I'm Mark Podolsky. I'm on a mission to help you solve what I call solo economic dependency which
means if you're not personally working, you're not making any money. If you have a W-2 job
that you hate or even if you love, if you're a freelancer, if you're a doctor, you're a lawyer
which means that if you're personally not putting in the effort, you're not making any money.
Well there's a way that I solve that and today I want to talk about Land Investing 101.
Because I used to be a miserable micromanaged overstressed overworked 45-minute commute to
working back investment banker and it took me 18 months to be able to replace my investment
banking income with land investing. So today I want to walk you through the exact model I used
to break free and have what I call the three W's so I can work when I want, where I want, and with
whom I want. With that total freedom I've helped thousands of people, clients of mine, retire their
spouses, replace their income, quit their jobs. But let's just start with the very beginning of
the model. I'm going to assume that my buddy Eric over here lives in Phoenix,
Arizona where I live, but he owns 10 acres of raw land in Texas. Now Eric hasn't gone out to
look at the property in years and in fact when I go to the county treasurer I see that Eric owes
$200 in back taxes. So he's essentially advertising two really important things to me
#1 he is no emotional attachment to that raw land (Spock) Emotions are alien to me
Eric lives in Arizona,
the property's in Texas. And #2 he's distressed financially in some weird way.
(Michael Scott) I declare bankruptcy!
Because when we don't pay for things we don't value them in the same way, and Eric hasn't
paid his property taxes. So all I'm going to do is I'm going to look at the comparable sales
on Eric's 10 acre parcel of land in Texas. I'm going to take the lowest comparable sale
and I'm going to divide by four and that's going to get me what Warren Buffett would call a 300%
margin of safety. And I'm going to send Eric an actual offer on his property, contingent
upon due diligence and other issues with that property so I have a way out. So let's say that
Eric's raw land the lowest comparable sale out there is ten thousand dollars. Well,
I'm going to send him an actual offer for $2500. And now Eric accepts it
because every single month the county treasurer has been sending him a notice saying "Eric, if you
don't pay your property taxes you're going to lose that property to a tax deed or tax lien investor."
(Homer) Where's my money do you have my money where is it you know if you
had the money i'm right here do you have the money money money money money money
So Eric accepts it. Now in reality 3% to 5% of people accept my quote unquote top dollar
offer. But now once Eric accepts it I have to go through due diligence or in-depth research.
I have to confirm Eric still owns the property. I have to confirm the back taxes are only $200. I
have to confirm that there's been no breaks in the chain of title. I have to confirm there's no liens
or encumbrances. I want to know about the roads. Is there legal access or what we call ingress
and egress. What's compelling about the property? How far from near services? The nearest Walmart?
What restrictions are on the property? This whole property due diligence checklist I outsource to
my team in the Philippines. They're connected to an American title company. It cost me about
11 bucks. Now if I was paying more then let's say $5000, I would close traditionally through
an American title company. Now we're going to assume everything checks out and now I've bought
Eric's property for $2500. Now here's where it gets fun. I'm gonna sell this property 30 days or
less and I'm going to make a cash flow just like a rental home. Now the question is who's gonna buy
this property? Well I have a built-in best buyer. It's the neighbors. So I'm gonna send out neighbor
letters saying hey here's your opportunity, protect your privacy, protect your views,
know your neighbor. So oftentimes the neighbors will buy it. Now if they pass I'll go to my buyers
list. Wondering what a buyer's list is? As people express their interest in purchasing a property
from me we add them to our email list so that we can notify them when we have other properties for
sale. Over time and with more leads this becomes a great place to market new properties you have. If
my buyers list passes I'll go to Craigslist the 10th most trafficked website in the United
States. I'll go to Facebook which is absolutely huge, it'd be the largest country in the world
there's so many people on Facebook. I'd go to the marketplace buy sell groups and then I would
go to zillow.com and I'd go the lands landmodo.com landsofamerica.com landflip.com landhub.com. These
are platforms where people buy and sell raw land every single day. But the way that I'm going to
sell it is I'm going to make it irresistible. So all I'm going to ask for is a $2500 down payment
which a lot of people can afford. And if I wanted I could even go let's say 6 to 10 months out
to get what I call capital recovery because I invested $2500 I could go six to ten months out
before I get that $2500 back. But in this scenario we'll make it simple. I'm gonna ask for a $2500
down payment and let's make it a car payment let's say $249 a month 9% interest for the next 84
months. So essentially it's a one-time sale. I get recurring income. I get my money out on the down
payment, but then I get recurring income every single month of $249 a month and 9% interest over
the next 84 months. So to break down our profit on this deal $2500 plus $249 a month over 84 months
is $23,416. Now subtract the initial $2500 we paid for the property and our profit is $20,916.00.
That is an 837% return on investment. Where else can you put your money to work like that?
I don't deal with any renters, no rehabs, no renovations, no rodents. And because
I'm not dealing with a tenant I'm exempt from Dodd-Frank, RESPA, and the Safe Act,
all this onerous real estate legislation. Let's take a look at some real deals completed
by folks in our Land Geek community. Take Rachel, she purchased the property for $1500 then she sold
it on terms for $299 down and $119 per month for 50 months. Her profit from this deal is $4749.
With her return on investment at 316%. Also she will have recouped her initial investment
in just 10 months. Or Bradley here, he bought land in Texas for $500. He sold it for $99 down
and $99 a month for 36 months. His profit is $3163 and his return on investment is 630%.
Let's take a look at one last example. Rolando sent me this message the other day "Right now
I'm on an island in Belize, swam with sharks yesterday,
I got a $500 down payment on a property and signed a terms deal $200 per month for 36 months.
I never spoke to the buyer. Can't beat it." I asked Rolando how much he paid for this property
and he said $1500 so that makes his profit here $6200 and his return on investment
413%, not to mention the fact that Rolando is getting paid while swimming with sharks
in Belize. He's working when he wants and where he wants. In his own words, you can't beat it.
So how do we get the total freedom? Once we create enough of these land notes where our
passive income exceeds our fixed expenses now we're working because we want to
not because we have to. Now there's going to be a lot of details in between all that and so I'd
like to offer you a course to really walk you through the model and I'm going to simplify it.
So if you go to thelandgeek.com/wholetailing there's a free course how to double your money
30 days or less. Because I believe the best way to learn anything is by actually taking
action and doing it. And then you'll know for certain if this model resonates with you or not.
Hopefully you found this information valuable and
if you did please like subscribe and again go to thelandgeek.com/wholetailing
to get your free course and start investing in raw land making on an average 300% to
1000% return on investment. Thanks a lot. Hopefully I'll see you on the other side.
you