Expected Air Date: 10/11/18
Tom Olson is a very active Real Estate investor working in Northwest Indiana Area. Tom and his teams at Olson Group provide lending, turn key, and active turn key investment opportunities to today’s smart investor. Tom and his teams manage his rental portfolio which includes traditional rentals and short term vacation rentals.
Tom has been a real estate entrepreneur for over a decade and has been apart of over 1500 real estate transactions. Tom and his team at Good Success, lead the Community Go Giver event each year, to help showcase how people like Tom and companies like Olson Group are having a positive impact on their community and to encourage other real estate investors to do the same.
Tom also has a mastermind for elite active real estate entrepreneurs called the Good Success Mastermind. You can check them out on social media, the Good Success podcast or online at www.goodsuccess.com
Tom has been in construction for over 20 years, Tom has been a part of over 1,500 transactions since 2007 and completed over 600 rehabs. Olson Construction Management offers Full Service Construction management and world class Property management for the Active turn key and turn key properties they provide to smart investors.
Tom also offers lending opportunities to people looking to get a steady return with less headache and less time involved than owning real estate.
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Guest: Tom Olson, Community Go Giver
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From a wholesaler in Atlanta: “Why can’t I get my properties moved out?”
Motivational Thoughts for the day
- Earn a lot so you can have a lot so you can give a lot.
- -Tom Olson
[0:16] The show that teaches you how to make money in real estate wherever you are whatever your situation there is an opportunity for you flipping America is sponsored in part by American IRA
founded by investors for investors on the web at American Ira. Com.
[0:34] And by Braswell Capital Solutions commercial lending made easy on the web at Braswell Capital solutions.com.
And now you’re sad flipping America guy Rodger Blankenship we try to always bring you a
good show we try to bring you a great show and today is no exception man I’m excited about the guest coming up in just a few minutes Tom Olson is a very effective real estate investor working in Northwest Indiana Tom and his team’s at the Olsen grew provide Lending
turn key and active TurnKey investment opportunities to today’s investors Thomas teams managers rent.
Rental portfolio which includes traditional rentals and short-term vacation rentals he’s been a real estate on for no for over a decade in the part of over.
1800 real estate transactions Tom and his team a good success lead something called the community go-giver event to help showcase
how people like Tom and companies like the Olsen group are having a positive impact on their community and to encourage other Real Estate Investors do the same we’re going to be talking about and then a few minutes, also has a mastermind group for elite active real estate entrepreneurs it’s called a good success Mastermind and you can check them out on social media
or you can actually follow the good success podcast online at
www. Good success.com Tom’s been in construction for over 20 years I tell you the guy looks like he’s probably not even 35 so I don’t know.
[2:00] He started young I suppose there’s been a part of over 1,500 transactions and completed 600 rehabs he offers full service construction management the also does Property Management.
active Turn-Key Properties he’s doing so many things I can’t wait to reintroduce you we’ve had him on the show about a year ago and you know some things have happened since and he’s done a few more properties and we’ve done a few more properties
he’s doing the podcast we’re doing the show and it’s it’s just good to catch up with him high
I’m Rodger Blankenship but I teach people how to make money in real estate we’re on the way to training the next generation of real estate millionaires not just so you have a million dollars
but so you can also make a difference as Tom eloquently puts a little bit later on.
[2:48] I want to get you connected with us is as easily as possible until we give you multiple ways you can find us and follow us on all kinds of social media that would be a video for example Facebook you heard of that
look us up at flipping America media on Twitter and Instagram followers at flipping America we’re on YouTube we just getting rich
look up flipping America on YouTube and you know you’ll see the familiar logo and and you can go over there and you can see interviews like the one coming up with Tom they will be posted in them in a week or so and.
[3:21] Dimmer on LinkedIn we’re on house.com where on Pinterest were everywhere on social media we have a website flipping America Network
calm and you can listen to the show right from the network if you happen to miss a show or if you’re a new listener you can go to the website and look up the shows but even better than that
we have an app it’s called flipping America it’s in your app store it’s completely free
there’s never an in-app charge there’s never enough grade it’s always free everything in its free and the beauty about a beautiful thing about listening through the app is well first of all you can schedule and listen whenever you want to like I get comments from a number of our listeners that they
turn this on for their daily commute and they enjoy this more than listening to the news and it you know it’s really nice to hear those things and my ego loves it so keep on.
Telling us that you’re listening to the show we appreciate that it just makes us want to work harder to bring an excellent product to you but.
[4:18] In addition to being able to listen to the show whenever you want you don’t have to wait for the broadcast you’re able to access all of my show notes
now I don’t leave this for some Insider club or anything like that it’s it’s right there when we do the new stories there right there you can click on the links right on your phone or however your
listen to this you click on the link so you can go to the stories you can read the stories and I’m reading you can form your own opinions and I encourage you to do that and you do not have to agree with me simply because I’m reading this stuff and thinking about.
But then again you may not want to go through all the church and graphs and and research studies and all that not all the stories are that way then we have a number of stories that.
We access and thank you might be interested in but we have no chance of getting to him on the show that’s why you should follow us at least on Twitter because.
It on Instagram the links aren’t clickable but we’re sending 15 or so stories to Twitter
everyday some people tell me it’s too much I say well you know if it’s a slow day then we’ll have less but as long as there’s something interesting that you may want to know about we’re going to go ahead and post it and and schedule that out there
upcoming announcements I’ll get the big one last but.
[5:35] First of all let me invite you to come to lunch every Wednesday this past week we had someone with us.
From Indiana we’ve had visitors from Canada and California and the Caribbean islands and so if you come from out of town and tell me.
That you listen to the show and you heard about us on the show your lunch is on me so if you’re ever in Atlanta on a Wednesday.
[6:00] Plan to come to the Huey luey’s in Sandy Springs you can look it up you can email Secret Show for directions but Huey Lewis
Mexican restaurant in Sandy Springs and will be glad to buy you lunch and happy to talk with you.
This meeting is just a casual meeting we call it creative dealmakers and and you know we never can really tell what kind of deals are going to be made but houses get bought and sold almost every week we had some houses presented this weekend
maybe they got but I don’t know I did talk to one of the young man about.
The numbers and so forth and because of that he is going to sign up and come to my next flip starter course which is a it’s a one evening and then all day Saturday it’s Friday evening and all day Saturday and this is coming up November 2nd and 3rd
right here in Atlanta Georgia and
you want to make it if you want to be in The Fix and Flip business and like I say over and over again it’s not for everyone but if you want to be in this business you owe it to yourself to.
[6:58] Bite the bullet for the $200 charge and get to Atlanta and take this seminar why well here’s three promises promise number one I promise you I’m not going to tell you everything you ever need to know about real estate.
That’s right I promise you I’m not going to tell you why not because this is some glorified 8 Hour sales pitch into some other course no
I just there’s no way I have time and there’s no reason you need to know all of that right now you need enough information to get started that’s why we call it flip starter and
the other you can get as you go trust me been there done that promise number 2.
I am going to tell you everything you need to get started or not going to hold back we’re going to show you everything that you need
and we are going to make an offer at the program for people who want deeper mentoring and want access to deal funding in that sort of thing and it will do that we’ll talk about that but
if you’re motivated and inquisitive and you have a reasonable amount of skill around a spreadsheet and that you can figure some things out and you’re willing to get out there and talk to people and learn as you go if you have that kind of I guess.
[8:07] Entrepreneurial spirit it’s possible that after flip starter you won’t need any further training.
[8:14] And that’s okay with us so it’s $199 but right now
we’re running the second mouse discount for $149 on the website you just go to flipping America network.com and it’s right there at the top of the page and if you’re wondering what the second mouse discount is well.
Just keep in mind it’s the early bird that gets the worm but it’s the second mouse that gets the cheese.
[8:41] And so we got a little cheese for you you save $50 by being the second now she missed the early bird cuz it’s shut off at the end of.
Last week but then we’re running our second mouse discount for a few weeks now and give you an opportunity to get in a discounted prices but the prices are going up to the full 199 and at that point you know.
If you know you snooze you lose same as in the business so get your reservation to me now that’s Friday November 2nd.
And Saturday November 3rd There’s an opportunity for you to have a dinner of the VIP thing in there we’re going to go to a nice Italian place and have dinner that night and you’ll have
a little bit more exclusive access to me the flipping America guy will sit we’ll talk about
your specific issues and questions and things that we may not be able to get to.
In front of the whole group on Saturday and then we’ll come back Saturday morning and we’re going to Dive Right In and they’re going to answer a lot of questions and and saw some things and help get you started
all that is coming up November 2nd and 3rd if you’re in Atlanta tonight.
[9:46] Tonight October 11th we are going to be at our local event the flipping America local event.
The Hudson Grille in Sandy Springs now I bring into speaker every month except for one and this is the one month of the year that I’m doing the speaking myself I’m going to do a talk called opportunity spotting.
How to find the next big thing in real estate and if you’re paying attention.
We’re probably going to be live streaming this too if you’re not from Atlanta and you want to watch it now it’s a little dark it’s a sports bar where we hold this thing so you know that it’s not broadcast quality but it’s you know if you’re thousand miles away it’s better than not being there at all right
so watch for something.
[10:46] Have you ever seen one of those Fix and Flip TV shows and thought to yourself I could do that or even better I’d like to do that.
But there has to be a way to get started that’s what we will do for you at flip starter flip starter is our 8-hour course designed to give you all the information you need in order to get started in the business of fixing and flipping houses I’m Rodger Blankenship.
The flipping America guy who is fixed and flipped more than 800 properties over the years.
I will share with you the tools I developed for use in my own business the strategies the management techniques and the systems are used to build a business that was flipping a hundred properties per year.
[11:23] What would it feel like if you could quit your job and not only work for yourself but own a business that will ultimately provide you with more income and more free time.
[11:33] My goal is to train the next generation of real estate Millionaires and I want you to be one of them find out more at flip starter event.com.
[12:01] Tom Olson welcome back to the show.
How you doing Rodger man great so busy things such good things are happening and I know good things are happening with you.
It’s great to see you at the think Realty couple weeks ago and and we just had a couple minutes to catch up but I listen to your talk and I knew right away I needed to get you back on here to talk about the.
Community go-giver event so personal
we’ll get to that second but first of all tell us a little bit about you know what’s happening in your life and your business and and how things been going since we had you on the air last.
[12:35] Well I will tell you since we had that you had me on the air last we are actually in full motion in full swing of I’m trying to get the message out that Gary Indiana can be a place to live
can be a place to invest can be a place for businesses to thrive in and can come back to and.
Right now we’re kind of in that stage of just getting awareness out letting people know that things are happening so the governor announced in the last 2 months.
That’s why one of the steel mills are bringing in 750 million dollars of investment and creating 1,200 new jobs in the city of Gary Dahl write and for us for the city of only 75,000 people 1200 jobs is a big deal so you know
to me it’s I’m just excited to be a part of beat be a part of it it’s not just all about me I’m not the one flipping
Gary I’m just on trying to focus on I’m doing it myself we have done probably 10 flips in the last 10 months in in
Calumet Township or I also own two vacation rentals in Miller Beach which is right by Lake Michigan is really cool doodles.
[13:36] But that’s kind of what we’ve been focusing on that’s been different from maybe what last time I talked to you before which was more on the Turn-Key rental Investments or offering opportunities of lending in and Turn Key Rentals
who are investors okay yeah went we gots a little bit unpack there we got half many people listen to this right now and
I think a lot of emerge scrambling to get on Google and find out where is Gary Indiana for those of you that don’t know it’s just outside of Chicago you’re really metropolitan Chicago but.
Across the state line in Indiana right and Doug Gary is an old Steel Mill Town
yes sir and it did the steel mill close or did it just diminish what happened we have to still big steel mills in the area if and when people always ask me you know what kind of jobs are there here and I’m like.
You know is it still steal I’m like no there’s there’s still quite a bit of Steel jobs are still you know in the tens of thousands of Steel jobs from the base of the middle
and that’s why I’m stealing some of those big companies know some of some of the plants have shut down over the years but there’s still quite a bit of jobs but they’re the very best.
[14:42] Bunch of different sectors of of jobs between Healthcare between high tech between Think Tank Logistics if you just think of where we’re at located in the country we are the crossroads of America they call Northwest Indiana Crossroads of America because we have Route 30
go east and west coast to coast and I-65 that goes all the way from the Great Lakes all the way down to Gulf of Mexico we also have waterways cuz we are connected right to look like Michigan which then get you to all the great lakes and also get you to
Mississippi River and we also have things that we don’t really like around here but called trains so if you’re in an area where there’s a lot of trains you understand I’m talking about but we have so many miles of track in in Lake County Indiana it’s not funny and Gary obviously it’s one of those places that does have a lot of
track that that that runs like trains so a lot of freight can it comes through here if you think about Amazon and what they’ve kind of done to the whole industry of
economics and what we do like everything happens now through Logistics and and and travel so there’s a lot more happening.
[15:49] You’re on trains on roadways then there was 34 years ago and I don’t think that Trends going to going to go anywhere so that’s part of the reason why I really believe in Gary it’s right outside Chicago where we have 9 million people and I think it took it so it’s a place that.
People should consider showing the terms of the local market report what’s happening with prices in Gary over the last 12 months.
So as far as just carrying specific I’ll just say the average price for most people buying houses.
[16:18] Outside of China Township and outside of Miller Beach has probably been between 20 and $30,000 so if you think about that
in the middle of nowhere that might make sense for something that’s not going to be no an area where there’s nothing going on but there’s a half a million people in Lake County Indiana
and you know.
[16:38] Let me just clarify you’re saying you can buy a house for 20 or $30,000 yes how big of a house is it.
1300 Square I mean.
Your normal 3132 houses that you would normally have as a rental in Atlanta in Dallas like okay in Chicago I mean any of those other areas these houses would go for 150 or more but there.
And the other reason why I think that it’s a place that we really have to be thinking about I’m not just because of price points not just because you know it hasn’t come back procras.
[17:15] Pre crash Gary Indiana was trading if you want to use that term for somewhere between 60 and $80,000 and we haven’t gone back there yet.
I believe with interest rates raising and the way that the economy is changing it’s going to squeeze the lower numbers of all these lower house you know these low income housing
just squeeze those numbers up and I also think we’re going to see you squeeze in the top-end to come down I I I really believe that with interest rates where they’re heading in the weather trending
I think the 300 to $500,000 price point she’s going to be able to afford those anymore so they’re going to be squeezed down and down a level but I also believe that anybody in those lower levels you know 50 60 80 $120,000.
Is going to those prices are going to go up because the demands going to come down into those in those price points okay so let me ask you this just asking to look into your crystal ball a little bit but the house that you buy a 3-1.
1200 square foot house you buy for $30,000 now what’s it going to be worth a year from now in your opinion.
I can’t I can’t do a crystal ball for a year but I’ll go across the volume farther and I really am looking at most of my playing Garry’s a325 your.
[18:24] I believe in the next 3 to 5 years those 30 40 mm or houses will be in my opinion work 70 80 90 and $100,000 and I’ll tell you the reason why I believe that is because all it takes is for them to be financeable.
As soon as the banks are willing to finance those.
Set 60 $70,000 prices in my opinion what I’ve seen is those houses in areas like Gary Indiana.
[18:48] Don’t just stay at 60 70 80 grand those almost immediately go from 60 to 70 to like a hundred a hundred and ten and
and it’s just because there’s no difference in in payment really I mean the difference in payment between a $60,000 house and $100,000 house is almost nothing so it’s very easy for people to qualify and it’s very easy for an appraiser to like justify that jump between 62.
200 ways to weigh more so than it is for him to justify a jump between maybe a hundred fifty to two hundred thousand so alright so it sounds like the the right play in Gary Indiana right now is a long-term like a three to five year
that’s what I thought and that’s what I’m doing I’m not saying that’s right play for everybody and I have a lot of investors that that that believe in my vision of flipping the city of Gary to me it’s a whole much it’s so much more deeper than that I think you are. The focus on the community and Highway
what value are you really bringing to the community and that’s what we’re doing with the commute to go give her initiative but it’s not just and Gary we’re trying to
that have a movement across the country like I like you are with flipping America to me it’s about how are you building your communities in in your cities in your blocks in the things that you’re doing.
Okay so you’re going to your you said something about selling Turn-Key rentals when you sell them TurnKey what do you get for him.
[20:01] Show for me I’m not doing Turkey right now in Gary now I pick somebody wanted me to somebody wanted to do that I really want you to come here and see what you’re buying first we do by turn we do sell Turn Key Rentals in what I would consider like more of a b Market areas so in Northwest Indiana that is
everywhere else other than
Gary Indiana pretty much show in Fort Frances Hammond Indiana we are renting houses for about $1,300 a month and we can sell those turn keeper between 110 and $120,000
you know to return key buyer and to me it’s a lot
I’m not going to Gary’s not stable because it was properly managed I think it is but it’s it’s it’s a lot more as it’s a better area as far as just like all around and.
You’ll Merrillville Indiana Saint same thing like we we.
That’s what we’re looking at we’re looking at a 1.2 multiplier eight cap rate up to like 20% cash and cash return type of
Investments for people that want to own bro he’s in our area I’m going to put another 30 into him to get him ready.
[21:04] No see that’s where no that’s not what I’m doing so I I don’t want to be into these scenes myself more than 35 or 45 thousand
that’s all it that’s for just and repairs that’s what we’re into him now.
And a very interesting thing has happened in the last 2 months and I couldn’t have said this three months ago but the last 2 months in particular areas in Gary Warehouse has never sold for more than $40,000 last 10 years I just pulled up to comms
in the last 2 weeks where they actually are receiving sold houses now one was $100,000 and 1 was 120.
Oh my gosh my question is when’s the right time to get in his right time to get in like as soon as you see something like that pop and then you just rush into that market or do you
did we already did you already lose your opportunity to get in or you know I’m saying like I can see the smile on your face cuz you’re you’re just.
You’re thinking okay there’s opportunity you can definitely see opportunity it it’s it in this isn’t just somebody that’s just saying this this is.
[22:03] Already happening and to me it’s you I’m excited just to be a part of of that of of what’s happening in Calumet Township we probably
by ourselves risen made the price is raised from $89,000 on average like a hundred 4250 in the last 18 months by just flipping 12 houses in in.
In Calumet Township Indiana
I’m going to share this story with my listeners here because this is instructive and it’s good then we’ll start with a quote for my daddy I don’t know if this is original with my daddy but he always used to say the best time to plant a tree is 20 years ago.
Yes best time is today and so if you haven’t eaten by an 20 years ago plant one now now back in 2008.
[22:44] I tried to do
my first private fund and I got some friends and you know we were doing really well in the business and I just wanted to buy more and I had this idea that if we raise 30 million dollars
we could buy properties left and right for $0.30 on the dollar and hold them until.
2015 we could cash flow like crazy for the next five to seven years and then cash out that 30 million dollar fun would be worth 90 million + by 2015 and we ran into two problems running two partners with me
I paid for all the legal documents and we put together a private placement memo and the whole thing ready to go and one of my partners got a little nervous about
I don’t know prices are going to come back that soon the other one was I don’t know we’re going to be able to spend all 30 million dollars and
and I didn’t Yeah well yeah you know you can argue that they’re realistic but goodness man we could we could spend a million dollars a day or more at the courthouse auctions and.
It was one of those rolling around every month and every County in Georgia and we’ve been doing it for a year at this point so anyway.
[23:52] That and also because I just didn’t know how to go out and raise $39 we didn’t do it.
[23:58] And man oh man oh man we all look at each other now and save sure wish we done it then we’d be sitting on the beach somewhere taking our private jet back and forth to different events because I wouldn’t it would have been that.
Grand but now from what you’re saying I believe listeners and butter the same across America at sounds to me.
Like I know Tom was really rooting for the home team here but it sounds to me like you have a similar
kind of a rare opportunity in Gary Indiana so
where to go to Quick break when we get back we can talk a little bit more about that and we’re going to talk about this sucks Community go-giver again we’ll be right back.
[25:21] Hey you want to learn how to flip houses I want to show you how to flip houses and there’s probably no one in the country better qualified than me to show you I flipped hundreds and hundreds of them.
And I also have some training and degree and experience and education so I can show you how to do exactly what I’ve done hundreds of times don’t believe me.
Head on over to flip starter event.com but in the meantime Give a listen to Pat caywood Cleveland Tennessee and I’ve been.
Doing some flipping since about March of this year and had started with a Nationals program that was very expensive.
I’ve spent today with Roger Blankenship learning about his program and boy do I wish I’d met Rodger first.
He has a clear concise program and many tools that are going to be very hot.
[26:15] And starting and managing a program and the mentorship and Leadership and coaching that he’s offering our invaluable.
[26:25] Thank you so much Rodger for your time and sharing
you never know what’s around the corner but you can be confident that you’ll be ready for whatever comes your way Legal Shield and ID shield look out for you so you can get back to living will
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Protect it for a number of legal issues and assistance with common legal need just go to Rodger b helps. Com right now to sign up that’s Rodger b.
[27:09] Dot-com Legal Shield protection for every part of life.
[27:57] I want to head to the break you’re looking at an opportunity that really doesn’t come around very often that’s what you’re sitting on there and Gary and I guess you know that right that’s why you’re so enthusiastic.
[28:07] Yeah read to me it’s more than that too cuz it’s like just.
I think the culture of the whole I think the opportunity to actually change the culture of the whole city is is available to us right now at this time because
so there’s a whole lot more backstory to that two of you if you got to see the actual I think Realty.
[28:26] A speech that I said I did there’s a whole lot more going on and there’s a whole lot of other parts of the of the area that doesn’t believe that it’s possible to happen.
But I’m kind of one of those guys that if you tell me it’s not going to happen I’m going to figure out how to make up and don’t tell me it can’t happen or don’t tell me I can’t do something but.
That to me I think it’s it’s it’s so much more of an opportunity to to.
[28:51] To show that it can happen that that the state has come in and take over the school so I took a hundred million dollars worth of budget they taken away from the city to the city kind of pissed about it.
[29:00] But anal on the flip side of things I don’t blame the stated offered for taking over that because.
There was 20 years of the very bad fiscally irresponsible management of the money so.
Some point at some point like enough is enough so I normally it State just come in like threaten to do that kind of stuff and they never actually do it.
[29:24] To me I think it’s refreshing to actually see people.
Do what they do with the rules say the end of the day that there wasn’t a single
party that would come in and actually say that.
The city has the systems and processes to be able to handle this you know and be able to explain where all the money goes to end
well at that point like if you’re if you’re in managing 200 million dollars in a year like you have to know yet to be able to explain where it went.
So since the state has taken over are the schools getting any better
which relay at that point then then then it’s all charter school so you have to give the kids are going to school I mean will they have to go to school but you know the kids have to have their they have to go through the voucher program and they show the actual education is probably got nuts Honda.
But for now there is no Gary School District.
I’d be interested in you know tracking standardized test score results and looking at the schools get rated on greatschools.org.
[30:38] I have a look at that myself but I would from what I’ve heard and this is just been through the grapevine somewhere I’ve heard that the test scores have gone up from traumatic
yeah sometimes it’s hard to see him go any lower all right so you got an improving situation with the schools and the economy is good jobs are coming back to town tell us a little bit about the
the community go-giver again event tell us what it is and where the idea came from.
[31:06] So at least we decided to do an event last year called the community go-giver event and in a way it was kind of.
Creative just to kind of outline what we do in the express you know
so We Fix and Flip we also do turn keys and actually came up with this term called active turn key with that trademarks which is kind of working with a turnkey provider to help you buy houses cash and then I have a construction company that will manager rehabs for a minute I have a property management company in the back and I will manage for you so it’s like doing the bird method by
renovate rent refinance repeat but doing it with a turnkey provider.
[31:41] So it was kind of designed to Showcase what we do but at the same time.
Open up everybody’s mine to why I do it and to just.
Maybe Kaskade the message I think that everybody ought to have a good reason why and everybody ought to have a good like
purpose on how to do it now what’s coming out words come out of the event is
I’m finding a lot of other people around the country that have really good Community go-giver type spirit and I’m trying to bring them together in a collaborative effort to really make community go-giver
like a national type statement and it in a way to actually think about what you do in real estate and for me like if you’re just going to make money I just.
[32:24] Speak to me I like I don’t really I think guess you can make money in it but I feel like you ought to have a bigger purpose in a bigger reason why you want to
Fix and Flip houses whether it’s to be able to make money to give that money which I think that a lot of people have all that money or it’s to make a real difference in the community so when I talk to when I hear and talk to people like Sonia Booker and talk to other people that you know maybe on the country that.
Really have that Community go-giver Spirit like it really excites me because I think that I could number one I could use all those in Gary I can use all those ideas
in what city is not like flipping a block is that like flipping a house it it’s a whole different initiative you have to think about what are you really doing in the community.
I think I think we should all do that with every single house that we do we all have a purpose of why we’re doing it.
And not just do it to make money but to do it to make a difference and impact on people’s life okay where are you from.
[33:16] Original I’m actually from Jamestown New York but I only there till I was 8 years old so I have been here in Northwest Indiana since I was 8 years old all right so really you’re home.
Yes all right and you’re connected your roots are in the community and your family is there and you’re there for the duration I guess right.
We’re planning on it even spend time for me and my wife have talked about different things or maybe just living in different places of the country different times of the year but yeah we know where we’re pretty much routed here our church has been here we’ve gone to the same shirt since I was 8 years old
are kids still go to that same private school for the first from the church and so we are pretty pretty rooted in this area yes okay.
Now when you’re talking about flipping an entire city and you said it’s more than the houses I immediately begin to think about the infrastructure and other kinds of things.
Elaborate on that a little bit.
So I’m just kind of going down this I’m not an expert at this so maybe at some point we do flip the city and we can take this this
platformer this playing around to the other other cities that might need around the country but I’d the way I look at it as people people have to have a couple different things people have to have
a safe place to live people have to have things to do and they normally want good schools right I mean.
[34:34] For me it doesn’t really matter about skin schools cuz I send my kids to private school but a lot of people like the good schools are are good thing so like I think you just as much as I want to improve real estate.
I can which I think you can do I think you also have to think about those other things you have to have business that is willing to come to the town and you also have to have a city who’s willing to open up their arm to business at times.
And and negotiating figure out how to attract business to the
and that’s kind of the biggest problem I’m running into right now you know I’ve actually sat down and talked to some people and they’re not really friendly to business coming in on Michael what do you want like how in the world do you think you’re going to help the city.
If you’re not going to bring business in and it and it and that’s kind of just one of my my heart breaks cuz I feel like business can be so much a part of the solution.
[35:24] And as honestly I mean into their point like business can be part of the green part of the reason why.
There is demise if you have green on the other side and they’re not really having the community effort so I really believe in
trading communities inside of community so like starting with the churches starting with blocks I love Sonia Booker’s like the whole purpose of trying to create community centers in which people come in and actually have a place to go and then it kind of works its way out from there.
And and and I really like.
I can’t tell you that we’re doing that right now right now I’m just trying to get the message out and talk to him tonight to as many people as I can but then also do it on the real estate side because I think you can change your community Through real estate if you can if I can raise a values
all the houses in Gary it not only helps every single person that owns those houses nose neighborhood but it also gives pride of ownership and proud of where you live and also help the city and in the back end because.
In Indiana friend since I’m not sure this is Wayne every statement Indiana
are property taxes are based on assessed value and assessed values based off of real market value in the state of Indiana if we raise the values of the of the actual
houses it’s a huge jump in tax revenue for the cities in for the government as well so it’s a it’s a circle and you have to think of it like that and if you don’t if you don’t understand that.
[36:42] If you just take take take take at some point like it’s it’s never going to
the tables going to turn in when the table turns everybody lose it so we got to figure out a balance at table with with all those different things in motion
the ability to see those are connecting pieces as what’s at the heart of every good leader and Community leaders and you see that so have you thought about running for mayor.
You’re the third person told me that now but no I have not it’s not really.
On my bucket list of things to do in public office is not something I aspire to but I mean at the end of the day I do believe that.
If if that’s what God wanted me to do I would do so.
[37:22] Okay alright that’s fair enough so you got plenty to do with the the house flipping business but what is a community go-giver.
Show it to me it’s somebody who focuses on what they’re doing as far as having an impact on the community.
You know so it’s somebody that has a purpose in what they’re doing somebody that leads with charity and when I say charity is not just about non-profit charities cuz I have people said that word gets gets thrown around charity for me memes.
Do you do you care about the people that you’re serving and you you care about all the effect that you’re having cuz I honestly like sometimes Real Estate Investors get a bad rap and sometimes.
[38:02] The bad rap is for good reason because sometimes were just greedy bastards and I honestly I just
I think there’s too much of that there’s two and the reason why is because of their purpose if your purpose is just to make a bunch of money and sit on a beach and have a plane and have all the Ferraris like if that’s the only reason why you’re in existence then to me like
wait then you deserve all those all that bad rap but if you’re really here to have a and have a dream to actually be the conduit and not the bucket and 2
to work to have to give and you understand that you have to provide value to people up front
then I think that that’s what’s changed everything that you need to go give her some of that really I’m just trying to encourage people take to good works at the end of the day like.
That’s what I want to be known for it by key work so we could have so we could give that process wasn’t broken and that’s what I think you need to go give her is if you need to go give her what’s one that understands you know that the principles of Charity Stewart
they focus on their communities whether it’s their family or they’re so house whether it’s their there.
The QB the neighborhood they live in their Church their employees their vendors are contractors there 10 in every one of those are communities that they people serve if you focus on the right things that’s what makes you communicate
so what’s a community go-giver event.
[39:19] Kind of similar to where I already talked about we will kind of show you what we do so we have three different days over the first day we talked about fixing flip
Ingersoll speaking at that um day I’ve I think Jeff Johnson speaking out of.
[39:35] North Carolina he’s he’s he’s just killing it out there North Carolina and then I ever eat so everyday has like a steam.
Type of Investments of First Dates Fix and Flip the second days rentals and then the third day is low income housing and then each day also has a community go-giver spot
the first day we’ll talk about how I came up with the city of flipping a city of Gary which I actually moved to Gary myself in 2008 north, story behind.
[40:00] That crashed and kind of where I kind of came up with flipping in the city of Gary so I’ll kind of talk about that and then
hey I have somebody that’s going to talk about their their purpose and their reason on on on what they do what they do and how they are coming to go give her and then I have 10 Lacy from veterans pass up that speaking third day about how he’s using housing.
veteran instability in housing in United States and I’m pretty excited about coming on board with them as well for the also helped my vision for the city of Gary but I really believe in.
10 and his and his mission is in my Mastermind so he’s a really good friend of mine but so that’s pretty much what we do and then everyday we go out and look at a house you know so the first day where to go look at it Fix and Flip the second evil look at a rental and the third day will look at
low income housing in kind of what this area looks like so I’m kind of showing people what we do but then at the same point on.
I’m wanting people to either invest in our in our bishan in our what we’re doing here and Gary or I want you to go back home to Atlantic Rodger or go to wherever you’re from and kind of Institute.
The same type of community go-giver thinking into what you’re doing.
[41:17] Okay we’ve been talking about a community go-giver in the community go-giver event and I bet you have another one of these events coming up sometime right.
Yes so well it’s not coming up right around the corner so it’s not like a big a big rush but I we all we do have early bird tickets already for its June 27th 2029 in NC actually at my office so you’ll be able to see my office view the people view the
everybody that that runs my company’s my 39 employees will be able to see him all but you’ll be able to see quite a bit of them
the most we can hold us 80 so that’s kind of like the max that they are building hold and I think it would be a great event and you can just go to community go-giver., somebody’s interested in that.
Do I know right now we have we have early bird pricing so it is cheaper it’s a lot cheaper to do to than it is to just buy one.
Okay and it’s coming up next next you saying or you think you’re going to make it like I do this every year or do you know yet.
[42:18] Right now I’m planning on doing at least once a year so we did last year in July
this will be the second annual event so yes it’s already set as at least an annual event we’re going to see how June goes and we might even slip one in October but it really only happen if there’s demand for and I feel like
people that want to do but rather right now it is a annual event I do think we will grow out of our office and I will have to go to a larger venue because I have a lot of people that are.
Really wanting to be involved in this movement I can believe that and you know I’ve I’ve made the joke that’s a lot of people get into real estate investing because they don’t have the morals to be a used car salesman.
I also some of the finest people I’ve ever known her in this business and so.
To that question I’m I know I asked you this on her last the last time you were on the show but we’ve added a few hundred thousand listener since then so.
Tell us when you were a kid you probably didn’t Envision growing up to be a real estate investor what did you think you were going to be when you grow up.
[43:18] Oh my goodness I don’t remember you asking me the question cuz I remember being asked that question have more so tell you I will tell you I started in construction when I was 12 years old.
So depending on how young I think everybody kind of goes to those up I want to be a fireman I want to be.
A police officer at some point when you’re four and five and six I was really good at baseball that would have been one of those things that that I would have
went on to do to do something they probably would have been in baseball I never batted under 500 ever and any single League of ever been in so it definitely had a headed headache
had a good thing they’re going but when I was 19 years old I read two books I read Think and Grow Rich.
And I read Rich Dad Poor Dad and I think those two books I always say that you.
[44:04] What will change your life and change your belief system is the people you meet and the books you read and by Ike and I can bring you back to that point 19 years old
before I got married when I was 20 but I read those two books on US 19 and I said hey I’m a contractor I can figure out how to do this and it’s a really from that point on
to me I will tell you like this is what I’m doing exactly what I feel like I was made to do maybe not doing it
as good as high wish I could because I think we are always getting better we’re always doing it you know what you was trying to get better with Mary maybe never never satisfied with us type A type people but at the end of the day I do feel like since I was 19 and I’ve been on this path in.
Everything that I’ve done since then has led up to where I’m at now where I’m going okay you got a new book out right.
I do I don’t have one with me actually but we had I do have the active TurnKey book and I think if people want a free copy of that they can definitely I think it’s a 80k bookit.com 280k book.com is a free copy of that.
If anybody’s interested in getting a a copy of that but I kind of just talk about a little bit of my story and a little bit of the five well drivers of
rentals and then I talk about Financial Freedom because I believe that the reason why most people get into rentals is for Financial Freedom and I kind of just went through the process in which I go through
I mean I would I think about for Financial Freedom and then.
[45:29] You know there’s there’s some more stuff I actually have two books coming out ones I wouldn’t change you if you think you think what you do and I have another book coming out that talks about how to have good success with dealing with contractors which is kind of one of our
I’ve been on both sides of that you know since I was a contractor for so many years and now I own the construction management company and I’m an investor like I understand from all three angles kind of.
You know how the pros and cons.
So I am excited about those things coming outside I know that it just got proof read so we’re going to close on the contractor book cool okay so people are going to want to be in touch with you how do they get in touch with you.
[46:04] Well I mean I’ll get my email address I have no I think the more email addresses you times you give out about the last people time less people call so I’ll see Olson had good success. Com so Tolson had good success, but if you guys want to connect me on Facebook
I’m very active on Facebook I have a lot of different group that the good success group.
Financial Freedom for good success and then we also have the written test page and on the good success podcast
we we we we do to podcast the week so we’re very active out on the on the good success podcast and obviously you can find us on any of those platforms Apple Apple
Stitcher Google all those Fridays.
Yeah I was recently on the good success podcast no telling time before we came on the show here to Thoreau Joshua is in preparing for that he actually snooped around on my own personal website and yes and Lucas different things that I’ve said over the years and
and ask me questions about that and I was a little puzzled when I saw that list of questions I was like man this cabin read my stuff and.
Great job on that I can’t I can’t I can’t I couldn’t ask for anything more for Josh and I love being on that podcast and we are it we are getting a lot of traction on I’m very happy about the podcast right now.
[47:17] If that’s good alright so T Olson at good success. Com and of course she has to resources that good success.com and you also you can I’m going over this again you can get the book.
By going to ATK book.com ATK book.com and then where do they go to sign up for the.
[47:38] For the event in June
Community go-giver. Com green to go get her., so that’s looking to network with other Ali entrepreneurs people that are doing many many deals and
the network and get Best Practices but also I always want to bring it back to why you doing what you doing and are you doing the right thing cuz I think doing the right thing is more important than being right.
[48:05] Excellent you got a lot of little pundit pundit Reese eggs I like that to the right thing yeah.
I’ve been sitting over here scribble and notes while you’ve been talking to me because you these things so I hope I get to enough Elite status sometime I can come to your good success Mastermind I would love for you to come to be there sir I just need to I just need you to take some time I wait for you.
[48:27] Schedule the schedule man the schedule is crazy because the way this show is going and the speaking engagements and what’s going on with our own students.
And the flipping activity that’s very busy but you know grateful God for the opportunity right absolutely.
Are you my man I really appreciate you taking the time out of your schedule a visit with today and thank you again and God bless all that you doing up there in Indiana.
And God bless Gary Indiana we will make Gary great again that’s kind of what I start saying and and that in the end it’s already happening on the side.
Okay let’s catch up again soon thanks Rodger.
[49:10] We did a one-day flip starter in Chattanooga Tennessee and low and behold one of my old College friends came out to the event his name is Peter Faulkner and here’s what he had to say about the event.
[49:22] Peter Faulkner here I send it a one day flip starter training session led by Rod.
[49:29] Amazed to see what has happened in Rogers Live from the last $15 plus years.
[50:07] You never know what’s around the corner.
But you can be confident that you’ll be ready for whatever comes your way Legal Shield and ID shield look out for you so you can get back to living life,
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businesses for a low monthly rates you get comprehensive legal coverage law firm of professionals they can help you with a variety of issues and provide advice whenever you need it.
Protect it for a number of legal issues and assistance with common legal need just go to Rodger b helps. Com right now to sign up that’s Rodger V.
[50:49] Dot-com Legal Shield protection for every part of life.
[51:05] Absolutely inspirational stuff and I appreciate that time if you’re listening thank you for taking time to speak with us today
I don’t know how many questions we can get in here today but I want to take a question that actually didn’t come from an email and didn’t come from the national call line and by the way and let me just tell you you can send your questions to questions at flipping America net.
we will answer your question we may enter it on the show but if it’s very specific we may just email you back but send it to questions at flipping America. Calm and
you can always call 404-369-1018.
[51:47] 404-369-1018 extension 1.
That’s the national comment line you can leave a comment or question there and we’ll get an answer to you as soon as possible we have answered every question that’s ever come into the show and we plan to always answer them it’s part of what we do to provide the
best information and guidance we can for you then we get a lot of the same questions over and over and over again don’t worry about that we will answer it over and over again.
One of these days we’re going to get around to putting up a Pergola asked questions page in the website we made direct you there but I don’t like it when I you know.
I’m trying to get technical support and ask a question and they direct me to some articles on their website because that may not you know I prefer that someone take the time to talk to me and so.
[52:33] That’s why someone on our team and it might even be me will take the time.
To talk with you in answer your question now this past week at our lunch meeting I know everyone every Wednesday at Huey luey’s.
I had a young man that came to me I’m not going to use his name because I don’t want it create any embarrassment at all but he came to me after the meeting and said
I wish you would help me understand why I can’t get my properties move. He had three properties 2% and chords to somebody comes with properties to sell we let him for them to the whole group at at our lunch meeting and nobody was interested
well you know everybody there is polite.
And no one was going to tell him his numbers just didn’t work and you know we we sat and looked at one of his properties and he had it under contract for 240,000 didn’t need a lot of work it was in pretty good shape
but the arv was 315.
[53:32] And this is just a young man who wants to dive in this business and he’s thinking a little bit like a standard realtor who hasn’t worked with
2:40 to 3:15 sounds like you’re going to make $75,000 but it’s not true to 40 plus the 20 to 25 you going to put it in at put you at 262-260-5315 if you can get that.
Mine is your commission and.
Your other cost of closing including your property taxes in your insurance or you’re holding cost and overhead in that sort of things.
You’re looking at probably dropping down the 385
net from closing so 385 – 365 you make 20000 you make 20000 on a $260,000 investment that may work for some people but it doesn’t work for us.
That’s not the kind of number we’re interested in if we’re going to pay for going to put $260,000 into it we expect to make 50 or 60 thousand on the flip somebody listening this message.
[54:38] Well no it’s not
because the other thing that I didn’t count on is unless you have $265,000 in cash laying around you’re going to borrow that money what is that money going to cost you to borrow guess what
it’s going to cost you about 25 or $30,000 to borrow the money there went your profit.
[55:00] Another words at those numbers if a person is borrowing money there is no profit in the deal now.
[55:10] We’re not charities.
That week we do charitable work but we can’t do charitable work and we can’t give away money if we don’t make any you know we have to live.
We have to eat.
[55:23] And after we have met our own needs then we go about trying to meet the needs of others in the best way that we can and the way that we believe God may be leading us to but we’ve got to make some money.
And we’ve got to make money commensurate with the risk you know if you’re risking your own cash $260,000 then.
You better have some margin built-in so you can make some money so I explained to him why this deal would work exactly why and I said
these are the numbers in course in this particular deal I would want to be buying it around 200 and all in around 2:30 to 25 to 2:30
that’s the most I would want to pay and then we looked at the kind of return on investment that would that would bring and I explain to him the ROI formula and all that
and I looked at that kind of return that’s the kind of return that interest us it basically ends up if everything goes right.
[56:22] We end up making about a 20 to 22% net return on investment and that’s not bad.
[56:32] That’s okay we can live with that but we can’t make a 1% net return because then we have no room for anything to go wrong and trust me folks if you haven’t done this before things go wrong.
New home builders have a little bit of an advantage here because they have a much more predictable product and path and cost it’s it’s easy to get their cost right down to you know.
A few pennies because it’s all going in new we think we know what we’re going to do and we know what we’re going to replace and we think we know what the labor is going to cost and we study every.
Project that we do to get better at our cost estimation but in the end there’s.
A possibility we’re going to get surprised something they need more damage that we thought
then we thought something maybe damage that we didn’t know about something may need to be replaced that we didn’t catch on our initial inspection and even
license home inspectors sometimes miss things we come across unexpected expenses we have unexpected delays we have different types of things because it’s not production work.
It’s more of a one-off thing that we tried to make it production work as much as we can.
They’re going to be surprises or going to be delays are going to be unexpected expenses and for those reasons we have to build margin into the project.
[57:57] If you don’t feel margin in the product project you can never make money so why would anybody ever do this it seems impossible to find deals that way.
[58:06] You know there are a number of reasons why we have these numbers but one of them is we can find those deals and we hold out until we do.
[58:14] Okay people that were the numbers or thinner they have other options but I hear the music playing folks that means we’re out of time for today.
So keep the questions coming to flipping America Network and will see you again soon.
[58:51] I changed up there motivational thought for the day today it’s from Tom Olson earn a lot so you can have a lot so you can give a lot I love that.
[59:01] This thought is from Tom Olson but is brought to You In This Moment by the foundation for Renewal working together with communities across this great country of ours to bring lasting impact and life change.
Chilling on the web at foundation for Renewal and I’m sorry renewal fund. Net and is always your gift is tax deductible and much appreciated see you.
[59:31] You’ve been listening to flipping America real estate investing for everyone if you have any questions about real estate send them two questions at flipping America network.com.
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