Bigger isn’t always better – even in the world of real estate investing. For some of us, part-time investing strikes the perfect balance between earning extra income and maintaining a relatively low-stress lifestyle.
In fact, part-time investing is exactly what Brad Crow set out to do about three years ago. Based in the Indianapolis area, Brad had always had an interest in real estate investing, and he was looking to earn some extra money as he approached his retirement years.
Now, with several fix and flips under his belt, Brad is poised for a successful 2019 – and he’s here to share his tips for running a profitable but manageable part-time REI business.
In this podcast, Brad shares the current state of his real estate market in Indianapolis, as well as his investing strategy of purchasing single-family, distressed properties in good neighborhoods.
If you’ve always dreamed about pursuing just a handful of property deals per year, and easing your way into real estate investing, Brad has some awesome pointers you need to hear.
Listen in to hear Brad’s advice, plus his story of a property that earned him nearly 6-figures in profit, despite mold, termites, and a whole host of ordeals:
WATCH AND LEARN:
LISTEN AND ENJOY:
- How Brad got involved in real estate investing, and his motivation for doing this part-time
- Brad’s top methods for finding inventory and scoring the best deals
- The number of properties Brad likes to have in his pipeline, as a part-time investor
- How real estate investing has given Brad personal freedom and a comfortable lifestyle
- Brad’s goals for the coming year
MENTIONED IN THIS EPISODE:
- For questions, advice, or to inquire about a joint venture with Brad in the Indianapolis area, contact him at 317.774.5274 or email@example.com
- Visit the Strategic Real Estate Coach for more details on the coaching program
- Apply to be a coaching student in the Josh Cantwell Coaching program (we coach everyone from brand new investors to experienced investors who want to take their business to the next level!)
- Visit the Freeland Lending website for info on financing your properties
Welcome to Strategic Real Estate Coach Radio, hosted by Josh Cantwell and Kyle Garifo. Strategic Real Estate Coaches, where the nation’s leading real estate investors, brokers and agents turn to transform the way the real estate business is being done in neighborhoods across the nation. If you desire to make more money, do more deals, grow your passive income and build the lifestyle you’ve always wanted, you need Strategic Real Estate Coach.
This powerhouse team is led by Josh Cantwell, a seasoned investor with nearly a decade of experience, over 700 transactions and over $5.5 million in fundraising generated for himself and his partners. Now, sit back, listen, learn and accelerate your business with Strategic Real Estate Coach Radio.
Josh Cantwell: So hey everybody, Josh Cantwell here, CEO at Strategic Real Estate Coach and Freeland Ventures back again with you with another one of our student success stories and interviews. I’m really excited to be with you. Today my guest is my good friend, one of my students and one of our regular recurring borrowers that we work with a lot in a from the Freeland lending side. His name is Brad Crow. Brad is from the Greater Indianapolis, Indiana markets. And Brad is a relatively new investor, been investing for about three and a half years. He’s a grandfather. He is you know, a regular recurring borrower from Freeland and I wanted to interview Brad for all of you who are looking at real estate to invest part time to do just a couple deals at a time but still make a very significant income from your flipping and from your rental properties.
I thought having Brad on would be a great opportunity for him to tell you his story, his strategies and what he’s focused on so that you can gleam some of the successes that he’s had and use those in your own business. So, Brad, thanks for joining us today. How are you?
Brad Crow: Thank you. Thanks for having me, Josh. I’m doing really good looking forward for the New Year of 2019 and what it’s going to bring for the real estate investment market.
Josh Cantwell: Yeah, you bet. You Bet. The market’s still… It seems like things have cooled down and some markets a little bit with the Fed raising interest rates, which is I think is a good thing and there’s still plenty of markets that are just on fire and doing really, really well. So, Brad, why don’t you start just real quick, tell us a little bit about your market in Indianapolis. You’re invested in there locally doing deals there. So just tell us about the market a little bit so our audience can get a flavor of where you invest.
Brad Crow: Right. Well, Central is, you know, is pretty much where we try to stay around in Indianapolis, is the main territory and kind of kind of shop around and five surrounding counties of Indianapolis. So that gives us a pretty good radius. You know, the market as a whole at the beginning in 2008 maybe at the end of 2017 I should say. I noticed the change in the market. It stayed about the same all last year, 2018. We still have plenty of good deals out there in the area. Uh, I can probably go through and find within my region, probably two or three hundred deals are still out there on a weekly basis.
So, the properties are still there. I think The HUD Market is drying up a little bit more than, than the you know, the regular banking methods are. But we still have quite a few deals out there to be found and so we found a little niche in a certain part of the, of the area that we’ve probably done a majority of our, our flips on and we focus that area quite strongly because, you know, if you’re having success buying and selling, you just stay with it until it’s no longer effective, right.
Brad Crow: So, but yeah, so I would say you know, it’s not a bad market by any means and I don’t think it’s obviously like it used to be back, you know, 10 years ago, but uh, you know, but overall there’s still opportunity for us.
Josh Cantwell: Nice. And Brad, why don’t you tell our audience a little bit more about your investing strategy. I know you’re really laser focused on just kind of doing one thing and doing it really, really well. So what is your primary income strategy in your real estate business?
Brad Crow: Well, you know, for the most part we look at fix and flip properties, single family residence, obviously those are mostly going to be very plentiful. It’s an easy… (inaudible) … I guess to get involved with and find distressed properties. They’re obviously, they’re, you know, if you get the ones that are on the multiple listing, you know, they’re, they’re out there every single day to look at. So I’ve just been doing that since day one. I’m thinking that was the easiest strategy for me to attack and approach, and deal with. And so that’s kind of where we focus on is on those types of properties.
We kind of stay out of the what we call the super good neighborhoods. One because we find that at least that I found that the, that the opportunities are they may exist in some of those higher end homes, but they’re harder to buy. So for me, buying houses that are 35,000 to $75,000 are easy and fast, get in get out quickly, try to and rehab budgets are not monsters and killers and so, you know, it makes it simple and easy that you can, you can get your flips, don’t hopefully a lot faster, so.
Josh Cantwell: Yeah, that’s fantastic. So you’ve Brad been investing for about three years or so, completed about eight or deals and you sold about million two or so in real estate. Got a couple of deals in your pipeline now. So I liked, I liked the fact that you’re kind of doing this methodically, you’re doing this strategically, that fits your budget, fits your lifestyle. This is not something that, you know, you went out and took on eight, 10, 12 properties at a time, but you’ve kind of methodically punched these out one after another after another and consistently made you know, a pretty good profit in most cases, between 20, 30, 40 grand. And we talked before, we’re getting ready for this interview. Brad’s got a deal, one of his larger deals that he’s working on now that set to make potentially six figures even after closing costs and financing costs, walk away with about 70, 75 grand.
So, Brad, just talk about your comfort level starting as a new investor a couple of years ago to now, why you’ve kind of focused on fix and flips. You just kind of talked about, but you know, how you’ve gotten comfortable with the number of deals that you can handle about relative to your goals in real estate, your income goals and how many deals do you feel like in handle at a time? I’m curious to know that because a lot of new investors are thinking, well, you know, if I want to make $100,000 a year or $200,000 a year, $50,000 a year, how can I do that maybe doing just one or two or three deals a year as opposed to doing 15 or 20 or 30 wholesale deals. So just talk for a minute.
Brad Crow: Well, you know, I’ve always been a bigger fan of fixing flip because I always thought the potential earnings we’re going to be a lot higher. Now I guess I didn’t really have a buyers list to work with. So, doing the wholesaling was going I thought was to be a bigger challenge and even though I may be able to volumize doing more of those, I just kind of stayed with what I feel comfortable with and that’s you know, buying and flipping and you know. I have a strong background in the construction industry. I’ve been in the commercial industrial construction for a 36 plus years, so from a management level of it, so and I’m kind of a very much a hands on type person.
So I was really comfortable with, you know, I remember today getting my first, I never was afraid to take the leap and get a flip it was always about trying to find the first deal and then getting it funded, you know. And so those were the things I felt like we’re going to be my challenges, but I actually performing the work was never a big problem. I pick my battles when I do my rehab, I have a little bit of help sometimes, but I do a lot of things I particularly finish things myself. I hired my subs as I need to hire them for the largest portions of it. So initially going in, I thought I could save a lot more money by doing it myself as I’ve gone and done fewer, more and more, obviously I try to use a few more subs in the process.
Brad Crow: One because as a one man band sometimes you know, you only have so many hours in a day to work with, so you have to kind of pick what you can do and how well you can do it. So if you’re a person that is not a handy person, sure, then you’ve got to have good subcontractors that will, you can work with and trust and know that they can perform. And so we’ve leaped into that end of it a lot more now than what we were doing. I would eventually like to say, hey, as I grow and expand that I’m doing the lust of the hands on work and more of the management and then, you know, looking for things for future acquisitions. So to me my goal was always this starting out, doing the first one was the first one, but I was being, I was being a little, you know, making sure I was doing things that are simple method on the first one.
Brad Crow: So I would be like, alright I’ll do the first one, get it done and then close it and then go buy another one. But since then I’ve always had a goal in mind. Like alright I always wanted to have kind of three in the pipeline, you know, what I’m working on, one I’m selling and one I’m buying. So that way a wheel is always turning for me. So that’s where my goal is now as a smaller part time type investor that I’ve always got something in the pipeline one way or the other. So if I can keep and maintain that, then that obviously, you know, if you could keep the lulls from happening in between for buying your next property and waiting months for that to happen because these, you know, these rehabs take, take time and you know, you always have a goal in mind, but that doesn’t mean that’s how it’s going to happen. You’re going to get finished by those dates.
Brad Crow: So obviously we’re trying to get them done, get them sold and on the market to somebody and sold by within a six month period is our objective overall. But sometimes we like to speed it up a little bit faster. So, you know, starting out slow is sometimes not a bad thing. It just get you comfortable and so you know, what the expectations are and you know, then if you have bigger goals from that point on, at least, you know, maybe how it works, how the things are going fall into place. And, and, uh, you know, how you can attack it, increase that volume a little bit more.
Josh Cantwell: There you go. Great, great. So Brand a little bit more about your, your first step into real estate. A lot of people that maybe have a commercial construction background. A lot of our students have some construction experience or real estate experience, or maybe they were a contractor, maybe their a realtor, they have some foot or some part of their life is already in the housing industry, but they’re not a real estate investor yet. So what did you do to kind get going? What training programs did you take webinars did you take, how did you get started as one of our students? Just talk to that for a second for those folks that are really interested in real estate but haven’t yet done their first deal.
Brad Crow: Well, you know, the good thing about it is for me was I always had the Itch going way way back before Internet was even involved and I didn’t really know how to approach it, but back in let’s say the eighties, there obviously there wasn’t the access of information that there is today. There wasn’t the knowledge of private lenders and investors such as yourself out there. And, you know, most of the programs early on, we’re trying to do second mortgages and you know, and trying to get the maybe the owner to refinance the property and where you could pay them and take over the property.
But since then, you know, like I said, the internet has been a great tool and it opened doors when I, when I back when we had the 2008 collapse, you know, I saw what was going on in the housing market obviously. And there were a lot of houses all of a sudden on the market. And they were, they were cheap. They were like, wow, like if I could just figure out how to buy some of these properties. At the time I was living in Florida and Florida is one of the higher states hit in the country during that timeline.
Speaker 3: And like I was trying to, you know, I was trying to find a way how to make, how to do deals. Well, I didn’t really come across anything. And I think it would just simply internet search looking how to buy distressed properties and you know, and so I spent a number of months, you know, gathering the information and I can, I ran into you eventually on the YouTube and saw some of your, I don’t think that you were doing any funding, I think you just kind of showing your abilities what you were doing with, you know, how to rehab houses and buy houses and so forth. So watched a lot of your early videos. I watched a lot of John Cochran’s stuff as well because you two seem to be connected a little bit.
Josh Cantwell: John was a student line from eight, nine, 10 years ago.
Brad Crow: Yeah. So it was a great learning curve seeing some of that, you know. So that was kind of my thing. I just kind of, I just did, I just watched a lot of internet stuff and went through the process of trying to figure that out. What the, what the formula was for buying, how to buy you know, how to create rehab budgets. That part was pretty simple for me doing rehab budgets because you know, I use estimating software that I have that allows me to really go in and get fine and detail with what my rehab is and not just take a stab at it.
But I always, my thing for me is I look at the, I look at the, what the property is being offered for. I’ve tried it once I figure out what the potential retail ARV value of the property is worth, what they’re selling it for how much money does that leave me in there for rehab and then I kind of go back and say, can I get this rehab budget done for that amount and then that’s kind of what I start deciphering what the rehab is really needs to be. And you know, what the money that we have set aside for can be if that’s enough to cover it and do, is the offers is the listing price good? Can I buy that list price or do I need to make a counteroffer or something lower. So once I get all those numbers in my head, and it’s on paper, I kind of, then that’s how I approach making the offers, you know, and so.
Josh Cantwell: That’s great Brad, I appreciate that. Yeah, I think a lot of people eventually just got to get tied in with a system, right? It’s watch webinars and YouTube videos and kind of get started with that like you did. I mean, that’s why we put that stuff out there is so for people looking for that type of information to kind of look at the those free items and free trainings and free videos and then eventually, again, if you don’t want to have Brad’s construction experience, you know, take the time to go through and invest in yourself. The greatest return on investment is investing in yourself or some sort of training program or coaching program that’s going to have the highest return on investment of any investment that you make.
And that’s, that’s, that’s really amazing. So spend your time doing that. I’ve invested hundreds of thousands of dollars in myself over the years and it’s always, always paid off. Brad when you’re looking at deals now, what is your top methods to find deals? You said there’s a couple hundred deals out there for you to find and look at and you said the HUD kind of drying up, but there’s a lot of still some bank owned inventory and financing owned inventory. You’re looking for distress off market deals. What are some of your top ways to find good inventory in today’s market?
Brad Crow: Well, you know, for me I keep it really simple, you know, I know there are probably a lot of different methods a person can go through, you know, they say, you know, don’t always live and die by the MLS system, but I do use it quite a bit. I have a portal setup, but that’s all I receive is distressed properties throughout the state of Indiana. And you know, I just go through my portal that I get on a daily basis and I just look to find those properties I think that are worth considering. I search them out and you know, I do like everybody else should be doing, for not going on the internet trying to find out what the, what the real property value might be worth and you know, trying to determine at that point you’re just, you know, do your, do your due diligence and trying to figure it out if it’s worth making an offer on.
Brad Crow: Just because it’s on the market doesn’t mean it’s right, it’s worth, I mean, you know, some property you just can’t buy no matter what, even if they’re distressed or foreclosed, but just got to do your homework and do your numbers and, you know, figure it out if they fit and if they fit, then you look at it closer and make your offer, you know.
Josh Cantwell: That’s great. Brad are you using some variation of our automated offer formula where we take the after repaired value multiply times approximately 65 to 70 percent and then subtract your repairs and that kind of becomes your maximum offer price or a variation of that.
Brad Crow: Yes, that’s correct. That’s kind of the simple guideline that I use, you know, to determine that. So I’m always trying to make sure it fits in those numbers and those guidelines. And if you stay there, you should be okay. I seem to find that most really good distressed properties as they run high end neighborhoods, they seem to be, they seem to be discounted at about 35 percent retail value. The problem I have with those, with those types of properties is banks know that and they don’t usually want to go deeper than that. So you got to look at what are the properties located at and if it’s really a bad property in a good neighborhood, then great. This current property that I’m doing right now is exactly that type of thing. It was a home that was in a high-end neighborhood, middle class neighborhood. And the fortunate thing about the deal was I walked into it just by pure luck. I saw it listed. What’s that?
Josh Cantwell: That’s the best kind of luck. Pure luck.
Brad Crow: Yes it is. And, and thing was, I mean actually it was under contract and somebody else had it under contract, but the bank got tired of waiting, the guy could not provide a proof of funds. So it just goes to show you how important that little piece of paper is worth and he couldn’t, he couldn’t prove it, I could prove it with your, with your system and it allowed me to create that proof of funds letter immediately and the same day I was out looking at the property, making an offer on it because like I said, it was a home run. I knew if I didn’t beat somebody to the punch, somebody was going to beat me to the punch. So that’s kind of, you know, how it works sometimes.
Josh Cantwell: Perfect. Perfect. Yeah. And what Brad’s referring to is, you know, we’re a private lender. I’ve funded a over 35, $40 million dollars worth of private lender loans. A lot of that to my students, Brad being one of them. And Brad’s been a regular, a borrower and student that we’ve created a great relationship with. Brad we funded, what, four, five, six, seven deals for you. I mean, what are we up to now?
Brad Crow: Actually, you’ve done every single one of my deals.
Josh Cantwell: Okay. So we’re on number eight. And the one that Brad’s got going on right now, it’s going to be his biggest one if everything works out as planned, as projected and wrapping that rehab up and that thing will be on the market here soon. And again, looking at a very high, close to a six-figure profit from that deal. We like working with Brad, you know, he knows his numbers, knows this construction numbers, but also knows his market really, really well. If you’re listening to this and you’re looking for funding a check out our website by the way, FreelandLending.com. We are what’s known as a boutique private lender. You know, we’re not a huge billion-dollar lender, but we have lent out over 35 or $40 million dollars of my money and my other private lenders money that we manage. We fund deals for guys like Brad that really know what they’re doing that are great operators that we believe in that are doing a great single family deals and even some commercial deals as well.
Josh Cantwell: So Brad, let me ask you, let’s go back to the past for equipment that you mentioned you got the real estate bug awhile ago in the eighties, but just, let’s talk about the last three years or so since you’ve really jumped in and we’ve funded a bunch of your deals for you and you’re really kind of got this thing going again, still part time, but you’re definitely moving along at a nice, you know, kind of consistent pace. What exactly were you trying to accomplish by investing part time? What were you either you know, what pleasure where you’re trying to pursue, not just having more income and more wealth, but what did you want that income and wealth to do for you? Did you want to spend more time with their kids and grandkids? Did you want to take more vacations that you want to maybe support your retirement income? What was your real motivation to really get going with real estate a few years ago?
Brad Crow: Well, I would say the biggest motivation was I’m just trying to create a stronger wealth with the idea of building a stronger retirement. I’m not that many years away from that, from that timeline, but still got a few to go, but I just thought, well, you know, if I could, you know, build more comfort from, for that down the road, then that would be what my objective was and, you know, I have, I have, you know, on the back burners kind of my overall, I have a company type goal that I’d like to build a business and establish it in a way that you know, that it can actually be a full time line of work with buying, selling, rehabbing, controlling, all of those different aspects and phases of the job in house. And so you know, I’m still aiming for that. I’m not looking to ramp it up a little bit more, but the biggest thing was I was starting out was like, just building, thinking about retirement wealth more than anything was my ultimate goal so.
Josh Cantwell: Got it. Got it so just supplementing what you’ve already done, build your retirement income and have more of a sense of security, right?
Brad Crow: Correct. Correct. Yeah, and whatever happens in the, in between, obviously it’s great to, you know, so there’s always been that fear factor of what to invest in, I took a massive hit a number of years ago back in the stock market and I’ve always been a little bit leery of the stock market thinking, well everybody that’s made wealth is always talked about real estate to me. And so I was like, hey, got to figure out a plan on how to get into real estate where you can create something that’s a little more comfortable, a little more safer and just know the ins and outs of it. And so that’s kind of what I’m trying to attempt to do, you know.
Josh Cantwell: There you go. Yeah. It’s funny you talk about the stock market, you know, I was a financial advisor for a long time and I have a financial planner now who just helps me write a financial plan for me and my wife and my kids. I don’t want to buy products from him. I don’t buy any life insurance or stocks, bonds, mutual funds from him. But you have somebody write a financial plan, which I really love. So I have a thick binder with all my plans where all my assets are and all my assets are in real estate. But the funny thing is, you know, if I talked to 100 people that are millionaires from investing, 99 of them made their money in real estate and one maybe made their wealth in stock market.
And actually, Brad, I can’t think of one person in my life, if I asked him, you’re a millionaire, how did you save your millions? I can’t think of one guy that ever said I became a millionaire trading the stock market, but I have, you know, hundreds and hundreds of family friends, students, colleagues, who become millionaires in real estate. So it, it’s just a, it’s just a funny conversation. You know, like the stock market in 2018 started out like gangbusters. Everyone believed in, you know, deregulation and Trump’s message of smaller government and lower taxes and that set everything on fire. And here we are at the end of the year and the stock market, actually lost about six percent in 2018 you know, because there’s fears of a recession or there’s fears of interest rates going up. And so again, I’m not worried about my real estate portfolio regardless of what’s happening with the government or who’s in office, what’s going on interest rates. But if I’m in the stock market, I’m a little bit leery. So I like
Brad Crow: …that sense of peace of mind that real estate provides for me. You hit it right on the head. Exactly. I think there’s no doubt. I mean if you buy properties right, you shouldn’t be too concerned about having to lose money from fixing and flipping a house, you know, so stock market can’t make that guarantee, so, you know, real estate’s a good deal.
Josh Cantwell: Yeah, for sure. Yeah. As evidenced by your success, which is great. So Brad let’s talk about the future. Let’s talk about 2019, you know, what are you trying to accomplish this year? Are you still planning on kind of methodically chugging along, doing these two, three, four, five deals a year? Are you building a team? Are you growing? What does 2000, 19 and beyond look like for you?
Brad Crow: Well, I’m not. I’m kind of, we did last year I bought four or five houses now I think for 2000 and that was the most I bought at one time. And I’ve always had a goal. My goal was going to be somewhere between six and eight for 2018. I think I could of got to six but I decided at the year end I wasn’t just going to, I was going to try to clean up a few things that I had on the table first. But you know, as if I stayed like I am and I’m just going to be a one man band buying and selling houses, yeah, I’m probably going to be keeping in that type of scenario, you know, four or five houses a year. Ultimately, if I really want to build it as a business, then I need to obviously put a team in place. Obviously my volume needs to go up, and we need to probably double that in some capacity at the minimum. So I’m just kind of trying to figure out a little bit of starting out how this year’s going to go. Once I clean off my plate from some of the stuff I’m still carrying from last year, then I think I’m going to be trying to go a little bit bigger and a little bit more of is my, is my thinking process. So yeah, so we’re looking for definitely looking to increase the numbers over what we did in 2018, whether that’s buy two houses or four houses or whatever that happens, but we’re definitely going to try to shoot for a little bit higher number on everything we’re doing so.
Josh Cantwell: There you go. Yeah. That’s great Brad. You know, there’s a lot of people are, I think a lot of people get kind of just, they, they totally buy into real estate, which is awesome, but they also think like, I’ve got to get really big really fast and they fall in love with speed. They fall in love with growth, which is great but you’ve always got remember, growth and speed and income relative to your goals relative to your lifestyle. Not everybody wants to work, you know, 50, 60, 80 hours a week just going like a freight train, pursuing their goals. A lot of people I know are very comfortable doing this business part time, doing two, four or five deals a year 30 grand a pop, you know, 40 grand a pop times five. That’s a nice six figure plus income. And lots and lots of personal freedom. Right?
To me real estate’s about personal freedom. It’s not really about the income I’d make anymore. It’s about personal freedom to be able to do what I want, coach my kids, see my parents, that kind of stuff. Right? So on a personal level outside of income and wealth, like what do you want real estate to do for you with that personal freedom? What kind of things you like to do in your free time there? Real estate allows you to do?
Brad Crow: Well, you know, it’s always exciting to be able to take vacations when you’re going to take vacations, go places that you’d never been before, wanting to go to see and have the ability and means of doing so. And so that’s always little bit of my family personal satisfaction from that perspective, you know, is enjoying life to the fullest that you can enjoy it with, whether it’s, you know, you and your spouse or you and your family or your grandkids or whatever the case, your children, whatever the case may be, you know, but definitely looking to, to seek the rewards from that. You know, obviously, you know, cash, cash is king, so it buys everything you can’t unfortunately you can’t live life without in some capacity. So whether you needed to support yourself and pay your bills, pay your mortgages, whatever you’re still got to find means of doing that. So yeah, I think in general, you know, that’s just trying to live life comfortably, enjoy the fruits of success and you know, and just keeps for me it’s just continually trying to grow. Like you said, my goal, it’s not turning to a, trying to make it all happen in the first six months, you know, sometimes it takes years for businesses to get to a level where, you know, you feel like you can keep taking on more cost and more debt, more revenue, more everything, you know. So, and sometimes it’s better to take that walk, you know, simple slowly with trying to do, you know, 20 or $30 a year so.
Speaker 2: Absolutely, absolutely. I, I agree with that. It’s got to be it’s got to fit. It’s got to fit with their goal. It’s got to fit with your personality, the lifestyle that you want as long as it’s a fit, that’s all that matters. Somebody wants to do 20, 30 deals and make all kinds of money. That’s great I’ve been there, done that many times. I also know some of the sacrifices that comes with that and some of the time that’s committed to the team you have to pull. And I also know what it’s like to keep things very, very simple. And sometimes you know, the great thing about the way I look at it as God created us in a way where, you know, one of the, one of the beautiful things about life is simple and secure and having consistency and also God also created us in a way that we love variety and we love new things and it’s that balance between consistency, security, having regular recurring things in our life that we can count on, but ultimately if they have too much of that life can get a little bit boring.
So then we had this little bit of insecurity where we want to go try new things and maybe expand a little bit and as long as it. What I tell my students, as long as they’re managing that in a way that’s comfortable for them and their family, that’s all that matters. It’s not about what the next guy is doing. It’s about what they’re doing for themselves. So Brad as we kind of wrap up here, kind of, you know, round third base and kind of head for home. Tell us a little bit about maybe a deal that you’re working on now or maybe a crazy deal that you completed that you finished or maybe a deal that he didn’t do that you’re glad you didn’t do. We all know that not every property is the same. There’s probably deals that you wish you would have done, maybe a deal that you wish you didn’t do or deal that you’re working on now that your really excited about. So tell us about that.
Brad Crow: Yeah, you know, it’s kind of funny, I guess. I mean, when you, when you start doing deals, it’s amazing what you learn from each deal, from the process of buying the property, to the acquisition and closing it to rehabbing it, to even go into the closing table when you sell it. And always, there’s always different things that happen. I mean, there’s no two properties that have the exact same type of things going on with them and some of these things you don’t discover until you take the lid off the care and figure out what’s inside of exactly. You know. And so you’re like, oh yeah, yeah. So it’s kind of happened right now the property that I’m currently working on that I knew it has some issues with some things that we saw, some potential structural issues. Some interior walls and as we got in and started digging around deeper, the house we saw was, had been at one point in time, it had been infested with termites and this was my first one of dealing with this magnitude of any kind, whether it’s personal property or an investment property or whatever. And it’s like, wow, you know, this is this is pretty, pretty amazing. What happens with the fact of termite damage is. So we all lit up walls and then we figured out, Oh wow, we’ve got houses roof even standing up is what our question was you know. So, you find those type of things.
Brad Crow: And then we found and I found more so that if you get up in the attic, and you start crawling around, right? You find out, oh, the house was covered in mold on the decking. And so we had to strip the mold off of it. We had to tear out the walls and build new walls. And but it didn’t scare me, you know, it wasn’t something like, Oh man panic time what am I going to do? I got to know this is going to cost me so much. I figured the ways of doing it, the best ways of doing it, what it was going to cost me to do it. And then I knew what my budget was and if I had some, some, sometimes I’ve got some slush fund in my budget, I can kind of move things around and spend it for this versus that, you know, and so we do that.
Brad Crow: We did that and we accomplished at the end we’re accomplishing at the end, what we still plan to do from day one and but you just never know what you’re going to run into a house. Same thing, you know, plumbing issue. You don’t know how well or if these pipes are going to be frozen or not frozen. I had a lot of, well water issues with houses, which you can never determine how much issues are going to be with wills, but until you try to turn the water on, then you figure out, oh I got a bad pump are. You may have to even drill a new well, but you know, it was kind of you just can never tell. And I kind of also been that way about houses with pools, I’m always a little leery about buying a house with a pool because I know I don’t know what the pool was in operation doing before it got shut down and winterize did somebody winterize it before hand or did it get winterized after the fact.
Brad Crow: So those are things like that kind of didn’t make me a little bit apprehensive because I never know. I know there’s potentially high dollars it could fall into some of these categories, but like I said, no two houses are the same. You learn from each one and you learn even from doing a home inspection when you’re selling the house because sometimes there’s always new things that come up there that you didn’t anticipate that you’re going to have to even fix after you’ve got a contract on the property. So you just deal with them one at a time, and figure out the best means of ways of taking care of it. And it all works out in the end usually, so there you go.
Josh Cantwell: And that deal with the termites and the mold, that’s the one that we funded that you’re in the process of finishing up some of your biggest deal to date, close to six figure income. So even with some of those challenges still, you know, big pot at the end of the rainbow, which is exciting too. So Brad last question, you know, if you kind of look back at this little career that you’re building here last couple of years, or even looking back in the eighties when you first got your, kind of caught the real estate bug, is there anything that you would tell your younger, former self, any advice that you’d give back to yourself or get back to our audience as they look at real estate or they’re looking to build their portfolio and build their business?
Brad Crow: Well, you know, I think the thing is for me was don’t be afraid to take that first dive. It may look overwhelming. It may look scary. You’re going to have a lot of if questions, what if, what if, but you know what just have a good plan, a good strategy, a know exactly what you know, what your numbers are, trying to be very precise as you can on your budget because you don’t obviously want to see massive budget overruns. So try to stay to that budget and that’s kind of how I still use that same approach today, you know, and when I’m buying one houses, two houses, three houses, you know, it’s all the same for me when I’m doing that. So just be patient, just know your numbers and don’t be afraid to reach out and ask questions to anybody that maybe you know of or are friends with and, and you know, there’s always support out there if you don’t know the direction to take, there’s always support to get somebody that will help you get through that process.
Josh Cantwell: Yeah, you bet you bet. Brad that’s great. Thanks so much for joining us today. I want to leave our audience with some resources try to do this on every call. And so, you know, if anybody that’s listening to this now or in the future, wants to reach out specifically to Brad, if you’re in the Indianapolis, Indiana, The Greater Indianapolis Market, want you guys to connect whether you want to joint venture on a deal or become a private lender for Brad or you have maybe your wholesale or you could send Brad some inventory for him to buy. So, Brad, if somebody wanted to reach out to you and ask questions or to do a JB or be a private lender or something like that, what’s a good way to reach out to you, how should they connect with it?
Brad Crow: Sure. Well can reach me at my office number and that number is 317-774-5274, I also can be reached at my email at Brd.Crow@Gmail.com.
Josh Cantwell: Fantastic. So we have Brad operates outside of the Indianapolis, kind of in the suburbs. Does a fantastic job. I want to give you guys some other resources. Well, definitely reach out to Brad and touch base with him, network with him. And hopefully you guys will do some deals together. As Brad and I have talked about, we funded a number of deals for Brad. It’s been a very successful investor in RR with us. We’d like to fund his deals, always knows his numbers really well. If you’re interested in looking for funding for your deals, you can visit us on our, on our website at FreelandLending.com. Fill out the inquiry there. As Brad mentioned, we also provide a proof of funds letter. He’s able to log in, profits, proof of funds, kind of customize that for each deal he’s doing which he told a story about and make sure he got funding for that deal that he was able to buy when someone else couldn’t perform. So check out FreelandLending.com. And then finally, if you’re looking for some resources or some coaching or not really sure what to do check out our website at JoshCantwellCoaching.com there you can apply to be one of our coaching students, JoshCantwellCoaching.com. Again, if you go there and you kind of fill out the form, again, there’s no cost, no obligation, and our coaching students weed that out through an interview process.
Josh Cantwell: So if you’d like to know more about how to go from intermediate to advanced or new to intermediate or advanced to super professional and managing tens of millions of dollars like we do, we can help you from a brand new investor all the way to super advanced with our different programs. So check out JoshCantwellCoaching.com. Finally, you know, Brand great job on in the interview today. I really appreciate your time.
Brad Crow: Yeah, thank you. I appreciate you having me on.
Josh Cantwell: You Bet. You Bet. So guys this will be up on YouTube. I’m sure this will be up in iTunes as well. You can find this at Strategic Real Estate Coach in either one of those platforms. If you enjoyed the interview, leave us a five star rating, and leave us some comments, questions. We’ll monitor that. If we get a good question on there for Brad, we’ll feed it out to them him we’ll get a response from him. If for any reason you didn’t like the interview, we have us a five-star rating anyway, we appreciate that, alright. So thanks so much for being here with us today. Brad thanks so much. We’ll see you soon, my friend. Thank you. All right, you guys take care. Talk to you soon.
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