008 A Day In The Life Of An Investor

Learn how to invest in real estate, flip real estate, wholesale, tax liens, foreclosures, probate, abandoned property, short sales, hard money, owner finance financing, no money down and much more!

Listen as we discuss the average day to day tasks I go through in my real estate investing business. This episode only…. We are offering a FREE one month wholesale real estate investing coaching membership to one lucky listener. You don’t have to buy a single thing to get started, just listen to the podcast for instructions on what to do.

 

 

Podcast Transcription:

 

Hello and welcome everybody to another exciting edition of extremerealestateinvestors.com. This is the podcast for all of your real estate investing needs, questions, strategies, and techniques. As always, I’m super excited to be here today and I continue to get a ton of great emails from my listeners throughout the week asking different questions ranging from what to do with a specific deal that some people are working on to the new investors that are just trying to get into the market, in the real estate investing business now for the very first time.

I want to welcome you to the podcast and thank you so much for taking the time to listen to me and what I have to say about the world of real estate investing as I know it. I want to make sure that everybody out there has a great and clear understanding about how to invest in real estate, what to look for, how to stretch your deals, and what qualifies as a deal as well as what to do with it once you’ve got it. To give you a little snapshot of my history here, I’ve been in real estate for about 13 years now and I started off as a real estate agent just selling houses for commissions, and have evolved into a full-time real estate investor who now owns a real estate brokerage with nearly 40 employees and independent contractors working for me.

I’m 36 years old and I’ve done over 700 transactions totaling over $100 million. Doing all of that has helped me realized my dream life, my dream lifestyle, and I want to help you achieve your dream lifestyle through real estate investing today. With the techniques that I will teach you in these free podcasts alone, you can get out there and consistently make anywhere between $5,000 and $15,000 per deal just by wholesaling properties. The process is so simple that it is practically a no-brainer once you understand some fundamental basics about real estate wholesaling.

If you wanted to do this business part-time and just make an extra 5,000 a month, I can show you exactly the steps you need to take to achieve a $5,000 per month additional income. If you wanted to do this full time, quit your job, and get into real estate investing full time, the earning potential is limitless. Currently, I am averaging a very high five-figure and low six-figure monthly income and you heard me right, I said five to six figures consistently on a monthly basis from my real estate investing.

A lot of people might think that I’m just born with a real estate gene, but the reality is, I never even graduated from high school and must’ve had well over 50 jobs from the time I was 16 years old until I started making money in real estate. In fact, my first two and a half years in the real estate business, I was still working another full time job just to make ends meet. Now if you’re anything like I was struggling to pay bills, buy the things you want, take vacations, pay for college for your kids or anything else that you desire, but cannot seem to get a grip on, you’ve come to the right place.

I can help anyone who’s serious about making money in real estate just like I’m helping my current coaching clients and investors make money too. If you’ve been sitting on the sidelines wondering what you should do, you’ve come across my podcast or seen some of my YouTube videos for a reason, now is the time for you to take action and do something. Listen to my podcast. Go to YouTube and search my name, Michael Kevorkian. Michael is the common spelling and then my last name, K-E-V-O-R-K-I-A-N and hopefully, you’ll get some motivation to make a change in your life for the better.

What I teach in real estate investing is a simple 12-step real estate investing system, and it’s a step-by-step process that walks you through the beginning stages of real estate investing all the way through being a professional real estate investor. Today, what I’m going to talk about is A Day in the Life of a Real Estate Investor. That’s going to be me in this example, but before I get started, I do want to make a one-time only offer out to all of you listeners who are paying attention to my podcast here. What I’m offering you today you will not hear again and the best part of it is it’s not going to cost you a dime.

I want you to get signed up with my coaching program and work with me right now and close your first deal in the next 30 days. What I’m going to do is ask you to go to my website at extremerealestateinvestors.com, that’s extremerealestateinvestors.com, and fill out the application under the Let’s Talk tab. I’m going to take one lucky listener under my wing for free for the next 30 days and turn you into a real estate investor, but that is with the express understanding that you will let me interview you on a podcast episode in the next 30 days and share your success story.

What I want you to do is go to my website, kick it around a little bit if you want to, but I’d like you to go at the top, there’s a tab that says Let’s Talk. Click on it. There’s an application and I want you to fill out the application and send it over to me so I can have a look. I am going to screen through these personally and I’m going to choose one lucky listener to enroll in my coaching program for the next 30 days. I’m going to give you all the material, all of the scripts, all of the support phone calls just like if you were a paying member of the coaching program, and I’m going to get you on track to close your first deal in the next 30 days.

We are going to sign an agreement that you agree that you will, in exchange for not paying, your payment to me is going to be a one-hour interview so that the rest of the listeners out there can hear about your success. That’s it. I’m very excited to offer this. I was a little reluctant at first, but to be very honest with you, my girlfriend talked me into it and she said, “Why don’t you throw a bone out there? See if there’d be somebody that might be a little reluctant or not have the money to sign up for coaching that you can take under your wing like you’ve done with so many other people, show them how to become an investor, cash a check and share that story on your podcast on next month’s episode.”

Three, four, five weeks from now as soon as we get somebody under my wing here, and I want you to go into the Remarks in the Let’s Talk tab and specifically put in there Free Coaching Opportunity. If you don’t do that, I’m not going to know that you’re responding for the Free Coaching Opportunity from the podcast. I’m going to think that you’re just another one of the dozens and dozens of people that are filling out the form and trying to join my coaching program, which I am extremely selective and I am going to be just as selective, but again, hey, no cost, no upsell, no nothing.

You’re going to work with me one-on-one just like any of my other coaching students and I’m not going to charge you a dime. Go to my website at extremerealestateinvestors.com, click on the Let’s Talk Tab. Fill out the application at the bottom. Put Free Coaching Opportunity and I’ll take a look and I’ll get back to you if I think you’re a good fit. I’m only doing this with one person. It’s a one-time thing and that’s it.

Today’s podcast episode, what we’re going to do is talk about A Day in the Life of a Real Estate Investor and that lucky guy is going to be me so you’re going to hear all about what it is like to wake up in the morning, what I do, how I do it every step of the way. Basically, my day starts at … I don’t get up super early. I typically will get up around 7:30 or 8:00 in the morning. From there, I get ready, have my coffee, take a shower, get to the office. Now my first point of business when I get to the office, obviously I’m going to check my emails and my voicemails.

My first couple hours that I’m in the office is I go through all of my pending deals, all of the leads that I have in my CRM, my contact management system that I use, make sure that I don’t have any outstanding tasks that are pending. If I do, obviously, I address those and I’ll go through probably a couple a dozen leads, update whatever tasks I have to do down the road, make my phone calls, send out my material, whatever that might be. Example of a material would be some contracts, addendums, back and forth with contract adjustments and so forth. I’m typically going to work on that for my first two to three hours while I’m in the office.

During that time, I do have a handful of my [bird-dogs 07:20] that are coaching students that are actually my full-time employees as well. I shouldn’t say employees. Independent contractors, if you want to call them that, that are out there really beating the pavement and trying to find deals for me. Today is March 4, 2013 and I just had a new deal come across my desk today. There’s a property that in its as-is condition is worth $63,000 according to my formula. Remodeled, it’s worth 190,000 and it would take about 70,000 to be remodeled. One of my guys brought it in today. The seller is letting me buy it for $35,000.

Imagine that. Now I’m going to buy this property for $35,000. My coaching student who brought that in to me is making $4,500 on the deal, and I’m most likely going to wholesale this property and I might sell it off for about 50,000 to 55,000. If I pick up 15,000, 20,000 real quick, I’m going to be happy on this and move on to the next. Alternatively, what I could do as you all know is I could rehab the property. If I pick it up for 35,000, I spend another 70,000 in it. I’ve got $105,000 in the property. Now let me get the calculator up here. Say I sell the property then for 190,000. I take out my selling cost and I subtract the 105,000 I’ve invested, I would net $67,900 so just under 68,000 on this one deal.

Deal number two, they came in today. Again on March 4, 2013, I have another one of my coaching members that has brought me a deal. He’s actually brought me two previous deals in the past month. This is the third deal that this gentleman has brought me. I have to go out there tomorrow morning at 8:30 in the morning, take a look at the property. Now this is a listed property believe it or not and he’s been really, really hustling the MLS and making offers on listed properties. The property was listed at $80,000. I don’t know what his initial offer was, but we came together on it at 60,000.

What I’m probably going to do is wind up buying the property and do a really, really light clean up and turnaround and sell it for about, I would say about 130,000 to 150,000. If I do that, I’m going to give … I’ll go in the middle. Let’s say it’s $140,000 and I take out my selling costs and I subtract the 60,000 I’m buying at for, and I subtract the $20,000 that I think I’m going to be able to get this thing cleaned up for, and I’m going to net $47,400 on this one deal. Between two deals in one day, I’ve got the opportunity to make well over $100,000. That’s most likely what I’m going to wind up doing as a rehab on the second one and wholesale on the first. I’ll make about 68,000 to 70,000, 72,000 between these two deals that came into my door today. These are from two of my coaching students.

As you can see, I mean this is something that happens on such a consistent basis because I train very well. I handpick the people that I train so it’s not that I keep my doors open to everybody. Don’t take me the wrong way. I just want to make sure that the people I am working with, whether you are paying me or not are going to be teachable students. If you’re serious about learning this business and you really want to take a shot at making some serious money, then it’s imperative, absolutely imperative that you learn and accept the ways that I teach in order for you to learn the business the right way. First thing you got to do is learn it my way and then you can do things your way, but don’t try to come in and get into the coaching and try to do everything your own way right off the bat because that’s really not going to work.

Anyway, basically that’s what I do. I walk into my office, go through my contact management program. I contact the sellers that I need to contact to follow up with them, deals, pending deals that I’ve got, contacting sellers for signatures or second or third appointments if necessary to try to button up a deal, contacting the attorneys, the title companies, just making sure everything is moving along, kind of pushing the boat off the docks so to speak. All right, after that, then I’ll meet with people or have my coaching phone calls for a couple more hours and walk people through their deals, kind of get caught up on what they’re doing, really try to help them out to get their business up and running and off the ground, and making sure that they’re also on the road to success.

A lot of the coaching students that I work with, we do joint venture deals with. It helps to eliminate the need or the fear for how do I come up with the money to fund a deal. That is something that I personally help anybody who signed up for my coaching and including the lucky person who’s going to be my free coaching student for the next 30 days. Then if that’s going to be you listening out there, you’re going to be able to joint venture with me. Everything is going to remain the same deal. The difference is you’re not going to have to pay me for the coaching.

All right so from there typically I’m going to break for lunch. I usually take about an hour, an hour and a half for lunch. I don’t like to rush through anything so I take a nice long lunch. I come back to the office, get on the computer and I start digging around and looking for deals. I look on Craigslist. I look on Kijiji. I look on Backpage. I look on all my local newspaper classifieds as well. I’ve got the Chicago Tribune, the Daily Herald, the Chicago Sun Times, smaller newspaper that’s owned by the Sun Times now, but it’s called the Chicago Reader and a couple other local smaller Chicago papers that I’ll look through.

I’m going to look for all the for sale by owner, see if I can spot some verbiage that looks like it’s a deal to me. If the price is right or the motivation level seems right in the ad, then I’m going to start making my phone calls or sending out emails depending on what the contact method is there. Always generating new business, that’s one thing you got to be very good at and very consistent with is a consistent effort to generate new business. There’s also got to be the backend where there’s a consistent effort to stay in contact with the people you’ve already talked to either via telephone, email or in person on an appointment, but you haven’t been able to sign a deal with.

You’ve got to be able to go ahead and make that all happen on a consistent basis so you know that it’s new business first, follow-up business second and so on. That’s what I’m typically doing. I’m out looking for deals. I’m going to send some of my guys that are out that I pay hourly to go hang bandit signs. My marketing department never stops. I’ve got two people full time on payroll that all they do is handwrite the yellow letters or stuff envelopes or label postcards for my direct mail marketing campaigns. It’s extremely effective and it’s the lifeblood of my business. I always have to make sure that the marketing machine is on.

Now I will say that I do not field any of the inbound phone calls myself. I use a service, an answering service that handles all of the calls. There’s a script I give them and they read off of the script if somebody calls in, and they just read all the questions, take the information and email it over to me. Why do I that? Why do I not recommend that you do it? I’m going to tell you. The reason I do it is because my marketing budget is pretty huge in comparison to anybody that’s starting out that’s a fact of life. There’s no question about that, number one. Number two is that this helps screen a lot of the junk leads or the angry callers or whatever the case may be.

Now why I don’t want you to do that is because I want you to get good at answering the phone, handling objections, dealing with people’s concerns, whether they’re good or bad, and get used to the process because unless you get used to it and until you get used to it, I really don’t think it’s a good idea for you to leverage that responsibility onto somebody else, especially if you’re going to be getting a smaller call volume. Give you an example, what I mean by a smaller call volume is anywhere from two to four calls a day where we are receiving an average of 10 to 15 inbound calls a day and that’s seven days a week, 30 days a month.

I do average anywhere from 300 to 500 inbound phone calls a month, which obviously if I was taking in that many phone calls personally, I really wouldn’t be able to do anything else with my day so that’s why I’ve outsourced that. I’m going to teach you how to do that during the coaching training that you’re going to undergo with me, but I’m not going to expect you to do that. In fact, I’m going to insist you don’t do that until you’ve gotten good and gotten a couple few deals under your belt so you know exactly how to talk to people because it’s going to be pointless regardless of who’s answering the phone initially, you’re going to have to call them back. You’re going to have to go on the appointment. You’re going to have to be able to talk to them and handle objections.

Unless you’re diving in head first, forget about that whole getting your feet wet. You got to dive in this. You got to get into it. You got to get good at it, which is why I provide you with scripts. It’s why I provide you with all of the information that you’re going to need to use and go through the process of qualifying leads and talking to people over the phone when their initial inbound call comes in and talking to them in person as well. That’s about it as far as the lead generation is concerned. I’ll go through that and that’s another couple hours of my day.

After that, I kind of start to wind down my day. By now, it’s probably somewhere around 3:30 to 4:30 in the afternoon and I’m just kind of buttoning up business. Now at this point, I’m end of my day, I’m going to spend consistently two hours a day, my last two hours a day generating cash buyer leads. What I’m going to do is post my ads and simultaneously while the guys are out hanging my bandit signs for me, they’re hanging bandit signs to generate motivated seller inbound calls as well as cash buyer investor calls. That’s happening separate from me, but my two hours is spent then posting advertisement on various different websites.

I enjoy marketing a lot so I like to really tinker with and toy with the different headlines and different call to actions for the properties that I’m advertising out for a deliberate reason because I want to see what is pulling the most leads. One thing I’m going to tell you if you don’t have a property for sale, and I want you to try to hear me clearly on this, if you don’t have a property for sale, a specific property for sale, you can use what’s called a blind ad or a lead ad where something that might say, “Handyman special. Cheap Cash,” and then they click on that. Let’s say this is Craigslist post. “Handyman special. Cheap cash.” they click. It goes in. “Attention investors. Buy properties at 30 to 50 cents on the dollar. Need work. Cash buyers only. Email for a list.” Yeah, “Email me for a list.” That’s good.

What they’re going to do is they’re going to email you, right. I’m going to tell you something, two things. First of all, you’re not going to be the only one posting an ad like that. You can go to Craigslist and get a lot of different ad ideas, but you’re not going to be the only one posting. Secondly, you’re not going to get a ton of leads coming in there. What you are going to see is that you’re going to get a handful of people. Every one ad I post, I typically will get one to two responses. Now you can do one of two things. You can respond with a thank you saying, “As soon as I get a property, I’ll let you know. I’ll email it to you.” You can get a specific request to them, but you don’t want to engage them too much because they might just fall off all together.

What I mean by engage them is you don’t want to not have a property and then email them back say, “Hey, give me all of this criteria.” Nobody wants to take that kind of time out of their way. Trust me when I tell you it’s a drag. They’re busy. Investors are very compulsive. Buyers, they want to make a decision quick and by the seat of their pants. You can’t expect them if you’ve sent an email back, they responded to your add, you’ve sent an email back, you can’t expect them to then fill out a long form letter or respond to a bunch of questions. Some will. Most will not, that’s been my experience.

Alternatively, what you’re going to do once they email you, if you don’t have a property is nothing. You’re just going to compile their email addresses. They responded to you that they want you to send them information about property. Obviously, if you don’t have any, you’re just going to have to wait until you get one under contract. That’s what we’re going to teach you how to do. What you want to do is try to generate anywhere from 5 to 10 new buyer leads a day, which is relatively easy if you follow my system. Now I’m going I’m walking you through basically an eight-hour day. That’s what I do over the course of my day.

How can you do this on a part-time basis? A lot of people ask that. “Look, I work a full time job. I got a family. I got a wife. I got a husband. I got kids. I got whatever. I got issues. I got hang-ups. I got responsibilities. I’ve got stress. I’ve got whatever I’ve got.” A lot of people are going to have that feeling of listening to this podcast and say, “Well, look man, this is what you do full time and yeah, I’d love to get there one day, but I just can’t do that right now because I’ve a lot going on.” I’m must give you a recent example of a coaching student, the conversation we had that she was really not too happy with, but I was able to make some adjustments and get her going in the right direction.

Now mind you, she’s closed three deals in the past two months and made nearly $14,000 on small tiny little assignment fees in the past two months, but I was pushing her a little too hard and she said, “Listen Mike, I’ve got three kids. I’m a single mother. I work a full-time job. I live with my parents so it’s constantly a full house. I’m juggling trying to make dinner, this, that, the other thing,” and she’s also in college, taking online courses, doing an online university to get her degree. “Where do you want me to find all this extra time?” She says, “I really got a day and a half and that’s on the weekends where I can really focus on just making some extra money for the time being.”

I said, “Okay, fine.” Really my personality, my way of doing things, I’m always going to try and work with somebody the best I can and push to the limit to see if I can really get them to work with me on some better terms because I think a lot of people just need a little motivation, and that’s what I try to do for people. I don’t just teach. I try to motivate as well because I want you to get out there and realize the opportunities there. Anyway, what we wound up doing was we had a day and a half so we had Saturday afternoon and all day Sunday.

I was able to condense the majority of the repetitious work that I do on a day-to-day basis condense that into what she needs to do in a day and a half, in effectively 15 spare hours that she has, the only 15 spare hours she has out of her week. With 15 hours a week, and I’d like you to do the math here, I’m going to actually pull the calculator up one more time, you got 15 hours a week times eight weeks is 120 hours, and she just broke about $14,000. I divide that by 14,000 … oh, it’s the other way. I always do this, $14,000 divided by 120 hours. If you want to look at it as hourly pay, she made $116.66 an hour for the 15 hours that she worked every week. Are you making $116 an hour? I doubt it.

Let me tell you something else. The more you do, the more it comes your way. I swear by this. It’s the grace of God, and a lot of people will say, “Well, it’s the theory of the book and DVD, the secrets and positive thinking equals positive results. As far as I’m concerned, it’s the grace of the all mighty God that the more business that I do and the more that I focus on this business, the more comes my way. I’ve gotten to a point I where I am not really doing a lot of the marketing and all the techniques that I used to do, strategies that I used to do, sales calls that I used to do. I’m doing more business now having other people bring me the deals because I’m training and showing people how to do it.

To give you an idea, my average hour, I’m earning anywhere from $400 to $500 an hour and that’s probably a low number in consideration with what our annual income is with all of the rehabs and with all of the wholesale flips and the subject to purchases and everything else that we’re doing at my organization. Again, I’m going to teach you how to do the marketing. I’m going to teach you how to do the selling, the presenting and everything else, but at some point, one of two things is going to happen. Either you’re going to get so busy you’re going to need to bring somebody on, which is what happened with me. You’re going to bring somebody on and then you’re going to see there’s this learning curve that they’ve got to go through.

What winds up happening is that your business is actually going to slow down a little bit because if you’re a one-man or one-woman show, and you’re training somebody, teaching somebody my methods or collective methods from myself and other coaching and home-study material that you might’ve purchase throughout the time, that they need to absorb it just like you are. They’re going to need to practice it. They’re going to need to fail and hopefully, you are there to remind them to always just fail forward like I’m here to remind you. When you make a mistake, don’t look at it like you’ve lost anything. You have gained experience. You have a tremendous amount more experience than you ever had prior to whatever you might consider your failure or downfall.

I’m 6’1” and the old saying is if you’re going to fail, fail forward and every time you get up, you’re going to be 6 feet I inches closer to your goal. I’m going to tell you that same bit of advice, I think it’s great, and I think you should consider the exact same thing. Don’t be afraid of a no. Don’t be afraid of failure. Don’t be afraid to be rejected. It’s part of the business. Every no’s going to get you closer to your yes, right. That’s pretty much it. That’s my day in a nutshell. Again, I’m going to work with you, one lucky listener anyway, I’m going to work with you for free, you give you all my material, teach you everything you need to know, walk you through, train you, coach you and I want you on a coaching call talking about the check you made with my help. That’s my gift to you guys. I’m giving this away.

I’m going to tell you it’s actually my girlfriend’s gift to you. She has really encouraged me to go ahead and do this and extend some generosity to my listeners because I’ve gotten so many great emails and responses and applications, great. I mean just a wonderful group of coaching students that I’ve gotten now and I really couldn’t ask for anything better. I think that in an effort to practice what I preach as I always say pay it forward. This is my attempt with tremendous influence from my loving girlfriend to pay it forward. One lucky listener, which is going to be chosen at random, you’re going to learn how to do my real estate wholesaling investing process start to finish. I will get you a check in your hand in the next 30 days and I want you to tell everybody out there in the free world all about it.

All right. I do want to go ahead as I wrap up now, I do want to go ahead and thank one of my listeners who wrote a wonderful review. This is from da_tuna. That’s D-A tuna like the tuna fish and it’s a five-star review says, “Awesome. This guy is the real deal. I have been to his speaking engagements and I’ve learned more from Michael in one sitting than I did my previous seven years of investing.” Thank you very much, da_tuna. I really appreciate your review and your comments. Awesome that you think so highly of my real estate training and investing techniques. I really do appreciate it. If you ever want to send an email over, feel free to go ahead and email me so that I can share some more detailed comments with the listeners out there.

There you have it. There is A Day in the Life of a Real Estate Investor in a nutshell. I want to hear about your success and do a phone interview podcast with you when you close your first deal so get out there and make it happen. You can do this. Believe me when I tell you, it’s not hard or complicated when you have the right tools, systems, and support in place. I want you to be successful, make more money, help people and change a lot of lives for the better in the process. I can’t explain what real estate investing has done for me. It has totally changed my life for the better. There isn’t a thing on this earth I would rather be doing than real estate investing and helping other people realize their dreams by teaching you what I know and what I’ve learned along the way.

Again, I’m going to ask you at the close of every one of my podcasts, I’m going to ask you to do me a small favor. Go to iTunes. Download my podcast. Leave me some feedback and let me know what you think of the show. I really appreciate all of the honesty and the support. If you have any questions, again, you can email me directly at info@extremerealestateinvestors.com. That’s info@extremerealestateinvestors.com or just go to extremerealestateinvestors.com, and contact me through my website. While you’re there, you can download my eBook, 16 Ways You Can Turn Unleveraged Assets Into Income for free.

Spend some time over there at my website. I think you’ll really enjoy it at extremerealestateinvestors.com. There’s a ton of great free information, podcasts, videos, and a whole lot more that you can just go and really have a field day with and enjoy yourself with all the freebies that I’m giving away. I also want you to send me an email and contact me through the website at extremerealestateinvestors.com. If you have any subject matter you specifically want me to cover in the next episode, I’d be happy to help and do everything I can to help you in your real estate business.

All right. Thank you again for listening and I really appreciate you taking your time and listening to me and what I have to say. I’ve had a lot of fun and hope you’d learned a thing or two. Remember to always pay it forward. Until next time, happy investing and remember to go big or go home.

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