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Steve Trang: Everybody. Thank you for joining us for today's episode of Real Estate Disruptors. Today, we have Philip Vincent. He's here from Dorado Beach, Puerto Rico to talk about the best lead source you've never heard of. First in Puerto Rico, but probably not the last.

If this is your first time tuning in, I'm Steve Trang, sales trainer for some of the top wholesalers in the country and I'm on a mission to create 100 millionaires. Question I get all the time is how to how to become one of the 100 millionaires and the information on this podcast alone is enough to help you become a millionaire in the next five to seven years. All you need to do is take consistent action and you will become one. When you hear a nugget, please type it into the comment section. And after the show, identify your single biggest takeaway and focus on just that for the next next seven days.

If you get value out of the show, please tag a friend below or share this episode right now. That way we can all grow together. And this is a live show, so don't forget to ask your questions for Philip to answer. Ready? Ready.

Alright. So first question is what got you into real estate?

Philip Vincent: I have a cousin that's a home builder in Saint Louis, and he told me a a story that a, builder that he knew of bought a lot for 300,000. He put 700,000 in the house, and so he had a million dollars in it. He planned on selling it for 1,400,000.0. The neighbor across the street had an old house that he listed for 1,400,000.0. So the builder decided to raise his price to 1,800,000.0.

He sold sold his house and made $800,000 and my cousin looked at me and says, wouldn't you hate that? And I said, hate what? He said, paying taxes on $800,000 And I said, no, that's exactly the kind of problem I'm looking for. And I was a 19 year old man at the time. And so I just find it funny people's perception that, my cousin took that as a problem to make 800,000 on one deal.

And so, I actually got into this business, in the new construction side back when I was 20 years old.

Steve: How long ago?

Philip: I'm 43, so twenty three years ago.

Steve: Got it. And it's funny. Right? Like, perception. You and I would love I mean, not so much anymore.

But at point, we're like, man, if we could just make 800,000 and pay tax on that, that'd be great. Yep.

Philip: It's a good problem.

Steve: But then you get to the same point in your career. That was a negative. How do I not pay taxes of $800,000? So, okay. So that was what inspired you.

Philip: Yeah.

Steve: What was your first real estate deal?

Philip: I built my first house.

Steve: Just right out the gate?

Philip: Just right out the gate. I started off in development, infill, new construction. All my family's in that, and I knew they wouldn't let me fail. Mhmm. And so I built a house, in the year 2000, and I quickly sold it, made, I think, 40 or 50,000.

I thought, boy, that was fun. I'd like to do that again. Yeah.

Steve: Yeah. So that's not bad.

Philip: No. It wasn't for my first and then, you know, in Saint Louis, the numbers are small. I think I had, like, two thirty in it and sold it for $2.80.

Steve: Okay. Twenty years ago, that seems kinda high. I thought Saint Louis, the prices were a little bit lower.

Philip: $2.30? It was the lot was $30. So I guess I had about 200 in the house.

Steve: Okay. So that worked really well. It did. How many times did you did you do that?

Philip: Not many. I realized I was not a very good adult, babysitter, which is what I call being a general contractor.

Steve: Got it.

Philip: The idea of of I do a few a year at most. And so, at 43 years old, I think I finally am honest with myself enough to say, Philip, you should never build a house again because the only reason why you ever built a house was to pick out the colors. I should have been an interior designer. I like trends. I like fashion.

I like to know where things are headed. And I think I went through all the trouble of building new construction just to pick out the colors.

Steve: So you got an eye for

Philip: it. I like it. Yeah.

Steve: Yeah. So you're the one that walks in the house like, okay. We need to do this, this, this, and this. Yep. But managing people to do it, not so much.

Philip: And then the municipalities are never fun. The permitting process, dealing with, I always say if you if you're in contracting, it's how many grandmas get sick or how many they're always having my grandma's sick. I gotta go out of town or there's Oh, see.

Steve: I always heard of my mom's in the hospital.

Philip: Oh, they're always doing always. Right. My mom's in the hospital. Yeah. I think one of the funniest claims is that, workers' comp claims are, like, 80 or 90% on Mondays.

And the reason why it's because they all go out and get in bar fights on the weekend and get take a claim on Monday. So, it's a it's a, you know, it's a business, that didn't really appeal to me. I was, starting to become a wholesaler. I was doing driving for dollars in, like, 2004 before that was even a terminology. I was wholesaling before I even knew what that terminology was.

I've always just found, real estate interesting, to where even on Sundays, I drive around to look at houses even though my day job was real estate.

Steve: Gotcha. So you're flipping houses, not in love with it. You see, you got into wholesaling.

Philip: Yeah.

Steve: How was that transition?

Philip: I loved it. Meeting with families and unlocking their problems and spending not think about with new construction. It may take you from start to finish a year to get your check. With wholesaling, I can meet with the family, and in a few hours, I would be three three weeks away from having my check. Mhmm.

Right? And so I was addicted to that, dopamine hit of doing the you know, a deal junkie, I guess you'd say.

Steve: Oh, the speed of money.

Philip: Yep. The speed of money. Yeah. Definitely.

Steve: Okay. So that was that was natural transition. It was easy and there was no headaches there?

Philip: Well, I didn't really get serious about it till about 2009. I built my first million dollar spec in 2007, and I lost it all. It was, I call it

Steve: that was not the right year.

Philip: Not the right year for that, in Saint Louis, especially. I call it the Lamborghini house because I lost $200,000 on that house. Very proud of what I built quality wise, once again, colors wise. And now, you know, the the actual craft was good. It was just the timing you know, the funny thing about life and timing is it that timing made me look bad.

Had I built it last year, I might have made 200,000 extra. Right. You know, just about how the world is today.

Steve: Have you kept an eye on the house?

Philip: I do. I drive by it all the time. How is it? Beautiful. It's a beautiful home.

I'm proud of it to this day.

Steve: The crown jewel in that neighborhood?

Philip: It's a turnover neighborhood. I would say it's in the middle of the new construction. It's one of those that's about 60% new construction.

Steve: Gotcha. Gotcha. Okay. So, wholesaling, enjoy that spewed money. What did you do after that?

Philip: I I think everybody in 2008 thought the deals come from foreclosures. To this day, when people hear that I'm a flipper, they think, oh, you work in foreclosures. And I I think you and I both know that very small percentage of our business is from foreclosures.

Steve: Right.

Philip: And so in o eight, when the whole world was dying, the REO, which means bank owned properties, business, I thought, I'm gonna get into that because I wanna know about just like with anyone, I wanna know about deals before anyone else. Mhmm. I'm a big believer in trying to work smarter, not harder. For this REO company. I thought I had it all figured out.

I would know about houses six months early. I'd get in. I'd work my numbers. I'd be ready to buy it. And then they had something called a owner occupied look back period, where for the first twenty one to thirty days, depending on who the seller was, look back period, where for the first twenty one to thirty days, depending on who the seller was, owner occupants are the only ones that could bid.

Mhmm. So by day 21, I was just like every other investor in town because they had all got to see it for three weeks.

Steve: Yeah. The speed was nothing there.

Philip: Yep. The speed was yeah. Well, I knew about it early, and it helped me none. And so, in Saint Louis, we had a local RIA. Someone put out an ad saying, I need someone that has these skills, negotiation, think on their feet.

In essence, describing what an acquisition person does. Mhmm. And I set up in my bed, and I looked at my wife, and I said, he just subscribed to me. And so I went to, in for the interview. I went on my first, ride along with him, and I'll never forget it because, I knew the moment I got the job.

And it was, we're walking through the house, and he says, what do you think this house will sell for? And I said, $2.39. I said, maybe $2.80 if it was interior in the in the neighborhood. This was right on the main drag. So we go through the whole house.

This was actually a referral from a realtor, and he asked the realtor, what do you think this house will sell for? She goes, $2.40. But if it was on the interior, it would sell for $2.80. Mhmm. And I knew in that moment I got the job because what he knew is I just didn't take the comps and say, oh, these are all $2.80 houses.

Not every house in the neighborhood is the same. If you're on the main drag at the front of a neighborhood, it's not as worth as much as the guy Right. That has the better lot in the back. Mhmm. And so to be able to see things for what they are.

Steve: Yeah.

Philip: And, he said, I'll ride with you for the first six months. I think you rode with me for the first three weeks. And then after that, it was a ten year career. And so I think why we're sitting here today was that company had a mandate. For every deal that we bring in via marketing, let's bring one in via networking.

Steve: Mhmm.

Philip: And that's, we're starting to see that trend in our business right now.

Steve: We are.

Philip: And I feel like with with my company, Mom's House, we're on the forefront of building relationships with people that are not in in real estate. And and I'll talk to you a little bit more about why that's important or why that's sustainable.

Steve: So you do the ride along. You ride with this guy. Yeah. So when we were when you first transitioned to wholesaling, it was an acquisition for somebody else?

Philip: That's right. Yep.

Steve: Okay. How long did you do that?

Philip: Ten years up until right now.

Steve: Just until right now?

Philip: Yeah. Right now.

Steve: Okay.

Philip: Yep.

Steve: Cool. So then the leap was then from an acquisition for somebody

Philip: Yeah.

Steve: To mom's house.

Philip: Right. Okay. So So how did that happen? What prompted that? Sure.

Knowing full well that I could work the leads that he gave me Mhmm. What I didn't believe in myself was could I go out and build relationships on my own? And so I look at every, when I look interesting to me because you're a talker.

Steve: Yeah. You're a connector.

Philip: A connector. But right. Well, I mean, I having never done it, did I know I could be successful at it? Right?

Steve: Yeah.

Philip: And so a lot of people go out build relationships with realtors, and they build relationships with wholesalers. The problem with those two, I think, is that they're in the real estate business. Mhmm. Right? And so you might be the flavor of the week, you might do a few deals a year, but their head's gonna turn at some point.

Steve: Well, you have to constantly market to them.

Philip: That's right. And they might replace you pretty easily. In the senior living world, what I have found is that if you build relationships with the right stakeholders in senior living, you're gonna help them with a problem that they have in their own business. What's in it for them? Or people only care about what's in it for them.

Steve: Right.

Philip: And if you can come in and meet with the people the right way and not lead with, I'm an investor. I'm a real realtor. You might be an investor and a realtor, but that is not the way to build these relationships. That's not what they wanna hear. Then

Steve: it's about me first.

Philip: And it's two things. The word investor and the word senior, sometimes investors looked at as shark investor.

Steve: Well, I mean, there's a reason why we have laws in place to protect the senior citizens.

Philip: Yeah. Rightfully so. They should be there. Yeah. So they hear the word investor.

That could be taken negatively. In our world, it's not. In that world, it could be. Yep. Realtors even

Steve: worse. Really?

Philip: I'll tell you why. This industry has been fixing that problem for thirty years that one way. Oh, we refer to a realtor. So when they hear that you're a realtor, what's your value to them? Are you something it's called the crocodile brain.

Right? You're

Steve: I mean, you're a commodity.

Philip: They don't need you. Yeah. Nothing's new. And so I have figured out ways through scripting to open up, unlock their brain to to let them understand that they know that they have a problem, ask by asking questions Mhmm. That I already know the answer to and to let them know that I solved the problem that they have.

And each of the 10 people that I teach you how to network with all has a different what's in it for them. Mhmm. And I teach you how to unlock their brain to look at you as a resource that they can use month after month, year after year.

Steve: But let's talk about how you came into this.

Philip: Okay.

Steve: Right? Because you're you're you're working for somebody else.

Philip: Yeah. I

Steve: mean, what what made you what what motivated? Like, you know what? This is a need that needs to be filled.

Philip: Back in 2011, I remember, clearly, we did 66 houses that year. And I said, what is the stereotype about these sellers? Tell me a story. What's the what's the similarity about these people? And I say this all the time.

So if you guys have heard it, forgive me. But it sounds like this. Dad died eight years ago. Mom's been doing the best she can. She just fell down.

She had a surgery. She's gonna be okay, but now she has to move into senior living. The adult children come into town. They find mom that wears the best care, And the first thing they think is, how are we gonna pay for this place? Mhmm.

Because when you take mom to senior living, you don't put her in the cheapest one you can find. You put her in the nicest one you can find. And then you say, well, how are we gonna pay? You know, it's $8 a month. The mom's pension's 2,800 a month.

Where's that money gonna come from? In that moment, they realize we need to sell the house. Mhmm. And so I said, okay. Knowing that, I said to Brian, it was his name.

I said, Brian, is anyone going right to the senior living world and networking with him? He says, no. But you should do that. And that's how it started. That was the genesis of me.

Steve: That was ten years ago.

Philip: 2011. Yeah. It was ten years ago.

Steve: So, I bring this up also because, you know, I was talking to Jean Guarino. You know, we had we're getting getting coffee. And he's like, how can I help you? Right? Super nice guy.

How can I help you? He's like, I know how you can help me. You're in this assisted living space. Send me referrals. He's like, no.

By the time they get to me, that problem's already solved.

Philip: Yeah. You

Steve: need to talk to Philip.

Philip: Nice. And I love Jean. And and and people, when they hear senior living in real estate, they think of what Jean does, which is taking a single family home and turning it into a residential assisted living community. Mhmm. I am the guy that helps keep those people moving into there.

I'm the guy that helps keep those beds fuller. That's the terminology in the industry that keeps that, tenants full in those. I don't teach people how to build a residential assisted living community. That's what Gene does.

Steve: Right. Gotcha. Okay. So they've got problems. So we talked about we don't want we don't wanna show up with our problems.

Philip: No.

Steve: Right? Because show up with our problems and our needs, like, I need deals. Like, you're there's nothing special about you.

Philip: That's right.

Steve: So I think you mentioned there are 10 different stakeholders. Yep. So what are you doing to separate yourself?

Philip: There's as much networking going on in senior living as there is in real estate. Mhmm. And you're gonna sit if you decide to make this part of your business, you're gonna sit through meetings and, like, almost like a RIA event, but for senior living. I've sat through speeches and talks about the incontinence problem. Right?

So it's not real estate. Right? How how knee surgery

Steve: Like, literally what incontinence is? Literally

Philip: incontinence. Okay.

Steve: I thought you're using something, like, figurative. Like, it's not just real estate.

Philip: No. No. No. It's actual incontinence. And so it there's

Steve: Oh, my goodness.

Philip: It's a different world. Right? And so how we lead and how we talk as real estate investors and look at the size of my check and all that crap, it is not the way it's done in senior living. I've been here for ten years, and if you don't come with love out of the gate and how you can help and be collaborative, you might as well not start. Gotcha.

I was telling you earlier, I I need, investors I trust in every city. Just having a warm bodied investor in every city is easy. I need someone that's gonna go through this to understand what's going on with these families. Because if you're gonna go out and have success, you need to go out and network in senior living. And so whatever what I was telling about, there's hundreds of jobs that will be networking in senior living.

Some guys sell grab bars. Some guys sell ambulatory products where they help pick you up, ramps, you know, a 100 different items. But the 10 that I teach people how to find, and I will talk about some of them, are the ones that have been fruitful for me. So what I wanna do is help speed this along. If I had this training back in 2011, I wouldn't have taken lunches and breakfast and coffees with people that did not ever give me deals.

Steve: Alright.

Philip: Yeah. And so, the stakeholders, there's about 10 of them that are having the tough conversation with daughter Judy. That's my name for her. Daughter Judy is the adult child of the senior moving in. It's normally mom, but sometimes it's dad.

Daughter Judy is having a rough time. Do you do you ever hear the the term being quartered, you know, back when With horses. With horses? How they would torture somebody? Mhmm.

That's daughter Judy. There's usually multiple

Steve: Let's just explain

Philip: Yeah.

Steve: What what being quartered is.

Philip: Being quartered is when, to kill you, they would hook a horse up to each arm and to each leg, and they'd pull you separately until you died. Mhmm. Not a good way to go.

Steve: Not the best way to go.

Philip: Not the best way to go.

Steve: Or disemboweled.

Philip: Like, those

Steve: are the two ways.

Philip: Well, I think you get disemboweled after they quarter you. Yeah. Right? And so daughter Judy's having a rough time of it. There's always one adult child where the most of the burden falls on them.

Steve: Yep. And I

Philip: lovingly call her daughter Judy. We used to call her daughter Karen, but the word Karen's had a rough year and a half. So we changed it about, daughter Judy's in over her head. There's no training for her. And let me just tell you the four quarters of what's happening to Judy.

We just signed up mom has to move into senior living. So you have a cantankerous mother who's being taken from her forever home and put into some place new.

Steve: Yeah. Never put in that perspective for us. They're forever home. She wanted her to retire.

Philip: That's where she thought she was gonna live. She's been there since 1973

Steve: Yeah.

Philip: Where all the memories were. You've got the senior living community. They're a little bit needy. There's a lot of paperwork that needs to happen. How are you guys gonna pay for this?

These weird pressures about that's when they realize they need to sell the house. We'll talk about that. You've got the Judy's adult brothers and sisters, sister Karen, we'll call her. There's always that sister that has the opinions Mhmm. Without any of the answers, who questions everything that Judy does.

You're selling the house for how much? You're putting her where? Mom's not what you say she is. Right?

Steve: Yep. So the adult children people, the ones that have all the problems and none of the answers.

Philip: I've got I've got solutions for them. And I know in your training, you do too. How do we help Judy Mhmm. Deal with the siblings? Mhmm.

Then the fourth one is Judy's a married woman, usually with kids at home still and a life, and she's got a needy husband at home who's, like, she he's missing his wife, and, you know, she's being pulled in these four directions. And all of those pressures are on daughter Judy to try to to fix the problem. And so when if me and you were brothers and and we found out today that mom has to move into senior living, number one is where is mom gonna get the best care? Right? We just got bad news from the doctor.

We're gonna go into these communities. We find out the one we and you picked out is not the cheap one if we pick the nice one. We love our mom. Mhmm. Who's Who's gonna pay for that?

So bad news from the doctor, bad news for community. Then the last straw is everybody knows a realtor. And the realtor comes in to Mom's Forever Home and says, clean this place out, do this list of rehab items, and we'll put it on the market. And, yes, then we can get that big Zillow number that you saw. Right?

It's how it works. Daughter Judy is still dealing with mom, still dealing with brothers and sisters, still trying to get all the family over there to coordinate the house sale, getting it cleaned out. And with mom's house and with any as is buyer, our business that we're in, we offer a different solution for the for the seller. Mhmm. An easier solution for the seller.

Bad news, bad news, bad news. And I come in and say, hey, in three weeks, I'll be at closing. Take any heirloom you want. Anything in here is your stuff, but if you wanna leave everything else, you can.

Steve: Got it.

Philip: There's a crazy stat in Saint Louis that I think is interesting. The average estate sale in Saint Louis, the revenue is between 3 and $5,000. That's what the stuff sells for in the house. The cost to put that on, 3 to $5,000. So is dad's stuff worth nothing?

I would argue it's worth less than nothing because of the time it took to get it to zero. Mhmm. Do you see

Steve: what I'm saying? Categorize it.

Philip: Well, it just took time. Right? It did it it it it kept you away from mom's money. They're trying to unlock that equity in the house. Now the senior living industry, they just want you to show up with a bag of cash.

They don't want you to show up with a house that you need to sell. And so we help the senior industry. We help daughter Judy. And then the easy part is us, the real estate investor. Mhmm.

We're we're dreaming of these type of deals. And there's five reasons why that that I feel like that these are the best deals. And I I would be happy to take the Pepsi challenge or any other type of lead source out there. I really believe when I say that these are the best leads. They need to sell the house versus want to.

So there's no heavy lifting on convincing them that it's the time to sell. They have a 100% equity in these houses almost always.

Steve: Really?

Philip: About 85% of the time. They're always a house, even if they've been taken care of, that are kinda grandma clean. They're kinda dated. They're not really ready for the market. So as a real estate investor, I'm always looking for a house that I can add value to.

Steve: Mhmm.

Philip: The the fourth thing is that there's less competition. It's usually me versus a realtor, not me versus the Steve train the Steve train trained people of the world. Thank goodness. It's just me versus the realtor who's trying to make them do something they don't want to do anyway. Alright.

They don't want to rehab. They want to sell it to me. And then the fifth thing is it's a warm referral from someone that they're getting advice from for their mother.

Steve: Mhmm.

Philip: Think about that. If me and you went to Albuquerque right now, we'd throw out on Facebook, where's the best place to eat in Albuquerque? Well, we would do that because we trust others' opinions. Mhmm. Well, if me and you are brothers and we're getting advice from, like, a placement agent about mom's end of life care, when that person says, hey, I've got a guy or girl that can come in and buy this house the way it is.

You don't have to do anything. I trust them. I work with them all the time. Do you think we're gonna give that person a chance?

Steve: For sure.

Philip: For sure. Yeah. So if you can show up halfway competent, you can buy a lot of houses when you have these relationships built with the right stakeholders in senior living.

Steve: Got it. So we don't have to go through the whole process.

Philip: K.

Steve: But what will be the first step? If I said, alright. I'm listening to this podcast. Yeah. I'm convinced.

Great. What's the first thing I need to do?

Philip: To to reach out to me or in in real life, like, rubber meets the road to go out and do it?

Steve: Rubber meets the road.

Philip: I'm I'm here to say people listening right now are probably thinking, hey, there's that senior living community in my neighborhood. I'm gonna stop in today and put my hand out and say, I'm Bob, the real estate investor, and I wanna buy houses from old people moving into senior living.

Steve: Because I had that thought. I was actually Yeah. I went to urgent care. I think my daughter got stung by a scorpion or something.

Philip: Oh, wow. Right? It's a desert. Yeah.

Steve: Yeah. And so I went there. I was like, oh, there's this, retirement magazine. It's like, okay. Let's check this out.

So I picked that up while we're in no emergency room. Kinda thumbing through it. I was like, oh, here's all the assisted living facilities. Yep. And so, like,

Philip: I had

Steve: this on my to do list, I think, probably, like, a year and a half now.

Philip: Right.

Steve: Right? Like, I need to go visit one of these.

Philip: You do. That's not the right way to do it.

Steve: But I'm learning now. No. That would not have been the best use of my time.

Philip: It wasn't the right way to do it before COVID, and it's definitely not the right way to do it after COVID. Got it. Trying not to give my secret sauces away, right, too much with this, but how you do it is by meeting them where they're at, which is not on-site. Mhmm. Waiting for them to to network, in a way to where they want to be found, figuring out a way to be collaborative in a space where they want to network with others, that exists out there in

Steve: the senior living world. Where we learn about incontinence.

Philip: Where we learn about incontinence. So if you can't sit through those things, it's gonna be a rough go.

Steve: So it's not parking outside the assisted living facility.

Philip: Please do that, listeners. No. I'm just playing. No. If you do that, you will not have the success you're wanting.

Yeah. It's not that way. And people said, what about direct mail? I've done direct mail. You know, in St.

Louis, there's 250 communities. There's not enough. That direct mail gets put in a round file on in the on the ground. I've not had success there either. And so, I teach people how to find the right stakeholders, where to find them, what to say, what not to say.

Mhmm. I gotta stress that for real estate investors. Guys, what not to say is more important than what to say. Because each one of these relationships you can build can give you five to 10 deals a year, each person. So how many people do you wanna make relationships with?

So great great referral source. Bluntly, I think it's the best because it's not trendy or sexy, what I do. Mhmm. People will continue to get old in every city. They'll continue to look for advice.

The my favorite stat in the industry right now, seventy percent of Americans over the age of 65 will live in some sort of assisted care before they pass away. So when people tell me my senior living thing is a nice little niche, I always laugh because I say, do you ever work probates? And They're like, oh, I love probates. And by the way, probates are my second favorite leads. Mhmm.

But let me tell you why these pre probate deals are exponentially better is because if if mom has already passed, you and I are trying to sell the house because what's in it for us? We're gonna that money's for us now. Right? With pre probate, when mom moves into senior living, we don't care that money's gonna go into mom's account until it's gone. You see what I'm saying?

Steve: Like, we're not mindset.

Philip: Completely different mindset. Right? And so the size of the industry daughter Judy right now, going through this with her parents, the people in their sixties are being smarter and better at life planning. Mhmm. Wills, trust, those things.

The older generation thought it was morbid to talk about those things. Right.

Steve: It's a very uncomfortable They don't

Philip: do it. Yeah. And so that's why there's probates. But keep in mind, guys, if seven out of 10 need to sell their house before they pass away, the small little niche is actually probate. Mhmm.

It's not what I do. It's it is the probate. It's a small niche. Right. This is a giant it's called the silver tsunami.

It's bigger than anyone's prepared for. It's it's huge. It can be something you can build a real estate business around for the next ten to twenty years if you wanna take the time and effort to build the relationships right the first time.

Steve: Yeah. That's

Philip: how valuable it is to you guys.

Steve: I'm wondering in Phoenix because how many people retire here?

Philip: It's one of the best. It's a mecca.

Steve: Yeah. So maybe we need to take that one seriously.

Philip: In Florida yeah. Well, I mean, I would say this works only where people get old, kind of tongue and cheek a little bit. Right. But it's true. But there's more people getting older Yes.

Steve: Moving here Yes. In Florida

Philip: Yeah. And

Steve: Arizona. And maybe we can't buy those homes, but we could definitely refer it out.

Philip: Definitely. Well and and and it goes nationwide. Right? So if they're moving to Arizona, back in Wisconsin where their house is, that house is gonna need to be sold.

Steve: Right. So So yeah. So, and I love that you call her daughter Judy. You used to call her daughter Karen.

Philip: Karen's had a rough year.

Steve: Karen's had a Karen's had a rough couple of years.

Philip: Yeah.

Steve: And I and it's for that reason that I call her Karen in my sales training, which is, like, you know, your daughter that's gonna blow up your deal. Oh, yeah. We affectionately referred her as Karen

Philip: She's Karen. In the training. So Oh, I can see her. All the oh, yeah. I knowing Knowing how to deal with Karen is a big deal.

I know your training helps people Yeah. Overcome that.

Steve: Alright. So, anything else before we move on to you fighting bulls?

Philip: If I had to start over, I was like I've been hearing this a lot with weight loss lately. These people say you pick your pain. Whether you you're gonna be overweight, and they don't have the pain of that, or you can pick your pain of eating right. Mhmm. And I look at it the same way with our investor world.

Guys, we're in the we're in the marketing business. We all know that we are. Right? We think we're in real estate, but we're really in the marketing business. So do you want the pain of pain for marketing efforts every month for the rest of your life?

Or do you wanna build a business with people that will refer to you month after month, year after year, and you're gonna have the leads chase you, and they'll be free, and they're the best leads. I know that's a bold statement, but it's it's the truth.

Steve: Yeah. Well, you you you pick a vehicle. Right? You can cold call or you can, pay for marketing.

Philip: Yep.

Steve: Right? You can be on TV.

Philip: In $25 a month to start. Yeah.

Steve: You can be on TV or you can cold call or in this case, you can network. Yep. Right? So I I think that's a great point. You wanna market with time or you wanna market with money.

Sure.

Philip: And cold calling, by the way, I wanna say it once again, that's not what I'm gonna teach you to do either. Yeah. Cold calling to me is an uphill battle. It's we're we're talking about two different things. Right?

You're saying cold calling in a in a way to find motivated sellers? Well, I

Steve: think cold calling as in that it's a it's it's time versus Correct. Money.

Philip: Yeah. Yes, sir. Yeah. That's right.

Steve: So you're saying here invest the time versus investing the money. So I got two questions.

Philip: Go ahead.

Steve: So Chris, Adamski actually asked me many, many months ago. So, hey, what do you think about mom's house? And I said, I have no opinions on mom's house because I don't know anything about it. I can tell you that I got a friend, Robert Yeah. Who does it

Philip: Right.

Steve: And loves it. Sure. But it's all I know about it. Yeah. So, his question for me to ask you was, if someone wants to do this virtually

Philip: Yeah.

Steve: Is this something I could do living in Phoenix but have this working in, I don't know, Oklahoma City?

Philip: You could. My suggestion would be, I would help you hire the boot on the ground there. I don't think this is done virtually over the phone to build the relationships the right way. So if you could hire a marketing person there to to build those relationships in

Steve: the Marketing or a networking person?

Philip: Networking. That is your market. That's how you're getting those leads to come in.

Steve: You want, like, a friendly person?

Philip: Yeah. Yeah. I I I've come up with this recently. I like naming things. A lot of investors, this business, you need to hire a vase to do it, like a nice vase, a nice one.

And we're all crockpots. So do you wanna be the crockpot in the business, or do you wanna be the vase?

Steve: Yeah.

Philip: And, for what it's worth, I I really believe this. This is the first real estate business that I've seen that I think is slightly better suited towards females than it is men Mhmm. With what I do. Now I'm a guy, and I've had success with it. So I'm not saying you can't be successful.

Obviously, you can be.

Steve: But you're a little less nurturing.

Philip: A lot less. The empathy is, it's easier. And I'm being stereotypical here. Right? Nobody get offended at this, please.

My goodness. We don't need that. It's that empathy I'm gonna

Steve: direct them at you. Yeah. If I get anything, I wanna direct it to you.

Philip: Women are more empathetic. It's proven over and over again. So, but I see a lot of, husband and wife teams where the, the wife will build the relationships, go out and do the networking, and then the husband will be the guy that goes into the house and makes the offer. Gotcha. It doesn't have to be that way.

That's not the right or wrong way to do it. It's just what I've seen as a way power couples are doing this right now.

Steve: Got it. And and this is gonna be my next question. Right? Because for me, I really don't like to do anything. Mhmm.

And so I wanna make sure this is a model I can build it where I can hire someone else Yes. To do all the network.

Philip: And I'll I'll help you do that. There's there's things about that person that they need, skill sets they need to have and we're crock pots again. We need to hire the base. Right.

Steve: Gotcha. Okay. Cool. Alright. So what's the story about you fighting a bull?

Philip: Spring break in Mexico, drinking too much beer. One of the questions they asked me is, have you had any beer today? I said, no. So when I signed the waiver, that was a little bit of a fib, in Cancun in front of 800 people. There was three of us, and we fought a baby bull, couple 100 pounds, had horns about this big coming out of its head.

And, I'm raised in a small town, and I I went third. And the first two guys were scared to death at the bull. They were running around the ring, getting chased around, the crowds laughing and cheering.

Steve: I mean, that makes sense.

Philip: Oh, it's scary. It's the your adrenaline is beyond pumping. I I don't think I took a breath for three minutes. Mhmm. And so getting out there, full full garb on.

I mean, I'm dressed like a matador. I've got the cape. I've got the hat, and I'm out there in the middle of the ring. And, you know, with this do or die moment, I said to myself, for this bull is not gonna chase me. I'm gonna chase this bull.

Mhmm. So as it came at me, I grabbed his head, and I put the bull on the ground, and the crowd goes nuts. He gets back up. He chases me down. He knocks me down.

I actually had a battle with this bull. And so the crowd cheers. The crowd voted on who won, and I won by the the the size of the crowd cheer. And a few days later on a bus, we were going from one resort to another. And a woman says, oh, look.

Steve: There's the matador. And I'm

Philip: like, the matador. I'm like, I'll never be called anything cooler in my life than the matador. Yeah. So that's my finding a full story.

Steve: That's awesome. And that'll be remiss. I think Jason would love for me to just remind everyone. Right? How do we, meet initially?

Philip: How do we meet? Yeah. Oh, the collective genius. Right. Guys, we're part of this group of, I would say the upper echelon of real estate investors.

Right? People that do this. It's not a hobby. They're in this for a business. And what we've noticed is everyone knows how to do the the direct mail, the pay per click, the the TV, the radio.

Right? All those things are tried and true. Nothing wrong with those things. We're all looking for ways to scale our business without turning our marketing budgets up even more. And so what we've noticed, not only with me in December, but also recently, we just had one last week, that the industry is starting to say the sustainability is by building relationships.

Mhmm. And there's truth to that. If you build the right relationship, you can build something that comes to you. And it's a freeing feeling to know when I lay my head on the pillow at night that, man, as soon as you drop that money for direct mail, you're like, I hope it comes back. Yeah.

You know, that's that feeling with this. You build the relationships. My phone just goes, hey, Phil. Can you be at Bob's house at 02:30 on Tuesday to make an offer? Yes, I can.

It's great.

Steve: Simple enough. Yes. And the other thing I wanna talk about before we get to the questions Yeah.

Philip: Is Puerto Rico. I live in Puerto Rico.

Steve: So you had, like, a whole pitch deck, basically, when when we met in December. So for those that are listening, why Puerto Rico?

Philip: Though I've been in, with Collective Genius now twice. We were in Tampa in, Florida, and it was was 34 degrees. And we've been in Arizona. The past week, it's been 57 degrees, guys. It's never cold in Puerto Rico.

It's wintertime there. And my wife used to ask me every day in Saint Louis, honey, what's the weather gonna be today? Right? Because it's always changing. Puerto Rico, 84 for a high, 72 for a low every single day.

So the weather's phenomenal. And I think most of your listeners That's

Steve: not the reason why you're going there.

Philip: No. I'm I'm building it up. Right? I'm saving. Yeah.

For me, I like to network. I like to work be around entrepreneurs. Even in Saint Louis, those were the people I sought out. Imagine the baddest real estate or not even real estate, but just entrepreneur that you know, they all moved to the same town. Mhmm.

And the networking's unbelievable. Why did all these investors and, Bitcoin guys and hedge fund traders and and CEOs, why did they all move to, Puerto Rico? Simply put, it's a tax. You can have 0% taxes on capital gains, 0%. And, you get to keep 96% of your money on active income if you have the right kind of kind of income.

Right. So tax reason.

Steve: It's a tax haven. It's beautiful. Yeah. Yes. So, and I know we didn't really talk about this prepare preparing for it, but I think it's just fascinating because we talk about it here and there, but no one really explains why.

Philip: Why the tax savings? Yeah. Boy, it's probably a political conversation. Mhmm. Puerto Rico is is, especially after Maria well, it's been around a lot longer than Maria, so I shouldn't say that.

They designed it to bring wealthy people to their island to spend money there to live there. If you live somewhere and you have a high net worth individual, they spend money on lots of services.

Steve: Right.

Philip: And so it was an economic driver to get people to move to Puerto Rico. People to move to Puerto Rico.

Steve: So and it's kinda like I mean, you look at just, Arizona, Texas, and a few of the red or purple states now.

Philip: Yeah.

Steve: They incentivize businesses to come over and they'll subsidize the businesses taxes Yep. To bring more money into the economy. And by bringing money into the economy, the hope is that everyone does better in that state. Yep. And in the long run, there's more income taxes for the state.

So Puerto Rico is doing the same thing. They're trying to get more money in so they can get more tax revenue, not necessarily from the guys making a lot of money from everyone else actually having jobs.

Philip: That we're gonna hire. Yes. Around this. Right. Both both in our businesses and our our lives.

Steve: Right. So I just think it's something that's good for people to listen. If you guys don't have kids, I know there are people with kids.

Philip: I have kids.

Steve: Yeah. So people with kids are moving there. Yeah. So it's just something to consider, something to investigate, check out, because I don't think a lot of people are talking about it. I know that in the circles we talk about Yeah.

That we we're in, people talk about it. I know that talk about Yeah. Or that we we're in, people talk about it. But I'm not hearing about it enough in other circles. So I just kinda want to get this out there.

Philip: Well, let's talk about it for a second. There's a guy named Logan Paul. He's a huge, YouTube influencer Mhmm. And he was all over the news recently. He's moving to Puerto Rico.

Yeah. And so it's I think we're starting to see it. Once again, not a political conversation, but if you look at what's happening with taxes, they're gonna keep keep going up. So we're all looking for these other options. Yep.

Steve: Gotcha. And by

Philip: the way, about the kids thing. If you have kids, you can definitely move there. There. Puerto Rico might be a poor area, but I want you to know in the in the town that I live in, there's a Lamborghini dealership. They don't put Lamborghini dealerships in places where you probably can't have kids.

Right? It's, it's basically,

Steve: So you don't have investors like, are there Starbucks there?

Philip: Okay. Yes. Oh, yeah.

Steve: It's an appreciating neighborhood. Yeah. Right. Starbucks will put money put will put a a Starbucks in that town before the market goes up. Right?

Mhmm. So you're saying there's a Lamborghini there. Lamborghini

Philip: dealership. And yeah. I mean, there's it's not as third world as we as we think it is in our heads. Right? I I think a lot of people who have been to Puerto Rico have only landed in San Juan on a cruise ship.

They had some rum and they saw old San Juan and they left. There's other places on the island.

Steve: Yeah. So, when we first talked about this back in December, there's two things that went to my mind. Right? First is education. Right?

Most parents, first thing they go to is kids. And you say, well, we got tutors. That's not an issue. And the fact there's a lot of wealthy people there, there's gonna be quality tutors there. Yep.

Second question was, how do you guys, manage not manage, but how are how are the hurricanes affecting you? And it sounded like not that bad.

Philip: I'm gonna knock on some wood. The power grid is not the best there. I've been told it's held together by, bubblegum and duct tape. Mhmm. And it's gone down twice in my six months that I've lived there and for about an hour, and that was it.

So so far, I wanna say not what I thought it was gonna be. We're getting ready to go into the rainy season. So I guess with anything, it it, I heard some you know, I'm from Missouri. Right? And we have tornadoes there.

Tornadoes will take out one side of the street and not the other. Mhmm. Because they did there there's no but at least with a hurricane, I've been told you have a one to two week. They know when it's coming. So if it really comes, you just go.

You go back to The United States.

Steve: Gotcha.

Philip: So I I I'm trying does it sound like I'm trying to sell it? I guess I am.

Steve: Well, I want I want you to sell it. Yeah. I think it's a it's a conversation that needs to be had. Yeah. And it sounds like as far as you

Philip: are It's an adventure, Steve. I you know, I'm 43. I don't you know, when you get older in life, there's less adventure and I'm on an adventure right now. So it's a lot of fun.

Steve: Oh, that's cool. And as far as blackouts go, it sounds like you're doing better than California.

Philip: Yeah. Right. There you go. Yeah. Twice in six months.

Not not too bad.

Steve: Let's see. Alright. Opinions without any answers. So Lianna is asking, so if she wants to learn more about mom'shouse, how could she get more information about mom'shouse?

Philip: Momshouse.com/steve.

Steve: Perfect. Easy enough. Momhouse.com/steve.

Philip: Slash steve. Momshouse.com/steve. I like domain names that my eight year old could spell. So

Steve: I love domains. I mean, we're talking about, let's see. You and I were talking about before this, houses versus multifamily.

Philip: Yeah.

Steve: For me, like, it's domains. Like, this is a small one. Right? Like, I have a bunch of domains that I don't know if I would do anything with it. That's why we have realestatedisruptors.com.

Yeah. So I have disruptors.com.

Philip: Disruptors the full keyword or the full single word?

Steve: Yeah. Disruptors.com. Great name. Yep. Alright.

So we got that question answered. Favorite Puerto Rican food from Angel.

Philip: The answer is everyone there was gonna tell you mofongo. Mhmm. And I hate to say I don't like mofongo. I'm sorry everyone in Puerto Rico. You're

Steve: not interested.

Philip: I am I it might happen. They have a lot of empanadas. I'm a big, I call it meat donuts. They're pretty much meat. You know, meat and donuts are two of my favorite things.

And so, I'm a big empanada fan.

Steve: Yeah. It's like cheese fries.

Philip: Yeah. How can you go wrong? How could you go wrong? Not good for you, but how could you go wrong?

Steve: Alright. So, guys, please ask your questions, to answer in here. So right now, your primary market is Saint Louis.

Philip: For me personally, Mom's House is a nationwide company, though. Right.

Steve: Right. Yeah. I'm talking about as far as Phil's business.

Philip: Where my where my leads come to? Yes, sir. Saint Louis Metro.

Steve: Saint Louis. So how much business would you would you say you did last year? 40 deals. 40 deals. Mhmm.

And I remember, if I remember correctly, you had a presentation where we talked about, your margins. Yeah. Because it's lower competition. Yes. What are the kind of margins?

If someone's doing this at a high level Yeah. What kind of margins can they expect?

Philip: Boy, you know, I ask investors this question every day. The the lowest I hear is 10,000, and the highest I heard was, 85. And what was that? Salt Lake City. Right?

And so the margins are all over the place. I predominantly like to wholesale. Mhmm. So I would think that if I say my average profit is 15,000, you better believe the person I sold it to him also rehabbed it, sold it, and made 20. Let's just just say on the low end.

So could I have I realized that 35,000 in profit easily. I could've. If you wanted to expand your resources.

Steve: If

Philip: you wanted yeah. And and the company's level with my 40 deals, we actually did 200 deals total. And so so we do a lot of marketing for those other ones. And so, it's really hard to scale rehabbing. I'm sure a lot of you guys, you know, you can sell paper wholesaling a lot easier than you can scaling rehabbing.

Right.

Steve: There's a lot fewer people involved. Yep. So let's talk about the rest of your organization. So what does the rest your business look like? With mom's house?

No. Just in general in Saint Louis. You said 40 out of 200

Philip: transactions? 40.

Steve: So what are the other

Philip: Oh, the typical everything else, guys. This what everyone's doing, your typical pay per click, direct mail, a lot of Facebook advertising, with that mandate. This is a good here is a good example. Out of the 200 houses, a 105 of them came from free lead sources. Senior living, real estate agents, and other wholesalers.

Steve: So Which goes back to what we're saying earlier. There's this trend Yep. Of going towards the free Shift. Yeah. Through relationships.

Sure.

Philip: Yeah. And it's what I if you haven't felt my passion yet today, helping daughter Judy, the the business with mom's house, what we're building, if I can put daughter Judy first in every decision, the easy part is the real estate investor. Of course, we're looking for deals that have all those attributes. The senior living industry opportunities a year for houses to be bought in this in this situation. And I think a lot of guys who have been in real estate, even even you, you've bought tons of houses from people moving into senior living Mhmm.

Whether you knew it or not.

Steve: Right.

Philip: Because you dealt with a daughter, Judy.

Steve: Yeah. Well, I mean, one of my best rentals in Scottsdale was that exact same situation. Like, we got a deal and, like, I actually was intending to wholesale it. And my wife's like, now we're keeping it as a rental. She's like, but the margins.

Philip: It's hard to walk away from it. The margins are good. I always say with anything, you don't wanna, you know, skin the cat. I'm not here to say how you dispo any of these houses. My mantra for mom's house or a mandate for the people that work with us, if you're gonna say, I'm gonna be there on the seventeenth and buy it for $70, do that.

Do not leave grandma standing there with her bags packed. And and, you know, the guy who only can wholesale, can't be part of my program.

Steve: Yeah.

Philip: He needs to have other he needs to have the ability to take something down if he if he puts it under contract.

Steve: Yeah. And that's a, it's an integrity issue.

Philip: Yes, sir.

Steve: So Blake Colbert wants to know what is your spend on pay per click right now?

Philip: Well, that's a different business. That's with mom's house at zero, with the monthly, I think we're, like, 4,500.

Steve: Okay.

Philip: Pay per click has gotten less and less valuable. Have you noticed that trend?

Steve: Well, yeah. I mean, I started in 2012.

Philip: Yeah. So when? 2011. Yeah. You killed

Steve: it. And then it changed. No. I didn't kill it because I didn't know back then.

Philip: Oh, you just spent money.

Steve: I spent money and I was blown those deals. Right? I was terrible closer back then.

Philip: Here's my biggest problem with all other types of marketing. Of course, I'm gonna keep harping on what I do. Right? But when you go through all the trouble of doing pay per click marketing, which is what that guy asked, for your troubles, you get to have you and the other top five guys in your market also show up. So it's the most expensive and you get to have competition.

Good job.

Steve: You know, as, Brandon Bateman was here on the show a month ago. He's like, yeah. You know, it's not really hard to find other wholesalers websites.

Philip: No. Yeah. It's right there.

Steve: Yeah. Alright. So then, we talked about deal flow, average fee. What is your what is your why? What keeps you going?

Philip: I feel like I can build a business that will be bringing the best leads in the industry to the right investors. And by doing so, I'm helping that daughter, Judy. The fulfillment of helping somebody through their their it's literally called crisis management. We haven't said that yet. But when family goes through this, it's called crisis management.

I see the weight that comes off the family's shoulders when I buy their house. When daughter Judy realizes bad news, bad news, bad news. Philip's gonna make this one part a lot easier.

Steve: Yeah. And I think that's not emphasized enough because, you know, we talked about in our industry, investor is not a bad term. Nope. Outsider industry, holy smokes. Right?

I mean, if they made a movie about us, we're gonna have, like, it's gonna be the greasy hair Yeah. Back, right, with a loose tie. Like, it's just gonna be Glengarry Glen Ross. Yes. It's exactly how they would

Philip: That's right.

Steve: Envision us. But there's a service here and you can visually see, like, Judy, like, get younger after you solve her problem. Yeah. Yeah. Yeah.

So what is your biggest struggle right now?

Philip: Finding investors that, will take the time and energy to do this the right way.

Steve: Yeah. So what does the right way mean?

Philip: I have training, with mom's house. I wanna get people in every major city in this nation, about 300 cities. Right now, we have about 60, investors nationwide, and we need that to be three to 500. Mhmm. I don't want the most investors.

I need the right investors in every major metro.

Steve: But how would you qualify the right investor? Like, when you say Yeah. There's gotta be an avatar. It's like, this is, like, what this person looks like, guy or gal. This is what this person looks like.

Yep. What does that person look like?

Philip: It's we used to say you need to do 30 deals a year, and that's just in our hopes that they already have a business running. Mhmm. And what I found is the people that actually take the the training and do it the right way are ones that take the system and actually use it, just like anything. Right? They actually use the steps.

My wife came up with a good line. People buy things for shelf esteem. And I don't want people to buy this for shelf esteem just because you bought my program. Mhmm. Don't don't do that.

You know, if you you know I've never heard that term before. Yeah. For shelf esteem. Look what I bought. I'm blah blah blah.

And they don't don't use it. The reason why, Ben and I, my partner, we're gonna have leads coming through the system that I need trusted investors to work. So when we first set out to do this, we could have just as easily hired someone in every city, but I didn't really want 500 employees running around. In this market right now, you know the nuances of your streets. Mhmm.

Right? On the, in Saint Louis, I know the I know the nuances there. I could never, at 43 years old, learn every single city that. So I want you to stay the expert in your city and help these families, through their time of need.

Steve: Gotcha. What are so I think we kinda kinda touched on it, but just to, just for emphasis, Rick Gomez wants to know what are the requirements for this investor. You know? And I'll just kinda qualify this or ask a question a different way. A long time ago when I was still working at Intel.

Right? Like, I just I wanna start a franchise or an I wanna buy a franchise. And I was looking at Jamba Juice. You know how much it was to get into Jamba Juice?

Philip: No. But, I mean, I've heard some crazy stories about what it is to buy a franchise.

Steve: I wanna say it was Like 300? It was a 150,000, like, liquid, which isn't the end of the world now. Right. Was an employee as a w two person. But, also, you had to have, like, 50 successful businesses.

Philip: So very few people would ever

Steve: Very few people would ever qualify for that. So what is the,

Philip: the avatar? You do not have to have a real slice real estate license to do what I do. Could it help in certain cases? I I guess so if your if your goal is to maybe, list or rehab and then sell your houses. The avatar is someone that has empathy.

You asked how do I disqualify people? I think that was the question. Just because someone buys a training course doesn't inherently make them a good person. But when you go through my three days of training, it's such a heavy lift. And we stress over and over and over again that if you don't come in for the right reasons, if you're a transactional person and you don't have love in your heart, they're gonna see through it anyway.

Mhmm. And I don't think that person who knows they're not not coming from the right, they're not gonna take the trouble. They're gonna take the training, but they just won't go out into the field and try to do this. Gotcha. Because the industry will weed them out for us.

Steve: Gotcha. And that makes total sense. The the person that would refer it still has to trust them. It it doesn't even matter if they bought Fellow's course. Nope.

They still need to earn someone's trust

Philip: Mhmm.

Steve: To get their referral business.

Philip: And and it's hard for us to get our investor talk out of our mouths. Let let's just use the best example I can. Let's talk about the juxtaposition between the proprietor of a senior living community and a social worker. Mhmm. That's two of the 10.

Right? That I'll teach you. The proprietor, he's the most like us. She he or she is the most like us. He owns a multifamily, a a very expensive multifamily.

And he you can have a money conversation with him because he cares about the money. Mhmm. Social worker on the whole other end of the spectrum, you will never talk about money with that person. No. Care care care and more care.

Well, sir,

Steve: that's not the reason why they're in the business.

Philip: Not for $12 an hour. It's not. Mhmm. So my point is is in between there is all the other the people, but you can't have one elevator pitch for him and one for this person over here.

Steve: That makes total sense.

Philip: Doesn't not work that way. Different scripts for different, job titles.

Steve: And then Alexis wants to know what is is your daily routine?

Philip: Great question. In Puerto Rico, it's so late there that I get to wake up around 07:30, and I go for a walk with my family. We come home and we do a little, yoga, which is fun to do yoga with your six and eight year old every morning. The teacher starts, in class in our house, and, I start my day around 09:00.

Steve: Awesome.

Philip: Yep. Very cool. And what's weird about living in Puerto Rico is that, you know, on the West Coast, it's four hours earlier. And so I might take a call at at 09:00 at in Puerto Rico. So I have a lot more late hours than I do early.

So, like, my mornings are my time for my family and I.

Steve: That's good. You don't have to wake up at 5AM.

Philip: No. No. Opposite.

Steve: Yeah. That's what I have to deal with over here. That's what, you know, going on vacation to East Coast is like, oh, like, you can totally just, like, sleep in. Mhmm. Because day doesn't start anywhere.

Philip: Nobody's bothering you.

Steve: Yeah. Yeah. Versus, I I learned the one time the first time I went to Hawaii was you need to put your phone off because people will call you

Philip: So far off.

Steve: People will call you four, 05:00 in the morning.

Philip: Yeah. They don't know. It's not it's not really their fault. Right?

Steve: It's not their fault.

Philip: I vote for one time zone. Why can't we do that in this world?

Steve: That would be interesting. So how do you stay motivated when, you know, when things get tough?

Philip: If you're an entrepreneur, you have to learn how to get knocked down eight times and get up nine. Mhmm. Building something as big as we are, we're always drinking out of a fire hose. Always. But this is the life I've asked for.

As an entrepreneur, I don't ever complain about the things you asked for. Right? I've got a chicken and the egg problem. Right? As I have hundreds and now thousands of leads coming through my system, I now need a trusted investor in every city.

Yeah. Do you think my investors and leads that come in are overlapping perfectly every day? No. I have a need, my friend. I have a need to find investors that I trust in every city.

So we can all grow together.

Steve: But I love the chicken and egg, comparison because you either have too many leads or too many investors. And it's never per it's like the it's like the hot dogs and the buns.

Philip: Yep. Yep.

Steve: They'll never they'll never have

Philip: a problem. Right now. Is that that's I'd rather be I don't know. It's like yeah. Right.

I got more buns. Right. Yeah. So Investors want these leads. Right?

The investor's almost the easy part. Coming on your show like this is to raise awareness about where I think the future of our business is going.

Steve: Well, especially we talk about the silver tsunami. Yeah. And then talking about the other thing too, you're talking about, you know, you're looking for these problems. That's that builder that inspired you, that $800,000 tax Yeah. Consequence.

Yep. That's a problem he sought, and now he's gotta solve it.

Philip: Yeah. There's a million daughter duties that I can help nationwide. Until then, I'm not I'm not done yet. Mhmm. I'm not done yet until that happens.

Steve: So Ben wants to know, is this a course or a subscription for mom's house?

Philip: One time course.

Steve: One time course. Cool. And what is your superpower?

Philip: I can find common ground with anyone I meet, and I enjoy it. So it's not fake. When I meet someone, my wife's always like, you know, you talk different to that guy than that girl. I'm like, thank you. She means it negatively.

I'm like, well, thank you. Yeah.

Steve: It's a million.

Philip: You have to be. You have to be to find common ground, and it's it's my way to relate to someone. It's not a it's not an act. Mhmm. I'm not gonna talk well, I'm not gonna start being you know, I I don't talk to people the same way because they're not the same person.

Steve: Right. Well, it's interesting because this is, you know, before we get into this business, before you understand personalities, you know, we have friends that were high eyes. Right? We didn't know it. We didn't know what it was called.

Sure. And they're the ones that they were a different person in different environments. And you're like, that guy is not authentic. It's like, no. Like, he's just communicating with people how they wanna be communicated with.

Philip: That's right.

Steve: But you don't learn that until much, much later. But that kinda goes back to my point where I was when you were saying earlier, you didn't know if you can get leads on your own.

Philip: And I

Steve: was like, the Philip I met was talking to freaking everybody. Yeah. Was not afraid to be a talking billboard.

Philip: Right. No. Not at all. Yeah. It was just in an industry that I didn't know.

It was something foreign.

Steve: What is the greatest lesson that you've learned?

Philip: It's a broad question. Right? The greatest lesson my dad would say, don't eat yellow snow. Can we do dad jokes on here? The greatest lesson I've ever learned, I think about your great grandmother's great grandmother a lot.

What do I mean by that? What was her name? You don't have to answer. This is rhetorical. Was she happy?

Did she shoot somebody? Did she pay her taxes? Was she loving? We don't know anything about her.

Steve: Mhmm.

Philip: My point to that is we matter for this long in this world, so why not spread joy and love with the people around us instead of being, so this world is so negative. We want to judge others. We want we want to feel better by hating on others. That needs to change. Yeah.

And so my point about your great grandmother's great grandmother is that she mattered. Her hopes and dreams, everyone has those, and so we met her for very long. And I hope it gives people reason to to maybe be happier.

Steve: A little more zen.

Philip: A lot more zen. Can we have a lot more, please? I think we need it. This world the the past year has proven, what's important to a lot of us. And I think, our our investor world, we look at everything as transactional.

I put this money in. I get this money out. Boom. Boom. Boom.

Mhmm. What I'm talking about is something different. It's relationships. But it's also something that's, sustainable for the next ten to twenty years.

Steve: Gotcha. And what is your favorite best or most interesting failure?

Philip: Which one? Got plenty of those.

Steve: I think you gotta pick one.

Philip: Okay. Most interesting, I already talked about the Lamborghini house where I lost a couple $100. So that's just money. That's replaceable. Mhmm.

In the early two thousands, I bought a domain name. It was pimpmyride.com. There was a small TV show. You might have heard of it, around that same time, and about a million and a half people a month would go to the site. I didn't capture one email.

I didn't put hardly any content. I just put it was called Google AdSense at the time. Adwords AdSense. Yeah. So people would show up there.

They'd go, click. And I'd get paid Mhmm. Thinking it would always be that way. I didn't push that traffic to another site. So in spectacular fashion, as the Google Slaps and things changed over time, Viacom ended up taking the site.

I didn't get sued, but they took the site through a trademark, and I didn't fight it because as my trademark attorney said, you're a kid and they're Viacom. I thought that was pretty true. Like, okay, we don't need to worry about that. And so,

Steve: You're a squatter. Well, I

Philip: owned it.

Steve: I know. And But they called them domain squatters.

Philip: Yeah. And yeah. And though it's funny, their trademark is for Viacom's Pimp My Ride, was what it was called. I'm like, well, wait a second. That you know, it's like one of those things, like, well, maybe I could.

But here's the thing, at that point in my life, it wasn't the fight I wanted to have. So it's a spectacular, you know, had I taken that traffic and pushed it to Phil's Deals on Wheels or something, you know, I might have had something sustainable. But life is ever changing, so try to embrace it, I think. Yeah.

Steve: I love that. Is there a book you've gifted more than any other?

Philip: The Big Rich. It's called it's about the how the oil industry has shaped our country. You talk about true entrepreneurialism when you're digging in the dirt and you fail over and over and over again, trying to find that oil.

Steve: Gotcha. Have you watched, The Men Who Built America?

Philip: Oh, well, sadly, I've probably watched it four or five times. I've recorded them and saved them. And if we're ever in the mood, I love to play them. Yeah. I've seen it multiple times.

Steve: Yeah. I mean, for you guys that are listening to the show, if you guys wanna get your, you know, that red blood American red blood flowing

Philip: Yep.

Steve: That'll do it. That'll do it.

Philip: Yep. One of my favorite shows. Yeah.

Steve: Alright, guys. Please, if you guys have any any other questions, please do not be afraid to ask. So oh, there you go. Carlton Hooks, a, he wants me to put in a good word for you or put in a good word for him to you. And Carlton, I don't think I'm gonna do that because I'm interested in doing this.

And then what do you think about three d

Philip: printing homes? The well, I mean, with anything, affordable housing is one of the biggest problems we have. One of the reasons why we're successful with Mom's House is that most Americans, if they what's the if they have a $400 problem at their house, they don't have the extra funds to pay for it. Mhmm. And so in the time you need money for mom's house, the last thing you wanna do is go rehab it.

Where's that money gonna come from? And so what's happening right now in senior living is everyone's going after the private pay community and letting Medicaid just figure itself out. So one of Biden's big initiatives, if you guys haven't heard this or not, he's trying to get rid of the $10.31 exchange to push it back into get this. There's billboards in Saint Louis. Take care of grandma and get paid.

What a world. They're gonna it's cheaper for them to pay the niece or the granddaughter to stay with nana than it is to put her in twenty four hour care. So I but he said about the three d printed homes. That was a long road to get back to his answer. But, yes, we need that because we need housing.

And the term affordable housing is our biggest problem that we're ever gonna have. There's way you know, you see all these big, beautiful Taj Mahals being built. That's one part of the market. The vast majority needs something much more affordable.

Steve: Right. So

Philip: I love three d homes. I hope I hope it fixes our problem or helps.

Steve: Expand on this paying the niece thing. What's happening here? Paying the niece to $10.31?

Philip: Oh, so Biden wants to keep because of the silver tsunami, the longer they can keep it's an actuary table. The longer they can keep them in the house before they go to twenty four hour care, which cost them x amount, it's cheaper for them to pay this person per hour and give them a job to take care of their own loved one than it is to put them in twenty four hour care.

Steve: What does that have to do with ten thirty one exchange?

Philip: He wants to take the ten thirty one exchange and get rid of it and use that money, the the the taxable the money that's gonna come from that being taxed now and put that back into this.

Steve: So get rid of the ten thirty one exchange. Use that money Yep. To pay the niece. Yep. Take care.

Yep. Got it. Interesting.

Philip: Oh, think about that fight. It's not good news for our our world. It is

Steve: not good news for our world. But I mean, the the the problems I have with it is not necessarily getting rid of things or like having an opinion on it. For me, I just don't want things to change. Right? Like, I built a business model based on this set of rules.

Mhmm. And then depending on who's president, the rules change.

Philip: So fortunately, in forty eight years you're not retired yet, Steve. So hopefully, it's like a stock. Right? Hopefully, all entrepreneurs, we all adapt. Right?

And so We

Steve: adapt, but we also set plans.

Philip: Yes. Well, I hear you and I agree with you.

Steve: So that's what's aggravating. Alright. So Larry Bush, right, who you know, wants to know how he can move to Puerto Rico without making me upset since he runs my operations.

Philip: Larry, you know, you just get a Southwest flight and you head out there and I'll show you around and we'll get you. It's, if Larry wanted to, be a consultant for your business back here, it's a possibility for him.

Steve: Yeah. Yeah. I'm not excited about it, but I understand it. I understand it. Alright, guys.

So, if this episode was helpful, please like, subscribe, share, comment. This helps me get the message out for everybody else. Right? We're on a mission to create 100 millionaires and a rising tide does lift all boats. So, last thoughts you wanna leave the listeners with.

Philip: I really like what I do. I've been in real estate for twenty twenty one, twenty two years now, and it's the most fulfilling leads I've ever worked and are the best real estate leads. That's a weird combination. Right? Mhmm.

The best and the most fulfilling. It's rare that that happens. It's it's rare to have something new in real estate, and I don't think seniors moving into senior living is rare, but you've not heard people in the senior living or in the real estate world, our world, talk about it as much as it's, you know, going to happen. So I'm here to shine a big bright shining light on, guys. This is worth your time.

You're gonna do it wrong if you just try it on your own. So just go to mom'shouse.com/steve, and we'll talk about it. It's not right for everyone, but there's there's an investor in every city that would be perfect for this.

Steve: Awesome. Perfect. Alright, guys. Thank you for watching, and thank you. This was a blast.