Jeff Adams:
You're not going to pay that $2,000 in your garbage fees, your
appraisal and all that stuff. And with $7,000 one deal.
Alan Cowgill:
One deal. One deal you can afford to do it and you start adding
it up I mean of the 48 deals – I gotta tell you something.
I don't share this with a lot of folks, but I'll share it with
you guys is that when I bought those 48 properties, we had already
bought 21 at the end of the previous year so you add that together
you got 69 properties in less than 12 months and I shut the buying
machine off in August because we had – we couldn't fill
our houses quick enough.
Jeff Adams:
I remember you told me that; I remember that.
Alan Cowgill:
But it was a wonderful problem to have because it is so easy for
us to buy property. It is just a non-issue.
Jeff Adams:
Yeah, it sounds like it.
Alan Cowgill:
And I know as a new real estate investor you're trying to figure
things out and how you get your funding, you know, the –
when you're buying property the first item on the list is how
to find it, the second item is how to fund it, the third is what
do you need to do to it to fix it and then the fourth is to sell
the property.
Well, that item number two, the funding, so many people struggle
with that, especially new investors where they're going to banks
or they're going to the hard moneylenders that we've been talking
about tonight and trying to figure this funding thing out and
if you learn how to get private lenders it's almost a non-issue
for you. It's almost a non-issue. It's so simple and so easy once
you learn the steps to do that and the other thing, too, is a
lot of new folks out there – they go out and they start
borrowing from a bank or like I did and they think well, I'll
get on with this – I hear this thing about private lenders
I'll get on with that later – why not get the easiest, cheapest
way right from the start?
Jeff Adams:
Absolutely.
Alan Cowgill:
Wouldn't it make everybody's life so much better?
Jeff Adams:
Absolutely.
Alan Cowgill:
Yeah. And in my case I'm helping my mom out and a lot of the private
lenders I've got here are family members or friends of other people
in the company and they're all winning. They're all getting a
high rate of return.
Jeff Adams:
The other thing too, Alan, is just like you when I first started
out, I started out doing one to two deals and then two or three
deals. But why do one to two deals at a time and be all tapped
out, or your credit card's all maxed out, when you can do five
to ten deals at a time, pick up a closing check every two or three
weeks, you know, versus a deal here, a deal there.
Alan Cowgill:
That's right. Yeah, I mean, I make money when I – I get
cash when I buy the house because I have the contingency money,
I get the bigger chunk when I sell the house. Half the deals I
do I've got no payments on, which helps cash flow because my exit
strategy is rent to own or land contracts. If people are paying
me mortgage payments or rent payments then I don't have money
going out. And you know one of the biggest things that will cripple
your business is cash flow. And you gotta have cash flow and that's
whether you're an experienced real estate investor or a beginner
and just think about if you're doing deals and you don't have
any mortgage payments going out, which is your biggest cash flow
item. It's a huge savings for everybody.
Jeff Adams:
I know I can tell you this. As you know, I travel the nation speaking
to different groups and different conventions and boot camps and
what have you and I've met a ton of your students, Alan who have
told me their success using your systems, that they've bought
multi-unit apartment buildings and luxury houses and other types
of real estate by implementing the strategies that you've taught.
That's why I wanted to get you on the call – I've been trying
to get you on the call now for the last two months.
Alan Cowgill:
Yeah.
