Scott Jelinek’s Secrets: From Wholesaler to Bank!
Yo, what’s up, Investor Thrive Nation? Today, we’re diving into the world of painless wholesaling with the one and only Scott Jelinek. He’s been in the game since '94, and he’s got some killer insights on a strategy called "slow flips." Basically, instead of being a landlord dealing with leaky toilets, Scott's all about buying properties with short-term loans and flipping them for long-term profit, just like a bank. We’ll chat about how he’s racked up 178 properties, with 79 already free and clear, and how you can snag private money to get started. So, if you wanna learn how to make your money work for you and avoid the hustle of traditional landlord life, stick around!
Slow Flips: The Secret to Long-Term Financial Freedom!
Visit https://www.paynelessflipping.com to learn how to do real estate deals the payneless way!
Get ready to dive into the world of painless wholesaling with Scott Jelinek, who’s been hustling in real estate since '94! Imagine flipping houses without the usual landlord headaches – sounds like a dream, right? Well, Scott’s got the secret sauce with his ‘slow flip’ strategy, where he buys properties on short-term loans and sells them on long-term financing, all while collecting those sweet monthly payments like a boss. No more toilet fixes or midnight emergencies; Scott’s all about living the chill life while the cash flows in. He breaks down how he turned his own financial crisis into an opportunity, explaining how he transitioned from traditional wholesaling to this game-changing approach. If you’re looking to escape the rat race and find financial freedom, this episode is your golden ticket. Plus, Scott even shares how to find private lenders to fund your deals. You won’t want to miss this one!
Takeaways:
- Wholesaling can be a pain, so we bring on experts to help you avoid the struggle.
- Scott Jelinek shares his experience and how he transitioned to slow flips in real estate.
- The slow flip model allows you to buy low-end homes, sell them on long-term financing, and cash in later.
- Private lenders are the key to financing these deals, and it's easier than you think to find them.
- Building a relationship with private lenders can lead to better opportunities and higher returns on investments.
- The slow flip strategy focuses on long-term freedom rather than quick cash, making it a sustainable choice.
Links referenced in this episode:
Companies mentioned in this episode:
- privatelender.com
- Bank of America
Transcript
What is going on, everyone?
Speaker A:Investor Thrive Nation.
Speaker A:This is the painless wholesaling podcast where we bring experts from the real estate industry so we can learn from their experiences so you don't have to go through the pain of doing this all yourself.
Speaker A:We're trying to make it painless for you.
Speaker A:So we got Scott Jelinek.
Speaker B:You got it, Jelinek.
Speaker A:What is going on?
Speaker A:Will you please introduce yourselves?
Speaker A:Let the listeners know what you want to be talking about today.
Speaker B:How you doing?
Speaker B:Thank you for having me on, Nathan.
Speaker B:I, you know, I do wholesaling.
Speaker B: I've been wholesaling since: Speaker B:And for those of you who don't know what slow flips are, it's a process that's separate from the wholesaling.
Speaker B:It's a process where we buy lower end housing on short term financing, five year mortgages and we simultaneously sell them on long term financing, we sell them on 30 year mortgages and we just operate like the bank.
Speaker B:We no longer are landlords, we're not fixing toilets, we don't do any of the stuff we used to do.
Speaker B:We operate exactly like a bank and we just collect payments.
Speaker B:We don't make money our first five years and then we make money, it's pure profit for the next 25 after that.
Speaker A:Where are you getting these five five year loans?
Speaker B:So private lenders.
Speaker B:So 100% through private lenders.
Speaker B:So you know, I know we, we're limited on time, so I'm not going to go through my whole story, but I can give you the short version.
Speaker B:I got crushed during the bust.
Speaker B: I started buying, you know,: Speaker B: And in: Speaker B:Then prices started coming down shortly after the bust as we're recovering.
Speaker B:But now I also had no credit and no money left.
Speaker B:And so I had to figure it out.
Speaker B:And what I figured out was the prices have come down, but yet I couldn't use a bank.
Speaker B:I was dead to banks and banks want a loan for 30 years.
Speaker B:So these houses got cheap enough where I was like, if I can borrow private money, I can get them done in five years.
Speaker B:And, and instead of the chaos I went through previous to the bust where I'm all leveraged and every month making payments, now we only make payments for five years and then we own them free and Clear.
Speaker B:I currently have 178 of them and 79 of them are already free and clear.
Speaker B:But they'll all be free and clear within.
Speaker B:Within the five years.
Speaker B:The next upcoming five years.
Speaker A:That's amazing.
Speaker A:So how are you getting.
Speaker A:If you're selling them to like, end buyers, right?
Speaker A:Like people are going to live in them.
Speaker B:So the bulk of our business is actually to investors.
Speaker B:Ironically, they're two investors who do exactly what I used to do prior to the most of the, you know, prior to the bust, I would buy anything I could that somebody would finance me.
Speaker B:And I can make a spread on 2, 300amonth.
Speaker B:And so now I almost sell to my exact avatar of who I was prior to the bust, which is the bulk of investors out there who are just buying anything they can with financing.
Speaker B:And so we'll finance them with three grand down or five grand down.
Speaker B:They'll pay us a monthly.
Speaker B:And then they fix it up and they rent it out and then they make the spread.
Speaker B:So it.
Speaker B:Mostly it's investors.
Speaker B:We do sell to some homeowners.
Speaker A:Where are you getting the private money to do the five to pay everything off within five years?
Speaker A:I'm a little confused about that.
Speaker B:So we raise.
Speaker B:We raise from private individuals.
Speaker B:And, you know, and I teach a lot about raising money.
Speaker B:And it's funny because some people have this concept in their head of private money that it's a private lending company.
Speaker B:And, and there are companies.
Speaker B:There's even one called privatelender.com or something.
Speaker B:And my opinion of a private lender is not a person who's in the business of lending.
Speaker B:It is a person who just has money in their account and you cultivated them to be a lender and they are private to you.
Speaker B:They are only lending to you.
Speaker B:They're not in the lending business.
Speaker B:To me, those people are lenders.
Speaker B:They're not private lenders.
Speaker B:When I, when I'm cultivating a lender, they're private.
Speaker B:Nobody knows them except me.
Speaker B:And, and so that's it.
Speaker B:We go through a whole series.
Speaker B:I actually train on this.
Speaker B:And I'm sure you do it as well on cultivating lenders and raising them.
Speaker B:Their money is out there.
Speaker B:I mean, everybody.
Speaker B:That's one of the big stumbling blocks people have is they have this belief in their head that, yeah, that's easy for you.
Speaker B:I don't know anybody with money.
Speaker B:Right.
Speaker B:Everybody believes that.
Speaker B:And the reality is they're wrong.
Speaker B:The money's out there.
Speaker B:And, and we have a whole process for doing it where you don't have that fear of rejection so people can go through the raising money without having to worry about being rejected.
Speaker B:Because that's what stops people from asking in the first place.
Speaker A:Of course.
Speaker A:So for my listeners, I think we, it's, it's pretty simple in the sense with the private money, you, you find it.
Speaker A:But I'm curious about the, the five years.
Speaker A:I'm still trying to understand how you're able to pay that off.
Speaker B:So let me give you some real numbers.
Speaker B:And before Nathan, what part of the country are you in?
Speaker A:Salt Lake City, Utah.
Speaker B:Okay, so you're the great example.
Speaker B:So for someone like you who's in Salt Lake, the first thing you're going to think when I give you these numbers is you're out of your mind.
Speaker B:Houses don't exist in that price range.
Speaker B:Right.
Speaker B:And I hear that all the time.
Speaker B:What's that?
Speaker A:Is it the Midwest?
Speaker B:Well, a lot, I do a lot in Virginia, but now we're buying a lot in the Midwest, right.
Speaker B:And so on average we will buy houses for.
Speaker B:Are you sitting down for $30,000?
Speaker B:$30,000.
Speaker B:We pay 12% interest.
Speaker B:$30,000 at 12% interest on a 60 month mortgage is 667,33amonth.
Speaker B:We simultaneously sell them on average for 89,000 and we sell them on a 30 year mortgage with them paying us 875amonth.
Speaker B:So now for the first five, really don't make any money because even though there's a little bit of spread, it goes to taxes and insurance.
Speaker B:So we don't really make any money for the first five years.
Speaker B:But once we hit that 61st payment, it's all ours.
Speaker A:Okay, that makes sense.
Speaker B:It's beautiful because we don't use any money to buy them.
Speaker B:And you know, you don't make any money for five years, but then once you do, you're free.
Speaker B:And my whole premise is not on making people rich.
Speaker B:I'm always like, nope, you want Lamborghinis and yachts, go somewhere else.
Speaker B:The people that I train, it's just training you to be free.
Speaker A:Yeah, it's very interesting.
Speaker A:So, so I actually I, I've wholesale, I wholesale nationwide.
Speaker A:I live in Salt Lake City.
Speaker A:So I, I come across these deals that are like, you know, 15, I got one in Mississippi, that was one like $9,000 that I got it for.
Speaker A:So yeah, they're very cheap.
Speaker A:Now are these $30,000 properties, are they distressed or are they good to go and you just rent them out?
Speaker B:So it depends on, I buy in four different states.
Speaker B:So it depends on the State you're in, like in my, in my state, I live in Virginia and I buy a lot in Hampton Roads.
Speaker B:The bulk of my properties are here.
Speaker B:Typically on those price ranges, we'll get them more distressed in my area, but they have higher ARVs when we buy out Midwest.
Speaker B:They really don't have much in the way of an arv.
Speaker B:That's it.
Speaker B:They're just low priced and they stay low priced.
Speaker B:And so a lot of those not distressed at all.
Speaker B:Like, I look at some of them and I'm like, how is this house 20 grand?
Speaker B:How is this house 25 grand?
Speaker B:It's insane to me.
Speaker B:But that's, that's what it is.
Speaker A:It's the, the demand.
Speaker A:Right?
Speaker A:They want to live out here in Cal.
Speaker A:They want to live in Cali or they want in New York or wherever.
Speaker A:They got to pay a little bit more.
Speaker A:But in the Midwest, yeah, you can find some good deals out there.
Speaker A:So curious, when you talk to your private money lenders, you tell them, hey, five years, you, I'm gonna pay.
Speaker A:I need your money for five years.
Speaker A:And then I'll pay.
Speaker A:It'll be paid off.
Speaker A:And they're.
Speaker A:Is that the expectation you're setting with them?
Speaker B:Correct.
Speaker B:It's not a balloon payment.
Speaker B:We're not paying interest only.
Speaker B:We're amortized.
Speaker B:So I, and again, this is how I teach too.
Speaker B:But I give them our program.
Speaker B:I don't ask what would you like to lend?
Speaker B:Or how much, what terms do you want?
Speaker B:We borrow specifically.
Speaker B:I do 30 and 50k loans, but we borrow 30,000 for 60 months at 12% interest.
Speaker B:And that's the opportunity we're presenting to the lender to make that return.
Speaker B:It's not a question of what do they want, what do they want as a return or what term they want.
Speaker B:Because if they don't want to fit into our model, then they're just not our lender.
Speaker A:And that's not interest only.
Speaker A:It's 12% amortized.
Speaker A:Okay.
Speaker A:Over, over the five years and.
Speaker B:Correct.
Speaker A:And then you just say, give me 20.
Speaker A:30, or was the other one 50?
Speaker B:Yeah, 30 or 50.
Speaker B:At $50,000, it comes out to 11 $12.22.
Speaker B:And that's 60 payments.
Speaker B:And again, then you owe nothing.
Speaker B:It's paid off.
Speaker A:Let's say you find a property for 20,000, your lender, do you still ask for 30 from them or are you willing to just ask for whatever you need?
Speaker B:Well, we have one lender that just lends to my people in my program, and that one does the amount they Need.
Speaker B:But barring that, our private lenders, we always borrow 30 or 50.
Speaker B:The reason we do that is because of confusion.
Speaker B:If I changed it to the amount each time, it would cause a problem because sometimes you get a smoking unbelievable deal, right?
Speaker B:And it's 20 grand.
Speaker B:And then if your next deal was just your normal average deal and it was 30, they're going to be like, whoa, I don't want to loan 30 on that.
Speaker B:I only loan 20 on that one.
Speaker B:And so then they'll start comparing the deals.
Speaker B:And so to get away from that, we borrow the exact same on every house.
Speaker B:Now if I buy a house for 35, I'll bring the five grand to closing and if I buy it for 25, you'll get five back.
Speaker B:So I always borrow.
Speaker B:I, all of my payments are exactly the same.
Speaker B: or: Speaker B:I borrow the exact same for every single one for a five year loan.
Speaker A:So when you say you, if it was 25, you'll give five back, what do you mean?
Speaker B:You know, it would be a loan for 30, but I only, I wouldn't give it back, I'd get it back.
Speaker B:So if, if I, if I buy a house for 25 and the loan is for 30, then I actually get, get money at closing.
Speaker A:So that five, what do you do with that?
Speaker A:Since you're paying, it's not into the house and you're not, you're paying interest on that five.
Speaker B:So the way I teach my people is to keep all the money in the account until it's paid off.
Speaker B:And even overages from the, you know, the payment that comes in and your payments, they might be 100, 200amonth, positive.
Speaker B:People hate when I say this, and I don't know what your methods are with your holds, but I, you know, I tell people you don't deserve to make a dollar off your properties until they're free and clear.
Speaker B:And I know the world hates free and clear, right?
Speaker B:Everybody's like, oh, it's dead money.
Speaker B:And you know, burn use, leverage and all that's great and it works until it doesn't.
Speaker B: know, anybody who started in: Speaker B:And so everybody, you know, I talked to hundreds of people and everybody has this finite vision of the way the world is and they're right.
Speaker B:And it has been that way for a lot.
Speaker B:I talk about the bus like it was three weeks ago.
Speaker B:And people, a friend of mine just recently is like, Scott, you know, that was 15 years, right?
Speaker B:And I'm like, I feel like it was just yesterday because I'm, you know, it was a rough time, but that got in.
Speaker B:You know, in the last 15 years you've only seen one way and it might stay that way for another 15, 20 years, in which case they're right.
Speaker B:The people who are using the leverage did good and they're right.
Speaker B:Problem is, is I'm too old to start over.
Speaker B:And so if it doesn't stay that way, I'm not taking a chance on having to do this all over again.
Speaker B:That's why I'm all about free and clear.
Speaker B:Now.
Speaker A:Anything that caused you to choose the 35 years, how come not four and you know, anything like that?
Speaker B:So what?
Speaker B:Exactly.
Speaker B:What?
Speaker B: tarted the slow flip model in: Speaker B:And there's two sides to the slow flip model.
Speaker B:There's the buy side and the sell side.
Speaker B:Right?
Speaker B:So the buy side, what, what made us dial in on 30 is it was the most we can borrow and still have it paid off in five years with the amount of money that it brings in.
Speaker B:Because on average those properties were bringing in 875.
Speaker B:So 30 was the most we can borrow.
Speaker B: , but we're getting: Speaker B:So it still works out.
Speaker B:When you start getting into higher dollar properties even, I mean, I say high dollar, they're still cheap.
Speaker B: house might bring in $: Speaker B:So it just wouldn't work because we don't tolerate zero negative cash flow.
Speaker B:So that's why we structure the numbers the way we do because it has to be able to support itself.
Speaker A:So let's talk about.
Speaker A:You're saying you don't.
Speaker A:You want your people, you're saying, hey, don't make any money until it's free and clear.
Speaker A:What happens with that surplus?
Speaker A:If there is money, do you just keep it in the account in case for expenses, any issues, I leave it in the account.
Speaker B:And the reason I do is because, you know, defaults happen.
Speaker B:And so if a default happens, I don't want it to be an added stress on these people that are buying them.
Speaker B:I don't want them to have that added stress to where now they have to come up with money to pay that lender.
Speaker B:And so I'm like, listen, we always get three to five grand down.
Speaker B:I'm like, just leave it in the account.
Speaker B:And now if the default happens, or if you have a month or if Covid happens, right.
Speaker B:We have nobody paying for a little bit.
Speaker B:You have that money sitting there.
Speaker B:So you don't have this added stress where you have to come up with money to pay your lender.
Speaker A:And when you say default, are you saying that the renter defaults and doesn't pay?
Speaker B:Well, for us, they're not renters.
Speaker B:They're.
Speaker B:They're buyers.
Speaker B:Because we sell.
Speaker B:Right.
Speaker B:So, yes, you know, if they were to default and not pay us, and we had to go through either a foreclosure or an eviction, it's good to have that money so that we can sustain it.
Speaker A:Because I had on my mind, you were renting this or sublease.
Speaker A:Not subleasing, renting or doing a lease option.
Speaker A:But you're not doing any of that.
Speaker A:You're selling these on.
Speaker B:On an agreement for deed.
Speaker B:We sell them on an agreement for deed.
Speaker B:Some.
Speaker B:Some states call it a land contract or a contract for deed.
Speaker B:Same thing.
Speaker A:And these properties, they're.
Speaker A:They're free and clear in the sense that they.
Speaker A:Your private money lender bought it completely.
Speaker A:You're not like doing a wrap on any of these, right?
Speaker B:No wraps, no sub twos.
Speaker B:I mean, I do sub twos also, but that's not for the slow flip purposes.
Speaker B:They're not free and clear.
Speaker B:They have a loan against them for the 30 grand.
Speaker B:They're free and clear on the 61st payment, 61st month.
Speaker B:That's when they're free and clear.
Speaker B:Correct.
Speaker B:But.
Speaker A:But in the sense, like, the least of the lender owns it outright, right?
Speaker A:Because they bought it with their.
Speaker B:No, the lender just loaned against it.
Speaker B:Just like bank of America doesn't own your house, you own it, but they have a lien against it.
Speaker B:Same same difference.
Speaker B:We own our properties, but the lender just has a loan against it.
Speaker A:Got it.
Speaker A:Okay.
Speaker A:And you're paying them.
Speaker A:I'm sorry.
Speaker B:Correct.
Speaker B:Yep.
Speaker A:That's interesting.
Speaker A:So you did this model just because you're like, hey, I'm not trying to start over again if something crazy happens.
Speaker A:So let me own these free and clear.
Speaker A:I'm not trying to drive or show people the Lamborghini.
Speaker A:People that want to get rich quick.
Speaker B:Right.
Speaker B:So basically what happened is I came to the realization that we all, you know, we had chase, I make a Lot of money now and I made a lot of money then, but in between it was a tough time and we always are chasing dollars.
Speaker B:But what I've came to the realization after the bust is it wasn't the money that we were really after, it's freedom.
Speaker B:And everybody talks a good game with freedom, but the reality is, and I go through a process with the guys in my program that I'm like, I'm like, if you put a number on it and I make them go through an exercise, how much does it cost for you to actually be free?
Speaker B:We call it a freedom number, right?
Speaker B:And it's usually, not always, but usually it's about $10,000 a month, which is so easy to achieve.
Speaker B:Go $10,000 a month.
Speaker B:We can do that with 12, 13 slow flips and I can get anybody there in five years.
Speaker B:So people don't want to wait five to seven in other programs they're like, no, I want to make money next month.
Speaker B:And I'm like, listen, you can, you know, a saying I'm always saying is you can do what's easy and life will be hard or you can do what's hard and life will be easy.
Speaker B:And so I try and push them.
Speaker B:I said, just take the hard road, which is, you know, plow through for five years, but then you're free for the rest of your life and people don't appreciate it until you're actually free.
Speaker B:And.
Speaker B:And it was tough on me as well.
Speaker B: I started this in: Speaker B:I kept, you know, am I doing the right thing?
Speaker B:I'm buying all these properties and I'm not making any money.
Speaker B:2016, all of a sudden they started getting paid off and I was like, this is great.
Speaker B:Now all the money comes in and I get to keep it.
Speaker B:And it's been a straight uphill ever since.
Speaker A:I love it.
Speaker A:No, I agree with you.
Speaker A:I think the, the quick, fast way to do it is not sustainable.
Speaker A:Like even wholesaling, which I think is a great strategy, exit strategy, it's a good way to do certain deals.
Speaker A:It's not something I think anyone can do long term and be able to just continue.
Speaker B:I love wholesaling too.
Speaker B:So don't get me wrong, I've been wholesaling for a long time and I just did one, I'm going to tell you, I know we're talking about slow flip clips today.
Speaker B:My biggest one of my life was last month.
Speaker B:$250,000 assignment fee and, and I've been doing this a long time and that's my biggest.
Speaker B: I had a: Speaker A:On multi unit or what?
Speaker B:No, it was a, it was a.
Speaker B:It was actually out of the area, about two hours away from me.
Speaker B:And I don't buy out of the area but my wife answered the call and the seller was from out of town and, and every, everything lined up.
Speaker B:It was distressed, it was inherited and free and clear.
Speaker B:And I was like, let's go for the drive.
Speaker B:And we did.
Speaker B:And it was.
Speaker A:Yeah, that's, that's amazing.
Speaker A:Well, so how can my listeners if they're like, look, I like wholesaling, but I kind of want to try the slow flip thing.
Speaker A:How can they reach out to you to learn more?
Speaker B:So I'm going to tell you in a second.
Speaker B:But let me tell you if you like wholesaling, I, I'm, I'm a fan of doing both.
Speaker B:Even me, even I do both.
Speaker B:And the reason is you're wholesaling.
Speaker B:You make money today and you make money and I'm big on the slow flips.
Speaker B:Like.
Speaker B:Well, you don't make money for five years.
Speaker B:Well, you're not going to sit around and, and not eat for five years, right?
Speaker B:So that's why I say you do both.
Speaker B:You wholesale and that's how you make your L and you probably still wholesale forever because wholesaling is fun and.
Speaker B:But slow flips is what sets you free so you don't have to anymore.
Speaker B:So the easiest way to get a hold of me, actually I wrote a book that just came out called the Art of the Slow flip.
Speaker B:And I think I was telling you earlier, I'm going to give a free copy to your listeners.
Speaker B:So all they got to do is just go to slow flip.com slowip.com and fill it out.
Speaker B:I have 250 copies printed and just pay the shipping.
Speaker B:I think it's $7.95 or something.
Speaker B:And I'm going to send it right on out to you.
Speaker B:And it goes.
Speaker B:I held nothing back in there.
Speaker B:So I went through detail step by step from start to finish.
Speaker A:How long did it take you to write your book?
Speaker B:That's actually my second book and it takes a while.
Speaker B:My first book, I'm embarrassed to say, but it took me about five years because you know, I just, I'm not a writer.
Speaker B:So I didn't just sit down and write and it took a while.
Speaker B:This one I got done quicker because I had a more methodical process.
Speaker B:But it's, it's, it's challenging.
Speaker A:Would you go back or would you can going forward write another book using chat GPT to like have it right or you like, like.
Speaker B:I probably wouldn't, but I can't say I wouldn't without actually trying it first to see like try a chapter and see what it sounded like.
Speaker B:If it sounds like you're a voice and it sounds like what you would have said, I don't know that it could, but I guess the technology is evolving so fast that it probably could.
Speaker A:I think books are great lead magnets.
Speaker A:I think they're great things to give away for value.
Speaker A:So that's amazing.
Speaker B:So Flow Flip, slow flip.com slowflip.com Yep.
Speaker A:That's a great domain name too.
Speaker A:Great job.
Speaker B:Yep.
Speaker A:I feel like a lot of people would look that up.
Speaker B:Yeah.
Speaker A:Well, yeah, I think that's awesome.
Speaker A:So.
Speaker A:Hey Scott, thanks for coming.
Speaker A:Do you have any other things you'd like to share with my viewers or anyone that will listen to this?
Speaker B:You know, just one of my, one of my things I always like to share when I close out my meetings with people in my group.
Speaker B:Always with it is, you know, and it's the basis of slow flips is do something today that your future self is going to thank you for.
Speaker B:We're always focused on making money right now and making money today.
Speaker B: ng in terms of what are we in: Speaker B: ou start thinking in terms of: Speaker B:And so I'm always telling them do something today that your future self is going to thank you for.
Speaker A:It's a good, that's a, that's really good.
Speaker A:Because a lot of people don't.
Speaker A:They want that instant gratification.
Speaker A:Right.
Speaker A:They want that the, the results right now.
Speaker A:So that's good to think about, you know, how you're going to benefit in the future.
Speaker A:I do actually have one last question for.
Speaker A:So private money lenders usually when I talk to, you know, hard money lenders that use that, those people that you're trying to find, they usually can sometimes get like 6, 7, 8%.
Speaker A:You're getting them 12.
Speaker A:Is that because not interest only so it all equals out or.
Speaker B:Yeah.
Speaker B: So when I started in: Speaker B:And then as I start having more lenders than I have deals, I'll start to lower it.
Speaker B:But what happened is all of my lenders are still my lenders to this day, and all of my new lenders have stemmed off of my old lenders.
Speaker B:So I didn't want to make it like, oh well, you're getting 8%, he's getting 10, he's getting 12.
Speaker B:So I just left it alone.
Speaker B:And the way I looked at it is I'm not paying it anyway.
Speaker B:My buyer, buyers are paying it, paying it off in five years and it's covered in the whole thing.
Speaker B:So I'm one of those win, win, win people.
Speaker B:So I'm like, my, my lenders are happy, my buyers are happy, I'm happy, let everybody make money.
Speaker B:And so I never want to try and chew them down just to save a buck.
Speaker A:Okay, that makes sense.
Speaker A:Now one last, one last thing because I, I do.
Speaker A:This thought just came up.
Speaker A:If you sell it on to, to a seller and you're selling it on, technically on a land, right.
Speaker A:Land contract, are you trying to get as much down as possible or.
Speaker B:We typically get 3 to $5,000 down, depending on the condition.
Speaker B:If it's in good condition, I usually go for five.
Speaker B:If it's a handyman, special needs work, we'll go for three.
Speaker B:So it's generally three to $5,000 down.
Speaker A:Because the more you get down, the faster gets paid off, correct?
Speaker B:Not, not for them.
Speaker B:We're, it's still a 30 year mortgage, so they're paying on a 30 year mortgage.
Speaker B:I have a vision and I know we're out of time, so I gotta go, but.
Speaker B:You gotta go, but, but I have a vision in my head.
Speaker B:I always tell people, I said, you go to any city in the country, right, and you look at the tall buildings and they got the bank names on the side.
Speaker B:And that's because conventional landlords or homeowners, we're running around and do all the work.
Speaker B:We do the paint, carpet, put out the signs, rent them out, fix the air conditioner, do all this stuff, collect the money and then we send the bulk of it up to that building and they're sitting up there waiting.
Speaker B:Well, with the slow flip model, we pretty much turned it all on its head where we're the one that just sits there waiting.
Speaker B:And on the 1st of the month, everyone else is running around doing all that work we used to do.
Speaker B:And they're just mailing us the check, so we kind of twisted the whole thing around now, so we just operate like a bank now.
Speaker A:Let's do it.
Speaker A:All right.
Speaker A:Thank you, Sky.
Speaker A:Appreciate it.
Speaker A:And reach out slowfoot.com if you want to learn more.
Speaker B:More.
Speaker B:Thanks, Nathan.
Speaker B:Had a great time.
Speaker A:Yeah, me too.
Speaker A:Thanks.
