Drop Out to Millionaire

Steve Trang: Everybody, thank you for joining us for today's episode of real estate disruptors. Today, we got Brian Davila with Rocket Cash Offer, and he flew in from Ontario, California to talk about how you went from high school dropout to millionaire flipping houses. 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 gonna mission to create 100 millionaires. One question I get a lot is how do I become one of the 100 millionaires? And the information on the podcast alone really is enough for you to become one in the next five to seven years.

Take consistent action, and you will become one. When you hear a nugget, please type in the comment section. After the show, identify your single identify your single biggest takeaway and focus on just that for the next seven days. If you get value today, please tag your friend below, share this episode right now. That way we can all grow together.

And this is a live show, so please ask your questions for Brian to answer. You ready?

Brian Davila: Let's go.

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

Brian: Alright. So I'll bring it back a little before that. So, because of the title of the video. So, I was born in Puerto Rico and, I moved to Las Vegas when I was, like, five years old. Grew up with a single mom.

And, around 15, I started, really struggling with school and kinda like babbling or doing drugs. So around like the ninth or tenth grade, I just stopped going to high school kind of started working. So I did that until my early 20s. And then, I was working graveyard at the Palms Casino in Las Vegas.

Steve: And then I was working at the daytime at

Brian: a pool club in Las Vegas. And And then I was working at the daytime at a pool club in Las Vegas. And, I also had a barbershop at the same time. So I was all over the place. And the barbershop was failing.

Like, it was it was literally just losing money and I knew it was about to close. And, I was sitting in there one day just like, man, like, this sucks. Like, I can't believe this is about to fail. Like, I've I invested, like, $10 into this. And, this dude drove up.

I saw him get out of a nice car. It was like a Mazda. And, at the time, I think I had, like, a Dodge Intrepid, like, a old beat up car. And he had a big watch. He had, like, a Nixon watch.

And I was like, damn, bro. Like, what do you do? He was like, oh, I do real estate. I was like, damn. Like, how much do people in real estate make?

It's like around 50 to 60,000 a year. I was like, damn. Like, I work two jobs, and I don't think I make that much. So, he referred me to, Key Realty in Las Vegas and, I started off as a real estate agent.

Steve: So this is gonna be really personal. Of course.

Brian: Dabble. What does dabble mean? Okay. So I I kinda downplayed it. I was addicted to drugs.

I was literally, like, I wanted to do it all day every day. So hopefully some people can relate to this, you know, if they're listening. Like I started off in a very, very bad place, like mentally, spiritually, financially, all that stuff. But, I think real estate really well, it was like three things. Real estate, my wife and my kids really, like, got me to to change my habits.

Steve: Well, and the reason why I'm asking this question is because there are people, right, that are that are listening that are very wide different spectrum of where they are, of the training. Right? Yeah. You have guys that are crushing it. Mhmm.

You have guys trying to do their first deal. We got guys that are, you know, like, is college right for me? And in that subset of all of it, there are some people that also have their own demons, their own battles.

Brian: Probably about everyone, probably. Right?

Steve: And so I think it's important, you know, to to to share, like, if you had these battles that Yeah. A, you can't overcome it, and b, there's something, you know, on the other side when you do.

Brian: Yeah. So I I I just I always tell people too when I first meet them. I'm like, dude, I'm nothing special. I'm literally not, like, better than anyone else. Like, I was so hooked on drugs.

Like, I wouldn't even I'd wake up, smoke. Mhmm. Go to the gym, smoke. Do this, smoke. Do that, smoke.

On the weekends, get completely drunk. Like, I lived that lifestyle for a long time. Mhmm. So that's why I tell people, like, hey, you know, if if I can come back from that, then you could come back from whatever you're going through.

Steve: Yeah. And then, you said the Palms Casino? Is that where the Rio is? It's across the street. Yep.

Okay. So it's not the one at the Rio. I was just thinking, like, you know, my visit I visited there a couple of times, you know, trying to play some poker. Okay. So you met this dude who appeared to be balling.

Yeah. Making $5,060,000 a year. Yep. And you kind of had that Wolf of Wall Street moment, like you show me what you do. Show me your check, and then I'll work for you right now.

Brian: Exactly.

Steve: So you went and got your realty license at first. First. Yep. Q Realty. What year did you get your license?

Brian: I think it was like 2016, I think

Steve: it was. Okay, so five years ago. Yeah. So five years ago, you go get your real estate license,

Brian: and

Steve: you love it happily ever after.

Brian: No. So so what happened was when I was at Key Realty, we had a teacher, his name was Teddy. He was a character, like literally a character out of the movie. And, he was a big, bigger dude, really big, and, old, and he was like, yeah, you know, my first year, I made a $100,000. And I'm like, what?

You made a $100,000? Like, I'm used to, like, people making 30,000. Like, I grew up with a single mom. Like, she was a cocktail waitress. There was nothing like I bought my first car off the street for, like, $1,500.

So I'm like, you made a $100,000. Like, what is going on? And that's what really, like, got me motivated. And then, he had a he had a a speech at the end of one of the classes, and he was like, you know, you know, you could do whatever you set your mind to, you know, one of those kind of speeches. And after that speech, during the speech, I left and I went and got a BMW because I felt like realtors needed a nice car.

Quit one of my jobs, the the Palms. And then, once I got an escrow with my first deal as a real estate agent, I quit my other job at the at the

Steve: You're fessing out.

Brian: Yeah. I I literally quit. I didn't even, like, show up. I was like, I'm out. Like, I'm done.

I'm like, I'm done cleaning up. Because I at the Palms, I used to just clean the bar. So it's not even like I was having fun. Like, I was just cleaning the bar from 10PM to 6AM. And then I would sleep in my car or go home and sleep, and then I would get up and go to work at 11AM in the hot sun.

So it was like You

Steve: really are back?

Brian: Yeah. Pretty much. Yeah.

Steve: Gotcha. Okay. So you go and get your first deal, 2016. So, were you on someone's someone's team? Or Yep.

100%.

Brian: Yeah. I I joined someone's team. So once I got my real estate license, I was like, okay. I don't know nothing. Like, I don't know escrow.

I don't know nothing. Like, I I don't have any idea, and you don't really learn much in real estate school anyways. So I was like, what do I do? And then I I heard about this guy named Craig Tan. So I looked him up on Zillow, and then I seen that he had a bunch of listings.

And then I seen that he had a a few girls that worked for him on his team. So I'm like, well, this guy's balling. So Yeah. I got his address from Zillow, and I walked into his office, and I seen him walking by. And I was like, hey, Craig.

My name is Brian. I really wanna work for you. I don't know anything about real estate, but whatever you tell me to do, I'll do it. And he was like, okay, come back tomorrow and we'll do an interview. So then I left.

I went and bought dress clothes because I didn't have any, like I bought some, like, express shirt and, like, some pants. And went to the interview, and my whole pitch was like he was like I was like, hey, dude. I don't know anything. But if you tell me to do something, I'll do it Mhmm. And I'll do it in a hurry.

That's it. And he was like, okay.

Steve: And I think that's a great message actually. You know, it might seem like, you know, you you had no idea what you were doing

Brian: Yeah.

Steve: But it's that, look, I don't know, but I want to help you. I want to work with you. I want to learn from you. Mhmm. Show me the ropes.

Yeah. And I think if there were enough people with that message, right, when they're reaching out to a mentor Mhmm. That would be incredibly helpful. Because I get some messages. It's like Yeah.

They're like, hey, can you call me, or can we jump on a call? No. No. I can't just jump on a call. I have other things going on.

And so the fact that you walked in with, like, I don't know what I'm doing. But I'll do whatever you tell me to do. You're more likely to get help from a mentor.

Brian: Yeah. And I would have done it for free. And I didn't negotiate my splits. I didn't I literally was like, dude, you tell me to freaking walk down the street. I'm a walk down the street.

Yeah. So he told me that he was like, cold call and you'll be successful. Mhmm. So I was like, okay. So that's what I started doing.

Steve: So you just started hitting the phones?

Brian: I started hitting the phones. I literally, I got RedX

Steve: Mhmm.

Brian: And, got my cell phone, like, dialed. The first person that picked up, they're like, hello. I was like, oh shoot, I just hung up. So for those of

Steve: you guys who don't know, RedX is kind of like, not a power stream. I guess, is that the closest? Like a property radar.

Brian: Yeah. Yeah. Right.

Steve: It's like a property radar. You find out people in foreclosure, and you have their phone numbers.

Brian: It was expired. I wasn't even calling foreclosures. I was just calling expired listings.

Steve: So you were cold calling right off the bat. How long was that journey as far as the traditional side?

Brian: I think was till like 2018. And then, 2018, the very first thing that I did once, because I had two years of tax returns, I bought a house for my mom to live in because her house was like, in foreclosure or we had, like, do a short sale or something like that. So, that was, like, my first, like, investment, I guess, was buying her that house to live in.

Steve: Gotcha. Mhmm. But that was still on the traditional side of the business?

Brian: Yeah. Yeah. I was still just a realtor.

Steve: So your first two years in this journey, you were a realtor. Yep. First and foremost.

Brian: Yep.

Steve: When did you start, you know, kind of like looking at other options?

Brian: So, so when I started in 2016, I was in Vegas, and then I met my wife, and then I moved the next year. Mhmm. And then when I was in California, I was like, man, like, there's not a lot of expired listings. Where in Vegas, there was a lot. So I was like, I don't know what to do.

Like, I moved over here. This is not working. So then I was on YouTube, and I saw NODs. So I was like, alright. I'm a call NODs.

Started calling NODs, and then I started doing short sales. And then I did a few I did a I don't know, a few a bunch of short sales, but they take long, like, six months to a year. Yeah. Mhmm. And I was negotiating them myself.

Steve: Oh, wow.

Brian: Yeah. So I would call every every week pretty much for an update and, like, what do you need? You know, what's going on? And, I noticed that investors kept buying them because they were, like, beat up houses.

Steve: Mhmm.

Brian: So then I was like, okay. Like, these people keep buying them. Like, how much are they making? So I kept asking, like, hey. How much do you make?

Like, how much are you making on this? And they're like, oh, don't worry about it. Like, you're killing it. Like, just keep doing what you're doing. You're gonna be a superstar.

And I'm like, okay. That's a red flag. So then, I ended up speaking to one guy in my office that was pretty cool. And I was like, dude, like, how much are you making on these flips? He was like, oh, I make you know, prices have gone down, but I I've made around 60,000 average.

I'm like, dude, I just did this short sale for this $150,000 house for six months to a year. Mhmm.

Steve: And

Brian: I'm paying 20% of my commission, and I gave, you know, stuff back to close the deal. And you're making $60,000. So that's what initially sparked my my interest into being an investor.

Steve: Got it. And then you didn't just stop though, to short sales. No. So did you start trying to buy your own short sales? Or what was the next thing?

Brian: No. So I I always, try to be like, do things the right way. So I you can't really you're not supposed to buy your own short sales.

Steve: You're not supposed to.

Brian: Yeah. You're not supposed to. So I didn't try. Start buying from, like, wholesalers.

Steve: Got it. Yeah. And then at this point, zero flipping experience?

Brian: Zero. I bought my first flip with no experience at all.

Steve: Yeah. Okay. So then how was that journey?

Brian: So my very first I saw I kinda bought, like, three at the same time because that's how I am. I'm like, I'm when I wanna do something, I'm like I mean,

Steve: this is by a BMW with no commissions.

Brian: Yeah. Yeah. But, so my one of my first ones, the wholesaler was selling it with a tenant. And, I was like, okay, you know, I think the numbers work. I had no calculator.

So I I thought about flipping for so long, but I never did it.

Steve: Speculating or researching

Brian: or Just thinking. I wasn't just Dreaming. Dreaming, yeah, pretty much. I wasn't smart enough to be like, let me call a whole, hard money lender. I was just like, I don't know how much they cost.

Steve: Like, I

Brian: was just stuck at that point. So, so around, I think, '28, 2019, I was like, you know what, I'm just gonna go all in. I'm gonna just figure it out. And, bought my first deal with a tenant in it. And, he was supposed to move out, but then, like, the day we closed, I called them.

I was like, I think his name's Larry. I was like, hey, Larry. Like, just to let you know, I'm the new homeowner, you know, so when do you plan on moving out? He cursed me out, said he's never moving out, you know, said it was his house, all this nonsense. And, yeah.

So I had to go through the eviction process in California, which takes forever.

Steve: It's a lot of fun.

Brian: A lot of fun. But then that house didn't need that much work. So I was like, alright, this is good, you know. I paid a I paid a guy $15,000 just to paint the house. It was like a thousand square foot house.

But, ended up, you know, everything went well, sold it, and yeah, that was like one of my first flips.

Steve: Is this around the same time that you and I initially connected?

Brian: I think so. Yeah. Yeah. I think around '28. Because I

Steve: remember you drove you drove out here.

Brian: That was that was that that was before. Yeah. Yeah. That was before. I drove out here to for the all in event for freedom.

Steve: Right. You drove out here. Pick our minds.

Brian: Yeah. Yeah. Just showed up to your office, I think.

Steve: And I asked you some questions, but I was like, yeah, sure, I guess.

Brian: I forgot about that. Yeah. I did. I kinda just showed up to your office. I'm like, hey, you want a mastermind?

Could I post this on Instagram? But yeah. So but then, like, I I did a few flips and then I was talking to Ryan Mhmm. Ryan Pineda. He wasn't mentoring me yet, but I was already, like, picking his brain.

Mhmm.

Steve: And Why? Because I think you drove down from Vegas Yeah. That time, that trip.

Brian: Yeah. I no. No. I drove from California. Because I was already from California at that time.

But, yeah, around 2018, 2019, I started picking Ryan's brain Mhmm. Because he didn't have a a following. So I was like, alright. This guy's like not, you know, gone up yet. Right.

So, started picking his brain and then he started kinda helping me and and that helped a lot in the beginning.

Steve: So let's talk about, or just real quick, so you're cold calling. Were you using Mike Ferry systems? Pretty much Mike Ferry.

Brian: Yeah. So my my broker, who who was my first mentor, he was a Mike Ferry agent.

Steve: So Craig Tanner or whatever.

Brian: Yep. Craig Tanner.

Steve: So for those of you guys who don't know, like, Mike Ferry, he's a cold calling monster. Yeah. Right? And someone that actually I I tell, Brandon Daniels, he's like a cooler, younger version of Mike Ferry.

Brian: He's pretty much, yeah, the new Mike Ferry. Yeah.

Steve: Right? Yeah. And so, alright. So you go and you start flipping houses. Mhmm.

You're the kind of person that just kinda goes all in.

Brian: 100%. Yeah.

Steve: You don't dabble. Okay.

Brian: I was like, I'm a go broke. My whole mindset was I'm gonna file bankruptcy or I'm a be a millionaire. Either way, I don't care. I swear to I was like, I don't care what happens. I'm a just put all my money in and if it works, great.

If it doesn't, then I I tried.

Steve: Alright. So this is definitely not recommended for you guys. Divide free flips at the first at at the first flip. Just do one at a time initially. Yeah.

Yeah. So what did your wife have to say about all this?

Brian: Dude, my wife you know, I love my wife and obviously she I couldn't be here without her, but she was like, why why are you gonna buy that house? It's like ugly. Like, why are you gonna buy that house? It's in Moreno Valley. Like, that's a bad area.

But I'm like, yeah. But, you know, if we flip it, we can make money. And she just she didn't understand. So I Was she freaking

Steve: out about

Brian: all this? No. Because I've always, I've always been, like, the financial leader or whatever. So she never had to really like worry about it.

Steve: Yeah. I'm just asking this because in my own personal experience, right,

Brian: like my

Steve: wife and I, we just move at different speeds. Yeah.

Brian: Me and my wife too. Yeah.

Steve: I'm not, you know, buy three flips at a time, but I'm definitely going hard. Right? Yeah. So for for us, like if we hit, you know, we hit our goals, and then we set our next set of goals, and my goals are like 10 x what her next goal is. Right?

Yeah. And it kind of drives her crazy. That's why I was asking about that.

Brian: Yeah. Okay.

Steve: So you pay $15,000 Uh-huh. To pay in a thousand square foot home.

Brian: Yeah. Yeah. Overpaid.

Steve: That's not California prices. That was getting kind of, highway robbery prices.

Brian: Yeah. Pretty much.

Steve: Yeah. Okay. And so was that you didn't use the same guy for all three houses?

Brian: No. No. So one house, was just he was just like a painter. He was just referred to me. Another house, I partnered with, the investor that told me about the 60,000.

Steve: Mhmm.

Brian: So I actually was able to buy that house with nothing, literally nothing out of my pocket, with me. And that's kind of what I do a lot of now. But, it was a good deal. Like the ARV was like $4.50 and we got it for 300.

Steve: Mhmm. And

Brian: then he was trying to like give me a wholesale fee or whatever, a relist, but I was like, nah dude. Yeah. I want a JV or I'm a just find someone else.

Steve: So the one the first one that you spent 15 ks, did you make money on that deal? Yeah. Yeah. So you made money on that deal. That's different than the eviction one?

Brian: No. I made money on that deal.

Steve: Okay.

Brian: That's the eviction one. The 15 ks to paint it.

Steve: So you had to evict the guy and then pay $15,000

Brian: Exactly.

Steve: And you still made money on that deal. Yep. That's fantastic.

Brian: Yeah. I got lucky.

Steve: Right? Yeah. Okay. So you did three. Uh-huh.

A little crazy. Mhmm. What'd you do after that?

Brian: I joined I did I ended up doing, like, another couple that year, and I think that's when I joined Ryan's coaching.

Steve: Mhmm.

Brian: Which I think was, like, in 2020. I don't yeah. I think it was 2020 is, like, when I joined Ryan's coaching.

Steve: Gotcha. Okay. And so you didn't really do that many. You did, like, between five Yeah. And eight.

Yeah. Probably five

Brian: and six. I don't even think I did eight.

Steve: Okay. So you you do that.

Brian: Yeah. Because I started Ryan's coaching 2019, I remember, at the 2019.

Steve: And then that propelled you like, what what what did you gain there? And I'm asking this question because there are a lot of other people that I'll never pay for coaching.

Brian: Of course. I talk to them all the time.

Steve: Yeah. So what did you have any hesitation? Because you're an all in kind of guy. No. No hesitation.

Alright. So you go all in and you sign up for coaching. What was, what was that experience? Yeah. Especially because that that was a new program for him.

Brian: It was a brand new program, but I think, I had faith and I when I first saw Ryan, right, like I said, he had no following. Mhmm. So it wasn't like, oh, he's his big guru. So I was talking to him already and I'm like, okay, this guy's legit. And he was even like, he didn't have to.

He's like, here's my P and L. I'm like, damn. Like, okay, like

Steve: Straight to the point.

Brian: Yeah. Yeah. So super straight to the point. So I was like, okay. Like, I could again, I could just try to figure it out on my own or I could just pretty much copy what he's doing.

Steve: Mhmm.

Brian: Like, pretty much that's what I'm doing. Just completely copied his business model. And, so I paid the money and I was just like all in.

Steve: Okay. So you joined this program. Mhmm. And then you're still licensed?

Brian: Yep. I'm still licensed today.

Steve: How much traditional business are you still doing?

Brian: Zero. Like I haven't done nothing this year. Zero. No. No.

I had one buyer, but I couldn't come into escrow because it's too hot.

Steve: It is a crazy market. Yeah. Okay. So now you're all in, you're 100% flipping.

Brian: Yeah. Well, flipping and buying rentals.

Steve: So flipping and buying rentals. In wholesale?

Brian: A little bit. Very little.

Steve: Okay. So, so let's talk about the flipping first, and then we'll talk about the buying rentals. Mhmm. So how much flipping are you doing?

Brian: Right now, I have eight flips going on, and then I have five rentals and two wholesales. But one of them one of the wholesales, I don't know if it's gonna go through. But, typically, I wanna do somewhere between thirty and fifty flips a year. Mhmm. And I would like to average around a $40,000 net per flip.

Steve: So 40,000. And that's Net. That's, easy is that the word I'm looking for? That's that's something that can be done consistently.

Brian: A 100%. Yeah.

Steve: Okay. And you're flipping in your market? California. California and

Brian: a little bit in Las Vegas.

Steve: Gotcha. Does Ryan have any problems with that?

Brian: No. No. Dude, Ryan Ryan will literally, like, he gives everything.

Steve: Yeah.

Brian: So, yeah, he's not like that.

Steve: Okay. So how are you sourcing your flips right now?

Brian: Wholesalers, realtors, MLS, texting, and I have some cold callers, but they're not a big source.

Steve: Okay. So wholesalers? Mhmm. How are you sourcing it from wholesalers? How are you connecting with wholesalers?

Brian: So that's why you have been a part of my, you know, success because when I started watching your podcast, you know, that took me to the all in event, and then I met wholesalers there. And then just, like, your little community Mhmm.

Steve: I

Brian: meet a lot of people through there. So you've been a a big part, and just networking, Instagram, Facebook, stuff like that. Okay.

Steve: That's beneficial. Well, that's awesome. What about realtors?

Brian: How are

Steve: you connecting with realtors?

Brian: That I since I was a realtor for so long, I was already, like, networking and meeting so many different realtors. So at the end that ends up like paying off a lot, because I've been, you know, a realtor for years.

Steve: Yeah. So yeah. So your realtor is now sending you business? Yes. So I think because that's one that I think is always fascinating to me that anyone is doing deals off the MLS, which is going to be my next question.

But anyone who is doing deals off the MLS, in this crazy market, the fact that they can still do it is really impressive. So Yeah. What is your message to a realtor Mhmm. To get them to sell to Brian Yeah. Versus all the other potential buyers in your market?

Brian: Well, one, I'm, like, super giving. So I'll, you know, JV it flip fifty fifty. A lot of my deals are like that. I'm like, dude, if you bring me the deal, I'll fund it, and we'll split the profits. You know, we'll disclose it and make sure everything's done correctly.

But, I'll tell them you could pick the paint. You could do whatever you want, or you could just let my crew do it, whatever you wanna do. So that's one reason a lot of

Steve: That's a super attractive option.

Brian: It is. Because I wish I had that option when I first started. Yeah.

Steve: I wish I had that option too. Yeah. Because what we typically offer is both sides.

Brian: Mhmm.

Steve: Yeah. Which is great Yeah. But not as great as $50.50.

Brian: No. It's not. And I was I was that realtor before that would get those calls. I'd be like, hey, Brian. I'll give you the opportunity to represent me.

Just sell me this deal. And I'm like, oh, you're giving me the opportunity. Thank you so much.

Steve: Yeah. And the other thing too is like, I know on the realtor side Mhmm. They're like, yeah, you know, I'll let you I'll let you list it. Right? Mhmm.

But you get burned a handful of times. You're like, okay. Yeah. I'm never doing that again. Yeah.

So like all these other newer flippers trying to get deals from realtors

Brian: Mhmm.

Steve: Like, realtors are jaded because of all the flippers that lied to them. Yeah. And so I actually went so hard on this Mhmm.

Brian: Where I

Steve: was like, I will send it to you, but you're paying my 6% today. Right? Okay. I'm double ending this deal Yeah. And you're paying me my listing commission

Brian: That's smart.

Steve: Now Yeah. And then if you decide not to list me later Yeah. Right, that's your problem. But you're paying me that that listing fee now. Yeah.

Right? That's the line I kinda drew. So I think this other option Uh-huh. Like, let's split it fifty fifty. I think it's a very attractive option for anyone listening right now.

I'm trying to get deals from, from realtors.

Brian: Yeah. And I think, very aware of my reputation. So California, even Las Vegas is kind of a small market, especially in SoCal. It sounds crazy, but if you just burn people all the time, you're gonna get a reputation and Yeah. I don't wanna, like, have a bad reputation.

So I'm very honest with people. Like, I'll say, hey. I can JV this. Or I'll tell them, like, hey, dude. There's not enough spread.

I give you this or we could do this, but I can't JV it. Mhmm. So yeah.

Steve: Yeah. No. That's that's awesome. Alright. So wholesalers, realtors, and then you said MLS.

MLS. Yeah. So what are you doing to separate yourself separate yourself set yourself apart from other people trying

Brian: to buy off the MLS? So number one, you have to believe that it works. Mhmm. Because sometimes I tell people that and they're like, that doesn't work. So then they're already they're already lost.

Steve: I know it works in Phoenix. I'm still surprised it works in Phoenix. Yeah. But do recognize it does work in

Brian: Phoenix Exactly.

Steve: Which is one of the craziest markets.

Brian: It works in Vegas too.

Steve: Mhmm.

Brian: Like, the the Bokeley brothers in the Future Flipper program, they've made over $1,000,000 this year off the MLS.

Steve: Really? Yep. So Got it. Wow.

Brian: Yeah. So even so, it's just the same thing as like calling expired. It's like once a new, you know, distressed property comes on, you call, try to build report, and then figure out what is it gonna take to get that deal. Mhmm. Or even some listings have been sitting for a while, where it's been a hundred and twenty days just picking up the phone and calling.

It's just like if you tell me to cold call, I'm like, nope. It doesn't work. Well, yeah, it's not gonna work.

Steve: That was not gonna work with that attitude. Yeah. So I guess you're is there is there a specific criteria on the MLS that you're looking at?

Brian: To be honest, no. I mean, obviously, like,

Steve: if you Would you call something that just hit the market today?

Brian: Yeah. Yeah. So I would hit the market today. Any, like I don't even really go after short sales. So if I see like a probate or a trust or maybe a foreclosure, but usually, to be honest, they're not even like distressed sales.

They're just like beat up or sometimes the agents aren't just that good of an agent. So, yeah, it's pretty much you just have to put in the numbers and and put in offers. Got it. If you put in a 100 offers, you'll get one. You'll get one.

Steve: We don't buy a lot of off the MLS, but we did one deal. I'm convinced they used an iPhone four last year to take the photos. Yeah. And that was a great deal. We bought it for 200 and and relisted it, like, a week later for $2.70.

Brian: Yep. And there's some there's some agents who who put one picture up Yeah. And then I'll call, I'll get it locked up, I'll show up. I'm like, this house isn't even bad. Yeah.

But they're just they're not good agents.

Steve: Right. Yeah. Okay. So no filters whatsoever. You're just calling them.

Mhmm. Building rapport. Yeah. Alright. And what was the other, what was the other method?

Cold calling and texting. Yeah. Mhmm. Okay. So you're still texting?

Yes. What platform are you using? Because I everyone's freaking out about texting right now. Not everyone, but a lot of people are.

Brian: Yeah. I've heard rumors that was gonna go away or something like that.

Steve: Yeah. Well, I mean, they're saying probably July. So

Brian: Yeah. Well, it doesn't really matter to me because I don't it's not that's not even a huge part of my business. Yeah. But, I use Batch.

Steve: Batch? Yeah. Okay. What would you say, going back to calling realtors Mhmm. The impact you had from the Mike Ferry co calling program Mhmm.

And all your other co calling experience, how much has that helped in you calling realtors?

Brian: It's like, it's everything. It's everything. Yeah. Learning that never like the script is special, but just like understanding, asking people questions and asking that second or third question, you know, is so important.

Steve: What's the second and third question?

Brian: So like, if I'm talking to you and you're like, Oh, I'm moving to Florida. I'm like, Okay, great. You're moving to Florida. How much do you want for your house? Like, that's not, you know?

Like, Okay, you're moving to Florida. Why are you moving to Florida? Oh, my daughter's there. Okay. Is there anything happening with your daughter?

Oh, she's having kids. Oh, okay. When is she having kids? You know what I mean? Like asking that second, third, fourth question.

Is I got that from the Mike Ferry system.

Steve: Right. Listening. Listening. Yep. Listening to their answer Yeah.

And ask another question based off of that.

Brian: Yeah. Yeah. Pretty much.

Steve: Okay. So that's flipping, and then buying and holding.

Brian: Mhmm.

Steve: Are you buying and holding in California?

Brian: Yeah. California and Las Vegas. Really? I know. I know.

But my my buy and hold is a little bit different, and I wanna diversify and start buying some cash flowing properties.

Steve: Mhmm.

Brian: But, and I'm still getting, like, houses that I could do the 1% rule, which sounds crazy. But Really? Yeah. So, let's just say

Steve: Is there a single family?

Brian: Single family. Yep. All all single family, and I own one duplex. But I I wanna get more multifamily now, but I'm still able to to do the 1% rule, but obviously, I have to buy it below market value or else it's not gonna work.

Steve: Yeah. Where are you buying that the 1% rule applies in California?

Brian: The Inland Empire. Really? Yeah.

Steve: That is fascinating. Does it not scare you at all with, a, being in a blue state Yeah. And then b, with how hard they went on the eviction moratorium.

Brian: Yeah. It's I'm still going through it right now. Yeah.

Steve: So you have properties where you're not collecting rent?

Brian: 100%. Yep.

Steve: And you can't evict them. Yep. And that's not enough to discourage you.

Brian: Nope. Because I'm doing it for the long play.

Steve: Okay.

Brian: I don't care if they pay rent right now. That's that's why my my model is a little bit different because I have high income. Mhmm. So if I make an extra extra $500 a month, that's not gonna really do anything for me. Mhmm.

So even if I make, like, $2,300, but it's appreciating a $100,000 literally in, like, the last two years. Mhmm. You know, I'll take that.

Steve: Got it. Okay. So depreciation is more important Yes. Than the cash flow.

Brian: Mhmm.

Steve: And the depreciation doesn't hurt.

Brian: Yeah. And depreciation and tax write offs, all that stuff.

Steve: Got it. And then you're saying you just do a little bit of wholesaling. Yeah. What do you wholesale?

Brian: Just properties that I don't want. Like, rather it's just like fire damage or like it's in an area or maybe it's on a super busy street.

Steve: Outside your buy box.

Brian: Yeah. If it's outside of my buy box, then I'll I'll try to wholesale it, but I don't even push that that much.

Steve: Okay. But you're not trying to list anything?

Brian: No. And that that only started when COVID hit. Before, I was listing.

Steve: Mhmm.

Brian: But then when COVID hit, I was like, so I'm not gonna go on this listing appointment? Hell no. So,

Steve: Gotcha. Okay. So what does your company look like today?

Brian: So right now, it's pretty much me, I guess me. I like choose what to do. And then I have a transaction coordinator that helps when I'm like, listing the properties or when I'm buying when I'm, like, listing the properties or when I'm buying them. She helps, like, get all the paperwork done. And then, I have VAs that are texting and cold calling, and then I have, an acquisitions manager that's talking to those leads that come from that source.

Steve: Gotcha. So you're not having to deal with the realtors anymore when you're co calling?

Brian: No. I still I still talk to realtors because I feel like I've I've already built a reputation and, like, they know who I am and they wanna work with me. So I still I still talk to realtors and resellers.

Steve: Okay. So you're saying you're targeting 40 Mhmm. As an average profit average net profit? Net.

Brian: Yeah.

Steve: Okay. And that's before paying

Brian: a JV split? That's net to me.

Steve: Net to you. Net to me. So on a JV deal Mhmm. It's 80 k Yeah. Of net.

Brian: Yeah. That would be my point.

Steve: So what is your I mean, let's talk about your average deal.

Brian: Uh-huh.

Steve: I mean, where where is the market?

Brian: Uh-huh.

Steve: What are you looking for?

Brian: So I buy in the Inland Empire, in Bernino County, San Gabriel Valley, Orange County, and parts of LA. I don't go, like, super far where like Hollywood is. So, I try to buy a house like 100,000 below the market value. But the market is appreciating at such a fast rate that it's insane. Like, I have we had a deal in La Puente that it was supposed to sell for $5.50 and it sold for $6.50.

And that was $5.50, like, we were gonna already be good. So you know what I mean? Like, the market is appreciating so fast in California that it's it's kinda easy to do that. Yeah.

Steve: I was actually having a conversation with Ryan, and, he was kinda making me feel a little dumb. He was like, why are you wholesaling at all? I was like, you know what?

Brian: Yeah. We don't believe in that.

Steve: Because I can make 55 on wholesale or 70 on a flip. And he says, yeah. But that 70, by the time you flip it, it's probably gonna be like a 100. It's like Yeah. Yeah.

Brian: True. Yeah. That's why I I pretty much follow what Ryan says. So Yeah. He's flipping everything.

So I'm like, okay. I'm flipping everything. Let's

Steve: let's do that. Any cause or concern as far as, you know, your exposure to risk.

Brian: Of course.

Steve: Yeah. Because, you know, banking and appreciation

Brian: Yeah. I don't bank on appreciation.

Steve: On on on the rental properties, the buy and hold.

Brian: Yeah. Yeah. Yeah.

Steve: You're trying to bank on appreciation. Yeah. Any concern, like, do you does that keep you up at all or are you just like

Brian: No, because, I mean, California is so populated. How would the prices go down? And I'm buying them below market value already. So if I could get a house like 50 to 60%, it's like, okay, like the market would have to drop 50%. And it's long term.

So that's what I'm saying. I don't care if I make money right now. These are all long term like You're

Steve: getting such a good deal, doesn't matter.

Brian: Exactly. And they'll pay themselves off. So by the time I wanna retire, like, they'll they're just like little bank accounts that are adding up right now.

Steve: Gotcha. How much are you spending on marketing then? It sounds like you're not really intense

Brian: No. Marketing. I'm not intense on marketing, but I'm only marketing now because of tax. Because, I don't wanna pay a stupid high tax bill. So I spend Why not?

It's because It's a privilege. Ridiculous, yeah. It's patriotic, isn't it?

Steve: Aren't you watching those, those campaigns? It's patriotic to pay your taxes.

Brian: Yeah. I mean, I'm all for paying taxes, but, like, paying 50% is ridiculous. Yeah, I mean, I buy a lot of data and I'm like, I have the textures and I have the callers, but I look at it as like a tax write off and just like if I get a deal, great. But even if I shut that down, it wouldn't really make a significant difference, yeah, difference in my business.

Steve: So predominantly, it's to reduce your your your, taxable income by increasing your expenses? Exactly. What about overhead, running your organization?

Brian: So since I'm still a realtor, my brokerage pays for my office.

Steve: Mhmm.

Brian: So I don't You never are

Steve: not doing deals?

Brian: I'm doing deals. I'm still listing.

Steve: Oh, got it. Yeah.

Brian: Yeah. Yeah. So I still do listings. I support their escrow whenever I can. So, yeah, I'm still I'm still doing listings.

Steve: So listing your properties, though?

Brian: Yep. Gotcha.

Steve: And you're paying them a split on those?

Brian: Nope. I'm at a 100% brokerage.

Steve: And they're still paying for your office?

Brian: Yeah. Yeah.

Steve: That's nice. It's very nice of them. Yeah. Okay. So you're wearing a shirt right here, Future Flipper.

What is that about?

Brian: So, I started getting mentored by Ryan. Mhmm. And last year, I was like, dude, I want to like help coach young, you know, newer investors. So, we kind of are doing a partnership. We have the rookie program, which is like teaching people how to start flipping and wholesaling and buying rentals.

Steve: Mhmm.

Brian: And then he has the all star program, which is for people who wanna learn how to scale their business.

Steve: Gotcha. Why did you want to get involved in the rookie program?

Brian: I felt like I just wanted to help. I mean, even before I got into real estate, I used to volunteer and like help kids. So I've always wanted to help. So I was like, you know what? Like, there's there's enough for everyone.

And then even in our in our rookie program, there's people from across the whole United States. So it's not like every student is in California.

Steve: Right.

Brian: So just just just to pretty much help.

Steve: Okay. You got a lot of love here. A lot of people really, big fan of yours. Is it the Bockley, was it?

Brian: The Bockley Brothers.

Steve: Bockley Brothers. Yeah. Yeah. So Leonard says, let's go. Yeah.

Yeah. So you got a lot of love here. Talk about walking out on wet. I don't know what that's about.

Brian: That's Wet Republic. That's the club that I left.

Steve: Oh. Yeah. There you go. Eric says you're a cold calling beast. So Ben wants to know if you can have coffee with anyone, dead or alive, who would it be and why?

Brian: I mean, like, obviously, some of my family members have passed away, but if I had to pick someone famous, probably Donald Trump, just for, like, entertainment. Yeah. Just to talk to him.

Steve: It would definitely be entertaining. He's actually, you know, my number one guest. Really? Yeah. I mean, if, there's no one I would pay for.

Right? People are like, you know, you can have this person on the show. Why would I pay anyone to be on the show? I would pay, right, to get him on the show. I think it would be a very fascinating episode of Realtors.

Kevin, Chrisan Crossan wants to know, how important is it to have your partner support you in your business?

Brian: That's tough because I didn't have the support. You know, like, my wife did take care of our kids. You know, she takes care of the house. She makes sure that I don't really have to worry about that much on that part, which I think is very important because if I was a single father, I wouldn't be able to do what I'm doing. Even being here, if I had three kids at home, I can't just, you know what I mean?

Just put put them in the next

Steve: room.

Brian: Yeah. But, you know, so I would say you really just need to support yourself. Like, you need to have faith that it's gonna work. And, you know, mom was like, don't be a real estate agent. Like, you know, that's that's risky.

Like, the market crashed and remember I almost lost my house. And I'm like, okay, yeah, but I'm just gonna do it anyway. So Alright.

Steve: And Alexis wants to know if you have any cold calling tips since you're a cold calling machine.

Brian: I would just say make sure to time block and put in the hours. Don't, like, cold call and be on Instagram or, you know, cold call and watching YouTube at the same time. Like really sit there and focus. I think that's one thing that I really did when I used to cold call was I was really, really focused. Like, I treated it like I was in the NBA finals.

Like, I would show up in a suit. I would be like, don't talk to me. Like, I am I am I would drive to work. I remember I would drive to work and I'm like, okay. I need to get a listing today.

Like, I need to get a listing today. I have to do it. You know, show up, get on the phone. I'm like focused on that. I wasn't focused on 20 different things and cold calling at the same time.

Steve: You're very intentional with your time.

Brian: 100%. Yeah.

Steve: Yeah. And is that wearing a suit Again, going back, is is that Mike Ferry thing? Yep. Mike Ferry. Because he's always wearing a suit.

Brian: Yeah. Yeah. You have to wear a suit. You gotta show up dressed for success.

Steve: Yeah. Alright. So let's see. I got I'm in California. Bellwether.

So, there there's a lot of law for your fifty fifty. I think we're gonna try that here. Victor Tidy wants to know, do you ever do any creative financing?

Brian: No. No.

Steve: Any particular reason why?

Brian: It's not in my business model. Yeah. I don't I don't I don't have to do everything. I'm already doing something that works, so I don't have a shiny object.

Steve: Gotcha.

Brian: I want to know what you think about that. But Me?

Steve: Yeah. I mean, me personally, I've always thought it was a little bit of a distraction. Mhmm. But at the same time, we're looking at how many opportunities we've thrown away.

Brian: Yeah. I yeah. I just I've I've met so many people who are successful, you know, flipping and buying rentals. And I haven't personally met anyone, you know, that was like, hey, I only do creative financing, and I'm killing it. You know, there are people who are, but I haven't met them.

Yeah. You know?

Steve: So I've met a handful. I mean, there was, Leon Johnson, you know. Not him personally, but he knew someone that he he's closely like, he couldn't share the name, but he's closely affiliated with someone that is half 1,000,000 a month.

Brian: That still is not enough for me. Yeah. Half 1,000,000

Steve: a month?

Brian: No. That you that you you spoke to someone who knew someone.

Steve: Oh, gotcha. Gotcha.

Brian: Yeah. I'm talking about, like, I've been there, been to Ryan's house, been to Craig's house, been to people's house. I'm like, damn. Like

Steve: Yeah. I see what you're saying. Yeah. So I hear I hear that. Mhmm.

I think one of the reasons why is there's not as many people actively pursuing that.

Brian: I think it's a small niche.

Steve: Yeah. I don't know how many there is. For me, when we're looking at, we're looking at purely as as a what's the word I'm looking for? Getting the last bit out of every opportunity.

Brian: Exactly. Yeah.

Steve: Right? So I'm not targeting it.

Brian: Exactly.

Steve: But, you know, right now, we're we're training one of our guys within our organization and it's gonna be, like, either if it's cash, cash, cash, cash. Right? We're leading with cash.

Brian: Mhmm.

Steve: And if it's not cash, then we're gonna look at innovation,

Brian: then

Steve: we're gonna look at creative, and then we're gonna look at listening.

Brian: Yeah. And I think it's great. I mean, you know, all power to people who love creative financing. I think that's great. But like I like I said, I I have something that's working Mhmm.

So why would I get distracted?

Steve: Yeah. I'm with you on that. I mean, that that was my exact mindset. Uh-huh. But then we're looking at some of these opportunities like, man.

Okay.

Brian: But then also look at what you did. Right. Oh, no. Things have been good.

Steve: But that's the entrepreneur. Right? Like, no matter what you do, it's not good enough. Yeah. Like, you're you're happy

Brian: Mhmm.

Steve: But never satisfied. Yeah. And that's that's a trap that a lot of us fall into. Yeah. Man, we've accomplished these great things, but we could've done this.

Yeah. Like, I could look at right? Because Ryan's a close friend. Mhmm. And it's like, man, look at what Ryan's done.

Like, damn. Yeah. Right? Yeah. So I think that, there's there's definitely a little bit of keeping up with the Joneses.

Brian: Yeah. But I I always tell some people that I, you know, mentor or whatever, like, figure out what makes you happy. Mhmm. Like Ryan's great and I look up to Ryan, but I don't wanna I I was talking about this with my accountability group this morning. I don't know if I wanna do a 100 flips.

Mhmm. A year. Yeah. Like I don't know if I want that. I don't know if I want this big, you know, business.

Like, I if I can make very high income and be building wealth

Steve: Mhmm.

Brian: That will make me happy enough.

Steve: Yeah. So I definitely have that problem. Yeah. Yeah. No.

I would love to do a 100 flips. Yeah. As long as I don't have to do anything.

Brian: Yeah. Yeah.

Steve: Right. That's that's that's the goal. So Claudio wants to know, as a CEO, should you be making calls in your business? And I think Claudio is a little bit different Mhmm. Place in his journey.

So do you think if you had an organization, you should still be making cold calls?

Brian: I would say that in order to be a good leader, you need to be able to, like, teach them. Mhmm. So, you know, Ryan has his COO, which is Sean Bob.

Steve: Mhmm.

Brian: You know, Sean Bob talks to everyone, but Ryan still sometimes will, you know, close a deal that they need help with. Mhmm. But if you never closed a deal before, how are you gonna train someone else to do it? Right.

Steve: I think his question though is Mhmm. Should you still be cold calling Yeah. Later on?

Brian: I don't cold call. I call realtors, so I don't consider that a cold call. But, Exactly. Like if if if I was in the Arizona market and I call you because I see you have a distressed listing, that's not really a cold call. But if I was just like calling through a neighborhood, no.

I don't I don't think you should do that. I I had to stop that and Ryan had to, like, tell me, like, dude, like, why the fuck? Why are you cold calling? Like, you're wasting your time. Yeah.

So yeah. No.

Steve: Gotcha. And then, Tim Serpy wants to know, how how do you pitch yourself to incoming leads when a deal isn't in a deal and a switch to pitching a listing?

Brian: Well, I what I used to do is, now I don't do listings, but what I used to do was I would try to get them as a cash buyer. And then if they were just like too high, I would be like, Hey, look, like, I know that I can, like, list this property and sell it for you within the next, like, thirty days if we list it at this price. You know, I've done over a 100 real estate transactions. Like, I know for sure I could get you out of here in the next sixty days. Mhmm.

Do you wanna try that? And then, you know, they say yes, great. If they say no,

Steve: okay. Alright. Yeah. So I'm just gonna touch on this real quick, Timothy. So what we do is we'll go in there with a blank slate, and we'll figure out what's going on in their situation.

Brian: Mhmm.

Steve: And then instead of going with two or three options, we'll just go in and say, okay. You know, given the conversation so far, it sounds like

Brian: you're

Steve: trying to get the most amount of money for your home. Mhmm. And they'll be like, obviously. They'll say, hey. Makes sense to me.

Yeah. And then we'll pivot to a listing. Or we'll talk soon. It's like, given the conversation we had so far, it sounds like this is something you wanna get taken care of in the next ten to fourteen days. Like, yeah.

Aren't you listening? I say

Brian: Yeah.

Steve: Alright. Let me show you how we do that. So we never, come in with agenda. We come in with a blank slate. Yeah.

And then we'll prescribe like a doctor would based off the questions. Mhmm. So, I'm not trying to teach you here. I was

Brian: just trying to talk

Steve: to that question. Alright. So Kevin, being so successful and being a flipper, do you have any plans on, dabbling in new developments?

Brian: Again, it's just like, no. I keep it super simple. So I'm just gonna keep flipping, keep buying rentals. I I may transition into buying apartments. Mhmm.

My goal is to be able to, like, completely retire by the time I'm, like, 35. So I You're not

Steve: 35 yet?

Brian: No, I'm 30. So so I wanna buy, some apartments. That's the only thing that I would I would switch to is apartments.

Steve: So let me ask you this. Because you're you're saying that you're teaching some of your mentees to be focused, not focused, but to figure out what makes you happy. Mhmm. And just build a business that supports

Brian: that. Exactly.

Steve: What makes Brian happy?

Brian: That's a great question. I think security makes me happy. I think that I like that I don't really have to worry about money. That could change one day, who knows? But right now, it's like, hey, you know, I could do this, I could do that, and I don't have to look at price tags, I don't have to budget it.

I like budget it. I like that. I could, like if my mom if anyone needs something, like, it's, like, done. I don't have to do it. I like that if I need something done, I could just pay someone else to do it.

Mhmm. So I think time, security, stuff like that.

Steve: So I guess as long as you've got that, you don't feel like you need to broaden and add other things to it. So I'm gonna ask you a different question because I also this is me personally. Right?

Brian: Yeah.

Steve: My wife asked me Uh-huh. When's enough enough? Yeah. And I told her, is there such a thing? Yeah.

And so, the And I go back to, you know, what Tony Robbins says, you know, if you're not growing, you're dying.

Brian: Yeah. Mhmm.

Steve: So what are your thoughts

Brian: Yeah.

Steve: On, you know, staying focused in this niche Uh-huh. And staying in your lane Yeah. Compared to Mhmm. If you're not growing or dying.

Brian: I think that not everyone fits every rule. Right? I I like I said, I I I was even thinking the other day, I was like, how come I don't want a Lambo? Yeah. But you know how everyone else is like, oh, I want a Lambo.

Like, I want this. I want that. I'm like, I just want to pay off my BMW. Like, I just want no car bill. Yeah.

I want no mortgage. Like, that stuff gets me excited. So I just like security. I just want to make sure that, like, my kids, when they get older, you know, they have a little fallback or if they want to take over my portfolio, they can. That makes me happy.

Like freedom makes me happy. I don't care about having the bigger, faster, whatever. You know, I think I always looked up to Warren Buffett and he was like, if you think make you more happy, then you're wrong.

Steve: Yeah. That's not it's definitely not gonna do that. Yeah. And, yes, for the record guys, I'm dead serious. I hate Lambos.

Alexis wants to know, how are you hiring contractors for your project?

Brian: That's a great question. So, pretty much for me, it's always been networking. Mhmm. I've I've been burned by a lot of contractors. My first story, I paid $15,000 for something that should have cost a thousand dollars.

Yeah. He had other bills to pay. He was an entrepreneur. So he won. But, I think networking, I think a lot of people don't really look at their network as much as they should.

I I one of my contractors literally, it was Christmas and he was we were it was at my house and he was my wife's dad's friend. And I was like, oh, what do you do for work? He was like, oh, I I fix up houses for realtors. I was like, What? What does that mean?

And he's like, I just like, you know, they fix them up and then they sell them. I was like, Show me, like, show me pictures or something. And then I saw, I was like, Oh, wow, you're a contractor. I didn't know that. And so I think really, really looking into your sphere of influence, will you'll you'll be able to find some contractors.

Steve: Gotcha. I think that's a great answer. Rich wants to know, who is Ryan? And that's a great question. Who is Ryan?

Brian: Ryan is my mentor and he's, CEO of Future Flipper.

Steve: Yeah. Yeah. So Ryan Panida, he's in Vegas. He does a few deals. Let's see what else is there.

The guys at B's, rookie program is the best.

Brian: Out to the rookie squad.

Steve: Yeah. Bosco says that you've helped transform his business, which is awesome.

Brian: Yeah. Bosco, he's dude, I love Bosco. I love a lot of my students. You know, Bosco went through some hard times, and I feel like no one ever talks about that. And that's why I, you know, have so much respect for him because everyone's like, Look, I just closed this deal.

Look, I just got this contractor. Look, my my life is going great. And, he was in the future flipper all stars and spoke to him when he was like in his broken down car, like struggling. I hope he doesn't mind me saying this.

Steve: It's too late. We're live.

Brian: Yeah. Sorry, Bosco. But then now, like making really high income. So that's what I care about because it's like, I love, like, realness. And to talk to someone and see them in their broken down car and struggling to see them, you know, crushing it, for me is, like, huge.

Steve: Yeah. It feeds your soul. Yeah. Raylan White wants to know, who do you have managing your contractors and projects?

Brian: So pretty much me, but we we the way my system is set up is we do the exact same scheme over and over and over and over again. So there's not a lot of communication. It's like you already know the floor paint, everything.

Steve: Mhmm.

Brian: I I walk it, like, usually before we close just to make sure there's something that I, like, didn't see before. But besides that, I'm like, okay. This is a complete flip. Just do it. Mhmm.

Tell me how much it is and then yeah.

Steve: Gotcha. And then Bosco wants to know, struggling he's struggling to keep up with his leads and follow ups. What was your progression in the hiring acquisitions manager?

Brian: For me, my acquisitions manager is better at negotiating than me. Mhmm. So it just makes sense. Like, I'm he's just really good at it. So as soon as I could, I was like, please, you you do it and I hope you make as much money as possible.

Steve: So right away, just at the moment you can, justify it, afford it.

Brian: I would say for Bosco, we we spoke about this already, but, he should hire maybe a junior follow-up specialist. Or if he has someone who he thinks is worth it, just bring him on as a acquisitions manager.

Steve: Alright. And then Al Adamson wants to know, how do you avoid a cash buyer who's trying to steal your deal? And what do you do if they try to?

Brian: I would just threaten them or I I I really don't have that problem, to be honest. Mhmm. So I would just That's because

Steve: you're flipping it.

Brian: Yeah. I'm flipping it. So Yeah.

Steve: If you're the buyer, you don't have to worry about

Brian: that. Exactly. So I already have a contract signed. If people wanna back out, then I'll, file this pendants or I'll try to figure out if they really wanna back out for a good reason.

Steve: Yeah. And then, follow-up question from Raylan. Are you compensating your contractors any special kind of way?

Brian: Nope. They do a great job. So even sometimes I'm like, dude, this is kind of high, but, you know, I'm gonna I'm gonna pay it. Mhmm. And I let them know that.

I'm like, hey, this is pretty high. But, you know, hopefully, you know, things keep going great, you know. And good employees or good contractors, you should wanna take care of them because someone would steal them if they could. Everyone's always looking for a good contractor.

Steve: Yeah. Let's see. Where was it? There was another question here from Eric that's gone now.

Brian: Is there

Steve: such a thing as too much networking? Quality of network versus quantity. That's from Warren Rubin.

Brian: I think some people, like, they network, but they're just like they're networking without a purpose. Like, when I was a realtor, I remember people would go like, oh, I'm going to this networking event officer. I'm like, why? Like, what what is what is your title officer gonna do with you for you? You know what I mean?

Like, like, what's the purpose? So if you're in a network, just make sure there's a purpose of why you're trying to meet people.

Steve: Gotcha. Makes total sense. So with your business model the way it is, what would you do if the market took a dip?

Brian: If the market took a dip, I would Probably

Steve: not happening anytime soon, but if it did

Brian: Yeah. Yeah. I I was looking at our MLS and we literally have the lowest inventory since the MLS started in California.

Steve: As far as my career.

Brian: Yeah. So if if the market shifted, maybe start wholesaling and listing instead of flipping. Mhmm. We did have like a blip in, like, I think, 2018 or '19. Remember at the end of the year, like, they raised the interest rates.

Mhmm. And then inventory went up and I kinda saw the market go down. Yeah. So I would stop flipping if if that happened.

Steve: And Eric wants to know, are you still flipping out of California other than Las Vegas?

Brian: Just California, Las Vegas. And I'm looking to buy, like, apartments in maybe, like, Indiana or, like, Ohio.

Steve: So how are you managing the flips in Vegas?

Brian: That's a great question too. That has been a little bit more of a struggle, to be honest. Mhmm. Because my crews are in, California. So I've done it all virtual, and it is a little bit harder.

But I do have, like, friends and stuff that will do little favors for me, but it is harder to flip houses virtual.

Steve: Yeah. What is your why?

Brian: Like I said, I think my why has always been like my future and my kids, mom, my wife, all of their future. Like, I don't want them to, like, struggle. I watched like, I didn't I've kinda brushed over it, but, like, I watched my mom struggle, like, cry. Like, I watched that and I feel like that has helped me because now I I take money serious

Steve: Mhmm.

Brian: Where some other people, they just kinda blow all their money and it's all fun and games. But then when you see the struggle, you're like, damn, like, I can't just

Steve: But I think a lot of people saw saw that struggle. Right? And I think we kind of all all, not interpreted it, but processed it differently.

Brian: Yeah. Well, some people, I don't know, maybe maybe everyone did you did you see your parents really struggle?

Steve: Yeah. I still remember like Yeah. The fight they had because like, you know, my dad's paycheck was like $350 and my mom washed it, right, in the washing machine. Oh.

Brian: And I

Steve: still remember like this fight.

Brian: And it

Steve: was like, you know, it was still like a traumatic Mhmm. Memory. Mhmm. And I was pretty responsible with money. Yeah.

But there are other people that grow up without money Yeah. And they blow every dollar they get. That's true. That's true. I guess, the question I was gonna ask as a follow-up then is, do you meditate?

Because you seem to have a lot of clarity.

Brian: No. I don't I don't meditate, but one thing I did learn from Ryan is I do, like, think. Like, I do A

Steve: lot of thinking time.

Brian: Yeah. Like, yesterday, I was just vibing in the backyard. I don't know if you saw my Instagram, but super nice. I was like, damn, this is Arizona's not as hot as I thought. But, I was back there for an hour just thinking of, like, things that I want, you know, just just different things.

So So

Steve: thinking time. So maybe that so not meditating. Mhmm. But a good amount of thinking time. Yeah.

Yeah. So not meditating Mhmm. But a good amount of thinking time.

Brian: Yeah. Yeah. Got it. What is

Steve: your biggest struggle right now?

Brian: I would say taxes. Like, I don't wanna pay high taxes. So making sure that I'm ahead of the game. Mhmm. Making sure I'm, like, buying rentals and making sure I'm spending because I don't wanna get hit with a tax bill at the end of the year.

Steve: Yeah. I I had that pain last year. I'm gonna have it again this year. Not excited about that.

Brian: Yeah.

Steve: How do you stay motivated?

Brian: That's a great question. I mean, I'm not always motivated. That's the truth. Like, that's why I always say I'm not special. Like, I am not there's some days where I'm like, anxiety and I'm like, crap.

Like, am I doing the right thing? Am I over leveraged? You know, when I when I bought my first rental, even though I was in real estate for so long, I didn't sleep that whole night when I opened escrow because I'm like, dude, what if the market crashes? What if I can't pay this $1,200 What if this? What is that?

So, I mean, I just try to stay focused when I can, but I'm not always motivated.

Steve: Gotcha. And what is your superpower?

Brian: I would say listening. I've always been a very good listener, and I think I could pick up on stuff that people are saying without them actually saying it. So, yeah, I would say listening.

Steve: Can you give an example of that?

Brian: I think, like, let's just say I'm speaking to a lead and they're like, Yeah, I I wanna sell. And I'm like, Okay, you wanna sell, but do you really are you really going to sell? And they're like, no. I don't think so. So it's kind of like you know what I mean?

Steve: It's kind of a a you can find a little bit more context. Yeah. Kind of a not a sixth sense, but something you can you can hear more or read between the lines.

Brian: Yes. And I think some people can't. And I Oh, I

Steve: I know a lot of people can't.

Brian: Yeah. Yeah. And I've actually so I I used to have, I used to be in, like, a bullpen

Steve: Right.

Brian: As a realtor. An agent across from me would talk to an expired and come up like the get off the phone and they they'd have a whole story like, oh, this lead was this, this and this. And then I would call that same exact lead, then come up with a completely different story.

Steve: Mhmm.

Brian: And I think it's just the the type of questions that I'll ask and, just really listening. And I think, I've never been like sure that I'm doing the right thing. It's a win win. They're doing something that they really want to do. So I I was never like super pushy and like try to, like, have great sales skills.

Mhmm. I was just more of, like, a listener.

Steve: Yeah. Well, I think for sure because I've had this comment made about me. It's like, how did you know that? It's like, you just have this gut feeling. Or Yeah.

You talk to somebody and you hear the words Mhmm. But you can't base everything off the words. No. Right? It's how they said it.

Brian: Like 50% you can't even

Steve: Yeah. Right? How they said it. What their body language was when they said it. And there's all these little things that I think it's a skill you have to work on, but there are also other people that just have it.

Brian: Yeah. I think so.

Steve: It sounds like you just have it.

Brian: Yeah. I remember when I first started cold calling, I got an appointment and Craig was like, how did you get this appointment? I was like, oh, I called her and I said if she wants to sell and she said yes, but she said she had a realtor. Would be open to getting a second opinion. And that was just, like, off the top of my head.

But some people can't even do that.

Steve: Do you have would you consider yourself, like, a high I on the disc?

Brian: Unexpressive? I'm a maverick.

Steve: You're a Maverick?

Brian: Yeah, I'm a Maverick.

Steve: So you're more driver?

Brian: Driver, yeah. I've always been super driver. I think I've taught myself to become a little bit more analytical. Because before I was just like, oh, get the listing, TC, and that's it. Like, I don't know what else is going on.

Steve: That's what you gotta do as a cold caller.

Brian: Yeah. So I was just pretty much a cold caller, of course. Yeah.

Steve: Gotcha. What's the greatest lesson you ever learned?

Brian: That's a good question. The greatest lesson. What was your greatest lesson? And I'll think of mine.

Steve: My greatest lesson? I won't say this is the best lesson, but this is a sad reality

Brian: Mhmm.

Steve: Is you can't help everybody.

Brian: Yeah. That's true. Alright.

Steve: Like, there are people that you wanna rescue, people you wanna save. And they just, you can explain it. You can educate them on it. You can want it for somebody more than them.

Brian: Yeah. Yeah. But they can't do it.

Steve: But you can't do anything about that. Yeah. And I've experienced that with agents that I've coached. Mhmm. I've had that with people that I've worked with personally.

I've had that happen with sellers. Mhmm. You try to show them the light, show them how to do it Yeah. But you can't help everybody. Yeah.

And that's a sad reality. I wish I could.

Brian: Yeah. I've tried to and there's been people where I'm, like, trying to motivate them. I'm trying to give them everything. I'm, like, I'll close your leads for you. But it didn't work.

But I would say a big lesson for me is just, like, confidence is very, very, important. When I was starting off, younger, I had no confidence at all. I felt like felt like I was too skinny. I felt like I was broke. Felt like I was going bald.

If I if I saw someone with a nice car, I'm like, oh, like, they're rich and they have it all figured out. I don't. But then once you start working on your confidence, I feel like that could really be life changing.

Steve: Yeah. Darren Hardy says that's the most important attribute. The confidence. What is your favorite best or most interesting failure?

Brian: I've had so many failures. I've had so many failures. I like I remember Have you ever got a a door slammed in your face? Oh, yeah. Yeah.

So I All these little stupid failures, I feel like because I remember like, I'll be like, Hey, do you wanna sell your house? Boom.

Steve: And I

Brian: would just be laughing. I'm like, Oh, like, this is why people give up, because it makes them feel weird, but it would just get me excited. So,

Steve: yeah. I remember when I was trying to get short sale listings, and I would go to these people's houses, right, and I would just print the notes of trustee sales. Yeah. And so I would just map it out. Like here are the people who are going to foreclosure and I would go to their house and I would door knock.

Yeah. And I remember going in, the first guy was like, no, it was a mistake. I was like, you sure? Yeah. Says like, that's a mistake.

He's like, alright. Yeah. And just having a few people, like, either flat out lie to you Mhmm. Or be extraordinarily mean Yeah. Or sound the door.

It's it's very great experience

Brian: for

Steve: young for young agents, let alone, someone in this business.

Brian: I I do have one big failure from 2020. So I was, like, I was on a mission to flip 50 houses in 2020. Mhmm. Right? So my business model today is not my hasn't been my business model forever, business model forever.

So early twenty twenty before the pandemic, I was like, alright, I wanna flip 50 houses. If I net 20 ks, that's a million dollars. So I told Ryan, I was like, dude, I'm gonna flip 50 houses. You're gonna help me. I think January, I bought like seven.

February, I bought like seven. But I was like, okay, I'm kinda getting behind. Just start flipping in other states because they're cheaper? So someone sent me this deal in Georgia, right? Never been to Georgia.

I shouldn't have bought the deal. The wholesalers hooked me up with a contractor. The contractor ripped me off like the we closed escrow and the the bid was 30. First five days he's like, hey, here's a $15,000 change order. I'm like, why?

Like, why are you raising the price 15,000? Oh, the house needs to be repiped. I'm like, is it leaking? No, it's just old. And I'm like, the house is built in the seventies.

Like, why, like, why are you saying it needs to be replaced? Oh, well, you gotta do the right thing. And the wholesalers, I was doing the JV thing. So the wholesaler's like, Yeah, he's saying we need to flip, you know, we need to like re pipe it. I'm like, No, dude.

Like, like, no. So that happened. And then sends me another change order for like, Hey, I bought these appliances for $7,000 more. You know, so and your wholesaler signed for it. You know, so that was happening.

I was pretty much just getting hit up for money. Then the freaking pandemic hit in March. And I have all these houses and this guy ripping me off. March where I had like 10 houses and I only had $3 in my bank account. So it was the stress was incredible.

Like I was like holy shit like I I was just so stressed. I was like, dude, this sucks. Like, holy crap. I can't like, remember I was like, get rich or go bankrupt. I was like, yeah,

Steve: you were doing it.

Brian: Yeah. I was like, wow. I'm I can't believe I'm a go bankrupt. Yeah. And luckily, like, some of the houses started closing and this contractor is a lesson for everyone.

Once it just starts to go off road, you need to cut it. I was so scared to cut him off because I wasn't there. He was just hitting me up for money, hitting me up for money, hitting me up for more money. And, the bid went from like 30, ended up being like 55. I sold the house like $50,000 less than what than what I was supposed to.

He was smoking cigarettes in the house. It was a disaster.

Steve: Oh, man.

Brian: Yeah, it was he ended up I fired him. I had to call the police. I had to pay ADT to put an alarm system in there. And then he ended up putting a lien on my house for like like 10 to like $7,000 And I'm like, how could you do this? Like, how is it that I'm stuck paying you?

Because I got the house in escrow, but I couldn't sell it without paying him. So that was like one of the worst experiences I've ever went through.

Steve: Yeah. That sounds really rough.

Brian: Yeah. So if that's what I tell my students now is like, hey, if give them one shot, but if they come back again with something that you're like, hey, this is for sure wrong. It's better to just cut it off. I let it drag out for six months.

Steve: Yeah. Alright. So, I'm gonna, make just a couple of quick announcements. So think about any last thoughts I wanna leave the listeners with. Guys, if you have value today, please like, subscribe, share, comment.

This helps us. And the more you help us, the more we help other people. You see how to tell the algorithms. Right? It works for, work this is great content.

We do have our workshop coming up, May 21 May 22. If you're interested, go to disruptors.com//workshop or send me a DM. And then we got the poker chips. You guys saw that? You guys saw the preview.

We're gonna be starting sending those chips out. Keep an eye out. We're gonna share with you how to get those poker chips. What last thoughts would you like to leave the listeners with?

Brian: I have a few. So one, follow me on Instagram at the brian davilla. If you wanna learn how to start flipping or scale your business, check out future flipper. We we do have a promo code. So anyone that comes from us, 30% discount for this podcast.

And then, my last thought, I guess, was the the same thing I said earlier about the confidence. Like, you know, I'm not special. You know, Steve's not special. Like No. I'm not.

Yeah. Steve's special, but I'm just kidding. I tell

Steve: people all the time that.

Brian: Yeah, we're we're we're humans just like everyone else. So just, you know, you just know that you're good enough. You know, you could set your mind. You could do whatever you set your mind to, but just take daily action and surround yourself with the right people. That's my superpower.

I've always known that that I need to surround myself with people who are where I wanna be.

Steve: Yeah. There's no one that's smarter than you. There's no one that's better than you. Right? It's really just whoever puts in the work.

Yeah. Puts in the work, surrounds themselves with the right people.

Brian: Yep. That's

Steve: all you gotta do. Yep. And have confidence. Awesome. Someone wants to get a hold of you.

How do they do that again?

Brian: Instagram at the brian davila. Future flipper. If you go on there, you could put an application, or you could send me an email at brian@futureflipper.com.

Steve: Awesome. Cool. Thank you guys for watching. Thank you.

Brian: Thank you. And I really appreciate you having me on. Thank you.

Steve: Absolutely. It's a pleasure. It's good stuff.