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About this Episode
Those "bandit signs" on every street corner are more than just an eyesore; they are a million-dollar fishing strategy. Kris Krohn explains how investors use these simple tools to find deeply discounted off-market deals. Learn the ethics of the cash-to-close game and how you can find high-ROI properties without breaking city ordinances.
Hosts & Guests
Transcript
If you're ready to create real wealth, financial freedom, optimal health, and relationships
to have it all, then this podcast is for you.
Chris Cron has helped thousands of people create financial freedom, fine vitality in their
bodies, and eliminate the barriers that hold them back in their careers and relationships.
If you're ready to catapult your business and life to your peak potential, then we have
exactly what you need here on the Chris Cron show.
It's time to have it all.
I buy houses.
Right?
Like have you ever seen those signs that are like those bandit signs that are on every corner
illegally?
By the way, most cities don't allow for that and they clutter things up.
But there's got to be a reason why that sign exists, and I'm going to share with you
how others are using it to make millions of dollars.
So what are those signs really all about?
They always say cash to close in the next 24 hours or we buy homes cash, and what they're
really doing is they're fishing.
They're basically they're taking those bandit signs, they're corrugated plastic, they're
designed to handle the weather pretty well.
They pop them on a cheap wireframe, and they illegally stick them on corners that technically
they're not supposed to.
They're out there because of this.
10% of all real estate at any given time is distressed.
90% of people that have homes today want their home are happy to be in their
home or maybe contemplate being moving down the road.
They inherited it from someone like people have stability in their life.
But 10% of people are in a bad financial crunch or they're forced to move or something
happens in their world where they need to vacate their home or maybe they have equity in
their home and their home is their only solution for solving a financial crisis.
Problem, back taxes, you, I mean, you name it bottom line is you need to know that one
in 10 homes right now on the planet are occupied by people with problems.
And so they're called distressed.
And so all those bandit signs are trying to do is they're trying to find a way to find
the distressed individuals that need a solution.
And here's what essentially happens.
If you ever call one of them, you should do it.
You call them up and they say, Oh, awesome.
Tell me about your house.
Why are you selling?
And here's what they're waiting for.
They're waiting for the person that says, Hey, I got my house.
And this is a person that when they ask questions like, Well, what's it worth?
Oh, I don't really know.
Well, what do you owe on it?
Geez, I don't know, maybe 100,000 or 200.
I don't really know.
So these people aren't really financially with it or their house is worth more than they
think. They say, Oh, my house were 200 and they're on their computer.
Like it's worth 300.
And so everyone basically gets to decide what their home is worth and their motivation
or reason.
And if they can find someone that is really motivated, like super distressed and would
be happy with a valuation on the home lower than actuality, that's why those
signs exist because it's the chicken or the egg, which one actually comes first.
Some people say, I'm going to plan for success.
I'm going to get a mentor.
I'm going to learn how to do real estate and then I'll find the deal.
And other people say, Ah, not me.
I'm going to find the deal.
And if the deal is amazing, then I'm going to invest.
And those bandit signs are all about finding good deals.
So if one comes along and you call and value it and figure out, man, there's
such equity in this thing, they're then going to buy that home cash.
Now you're like, wait, wait, wait, Chris, could I make one of those signs, copy it,
put my phone number on it, take phone calls, do a quick valuation methodology,
like through prop stream or one of your tools for funding out, you know,
what this thing is worth and versus what they want.
That's all good.
But how do I actually get the home bot cash?
I don't have the cash.
And this is where you have to know something.
When the deal is good and you open your mouth, the money always presents itself.
Like let's just say for a moment, you could have an option to buy house for a
150 grand that was worth 250.
Is that a good deal?
Dude, I would do that deal totally 100,000 dollars of equity locked up in there.
You could flip that or hold it or lease option or do some of the different strategies.
But that's a little besides the point.
Bottom line is when you find a good deal, if you're connected to a handful of
investors, you're going to get the money and then you'll be able to buy the home cash.
They'll get what they want.
And now the sudden you got a massively undervalued property.
Those bandit signs, are they good?
Are they bad?
Listen, it's just a marketing strategy to find a good deal.
And frankly, it's only one of hundreds of valid marketing strategies for
finding people in a situation where they want to move that home.
At the end of the day, I think you need to figure out who you are.
Are you going to jump into real estate because a good deal is right in front of
you or are you going to get into real estate with faith knowing that if I jump
in, if I build it, they will come.
Hence, I will find the good deals because I could tell you right now in my back
pocket, at any given moment, I have three to five deals that have 25% plus annual
ROI.
Like they're nuts.
They're amazing.
They're crazy.
Good.
The deals are out there.
They're in abundance.
If it were me, the chicken or the egg, I think you need to pick the option where
you find a mentor and then you get a game plan.
Guys, that's the game of real estate.
That's what I would do.
This is the beginning of what I'm going to call an awesome generic game plan
with a strategy that will cause you to win in real estate over and over and over again.
It's time for you to get doing it.
That's it for today's episode of Habitall.
Chris releases a new life-changing podcast every day.
Head on over to iTunes and subscribe so you don't miss a single gold nugget.
Be sure to stop by Chris Grunchow.com as well and pick up your free copy of Chris's
book and join us tomorrow on the next episode.
Yeah, where are you going?
Like I said, it's you.
