The Titanium Vault hosted by RJ Bates III
RJ Bates III, affectionately referred to as the Viking Wizard by his students, started his real estate investing career in 2014 after attending a real estate education program that put him $65,000 in debt. RJ contracted his first deal he found on the MLS and wholesaled it for a $7,500 assignment fee. That was the end of his former life and the beginning of his venture into becoming a real estate investor. Since that moment, RJ has become an influential figurehead in the real estate investing industry. He has successfully purchased and sold over 2,000 properties all across the USA including wholesale deals, rehabs, rentals, owner finances and short term rentals. One of his passions is being the host of The Titanium Vault Podcast where he interviews the top real estate investors and finally, RJ has won back to back Closers Olympics earning him the reputation as the King Closer!
The Titanium Vault hosted by RJ Bates III
Realtors Owe $1.8 Billion Dollars in Lawsuit | Pardon The Disruption
Get ready to revolutionize your approach to business growth. Our exclusive table chat with Steve Trang, Chris CJ Jefferson, Robert Wensley and Stratton Brown provides a goldmine of information on innovative ways to trade for assets that can skyrocket your business. They enlighten us on the science of trading for value-add multifamily assets, software, capital, and even major stakeholders of giants like Google. Also, brace yourself as we tackle the elephant in the room - managing employees who fall into legal troubles.
Ever wondered why realtors maintain their pricing power and how they deceive people into contracts? Our panelists dismantle the deceptive practices rampant in the real estate industry and share their candid views on the recent NAR lawsuit verdict. We also take a deep dive into the value of realtors in today's market, the art of negotiation, and the potential impact of AI in real estate. Moreover, our guests bring to light intriguing investment opportunities in companies like Open AI, Blackrock, and others that blend acquisitions and dispositions.
Education is the key to unlocking potential. That's why we discuss the urgent need for education in the real estate industry, the significant role of real estate investors in stimulating the economy, and how builders and city governments can contribute to neighborhood revitalization. We cap it off by exploring the intrinsic value of homeowners understanding investment concepts and the potential ROI from renovations. Lastly, our panelists shed light on the benefits of using disruptors to get a 20% discount when wholesaling. So, buckle up and join us on this enlightening journey!
Learn how to close like The King Closer at https://thekingcloser.com/
With over 900 Videos, this is the #1 channel on YouTube for all things Virtual Wholesaling. SUBSCRIBE NOW! https://youtube.com/@RJBatesIII
Buy the replay of the Closers Olympics at https://closersolympics.com/rj
Learn more about the systems I use to virtually wholesale nationwide using the links below!
LeadZolo YouTube Leads: https://www.leadzolo.com/titanium
The Most Powerful Dispo Tool: https://get.investorlift.com/titanium/
#rjbatesiii #kingcloser #pardonthedisruption #wholesalehouses #wholesalingrealestate #realestateinvesting
What's going on. Everyone, Welcome to this week's part in the disruption. I promise you this is going to be a great show. We are going to get into some great topics and we have quite possibly the greatest panel of all time that's been put together. I am your host, Matthew Potter. I'm short sale guy, hedge fund connection, co founder of the family tree at Real Broker. If I can help you grow your business, reach out to me. That's what I'm here for Real quick.
Matthew Potter:For those that are just tuning in for the first time, you're going to see how we break it down around here. We have a great time. We have six total questions, five of which are pre selected. Number six comes from our audience. So get involved, especially on YouTube at part in the disruption, and get in there and go ahead and drop your question and it can be featured on the show. Each one of our panelists will get 45 seconds and then two minutes to chop it up. After that, points will be awarded on best argument or absolutely let's be honest, it could be off of somebody just dropping absolute savagery on the others. Alright, speaking of savages, we're going to start off with Steve Trang. Introduce yourself.
Steve Trang:What's going on everybody? Steve Trang, we are here to help you solve your sales problems. I am looking forward to today. There's going to be an interesting situation, and we got a couple of guys that are not used to being ruthless, so we'll see how good they are at giving it as well as taking it.
Matthew Potter:Absolutely. We're really hoping that Steve and CJ can hang today. We really are. We really are Alright. Next up coming to us from the East Coast, out of Richmond, va, we have Chris CJ Jefferson introduce yourself.
Chris Jefferson:Chris Jefferson, richmond, va. The. You always good to be back and talk about whatever the hell's going on in the world, so looking forward to today. Good to see you guys and let's rock.
Matthew Potter:Absolutely Next up, coming to us from room 112 at the best Western we have Robert Winsley. Say hi to the people.
Robert Wensley:What's up guys? Guys, super happy to have be back here again today for our episode. I think I won last time. Right, did I win last time? I think I beat.
Steve Trang:RJ at one. Are you RJ? Like what are we living in the past? Like let's just move on?
Robert Wensley:I'm just glad I be RJ at something, so we're happy to be back kicking it with you guys again. Let's bring the fire today.
Matthew Potter:Absolutely. We're glad to have you back. Last, certainly not least, we have the 32nd most famous Fresno State alumnus we have. We have Stratton Brown. Go ahead and say hi to the people.
Stratton Brown:Hey guys, thanks for having me on better situation than last time. Last time I was a basic Colin. Thank you, guys for having me so much back on. I'm ready to talk shit on realtors, this entire, this entire thing.
Steve Trang:We're just going to demolish them bro.
Stratton Brown:I really have one question we're going to have one question why the hell do they get paid for shit?
Matthew Potter:Hey, hey, whoa, real quick. I just need to remind everybody that your judge is a licensed realtor, so like I all take that into account. I'm a moderate this today. All right, first off, we're going to get into question number one. It's not everybody's favorite as of yet, but just hold on. Like the NFL trade deadline passing earlier this week, what's an asset that you would trade for to improve your business? Start us off, steve.
Steve Trang:Obviously, obviously it'll be a licensed realtor, right? I mean step one. But after the licensed realtor, right, it's someone that can raise capital. You know someone like if you've got money, the deals will find you. You know, one thing I've said before on a previous episode is there could be some life changing opportunity in the commercial business in next two to five years, right? So I think, if you have, if there's one asset I would trade for, is someone that's got access to a ton of capital.
Matthew Potter:That's a that is a great thought there, steve. And, by the way, everybody send your San Francisco deals to Steve. He's buying, he is a buyer right now. Alright, next up CJ. What about you?
Chris Jefferson:Yeah, I'd say for sure, value add multifamily assets. I think that the asset class multifamily is going to have, and is having rather at the moment, some some tough outs for sure. Right, it's right, october, november. I think a lot, of, a lot of opportunities are going to come in multifamily value add here in the next couple of years, and so if I wanted to play in an asset class we've done some multifamily in the past, not enough. I'd love to do some more. So I'd be trading to either have somebody that could help me fill that gap or step in more into that myself for sure.
Matthew Potter:Very nice, very nice. Definitely an asset class that there's going to be a lot of opportunity in right now. Alright, robert, what about you? Who you trading for?
Robert Wensley:I mean, I'm all in software right now, but as soon as I exit software I'm going back into multifamily 100 doors plus.
Matthew Potter:I mean, you got 45 seconds, you don't have to finish in five. Bro, come on.
Stratton Brown:Sometimes that's just the way the cookie crumbles. You tried your best. We got another round coming.
Chris Jefferson:You know.
Stratton Brown:That's why I tell my girl to.
Matthew Potter:And, on that note, we're going to go to Stratton. What about you, boss? Who are you trading for?
Stratton Brown:I took this completely different. Give me the majority stakeholder of Google. If I want an asset in my business, I want all that. If I can control all the ads been in the world, I can make as much money as I want. Google prints money and I can grow any business I want. I can be an idiot and just drive leads. That's how that's what I trade for.
Steve Trang:So that was going to be my answer for one of the other questions. But thank you, stratton. So you watch the hangover. Hot tub time machine. That's going to be stratton, right? What did he call Google? Like Rob goal or something like that when he came back out? Stratton is to be strackle or something like that. But you know, I was. I was debating between back and forth, between money and whatever. The close choice would be. If I could just trade for current, I could just trade for Chris Jefferson because, this guy's got marketing dialed in.
Steve Trang:this guy has figured out how to find the masses to help them buy a service right. The audience, the community that Chris has built put together, it's something you know, as a third party, I admire. So, on top of the right after the money guy, I would trade for Chris Jefferson.
Chris Jefferson:I appreciate that man. Yeah, we've shot to the you family, by the way. Shout out to the you family. You know I love you guys. Potter hung out with us in the you family. He knows the vibes.
Matthew Potter:You know wild wild love, absolutely a great time, great time. Love it man, I love it.
Steve Trang:Yeah, so I guess. So yeah, I mean Stratton stole my answer for another question, so now I got something else there's other companies you could include.
Stratton Brown:You know, like I stood down for the companies for the other question.
Steve Trang:I know I know it is.
Chris Jefferson:I say multifamily. I get what Stratton is trying to say as well, though, like Rob can understand this. To like, it's the data business, right. Like I'm in the data business, to right, I'm in the data aggregation business, one of daily basis. When it comes to ads and different things, whoever holds the data wins, right. Yeah, that's that's who wins every single time.
Steve Trang:Well, I mean, google also owns the data, so they control the eyeballs and the data, yeah, so yeah, I would say Google, but I guess I have to come up with another answer for later on.
Matthew Potter:So we're going to make Steve think. We're going to make Steve think, on a Thursday, watch out guys. All right, I'm going to say, based off of the outside the box right there, going to give the point to Stratton, like I'm you know, I'm not just doing that because you know he covered for me or anything you know, by the way, shout out on that. That is a great answer, though. I mean, if you control, if you control the data and the eyeballs, I mean you control it all you do. All right, let's get into question number two. How do you handle a situation if one of your employees gets in legal troubles that might cause them to go to jail? I can't wait for this one. All right, start us off Stratton.
Stratton Brown:All right. So two years ago my little adorable cousin Aliyah's mom calls me and she says Aliyah's gotten into some trouble and I was like what for? And she was like she got caught selling weed at school and I was like, immediately, she can come work for me. She was my intern. I was like hell, yeah, you got the grind. I already know you're really smart. And so she interned me at one of my math.
Stratton Brown:If it's anything else besides, let's say, selling narcotics up to cocaine, I would say we got. We probably got to get out. You like, if we got domestic violence, I'm out. Sexual assault, I'm out. White color crimes, I'm out like Ponzi's. Like what is it? Wire fraud, any of that shit, I'm out. If it involves some real savvy entrepreneurship of selling some good old stuff, I'm on board and we're keeping you. Anything else, you're out.
Steve Trang:That's what the kids are calling it that good stuff, stuff.
Matthew Potter:It's like those old commercials from the 80s stove top and stuff. All right, steve, what about you? What are your thoughts on this?
Steve Trang:So there's a couple of questions I'm going to look at. First, is our kids involved? That's the first question, because if kids are involved, you're out, you're out, you're dead to me, you're dead to the company. Right After that, they were going to see how valuable this team member is. So if I were to find out, for example, that a valuable team member, a person that's contributing a lot to the company, got caught assaulting an officer, I would ask questions to find out whether the police officer deserved it. Right? That's the perspective I'm going to be coming from to figure out, right, like, what did he do to deserve it? If it's a person that's, you know, not a valuable team member, well, there's going to be different questions, right? So I think the first, our kids involved, and after that, how much, how much value you're bringing to the company, and based off of that, we'll figure out how we're going to address and resolve the matter.
Matthew Potter:So we answered the question without answering the question, that's.
Steve Trang:I mean, I think you know where this is going. I know where it's going.
Stratton Brown:And I'm a politician.
Matthew Potter:Yeah, I know where it's going and I'm glad I'm still employed and I do thank you for that.
Steve Trang:But you know we just need cash offers Com there, that's the cash offers Jesus.
Matthew Potter:All right, cj, what are you doing in this scenario?
Chris Jefferson:Yeah, I mean you guys are pretty kind man. I mean if somebody was working for me and went to jail they wouldn't be working for me anymore. Just hit me up when you get your shit straight and when you get out and we can try to see if it makes sense to pick it back up. Then, so long as they didn't do something, you know that's a serious or violent crime or something like that, or financial crime. But like if somebody got locked up past like maybe 4872 hours, that at that point it cost is costing me money. I don't know why. I would be waiting to figure it out with you. Like maybe I'll come to court and support. You know I'll put on a nice suit and come to support if you didn't do what you're accused of. But if you're already in jail you know look like I'll catch you on collect.
Chris Jefferson:You know they got iPads in jail. Now Hit me on the iMessage or something like we'll stay in touch, but I'm not. I don't know what you. You know I'll put a couple of bucks on the books. Maybe I'll take it out of your future check you might be waiting on. But like I mean, come on, man, what are we talking about? Right now? Y'all gonna just like yeah, I just like hey.
Robert Wensley:I know you went to jail for like a year, but hey, it sounds good, you can work for me from jail.
Matthew Potter:By the way, if anybody needs a character witness, just hit up Chris at startflippingdealscom. He's there for you. Alright, robert, what about you, man? What are you doing in this scenario?
Robert Wensley:Alright, there's a whole spectrum of like that can throw you in jail. Okay, I like what Warren Buffett says. He's like if you follow anyone around for 500 miles, if you put a cop on someone, you follow them around for 500 miles. You're gonna catch them breaking some law. It doesn't matter if it's the pope himself. Right, there's a whole spectrum.
Robert Wensley:So I gotta go with Steve on this where, like you, gotta figure out what the hell's going on first. With my crew my crew I got a bunch of 20 somethings working for me. So if someone ended up in jail, it's probably they got drunk on the weekend and got in a fight and they got thrown the drunk take. So that's probably the spectrum of shit that I would be dealing with in this situation. So my response would be bro, why the hell did you call me to bail you out? You should just call me, I would build you out. Stuck in jail for the weekend. Next time, don't drink so much.
Robert Wensley:So that's like the spectrum that I'm expecting I would probably deal with on my team is just people getting drunk and doing dumb shit. Fortune, that's never happened. People have done dumb shit, but no one's done shit that's dumb enough to get them thrown in jail. But there's a lot of things that you throw in jail, like if you do not renew your registration, your vehicle as a criminal offense, that can even go to jail for that. You know like there's these small little things that you can actually get criminal convictions for. Some people don't even know it and then they have. I would say, 50% of my clients that are cartel losses have criminal backgrounds, probably about 50%. So I got with stradded to like there's a lot of things that like a lot of dumb shit that most of us entrepreneurs did, like who here didn't sell weed when they were a kid?
Chris Jefferson:I didn't, that's like the exception in this industry. Yeah, I mean.
Robert Wensley:You got arrested for it. Yeah, like, I mean, like, like, like. At least 50% of us were selling weed in high school. I was selling fake jeans, making fake IDs, like I. There's so many things that I did when I was young that I Didn't sell, or what I did them all when I was under 18. So it depends what they're doing. Number one, and, and Like strats said, you know, like, like, if it's a hustle, I'm just like bro, why didn't you come to bill you up?
Steve Trang:So I definitely didn't sell any weed, right? That's ridiculous, right? I only try to fund the operation and we picked the wrong people. So and then, as far as CJ goes, man like he does not believe in innocent until proven guilty.
Chris Jefferson:No, he said, it said in jail.
Stratton Brown:They're already.
Chris Jefferson:They're already convicted of something in jail right. I'm thinking you know where everybody gets messed up about. That's why I put a 72 hour window on it right, like if it's okay if you're out within 72 hours then, like we're good, like we'll figure it out, like let's go have a drink, like we'll get it out of there, maybe have no, they got in there because of the drinking.
Chris Jefferson:We got to talk if you got a problem right, because, like now, if you're making incoherent decisions that could affect the business, maybe we got to talk. Maybe we got to find something else for you to do at the company. All right, like, maybe you could be the receptionist.
Steve Trang:All right you can.
Chris Jefferson:You can just work up front. Maybe, even if you're slightly intoxicated, you could still be friendly. Maybe we could work that out.
Steve Trang:Yeah, we had. We had a gal. After we let her go turns out she had a whole Bottle to Kila in her in her desk. We're like I might explain why her productivity went down in the last two months because we couldn't figure out like her attention to detail just Kept getting worse and worse. Matt knows exactly what I'm talking about.
Matthew Potter:No Matt's early confused right now.
Steve Trang:Okay, well, she was the one that had open brain surgery. Right prior to us hiring her, there were her.
Matthew Potter:There we go. I know who you're talking about there.
Steve Trang:Yeah, so we're like huh, okay, we should have caught this earlier, because she was not paying very good attention to detail, was not as responsive, and this bottle to Kila probably has some correlation with that.
Matthew Potter:So what I heard was you hired someone who believes that happy hour start. You know it's five o'clock somewhere. It's all right, it's not the end of the world. All right, we're taking this one of the chat. Cj's gonna get the point on this one. People loving the yo. Let's talk about it later. You know, I don't care if you were thrown in there for some dumb stuff. I don't know. Somebody had made a, somebody had made a comment in there about J pay Email. I don't know. It's like a whole thing. All right. Question no. Question number three All right, I need you guys to be easy on this question. I know you've been chomping at the bids for this one. I'm literally looking at all of you. All right, what are your thoughts on the NAR lawsuit verdict? We're gonna start it off with CJ. Be easy, my guy.
Stratton Brown:I Just think it's great, all right.
Chris Jefferson:You know, rillituras have existed for so long On this high horse of the industry. Like they're the like their God's gift to real estate because they they went and got a license and they do some continued education and Hardly sell or list any houses. I think this is great. Here's, here's why I think this is great. Of the real estate ecosystem, overwhelming majority of people who provide the least amount of value to transactions are real estate, by far. All right, and so I think that this is gonna be great, because I think that the free market should exist. I think that value should have to rise to the top.
Chris Jefferson:I don't think that just because you're somebody's cousin or you work with them and you got a license, that you have to be the person to list their property helped them buy a house. Let's not get it mistaken Real estate in the business of making money by sleight of hand. They make money by acting like they're not trying to make a lot of money on people's properties, at least as wholesalers. Right, like it. I see real estate trying to compare wholesalers to realtors. We're not realtors, all right, we're not licensed, we're not in our governing body. We're supposed to be trying to make as much money as possible.
Chris Jefferson:Realtors do sleight of hand. Hey, rob, I'm here to help you. I want to do as much as I can to help you get you the best return possible. But hey, I'm gonna let you go buy this house with zero equity, right you know, so that you can move into this property and then, if the market crashes in a year, well, I I'll see you when you got a sell it, cuz you're getting foreclosed on now, yeah, that's when you say yo, I'm gonna refer you over to Potter, he's gonna handle.
Matthew Potter:All right, robert, what are your thoughts on this?
Robert Wensley:Because here's the thing, and the realtors are a cartel. Right, there's this line economics, a lot of perfect competition. Okay, when you're selling basically a commodity service, which basically realtors are doing the sign committee service, there's downward pressure, pressure on pricing until eventually you hit bottom prices where basically net profits equals zero. The guys running an AR understand that, so they know the only way to maintain these extractive Freakin fees is to work like a cartel. And then the work like a cartel and everyone knows that they work like a cartel and they're not. They don't even hide it. They don't even hide it, like, if you listen to Gary Keller a few years ago, talk about Zillow. He's like you guys are idiots for pulling all your data and Zillow. We need to maintain a monopoly on the data because whoever owns the data Runs the industry. As soon as you give out the data, we're gonna lose our monopoly position, we're gonna lose our pricing power. He's right. He's right like, these guys know it. These guys know it and it's been out there. It's been out there. They'd be like we're not a cartel, we're not a cartel. And now, finally, we have a court saying, yeah, you guys are operating like a freaking cartel. So I'm really happy.
Robert Wensley:But what I'm most happy about is, I think, the realtors. You know they're on their high horse, like Chris was saying, and you know what they're doing. They were looking down at the wholesalers and real estate investors like, oh, you wholesalers and real estate investors they didn't have enough on their hands to worry about. So then they're looking at us, but now, oh, they're gonna be tied up in this because as soon as that verdict went through, immediately they opened up a ton of lawsuits, a bunch of other states. Now NER is tied up in lawsuits from the next five years. They don't have any bandwidth at all to go after the real estate investors and hammer us for what we're doing. So it's a big blessing.
Chris Jefferson:Shout to NAR man Shout to.
Matthew Potter:NAR. No, no, no. It's shout out to N-A-W National Association of Wholesalers, because it's coming, it's coming.
Robert Wensley:It's already set up, jerry, and I got it set up already.
Matthew Potter:It's already coming. All right, stratton, what are your thoughts on this man?
Stratton Brown:Man. It's one of the biggest lobbying groups in America. It is a cartel, just like Robert said. It's a bunch of dunces running around with their thumb up their ass. They don't know anything about housing prices. They lie to people like, hey, we can list your house. At this, all of you have had a conversation with a person where realtor tells them one thing and it is blasphemy, and you're like, bro, how are you gonna do that? That's not gonna work. They're just gonna drag you out. They want to lock you up in a listing agreement.
Stratton Brown:If you go and you look, any business generally does not go through a realtor or a broker if they want to get a good deal. They know that for a fact. If I'm ever looking for something good, I have the infrastructure built inside of my company to get the best deal possible. To break down the deals, go over financials, all that. What else do I got, bro? Realtor's are just the worst, bro. One other thing Two weeks ago we had one of the biggest brokers in Fresno put out a reel saying that if you're a wholesaler, you're the scum of the earth and you are stealing from homeowners. Whoever this clown is, who owns Realty Concepts is stealing as well, whoever the fuck that clown is. Sorry, steve, I know I'm not gonna say the f-word.
Chris Jefferson:No, every birthday to Steve.
Stratton Brown:Overall, bro, they're just the worst. I don't care about one new one, I just think they suck.
Matthew Potter:Yo.
Steve Trang:The best thing that ever happened to realtor.
Matthew Potter:Yo, all I'm gonna say is y'all clearly are not working with the right realtors. That's all I'm gonna say.
Steve Trang:Just call it at me.
Matthew Potter:I'm gonna take care of this for you guys, because this is just unacceptable. All right, steve, what are your thoughts? You're a card-carrying member, so what are your thoughts?
Steve Trang:I think it's a sad state of affairs. I am truly generally sad for the general public. I think that if you're a person that's looking to buy a home, you've got no one to represent you. If we're removing buyer brokers because there's no one incentivized to help you so you have no one now looking after your best interest. If you're looking to buy a home, if you're looking to sell your home, you can sell your house for a sell-by-owner. We have perfect competition. You can sell your house FISBO, on Zelo, on forsellbyownercom there's a lot of places you can sell your house, but you're not gonna get the most amount of value for your home, right? So if we remove realtors from the industry, there will be pure competition and prices will adjust. But at the end of the day, if you have no one else to market your home, then you have less marketing, you have less demand. You will get less for your home. So I think it's a general sad state of affairs for the general public.
Steve Trang:To Stratton's point and CJ's point absolutely a majority of realtors are grossly incompetent. That's not a secret. Everyone's well aware of that. But you cannot judge an industry as full of salespeople on incompetence, because salespeople in general are not well-rounded business owners and, in fact, most industries. That's the case, right? If you look at the average wholesaler, are you gonna say, man, this guy's ready to go to a Fortune 500 situation? If you look at most general contractors, why are they terrible? Because they're really good at drywall and HVAC and they said I can do this, I'm gonna start my own business. And they have no idea that being able to put drywall up has nothing to do with running a business.
Steve Trang:So I think that, yes, there are a lot of incompetent realtors out there. A majority of them, if it's not 80%, is 90%. I'm not disagreeing with that. But you talk about competition. This is why we have competition. We have competition. If you don't want to pay 60% of the realtor, you can go flat fee. You can't call a wholesaler. There's four of us here, right? So it's not like wholesalers are removed, it's that I believe. If you want the most of my money today, the realtor's gonna get you the most money. If you don't like how much they charge, negotiate. Everything's negotiable. Yeah, what I mean when?
Chris Jefferson:I say value in the free market right Is that if you're a realtor and you're going to work with somebody who wants to sell their home the overwhelming majority of people who are going to sell their home the property is not new construction, nor has it already previously been renovated. But most realtors aren't in the position where they can truly educate somebody on how to actually increase the value to get maximum dollar, and they often don't the good realtors do. The other segment of the population is new construction. Homebuilders don't work with regular realtors. They get buyer representatives and develop their own compensation plans and they pay whatever they want. People just deal with it. And then the other pieces people like us home renovators, fix and flippers who don't want to pay full commission anyway.
Steve Trang:We don't want to pay 3% to the list of property that we've already renovated. The point of the lawsuit was that there was price fixing. That's the point, is there's this general collusion of it, and I can understand that.
Chris Jefferson:That happens, why flat free companies exist, why broker lists exist and some of these other companies exist, it's because for too long, too many brokers were saying to their agents to say to their investor contact or their investor seller they were going to represent, like, hey, no, rob, I can't do a flat fee for you, my broker won't let me. I know there's nothing for me to do but stick it on the MLS and set up showings, but that goes back to the competence that is price fixing.
Steve Trang:If that's a conversation, that is a violation of Sherman and any trust. So I'm not disagreeing with you there. My point is you would find a good realtor and you would pay a premium for a good realtor, or you can go FISBO. This whole idea that you had to pay all commissions, 6% or whatever is grossly untrue. And, by the way, I didn't ask for 6. I asked for 7. Hold on, can I?
Chris Jefferson:ask you a quick question Do you think the general population that goes to list a house and or buy a house knows or understands that the 6% commission is negotiable, and do you think that realtors communicate that effectively to their clients to give them the opportunity to properly negotiate the commission? Yes or no? Yes or no, yes, they know.
Steve Trang:Every single homeowner is asking me to do it for a reduction.
Chris Jefferson:I'm not saying they don't ask. I'm telling you that the realtors tell them it's not even possible.
Robert Wensley:You got realtors out here that open people in to the representation agreement.
Stratton Brown:I don't know who. The long listing agreements are crazy. And then you say that they can market it better. Bro, they put it on the MLS. What else can you do for marketing?
Steve Trang:Like in all reality, they put it on the MLS and post about it on their social. The cookie trays for sure.
Chris Jefferson:The cookie trays.
Stratton Brown:for sure, bro, number one.
Steve Trang:But really it comes down to the resources to market it right, having the bi-relationships working with the realtors that you know that can bring in the quality clients. But the other thing too everyone seems to think that what a realtor does is market and put it on MLS and market it right. That's what the illusion, that's what people think. That was true in the 80s, that was true in the 70s, that was true in the 90s. Today that's not the value. The value is not sticking the MLS. The value is helping you navigate a transaction. The value today is helping you understand the risks and consequences Of every decision you make throughout the transaction.
Chris Jefferson:Yeah, shout out to our sponsor NAR by the way.
Steve Trang:Now look.
Robert Wensley:Thing. There's value, but they're.
Chris Jefferson:I.
Robert Wensley:Think.
Steve Trang:I have opted out of the realtor industry because I couldn't stand servicing people that didn't value, because everyone to negotiate my feet. Yo so real real quick.
Matthew Potter:I got a question for everybody on the panel. Sorry I did. I'm ad-libbing right here how many of you would be willing to buy a property at 95% of ARV right now?
Chris Jefferson:Nobody but a realtor's client.
Matthew Potter:Okay, so can. Can we agree, though, like, let's just, let's take a step back. Can we agree that maybe for that particular seller, if they're getting 95% of ARV versus maybe 70% ARV from you or a Investor buddy of yours, or something like that, could we see that maybe there's a benefit there for the seller?
Chris Jefferson:Yeah, I mean I get your point right. The seller is able to make as much money as possible in that scenario. Is that what you mean?
Matthew Potter:Okay, Correct like so. For example, say say you were selling a property, cj, do you want the most amount of money possible or do you want to sell it? Or do you want to sell it to Robert over here for 65% of ARV?
Robert Wensley:I think, look, that's not what I'm gonna see, for they're getting sued for the buyer side because they're price fixing on the buyer side. That's what they're gonna sue for see.
Matthew Potter:But here's the, here's the reality of the, of this side, and Again, like this is just me talking real estate. So the reality is and you know you, we can all agree to disagree on this. I have seen every co-broke known to man in the MLS. I've done deals for literally a dollar co-broke, okay. So how so have I harm? So have I harmed the buyer? Have I harmed the seller? I've done it for 500 bucks, done it for a thousand bucks. I've had new bill, I've had new builds that will give me 5% for bringing a client because they're not selling anything because of where interest rates are. So, like I said, just take that into account that Ultimately, at the end of the day, I think we all need to learn about this, of the aspect that Agents and investors need to learn that we're in the same ecosystem and we need to start supporting each other Rather than sitting there trying to point fingers at each other, or else we're both gonna be out of business real fast.
Steve Trang:And, for the record, I was one of those people that a dollar co-broke man Because I didn't buy your agents your jerk man. I got the angriest phone calls and voice mails about my dollar co-broke. It's like I don't value buyer agents like I want to double-end this deal.
Robert Wensley:And look at that. I'll tell you guys a story, a lot. Can I tell you guys a story about the last house I bought? My Personal, my last personal residence. This is funny. So the way I look at it, here's the way. Look at everyone operates in their own interests. As long as you understand that everyone's operating their own interests, you can navigate this pretty easily.
Robert Wensley:Okay, so when I was shopping from last house, it was like 2021, super hot market, and I was going for a property in the richest county in all of America. I went wine country outside of DC. Nothing is ever listed. When it is listed, what I found is that they would. The strategy that the brokers were using that area is they would bait you in with a really low price and On average, the properties were selling for a hundred to two hundred thousand dollars above their initial listing price. So I see this property listed. I'm like damn, this is on a wine vignette. I want to go after this deal. I roll up there's.
Robert Wensley:By the time I'm finished my showing, there's a line up the door like probably 50 people want to look at this house. They listed it for like 680 and I knew that they were going to try to sell in the eight hundreds. So what I did is I don't have a buyer's agent. I go to the seller's agent. I'm like, I'm like she's gonna act in her own interest. I'm like I'll tell you what. I'll give you an offer on this thing. I'll give you your 680, but you have to 5 pm To accept it. And guess what? I don't have a buyer's agent, so you can double and it and you can represent me. You can make double, but you got to get your seller to accept this by 5 pm.
Chris Jefferson:Every investor knows the best way to get an agent. This listing a property for some way to work on your side.
Matthew Potter:Is it telling me?
Chris Jefferson:exactly. Hey, I do this all the time. Hey, I'm under, I'm not represented, I have no agent. You're more than welcome to make both sides of the commission. Here's the deal that I need to make work. Can you make it happen? Guess what happens. I'm in the majority of the time.
Steve Trang:So 59 except of my offer. So one thing I want to say, because Chris says everyone operates in their best interest, but last week he got but hurt when we said builders operating their best interest. Just want to highlight that there real quick.
Matthew Potter:Yo, all right. So that was good. That was good dialogue, good conversation. It's nice to know that 75% of the panel wants me out of business. I appreciate. I appreciate all of you and I'll be submitting my resumes to your respective.
Matthew Potter:You know operations over there there. Look, I'm gonna go with Steve on this because ultimately, at the end of the day I'm sorry he brought, he brought up the good points. Look, he brought up good points and, like I told you guys, at the end of the day, we all know nobody's buying something at 95% of ARV and you guys even back that up with. Everybody operates in their own, you know, in their own best interest. That's a seller's best interest. It's no different than when you're flipping a property. You guys want the highest price possible. You're not over there saying, hey, I really hope that I can sell this for less, you want it for more. So that's it for that round.
Matthew Potter:All right, we're gonna get on to a word from our sponsor, sales disruptors. Today we have a lot of. You might or might not know that, apart from podcasting whole sailing and being a perennial third place on PTD, steve and sales disruptors teach and coach the, the country's top homebuyers, to buy houses at massive discounts. What this means is that Steve helps companies learn a sales process, meaning he teaches them what to say to homeowners to acquire properties at deep discounts with the disruptor process. Earlier this year, steve and Ian launched a sales community so that everyone can gain access to the same training at the ridiculous discount of only $87 a month.
Matthew Potter:What's even more exciting is that inside the community, you will get all of Steve's courses, old and new, three coaching calls a week, resources, handouts and access to Steve and Ian Ross for the great price, which in the past cost thousands of dollars. Simply put, sales is the surest skill to become financially free. If you're interested in joining their mission of creating a hundred millionaires, go to sales disruptors. Calm to become the next one. All right, we're gonna get into question number four over here. Walt Disney finalized the deal to complete to completely own Hulu from Comcast media. What is one company you'd acquire to boost up your business, steve?
Steve Trang:start us off. I mean I was gonna say Google, but I mean that answers are already been taken. Stratton, thank you. So I guess after that, based off the last answer, I would, if I could acquire two companies, national Association of realtors and National Association of wholesalers, if I could just control the narrative In both industries Right, because I am a wholesaler, I'm a realtor. If I can control the narrative in both industries, we should conquer the real estate market. So if I could pick two, those are the two things I pick.
Matthew Potter:Nara and Naha, good stuff.
Steve Trang:Nara Naha.
Matthew Potter:All right, all right, we're gonna sit, we're gonna send it out, we're gonna send it over to CJ. He's over here, he's me mugging me right now. He's not happy with me. He does not what he does not like this realtor right now. But all right. What are your thoughts? Cj, what are you acquiring?
Chris Jefferson:Look, every generation there comes along an Opportunity to to just get massively, massively, massively wealthy, and that's happened since the beginning in town where there was steel, coal, railroads, airplanes, the internet.
Stratton Brown:AI man open.
Chris Jefferson:AI. If I could acquire any company right now, by far it would be open AI above any other company, above Google, apple, whoever Open AI their business. What they're doing is a new frontier. That way they the speed of this evaluation. Yeah, I mean a hundred percent. I'm going after open AI, without question.
Matthew Potter:That's. That's actually a really great response. I didn't even think of that one. All right, robert, what about you? What are you acquiring?
Robert Wensley:Assuming I had no budget, I'll just go on by Zillow, but Realistically though. Realistically, investor lift. We own Dispo like no one's. We do thousands of properties per month, thousand. We own off-market Dispo by far. I mean, we're probably. We're probably 20 to 30 times bigger than Place number two. So I think it would be cool. So we have the Dispo side down. We haven't even touched acquisitions. I think it would be cool if you had acquisitions in Dispo, like the full thing all under one roof. So if we did a merger with, like, a company like batch or prop stream, and you could have like one piece of software that would. You can just like that's all you need to run a wholesale in business One piece of software, one credit card bill, everything you need from acquisitions to Dispo. That could be pretty sexy.
Matthew Potter:Coming soon. Batch lift we can roll with it. All right, Strat. And what about you?
Stratton Brown:I was gonna go with black rock. Chris took an open AI, steve took Google was again. I mean black rock, I mean that that is the one if you want to control everything and Make the most money possible without having to worry about nor anybody. Black rock what is? They own like 90% of the S&P 500 in some way or form, like they.
Matthew Potter:It's like 92% now, bro. They bought some more stuff last month.
Stratton Brown:So for me it for sure be. Black rock would be the number one company I want.
Steve Trang:Yeah, they are past the point of diminishing returns. They literally owned everything, right, like I don't know what. What's the point of raising any more money like yeah, well, you know, we really want to get to 93% of Wall Street. So see, yeah, let me ask you about open AI. Yeah, open AI obviously mean they got the AI piece figured out. But Do you think, if you would go with open AI, you think that they've got a large enough Lead on Google that Google can't cash them?
Stratton Brown:They just.
Chris Jefferson:I think. I think it's not about whether, like, you can be caught right. I think that there's something always to be said about being first. All right, yeah, and look it. I think this is congruent across almost every single industry. All right, like before property dispo became a hard focus, I didn't really hear about anybody other than investor live. Right now, I could name five different companies that do the exact same thing or attempt to do the exact same thing that investor live does, but Rob just said it right he's 2030. He's 2030 spots ahead Of anybody else. I could say the same thing about my own business, right, like.
Chris Jefferson:I started doing communities back in 2020, when nobody was doing community. Everything at the time was sell a course, put them somebody in a Facebook group, give them a call a week, tell them good luck, Right well, my business blew up because I was one of the first to do community. Pace Morby he started his community the exact same time as well, so I would go open a because the opportunity to be first More importantly, man, it's not even regulated yet. Yeah, I think there's a lot of value being first right, I mean.
Steve Trang:Harvard like the first University in America. Right, co-cola was the first cola company. Like, I think there's a lot of value to being first, but I think Google is so well funded that I think that they can and I could be speaking not with a lot of like dad at the beginning, speaking not with a lot of like dad at the back this up just theoretical at this moment, but I think they have the resources to catch up in AI and I mean it might be even situation where they acquire open AI.
Robert Wensley:They have more training data. Like that's, I think, the big thing because the algorithms are pretty much commoditized now Like the algorithms are, like we're actually working with the same, like the theory in the math that goes into these algorithms was developed back in the 60s and 70s. So these guys are competing on is like compute power amount of compute power going in and the amount of data training data you're putting in and how you, how you finesse that training data right, like at investor lift. Investor is basically big, massive data mining machine. It took until this year for us to actually have enough data that we could actually make AI that works and Even though we finally have it like actually working, it only works in some cities right now or we have enough data, so it's all. It's not really about the machine as much about, like that, the fuel you put in the machine.
Robert Wensley:I think Google could surpass them and probably well, just because I think that the data advantage there is the first move advantage that Chris mentioned. But I think having the data advantage I mean they have over 20,000 data points per per American Right, all your search history, everything like if you're going to go on a trip to Alaska, you're gonna start searching for flights to Alaska before even tell your wife that you want to go to Alaska. Google right knows you want to go to Alaska. They're already showing you ads for fur coats, right. So I think they have such a big information advantage that they could surpass up in there pretty quickly.
Stratton Brown:I think it'll be a war, though huge a I were coming.
Stratton Brown:I think the only thing that's really gonna hold up in place, I mean, sam Altman is an extraordinary human right and like, if you want to go like CEO to CEO, google CEOs have kind of stepped out a little bit and Sam Altman is laser focused and just got president Biden involved. Like, hey, we want regulatory capture, we are going for this and if you have one, so it's not yet the best job ever. I Think open AI is gonna take it, but Google be close.
Matthew Potter:So that was definitely an interesting round. A lot of thought-provoking ones there. You know, like I said, even even though he wants me to be on the unemployment line next week, point to CJ over there with open AI. I like that one. Like I said, application over to the you. All right, we're gonna get into question number five. It would not be a PTD without a sports question. We always know that there's something. Thank God RJ is not here. He tried to work in hockey All right, like the Texas Rangers, overcoming the odds from winning the World Series. What is one unexpected victory you have had this year? Start us off CJ.
Chris Jefferson:One Unexpected victory I've had this year the Texas Rangers. They sucked that bad. Yeah, yeah yeah, I didn't even know they were in the World Series Until I saw the question five minutes before we started the show. I haven't had any unexpected victories. If I could be honest, I always expect to win. I Don't. I don't know, maybe everybody else is different. I always expect to win at everything that I'm doing, anything that I pick up. I don't mind taking L's when necessary.
Chris Jefferson:I think you learn from L's. You fell forward from failures, but I can't remember anything that I've done where I thought it wasn't gonna work out and it was like an unexpected win. So I'm not. I'm not Texas Rangers man. So you know, I'm like the Yankees bro, like we, even if we haven't been in a while, like we think we're going every year.
Matthew Potter:There we go, the confidence, the confidence coming from the you over there. All right, robert, what about you?
Robert Wensley:So similar, chris. Like I always expect everything to go. I'm internal obstacles. I think you have to be to operate at this level. You have to because your chances of failure are so high in entrepreneurship that you got to be a little bit crazy to even try, always expecting everything to work out. What I'm always uncertain about, though, is timelines timelines on things.
Robert Wensley:So we did a big push into AI this year and I was thinking we'd probably have it a product that is like Good enough to bring to market, probably in like a Q3 next year, if we like, really worked on it hard, and I ran. We made a slight tweak to our algorithm a couple months back. We just changed like one little waiting and all of a sudden, boom, it works. Like I, I ran a property through it. It's spit out 10 names and three out of the ten want to buy the deal. I sold the deal in like five minutes and then, like I was, I was losing my shit. I was like, oh, this thing works. So that was a like the speed. Like I didn't expect that version to work. That's such a small tweak would make it work. So that's a. It's actually going live, I think next month in Phoenix, so super excited for that. Actually, steve, if you're down to beta, I have the beta. I should be getting access to the beta that I can let people play around with tomorrow, if you want to test it.
Matthew Potter:And so it's okay. Else you want me to put it on the MLS for you, bro.
Steve Trang:Yo.
Matthew Potter:I had to. Yo, I gotta have fun with it.
Steve Trang:I gotta have fun. All right, stratton, what?
Matthew Potter:about you boss.
Stratton Brown:The first thing I have written down. Like everybody else, I don't ever plan on losing Is the first sentence I wrote down. I was like writing down my notes. I'm never planning on losing. I don't know, man, there's not really a lot of expected wins. You always expect to go out and crush. If anything, it may not perform the way you wanted it to, but I've never thought like, oh, I might not win this. That's like Robert said, man, I'm, I'm in this shit to win and dominate, and sometimes if you don't dominate, it's okay. But I never, ever, had an intention of taking an L. If you go into, if you go into anything with an intention of taking an L, you're already lost. I have not. Even. If you go into and not plan on dominating, you already lost just because there's so much competition. If you don't hold yourself that way, you're just gonna get washed away 100%. That's solid right there.
Matthew Potter:All right, steve. What about you? What are your thoughts? My first thought is everyone here is freaking. Dj Khaled, right.
Steve Trang:Surrounded by a bunch of DJ Khaled's.
Matthew Potter:So for myself, I would say the biggest win Unexpected victory is.
Steve Trang:I'm working with a group of guys who I think, what with what they're doing, is going to completely disrupt the wholesaling industry and could grossly impact the realtor industry as well. So something I think is gonna be big in 2024. So I Would this is not something I was looking forward to. Nothing they have planned for. It was just these guys that figure something out. They reached out to me hey, can you help us, like, go from this concept to a workable product? So, honestly for sure, that's the biggest win for me was there's something that I think is going to completely change the game in 2024. It's very vague I can't speak about. I can't say anything yet.
Stratton Brown:I'm like I'm working with them on.
Steve Trang:I can't say exactly what it is, but I didn't realize you could.
Matthew Potter:I didn't realize you could fake book on youtube.
Stratton Brown:Yeah, we got puff the magic dragon over there, that's.
Matthew Potter:Uh, that's Steve, now for you.
Chris Jefferson:Um.
Matthew Potter:The point is that the victory is that I've managed to get myself in the situation that could be extremely Promising that I was not looking for right and so you know we talked about this within, like the whale club is keeping opportunities open.
Steve Trang:I'm not sure if I'm gonna be able to do that. I'm not sure if I'm gonna be able to do that. I'm not sure if I'm gonna be able to do that. So, you know, we talked about this within, like the whale club is keeping opportunities open, being receptive, right, like don't stay so Deep into your business that you don't keep your head up for opportunities, right, and so, like, we're working, we're staying active, but we're keeping our heads, you know, looking for opportunities and everyone, once in a while, you land a big fish, right, and that was, that was something that was completely unexpected, but could be, could be massive.
Matthew Potter:Just as vegas, before we appreciate it, steve, you know you're welcome, hey.
Steve Trang:Hey, it was unexpected, like just like, just like my answer.
Matthew Potter:Oh, it was unexpected. All right, um, for the three that actually answered the question, points is points is stratton on this one, just from the aspect of if you go into it thinking that you're gonna lose, you've already lost, bro, you're, you're cooked and you're toast, so I really like that driving that home. Um, we have question number six. I'm excited this is coming from, um, uh, an agent slash investor that's in the family tree with me. Um, so super excited about this. If you were overseeing the gnar and gnar Organizations I love how we just created that on ptg Um, how would you bridge the gap between agents and investors? Start us off, stratton.
Stratton Brown:I think you need to have significantly more education. When someone gets their license and it's, you're learning hey, here's what investors do you need to learn several different exit strategies. You need to learn how to actually evaluate a deal. You don't learn like, I'd even say you need to learn returns, because if you're gonna be dealing with all these different people and it's almost like a college degree of like a year to two years of all right how do people make money doing this Type of buyer? What's this type of buyer? Awesome?
Stratton Brown:So now with the n a, what is it? No, no, it would more for no, it'd be like ethics right, like all right. So how do we not tell this person we're gonna buy the house, then back out on closing day and say I'm sorry, bud, you got to lose your house before closure, like, hey, here's the law of ethics that you follow During these transactions. So, on the wholesale side, a lot of education, but I think a lot of people are selling that. That's kind of served. But the ethics side, I think, is very Right. You got random dipshits doing sub two. That one's awful. And then, from the realtor side, you gotta, if they're really gonna be in it, we got to educate them on all the different people that they will be serving and then all the outcomes that they can create, not just like basic Law that nobody really like people care about it, but that's not helping your person.
Matthew Potter:There we go. I like that solid strat and solid, all right steve. What about you? Well, how are you, uh, how are you gonna oversee gnar and gnar?
Steve Trang:Let me tell you what won't work. If we started a podcast called real estate disruptors Because that was my plan when I first started it, right, because I'm a wholesaler and I'm a realtor like, hey, let's marry these two worlds. We're all trying to accomplish the same thing and after 10 episodes it was readily apparent that these two this is, like, you know, romean juliette these two parties just hate each other and there's just nothing we can do, uh to marry them. Um, I think, uh, as far as Seeing the value and understanding the greater purpose of helping a person out of a situation, and understand that Both parties whether realtor or wholesaler is trying to help a seller go from point a to point b. So, I think, just understanding that we're all on the same mission, we serve it differently, right, the y is the same, the how is different, and we can understand that. That we're here to serve it should be fine, but I think this is krypton blood. I don't think we're ever gonna have unity.
Matthew Potter:Fair enough, fair enough, all right. So we're gonna have turf warrants. All right, cj. What about you? What are your thoughts?
Chris Jefferson:I think that I think this steven stradden's answers sound good, but I think those are too complex and complicated and it's like they basically would be learning forever. Right? I think, if you wanted to to to merge the two, I think it would be critically, critically important to make realtors have to understand investment concepts, investment exit strategies. That's how you truly serve. Like.
Chris Jefferson:So when I hear like this thing about value and serving and all that as an agent, it's, it's the inability to do so, it's not in the intentionality, it's in the education, it's in the knowledge, right? Everything that happens when it comes to a piece of transactional real estate, regardless of the asset class, it's, it's literally all the decisions are based on investment concepts, right? Does a realtor know what yield is? Does a realtor know how to figure out what somebody's rate of return would be? Do they even understand what cap rate is or like? All these things I think should be critically important to being a realtor, because that is literally how you would be able to get the most value and serve whoever your client is, regardless of what side of the transaction you're in.
Matthew Potter:Shout out to continuing ed failing us over here, you know, on the realtor side. All right, Robert. What about you? What are your thoughts?
Robert Wensley:I mean, this is Israel, palestine. The raqis fire now, okay, no in actuality.
Robert Wensley:I think the problem is Most real estate professionals Do not understand the value that investors bring to the United States economy. You see, people look at us is the trashmen and like con artists of real estate investing. In reality, most realtor's make more in a transaction, provide way less value and spend way less time and have way less problems to solve than a real estate household ever would. Or real estate investor. We're the ones that take all the risk. We're the ones that solve the unsolvable problems. And, yes, we might be the trashmen of the industry, but you know what? We're taking out all the trash, cleaning up all the houses that no one else Can handle. But we we have An opportunity in the market because we're serving people that are not being served. Otherwise, there would be no market for us.
Robert Wensley:And if you didn't have real estate investors, you know what happens these houses don't get fixed up, the capital doesn't get invested in the market, the capital doesn't get invested back into them, the neighborhoods start falling apart, the crime starts coming in and your communities start following a part. So real estate investors are a critical, critical, critical part of the United States economy. They should not be villainized, and I think that NAR should just stop trying to shit all over us and look at it as like us versus them, and look at us as like hey, no, we are an essential part. If we didn't fix up all these houses, you wouldn't have nice houses to sell, like all these houses across America are constantly, constantly, constantly decreasing and their value in following a part slowly and you got to have real estate investors coming in there and cleaning them up, giving them back to the state so that they can sell on them in less than 30 days. So we just need to be appreciated more. That's all it is. We just need to be appreciated more.
Steve Trang:So I just want to point out that to Robert's reference being treated like trash men trash men is often one of the highest paid jobs, right Like. Those guys get paid pretty damn well because they're doing the job that no one else wants to do. It's a good reference. But I don't think trash people are disrespecting. I think they compensated pretty darn well. And I think to Stratton and Chris's point, I understand that you're saying we should have realtors understand investments more. I see the value in understanding investments is the reason why I'm on this side but the average realtor doesn't have to understand. I would argue they don't have to understand it because 90% of the population, 90% of the clients or more, aren't interested in investing. They're just selling their home or buying a home for a place to live transaction.
Chris Jefferson:But that's why I say concepts. So let me ask you a question. You and Potter are realtors, so if you took to, you can say it nicer.
Steve Trang:Yeah, dude, that was a little offense.
Matthew Potter:You brushed me off to the side, bro.
Steve Trang:If you took 10 homeowners, of those 10, how many would you say?
Chris Jefferson:generally for each 10, have renovated and maintained their property over time, fully updated it over time, where they can really sell it at max value. Would you say that's the minority or the majority of people? I'd say about half. Yeah, I would agree with that and the reason.
Matthew Potter:I'll tell you that's because I'm a realtor. I'd agree with that. And the reason I'll tell you that, cj, I'm going to give you back stories, since I sell a lot more homes than Steve does. The reality is, especially here in Phoenix Metro, with suburbs like especially like our bedroom suburbs, that kind of popped up overnight. I mean, I went to a property yesterday albeit it's a short sale that I'm listing, but it was built in 2022. It doesn't need updating. But that's different and that's what I'm saying. Like there are those ones, but I would say probably. I just sold a home over in Queen Creek. Seller put everything in there. It was like it's a top dollar property. It is. There's nothing that would have been a value add on that one, absolutely nothing. You couldn't have done anything. I'm talking pottery barn front door, the mailbox was cute, the whole thing. So you run into about half of the people have that quality of home and then you have half where I can understand what you're saying. Yeah, there's a value add opportunity there.
Matthew Potter:Where are you going with this Phoenix man?
Stratton Brown:Like think about where Chris is at. That's some old property out there.
Steve Trang:Some ghetto properties.
Matthew Potter:Jesus, Steve's taking shots bro.
Steve Trang:I thought I'm sorry. I was trying to say what Stratton was saying. I was trying to repeat the lines.
Chris Jefferson:Shout out to NAR.
Steve Trang:Hey, CJ, you're asking that question. Where are we going with it?
Chris Jefferson:No, I'm just saying right, like when I say investor investment concepts like here's how simple this is. The majority of the population thinks it costs $60,000 to $100,000 to renovate their kitchen. You know how much it really costs to do it. Like 15 max, like 15,000, 20,000 can get you a crazy baller kitchen. Think about it. People just understood that concept. How much money that could put back in people's pockets. Now it may take a lot of contractors out of business or might hurt their business, but I'm just saying concepts around investing and understand value add, getting your return, how the market actually functions and works.
Chris Jefferson:And then to Rob's point right, when Rob is talking about that, we're the trashman in the industry. We do all the dirty work. I mean, that's quite literally true. Right, like nobody else is going to be coming into these neighborhoods, revitalizing neighborhoods and communities. You got to think about what builders do. Builders are the ones that come in and put in amenities. They put in resources. City government is the one holding them responsible for putting in roads and utilities, putting in parks and recreation. This is tax dollars to pay for these things. We're the ones who drive up the economy and think about the last 14 years. Investors are the ones, we're the ones who've driven up the economy, for all this wealth that's been able to be created in America, that people are able to take advantage of with their helots, go out and buy new cars, vacation houses, all these different types of things that doesn't exist in this economy whatsoever at all. Literally, there's no economic growth year over year without investors involved in transactions. So, and everybody forgets that, everybody forgets that.
Chris Jefferson:Everybody forgets that when we have all these conversations.
Robert Wensley:Shout out to my wrongs. We drive the entire United States economy. Jerome Powell has gone out and said this. He's like look, we got to keep on increasing interest rates until we slow down real estate investing.
Robert Wensley:Right Because until you slow down real estate investing, inflation does not go down, so they literally just had to keep on hammering inflation rates until they took us out, because 10 to 20 percent of transactions in most major cities across America last year were transactions with real estate investors. That's huge. That's huge. We're talking from one in five to one in 10. Chris said we're driving up the values of these properties, which, then, is giving people more equity in their houses, is decreasing their debt to equity ratios as making Americans more wealthy.
Steve Trang:So CJ. I completely agree with a lot of what you just said there. As a matter of fact, that's my number one most viewed TikTok video explaining all that and one of my top five Instagram reels, so I completely agree with you there.
Steve Trang:Because that's exactly what I said yeah, shout out to the AR. So here's the challenge, roddy, everything you know, cj, here's the problem I ran into. There is no way, or it's pretty hard, to get a homeowner to pay you a 6% commission based off your information here, right? Or 6% commission on a home generally isn't worth your time, Right, for that information. And that is where I've kind of found myself.
Chris Jefferson:Wait, how is it isn't worth whose time.
Steve Trang:My time isn't worth your time.
Chris Jefferson:As the realtor, you mean.
Steve Trang:As the realtor.
Chris Jefferson:But this is my point earlier, right, because of this lawsuit, it will have to become worth your time. Exactly, it can. No longer, as an agent, will you be able to say it's not worth my time. It will not have to be.
Steve Trang:Because there's going to be another realtor. I don't think you're hearing me right, CJ? What I'm saying is 6% of a $350,000 home, right? That's like 20K. Is that worth CJ's time to get paid 20K to help a homeowner do all these things?
Chris Jefferson:Well, I'm not a realtor, bro, so. I'm asking you no 20,000, 200,000 won't be worth my time to work with somebody.
Steve Trang:But that's my point, right. So this is where I found myself. I don't have the patience, right, because I believe I'm worth that right, but I have the patience for a homeowner that's like, well, I don't want to pay you this or that. So they're like, okay, if you don't want to pay me that, I'll go apply, I'll go put my time somewhere, just like we have coaching, right? No, but we're tracking, the same way though I'm with you.
Chris Jefferson:That's what I'm saying, though, right.
Steve Trang:But the point is like you're saying the value is not there, right, Like they're not worth 6%, but there are a lot of people out there that can't add this value and they're the ones that are getting paid that I can make Potter right. I don't know what Potter's average fee is, but it's not. He's not flat, I can tell you that for damn sure.
Chris Jefferson:No but this is my point literally, though, steve. This is why the free market needs to exist for realtors.
Steve Trang:Easy CJ, that was the easiest.
Chris Jefferson:I would argue that Potter, in that instance, deserved more than 6%.
Matthew Potter:Right, yeah.
Chris Jefferson:Right. Like if I come help you with your home and increase the value of your home for you $100,000, why would I only want to make 3% on that? That doesn't make any sense. Like if I come exchange and provide you that much value and I help you take your property from being worth $300,000 or $400,000 for you to be able to capture some of that. No, I think there's more value to that and I think this lawsuit is going to allow people on both ends of the spectrum not just to lower commission. I think it's going to allow people to increase their commission as well by making that congruent with the value that they're actually providing, because there's a bunch of Steve Train's out here that don't want to take the time.
Steve Trang:Well, we become wholesalers and flippers. Didn't you want a brokerage?
Chris Jefferson:I did so now we can be honest, right, but now we can be honest, uh-oh. Uh-oh. That's essentially what realtors are. They just don't want to identify as that. That's a whole different conversation, all right. But they don't want to identify as wholesalers, but that's what it is, I agree. I wouldn't say that wholesalers are realtors.
Matthew Potter:All right, so a couple of things. Number one, taking this one to the chat. Cj got a lot of love in there. Cj, you're getting the point you will win today. Like I said, my resume is in your inbox. Next week we're going to continue this discussion on CJ owning a brokerage. We're going to go ahead and just have you know we're going to have that on there. Real talk, though we had a lot of fun today. It's always good sitting down with you guys and getting both sides of the coin, both sides of the perspective. I think I love that about PTD. And then afterwards we can, all you know, sit there and bust each other's chops and do business.
Steve Trang:Well, they got all this on my number.
Matthew Potter:Fantastic. So we're going to remove Steve from the group chat. It has been awesome today with PTD. We're going to go ahead and do some outros over here. We're going to start off with our winner today, Mr Chris Jefferson. Say bye to the people, oh it's a pleasure.
Chris Jefferson:Chris Jefferson, richard McVie, startflippadealscom. Rob, great to see you, strat, great to see you again. My God, potter, steve, much love, it's always good to get it dubbed. See everybody later, man Peace.
Matthew Potter:All right, next up. You know, unfortunately you didn't have as good an argument points today. Robert, go ahead and sit by the people.
Robert Wensley:I arrived in Phoenix at 5 am last night, so that's this morning.
Robert Wensley:See, I'll come back and I'll bring the fire this morning. Yes, I think we're running about three hours of sleep, so I promise to bring the fire again next time, but thanks for having me on here today. It was a lot of fun. Good kicking it, good shit talking realtors it's always fun Shit. Talk to NAR and let's do this again sometime. If you guys need help selling your deals Sold about 10 billion over 10 billion dollars of houses this year, all off market. Check out investyliftcom. Get dot investyliftcom. Check it out. We're at investylift on YouTube, instagram. If you want to get 10% off, use coupon code disruptors. You'll get 10% off your first year on investylift and super excited to help you guys sell your deals faster at higher prices.
Matthew Potter:There we go. And also, if anybody is feeling generous, go ahead and send up a cup of coffee in a red bowl to his room over there at the best Western, all right. Stratton say bye to the people.
Stratton Brown:Thank you guys so much for having me on Potter. I'm glad you're feeling better. Glad is a better circumstance. If you guys need help with any type of staffing virtual staffing in your business go to virtualhelpio. That's the company I own and it was amazing bashing the realtors. Thank you, rob. Chris, you know we got to stand together on this. Thank you guys again so much for having me on and I think I got shafted again, but like that's for another day. I think Potter is biased. That's just my opinion.
Matthew Potter:How am I biased when the non realtor who tries to put me out of business?
Steve Trang:won. How does that work?
Matthew Potter:The former brokerage owner.
Stratton Brown:You and Mr Pfizer, steve Trang, down there.
Matthew Potter:Look, we're running a cartel. All right, hey, last but certainly not least, say bye to the people. Steve El Chapo.
Steve Trang:I certainly appreciate Stratton. All I do is win brown claiming victimology for getting shafted on the loss.
Steve Trang:That was entirely a pleasant to witness. This is a lot of fun, right. I think this is a topic that is not going away anytime soon, but I think it's really good to have diverse perspectives. The reality of the matter is we all make good points, right, both sides. We all make good points, and I think the value here we're talking about. Back to question number six is understanding both sides. I think the perspective is so critical. If we're just standing on one side and throwing stones at the other, we're going to have what we're all talking about. This is Israel, palestine. Two point out it'll never be resolved, but it's not until we actually sit down and actually understand the other side, try to figure out how to help each other and work together. This will stay exactly where it's at, which is exactly where it's been Since I started real estate this year. I've just tried to bridge this community and just realizing that's never going to happen. So great show, enjoy hanging out with my friends, and I hope everyone got at least a few laughs out of it.
Matthew Potter:And then, of course, don't forget to go to gnaworg. If you're a wholesaler, you know go ahead and get in use disruptors as your code 20% off Go to gnarnaworg. Narnaworg. All right, we had a lot of fun. We will see you guys next week. Peace.