What's up [inaudible 00:00:01] family? I'm Devin, I'm 19. If you got a young adult or
young adult and you want to get in real estate, stay tuned and watch the rest of the video.
What's going on YouTube? It's Matt Faircloth. Today's video is all about 19 year old,
20 year olds, 17 year olds, 15 year olds. Younger men and women that want to get involved in real
estate. This is my nephew, Devin. I love this guy so much, and he is here to visit me.
From Baltimore, I go to Frostburg State University, and I'm a sophomore.
And you got the best uncle in the world. Yeah.
Right. Okay. This video is about some projects that I put on Devin's plate for him to work on,
but it's also about to inspire those that are either younger generations, yourselves,
and you want to get involved in real estate. This video will offer some inspiration for you on ways
you can contribute to or get involved in real estate yourself as real estate investing. Or
to parents, uncles, aunts that are active real estate investors, or even entrepreneurs,
that want to aid and help younger folks like you get going in real estate investing. So, why
do you want to learn more about real estate? I want to work for myself, I don't want a boss.
I don't want to get paid by the hour, I want to do my own thing.
And what book did Uncle Matt give you when you graduated high school?
Rich Dad, Poor Dad. Rich Dad, Poor Dad. Did you actually read it?
Some of it. Ah.
Still reading it. God. You know, you can lead
a horse to water. First thing, 19 year olds, 18 year olds, 17 year olds, read Rich Dad,
Poor Dad. Devin's going to be doing three things in our business to get himself going and to learn
a little bit about real estate investing. We have an office building. There's a couple of different
things that younger folks can do fairly easily with the right tools. This office building has
some vacancy. We used to be fully occupied. Now, thanks to COVID, we're looking to lease ourselves
back up with other real estate loving people that are around Trenton, that want to have offices
here. What are we doing on the office space? We basically made a Facebook ad that shows a video
of the offices and what you can do in the office services, like a mobile day office for 150, bigger
office for 350, and your own office for 450. So we put that out there. I'm tracking it now,
waiting to hear back so we can make some moves and get this place filled up.
Bottom line, you can get younger folks to do marketing. He was able to put together
a Facebook ad to market the property. When people are interested, who do they call?
Me. This guy, right.
So he is able to put together just a guerilla marketing campaign to get out there and push
and market some vacant offices. 19, 20 year olds, 15 year olds could do
marketing campaigns for residential properties too, if we had a residential vacancy. And that
is something they could do to generate value for a company, you can compensate them as such.
Can't necessarily pay commission directly, but you can pay a marketing fee. So I can't pay him
a commission thing because he's not licensed, so let's not go there, but he could do some marketing
and stuff like that. Maybe that's something he can be compensated for. So, that's number one,
leasing office space, or leasing anything. Number two, what are you going to be doing for
Stacy, our property manager? What's she got you doing?
We're going to be making collect rent calls, and we're collecting rent in person.
Real estate, it can thicken your skin very quickly. There is some exposure that younger
folks need to the difficult conversations you got to have sometimes as real estate investors.
Because sometimes you think you're going to just sit on the beach and collect checks and drink Mai
Tais. Possible, but you're not doing this, you want to scrap and hustle. This guy's a hustler,
he's not someone who wants to just chillax. A way to expose younger generations to
the somewhat difficult world of real estate investing can be, is to engage in difficult
conversations. One of those is collections. You got to listen to people, and you got to experience
the human side of things. They might tell you they're having financial difficulties,
they might tell you about the problems they're having. You're there to listen to that and say,
"Okay, I understand those things, but also need to remind you that your rent's due." Negotiate
payment plans with them, negotiate when they can get a payment in. Figure all that out, bring
it to the property manager and communicate. You can also door knock with the property manager,
because they're supposed to be the ones receiving the rent. But you can have the conversation,
when the rent gets paid the property manager, who's a licensed agent, can receive the rent.
But he's allowed to make phone calls and have those conversations with folks
about the rent and discuss collection issues and stuff like that. So, that's number two.
The third thing, and this is something I get a lot of folks that hit me up on YouTube,
on Bigger Pockets, that want to learn about real estate investing that are on younger generations.
They all think that they should all be, what? Wholesalers.
Wholesalers, right. Now, why you want to be a wholesaler? So you can... make lots of money?
No, it's because there's no silver spoon in that mouth of yours there. He wasn't born with hundreds
of thousands of dollars in his pocket or anything like that, so he needs to make the chunks of cash
so he can go and get into rentals, or get into a real estate entrepreneurship. Just like any other
teen or 20-something or whatever, or even just anybody looking to get involved with
the real estate game, a lot of people want to start with wholesaling so they can make
those chunks of cash so they can get going. There is a myth out there that you can just go
and do a couple of wholesale deals, take that money and go and take that money to work in your
business. Wholesaling is a business. It's not a side hustle, it's not something you do a little
bit, so you can make enough money, then you can stop doing it. It's a brand you've got to build.
I'm not going to let Devin just go and try and do a couple wholesales on his own and figure
something out. Might as well just go and bang his head up against that wall over there.
What we're going to do, and this is a benefit to the younger generations. I have one of
our tenants, because we've got this office building that's full of real estate investors.
He is going to go and sit down with Brandon, one of our wholesalers, and Brandon's going to put
together a business plan for Devin to go and land a wholesale deal. And if he's so lucky to
catch lightning in a bottle, you're going to make it happen. If you land a wholesale deal,
what's Brandon going to give you? Half the profit.
Half the profit of the wholesale deal. But guess what? Brandon has a full pipeline that
he generated himself. So as a wholesaler, it's a benefit. Because these are deals that, he's
probably going to give Devin maybe not the easiest leads, he's going to give Devin leads
that he's already chased himself, maybe aren't going to go anywhere, but at least Devin can,
one last time, scrape out that list, catch a few flyers or a few leads that might go
somewhere. And Devin's going to be tenacious and pound the phones and make those calls,
try and get interested parties on the phone that want to sell, and make some connections
to people that want to buy. And Devin gets half the profit. Not a bad deal for the wholesaler,
this is another set of legs. And not a bad deal for the learner, entry level person,
because now Devin can make a little shot in the arm, and can take that and parlay it and roll
it up towards bigger real estate goals. So, collections, marketing, wholesaling.
Those three things Devin is going to be working on. Now, we want to stay tuned,
we're going to do a repeat back to see how Devin did. So make sure you guys watch the
video to the end, we can do a follow-up to see how Devin did on his progress here. Right?
Yeah. Cool. Ready to roll?
Yep, let's go. Cool. Any final thoughts?
What are you excited about? I'm really excited.
You excited to go? Cool. Stay tuned guys, we'll talk about how it went.
I've been wholesaling for about four years now. Before I was a wholesaler,
I was in IT/telecommunication. What we have in store for Devin is we're probably going to have
him scrubbing lists, to get prepared to be sent out to our motivated sellers,
to look for motivated sellers. With the informational wave that we have access to,
you can go to YouTube, Google university, doesn't matter. Google wholesaling, and learn as much
as you can yourself first, then seek help. You can reach me, you can join my Facebook group.
I have a Facebook group specifically tailored towards new wholesalers. It's wholesalingRE,
and that's the letters R-E, the number four, dummies. You can also follow me on the IG
at theMambaInvestor, and on Tik Tok, the same thing, and on YouTube, I have
a YouTube channel as well. The Mamba Investor. Quick lesson for my 19 year olds and the parents
thereof watching. That house right there. That is Uncle Matt's first rental property.
But I also used to live there. Call that a house hack, where are you live in there
and you also rent part of it out. That was a three bedroom, one and a half bath house.
Bought it for $150K, which was a big stretch for me back then. Bought it with 3% down, so $4,500
got me into that house. Seller paid my closing costs. I limped into it. And my mortgage payment
was $947 a month. That's a lot of money back then for a 26 year old, I was when I was 26. But
19 year olds can pull this off. You got credit, you got a co-signer, you can pull this off.
So, I got into that house, $947 a month, and I had two of my buddies move in with me, and they
both were paying me $500 a month. So I was making what, $53 bucks. And I was living there for free,
and I had a job. I had good money coming in in my income, but my living expenses were.
Awesome. Tell me, is that a good gig for an 19 year old?
Totally. You're living rent free, right out of college.
You're living rent free right out of college [crosstalk 00:08:38], or
rent free before college or rent free during college. Maybe convince your folks to bank,
to help you with something like this so that you can live in a property like this during college,
and it becomes a student rental afterwards. Devin's been spending the week with me. As we
said at the beginning, you were going to go out, and we did some listings, some office space. And
you were going to do some work with a wholesaler, and we were going to get you collecting some rent.
And you also got involved in all kinds of other craziness. Like during your week here, the office
building that we work out of lost electricity. I wasn't there, you were the only one there,
so you had to deal with that. You had some other surprises come up and some other opportunities.
Like we have some properties for sale, you have to run around with the broker and stuff like that.
Some of the three things we said in the beginning didn't end up happening. But that's because
other things ended up happening too, and that's just how it goes. You and I went on a meeting,
and you get to see my very first rental property. That was not staged, that just
you and I were going to a meeting and we happened to be around the corner from it, so I thought I'd
stop by and show it to you. In summary, give some nuggets on what you got while you were here.
First, I would say I got more in depth with the wholesaling world. I got a good mentor,
anything, questions, I need, I can just hit up Brandon and I know he'll help me out to
the best of his abilities. I got to see like the inside of the rental property.
Yeah. It's rare for somebody that's a young adult to actually get to see
rental properties. So what'd you think looking at some of these units?
It's different, seeing different people's lives and so many different people,
and how they live their life. Yeah. You got to see some businesses,
we had a daycare, that's one of our businesses. Hair braiding place, barber shop. One thing I
hope you picked up is that being a landlord gives you exposure to the inside of a lot of
people's lives. And there's a lot more heart in this business than people think that there is.
Because you're a part of people's livelihoods. That's a sensitive matter. You're at the bottom
of their hierarchy of needs, you're helping them with their housing.
And some people take that for granted. We don't, but some people take it for granted.
You got how dynamic this business can be. You didn't expect the power to go out.
I showed up to the office, and then just power started, boom. So I had to call up boss man,
and he told me what to do, and who to direct to who, and who to talk to. So it was cool.
Yeah. You got to stay cool under pressure, because you probably had, with all the tenants coming to
you being like, "Huh, what do I do?" Yeah.
Right, right. And you're like, "Ah, I got this. I got it." Sometimes you got to be the coolest
cucumber in the room, even when you don't want to be, when you're the landlord. Everybody brings
their problems to the landlord. As parents of 19 year olds, or parents of young adults,
or young adults themselves, could you give some tips real quick?
I would say do as much research as you can on the path that you think that you would be good at,
or that you want to do. Find YouTubers that do that career path, and then find real world people
that you can connect with that also do those career paths. So you can just see what they do
on a day-to-day basis, and see if it's really what you want to do. You can learn with them,
so they can teach you the ropes. All right Devin. So hey listen,
I hope you come back to see us again, hope to see our YouTube audience again, man. I appreciate you
helping me create this. To the young adults watching, I get a lot of asks from you guys,
and I thought it'd be a great time to shoot a video, with a young adult, to talk more about
what it is being a young adult, getting exposed to real estate and everything like that. Cool.
Thanks for watching guys, and have a great, profitable week.
Hey guys, if you liked this video, we really enjoyed making it too, talking about young
adults and talking about youth involved in real estate. So watch some of our other videos and
do not forget to mash that subscribe button so you can hear all kinds of great stuff we're up
there. Say bye. Bye-bye.