Feb 4, 2019
FAR 226
Brian Dally, Ground Floor
Funding
Expected Air Date:
2/2/19
Opening
A little over a year ago we asked
everyone in our group what were their biggest needs in their real
estate investing work. They were:
- Deals
- Money
to do the deals.
- Help,
advice, mentoring for the opportunities they were
considering.
You spoke -- we heard you. As you
may have heard, the Flipping America Network is about to be
released in the wild. This is the Buying platform for real estate
investors nationwide. Post your property in the FAN and it will be
seen by hundreds (we hope thousands) of investors including
possibly someone in your zip code. My dream is that one day anyone
can jump into the FAN and find a deal.
- The FAN
connects real estate investor buyers with actual properties (no
dummy listings).
- The FAN
allows wholesalers to post their properties. There’s no need to
build buyers lists, and maintain mailing list programs. Focus on
deal flow.
- The FAN
allows homeowners to list their home for sale providing a direct
connection to cash buyers.
- Buyers
can reserved 48 hour exclusive access to their favorite ZIP
codes.
So that’s deal flow.
How about the money?
At this moment, there are
literally billions of dollars available to real estate investors.
Just in my Atlanta network we get contacted by a new hard money
source nearly every week. It is NOT difficult to find. However, it
can be a challenge to afford. Wait, if I’m borrowing the money for
a project, what is there to afford? First you have to make a
downpayment, usually 10-20% of the purchase price. Then you have to
pay the loan origination fees up front. On just an average loan
this can be $25,000. You will probably have to keep three months of
payments in your bank account so that could be another 6-10
thousand. And you have to make those monthly payments. So how many
of these can you do at one time? For most people it’s ONE. If they
can afford anything that’s all they can afford. That means if you
hustle and finish in six months you can do two projects in one
year. If you make 40k in each deal after expenses, it’s a decent
year. But I bet you’re not ready to quit your day job
yet.
Enter the Flipping America Fund,
working with DT Investments. We are looking nationwide for
qualified operating partners who choose to become a part of our
family and access funding for their deals. In short -- we put up
the money -- you do the work -- and we split the profit. If you
have the contracting and management capacity, there is virtually no
limit to the number of deals you can do. Your net take away from
each deal may be less, but suppose it’s 30 thousand instead of 40.
And suppose you can do ten deals a year instead of 2. I think you
see the advantage.
This opportunity isn’t for just
anyone. We have to be persuaded that you are a good fit with us.
You’ll need to demonstrate proficiency in flipping. Although
designed for experienced and effective investors, There is a
possibility we will fund newer people as well, but there will be
more hoops to jump through and possibly a training
requirement.
This funding model has always
been a part of our vision here at Flipping America but we have been
rolling it out carefully, slowly, and with many tweaks to the
program while operating at a small scale. We believe we are ready
now to scale this and it’s about to happen.
My guest today is Brian Dally,
co-founder of Ground Floor Funding. Ground Floor is an innovative
crowd-funded platform that allows passive investors the opportunity
to be involved in the activity of people flipping houses. It’s a
cool platform and you can make good returns on your money there. We
will talk about Ground Floor and it’s operations, but in the second
segment of our interview, Brian and I are going to announce one of
the biggest developments in the history of Flipping America - a
joint venture project. In about three months you will be able to go
onto Ground Floor’s website and invest in the Flipping America
fund, which will spread your investment over a number of projects
being completed by our Flipping America Operators nationwide. And
as we split the profits with our Operators, this return will create
a dividend for you. Stay tuned and you’ll hear about this
incredible opportunity.
How to contact us
www.flippingamericanetwork.com
Facebook.com/flippingamericamedia
Twitter and Instagram
@FlippingAmerica
YouTube:
bit.ly/FlippingAmericaOnYouTube
Linkedin:
bit.ly/FlippingAmericaOnLinkedIn
We now have a profile at
houzz.com for what it’s worth.
Call our National Comment Line:
404-369-1018, ext 1. Leave your message or your
question.
Announcements:
- Lunch
with me every Wednesday. Baraonda
- The FAN
is rolling out very soon. First quarter for sure, possibly within
the next six weeks. It’s an online property marketplace for
investors. Free to use with a small technology fee when you buy a
property. Wholesalers no longer need to build a buyers list. Just
log on and a massive buyers’ list is waiting for your property.
Rehabbers can look at the deals, the pictures, the information on
the property, and make a decision. You can also reserve your
zip code and get 48 hours of exclusive access to all new listings
in that zip code. Homeowners - you can list your property in the
FAN for free and get an all cash offer very quickly.
- Hey
would you buy me lunch just so you could pick my brain? For less
than the price of that lunch, just $9.67 per month, you can have a
whole month’s worth of my brain pickings by joining the Premium
membership. Just go to flippingamericanetwork.com and click on the
FAN. On this show I keep a pretty narrow focus on real estate and
small business development. But if you subscribe to my FAN premium
blog you’ll find out what I think about a wide variety of topics. I
will do my best to give you a $10 or $100 idea with every post and
I WILL be talking about real estate, but I’m going to weigh in on
some other topics as well. Which topics? Whatever interests me. And
I have a wide range of interests. Coming up in the next few weeks
I’m going to weigh in on the immigration debate, I’ll be talking
about the notion that “you shouldn’t listen to what anyone says,
just be yourself.” (one of the more misguided ideas of our time).
And I’m going to spend a little time talking about how we learn
because we should be making that part of our life journey. I’ll
tell you the books I’m reading, the thoughts I’m thinking and the
way I’m taking my business.All for less than it would cost you to
buy me lunch.
- First
Thursdays, Join us at 7:30 pm on Facebook live for free. Next up,
Deonna Britt, founder of LawClerk on Demand
- Jan 31,
BnB Formula Webinar
- March
16-17, FlipStarter, www.flipstarterevent.com.
- My
calendar hit Amazon this week. It’s called the GMS Planner. GMS
stands for Goals, Milestones, and Steps. It’s a system I developed
for my own use several years ago and after listening to my friends
and business associates tell me I should be selling it, we started
producing it for the help and benefit of others.
- Now for
the really big announcement. Would you like to invest in the
Flipping America projects across the country? Coming soon you will
be able to for as little as $10. That’s right, Flipping America is
partnering with Ground Floor Funding to create a crowd-funded
platform where you can invest in the deals we are doing here. The
fund will pay out a 6% preferred rate of return and can go as high
as 20%. We have some hoops to jump through at the SEC, which is not
open right now but it can’t stay closed forever, right? Once the
government reopens we will be about 60 days from launch of this new
venture. You can make money with me, the Flipping America
Guy.
- Flipping America App is in the app store. You
can listen to the show, read the show notes, and the entire catalog
of shows is now available to you. It’s a free download and there
are no upsells or in-app purchases. Free to download, free to
listen. Go ahead and give it a try and drop me a line and let me
know what you think.
- Want a
quick analytical tool to tell you how strong a potential fix and
flip deal is? Download the Property Grade app. You answer 10 simple
questions about the property and the app instantly tells you what
you can expect to make, your return on investment, your return on
cash, and then the program gives the project a letter grade using
the proprietary Flipping America Investment Property Grade
algorithm.
Comment Line calls and
Questions
Call 404-369-1018, press 1 and
leave your message!
Emails:
- Zeke,
Baltimore, MD. “I went to your website to look at the inexpensive
houses you’ve talked about and there is only one house there. Will
you be getting more? Is this going to continue?”
- Annalie, Centralia, IL , “I saw you have a house
in Du Quoin, about 45 miles away from here. I want to know how you,
in Atlanta, GA found a house in Du Quoin, IL. And why would you buy
it? I’m just curious.”
- Stanley, Villages of Ocala, FL “I’m always
interested in low priced properties and like the cheap houses, but
how do you make repairs on a house hundreds of miles away, and how
do you look after the tenants?”
- Allison, Pittsburgh, PA, “I researched a couple
of the houses you had on the site before they were sold off. You’re
asking 10,000 and they are only worth $25-30k and they need work.
It doesn’t seem like the numbers add up for a flip
property.”
- Buck,
Macon GA “What minimum credit score should the people have in these
inexpensive houses for me to sell to them? And how do I find that
out?”
- Madison, Milwaukee, PA “How do you collect the
payment for these inexpensive houses? Do they mail a check? I’m
imagining the hassle of dealing with returned checks over long
distances, etc. It makes me uneasy.”
Motivational Thoughts for the
day
- "People
often say that motivation doesn't last. Well, neither does bathing
-- that's why we recommend it daily." -Zig Ziglar