,

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Speaker 5: it's back to the blueprint man of education. Heavy gyms

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Speaker 5: try to provide as much value as possible and help

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Speaker 5: some people out.

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Speaker 3: Man.

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Speaker 5: So first formal, thanks for coming, appreciate.

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Speaker 3: It, love fatus. It's a three P. I appreciate the opportunity.

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Speaker 3: As always. It's always good to be back with my guys.

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Speaker 3: Let's make it happen. Let's do it. Let's do it.

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Speaker 5: So all right, all right, let's not even waste any time.

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Speaker 5: Let's get into this.

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Speaker 3: I think it was the first time I wore a

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Speaker 3: suit on the shop on the show.

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Speaker 6: This is the first time you had a red sworst

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Speaker 6: shirt on an episode twelve, the Gold episode and your

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Speaker 6: second appearance you had I think you might have a

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Speaker 6: flannel shirt, had a flannel joint.

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Speaker 3: Yeah, and we.

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Speaker 6: Had just moved downstairs to kind of shoot, so that

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Speaker 6: was that was cool too.

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Speaker 3: Yeah, okay, three different flavors, three different episodes. I liked.

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Speaker 3: I like the way this is gone.

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Speaker 5: Let's talk about something that we never spoke about before,

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Speaker 5: which is v a loans copy for veterans. There's a

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Speaker 5: lot of veterans that watch us. We actually have an

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Speaker 5: Infinity groupment Eyo University for veterans, whether it's Navy, h army, uh,

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Speaker 5: you name it, the whole situation. Right, A lot of

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Speaker 5: people have served the country and it's benefits with that.

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Speaker 5: But and even some alumni. Aristotle is a veteran. Yeah,

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Speaker 5: we got a few other veterans, but a lot of

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Speaker 5: times that they're not educated on what they actually have.

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Speaker 5: The credit credit credit.

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Speaker 3: Definitely, what's up with this VA loan situation. First of all,

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Speaker 3: thank you guys for your service. We appreciate your sacrifice

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Speaker 3: and everything you do for us in our country to

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Speaker 3: keep us safe here in America. So I don't want

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Speaker 3: that to My father is a veteran also, so it's

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Speaker 3: nandad in my heart. If you've been in my studio

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Speaker 3: or see me on my content, I have his flag.

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Speaker 3: When he passed away, they gave me the flag, so

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Speaker 3: I have that kind of like right next to me

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Speaker 3: when I shoot all my content. So, first of all,

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Speaker 3: shout out to all the veterans. But a VA loan

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Speaker 3: is one of probably the best loans that's available out

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Speaker 3: there in the marketplace. It's an underutilized product. I don't

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Speaker 3: think a lot of people speak about VA loans, and

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Speaker 3: that's why I'm happy that we're having this conversation. So

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Speaker 3: let's first start off with the credit score requirements. Most

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Speaker 3: lenders will have a minimum credit score of a five

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Speaker 3: to eighty to qualify for a VA loan. It's one

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Speaker 3: hundred percent financing no PMI. PMI is private mortgage insurance.

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Speaker 3: So typically when you put down less than twenty percent

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Speaker 3: down on a property, you have to pay the PMI,

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Speaker 3: which is insurance that's insuring the bank, not you, the

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Speaker 3: barwer in case you default on the mortgage, that that

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Speaker 3: loan is insured and the bank can basically get their

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Speaker 3: money back from the insurance company. Right. So, VA loans

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Speaker 3: have no PMI. It does have a fund and fee

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Speaker 3: when you do a VA loan, which can be on

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Speaker 3: average around two percent just depending on your status. If

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Speaker 3: you are one hundred percent disability then disabled veteran, then

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Speaker 3: you don't pay a fund and fee, But typically most

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Speaker 3: VA loans that we're doing come with around a two

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Speaker 3: percent fund and fee which gets financed into the loan. Now,

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Speaker 3: with a VA loan, you can purchase a primary residence.

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Speaker 3: It's not for investment properties. I just want to be

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Speaker 3: clear on that it's for primary residents. You can buy

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Speaker 3: condo VA approved. If you could buy condo that is

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Speaker 3: VA approved. You could buy one family, two family, three family,

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Speaker 3: four family properties. They have to be owner occupied multifamilies.

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Speaker 3: The requirement to for VA to live in the property

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Speaker 3: is for one year, just like an f h A,

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Speaker 3: so you have to live in that property for one year.

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Speaker 3: But the main thing, there's a couple of things I

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Speaker 3: want to discuss with a VA that's very important. Number

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Speaker 3: one is your certificate of eligibility your COOE. So to

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Speaker 3: determine how much of a loan that you can get

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Speaker 3: from a VA, you have to provide the lender or

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Speaker 3: the lender can pull what's called the COE, your certificate

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Speaker 3: or eligibility, and it will tell you exactly how much

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Speaker 3: entitlement that you have from the VA. To determine what's

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Speaker 3: the maximum, the possible maximum loan amount that you can

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Speaker 3: get financed for using a VA loan. Now, unlike well,

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Speaker 3: VA loans don't have a minimum a maximum loan amount requirement.

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Speaker 3: So if you go an FHA loan or a conventional mortgage,

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Speaker 3: you have a maximum loan amount. So let's just keep

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Speaker 3: in this so in New York, I'll just keep in

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Speaker 3: New York so a simple what a one family right now,

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Speaker 3: because this is considered a high cost area, you can

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Speaker 3: get an FHA or conventional mortgage million dollars on a

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Speaker 3: single family property, a four family property, you can go

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Speaker 3: up to like two million, a little bit under two

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Speaker 3: point one million somewhere around there. So the loan limits

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Speaker 3: increased in twenty twenty three, which is great because home

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Speaker 3: prices have been appreciated. But with VA loan there's technically

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Speaker 3: no minimum or no maximum loan amount for the VA.

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Speaker 3: It's all on how much eligibility you have and obviously

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Speaker 3: how much you can qualify for with your debt to

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Speaker 3: income ratio and your residual income, which I'm gonna go

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Speaker 3: into in a bit. So that's another great thing about

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Speaker 3: a VA loan. You can buy a single family home

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Speaker 3: one point five million dollars and get one hundred percent

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Speaker 3: finance and on it with a low interest rate with

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Speaker 3: no PMI.

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Speaker 6: Let's say you do do that, and you do a

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Speaker 6: loan for one point five is there a millionaire tax

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Speaker 6: that comes along with that, like.

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Speaker 3: A Manchi tax man tax? Right? So in New York,

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Speaker 3: if you purchasing a property over a million dollars, you

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Speaker 3: have mansion tax, which you guys happily had to pay, right,

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Speaker 3: mansion tax anybody but New York. That's common, right, A

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Speaker 3: million dollar house in New York is kind of like

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Speaker 3: the normal. It's like an everyday house. New York is

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Speaker 3: very expensive, but yes, you have to pay a man

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Speaker 3: attach other states it varies, you may not have to pay.

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Speaker 3: But I would say check which you know, your realtor,

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Speaker 3: or your local lend or whoever you work and with,

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Speaker 3: to see if you have to pay any type of

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Speaker 3: mansion tax.

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Speaker 6: Is there like a percentage that the standard mansion tax.

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Speaker 3: Is New York is one percent one percent, So a

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Speaker 3: million dollar sales price, you're going to pay ten thousand

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Speaker 3: dollars or in closing costs on top of all the

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Speaker 3: other fees that come with, you know, buying a property.

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Speaker 3: So if you're buying over a million dollars, it can

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Speaker 3: definitely get more expensive, especially in this state like New York.

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Speaker 3: So that's why you have you can't be house rich

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Speaker 3: and cash boy. You have to have money when you

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Speaker 3: go into that ballpark, right, But with a VA loan again,

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Speaker 3: you can go up to a million and a half.

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Speaker 3: You can go one point seven million. I've done loans

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Speaker 3: myself one three, one four when the loan amounts were

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Speaker 3: a lot less for conventional and FHA. So that's a

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Speaker 3: huge benefit for that veteran who can qualify for that

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Speaker 3: that large of a house. Right, And that's nationwide, so

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Speaker 3: it's not not determined on region where you live. If

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Speaker 3: you live in Kentucky and your veteran, you can get

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Speaker 3: approved for a million dollar loan with the VA if

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Speaker 3: you have the eligibility to do so, right, So that's

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Speaker 3: number one, right, But the most important thing I want

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Speaker 3: to touch on when it comes to a VA loan

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Speaker 3: because the most portant ingredient on any loan is the

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Speaker 3: debt to income ratio your DTI. Right, But what VA

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Speaker 3: you have what's called residual income, and that residual income

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Speaker 3: calculates basically, how much money do you have left over

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Speaker 3: after all of your expenses? Can the veteran truly afford

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Speaker 3: this house? And they taking your household thoughts. Right, So

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Speaker 3: let's just say, for example, you have a family of four,

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Speaker 3: right the VA, and if you're living in the Northeast,

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Speaker 3: they want to see after you're withholding has come out,

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Speaker 3: so they're looking at your gross income and they're going

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Speaker 3: to mind us out. You're withholdings like your fighter, your

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Speaker 3: social Security, all the taxes, you paying, your W two wages.

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Speaker 3: Then they're going to take the mortgage payment minus that

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Speaker 3: out of it. Then they're going to take your utilities

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Speaker 3: on the home right. And if you don't know what

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Speaker 3: the utilities are, lenders will use a calculation. It's usually

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Speaker 3: the square footage of the home times point one four percent,

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Speaker 3: and so if it's a two thousand square foot home

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Speaker 3: times point one four percent, that comes into like two

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Speaker 3: hundred and eighty dollars. That will guestimate what your utilities are.

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Speaker 3: We looking at childcare, we're looking at you know, student loans,

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Speaker 3: car loans. Everything goes into this calculation. And then at

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Speaker 3: the end of the day, after all of that is spent,

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Speaker 3: do you have at least one thousand dollars a month

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Speaker 3: left over? And if you do, you qualify right, and

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Speaker 3: if you don't, you don't qualify. So, for example, I've

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Speaker 3: seen Dell's where you might get an aus aprise, which

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Speaker 3: is the automated underwriting system that all lenders use that says, okay,

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Speaker 3: your DTI is X, it works, But then you might

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Speaker 3: not meet the residual income qualifications, and that can decline

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Speaker 3: your loan. So it's very important that veterans understand it,

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Speaker 3: and anyone, any real estate professional, any loan officer who's

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Speaker 3: working with VA clients, they understand the residual income calculation

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Speaker 3: because that right there can make or break your deal.

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Speaker 3: So what I try to advise any veteran or anybody

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Speaker 3: who's looking to buy a house, you not only just

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Speaker 3: want to get pre approved, you want to make sure

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Speaker 3: that the lender that you're working with has the ability

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Speaker 3: to submit your loan into underwriting. Why you're in that

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Speaker 3: pre approval status so that way an underwriter can reveal

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Speaker 3: your loan and get you what's called a pre underwriting

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Speaker 3: commitment or loan commitment while you're still in that home

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Speaker 3: buying stage. Because now you know it's been reviewed by

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Speaker 3: an underwriter. You know your commitment letter is legit. It's

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Speaker 3: not just some loan officer sending your life and saying, hey,

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Speaker 3: your pray approval for X, Y and Z. Go out

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Speaker 3: in the house shop. And then when you get a

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Speaker 3: house and then you get in the contract, you do

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Speaker 3: all these dispections, pay for appraisal, and then you go

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Speaker 3: to underwrite and you get the climb because they didn't

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Speaker 3: do the calculations properly from the very beginning. It happens

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Speaker 3: all the time, so that residual income is extremely important

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Speaker 3: when it comes to VA loans for all veterans out there,

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Speaker 3: for all professionals who are originating these loans. And that's

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Speaker 3: a lengthy process. Yeah, a lot. It's a lot of information,

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Speaker 3: a lot, a lot of tape, a lot of work

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Speaker 3: that has to be fouled.

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Speaker 6: You can correct me if I'm wrong, But VA loans

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Speaker 6: and one of the reasons that people use it and

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Speaker 6: it's a great loan product, is that there's no down payment.

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Speaker 3: Correct, it's one hundred percent financing for a VA loan. Now,

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Speaker 3: typically with a VA loan, it's if you are buying

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Speaker 3: the house and you're the veteran, you can get up

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Speaker 3: one hundred percent finance. And another thing also, you can

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Speaker 3: use the VA loan more than once, so it's not

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Speaker 3: like FAHA where you have to refinance out of the

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Speaker 3: FA to use the FAH loan. Again, right, with a

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Speaker 3: VA loan, if you have enough eligibility on your COOE,

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Speaker 3: you can buy another property. It just has to be

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Speaker 3: your primary residence. Now on that second property that you purchase,

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Speaker 3: you're not you're probably going to have to put some

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Speaker 3: sort of down payment because you use a lot of

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Speaker 3: your entitlement already to buy your first home. But necessarily

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Speaker 3: you don't have to refinance out of that initial property

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Speaker 3: that you purchase to use your VA loan again. So

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Speaker 3: it gives you the ability. I've seen people that have

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Speaker 3: three or four VA loans all still active because they

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Speaker 3: didn't burn up their eligibility by going out and buying

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Speaker 3: a million dollar million one point five million dollar house

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Speaker 3: the first go around. They probably bought a two three

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Speaker 3: hundred thousand dollars house, started slow and work their way up,

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Speaker 3: and they still have had enough eligibility to use their

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Speaker 3: VA over and over and over.

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Speaker 5: A loan is they give you a certain amount of

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Speaker 5: money correctly.

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Speaker 3: Depending on your status of how you got discharged.

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Speaker 5: Depending on how long you work.

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Speaker 3: Exactly.

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Speaker 5: So it's like you might have a million dollars.

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Speaker 3: It's not that it's like and I'm not even going

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Speaker 3: to try to get into that. Go get the home

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Speaker 3: Boys Blueprint. It's a part of E Y L University

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Speaker 3: Volume one. We kind of break all the rest. Great

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Speaker 3: resource you know, it's a great resource that kind of

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Speaker 3: breaks down the calculations and everything like that. But essentially, yes,

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Speaker 3: the certificate eligibility will tell Linda, if this is your

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Speaker 3: first time using it, if you have used it multiple times,

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Speaker 3: how much of your eligibility is available, and then there's

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Speaker 3: a whole calculation that we have to do on our

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Speaker 3: and to determine exactly how much of a loan that

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Speaker 3: we can get you approved for. So it's a process

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Speaker 3: on our end.

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Speaker 6: If you have one, then you obviously you get the

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Speaker 6: additional properties. Are they looked at as investment properties because

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Speaker 6: I know you said you can't use as rental.

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Speaker 2: It's a primary residence, all of them, all four of them.

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Speaker 3: So when you buy the first one, you can rent

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Speaker 3: out after you meet your one year required and you

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Speaker 3: can go buy a new primary residence and now turn

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Speaker 3: that first property into a rental. So it's essentially your

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Speaker 3: house hacking, but you're just doing it the not quote

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Speaker 3: unquote non traditional way, and you're using the VA loan. Again,

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Speaker 3: even if you have to put down a down payment

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Speaker 3: five percent, you have no PMI, you're going to have

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Speaker 3: a low interest rate, right, So it's still a huge

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Speaker 3: benefit for someone who's looking to use as much of

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Speaker 3: the VA as possible, because look, they earned the benefits,

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Speaker 3: why not use it, use it as many times as

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Speaker 3: you can. So some people might start off with the

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Speaker 3: start at home two hundred, two hundred and fifty thousand,

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Speaker 3: whatever it is, and if they understand how to run

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Speaker 3: the play, they'll continue to use their VA, move out

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Speaker 3: of one, living it for a year, move out another one,

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Speaker 3: and keep going to keep going. So if you do

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Speaker 3: it the right way, you can you can buy a

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Speaker 3: couple of properties using your VA loan and having all

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Speaker 3: those VA loans still open, not having a refinance out

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Speaker 3: of them.

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Speaker 5: All right, Well, that's good to know a lot of

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Speaker 5: information when it comes to the VA loan situation.

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Speaker 3: So let's talk about how I'm gonna cut you off.

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Speaker 3: I said that in your voice too, don't mean to

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Speaker 3: cut right. So let's be since I've said house hack,

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Speaker 3: and I want to talk about multifamilies real quick because

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Speaker 3: this is very important.

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Speaker 6: Before that, don't mean to come you off. I mean,

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Speaker 6: I don't want to interrupt your wisdom. But like that one,

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Speaker 6: are there disadvantages?

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Speaker 3: Right?

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Speaker 6: So those are some of the advantager And I know

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Speaker 6: people have said like, does every lender off of VA loans? Like,

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Speaker 6: are there things that we did if they're veterans that

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Speaker 6: they should look out for good question.

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Speaker 3: So not all lenders and loan officers are built the same.

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Speaker 3: Just because someone offers a loan product doesn't mean they

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Speaker 3: know how to close that loan product. Doesn't mean they're

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Speaker 3: well versed in that loan product. So for the majority, yes,

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Speaker 3: all lenders will offer a VA loan. And I want

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Speaker 3: people to understand this right, there's a lot of lenders

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Speaker 3: out there that will have the name, their name of

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Speaker 3: their company. It will sound military issue. That doesn't mean

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Speaker 3: the VA is endorsing them. So a lot of people

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Speaker 3: will go to these lenders because it sounds like it's

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Speaker 3: military and it's a military mortgage company or something like

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Speaker 3: that that is VA endorsed, and it's not. The VA

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Speaker 3: doesn't endorse one particular lender over another. That's just a

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Speaker 3: marketing tactic. And you have to be careful, especially your veterans,

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Speaker 3: because a lot of times these companies are offering you

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Speaker 3: higher fees and higher rates than someone like myself or

365
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Speaker 3: a mortgage broker, a mortgage banker, So you got to

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Speaker 3: be They may not have military slang in their company name,

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Speaker 3: but doesn't mean they can't get you a better deal.

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Speaker 3: So I want people to understand when you when you're

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Speaker 3: shopping for who's going to do your VA loan, don't

370
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Speaker 3: just go with the company or the mortgage company just

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Speaker 3: because they have some sort of military affiliation in their name,

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Speaker 3: because it's all a marketing tactic, right. So that's number

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Speaker 3: one when it comes to people offering V loans. But again,

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Speaker 3: not all in is a built the same. Not everybody

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Speaker 3: unders stands VIA loans. These are easy loans if you

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Speaker 3: understand what you're doing, but they can become very difficult

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Speaker 3: if you don't. And again, the residual income is one

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Speaker 3: of the big things that I see people mess up

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Speaker 3: on because they never heard of it before and they

380
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Speaker 3: don't know how to calculate it. But for multifamilies on

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Speaker 3: house hacking, you can't. If you're a first time home

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Speaker 3: buyer and you're buying a multi family property and you're

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Speaker 3: looking to use the rental income to qualify, Unfortunately, the

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Speaker 3: VA doesn't allow that you have. In order to use

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00:20:32,200 --> 00:20:35,600
Speaker 3: rental income to help you qualify for a multifamily using

386
00:20:35,600 --> 00:20:38,640
Speaker 3: a VA loan, you have to document that you have

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Speaker 3: at least twelve months experience of property management or owning

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Speaker 3: a multi family property. So if you don't work in

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Speaker 3: the property management field, if you don't have a multifamily

390
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Speaker 3: currently and it's filed on your taxes and we can

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Speaker 3: see that you've owned it for a year and you're

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Speaker 3: collecting rent, then unfortunately, you will not be able to

393
00:20:59,200 --> 00:21:02,159
Speaker 3: use the rental income to qualify you. Now, if you

394
00:21:02,240 --> 00:21:05,199
Speaker 3: do have that experience, then the VA will require at

395
00:21:05,280 --> 00:21:08,440
Speaker 3: least six months of reserves off your mortgage payments. So

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Speaker 3: if your mortgage payment is one thousand dollars a month,

397
00:21:10,600 --> 00:21:12,919
Speaker 3: we're going to require at least six thousand dollars in

398
00:21:13,000 --> 00:21:15,760
Speaker 3: your bank account post closing, after you pay your closing

399
00:21:15,800 --> 00:21:20,080
Speaker 3: costs left over. So I want people to understand using

400
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Speaker 3: a VA loan to house hack and buy multifamilies, if

401
00:21:24,800 --> 00:21:28,560
Speaker 3: you're dependent on the rental income to qualify you can

402
00:21:28,720 --> 00:21:31,800
Speaker 3: you can be up for a root awakening. You will

403
00:21:31,880 --> 00:21:35,760
Speaker 3: have to qualify using your own income to purchase that

404
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Speaker 3: multi family all right.

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Speaker 5: So let's get another topic in construction loans. This is

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Speaker 5: something that you know, me and Troy's going through right

407
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Speaker 5: now with find a Home and This is a lot

408
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Speaker 5: of time people don't even realize that there's different loans

409
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Speaker 5: that you have to take. Even when you're getting in

410
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Speaker 5: a mortgage, all mortgages aren't the same, correct, So it's

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Speaker 5: like a construction loan when you're actually building a house

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Speaker 5: from the ground up. Correct, The financing is different, very

413
00:22:02,040 --> 00:22:05,199
Speaker 5: it's very different, and it's a lot more strenuous. Well,

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Speaker 5: I'll let you talk about it, but a lot of

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Speaker 5: I don't think people are They wouldn't know that unless

416
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Speaker 5: they've actually done it before. So building a house, you know,

417
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Speaker 5: it can have some advantages, but you have to know

418
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Speaker 5: what you're getting yourself into before you before you decide

419
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Speaker 5: if it's gonna be a good decision or not. Absolutely,

420
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Speaker 5: So what's to deal with the construction loan situation?

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Speaker 3: Man construction loans.

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Speaker 5: And once again construction for not construction like you're going

423
00:22:30,080 --> 00:22:32,600
Speaker 5: to build an apartment building Like this is if you

424
00:22:32,680 --> 00:22:35,240
Speaker 5: buy a plot of land correct and you just want

425
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Speaker 5: to build your house as opposed to building a house

426
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Speaker 5: buying a house that's already built.

427
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Speaker 3: Correct. So you know, typically, like you said, you buy,

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Speaker 3: you get a piece of land, and now you need

429
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Speaker 3: funding for it. So there's two ways you can go

430
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Speaker 3: by it. If you're the consumer, if you're the home buyer,

431
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Speaker 3: you can buy the land or cash, which I would

432
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Speaker 3: recommend I'm buying whether it's cash or you use a

433
00:22:55,560 --> 00:22:58,240
Speaker 3: credit card, whatever means you find to buy that piece

434
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Speaker 3: of land, because I feel like this is the easiest

435
00:23:00,080 --> 00:23:02,760
Speaker 3: way to do a construction loan. And then now you

436
00:23:02,840 --> 00:23:07,000
Speaker 3: go to the bank to get a construction the permanent loan,

437
00:23:07,320 --> 00:23:10,520
Speaker 3: where now that construction permanent loan is basically it's treated

438
00:23:10,520 --> 00:23:13,879
Speaker 3: like a refinance now because since you already own the property,

439
00:23:14,119 --> 00:23:18,320
Speaker 3: so there's no rush right to get your plans and

440
00:23:18,359 --> 00:23:20,680
Speaker 3: your permits and things of that nature. Because with most

441
00:23:20,880 --> 00:23:25,760
Speaker 3: construction loans, when you're talking primary residences, which this conversation

442
00:23:25,880 --> 00:23:28,280
Speaker 3: is about, the bank is only going to give you

443
00:23:28,359 --> 00:23:31,840
Speaker 3: a construction time of nine to twelve months. So we

444
00:23:32,000 --> 00:23:36,280
Speaker 3: all know permits can take six months. So if you

445
00:23:36,440 --> 00:23:39,840
Speaker 3: do a one time closed construction loan, which is you're

446
00:23:39,880 --> 00:23:44,000
Speaker 3: buying the land and trying to get the construction loans simultaneously,

447
00:23:44,040 --> 00:23:46,000
Speaker 3: and you're using the bank for the finance and of

448
00:23:46,040 --> 00:23:50,040
Speaker 3: the land as well, that's when I see problems arise

449
00:23:50,160 --> 00:23:53,800
Speaker 3: because you're not technically the owner of that property. So

450
00:23:53,920 --> 00:23:56,959
Speaker 3: you can't go out and submit architectural plans to the

451
00:23:57,000 --> 00:24:00,760
Speaker 3: town that you're buying a property in until you close,

452
00:24:01,080 --> 00:24:04,479
Speaker 3: because you technically don't own the property unless the seller

453
00:24:04,560 --> 00:24:08,840
Speaker 3: of the property is willing to submit the plans on

454
00:24:08,880 --> 00:24:11,520
Speaker 3: your behalf, which in most cases they're not going to

455
00:24:11,560 --> 00:24:15,480
Speaker 3: do that, right, So it's much easier for you to

456
00:24:15,560 --> 00:24:18,600
Speaker 3: acquire the land on your own then use the bank

457
00:24:18,640 --> 00:24:21,720
Speaker 3: for the construction loan to build your home. And the

458
00:24:21,760 --> 00:24:26,760
Speaker 3: reason being again is because architectural plans can take depending

459
00:24:26,800 --> 00:24:29,240
Speaker 3: on the scope of your work, that can take two

460
00:24:29,359 --> 00:24:32,600
Speaker 3: to four months, depending on how busy your architect is

461
00:24:33,160 --> 00:24:36,320
Speaker 3: and how efficient they are, And when you get plans

462
00:24:36,760 --> 00:24:39,480
Speaker 3: you're going to go back and forth to adjust things

463
00:24:39,520 --> 00:24:42,240
Speaker 3: of that nature. So if you're doing a one time

464
00:24:42,280 --> 00:24:46,040
Speaker 3: close to construction, that means you're in contract and you

465
00:24:46,119 --> 00:24:48,920
Speaker 3: have a time clock already to close with the seller, right.

466
00:24:49,200 --> 00:24:50,879
Speaker 3: They don't want to sit there and wait four or

467
00:24:50,880 --> 00:24:54,119
Speaker 3: five months for you to get your plans together before

468
00:24:54,160 --> 00:24:58,480
Speaker 3: you close, So again that can cause a delay and

469
00:24:58,520 --> 00:25:02,360
Speaker 3: it can cause some between you and the seller. Now,

470
00:25:02,359 --> 00:25:04,840
Speaker 3: if you've got an architect who's on it, it can

471
00:25:04,920 --> 00:25:07,080
Speaker 3: get you plans in thirty days. Cool, you can do

472
00:25:07,160 --> 00:25:11,359
Speaker 3: the one time close. But again another con of that

473
00:25:11,520 --> 00:25:15,159
Speaker 3: is after closing, now you have to submit those plans

474
00:25:15,680 --> 00:25:19,359
Speaker 3: to the town to get approval and depending on the county,

475
00:25:20,119 --> 00:25:24,680
Speaker 3: which it has hit a miss, right, hit a miss

476
00:25:25,000 --> 00:25:27,919
Speaker 3: for plans. I mean New York is kind of like,

477
00:25:28,240 --> 00:25:31,520
Speaker 3: I don't want to say nothing negative because you know, but.

478
00:25:32,119 --> 00:25:34,399
Speaker 2: It kind it kind of gets interest.

479
00:25:35,119 --> 00:25:37,439
Speaker 3: Yeah, it gets kind of it gets kind of crazy,

480
00:25:37,440 --> 00:25:40,760
Speaker 3: and it could be a lengthy process. So now, if

481
00:25:40,760 --> 00:25:43,080
Speaker 3: you're in a tome clock to build and the lenders

482
00:25:43,119 --> 00:25:46,000
Speaker 3: only give you nine to twelve months, and some lenders

483
00:25:46,040 --> 00:25:47,879
Speaker 3: will give you an extension of an extra two to

484
00:25:47,960 --> 00:25:50,440
Speaker 3: three months. On top of that, you done wasted half

485
00:25:50,480 --> 00:25:53,880
Speaker 3: of your time just waiting on the plans to get

486
00:25:53,920 --> 00:25:57,879
Speaker 3: approved by the town. So my recommendation for construction loans

487
00:25:57,880 --> 00:26:00,480
Speaker 3: and anyone who's looking to build their first home or

488
00:26:00,520 --> 00:26:04,760
Speaker 3: their dream home, acquire the land first. Acquire the land first,

489
00:26:05,160 --> 00:26:09,399
Speaker 3: have a dope ass architect who understands the urgency of

490
00:26:09,400 --> 00:26:11,959
Speaker 3: what you're looking to do, get your plans and everything

491
00:26:12,080 --> 00:26:14,240
Speaker 3: drawn up because you already have the home now or

492
00:26:14,280 --> 00:26:16,600
Speaker 3: the land, so you don't have to rush. And now,

493
00:26:17,359 --> 00:26:21,880
Speaker 3: once you have your plans submitted, then applied for your

494
00:26:21,920 --> 00:26:25,000
Speaker 3: construction loan, because now it's more like a refinance. There's

495
00:26:25,000 --> 00:26:27,520
Speaker 3: no time clock, there's no sellers. You can take four

496
00:26:27,520 --> 00:26:30,040
Speaker 3: months to close, it doesn't matter. And once your plans

497
00:26:30,040 --> 00:26:35,679
Speaker 3: get approved, then close on your construction loan, then boom,

498
00:26:35,840 --> 00:26:39,360
Speaker 3: you can start your construction pretty much immediately.

499
00:26:39,480 --> 00:26:41,679
Speaker 6: Yeah, so let's talk about the other way when you

500
00:26:41,720 --> 00:26:43,880
Speaker 6: have a lender that will do both give you construction,

501
00:26:44,320 --> 00:26:48,600
Speaker 6: the construction loan for building it, and then actually having

502
00:26:48,600 --> 00:26:51,120
Speaker 6: the house built itself. Right, So there's two pieces you're

503
00:26:51,119 --> 00:26:53,720
Speaker 6: paying for both. Now, I think the misconception this is

504
00:26:53,720 --> 00:26:55,320
Speaker 6: something that we kind of learned through the process.

505
00:26:55,359 --> 00:26:57,240
Speaker 3: Like you get that time frame to.

506
00:26:57,240 --> 00:26:59,200
Speaker 6: Build, and you know you do that with your building

507
00:26:59,240 --> 00:27:03,480
Speaker 6: and they'll say it's between six to twelve months, we

508
00:27:03,520 --> 00:27:06,040
Speaker 6: can get this house built, correct, Right, But you're at

509
00:27:06,040 --> 00:27:08,560
Speaker 6: the mercy of the town, correct, right, because and the

510
00:27:08,600 --> 00:27:11,800
Speaker 6: builder and the builder and the engineers and the architects.

511
00:27:11,840 --> 00:27:12,199
Speaker 3: Correct.

512
00:27:12,800 --> 00:27:15,000
Speaker 6: But your paying for a house that you may not

513
00:27:15,080 --> 00:27:18,240
Speaker 6: even live in, right because sometimes the building process may

514
00:27:18,280 --> 00:27:21,960
Speaker 6: take sixteen months, absolutely, and so like for a year

515
00:27:21,960 --> 00:27:24,320
Speaker 6: you might be paying interest, but after that twelve months,

516
00:27:24,440 --> 00:27:26,600
Speaker 6: now you're going to be paying that full loan. So yeah,

517
00:27:26,640 --> 00:27:28,879
Speaker 6: talk about that in the apportances, that having residual income

518
00:27:28,880 --> 00:27:29,639
Speaker 6: in situations like this.

519
00:27:30,080 --> 00:27:33,840
Speaker 3: Yeah, so when you get a construction loan, first, it's

520
00:27:33,880 --> 00:27:38,359
Speaker 3: an interest. During the construction period, it's interest only payments. So,

521
00:27:38,520 --> 00:27:40,760
Speaker 3: like you said, you're going to be paying a mortgage payment,

522
00:27:40,840 --> 00:27:42,879
Speaker 3: you have to pay your property taxes, you have to

523
00:27:42,920 --> 00:27:47,119
Speaker 3: pay your homeowners insurance and builders insurance. You're going to

524
00:27:47,160 --> 00:27:50,199
Speaker 3: need buildings insurance as well to protect yourself on that end.

525
00:27:50,200 --> 00:27:52,360
Speaker 3: But yeah, you're going to have a payment. So if

526
00:27:52,359 --> 00:27:56,719
Speaker 3: it drags out, you know, and the lender says, okay,

527
00:27:56,880 --> 00:28:00,600
Speaker 3: now it's trying to convert from the construction to permanent.

528
00:28:01,040 --> 00:28:03,160
Speaker 3: Now you're going to be paying the mortgage payment. That's

529
00:28:03,200 --> 00:28:06,000
Speaker 3: going to be hired because now it's principal and interest

530
00:28:06,040 --> 00:28:10,159
Speaker 3: that's going to be included into your mortgage payment. So

531
00:28:10,280 --> 00:28:13,520
Speaker 3: your first twelve sixteen months is all going to be

532
00:28:13,600 --> 00:28:16,280
Speaker 3: interest only. And that's why it's very important if you're

533
00:28:16,320 --> 00:28:20,320
Speaker 3: going to take the leap of faith and build your

534
00:28:20,359 --> 00:28:23,680
Speaker 3: own home, especially if you're going to act as your

535
00:28:23,680 --> 00:28:26,639
Speaker 3: project manager. You're hiring your GC, you're hiring your builder,

536
00:28:26,720 --> 00:28:28,959
Speaker 3: you're hiring all these folks. And you're not buying directly

537
00:28:28,960 --> 00:28:31,840
Speaker 3: from a builder, right, you're hiring everybody. You have to

538
00:28:31,840 --> 00:28:33,560
Speaker 3: make sure you know what you're doing and you're hiring

539
00:28:33,560 --> 00:28:36,680
Speaker 3: the right folks, because folks will sit here and overpromise

540
00:28:36,720 --> 00:28:40,560
Speaker 3: and underdeliver you and kill your entire timeline, which ultimately

541
00:28:40,600 --> 00:28:43,360
Speaker 3: is going to cost you more money as the homeowner.

542
00:28:43,520 --> 00:28:46,800
Speaker 3: So it's very important that you make sure you vet

543
00:28:46,880 --> 00:28:50,000
Speaker 3: out your team because your team has to understand the

544
00:28:50,160 --> 00:28:53,600
Speaker 3: urgency of you getting it done the timeline, and they

545
00:28:53,640 --> 00:28:56,760
Speaker 3: have to understand how they get paid as well, because

546
00:28:56,760 --> 00:29:00,160
Speaker 3: there's a process of how they get paid. So when

547
00:29:00,320 --> 00:29:03,480
Speaker 3: you close on a construction loan, the lender is only

548
00:29:03,520 --> 00:29:07,960
Speaker 3: going to give you ten percent or max fifty thousand

549
00:29:08,280 --> 00:29:12,920
Speaker 3: within ten ten days fourteen days after closing, and typically

550
00:29:13,200 --> 00:29:18,040
Speaker 3: that money is used to cover you know, demolition permits, plans,

551
00:29:18,120 --> 00:29:20,120
Speaker 3: you know, things of that nature. You're kind of like

552
00:29:20,160 --> 00:29:23,280
Speaker 3: your soft costs, right, But the lender, I mean, the

553
00:29:23,320 --> 00:29:26,280
Speaker 3: builder will have to be able to front that job.

554
00:29:26,360 --> 00:29:28,280
Speaker 3: So let's just say that the building's going to cost

555
00:29:28,280 --> 00:29:31,640
Speaker 3: a million dollars Fellas to build, and they only released

556
00:29:31,640 --> 00:29:34,880
Speaker 3: in fifty thousand dollars. But the first phase of the

557
00:29:34,920 --> 00:29:36,920
Speaker 3: project is going to cost you all quarter a million dollars.

558
00:29:36,960 --> 00:29:40,360
Speaker 3: So now where does that two hundred thousand come from? Right,

559
00:29:40,520 --> 00:29:43,720
Speaker 3: that two hundred thousand has to come from the builder.

560
00:29:44,000 --> 00:29:47,200
Speaker 3: They have to be in position to start that job.

561
00:29:47,640 --> 00:29:51,160
Speaker 3: Complete phase one. Then the lender will send out an

562
00:29:51,240 --> 00:29:54,800
Speaker 3: inspector to inspect, you know, phase one, to make sure

563
00:29:54,840 --> 00:29:59,240
Speaker 3: autis across ASA dotted. And then the inspector will go

564
00:29:59,240 --> 00:30:01,480
Speaker 3: back to the bank say okay, you can release the

565
00:30:01,600 --> 00:30:04,760
Speaker 3: draw of two hundred thousand, and then now the builder

566
00:30:04,800 --> 00:30:06,960
Speaker 3: gets paid that two hundred thousand, and then they move

567
00:30:07,040 --> 00:30:09,640
Speaker 3: on to phase two and it goes on like that

568
00:30:10,040 --> 00:30:13,160
Speaker 3: until the job is complete. So it's very important that

569
00:30:13,240 --> 00:30:16,920
Speaker 3: you understand your builder, understands how they get paid, and

570
00:30:16,960 --> 00:30:19,800
Speaker 3: they are liquid because a lot of builders out here

571
00:30:20,280 --> 00:30:22,840
Speaker 3: are not liquid as well. So you can't pick the

572
00:30:22,880 --> 00:30:26,640
Speaker 3: builder just because they might have gave you the cheapest price.

573
00:30:27,560 --> 00:30:28,560
Speaker 5: How do you note that liquor.

574
00:30:28,680 --> 00:30:32,400
Speaker 3: Now the lenders will vet the builders as well. There's

575
00:30:32,400 --> 00:30:36,880
Speaker 3: a lot of lenders out there that use third party companies,

576
00:30:36,880 --> 00:30:38,320
Speaker 3: So I'm not going to mention their name because they

577
00:30:38,320 --> 00:30:41,360
Speaker 3: don't endorse us, right, and they will have to see

578
00:30:41,760 --> 00:30:44,840
Speaker 3: the liquidity of the builder bank statements, do you have

579
00:30:44,960 --> 00:30:48,600
Speaker 3: Amax's whatever it is, to make sure that they are

580
00:30:49,160 --> 00:30:52,120
Speaker 3: liquid to be able to do this job. Because the lenders,

581
00:30:52,560 --> 00:30:56,480
Speaker 3: again they're putting out a million dollars on construction. They

582
00:30:56,520 --> 00:30:59,320
Speaker 3: want this house built. They don't want to own the property,

583
00:30:59,440 --> 00:31:03,320
Speaker 3: especially if is something that's not built right. So it's

584
00:31:03,400 --> 00:31:06,600
Speaker 3: in their best interest as a lender to make sure

585
00:31:06,920 --> 00:31:09,800
Speaker 3: that the builder can get this job done and they

586
00:31:09,840 --> 00:31:12,800
Speaker 3: have the experience to get it done as well, because

587
00:31:12,800 --> 00:31:14,560
Speaker 3: a lot of people talk to talk, but they can't

588
00:31:14,560 --> 00:31:17,479
Speaker 3: walk the walk. So that's why again like a two

589
00:31:17,600 --> 00:31:18,880
Speaker 3: or three K, I like to call it two or

590
00:31:18,880 --> 00:31:22,360
Speaker 3: three K, the training will for investors. So a construction

591
00:31:22,520 --> 00:31:26,680
Speaker 3: loan when you're going through like the conventional way for

592
00:31:26,840 --> 00:31:29,400
Speaker 3: a homeowner, is kind of like training wheels if you

593
00:31:29,400 --> 00:31:31,760
Speaker 3: want to get into development as well, because you have

594
00:31:32,360 --> 00:31:35,360
Speaker 3: the lender by your side and the inspectors by your

595
00:31:35,400 --> 00:31:38,000
Speaker 3: side that work for you, and the lender to protect

596
00:31:38,040 --> 00:31:42,800
Speaker 3: you against the builders because you know, we all say

597
00:31:43,040 --> 00:31:45,800
Speaker 3: contractors are you know, you know what I'm saying, but

598
00:31:45,960 --> 00:31:48,120
Speaker 3: you got to But the bank is always going to

599
00:31:48,160 --> 00:31:51,200
Speaker 3: make sure that they protect the investment at the same time.

600
00:31:52,600 --> 00:31:58,960
Speaker 5: So what happens if it's not going right? Like, what

601
00:31:59,280 --> 00:32:05,280
Speaker 5: as as a customer, what recourse do you have if

602
00:32:06,160 --> 00:32:08,960
Speaker 5: the contractor isn't doing what he's supposed to be doing,

603
00:32:09,320 --> 00:32:11,440
Speaker 5: it's not moving at the timeline that's supposed to be

604
00:32:11,480 --> 00:32:13,200
Speaker 5: moved there, Like what can you do?

605
00:32:13,480 --> 00:32:16,320
Speaker 3: You can fire them, but then now you start from

606
00:32:16,320 --> 00:32:18,680
Speaker 3: square one again. Right now you have to find a

607
00:32:18,720 --> 00:32:20,640
Speaker 3: new builder. Now they have to give you their cost.

608
00:32:21,320 --> 00:32:23,640
Speaker 3: Now that's new paperwork that has to get submitted to

609
00:32:23,680 --> 00:32:27,360
Speaker 3: the bank. Right, So it's a whole process that if

610
00:32:27,400 --> 00:32:30,840
Speaker 3: you're doing this post closing right, you're doing the post

611
00:32:30,840 --> 00:32:35,040
Speaker 3: closing and you're already in your project. It's like anything

612
00:32:35,080 --> 00:32:37,120
Speaker 3: if you do. If you do a bathroom over in

613
00:32:37,160 --> 00:32:39,440
Speaker 3: your house and you don't like the contract and you

614
00:32:39,520 --> 00:32:41,760
Speaker 3: fired them, now a new contract is going to come

615
00:32:41,760 --> 00:32:43,920
Speaker 3: in and say, well, their work is not good, So

616
00:32:43,960 --> 00:32:46,360
Speaker 3: now I've got to tear all their work down and

617
00:32:46,440 --> 00:32:49,360
Speaker 3: restart it over again. So now the cost will be

618
00:32:49,480 --> 00:32:52,320
Speaker 3: more than what you anticipated. So you have to weigh

619
00:32:52,360 --> 00:32:55,040
Speaker 3: out what's the opportunity cost really of me firing my

620
00:32:55,160 --> 00:32:58,960
Speaker 3: contractor right now or my builder at the phase that

621
00:32:59,000 --> 00:33:01,280
Speaker 3: I'm in right now, because I'm already started and it

622
00:33:01,360 --> 00:33:04,160
Speaker 3: can wind up costing you more money. Now, if they're

623
00:33:04,200 --> 00:33:07,000
Speaker 3: just negligent and they're just disrespectful and they just don't

624
00:33:07,280 --> 00:33:09,280
Speaker 3: they're not really there, then obviously you're going to have

625
00:33:09,320 --> 00:33:11,560
Speaker 3: no choice. But you got to handle your business because

626
00:33:11,560 --> 00:33:13,800
Speaker 3: you are a CEO. This is real estate, right, so

627
00:33:13,840 --> 00:33:15,880
Speaker 3: you have to fire them. But understand there's going to

628
00:33:15,960 --> 00:33:18,120
Speaker 3: be now a whole new vetting process that now the

629
00:33:18,200 --> 00:33:20,560
Speaker 3: lender is going to have to do. And then ultimately,

630
00:33:20,960 --> 00:33:23,840
Speaker 3: if they're going to charge more than what the scope

631
00:33:23,840 --> 00:33:24,720
Speaker 3: of workers.

632
00:33:24,360 --> 00:33:27,000
Speaker 2: Already approve, you're not getting no more money.

633
00:33:28,000 --> 00:33:30,360
Speaker 3: So where's that extra money. If they're gonna charge your

634
00:33:30,360 --> 00:33:33,320
Speaker 3: extra fifty one hundred K, where's that extra money coming from.

635
00:33:33,400 --> 00:33:36,560
Speaker 3: It's coming from you because you decided to fire them.

636
00:33:36,760 --> 00:33:40,640
Speaker 3: So it's best while you're in the underwriting process. If

637
00:33:40,680 --> 00:33:43,840
Speaker 3: you're going to make any changes with your contract or

638
00:33:43,840 --> 00:33:46,640
Speaker 3: your builder, is best to do it while you're in

639
00:33:46,680 --> 00:33:49,520
Speaker 3: the process because if they come with the higher scope

640
00:33:49,560 --> 00:33:54,840
Speaker 3: of work, then you can protect yourself easier and reapply

641
00:33:55,040 --> 00:33:57,880
Speaker 3: or not reapply, but you can ask for all request

642
00:33:58,000 --> 00:34:00,560
Speaker 3: to see if you can get more of a approval

643
00:34:01,280 --> 00:34:04,360
Speaker 3: to compensate for that extra money. So you just have

644
00:34:04,480 --> 00:34:07,800
Speaker 3: to make sure again vetting out your people to make

645
00:34:07,840 --> 00:34:10,600
Speaker 3: sure that they are who they say they are.

646
00:34:10,719 --> 00:34:12,920
Speaker 6: If I'm looking to build a new property and I'm

647
00:34:12,960 --> 00:34:15,760
Speaker 6: trying to find land, I know you can vet everybody

648
00:34:15,800 --> 00:34:18,040
Speaker 6: on that side, but is there any way to or

649
00:34:18,120 --> 00:34:20,880
Speaker 6: is there a database that you can vet the town

650
00:34:20,920 --> 00:34:23,800
Speaker 6: engineer or the county engineer or the building department.

651
00:34:23,880 --> 00:34:24,759
Speaker 3: Is there any way to do that?

652
00:34:24,880 --> 00:34:27,360
Speaker 6: Because a lot of times, and we've seen it personally,

653
00:34:27,560 --> 00:34:31,680
Speaker 6: like they're the ones that are hold enough the whole things, right,

654
00:34:31,760 --> 00:34:34,040
Speaker 6: Like I might not move to that town, or I

655
00:34:34,120 --> 00:34:35,799
Speaker 6: might not try to develop there if I know there's

656
00:34:35,800 --> 00:34:37,400
Speaker 6: going to be that type of lay if they have

657
00:34:37,400 --> 00:34:38,080
Speaker 6: a history of that.

658
00:34:38,239 --> 00:34:41,600
Speaker 3: So typically when you're applying for permits and stuff like that,

659
00:34:42,800 --> 00:34:45,600
Speaker 3: you would want to hire an expediter, right And the

660
00:34:45,719 --> 00:34:49,200
Speaker 3: experedite is someone who works within the town or has

661
00:34:49,200 --> 00:34:52,200
Speaker 3: a relationship with them and they're able to push the

662
00:34:52,239 --> 00:34:57,799
Speaker 3: paperwork through in a timely matter. But ultimately, again it's relationships, right,

663
00:34:57,880 --> 00:35:00,440
Speaker 3: Like if you hire a great architect and they have

664
00:35:00,480 --> 00:35:03,439
Speaker 3: good relationships within the town because they're doing a lot

665
00:35:03,440 --> 00:35:06,000
Speaker 3: of business and they're doing a lot of jobs, then

666
00:35:06,000 --> 00:35:08,600
Speaker 3: they might not need to hire experdita because they know

667
00:35:08,960 --> 00:35:13,120
Speaker 3: Mary Sue over here in this department and their sons

668
00:35:13,160 --> 00:35:15,520
Speaker 3: go to soccer together, right, so they can have that

669
00:35:15,520 --> 00:35:17,799
Speaker 3: type of conversation and kind of try to get things

670
00:35:17,800 --> 00:35:21,000
Speaker 3: pushed through. But that's hit and miss as well. So no,

671
00:35:21,320 --> 00:35:24,960
Speaker 3: is there a way to vet, really really not. It's

672
00:35:25,160 --> 00:35:27,239
Speaker 3: kind of the lucky to draw and you have to

673
00:35:27,239 --> 00:35:30,719
Speaker 3: put your plans in as complete as possible because sometimes

674
00:35:30,719 --> 00:35:32,840
Speaker 3: they'll come back and they want corrections.

675
00:35:32,400 --> 00:35:33,960
Speaker 2: To your plans and then you got to go back

676
00:35:34,000 --> 00:35:34,839
Speaker 2: and forth as well.

677
00:35:35,280 --> 00:35:39,640
Speaker 3: So it's unfortunately, it's one of those situations you're damned

678
00:35:39,640 --> 00:35:42,439
Speaker 3: if you do, you're damned if you don't. The town

679
00:35:42,520 --> 00:35:44,840
Speaker 3: is always going to come back with something. They're always

680
00:35:44,840 --> 00:35:47,320
Speaker 3: going to want some sort of correction, and there's always

681
00:35:47,360 --> 00:35:49,680
Speaker 3: going to be some back and forth. And that's why

682
00:35:50,440 --> 00:35:53,520
Speaker 3: your architect and building is probably one of the most

683
00:35:53,560 --> 00:35:56,480
Speaker 3: important roles because they have to be quick on their feet.

684
00:35:56,480 --> 00:36:00,760
Speaker 3: Some architects are just slow as hell to change something

685
00:36:01,080 --> 00:36:04,920
Speaker 3: so minor to us. It might take them thirty days.

686
00:36:05,320 --> 00:36:08,960
Speaker 3: That's setting your timeline back, right, So again I think

687
00:36:09,560 --> 00:36:13,239
Speaker 3: not vetting the building apartment, you need to vet the

688
00:36:13,320 --> 00:36:18,040
Speaker 3: architect to make sure that what's their turnaround for changes,

689
00:36:18,640 --> 00:36:21,319
Speaker 3: what's their relationships with the town that you're building in.

690
00:36:21,600 --> 00:36:25,360
Speaker 3: How many jobs have they submitted in the last sixty

691
00:36:25,520 --> 00:36:29,040
Speaker 3: ninety twelve months? Right, these are questions when you're interviewing

692
00:36:29,040 --> 00:36:32,000
Speaker 3: an architect. Just don't go off the referral like, oh,

693
00:36:32,040 --> 00:36:34,040
Speaker 3: he's a great architect and this than a third Nah,

694
00:36:34,160 --> 00:36:37,440
Speaker 3: Chill ask the questions. Right, this is your house, this

695
00:36:37,560 --> 00:36:40,759
Speaker 3: is your business. You own the property, You're responsible for

696
00:36:40,800 --> 00:36:43,120
Speaker 3: the mortgage payment, nobody else. So you have to make

697
00:36:43,120 --> 00:36:45,719
Speaker 3: sure whoever you're hiring, you have to make sure they

698
00:36:45,760 --> 00:36:47,879
Speaker 3: can get that job done. And they have a sense

699
00:36:47,880 --> 00:36:50,560
Speaker 3: of urgency too, right, And because a lot of these

700
00:36:50,560 --> 00:36:51,839
Speaker 3: folks they just don't have it.

701
00:36:52,680 --> 00:36:55,640
Speaker 5: So let's talk about build to rent financing.

702
00:36:55,920 --> 00:37:00,160
Speaker 3: Build to rent finance, yes, investors. Build to rent financing

703
00:37:00,360 --> 00:37:05,839
Speaker 3: is you know something that's happening nationwide from a mom

704
00:37:05,880 --> 00:37:09,680
Speaker 3: and pop level and also from the institutional level. Right,

705
00:37:10,600 --> 00:37:14,200
Speaker 3: So build to rent financing, you can buy them in

706
00:37:14,239 --> 00:37:17,040
Speaker 3: your you can get these Basically, it's the same thing

707
00:37:17,080 --> 00:37:20,120
Speaker 3: like a constructional Right, you find a plot of land

708
00:37:20,640 --> 00:37:24,760
Speaker 3: or older property and you want to build a multi

709
00:37:24,760 --> 00:37:28,560
Speaker 3: family building. You know, five units, ten units, What have you,

710
00:37:29,280 --> 00:37:33,480
Speaker 3: and most cases you want to have some sort of

711
00:37:33,520 --> 00:37:38,440
Speaker 3: experience with investing number one. So most lenders, if you're

712
00:37:38,440 --> 00:37:41,799
Speaker 3: a first time investor, they probably won't lend to you

713
00:37:41,960 --> 00:37:44,759
Speaker 3: on build to rent financing because you just don't have

714
00:37:44,800 --> 00:37:47,799
Speaker 3: the experience of being a landlord. So that's number one.

715
00:37:47,880 --> 00:37:50,640
Speaker 3: So this is really not like a first time home

716
00:37:50,719 --> 00:37:54,480
Speaker 3: buyer type of product. It's for the real estate investor.

717
00:37:55,280 --> 00:37:57,719
Speaker 3: Everything is in your LLC, it's not in your personal name,

718
00:37:57,880 --> 00:38:01,080
Speaker 3: just like when you're buying a turnkey prop. But essentially

719
00:38:01,120 --> 00:38:04,359
Speaker 3: it's the same like construction loan. You're getting a loan

720
00:38:04,680 --> 00:38:09,799
Speaker 3: from the bank to build the multifamily that ultimately you're

721
00:38:09,800 --> 00:38:12,719
Speaker 3: not flipping the multifamily. You're going to rent it out.

722
00:38:12,760 --> 00:38:15,719
Speaker 3: It's a new construction multifamily. And you can do this

723
00:38:16,000 --> 00:38:20,120
Speaker 3: product nationwide, so it's a great product. Right now, interest

724
00:38:20,200 --> 00:38:21,680
Speaker 3: rates are going to be a little bit high on

725
00:38:21,719 --> 00:38:24,160
Speaker 3: a higher level just because the market that we d

726
00:38:24,360 --> 00:38:26,479
Speaker 3: so you have to make sure the numbers still work.

727
00:38:27,200 --> 00:38:30,600
Speaker 3: But traditionally for this type of finance, and you can

728
00:38:30,680 --> 00:38:32,759
Speaker 3: expect you need to be able to put down at

729
00:38:32,840 --> 00:38:35,160
Speaker 3: least a thirty percent down payment twenty five to thirty

730
00:38:35,160 --> 00:38:38,600
Speaker 3: percent down payment plus your closing costs to get this done.

731
00:38:38,719 --> 00:38:42,160
Speaker 3: But again it's the same thing. You need architects, you

732
00:38:42,239 --> 00:38:46,759
Speaker 3: need to get your plans, You gotta submit earners. What's up?

733
00:38:46,840 --> 00:38:49,319
Speaker 6: You ever walk into a small business and everything just

734
00:38:49,480 --> 00:38:52,640
Speaker 6: works like the checkout is fast or seats of digital

735
00:38:53,200 --> 00:38:56,160
Speaker 6: tipping is a breeze and you're out the door before

736
00:38:56,160 --> 00:39:00,359
Speaker 6: the line even builds. Odds are they're using Square. We

737
00:39:00,480 --> 00:39:03,040
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738
00:39:03,080 --> 00:39:03,880
Speaker 6: feels seamless.

739
00:39:04,000 --> 00:39:05,720
Speaker 3: Whether it's a local coffee.

740
00:39:05,320 --> 00:39:08,120
Speaker 6: Shop, a vendor at a pop up market, or even

741
00:39:08,160 --> 00:39:11,160
Speaker 6: one of our merch partners, Square makes it easy for

742
00:39:11,239 --> 00:39:14,720
Speaker 6: them to take payments, manage inventory, and run their business

743
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Speaker 6: with confidence, all from one simple system. If you're a

744
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Speaker 6: business owner or even just thinking about launching something soon,

745
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Speaker 6: Square is hands down one of the best tools out

746
00:39:24,560 --> 00:39:27,839
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747
00:39:27,960 --> 00:39:31,160
Speaker 6: just about payments, it's about giving you time back so

748
00:39:31,200 --> 00:39:33,879
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749
00:39:33,880 --> 00:39:38,359
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750
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751
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752
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753
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Speaker 6: This episode is brought to you by P and C Bank.

754
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755
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762
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763
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764
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765
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766
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Speaker 1: An illegal alien from Guatemala charged with raping a child

767
00:40:40,120 --> 00:40:43,920
Speaker 1: in Massachusetts. An MS thirteen gang member from El Salvador

768
00:40:44,160 --> 00:40:48,279
Speaker 1: accused of murdering a Texas man of Venezuelan charged with

769
00:40:48,360 --> 00:40:52,239
Speaker 1: filming and selling child pornography in Michigan. These are just

770
00:40:52,320 --> 00:40:56,120
Speaker 1: some of the heinous migrant criminals caught because of President

771
00:40:56,120 --> 00:40:59,600
Speaker 1: Donald J. Trump's leadership. I'm Christy nom the United States

772
00:40:59,640 --> 00:41:04,160
Speaker 1: secret Terry of Homeland Security. Under President Trump, attempted illegal

773
00:41:04,200 --> 00:41:07,880
Speaker 1: border crossings are at the lowest levels ever recorded, and

774
00:41:07,920 --> 00:41:11,279
Speaker 1: over one hundred thousand illegal aliens have been arrested. If

775
00:41:11,320 --> 00:41:14,960
Speaker 1: you are here illegally, you're next. You will be fine

776
00:41:15,000 --> 00:41:19,120
Speaker 1: nearly one thousand dollars a day, imprisoned and deported. You

777
00:41:19,200 --> 00:41:22,720
Speaker 1: will never return. But if you register using our CBP

778
00:41:22,880 --> 00:41:25,600
Speaker 1: home app and leave now, you could be allowed to

779
00:41:25,680 --> 00:41:30,480
Speaker 1: return legally. Do what's right. Leave now. Under President Trump,

780
00:41:30,640 --> 00:41:34,280
Speaker 1: America's laws border and families will be protected.

781
00:41:34,360 --> 00:41:37,200
Speaker 2: Sponsored by the United States Department of Homeland Security permits.

782
00:41:37,239 --> 00:41:39,719
Speaker 3: You need a construction crew. Your construction crew has to

783
00:41:39,760 --> 00:41:43,200
Speaker 3: have experience will build them multifamilies. So it's not like

784
00:41:43,840 --> 00:41:45,319
Speaker 3: you have my wake up and I'm gonna do build

785
00:41:45,400 --> 00:41:48,240
Speaker 3: rent right. You have to have a team in place

786
00:41:48,760 --> 00:41:51,120
Speaker 3: that can actually get the job done. Because now when

787
00:41:51,160 --> 00:41:54,560
Speaker 3: you get to building atten you unit, a fifteen unit,

788
00:41:54,640 --> 00:41:57,560
Speaker 3: a five unit, whatever it is, it's a lot more

789
00:41:58,800 --> 00:42:02,040
Speaker 3: work that has to be done for from a design standpoint,

790
00:42:02,160 --> 00:42:05,239
Speaker 3: to make sure everything's cold. And they're now submitting that

791
00:42:05,640 --> 00:42:08,480
Speaker 3: to the town. Now that process can take a little

792
00:42:08,480 --> 00:42:11,600
Speaker 3: while longer to get approved just because of the amount

793
00:42:11,719 --> 00:42:14,799
Speaker 3: of plans that has to be submitted to the town.

794
00:42:14,880 --> 00:42:18,600
Speaker 6: So you got a slightly higher interest rate. Correct, You're

795
00:42:18,600 --> 00:42:20,040
Speaker 6: going to put more of a down payment.

796
00:42:20,120 --> 00:42:20,640
Speaker 3: Correct.

797
00:42:20,960 --> 00:42:25,080
Speaker 6: But on the flip side, new bills always attract premium

798
00:42:25,080 --> 00:42:28,600
Speaker 6: customers absolutely, and so you'll probably get high rental costs

799
00:42:28,640 --> 00:42:35,240
Speaker 6: from your renters and new construction. New bills always require

800
00:42:35,640 --> 00:42:37,520
Speaker 6: for long term or at least for the immedia future

801
00:42:37,680 --> 00:42:38,920
Speaker 6: if youre maintenance costs when the.

802
00:42:38,880 --> 00:42:39,239
Speaker 3: People are in.

803
00:42:39,320 --> 00:42:43,520
Speaker 6: There absolutely are other like hitting advantages that are inside

804
00:42:43,560 --> 00:42:43,879
Speaker 6: this loan.

805
00:42:44,320 --> 00:42:46,680
Speaker 3: Well, I can tell you about some cons before I

806
00:42:46,680 --> 00:42:49,239
Speaker 3: go into some advantages. Right, So let's look at when

807
00:42:49,239 --> 00:42:52,600
Speaker 3: you're doing anything build to rent. Remember this is an investment,

808
00:42:52,920 --> 00:42:54,840
Speaker 3: but it's going to take time for you to recoup

809
00:42:54,920 --> 00:42:57,120
Speaker 3: your investment, right because you got to think about this

810
00:42:57,280 --> 00:42:59,920
Speaker 3: depending on where you're building that and to just get

811
00:43:00,040 --> 00:43:04,359
Speaker 3: the plans approve, that could be six months eight months alone, right,

812
00:43:04,680 --> 00:43:07,799
Speaker 3: then you have to build the property. Right, Building the

813
00:43:07,840 --> 00:43:10,720
Speaker 3: property can take a year, maybe a little bit longer.

814
00:43:10,760 --> 00:43:12,719
Speaker 3: So you gotta figure your first two years you have

815
00:43:12,800 --> 00:43:15,640
Speaker 3: no income coming into this property, and then now you

816
00:43:15,719 --> 00:43:18,160
Speaker 3: have to go out here and rent the property and

817
00:43:18,239 --> 00:43:20,880
Speaker 3: depending on the market at that time, you might be

818
00:43:21,040 --> 00:43:24,480
Speaker 3: protracting two years ago. Hey the rents are here, I'm

819
00:43:24,480 --> 00:43:27,560
Speaker 3: going to make X right, or construction costs is this.

820
00:43:28,440 --> 00:43:31,960
Speaker 3: But if construction costs goes up while you're filing your permits,

821
00:43:32,719 --> 00:43:35,040
Speaker 3: that can blow up your numbers too. Let's say a

822
00:43:35,120 --> 00:43:38,400
Speaker 3: rental income goes down or rent income goes down in

823
00:43:38,400 --> 00:43:40,960
Speaker 3: your neighborhood, that can blow up your numbers as well.

824
00:43:41,239 --> 00:43:44,600
Speaker 3: So there's cons with doing any type of build to

825
00:43:44,640 --> 00:43:47,680
Speaker 3: rent type of finance. And so I want any type

826
00:43:47,719 --> 00:43:49,520
Speaker 3: of deal. I should say, not just the finance of

827
00:43:49,640 --> 00:43:52,160
Speaker 3: just taking on those type of deals, because anything can

828
00:43:52,280 --> 00:43:56,319
Speaker 3: happen and within that time frame before you even put

829
00:43:56,320 --> 00:43:58,879
Speaker 3: a shovel on the ground, right, which can really hurt

830
00:43:58,880 --> 00:43:59,360
Speaker 3: your numbers.

831
00:43:59,360 --> 00:44:01,520
Speaker 2: So I want all viole folks who are watching us.

832
00:44:01,440 --> 00:44:05,160
Speaker 3: To really understand you can't have these lofty numbers because

833
00:44:05,200 --> 00:44:07,400
Speaker 3: a lot of times people will come and say, oh,

834
00:44:07,480 --> 00:44:09,520
Speaker 3: I'm gonna charge this. I know the market is this,

835
00:44:09,600 --> 00:44:12,160
Speaker 3: but I'm gonna go to hear No, you can't depend

836
00:44:12,200 --> 00:44:15,640
Speaker 3: on that, right because you got to always plan for

837
00:44:15,719 --> 00:44:19,400
Speaker 3: the very worst case scenario. Now, on the flip side,

838
00:44:19,520 --> 00:44:22,359
Speaker 3: your forcing appreciation, that's really the truest way to build

839
00:44:22,440 --> 00:44:25,319
Speaker 3: wealth with real estate is now your force and appreciation.

840
00:44:25,800 --> 00:44:28,959
Speaker 3: Right now, we're still in an appreciated market. Although home

841
00:44:29,040 --> 00:44:35,799
Speaker 3: prices and values have come down, they haven't went negative, right,

842
00:44:35,960 --> 00:44:39,439
Speaker 3: so you're forcing the appreciation. If you're able to get

843
00:44:39,480 --> 00:44:43,360
Speaker 3: good court with materials, you can probably find yourself to

844
00:44:43,400 --> 00:44:47,040
Speaker 3: have a lot of equity in that multifamily that you're building,

845
00:44:47,120 --> 00:44:49,839
Speaker 3: and then now you'll be able to refinance out of

846
00:44:49,920 --> 00:44:54,000
Speaker 3: that loan, get into and possibly take some cash out

847
00:44:54,080 --> 00:44:57,520
Speaker 3: now so you can go and do another project. So

848
00:44:57,880 --> 00:45:01,680
Speaker 3: builtering financing is a right product, but it's strictly for

849
00:45:01,760 --> 00:45:05,080
Speaker 3: live men, not for freshmen, not for freshmen, not for freshmen,

850
00:45:05,719 --> 00:45:08,440
Speaker 3: not for freshmen. You really have to you have to

851
00:45:08,480 --> 00:45:10,799
Speaker 3: have a team, And I will advise anyone who's looking

852
00:45:10,840 --> 00:45:13,919
Speaker 3: to do any type of bill to finance any type

853
00:45:13,920 --> 00:45:16,200
Speaker 3: of deal like that, get some partners who know what

854
00:45:16,239 --> 00:45:20,000
Speaker 3: they're doing, because it's a lot to try to develop property,

855
00:45:20,120 --> 00:45:22,040
Speaker 3: and if you're a rookie, you're going to make a

856
00:45:22,040 --> 00:45:25,480
Speaker 3: lot of mistakes, and it's almost sometimes better to either

857
00:45:25,520 --> 00:45:30,799
Speaker 3: pay for some sort of consultant or mentor because that

858
00:45:30,840 --> 00:45:34,840
Speaker 3: will save you a lot of time, mistakes and money.

859
00:45:35,400 --> 00:45:37,880
Speaker 3: So I would highly advise anyone who's looking to do

860
00:45:37,960 --> 00:45:40,480
Speaker 3: this for the first time to get to get some

861
00:45:40,520 --> 00:45:43,839
Speaker 3: real people in their circle that can really help them

862
00:45:43,920 --> 00:45:46,920
Speaker 3: and guide them. So that way you learn. You're paying

863
00:45:46,960 --> 00:45:50,280
Speaker 3: for it, but you're earning while you're learning, so to speak.

864
00:45:50,640 --> 00:45:55,759
Speaker 5: So what about people you made a video? I think

865
00:45:55,800 --> 00:45:58,440
Speaker 5: about this when putting a house in your name as

866
00:45:58,440 --> 00:46:00,200
Speaker 5: opposed to putting a house not in your name, so

867
00:46:00,239 --> 00:46:02,600
Speaker 5: people can't find out where you live, different things of

868
00:46:02,600 --> 00:46:03,040
Speaker 5: the nature.

869
00:46:03,160 --> 00:46:03,840
Speaker 3: Yeah, what's the.

870
00:46:03,840 --> 00:46:04,480
Speaker 5: What's the deal with that?

871
00:46:05,120 --> 00:46:08,600
Speaker 3: So when you're buying a property and if you're using

872
00:46:08,880 --> 00:46:11,759
Speaker 3: a non QM loan, a non QM loan is a

873
00:46:11,800 --> 00:46:16,120
Speaker 3: non qualified mortgage that basically means that Fannie Mae Freddie

874
00:46:16,160 --> 00:46:20,879
Speaker 3: mac fha Va won't purchase that loan in the secondary market. Right,

875
00:46:21,200 --> 00:46:25,160
Speaker 3: this is a portfolio loan, which more non traditional lenders

876
00:46:25,200 --> 00:46:30,080
Speaker 3: will use for non traditional buyers. Right now, if you're

877
00:46:30,080 --> 00:46:34,520
Speaker 3: buying a primary residence, there are several lenders out there

878
00:46:34,960 --> 00:46:38,080
Speaker 3: that will allow you to buy that primary residence in

879
00:46:38,120 --> 00:46:41,560
Speaker 3: your LLC name. Right, we are living in the post

880
00:46:41,680 --> 00:46:43,920
Speaker 3: pandemic era where a lot of people made a lot

881
00:46:43,960 --> 00:46:47,520
Speaker 3: of money over the past two years, and folks are buying,

882
00:46:47,880 --> 00:46:51,680
Speaker 3: you know, their mini mansions and their the mansions right now,

883
00:46:52,040 --> 00:46:55,560
Speaker 3: and if you don't want the world to be able

884
00:46:55,600 --> 00:46:58,960
Speaker 3: to find you, the best way is to put it

885
00:46:59,040 --> 00:47:02,800
Speaker 3: in a l SE so that way they can't google

886
00:47:02,840 --> 00:47:05,560
Speaker 3: your name and find you because it's in the LLC.

887
00:47:05,760 --> 00:47:07,799
Speaker 3: So now the mortgage is in the LLC name, the

888
00:47:07,880 --> 00:47:11,239
Speaker 3: deed of the properties in the LLC name. You own

889
00:47:11,280 --> 00:47:14,520
Speaker 3: the LLC, the LLC owns the property, so it's the

890
00:47:14,560 --> 00:47:18,920
Speaker 3: same It's the same way as if you're buying investment

891
00:47:18,960 --> 00:47:21,960
Speaker 3: properties and putt in LLC, but this just so happens

892
00:47:22,000 --> 00:47:25,040
Speaker 3: to be your primary residence. So there's several lenders that

893
00:47:25,160 --> 00:47:28,960
Speaker 3: out there that will allow you to do this. But again,

894
00:47:29,120 --> 00:47:33,480
Speaker 3: interest rates wise, right now, non QM loans is going

895
00:47:33,520 --> 00:47:36,279
Speaker 3: to be in that seven to nine percent range, just

896
00:47:36,320 --> 00:47:38,640
Speaker 3: depending on the lender and the deal that you're doing,

897
00:47:38,960 --> 00:47:41,080
Speaker 3: but it can get done. I've done several loans like

898
00:47:41,120 --> 00:47:45,160
Speaker 3: that over the past twenty four months where I'm working

899
00:47:45,160 --> 00:47:50,319
Speaker 3: with celebrities or influencers and we're using these products to

900
00:47:50,480 --> 00:47:53,000
Speaker 3: kind of shield their identity. And then also when you

901
00:47:53,040 --> 00:47:54,759
Speaker 3: set up the LLC and it's gonna be a brand

902
00:47:54,760 --> 00:47:57,000
Speaker 3: new LLC tool by the way. It doesn't need established

903
00:47:57,000 --> 00:48:00,160
Speaker 3: business credit. You can have a minimum of a six

904
00:48:00,360 --> 00:48:02,880
Speaker 3: forty credit score. Obviously, the lower the credit score, the

905
00:48:02,920 --> 00:48:06,080
Speaker 3: higher interest rate. But the key to this is when

906
00:48:06,080 --> 00:48:08,200
Speaker 3: you open up the LLC, you know where it says

907
00:48:08,239 --> 00:48:10,919
Speaker 3: you open an LLC, it says registered agent. You don't

908
00:48:10,920 --> 00:48:13,000
Speaker 3: put your name there as the registered agent. Because if

909
00:48:13,000 --> 00:48:16,799
Speaker 3: someone looks in some way somehow finds that LLC and

910
00:48:17,280 --> 00:48:20,200
Speaker 3: your the name is the registered agent, then obviously they're

911
00:48:20,200 --> 00:48:22,239
Speaker 3: going to know you own it. So you got to

912
00:48:22,520 --> 00:48:25,480
Speaker 3: have another registered agent's name there, so that way you

913
00:48:25,600 --> 00:48:29,200
Speaker 3: showed as well. But yeah, that's a play right now

914
00:48:29,440 --> 00:48:31,879
Speaker 3: that we're using on a daily basis.

915
00:48:31,560 --> 00:48:33,799
Speaker 5: And mole it's the highest interest, it's a higher interest rate.

916
00:48:33,880 --> 00:48:36,600
Speaker 3: It's gonna if you have a lower credit score, but

917
00:48:36,640 --> 00:48:39,000
Speaker 3: if you have seven hundred plus credit scores. Because you're

918
00:48:39,000 --> 00:48:41,040
Speaker 3: still personal guaranteeing the loan. I want to make that

919
00:48:41,080 --> 00:48:44,920
Speaker 3: clear too. Although it's going in the LLC's name, you

920
00:48:45,160 --> 00:48:48,799
Speaker 3: as the owner, are personal guaranteeing it. So if you

921
00:48:49,000 --> 00:48:53,280
Speaker 3: try to skip down and not pay the bank, okay,

922
00:48:53,320 --> 00:48:55,600
Speaker 3: they're gonna just put it on your personal credit and

923
00:48:55,600 --> 00:49:00,279
Speaker 3: then they're gonna come after you. So yes, the high

924
00:49:00,280 --> 00:49:02,879
Speaker 3: the credit score, the lower the interest rate, and in

925
00:49:02,920 --> 00:49:05,719
Speaker 3: today's market, that lower rate will represent probably somewhere in

926
00:49:05,760 --> 00:49:09,319
Speaker 3: the sevens the higher nine ten percent, especially if you're

927
00:49:09,360 --> 00:49:10,600
Speaker 3: not low six hundred credit score.

928
00:49:10,920 --> 00:49:13,239
Speaker 6: So are there are ways and I saw you post

929
00:49:13,280 --> 00:49:16,560
Speaker 6: this as well, are there ways to lower the interest rate?

930
00:49:16,560 --> 00:49:18,479
Speaker 3: Obviously we've seen them going up over the.

931
00:49:18,360 --> 00:49:23,280
Speaker 6: Past twelve months and come down slightly over the past

932
00:49:23,280 --> 00:49:26,080
Speaker 6: month or so. Are there ways that we can use

933
00:49:26,560 --> 00:49:28,440
Speaker 6: or strategies we can use to lower our interest rates

934
00:49:28,440 --> 00:49:31,359
Speaker 6: when it comes to finance, and know for primary residences

935
00:49:31,480 --> 00:49:35,400
Speaker 6: or I let's take primary and maybe I guess so.

936
00:49:35,760 --> 00:49:39,640
Speaker 3: Yeah, So if we're talking the traditional route, right, conventional FHA,

937
00:49:39,719 --> 00:49:41,839
Speaker 3: you could do what's called a two to one by

938
00:49:41,960 --> 00:49:44,680
Speaker 3: down right now. Two to one buy down is it

939
00:49:44,760 --> 00:49:47,319
Speaker 3: used to be popular during the wild cowboy days. It

940
00:49:47,360 --> 00:49:50,319
Speaker 3: was totally underwritten different but now I like the way

941
00:49:50,320 --> 00:49:53,120
Speaker 3: the program is. So basically, essentially, as a two to

942
00:49:53,160 --> 00:49:55,719
Speaker 3: one buy down, you need to sell this concession the

943
00:49:55,760 --> 00:50:00,239
Speaker 3: fundess buy down. You the borrower, cannot use your own

944
00:50:00,320 --> 00:50:03,279
Speaker 3: monies to do the two one buy down. So how

945
00:50:03,320 --> 00:50:06,399
Speaker 3: it works is a lender, let's just say you're doing

946
00:50:06,400 --> 00:50:09,399
Speaker 3: the FHA loan. Let's just say today's rate is five

947
00:50:09,400 --> 00:50:11,480
Speaker 3: and a half percent on a thirty year fix for example,

948
00:50:12,360 --> 00:50:15,759
Speaker 3: the first year your interest rate will be three point

949
00:50:15,800 --> 00:50:18,879
Speaker 3: five percent, the second year the rate will be four

950
00:50:18,920 --> 00:50:23,600
Speaker 3: point five percent, and year three to maturity date will

951
00:50:23,640 --> 00:50:26,240
Speaker 3: be the note rate of five and a half percent.

952
00:50:26,800 --> 00:50:29,719
Speaker 3: So the lender will determine how much money are you

953
00:50:29,760 --> 00:50:32,080
Speaker 3: saving between three and a half percent and five and

954
00:50:32,120 --> 00:50:34,759
Speaker 3: a half percent and four and a half percent and

955
00:50:34,840 --> 00:50:37,480
Speaker 3: five and a half percent. So let's just say over

956
00:50:37,520 --> 00:50:41,839
Speaker 3: those two years you're saving a combination of ten thousand dollars. Right,

957
00:50:42,160 --> 00:50:45,080
Speaker 3: you need to get a sealers concession of ten thousand

958
00:50:45,080 --> 00:50:48,880
Speaker 3: dollars to fund that two one buy down, and that

959
00:50:49,080 --> 00:50:52,239
Speaker 3: essentially will give you the opportunity to have a lower

960
00:50:52,360 --> 00:50:54,880
Speaker 3: rate for the first couple of years, kind of like

961
00:50:54,880 --> 00:50:56,799
Speaker 3: a teaser rate, so to speak. But it's a thirty

962
00:50:56,840 --> 00:51:00,920
Speaker 3: year fixed program. And the idea behind this is, and

963
00:51:00,960 --> 00:51:03,319
Speaker 3: this is why lenders started bringing this program back when

964
00:51:03,400 --> 00:51:05,839
Speaker 3: rates jumped up, is because you know what, lenders are

965
00:51:05,840 --> 00:51:07,880
Speaker 3: still going to lend. We're going to be creative, We're

966
00:51:07,920 --> 00:51:10,120
Speaker 3: going to figure this shit out. Right, it's totally illegal,

967
00:51:10,280 --> 00:51:12,399
Speaker 3: so we're going to bring back products that makes both

968
00:51:12,440 --> 00:51:15,800
Speaker 3: sense and sense for all parties involved. This is a

969
00:51:15,840 --> 00:51:20,759
Speaker 3: way to make home ownership affordable over the first couple

970
00:51:20,800 --> 00:51:23,680
Speaker 3: of years while we ride the wave of this current cycle,

971
00:51:24,120 --> 00:51:26,520
Speaker 3: and when rates tick down there's going to be a

972
00:51:26,560 --> 00:51:30,520
Speaker 3: refinance boom in the next twelve to eighteen months, maybe

973
00:51:30,560 --> 00:51:34,600
Speaker 3: sooner right now. Another way is to buy down points.

974
00:51:35,160 --> 00:51:38,719
Speaker 3: Buying down points now you can fund this with a

975
00:51:38,800 --> 00:51:41,360
Speaker 3: salies concession, or you can use your cash out of

976
00:51:41,360 --> 00:51:43,279
Speaker 3: your bank account to buy down points and as part

977
00:51:43,320 --> 00:51:46,239
Speaker 3: of your closing costs as well. And one point is

978
00:51:46,400 --> 00:51:49,440
Speaker 3: equivalent of one percent of the loan amount, So if

979
00:51:49,480 --> 00:51:52,000
Speaker 3: you're buying let's just say it's a five hundred thousand

980
00:51:52,080 --> 00:51:56,480
Speaker 3: dollars loan, one point is five thousand dollars, and that

981
00:51:56,640 --> 00:51:59,600
Speaker 3: will bring your rate down, depending on the lender, a

982
00:51:59,680 --> 00:52:02,360
Speaker 3: quarter a point to three eighths of a point. So

983
00:52:02,400 --> 00:52:04,239
Speaker 3: if it started off at five and a half, you

984
00:52:04,280 --> 00:52:06,759
Speaker 3: brought a point, it will go to five point one

985
00:52:06,880 --> 00:52:09,600
Speaker 3: two five percent or five and a quarter on a

986
00:52:09,640 --> 00:52:13,640
Speaker 3: thirty year fix. And each point you buy will knock

987
00:52:13,680 --> 00:52:15,640
Speaker 3: down quarter to three a's of a point. So that's

988
00:52:15,760 --> 00:52:20,080
Speaker 3: also another way that you can bring down your interest rate.

989
00:52:20,120 --> 00:52:24,080
Speaker 3: But ultimately, the way to lock in the lowest rates

990
00:52:24,120 --> 00:52:29,040
Speaker 3: possible is to have the highest possible credit score that

991
00:52:29,080 --> 00:52:32,359
Speaker 3: you can have, especially in today's market, where you know,

992
00:52:32,440 --> 00:52:34,759
Speaker 3: even if you have a seven hundred credit score, you

993
00:52:34,840 --> 00:52:36,879
Speaker 3: might not still get the lowest rate, whereas a year

994
00:52:36,880 --> 00:52:39,000
Speaker 3: ago that still would give you a great rate at

995
00:52:39,040 --> 00:52:41,799
Speaker 3: seven hundred and seven to twenty. Now you really have

996
00:52:41,920 --> 00:52:44,560
Speaker 3: to be in that if you're going conventional, you really

997
00:52:44,600 --> 00:52:47,520
Speaker 3: have to be seven forty seven sixty and higher right

998
00:52:47,520 --> 00:52:51,160
Speaker 3: now to really get that whatever that national rate that

999
00:52:51,200 --> 00:52:54,680
Speaker 3: people see online with no points, you really have to

1000
00:52:54,719 --> 00:52:57,880
Speaker 3: be in that higher upper echelon of credit when you're

1001
00:52:57,920 --> 00:53:01,680
Speaker 3: talking conventional. Now, fha, you can have a six eighty

1002
00:53:01,760 --> 00:53:05,120
Speaker 3: seven hundred credit store still get a great rate with

1003
00:53:05,239 --> 00:53:05,800
Speaker 3: those scores.

1004
00:53:05,920 --> 00:53:10,200
Speaker 6: So in that first scenario, going from's that example three

1005
00:53:10,200 --> 00:53:12,879
Speaker 6: point five to five point five, after it gets let's

1006
00:53:12,880 --> 00:53:14,640
Speaker 6: say after that third year, is it capped at the

1007
00:53:14,640 --> 00:53:15,359
Speaker 6: five point five?

1008
00:53:15,440 --> 00:53:15,720
Speaker 3: Correct?

1009
00:53:15,760 --> 00:53:17,600
Speaker 2: It's capped, right, So it's not an adjustable rate.

1010
00:53:17,680 --> 00:53:20,040
Speaker 3: Correct, it's not adjustable rate. It's a thirty it's a

1011
00:53:20,040 --> 00:53:22,879
Speaker 3: thirty year fixed mortgage. But speaking of adjustable rates, that's

1012
00:53:22,920 --> 00:53:25,640
Speaker 3: another way, but adjustable rates, you got to really look

1013
00:53:25,680 --> 00:53:29,000
Speaker 3: at the math and see does it make sense for

1014
00:53:29,080 --> 00:53:32,200
Speaker 3: me to take this adjustable rate because the a five

1015
00:53:32,360 --> 00:53:35,479
Speaker 3: year so adjustable rates are typically fixed for five years,

1016
00:53:35,480 --> 00:53:38,640
Speaker 3: seven years, or ten years, and then after that it

1017
00:53:38,719 --> 00:53:41,200
Speaker 3: adjusts for the life of the loan. Depending on where

1018
00:53:41,200 --> 00:53:44,399
Speaker 3: the market is, the rate can go up and go down.

1019
00:53:44,680 --> 00:53:48,359
Speaker 3: So folks who had adjustable rates prior to the pandemic,

1020
00:53:48,920 --> 00:53:52,480
Speaker 3: they won because they rates. If there was an adjustment phase,

1021
00:53:52,920 --> 00:53:57,000
Speaker 3: they rates drop down so they didn't really necessarily have

1022
00:53:57,080 --> 00:53:59,480
Speaker 3: to refinance and pay closing costs and things like that

1023
00:53:59,520 --> 00:54:02,680
Speaker 3: because the market was in a favor now on the

1024
00:54:02,680 --> 00:54:07,640
Speaker 3: flip side, huh difference, so they I advise all my

1025
00:54:07,680 --> 00:54:11,200
Speaker 3: clients and people who I was speaking to who had adjustables,

1026
00:54:11,239 --> 00:54:15,160
Speaker 3: you might as well get out of it because the ten, fifteen, twenty,

1027
00:54:15,200 --> 00:54:17,880
Speaker 3: and thirties the cheapest has ever been, So it doesn't

1028
00:54:17,920 --> 00:54:19,960
Speaker 3: make sense to play the risk. But in this market,

1029
00:54:20,160 --> 00:54:24,160
Speaker 3: adjustable rates make sense. For someone who is not looking

1030
00:54:24,280 --> 00:54:26,319
Speaker 3: and they know that not going to stand at home

1031
00:54:26,400 --> 00:54:28,359
Speaker 3: for the long term. This is not a thirty year

1032
00:54:28,400 --> 00:54:30,759
Speaker 3: play for them. This is a five year place. So

1033
00:54:30,800 --> 00:54:32,000
Speaker 3: if you know I'm gonna be in this house for

1034
00:54:32,080 --> 00:54:35,160
Speaker 3: five years and I'm just using this as my starter home.

1035
00:54:35,560 --> 00:54:38,319
Speaker 3: I wouldn't recommend getting a five year ARM. I would

1036
00:54:38,320 --> 00:54:40,800
Speaker 3: probably say do a seven or ten because life happens

1037
00:54:41,160 --> 00:54:43,400
Speaker 3: and you never know. And if you see an opportunity

1038
00:54:43,440 --> 00:54:45,360
Speaker 3: to refinance over the next couple of years and you

1039
00:54:45,400 --> 00:54:48,160
Speaker 3: still own that house, take advantage of the refinance opportunity

1040
00:54:48,200 --> 00:54:51,799
Speaker 3: as well. So adjustable rate mortgagees can work if it

1041
00:54:51,840 --> 00:54:54,120
Speaker 3: makes sense, But in most cases, from what I'm seeing,

1042
00:54:54,360 --> 00:54:56,120
Speaker 3: sometimes it just doesn't make sense.

1043
00:54:57,080 --> 00:55:00,480
Speaker 5: So let's talk about hedge funds buying single family homes.

1044
00:55:01,000 --> 00:55:05,560
Speaker 3: What's the deal with that business. Look, I know there's

1045
00:55:05,560 --> 00:55:08,560
Speaker 3: a lot of chat on the internet about the housing market,

1046
00:55:08,760 --> 00:55:10,680
Speaker 3: and a lot of folks will tell you, don't buy

1047
00:55:10,719 --> 00:55:14,759
Speaker 3: a house right now, don't do this right now. I

1048
00:55:14,840 --> 00:55:17,600
Speaker 3: tend to follow the money. What is the money doing.

1049
00:55:18,000 --> 00:55:21,319
Speaker 3: The money is the institutional investors and what they're doing

1050
00:55:21,400 --> 00:55:25,080
Speaker 3: right now. They're buying houses in the forms of billions

1051
00:55:25,080 --> 00:55:27,719
Speaker 3: and billions and billions of dollars. So for me, the

1052
00:55:27,800 --> 00:55:30,440
Speaker 3: light bulb goes over my head and say, hmm, what

1053
00:55:30,480 --> 00:55:33,480
Speaker 3: do they know that we don't know. These people are

1054
00:55:33,600 --> 00:55:37,480
Speaker 3: smart as hell, they're not stupid, and if they're buying homes,

1055
00:55:37,960 --> 00:55:41,080
Speaker 3: then why are we sitting on the sidelines, Well, not us,

1056
00:55:41,200 --> 00:55:44,520
Speaker 3: but why are some of our audience sitting on the

1057
00:55:44,600 --> 00:55:48,760
Speaker 3: sidelines and waiting for a quote unquote crash or anything

1058
00:55:48,800 --> 00:55:51,440
Speaker 3: like that to happen to get themselves in the game.

1059
00:55:51,760 --> 00:55:54,799
Speaker 3: If you look at the institutional money out there, they're

1060
00:55:54,840 --> 00:55:58,160
Speaker 3: buying all of Georgia right now for the most part.

1061
00:55:58,400 --> 00:56:03,080
Speaker 3: You know, you got Jeff Bezos and his back companies

1062
00:56:03,080 --> 00:56:06,120
Speaker 3: that are buying real estate. JP Morgan Chase just partner

1063
00:56:06,160 --> 00:56:09,120
Speaker 3: with another hedge fund. They're buying billion dollars worth of

1064
00:56:09,120 --> 00:56:13,400
Speaker 3: real estate right All of these companies, all these institutional

1065
00:56:13,480 --> 00:56:16,799
Speaker 3: investors are putting their money into the safe haven of

1066
00:56:16,880 --> 00:56:20,359
Speaker 3: real estate for a reason and the purpose because real

1067
00:56:20,440 --> 00:56:24,080
Speaker 3: estate is going nowhere. Right, Crypto was up to sixty

1068
00:56:24,160 --> 00:56:28,000
Speaker 3: plus thousand dollars. Now where is it at? Stocks was

1069
00:56:28,080 --> 00:56:32,040
Speaker 3: up where and where is at? If the housing market

1070
00:56:32,160 --> 00:56:35,319
Speaker 3: does crash, I can still go touch my house. The

1071
00:56:35,360 --> 00:56:37,719
Speaker 3: tenant still has to pay me. I'm still going to

1072
00:56:37,719 --> 00:56:42,520
Speaker 3: get the same cash flow because with inflation rising, even

1073
00:56:42,600 --> 00:56:44,799
Speaker 3: though it's coming down a little bit, people still have

1074
00:56:44,800 --> 00:56:47,520
Speaker 3: to pay their rent. And if you buy right, there's

1075
00:56:47,560 --> 00:56:49,879
Speaker 3: always going to be cash flow coming in no matter

1076
00:56:49,920 --> 00:56:52,920
Speaker 3: what the market is doing. So real estate is it

1077
00:56:52,960 --> 00:56:56,480
Speaker 3: will be probably one always one of the greatest investment

1078
00:56:56,560 --> 00:57:00,319
Speaker 3: tools out there, especially because of the tax benefits that

1079
00:57:00,360 --> 00:57:02,800
Speaker 3: come with it. And you have to understand the tax

1080
00:57:02,840 --> 00:57:05,719
Speaker 3: play behind buying that much real estate as well. So

1081
00:57:05,760 --> 00:57:09,279
Speaker 3: these people are rich and wealthy and they're trying to

1082
00:57:09,320 --> 00:57:11,719
Speaker 3: hedge their taxes and minimize it too. So what's the

1083
00:57:11,760 --> 00:57:15,720
Speaker 3: best player real estate? Brick and mortar because of things

1084
00:57:15,760 --> 00:57:19,120
Speaker 3: like depreciation, cost segregation, there's a lot of different things

1085
00:57:19,120 --> 00:57:22,480
Speaker 3: that you can do to offset your wins. If you

1086
00:57:22,600 --> 00:57:24,920
Speaker 3: got huge capital gains, you can put that in ten

1087
00:57:24,960 --> 00:57:28,160
Speaker 3: thirty one changes, buy real estate, so you defering your

1088
00:57:28,200 --> 00:57:31,760
Speaker 3: taxes down the road. Right. Real estate gives you all

1089
00:57:31,800 --> 00:57:37,040
Speaker 3: these plays that the wealthy use at scale to continue

1090
00:57:37,040 --> 00:57:41,000
Speaker 3: to grow their wealth. Whereas with us in our community,

1091
00:57:41,320 --> 00:57:43,760
Speaker 3: we like to listen to everybody else, but instead of

1092
00:57:43,800 --> 00:57:47,640
Speaker 3: following the money, so the institution investors are going to

1093
00:57:47,960 --> 00:57:53,200
Speaker 3: continue to buy real estate and also playing devil's advocate.

1094
00:57:53,600 --> 00:57:56,760
Speaker 3: Why is that too? Besides everything I mentioned is to

1095
00:57:56,840 --> 00:57:59,760
Speaker 3: keep the middle class middle classing right to make America

1096
00:57:59,800 --> 00:58:06,640
Speaker 3: ten period. Like the middle class areas they don't want

1097
00:58:06,640 --> 00:58:08,520
Speaker 3: you to own homes, They don't want you to be wealthy.

1098
00:58:08,560 --> 00:58:10,000
Speaker 3: They don't want you to be rich, they don't want

1099
00:58:10,040 --> 00:58:13,640
Speaker 3: you to build your wealth. So they're buying all these

1100
00:58:13,680 --> 00:58:17,120
Speaker 3: properties in my opinion, to keep the middle class at

1101
00:58:17,160 --> 00:58:17,840
Speaker 3: the middle class.

1102
00:58:17,880 --> 00:58:20,120
Speaker 5: So but like a lot of investors, like Julian Gordon,

1103
00:58:20,160 --> 00:58:22,720
Speaker 5: they like it doesn't make sense to invest in multi

1104
00:58:22,840 --> 00:58:25,920
Speaker 5: in a single family, invest in multi family owns. So

1105
00:58:26,120 --> 00:58:29,240
Speaker 5: this is contrary to that because this is billion dollar entities.

1106
00:58:29,560 --> 00:58:31,520
Speaker 5: They're not buying well, they're buying multi pemple, but they're

1107
00:58:31,560 --> 00:58:32,840
Speaker 5: buying single family homes.

1108
00:58:33,160 --> 00:58:35,560
Speaker 3: Yeah, because single family is so you know, shout out

1109
00:58:35,600 --> 00:58:38,560
Speaker 3: to Julia first and foremost in the multi family movement.

1110
00:58:39,120 --> 00:58:43,400
Speaker 3: But I understand his logic is if it's a single family,

1111
00:58:43,600 --> 00:58:46,160
Speaker 3: one it's one income coming in and if they don't pay,

1112
00:58:46,600 --> 00:58:48,760
Speaker 3: then somebody has to pay that debt. Whereas it's a

1113
00:58:48,840 --> 00:58:51,800
Speaker 3: multi family, you have multiple rents coming in, so if

1114
00:58:51,800 --> 00:58:54,120
Speaker 3: one person doesn't pay, you have four units. You still

1115
00:58:54,120 --> 00:58:56,680
Speaker 3: got three rents coming in that can cover, right. So

1116
00:58:56,760 --> 00:58:59,560
Speaker 3: I understand that logic, But the reality of it is

1117
00:59:00,600 --> 00:59:03,760
Speaker 3: people live in single family rents. Who's longer than multi families.

1118
00:59:04,280 --> 00:59:07,440
Speaker 3: Multi family apartments are smaller than somebody want to live

1119
00:59:07,480 --> 00:59:10,040
Speaker 3: in house. So if you have children, you don't want

1120
00:59:10,040 --> 00:59:12,760
Speaker 3: to live in the hood where are most multi families at.

1121
00:59:14,760 --> 00:59:17,920
Speaker 3: And now New York is different, right because you can

1122
00:59:17,960 --> 00:59:21,680
Speaker 3: go to Brooklyn and be in Park Slow and it's

1123
00:59:21,720 --> 00:59:25,560
Speaker 3: five million dollar multifamilies there, right. So New York is

1124
00:59:25,640 --> 00:59:28,560
Speaker 3: just a different peace in the self. So I can't

1125
00:59:28,560 --> 00:59:30,840
Speaker 3: compare New York to the rest of the country. But

1126
00:59:30,960 --> 00:59:32,960
Speaker 3: if we all travel around the country, and where you

1127
00:59:33,000 --> 00:59:35,600
Speaker 3: see multi families at. You don't see them in the suburbs,

1128
00:59:35,760 --> 00:59:38,000
Speaker 3: you don't see them in the good school districts, you

1129
00:59:38,040 --> 00:59:41,080
Speaker 3: don't see them in where there's good stores and amenities

1130
00:59:41,120 --> 00:59:43,760
Speaker 3: and things of that nature in the area. So most

1131
00:59:43,840 --> 00:59:48,200
Speaker 3: folks who have children, especially young children, that want school districts,

1132
00:59:48,360 --> 00:59:50,240
Speaker 3: They want to live in a single family home. They

1133
00:59:50,240 --> 00:59:53,680
Speaker 3: want backyard and bar mitzvahs. They probably just can't afford

1134
00:59:54,080 --> 00:59:56,960
Speaker 3: to buy right now, but they still want to live good. Right.

1135
00:59:57,120 --> 01:00:02,120
Speaker 3: So America's institutional investors understand that this is why they're

1136
01:00:02,120 --> 01:00:06,280
Speaker 3: doing more build to rent properties where they would build

1137
01:00:06,320 --> 01:00:09,840
Speaker 3: these communities for single families, and traditionally they would sell

1138
01:00:09,880 --> 01:00:14,040
Speaker 3: those and flip them now with rent at all time

1139
01:00:14,160 --> 01:00:18,520
Speaker 3: high style one bedroom apartment is on average nationally two

1140
01:00:18,640 --> 01:00:21,680
Speaker 3: thousand dollars a one bedroom apartment in New York right

1141
01:00:21,680 --> 01:00:25,240
Speaker 3: now average is six thousand dollars. Right, look at what's

1142
01:00:25,280 --> 01:00:28,640
Speaker 3: happened in New York. The empty office spaces are now

1143
01:00:28,680 --> 01:00:35,360
Speaker 3: being converted to what apartments? Yeah, right, So investors, especially

1144
01:00:35,400 --> 01:00:38,120
Speaker 3: institutional investors, are always going to find a way to

1145
01:00:38,160 --> 01:00:41,160
Speaker 3: make money. So it's no right or wrong way, whether

1146
01:00:41,280 --> 01:00:44,360
Speaker 3: single family or multi family, to me is no debate.

1147
01:00:44,760 --> 01:00:47,680
Speaker 3: Right if you are there some areas where it might

1148
01:00:47,680 --> 01:00:49,840
Speaker 3: be better to buy a single family and rentals. I

1149
01:00:49,880 --> 01:00:52,320
Speaker 3: know a lot of investors that swear up and down

1150
01:00:52,320 --> 01:00:56,320
Speaker 3: about single family rentals and won't touch a multi family

1151
01:00:56,360 --> 01:00:58,280
Speaker 3: and vice versa, Like the Julian Gordons of the world.

1152
01:00:58,280 --> 01:01:00,560
Speaker 3: They won't touch a single family. They want more family.

1153
01:01:00,800 --> 01:01:03,520
Speaker 3: So I think it's really about picking your poison and

1154
01:01:04,280 --> 01:01:07,280
Speaker 3: doing what works for you, not kind of following suit

1155
01:01:07,320 --> 01:01:10,800
Speaker 3: with everyone else, and understanding your numbers and what your

1156
01:01:10,920 --> 01:01:12,840
Speaker 3: ROI needs to be and they kind of moving on

1157
01:01:12,880 --> 01:01:13,200
Speaker 3: from there.

1158
01:01:13,320 --> 01:01:15,600
Speaker 6: Do you think that's where because I'm seeing a lot

1159
01:01:15,600 --> 01:01:20,000
Speaker 6: of commercial real estate being vacant, you think that is

1160
01:01:20,160 --> 01:01:22,800
Speaker 6: the way we're aheaded with this. Those commercial real estate

1161
01:01:22,840 --> 01:01:26,960
Speaker 6: spaces will now become rental properties inside would be like

1162
01:01:27,000 --> 01:01:27,720
Speaker 6: a conversion.

1163
01:01:28,040 --> 01:01:29,880
Speaker 3: Oh absolutely. I mean when we was at lunch with

1164
01:01:29,960 --> 01:01:33,000
Speaker 3: down people's we was having that conversation too, where conversions.

1165
01:01:33,040 --> 01:01:35,760
Speaker 3: There's billions of dollars just in New York City right

1166
01:01:35,800 --> 01:01:39,080
Speaker 3: now that's being flooded into the market in these office

1167
01:01:39,160 --> 01:01:42,200
Speaker 3: retail spaces that are now because look look what happened

1168
01:01:42,280 --> 01:01:46,680
Speaker 3: during the pandemic, companies people got to work from home.

1169
01:01:47,760 --> 01:01:49,880
Speaker 3: Why do I need to pay one hundred thousand dollars

1170
01:01:49,880 --> 01:01:55,000
Speaker 3: a month with that space? So what are the land

1171
01:01:55,040 --> 01:01:58,120
Speaker 3: and those are rentals right, they're leasing. They're not owning

1172
01:01:58,160 --> 01:02:02,760
Speaker 3: these skyscrapers in these buildings. So they rather pay the

1173
01:02:02,800 --> 01:02:06,760
Speaker 3: penalties to get out, then they can deduct it anyway

1174
01:02:06,840 --> 01:02:08,600
Speaker 3: off they taxes, so it's a whole place. So it

1175
01:02:08,600 --> 01:02:10,880
Speaker 3: really doesn't If they are a profitable company and they

1176
01:02:10,960 --> 01:02:13,000
Speaker 3: got a lot of money, it's not going to hurt

1177
01:02:13,040 --> 01:02:15,480
Speaker 3: them to get out their leavest. But from the landlord perspective,

1178
01:02:15,600 --> 01:02:18,360
Speaker 3: it's going to hurt me now because maybe I got

1179
01:02:18,400 --> 01:02:20,840
Speaker 3: the penalties and all this upfront money, but now I

1180
01:02:20,840 --> 01:02:24,000
Speaker 3: still got a vacant property, So why not convert it?

1181
01:02:24,280 --> 01:02:27,360
Speaker 3: Because there's a housing crisis. I think America needs about

1182
01:02:27,400 --> 01:02:31,480
Speaker 3: seven million homes right now to kind of balance out

1183
01:02:31,640 --> 01:02:34,960
Speaker 3: the housing market. So why not where you have all

1184
01:02:35,000 --> 01:02:37,480
Speaker 3: these cities and people now want the amenities, they want

1185
01:02:37,560 --> 01:02:41,880
Speaker 3: downtown living, they want the New York City flair, so

1186
01:02:41,920 --> 01:02:44,160
Speaker 3: to speak, in smaller towns and things of that nature.

1187
01:02:44,360 --> 01:02:47,720
Speaker 3: So why not create loss? Why not can create one bedrooms,

1188
01:02:47,720 --> 01:02:50,640
Speaker 3: two bedrooms in a downtown area, because now that's going

1189
01:02:50,680 --> 01:02:55,560
Speaker 3: to command what more rent, So you'll find people that

1190
01:02:55,680 --> 01:03:00,640
Speaker 3: will live in these as an apartment versus businesses that

1191
01:03:00,680 --> 01:03:02,960
Speaker 3: probably can't afford to rent them.

1192
01:03:03,120 --> 01:03:04,640
Speaker 2: So it's a play that's going on.

1193
01:03:04,960 --> 01:03:09,320
Speaker 3: And there's billions of dollars that are being dumped into

1194
01:03:10,600 --> 01:03:15,600
Speaker 3: converting office spaces into apartment So.

1195
01:03:15,720 --> 01:03:17,400
Speaker 5: How do you get licensed to become a real to

1196
01:03:17,480 --> 01:03:18,200
Speaker 5: a loan officer?

1197
01:03:18,640 --> 01:03:21,880
Speaker 3: Good question, and I don't think we ever spoke about that.

1198
01:03:22,800 --> 01:03:25,880
Speaker 3: So to get a real estate license, I think it's

1199
01:03:26,400 --> 01:03:29,600
Speaker 3: it's cheap. It's a couple hundred dollars, right, a couple

1200
01:03:29,720 --> 01:03:32,720
Speaker 3: hundred dollars investment. You need to take a seventy five

1201
01:03:32,800 --> 01:03:38,160
Speaker 3: hour course, be over eighteen years old, pass a background check,

1202
01:03:39,000 --> 01:03:42,640
Speaker 3: past the class. Once you pass the class, then you

1203
01:03:42,720 --> 01:03:44,600
Speaker 3: have to submit for your license and for the state

1204
01:03:44,640 --> 01:03:48,840
Speaker 3: that you're in, and then once you get approved, you

1205
01:03:48,920 --> 01:03:53,120
Speaker 3: have to get sponsored by real estate brokerage and then

1206
01:03:53,160 --> 01:03:56,600
Speaker 3: once you get sponsored, they issue your license, and then

1207
01:03:56,680 --> 01:03:59,160
Speaker 3: today I'm a real to So you really can become

1208
01:03:59,200 --> 01:04:02,240
Speaker 3: a real estate agent thirty days forty five days is

1209
01:04:02,280 --> 01:04:05,040
Speaker 3: depending on where you're located, and it's only going to

1210
01:04:05,120 --> 01:04:07,680
Speaker 3: cost you a couple hundred dollars to do, so it's

1211
01:04:07,800 --> 01:04:11,880
Speaker 3: not an expensive investment. Now on the flip side, just

1212
01:04:11,920 --> 01:04:14,160
Speaker 3: because your licensed real estate agent doesn't mean you're gonna

1213
01:04:14,160 --> 01:04:16,840
Speaker 3: make no money. The average real estate agent probably does

1214
01:04:16,880 --> 01:04:21,560
Speaker 3: one deal a year, if that right, So twenty percent

1215
01:04:21,600 --> 01:04:23,560
Speaker 3: of the people and really to have a real estate

1216
01:04:23,600 --> 01:04:26,439
Speaker 3: license are doing eighty percent of the business. And it's

1217
01:04:26,480 --> 01:04:28,640
Speaker 3: like any sales profession. I'm pretty sure when you were

1218
01:04:28,720 --> 01:04:31,280
Speaker 3: financial planning the numbers were pretty much the same. Even

1219
01:04:31,320 --> 01:04:33,680
Speaker 3: on the loan office socide. It's the same thing. So

1220
01:04:33,920 --> 01:04:36,360
Speaker 3: just because you got a license, it doesn't give you

1221
01:04:36,400 --> 01:04:39,000
Speaker 3: a license to print money. You have to go out

1222
01:04:39,000 --> 01:04:42,000
Speaker 3: there and you have tool network and you have to

1223
01:04:42,080 --> 01:04:44,720
Speaker 3: really roll up your sleeves to get some business because

1224
01:04:44,760 --> 01:04:46,600
Speaker 3: it's not easy at all. I think in New York Co.

1225
01:04:46,640 --> 01:04:50,320
Speaker 3: Loan is over thirty thousand real estate active real estate licenses.

1226
01:04:50,720 --> 01:04:53,200
Speaker 3: Thirty thousand people are not closing deals. You know what

1227
01:04:53,400 --> 01:04:57,760
Speaker 3: I'm saying, It's not happening, so, but it is. I

1228
01:04:58,680 --> 01:05:01,880
Speaker 3: believe that if you are looking to get into real estate,

1229
01:05:01,960 --> 01:05:04,320
Speaker 3: and if you don't have the capital to get into

1230
01:05:04,320 --> 01:05:07,240
Speaker 3: real estate, go get licensed. It's not going to hurt you.

1231
01:05:07,320 --> 01:05:10,240
Speaker 3: Because everybody knows somebody who needs to rent an apartment

1232
01:05:10,600 --> 01:05:12,479
Speaker 3: or do something like that. You can. It's so many

1233
01:05:12,480 --> 01:05:15,760
Speaker 3: different streams of income when you become a licensed realtor.

1234
01:05:15,800 --> 01:05:17,840
Speaker 3: You can rent apartments, you can sell homes. You can

1235
01:05:17,880 --> 01:05:21,520
Speaker 3: represent sellers, you can represent buyers, you can represent investors, developers.

1236
01:05:21,640 --> 01:05:25,320
Speaker 3: You can property manage right. You can do BPOs broken

1237
01:05:25,320 --> 01:05:28,480
Speaker 3: price opinions, which is basically appraisers right on behalf of

1238
01:05:28,520 --> 01:05:31,120
Speaker 3: the banks. You can do short sale negotiations. You can

1239
01:05:31,160 --> 01:05:33,480
Speaker 3: wholesale because in some states now they're requiring you to

1240
01:05:33,520 --> 01:05:36,800
Speaker 3: have a real estate license to even whole sale properties. Right.

1241
01:05:37,040 --> 01:05:41,040
Speaker 3: So there's many different avenues of making money. When you

1242
01:05:41,040 --> 01:05:43,160
Speaker 3: have your real estate license. You just got to figure

1243
01:05:43,200 --> 01:05:45,200
Speaker 3: out what's going to be your play and kind of

1244
01:05:45,240 --> 01:05:48,760
Speaker 3: stick to it. Now. Also, to get your mL license.

1245
01:05:48,800 --> 01:05:51,880
Speaker 3: To get become a licensed loan officer. Believe, you've got

1246
01:05:51,880 --> 01:05:57,040
Speaker 3: to take like a twenty five hour class and tests,

1247
01:05:57,040 --> 01:05:59,040
Speaker 3: and then when you pass that, you got to take

1248
01:05:59,400 --> 01:06:02,280
Speaker 3: a federal exam. You pass the federal exam again, it's

1249
01:06:02,280 --> 01:06:07,320
Speaker 3: a couple hundred dollars for a couple hundred dollars investment

1250
01:06:07,360 --> 01:06:10,560
Speaker 3: to get licensed. Once you pass the federal exam, then

1251
01:06:10,600 --> 01:06:13,960
Speaker 3: you submit to the state, you submit to NMLS. You

1252
01:06:13,960 --> 01:06:16,120
Speaker 3: got to do your fingerprints, your background check. It's a

1253
01:06:16,160 --> 01:06:18,520
Speaker 3: little bit more intense on my side because of the

1254
01:06:18,520 --> 01:06:21,120
Speaker 3: wild cowboy days and the market crash, so they kind

1255
01:06:21,120 --> 01:06:24,120
Speaker 3: of overregulated us. They blame us for everything, so we

1256
01:06:24,240 --> 01:06:27,760
Speaker 3: got overregulated a little bit. So now once you get

1257
01:06:27,800 --> 01:06:30,760
Speaker 3: your passed and then you have to get sponsored by

1258
01:06:30,760 --> 01:06:33,080
Speaker 3: a mortgage company, but the same rules apply. It doesn't

1259
01:06:33,080 --> 01:06:35,360
Speaker 3: mean you're going to make money, but both careers could

1260
01:06:35,400 --> 01:06:39,320
Speaker 3: be six figure careers. Seven figure careers if you really

1261
01:06:39,400 --> 01:06:42,400
Speaker 3: hit a lick and you really get a good referral

1262
01:06:42,440 --> 01:06:44,320
Speaker 3: sources and you're out there putting in.

1263
01:06:44,240 --> 01:06:47,360
Speaker 5: Your way and just a source of way to get information.

1264
01:06:47,680 --> 01:06:52,760
Speaker 3: Most importantly right information and resources. Right now you have

1265
01:06:52,760 --> 01:06:55,320
Speaker 3: a real estate license. Now you got access to MLS,

1266
01:06:55,360 --> 01:06:58,200
Speaker 3: the multiple listing service. Now you see all the homes

1267
01:06:58,440 --> 01:07:00,760
Speaker 3: that are being listed, you see who listening to homes.

1268
01:07:00,760 --> 01:07:02,640
Speaker 3: You get access to the public records. You get to

1269
01:07:02,720 --> 01:07:06,120
Speaker 3: learn how to navigate the systems. You get to learn

1270
01:07:06,160 --> 01:07:10,080
Speaker 3: how to look for comparable sales right. So there's a

1271
01:07:10,120 --> 01:07:12,320
Speaker 3: lot of knowledge that comes with this. And if you

1272
01:07:12,360 --> 01:07:15,400
Speaker 3: get with the right brokerage, the right real estate brokerage

1273
01:07:15,400 --> 01:07:18,320
Speaker 3: will always offer training. They will always have mortgage professionals

1274
01:07:18,400 --> 01:07:21,520
Speaker 3: in their offices like me, training you on loan products.

1275
01:07:21,520 --> 01:07:24,800
Speaker 3: They'll have title companies in your office. You'll learn so much.

1276
01:07:24,880 --> 01:07:27,400
Speaker 3: So it's a great way to get started if you

1277
01:07:27,480 --> 01:07:30,479
Speaker 3: want to be a real estate investor is to start

1278
01:07:30,520 --> 01:07:33,280
Speaker 3: off by getting your license, earning some money. Now you

1279
01:07:33,320 --> 01:07:36,120
Speaker 3: take your commissions, and now you start buying properties because

1280
01:07:36,160 --> 01:07:38,880
Speaker 3: now you start learning all the players are, especially the

1281
01:07:38,920 --> 01:07:41,919
Speaker 3: local players in your area. And now you can build

1282
01:07:41,920 --> 01:07:43,760
Speaker 3: a referral worre. I know people who got their real

1283
01:07:43,880 --> 01:07:45,880
Speaker 3: estate license, they don't sell the house at all. They

1284
01:07:46,000 --> 01:07:49,760
Speaker 3: just a referral network. They're refer to agents all over

1285
01:07:49,800 --> 01:07:53,040
Speaker 3: the country and they'll just get all the leads and

1286
01:07:53,080 --> 01:07:56,040
Speaker 3: they'll make thirty three percent of that transaction. Right, So

1287
01:07:56,120 --> 01:07:59,920
Speaker 3: that's also another play too, right, So there's a lot

1288
01:08:00,240 --> 01:08:02,280
Speaker 3: that you can do with you have your real estate

1289
01:08:02,320 --> 01:08:03,960
Speaker 3: license face BENGI.

1290
01:08:04,200 --> 01:08:07,480
Speaker 6: I'm looking at you, man, and I remember you know

1291
01:08:07,960 --> 01:08:10,560
Speaker 6: it was Marsha twenty nineteen when you sat down in

1292
01:08:10,600 --> 01:08:15,560
Speaker 6: the dining room. And what I've seen, obviously very close

1293
01:08:15,640 --> 01:08:18,439
Speaker 6: up is the growth obviously you in the real estate world,

1294
01:08:18,760 --> 01:08:23,719
Speaker 6: obviously in the social media world as well. And I've

1295
01:08:24,000 --> 01:08:25,559
Speaker 6: listened to you over and over and every time I

1296
01:08:25,560 --> 01:08:27,360
Speaker 6: hear you, I feel like you're being more You're more

1297
01:08:27,479 --> 01:08:29,680
Speaker 6: educated than the last time. Right, So it feels like

1298
01:08:29,680 --> 01:08:32,479
Speaker 6: you're staying on top of the game. But I wonder, now,

1299
01:08:32,520 --> 01:08:35,240
Speaker 6: as you look at it from where you stand, what's

1300
01:08:35,240 --> 01:08:38,559
Speaker 6: a missing like, what's a missing link inside of real

1301
01:08:38,680 --> 01:08:42,880
Speaker 6: estate that nobody has tried to solve or nobody has

1302
01:08:42,880 --> 01:08:44,920
Speaker 6: found a solution for it just yet?

1303
01:08:45,439 --> 01:08:51,080
Speaker 3: What's missing? I think representation matters in our in the

1304
01:08:51,120 --> 01:08:53,799
Speaker 3: real estate world. There's not too many black real estate

1305
01:08:54,320 --> 01:08:59,160
Speaker 3: mortgage broke riches, owners and banks mortgage banks out there.

1306
01:09:00,120 --> 01:09:00,200
Speaker 4: Now.

1307
01:09:00,240 --> 01:09:04,479
Speaker 3: When you're in cities like Atlanta or Houston where's predominantly black, yes,

1308
01:09:04,680 --> 01:09:09,040
Speaker 3: you'll see more black real estate brokerages, more black mortgage

1309
01:09:09,040 --> 01:09:12,760
Speaker 3: brokerages or mortgage banks. But when you're in the Northeast

1310
01:09:13,280 --> 01:09:17,479
Speaker 3: East Coast, I mean, how many black mortgage company owners

1311
01:09:17,479 --> 01:09:21,200
Speaker 3: do you guys know? I don't, I know, and I'm

1312
01:09:21,200 --> 01:09:23,920
Speaker 3: in this business for twenty years and I probably say

1313
01:09:23,920 --> 01:09:27,000
Speaker 3: I know two or three black people that own a

1314
01:09:27,040 --> 01:09:30,880
Speaker 3: mortgage bank or mortgage brokerage. So for me, what's missing

1315
01:09:31,040 --> 01:09:34,160
Speaker 3: in my career I've been doing this now twenty years

1316
01:09:34,600 --> 01:09:38,840
Speaker 3: is ownership. Most people think I own a mortgage company,

1317
01:09:38,840 --> 01:09:41,400
Speaker 3: but I don't. I just represent my team and I

1318
01:09:41,439 --> 01:09:45,000
Speaker 3: represent my last name. So for me, my goals have shifted,

1319
01:09:45,120 --> 01:09:48,400
Speaker 3: especially because of the past couple of years of what

1320
01:09:48,439 --> 01:09:52,320
Speaker 3: we've all been through together as a unit with Euyle University.

1321
01:09:52,360 --> 01:09:56,120
Speaker 3: We're doing events and traveling and now becoming an international speaker.

1322
01:09:56,200 --> 01:09:58,759
Speaker 3: I'm going to definitely use that all the time now, Rashana,

1323
01:09:58,760 --> 01:10:00,880
Speaker 3: thank you as you should. First he said I was

1324
01:10:00,880 --> 01:10:03,439
Speaker 3: the authority of real estate, and I'm like, what Now

1325
01:10:03,520 --> 01:10:07,599
Speaker 3: I believe them and I'm living that. But that's another story, y'all.

1326
01:10:07,760 --> 01:10:12,200
Speaker 3: But ownership for me is what matters. So now I'm

1327
01:10:12,240 --> 01:10:15,040
Speaker 3: in the process of getting my mortgage broker license to

1328
01:10:15,160 --> 01:10:18,920
Speaker 3: open up my own mortgage company. Which I would turn

1329
01:10:19,000 --> 01:10:22,200
Speaker 3: that into a mortgage bank and hopefully within the next

1330
01:10:22,240 --> 01:10:26,160
Speaker 3: five years take that mortgage bank public and have a

1331
01:10:26,160 --> 01:10:29,240
Speaker 3: couple billion dollar evaluation. So for me, what's missing in

1332
01:10:29,280 --> 01:10:33,080
Speaker 3: my career right now is the representation of ownership. Because

1333
01:10:33,080 --> 01:10:35,280
Speaker 3: it's great to sit out here and do content. It's

1334
01:10:35,280 --> 01:10:38,599
Speaker 3: great out here to teach people and do loans for people,

1335
01:10:38,680 --> 01:10:42,639
Speaker 3: But how do I bring up the next Who's next? Right,

1336
01:10:42,680 --> 01:10:45,479
Speaker 3: who's the twenty year old MG, the mortgage guy who

1337
01:10:45,560 --> 01:10:47,920
Speaker 3: might watch this and they might want to get into

1338
01:10:47,920 --> 01:10:49,800
Speaker 3: the business, but they want to work for someone that

1339
01:10:49,840 --> 01:10:52,479
Speaker 3: looks like them, that talks like them, that understands where

1340
01:10:52,520 --> 01:10:55,120
Speaker 3: they come from. Right, That's where I want to do.

1341
01:10:55,240 --> 01:10:57,439
Speaker 3: So it's easy for me now to hire people and

1342
01:10:57,479 --> 01:11:00,960
Speaker 3: have them a part of my team. Right now, I

1343
01:11:01,000 --> 01:11:02,920
Speaker 3: got to really do this for my last name, how

1344
01:11:02,920 --> 01:11:05,400
Speaker 3: do I really leave the legacy of everything that I

1345
01:11:05,479 --> 01:11:08,840
Speaker 3: work hard for? And that's really what ownership bro So yeah,

1346
01:11:08,880 --> 01:11:12,320
Speaker 3: so galland Mortgage Group. Hopefully I can get that name

1347
01:11:12,520 --> 01:11:15,400
Speaker 3: approved with the licensing and the FEDS and everything like

1348
01:11:15,439 --> 01:11:19,080
Speaker 3: that coming soon. But that's my next step is ownership

1349
01:11:19,479 --> 01:11:24,080
Speaker 3: and becoming one of the biggest black owned mortgage companies.

1350
01:11:24,120 --> 01:11:24,519
Speaker 3: In the world.

1351
01:11:26,200 --> 01:11:28,439
Speaker 5: You have it, ladies and gentlemen. One last thing before

1352
01:11:28,439 --> 01:11:30,680
Speaker 5: you got USDA loans, that.

1353
01:11:30,680 --> 01:11:36,559
Speaker 3: Brief USDA loans. Those are euro rural loans, right, so,

1354
01:11:37,040 --> 01:11:39,040
Speaker 3: and believe it or not, there's a lot of rural

1355
01:11:39,040 --> 01:11:42,800
Speaker 3: eras areas in America, right But it's again it's one

1356
01:11:42,880 --> 01:11:45,400
Speaker 3: hundred percent finance and I believe the minimum credits care is.

1357
01:11:45,400 --> 01:11:47,400
Speaker 5: Six twenty urban areas.

1358
01:11:47,479 --> 01:11:50,880
Speaker 3: Yeah, Yeah, there's there's a lot of opportunity to use

1359
01:11:50,920 --> 01:11:54,080
Speaker 3: these loans. And that's it's something that I don't speak

1360
01:11:54,120 --> 01:11:56,000
Speaker 3: about a lot of at all because I don't do

1361
01:11:56,080 --> 01:11:58,560
Speaker 3: too many of these loans. But it's a good program.

1362
01:11:58,960 --> 01:12:04,639
Speaker 3: You can buy ten fifteen acre homes that are sitting

1363
01:12:04,680 --> 01:12:07,559
Speaker 3: on these type of land where you cann't do that

1364
01:12:07,600 --> 01:12:10,920
Speaker 3: with a conventional mortgage. You can get great low interest rates.

1365
01:12:11,280 --> 01:12:14,320
Speaker 3: There are some of the programs have income restrictions on it,

1366
01:12:14,360 --> 01:12:16,200
Speaker 3: so you kind of have to check and see what

1367
01:12:16,400 --> 01:12:18,639
Speaker 3: if there are income restrictions for the areas that you're

1368
01:12:18,640 --> 01:12:21,960
Speaker 3: looking to buy in. But ultimately it's a great loan

1369
01:12:22,400 --> 01:12:25,439
Speaker 3: for someone who's looking to own a lot of land

1370
01:12:25,520 --> 01:12:29,679
Speaker 3: and you can get one hundred percent finance and with low,

1371
01:12:31,520 --> 01:12:35,120
Speaker 3: low interest rates. Yeah, so it's a great program. But

1372
01:12:35,200 --> 01:12:36,840
Speaker 3: I'm not gonna say I hold you up. I don't

1373
01:12:36,880 --> 01:12:40,519
Speaker 3: fund too many of these loans. I can, you know,

1374
01:12:41,120 --> 01:12:44,280
Speaker 3: do a whole class on this at a later note.

1375
01:12:44,479 --> 01:12:47,240
Speaker 3: But for this purposes, I would just say Google's your

1376
01:12:47,240 --> 01:12:49,559
Speaker 3: best friend and kind of really look into it more.

1377
01:12:49,640 --> 01:12:51,679
Speaker 3: Google's your friend, bro. Google's your best friend.

1378
01:12:51,680 --> 01:12:51,800
Speaker 6: Bro.

1379
01:12:52,040 --> 01:12:54,360
Speaker 5: You have it? So how can people contact you for

1380
01:12:54,520 --> 01:12:58,040
Speaker 5: mortgages or buy your book? And then to talk about

1381
01:12:58,080 --> 01:12:59,880
Speaker 5: the real estate blueprint as well?

1382
01:13:00,360 --> 01:13:04,360
Speaker 3: So apply with MG dot com if you want to

1383
01:13:04,400 --> 01:13:06,880
Speaker 3: do along with me and my team with licensed in

1384
01:13:06,920 --> 01:13:13,840
Speaker 3: twenty one states pretty much from New York to Florida, Cali, Texas, Illinois,

1385
01:13:14,400 --> 01:13:20,640
Speaker 3: Rhode Island, Alabama, Tennessee, Indiana, Chicago, Illinois. I mean I

1386
01:13:20,680 --> 01:13:23,160
Speaker 3: love Chicago, shoutout with Shan Scott, so we do a

1387
01:13:23,200 --> 01:13:26,519
Speaker 3: lot of deals over there. So apply with MG dot com.

1388
01:13:26,800 --> 01:13:28,680
Speaker 3: You can also go to my Instagram page MG the

1389
01:13:28,720 --> 01:13:31,160
Speaker 3: Mortgage Guy links in the bio set up a consultation

1390
01:13:31,200 --> 01:13:32,760
Speaker 3: with the team where would love to help you guys

1391
01:13:32,760 --> 01:13:35,080
Speaker 3: achieve your real estate goals, especially if you're learning from me.

1392
01:13:35,320 --> 01:13:39,160
Speaker 3: We'd love to help you. The book House Economics and

1393
01:13:39,240 --> 01:13:42,519
Speaker 3: real Estate Investors Manifesto both are number one best selling

1394
01:13:42,560 --> 01:13:45,960
Speaker 3: books on Amazon MS two times, the third times The

1395
01:13:46,040 --> 01:13:48,439
Speaker 3: chim Dog Got another book coming out soon soon come,

1396
01:13:48,680 --> 01:13:50,080
Speaker 3: and the books. So I'm glad you brought that up

1397
01:13:50,080 --> 01:13:53,160
Speaker 3: a shot because the bookstore is like my baby right now,

1398
01:13:53,200 --> 01:13:55,360
Speaker 3: because I have a lot of information in my head

1399
01:13:55,840 --> 01:13:58,040
Speaker 3: and I want to be able to provide people. I

1400
01:13:58,080 --> 01:14:00,639
Speaker 3: want to be the number one source for real estate

1401
01:14:00,760 --> 01:14:04,320
Speaker 3: education in the world. So people like to read. Although

1402
01:14:04,400 --> 01:14:07,880
Speaker 3: I'm not a reader per se, I know other people

1403
01:14:07,920 --> 01:14:10,040
Speaker 3: out there love to read books. They love to hold

1404
01:14:10,040 --> 01:14:11,679
Speaker 3: the book in the hand and just read it right.

1405
01:14:11,800 --> 01:14:15,519
Speaker 3: So for me, it wasn't enough just to put out

1406
01:14:15,600 --> 01:14:18,080
Speaker 3: courses and do webinars and do content. It was like,

1407
01:14:18,120 --> 01:14:20,760
Speaker 3: how do I reach more people? And that's where the

1408
01:14:20,760 --> 01:14:24,360
Speaker 3: bookstore and putting out books came into place. So for me,

1409
01:14:24,439 --> 01:14:26,599
Speaker 3: I don't want to. You know, most people they put

1410
01:14:26,600 --> 01:14:29,360
Speaker 3: out books a book every two years. I'm like, forget that.

1411
01:14:29,520 --> 01:14:31,720
Speaker 3: I can put out a book five times a year

1412
01:14:31,760 --> 01:14:34,040
Speaker 3: if I really wanted to, because the information is always

1413
01:14:34,160 --> 01:14:37,160
Speaker 3: changing and I can always do house economic, second edition,

1414
01:14:37,360 --> 01:14:40,320
Speaker 3: third edition, fourth edition, and so forth, right as time

1415
01:14:40,400 --> 01:14:43,200
Speaker 3: go on. So the bookstore, you know, go to mg

1416
01:14:43,280 --> 01:14:45,439
Speaker 3: Bookstore dot com and you can pick up some books

1417
01:14:45,680 --> 01:14:48,599
Speaker 3: and then the Home Buys Blueprint Volume one and volume two.

1418
01:14:49,160 --> 01:14:53,519
Speaker 3: Volume three is coming soon. So it's a part of

1419
01:14:53,680 --> 01:14:57,680
Speaker 3: succlusively part of e y L University. Eyl University is

1420
01:14:57,680 --> 01:15:01,400
Speaker 3: the number one online financial literacy platform the world, powered

1421
01:15:01,400 --> 01:15:05,320
Speaker 3: by Recession Proof. We have what twenty seven chapters in there.

1422
01:15:05,720 --> 01:15:08,640
Speaker 3: We have the Homebuys Blueprint Via one, Volume two. I

1423
01:15:08,640 --> 01:15:10,680
Speaker 3: mean we have a whole calendar man and it's like

1424
01:15:10,800 --> 01:15:13,320
Speaker 3: it seems like it's something going on every single day.

1425
01:15:13,360 --> 01:15:15,960
Speaker 3: We have the book club with Troy and Greg shout

1426
01:15:15,960 --> 01:15:18,479
Speaker 3: out to Greg. We have financial planning calls with Rashad.

1427
01:15:18,800 --> 01:15:22,240
Speaker 3: You have break bread calls with me once a month

1428
01:15:22,360 --> 01:15:25,519
Speaker 3: as well, and you have so many different things that

1429
01:15:25,600 --> 01:15:28,000
Speaker 3: are at ey L University. So I wild highly recommend

1430
01:15:28,040 --> 01:15:30,800
Speaker 3: you guys be a part of eyl University, become an

1431
01:15:30,800 --> 01:15:34,200
Speaker 3: owner and take your financial literacy and your business and

1432
01:15:34,240 --> 01:15:35,759
Speaker 3: your education to the next level.

1433
01:15:36,120 --> 01:15:38,480
Speaker 2: So yeah, go to e y l University.

1434
01:15:38,080 --> 01:15:40,879
Speaker 3: Dot com if you want to get the Homeboys Blueprint

1435
01:15:40,920 --> 01:15:43,400
Speaker 3: Via one, Volume two and potentially volume three coming soon,

1436
01:15:43,640 --> 01:15:46,120
Speaker 3: and everything else that we have to offer in e

1437
01:15:46,280 --> 01:15:48,840
Speaker 3: y L University and what else you ask me what else?

1438
01:15:50,760 --> 01:15:52,680
Speaker 3: I think it just took my part, man.

1439
01:15:54,479 --> 01:15:55,439
Speaker 5: I think you covered it.

1440
01:15:55,520 --> 01:15:58,160
Speaker 3: Man, don't think I got my lines anymore? What is it?

1441
01:15:58,240 --> 01:15:59,920
Speaker 3: Twenty seven chapters? What else?

1442
01:16:00,720 --> 01:16:03,479
Speaker 6: I think you ran down everything? Bro, it's a lot. Yeah,

1443
01:16:03,560 --> 01:16:05,960
Speaker 6: chapter to be in person, chapter meetings. There will obviously

1444
01:16:06,040 --> 01:16:08,960
Speaker 6: be some events. So yeah, it's doing improved.

1445
01:16:09,280 --> 01:16:11,400
Speaker 3: Yeah. Like I said, the Biggest just got bigger. So

1446
01:16:11,479 --> 01:16:15,040
Speaker 3: we really the biggest Scott bigger? Yeah, the Biggest just

1447
01:16:15,080 --> 01:16:17,360
Speaker 3: got bigger. You know, you guys are on a world tour.

1448
01:16:20,080 --> 01:16:22,920
Speaker 3: Biggas just got bigger and it's only going to get bigger,

1449
01:16:22,960 --> 01:16:25,080
Speaker 3: god willing. And I'm just happy to be a part

1450
01:16:25,120 --> 01:16:26,879
Speaker 3: of the ride. I mean, I remember the first episode,

1451
01:16:26,920 --> 01:16:28,880
Speaker 3: first episode, I was nervous as hell. I called them

1452
01:16:28,880 --> 01:16:31,559
Speaker 3: after the episode, said, Yo, can we just can we

1453
01:16:31,680 --> 01:16:33,160
Speaker 3: not put that out? Can you not put that out?

1454
01:16:33,240 --> 01:16:35,439
Speaker 3: I thought it was trash and it's a nah, you're good,

1455
01:16:35,439 --> 01:16:37,600
Speaker 3: I said, nah, bro, it's trash, Like, can we not

1456
01:16:37,680 --> 01:16:39,880
Speaker 3: put it out? I was nervous as hell and that

1457
01:16:39,920 --> 01:16:43,040
Speaker 3: thing took off? And I'm happy that you guys ain't

1458
01:16:43,040 --> 01:16:47,400
Speaker 3: listen to me because it changed the trajectory of all

1459
01:16:47,439 --> 01:16:51,759
Speaker 3: of our lives and I'm very thankful for YouTube Brothers

1460
01:16:51,840 --> 01:16:54,439
Speaker 3: for allowing me to always come back on the show

1461
01:16:54,479 --> 01:16:57,599
Speaker 3: and being a part of the network and having businesses together,

1462
01:16:57,840 --> 01:17:01,040
Speaker 3: and just the friendship and the camaraderie the hood and

1463
01:17:01,080 --> 01:17:03,760
Speaker 3: the conversations that we have at individuals and as a

1464
01:17:03,800 --> 01:17:05,960
Speaker 3: group is very important to me. So I want to

1465
01:17:06,000 --> 01:17:09,439
Speaker 3: thank you guys for everything. That this guy calls me

1466
01:17:09,479 --> 01:17:11,200
Speaker 3: like a month ago says, Yo, you're not hitting the

1467
01:17:11,240 --> 01:17:14,400
Speaker 3: mark or something, and I'm like, damn right. So these

1468
01:17:14,400 --> 01:17:16,840
Speaker 3: are the kind of conversations and this is real. Your

1469
01:17:16,880 --> 01:17:19,920
Speaker 3: circle is important. Those are the type of conversations you need.

1470
01:17:19,920 --> 01:17:22,240
Speaker 3: People who are going to be honest with you. That's

1471
01:17:22,240 --> 01:17:24,080
Speaker 3: in your circle's just not going to give you yes

1472
01:17:24,160 --> 01:17:26,360
Speaker 3: man answers and stuff like that. Even when you're not

1473
01:17:26,479 --> 01:17:29,639
Speaker 3: asking them for their opinion, they'll still call you and

1474
01:17:29,720 --> 01:17:33,000
Speaker 3: give you their honest opinion without trying to get at

1475
01:17:33,040 --> 01:17:35,559
Speaker 3: you in a negative way, because you never know how

1476
01:17:35,560 --> 01:17:38,479
Speaker 3: people receive information too at the same time, So I

1477
01:17:38,560 --> 01:17:40,840
Speaker 3: always appreciate when both of you guys call me on

1478
01:17:40,960 --> 01:17:43,680
Speaker 3: something and say Yo, MG, X Y and Z or

1479
01:17:43,800 --> 01:17:46,400
Speaker 3: X Y and Z like you did, and you know

1480
01:17:46,439 --> 01:17:48,479
Speaker 3: what I'm saying. I'm appreciative of that, and I'm thankful

1481
01:17:48,479 --> 01:17:49,960
Speaker 3: for that. So I always got to give you guys

1482
01:17:50,000 --> 01:17:53,200
Speaker 3: your flowers when I have the opportunity to, especially in

1483
01:17:53,240 --> 01:17:57,280
Speaker 3: the public setting, like earn your leisure podcast or earn

1484
01:17:57,280 --> 01:18:00,400
Speaker 3: your leisure show. The biggest show in the world was love.

1485
01:18:00,479 --> 01:18:05,679
Speaker 5: Appreciate it brother Yuniversity dot com joy.

1486
01:18:07,720 --> 01:18:09,120
Speaker 3: Shout to u IL University.

1487
01:18:09,479 --> 01:18:12,639
Speaker 6: I shout everybody on Patreon, shot that all our earners

1488
01:18:12,680 --> 01:18:14,759
Speaker 6: that are out there that are just repping the brand.

1489
01:18:14,760 --> 01:18:16,360
Speaker 6: I told you we started this thing out when we

1490
01:18:16,439 --> 01:18:18,160
Speaker 6: just said yo, just one person to day and that's

1491
01:18:18,200 --> 01:18:20,720
Speaker 6: growing into millions and millions of people. So just a

1492
01:18:20,760 --> 01:18:24,960
Speaker 6: testament to hard work, testament to networking and creating real

1493
01:18:25,000 --> 01:18:28,240
Speaker 6: relationships and real brotherhood. And I hope when you hear

1494
01:18:28,360 --> 01:18:30,160
Speaker 6: Matt speak and you know all those con words that

1495
01:18:30,160 --> 01:18:31,800
Speaker 6: he just said, that's just you know, it goes to

1496
01:18:31,840 --> 01:18:33,559
Speaker 6: show you, like you never know who's gonna come into

1497
01:18:33,560 --> 01:18:36,440
Speaker 6: your life at what time, but make the opportunity worthwhile.

1498
01:18:36,479 --> 01:18:37,920
Speaker 3: And I'm glad that we did that with.

1499
01:18:37,880 --> 01:18:40,920
Speaker 6: You, my brother, And there's you know a number of

1500
01:18:40,920 --> 01:18:42,400
Speaker 6: people that we've done that with. You know, we try

1501
01:18:42,400 --> 01:18:44,640
Speaker 6: to keep good relationships with everybody because you never know

1502
01:18:44,640 --> 01:18:46,840
Speaker 6: when you're gonna need somebody or when somebody's gonna need you.

1503
01:18:46,920 --> 01:18:49,280
Speaker 6: So shout out to everybody out there that's been supporting

1504
01:18:49,360 --> 01:18:50,760
Speaker 6: us and continue to rock with us.

1505
01:18:51,080 --> 01:18:53,000
Speaker 2: We got a lot of things ahead that are going

1506
01:18:53,080 --> 01:18:53,919
Speaker 2: to be amazing.

1507
01:18:54,200 --> 01:18:56,719
Speaker 3: Stay tuned, alert, Yeah, stay tuned, learned, has now been issues.

1508
01:18:57,560 --> 01:18:59,360
Speaker 5: Thank you guys, rocking once for see you next week.

1509
01:18:59,479 --> 01:19:06,639
Speaker 4: Peace, My graduates from my school being force back drop.

1510
01:19:07,040 --> 01:19:13,040
Speaker 5: Bag drop Mike Drotroproft.

1511
01:19:21,160 --> 01:19:24,840
Speaker 1: An illegal alien from Guatemala charged with raping a child

1512
01:19:24,880 --> 01:19:28,680
Speaker 1: in Massachusetts. An MS thirteen gang member from Al Salvador

1513
01:19:28,920 --> 01:19:33,040
Speaker 1: accused of murdering a Texas man of Venezuelan charged with

1514
01:19:33,120 --> 01:19:37,000
Speaker 1: filming and selling child pornography in Michigan. These are just

1515
01:19:37,120 --> 01:19:40,879
Speaker 1: some of the heinous migrant criminals caught because of President

1516
01:19:40,920 --> 01:19:44,439
Speaker 1: Donald J. Trump's leadership. I'm Christy Noman, the United States

1517
01:19:44,520 --> 01:19:49,280
Speaker 1: Secretary of Homeland Security. Under President Trump, attempted illegal border

1518
01:19:49,320 --> 01:19:52,880
Speaker 1: crossings are at the lowest levels ever recorded, and over

1519
01:19:52,960 --> 01:19:56,160
Speaker 1: one hundred thousand illegal aliens have been arrested. If you

1520
01:19:56,240 --> 01:19:59,920
Speaker 1: are here illegally, your next you will be fine nearly

1521
01:20:00,200 --> 01:20:04,200
Speaker 1: one thousand dollars a day, imprisoned and deported, you will

1522
01:20:04,240 --> 01:20:07,880
Speaker 1: never return. But if you register using our CBP home

1523
01:20:07,920 --> 01:20:11,280
Speaker 1: app and leave now, you could be allowed to return legally.

1524
01:20:11,640 --> 01:20:16,400
Speaker 1: Do what's right. Leave now. Under President Trump America's laws,

1525
01:20:16,560 --> 01:20:18,559
Speaker 1: border and families.

1526
01:20:18,200 --> 01:20:20,600
Speaker 2: Will be protected. Sponsored by the United States Department of

1527
01:20:20,600 --> 01:20:21,240
Speaker 2: Homeland Security,