Leave Us A Review On Apple Podcast!
Ep 373: The successful Investors Show With Daniel Esteban Martinez

May 16, 2023

Ep 373: The successful Investors Show With Daniel Esteban Martinez
Play Episode
The player is loading ...

210-972-1842

text "course" to learn how to make 6 figures on one land deal, Text "Hive" to learn more about the hivemind. Text "apple" to schedule a 1-on-1 call with Anthony & Daniel. Text "land" to join The Million Dollar Land Mastermind

Sign up at hivemindcrm.io

Need Inbound Real Estate Leads.

www.hiveleads.io

Follow Us On YouTube

https://www.youtube.com/channel/UCbulcrC4WbOy5Fzu0eWzNVQ/?sub_confirmation=1

Follow Us On Instagram

https://www.instagram.com/hivemindcrm/

Follow Us On TikTok

https://www.tiktok.com/@hivemindcrm?lang=en

Join The FB Group

https://www.facebook.com/groups/137799891494707

Help support the show

https://anchor.fm/hivemindcrm/support

 

 

--- Support this podcast: https://podcasters.spotify.com/pod/show/hivemindcrm/support

Transcript

0:01 How can you invest and make money in today's real estate market? Welcome to the successful investor show where we talk with successful real estate investors, business owners and busy professionals on their journey to wealth. They share their best ways and advice to make massive gains in today's market. Make sure you are subscribed so you never miss an episode. Now, here's your host, Deron Nisi. 0:26 Welcome, everyone to the successful investors show where we talk about how to passively invest in create passive income and generational wealth. I'm your host, Dr. Ronny sim. And today I have the pleasure to have Daniel Martinez. Daniel, how you doing, brother? Good, man, how are you? Good. Danielle was a truck driver. And in 2018, he became an entrepreneur. He's dead was his inspiration. He kept pushing him to start his own thing. And in 2018, he started to invest in real estate, he created his own software. So let's hear your Daniela, let's hear your story. 1:06 I just want thanks for having me on. But yeah, you got that overview there. But I used to operate forklifts loose load trucks. And then I got into driving trucks. I first started was driving trucks, we got to five trucks at one point as an owner operator was big 18 wheelers. And then I eventually from there pivoted into real estate. After I started doing real estate land, I then went into software. And now I do a little bit of real estate land. I do a lot of real estate land software, which I still run. And then I do a lot of trying to education right now to teach people how to do big land deals. 1:40 Wow. So from track. So how did you started the real estate? Basically, I mean, you were doing the track, you learn about real estate, how did you start it it's 1:52 so my personal is it actually worked out, which is a tricky business. So while I was doing that, I was looking for another avenue to pivot into. And I started learning about real estate at that point. So that's certainly my wholesaling a contract, a few houses that went through, didn't go through for whatever reason. One had a too high seller passed away, and then another one, I lost this money, and I couldn't find a buyer for it. So a lot of things happened. And then I've actually found my first land deal. And I made like $6,500, after seven months of doing it. I mean, I just didn't doing it ever since. 2:29 Wow. It sounds like a hard work. But it's also exciting because you're you're able to push through to six months, seven months and do your first deal after those few deals that you know that you lost. And that's how it was in real estate, basically, I mean, you start it's hard, you have to keep pushing and pushing and pushing. And eventually you make your first deal. And then you know, you know you have the process going 2:54 100% Yeah, it's definitely a grind definitely wasn't easy. I mean, even what I do now is not easy, but we got in a good rhythm with it. And we're doing a lot of big things these days. 3:04 Right, right. So tell us about your software company that you formed after you you were successful in real estate. 3:11 So everybody here, I'm sure you went down to the Podio route and trying to use Podio in some way, shape, or form. And she's about how people end up only going to real estate, you do a CRM, I saw opportunity to create a hive mind. And I just went in and started started the company, me my partner. And we actually did something to run my real estate business through this because I didn't have anything at that moment. So everybody here is struggling. At some point, you have to get a CRM to self manage your leads and follow up with them and do a lot of the a lot of the stuff that you do manually to be more effective and efficient. So started hivemind a little over two years ago, and I've been running that 16 clients that six figure months. And I just I run all my business throughout mine no matter what I do, but we do texting, forms, payroll, I mean, collecting payments, and all that stuff, all through headline. So it's pretty cool platform. But we've we help a lot of small businesses, a lot of entrepreneurs, and a lot of like real estate, people just control their marketing to sellers, 4:15 right. So real estate, if you do it on a high volume, you create a lot of data and a lot of leads and a lot of phone numbers and a lot of it's just it becomes so much and you got to have a system to deal with all that. So basically you created a system to to follow up and do everything with the system. 4:36 100% Yeah, that's what we started. Like I said, it's been it's been really really good. I have a team of five bas now and that's how that was just me. And then we're just here to help businesses become more effective and automated. 4:52 Yeah, yeah. And definitely once you have a system going on and everything has a flow workflow, you can make much better the goes much faster. Have a know where your business is going. So that's basically it's a good indication of how to grow and scale your business. 5:12 100% Yeah. 5:15 So in your real estate career was there like amazing deal that you want to share with us something like the best deal. 5:23 We've had we've done it, we've done a lot of cool deals, a lot of I would say my best deals kind of the kind of craziness, the idea of what we do down. But for everybody here listening we just did about a year and a half ago. And we found a lot of vacant lot for it was worth about 35,000, seller came up to us and said he wanted it for 15. We ended up negotiating that deal down to $8,000.03 months later. And we sold it on Facebook marketplace with $1,000, down 500 a month for five years. So with that little deal, normally out of pocket, all the buyer, all the buyer funds are straight to the seller. And now we're clicking down with every month, like it takes, like people like rent, sell $20,000 rentals, we bring that much cash flow. And we're doing it with a little 35,000 a lot. So I think that was like the Epiphany, best deal. About a few years ago that we did that just like, Okay, if we can find more deals like this and just create cash flow, and be out of the deal completely. That's what we like doing. So I kind of give us the structure of what we do now. Just trying to just the larger deals to continue on and create cash flow. 6:27 Wow. It's amazing strategy. Basically, your buyer paid down payment, which was your whole cash to close the 8000 purchase price $8,000. And now he's paying you $500 a month. How much was the that's like the sell price that you sold it? 6:46 Thank you. So we oversold it for like 40,000 I forgot the exact amount was was like it was like 480 paid out or something a year screw was 500 bucks for five years. Awesome. It was such a good deal. And that's kind of he was the framework of what all the deals we do now. And we just kind of dug in and said, is that Nisha strategy? 7:04 Yeah, yeah, it's a great strategy to do. So in the beginning, you told us that you had a few deals that actually didn't work and didn't went through. So do you want to tell us about a deal that went sour or a bad deal that you did or something like that. So 7:21 this is probably about two or three months into the deal into doing real estate, didn't know anything about contracts, paperwork, real estate, nothing at all. But I found this old 100 year old house was like 102 year old house, it was like a five bed. Seven bath house with like semi fireplaces. Huge, huge, huge, huge. Outside, it looked rough. But once you got inside, everything was nice and wood floors, original wood floors, like everything was still there look beautiful inside. I contracted it were set to close. And I had a buyer in place I was gonna make like 30 grand as a 27 five or something like that was close to 30 grand. And the weekend, which was closed on a Monday, the Friday the seller passed away. Right before close, so I just kind of let it go because I didn't want to I don't want to deal with when is the to send to his parents or family members. And when they want to sell again. I'm actually picked up on it recently, they ended up selling a year later to somebody else at the same price point. Right. Which was probably worth like, what I when I contracted it was probably worth about 330 and after COVID was probably worth over 400. Right and they still sold it for 100 grand. 8:32 Oh my god. What it means that's why you need a system to follow up on your on your old leads. Make sure you're not missing anything. Yeah, definitely. So what are the deal sizes did you do these days you said that you you mainly focused on on land, but what are what is the typical deal for you? 8:56 Right now we're doing a lot of big land. We just got a contract yesterday. So I think we have like $21 million of land under contract. And then we're sold for buying and selling a lot of land. So what we'll buy subdivided and soft land. So like, we just had a sale this weekend, a one day sale on Saturday, which is Monday or Tuesday, Tuesday, we had a sale on Saturday, we sold over $2 million for the land in one day. Wow. It's a pretty exciting little niche we're in but we have a lot of land to sell all over the place from Texas. We own property in Florida. We're getting property in North Carolina, most of our properties in Texas. So we're excited about that. But we're doing a lot of bigger land deals. We're starting to commercial now. But it's all when 100% land. 9:42 Yeah, definitely land land. Land is a good opportunity. And not a lot of people do that. So people do that. Yeah, it's a great niche to be in. So in today's real estate market where price is going down and buyers have stopped buying or stop bidding over We're asking price, what are you guys doing to mitigate the risk when you go into a deal? 10:06 Um, well, most of the deals we're going into, or we're going into, usually 50 cents on the dollar, all of them are picking them up off the MLS, a lot of the deals we're getting. And then one of the things, one things we did is we started finance. So whenever we sell or finance, it's just like a car, people don't get the monthly payment, they don't look at the total value of what they're getting. They look at how much they have to put down, and how much per month that's it. So we've sold this up, we saw our land, usually over comps. And that's how we're usually mitigating your risk. So as long as they can afford the monthly payment and the down payment, they're taking it. 10:41 Right. Yeah, it's a good, it's a good strategy to, you know, do mitigate risk, because the basically, you're not paying a lot of money, you're just giving them a low down payment, and the buyer is going to pay much higher. So yeah, that's a good, it's a good strategy to mitigate risk, especially in this in this market, when you don't know where the market is going to go. It's going to go more down how you're going to stay. Yeah. So now I want to I want to move forward to the four questions, the fire round questions that we have. Those are four success questions that's going to help our viewers to be more successful. So the first one, what is your three best success habits that you have in your business or in your life? 11:31 Um, three best success habits. I think it's betting on yourself early. Making sure you have money for marketing. And I think the third one would probably be know your know who your target audiences. Okay. Outside? 11:50 Definitely, I mean, marketing and knows who is your client is definitely very important. You talked about marketing. Well, what can you tell us about marketing? Because people don't think that marketing is important? 12:02 Well, I mean, marketing is the lifeblood of your business. I think this is I say this all the time. This is one of my mentors said this. He says the difference between a big company and small company is the big company has more leads. That's it. They're not better salesmen. They're not better closers. They're not better at anything. I have a killer sales team. No, they just have more leads to burn. That's all it is. If you get enough leads, you're gonna get a lay down, whether you're the best negotiator and not hearing it all laid out is guaranteed. So it's just finding, finding enough marketing to get enough lead flow. And once you get enough lead flow, you're good enough deal flow. 12:34 Yeah, definitely, in a lot of people, especially the small companies, they, they tend to cut on marketing, spend less and don't do everything. They don't do everything that they need to do on marketing. And that's why they stay small, basically. And then people can figure out what to do. But it's, it's all there. 12:55 It really is. It's easy problem to fix. And it's just spend more money on marketing. And you'll get more leads, you get more leads, you get more closes, you make it more close, you make more money. Yeah, yeah. I 13:05 love that. Yeah. So moving to the next questions, what is a good resource that you use in your business? 13:12 Um, number one resource I use is probably hive mind, which is like a soft plug. But Zillow, and I use a 10 di calculator a lot, which is a financial calculator for mortgages, 13:28 right? Because you do a lot of owner financing deals, you need that calculator, right? 13:33 I do. I do it a lot. I mean, right now, it's like, where is it where people have like their, their phone, their contacts and their pictures? Mine, it's my phone, that's calculator the messages as one of the most use apps, everyday, pretty much. 13:50 That's awesome. And whenever you talk to a client to a buyer, you can do that quick, quick calculation. Yeah. Tell them tell them exactly where the payment is going to be. And everything's gonna look and that's what that's what you need. Definitely. So what are your three tips for people to make money today in real estate? 14:11 Um, one I would say try land out, much more scared of it. Most people that I do that do houses like Yeah, I did a land deal once. And it was the most money ever made. I still do houses and I'm like, Okay. I'm trying to try out land. It's such a unique strategy. There's a lot more inventory than any other asset class, a lot less competition. You can easily get a great cash deal. It's just it's just especially really strategy. I would say land learn creative finance. Credit finance is another big thing whether you do any asset class credit finance as a bonus. It just helps you to negotiate better and get better get more yeses, the nose. I think the third tool a third thing you should learn in real estate is how to comp. Depending on your asset class, you need to know the numbers of your asset class, whether it's land multifamily houses, you didn't know your numbers. Bottom line, 15:06 right? Yeah, knowing the numbers is going to be, it's going to make your EA make your life much easier when you go into a deal. You know what you what were you going into, you know where you're going to sell it? Definitely you need to know the comps. And you need to know what your buyers are going to buy, or what we're going to your buyers are going to pay basically. It's very, very important. And yeah. So the next one is for people that have full time job that they still want to invest in real estate, what is your best advice for them, 15:41 people have full time jobs. One, I would pay for more lead flow because you don't have the ability to cold call or mass text because if you work a regular nine to five, you might not be available during peak hours. So we recommend our clients to do like PPC ads, or somebody to set up PPC that way you can, you might get one or two leads a day or a week or whatever that looks like. And it's something you get into manageable but they're hot. So you have a larger conversion, a larger conversion rate, just because the leads are hotter and inbound. And you can work on easier because you have a full time job. 16:18 Right? So if people want to get into real estate actually, you're talking about wholesaling, you're talking about an agent, things like that, doing more marketing as a PPC or Facebook, things like that. inbound leads, 16:34 inbound, inbound leads, right ability to do outbound that's we have more time, but if you don't have that much time demand leads, 16:41 right? What do you see the most successful thing in your business right now there's works. 16:47 Um, right now just list the big land and big land works for us, we're able to make great returns, we're able to make a lot of big money at the same time. A lot of people won't even touch it a million dollar deal, because it's too scary. And we've been able to dissect the kind of mitigate that risk, it's really been beneficial to us and our lenders. So we try to use as little private capital as possible. But we've been able to do a few subdivides with no capital at all, just by asking creative finance and doing unique structures on the front end. So you can be creative with your buying on the on the buy side. But once you have the capital in place, that you kind of opens up your your your buyer pool, because it can be pick cash in 90 days, or 180 days of due diligence. And that's the kind of gives you the cap, the cash financing gives you a little bit more leeway. But you can definitely do a lot of big deals even just credibly. 17:41 Right. Yeah, definitely. What is, let me ask you the last question, what is your goal for the next year? Or where are you taking your business to? 17:52 I think the goal for the next year, we're trying, we're trying to do like $10 million, by the end of the year, just because our deals take a lot longer to do, it takes six months to a year in most cases. So pretty much we're counting the end of our year, probably towards the end of May. So anything we have anything we do from now to the end of May, should finish out by the year. And then we'll start in 2024. Technically, because all these deals take longer. So we're trying to $10 million in revenue this year. Who knows if we're hitting or not? Who knows we actually have 20 million on the contract. But I think next year to 400. 18:28 Definitely shoot for the stars. I mean, the higher the better. 18:33 Yeah. And it gets easier with bigger deals. Like if you're doing houses, most houses are two to 40,000. So in order to hit a million, you have to do four houses, but that's just including the house buying is that profit. So if you're making an average of 20% per spread, you can maybe do 80 houses, you know, it's a lot of deals, whereas this one deal, I'll make a million dollars. So your spreads become bigger when you deal with bigger asset classes and bigger assets? 19:00 Definitely. Yeah. The bigger the bigger. The acid the bigger the price, the bigger the profit. Yeah, definitely. Yeah, that was great. So people that want to get in touch with you, they want to reach out to you and get some insight on your business. How can they find you? 19:19 We're gonna have mine CRM on every platform. We ever own podcasts that have this podcast, you can see or hear. Spotify, man literally everywhere. YouTube, Hive, mind serum, Instagram, Tik Tok. You name it, we're there. If you produce if you consume content, we're there already have content there in some way, shape or form. 19:39 Awesome. Awesome. That was great. Yeah, I'm sure our viewers will love the episode and get a lot of insight and advice from you. Thank you so much. 19:48 Thanks for having me. I appreciate your time. For every go customer don't do amazing things and it takes one step at a time. We'll take action and see what comes of it. 19:56 Definitely. Thank you. Thank you so much. 20:02 Thank you so much for listening to this episode of the successful investor show. If you're enjoying this podcast, please feel free to rate subscribe and leave a review wherever you listen to your podcasts that helps others find the show, and we greatly appreciate it. Once again, thank you for tuning in. And we hope you'll join us on the next episode of the successful investor show

Daniel Esteban MartinezProfile Photo

Daniel Esteban Martinez

Host/ Ceo/ Speaker

I have been an entrepreneur since 2018. I come from a regular home just like most people. My dad worked on the roads in the Chicago area for over 30 years. He always taught me to work with my brain, instead of my body. Your body can only take so much abuse. I learned so much from my father. He always pushed me to work smarter and not harder.

I have owned and operated a trucking business for 2 years. I started learning real estate in 2019. Fell into the Data & Skiptracing business in 2020. My partner Anthony & I started Hivemind in 2021.

I have done a ton of different jobs coming up from painting, to door-to-door sales, telemarketing, truck driving, and loading trailers. What I learned most is that I want to stay in the digital business space. The leverage you can have delivering digital products to the marketplace can yield limitless possibilites.

I started The List Guys in 2020. It is a data and skiptracing service. We provide seller and buyers list nationwide. My clients have been getting great results and I am proud to help people killing it.

I started the Hive in 2021 with my partner Anthony Gaona. It is a real estate and business mastermind. It also comes with a all in one CRM, that can host unlimited websites and users.

Starting the Hivemind has been an amazing journey so far. Seeing one of our users make his 6 figure month in June 2021 leveraging our software, I know there will be plenty more to come!