Welcome back my friends. Kris Krohn here and listen, you've heard that are people
making tens of thousands of dollars flipping properties. Today we're going to
talk about how you find the right kind of fix and flip properties. Okay friends,
I got Jerry here joining again. He's breaking it all down because the whole
topic of fixing flip, it's not my everyday bread and butter. You know, I'm
always playing the landlord game. It's a short-term blind hold. Holding a property
for 3, 5, 7 years. Getting that magical 15, 20, 25
percent annual ROI. In long-term, we're crushing it. But I keep having, you know,
my subscribers and friends, hit me back and saying, "Kris, I got to make some
quick dough man. I got to make some quick cash. So, how do I get that now
money?" And when it comes to now money, I've got my friend Jerry here who's got
15 years of experience. King of flippers. He's one of the most, you know,
sought-after national experts on this topic. And Jerry, today I really want to
talk about one of your top strategies for finding these fix and flip deals
that have these great margins. Yeah, well first of all, what we're looking for is a
motivated seller and that's kind of any real estate agent. But bring it down. They may
be watching and saying, "Motivated seller? What is motivated seller?" What is that?
What is it? Great question. So, a motivated seller is someone who owns a
property and they desperately need to get that property out of their life. Well,
what can motivate them? Like what makes someone motivated to need to
sell? Yeah. Hundreds of reasons but for example, they lost their job, they're
behind on the payments. Maybe it's a burned-out landlord that's like, "Man, I
don't want to fix it up and rent it anymore." ( Don't wanter) Behind on taxes. Could
be a divorce or a bankruptcy. Could be a number of any situations where the owner
of that property would rather have peace of mind than equity. So, it could be a
property where there's equity. There's money in this deal but they don't have
the time motivation or money to fix it up and sell it or any of that. They just
want they want rid of that thing as quick as possible. You know, it's
interesting, there's different things that really motivate people in life and
sometimes it's money and sometimes it's wealth and sometimes it's a peace of
mind. And when you think of all the homes that are being sold on the market, my
personal experience, Jerry(I want to see what your is)
is that, at least 10% of the homes that are for sale at any given moment is
driven by not, "Oh, we're upgrading or we're moving to another location or just felt
right to sell or we think that it's a good time to sell." It's actually, at least
10% of the time it's like, "Hey, I got something going down in my life where I
have a problem and I need a solution. And for them the solution is, "I need to sell
this house." And you know what's so cool about that is when you can come in and
solve that problem, you are helping people. I mean, they're saving somebody
from foreclosure, you're helping somebody in a really bad situation and
that's awesome. You make money and help people. So, I just love that about
how we do this, right? But like you said, there's these motivated sellers, we call
them. They're in the market, they're in your backyard. You know, they go to
school with your kids, they go to church, they're in your neighborhood, they're all
around you. The thing is, they don't know that you exist. They need someone to come
in and solve this problem (Yeah) but they don't know that you're there and that
you can solve their problem. Okay. So, here's the deal, we've got these
motivated sellers that are out there, here's the big question: How you find it?
How do we find them? Yeah. Yeah, I mean I know there's a lot of ways but, you know,
you've built a massive business. What would you say has been the core strategy
that has helped you find all the deals that has built all this wealth? The
number one strategy... And like you said, there's a lot. The number one strategy is
building a referral network of finders and we call them bird dog. So, it's a term
we use for. Okay, I like that because bird dogs, these are the dogs that when you go
hunting, you shoot the bird down, they're basically trained to go and find
the bird. Yeah sniffed them out. So, your bird dogs, they're out there
to basically go find the motivated sellers. Now, so, what is a bird dog? What do
they do and why would they do it? Well, your perfect bird dog would be somebody
who's coming into contact with motivated sellers. In some way or fashion. And a lot
of times its what they're doing in their job. Like a mailman, right? They're driving,
they know all the neighborhood's, they know which houses are vacant, where the
the grass is this tall and that doors are boarded up. They know about those
properties. Yeah, that means there's a problem. Yeah, there's a problem there,
right? Anytime it's vacant or neglected, that's what we're looking for. Okay,
so anyone that's actually manually out like hitting the pavement and driving
around that knows the neighborhood's might know, they can spot the homes that
are in distress. And that's a someone is in some kind of
distress. Maybe they're letting their yard go. Yeah. That's a good sign. So, you know
there's a problem. Mail piled up, you know. Any of those
things. So, it's your meter readers, it's the mailman, It's the garbage man,
it's anybody coming, it's door-to-door salespeople like past or
whatever, you know. Any of those people, they're coming into contact every day
with properties that are distressed. Where there's probably a motivated
seller there. Okay and then how do you motivate them to actually bring this
information to you? Yeah, well that's the exciting part. When you offer them to pay
them just for bringing the lead to you, right? The address. I'd maybe a name and a
phone number would be perfect. But if they just let you know about those deals...
Now, they could go all the way in and get a contract and bring you a contract,
right? That's great too. And you can train them how to do that. But what you
really want to do is imagine if you built an army of bird dogs in your
market that are out there and they're finding all these deals and they're
bringing them to you and you're paying them. One of my strategies, I
share one of my other videos is, I turned realtors into bird dogs. Oh, yeah. I'll go
through the ads and I'll show this briefly. But I'll find all the Realtors
that specialize in foreclosures, rehab, fix, flips. Yeah. Any time
they use... They're the Realtors that specialize in working with in
representing motivated sellers. So, I call them up, I tell them my criteria, I tell
them my numbers and I say, "You find anything that meets this criteria, I'm
ready to pull the trigger." And in almost every situation, if I get...
Within... Dude, I'll go to like Harmons or the grocery store. I'll pull out the
little real estate book or go online. And within 10 minutes, I'll have 10 of these
realtors. And I'll call all of them up and in less than an hour of these
conversations, I'll get... Eight of them will blow me off.
Just because I have criteria that says I want to make some money. And they don't...
Even though they represent distressed properties, they don't always believe
that you can get all that equity in a property. Yeah. But I'll usually get one
or two of the ten to take me serious and they're now my bird dogs. I don't
actually have to find them. They're going to I don't have to pay them because they're
actually motivated with they're all Realtors fee. But that's another kind of
bird dog. So, it could be a realtor, it could be the mailman. Dude, it could just
be... You could literally just put together like a home grown investors
Club and put it in the free classifieds and have 4 or
5 people show up at your house or a community building to be like, "Hey, I'm
paying $2500 for finding deals that look like this." And
all of a sudden you've got people that are out there and you make those phone
calls, you get them marching out there. My experience is within a day or two, you
get a hot lead. I can always find a good deal that fast with this bird dogging. And
imagine if you consistently did that, you built a great big network of people out
there. I mean it's amazing. You're not now spending thousands of dollars in
marketing to get leads. They're all coming to you through your referrals.
Well, I want to ask you big-picture. I mean this is actually your business that
you've put together. You've actually built your entire model on building
nationwide bird dogs. In fact, you could become a bird dog and get paid
$10,000 for using Gerry's free software just to actually bring a deal
to him. Like that's... That's pretty amazing. How many bird dogs do you think you have
out there? Well, my goal is to have them in every single market because here's
the thing: I've expanded my business to where I have systems and funding in
place to where I don't care where the deal is. In fact, any market in the U.S.
If it meets my criteria, I want it. So about nine years ago, like you said, I
made a strategic decision to build a nationwide referral network. I want as
many people out there. A marching... All these marching ants, you know, finding
deals. In fact, what I want to do is I want to pay them better than anybody
else. I pay them $10,000 to bring me deal. That's pretty crazy. I mean, back
when I was doing some bird dogging, it was always 2500 grand.
Yeah. it was something really kind of small but $10,000. That's
baller status, that's boss. That's pretty serious amount of money. Well Jerry, I
want to thank you so much for taking the time today to share with us this
incredible strategy of bird dogging. For those of you that have watched this. If
you've enjoyed this, my invitation is if you want to learn how to become a finder.
If you will, want to learn how Jerry can actually pay you $10,000 or
if you just want to access the system for finding a good deal for yourself, I'm
going to recommend that you click the link in the description below, sign up for his
free web training and let Jerry actually break it all down for you. Because hey,
you know that with me, execution is everything. Which is, don't just watch
these videos and be like, "I'm learning a lot." Do something. Learning without action is
meaningless. So, go ahead and take this knowledge. Today, do something right now.
As in go to the description, click the link, sign up for that web training, so
you cannot just get more training but get training on something that will lead
to a direct result of $10,000.