The Titanium Vault hosted by RJ Bates III

$20,000 Wholesale Deal Breakdown

• RJ Bates III • Episode 685

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If you’re new to my channel my name is RJ Bates III. Myself and my partner Cassi DeHaas are the founders of Titanium Investments.

We are nationwide virtual wholesalers and on this channel we share EVERYTHING that we do inside our business. So if you’re looking to close more deals - at higher assignments - anywhere in the country… You’re in the right place.

Who is Titanium Investments and What Have We Accomplished?

Over 10 years in the real estate investing business
Closed deals in all 50 states
​Owned rentals in 12 states
​Flipped houses in 11 states
​Closed on over 2,000 properties
​125 contracts in 50 days (all live on YouTube)
​Back to back Closers Olympics Champion
Trained thousands of wholesalers to close more deals

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SPEAKER_00:

So Aisha posted this inside of the TU group last night. First ever wholesale check in hand,$20,000. She actually had a picture of the check that she posted there. 48 days after joining Titanium University, I got my first wholesale check. I've tried fix and flip, owner finance purchases, long-term rentals, and Airbnb. Yet this is the easiest money I've ever made in real estate. And I'm still shocked it was all done virtually without even meeting the seller or visiting the property. Now that's one of the things that we always talk about here at Titanium is that defining what your hedgehog concept is, even if you are going to be a wholesaler, understanding that there is a difference between being a virtual wholesaler or doing uh belly-to-belly appointments, going and seeing the properties, closing in person, drastic difference. And obviously, here for Aisha, that was a big moment for her. And the fact that this was all done completely virtual, never having to meet the seller or visit the property. Aisha says, I've lost hundreds of thousands of dollars in real estate this year, which stings, but it's also it can happen. And that's another reason why we always talk about the hedgehog concept where if you're not solely focused on one business strategy, you can lose money very easily inside of real estate. So I'm glad to see now that she has transitioned to less liability and also focus on wholesaling. She really wanted the win to close out 2025. And she's so glad she found RJ and Cassie's Titanium University and took action to give it a try. As are we, Aisha. It also feels good to talk to the sellers and help lay out their options. List with a realtor, get a hard money loan, and fix it up yourself, sell with a trust acquisition with the sellers, even if she can't buy it. This goes back to the concept that Jason Strickland gave Titanium University a couple of weeks ago, where we should be always focused on pointing the seller in the right direction to where no matter what happens, each and every lead turns out to be a win. You can have a hundred percent success ratio because you are the real estate expert in this transaction. And so you don't always have to be the solution. If you are, you're manufacturing deals. But if you're always just coming with the mindset of, I'm going to find out what the seller's needs are, why they're actually truly motivated to sell, what they need to accomplish in this transaction, then that's where you can point them in the right direction. And then if you're really good at coming up with the right solutions and conveying that message correctly to the sellers, then that's where you'll have about a 10% close ratio on your inbound leads that will make you highly profitable as a wholesaler. So here's the deal breakdown. She contracted the deal at$115,000 with$30,000 to$40,000 in rehab needed. The after repair value was around$225 to$235. She JV'd with the dispositions, and that in that JV partner got the in buyer for a$20,000 assignment, and then they split that 50-50. Now I want to kind of pause right there and point out that this is extremely important. If you are newer to wholesaling, even if you have experience with doing other things like fix and flip, long-term rentals, Airbnb, owner finance purchases, all of the things that Aisha had previously done in real estate, doing dispositions on a wholesale transaction is a whole nother skill set that is needed to learn, as well as systems that you're going to have to invest in, like investor base, investor lift, deal speed, whatever it is, that's a whole new skill set. And what happens is if you stop yourself from doing acquisitions to now move on to dispositions to make a hundred percent of that spread, a couple of different things happen. One, she's probably not going to assign this for a$20,000 wholesale fee, it's probably going to be less. She doesn't have the relationships with these end buyers, and because of that, in buyers can kind of sense that there's a lack of scarcity and urgency from Aisha herself. However, if you're working with someone that is established and they have that relationship with multiple end buyers and they know that they have to move quickly, that is how you get a larger assignment fee. Simultaneous to that, then that's only if she's even successful with finding an end buyer. There's still a chance that because she's new at this, she never finds those in buyers, she never puts it in the right position to actually be assigned. Also, during that same time frame, she's not doing acquisitions, which means deal flow stops. So even if Aisha were able to go out and assign this for a$10,000 fee, which is what she ends up profiting on this, she doesn't have any more deals, and her lead acquisitions is slowing down. And so after this deal closes in funds, she has nothing to move on to the next deal for dispositions. However, she stays laser focused on doing what she's doing on acquisitions. When this deal closes, she should have another one falling right behind it. We always suggest when you're new into wholesaling, especially if you're a solopreneur, you should JV that dispositions to someone that has built up the buyer relationships, has the systems already in place, and has the skill sets to dispo deals for maximum assignment fees, which is what she did here and made$20,000. Now, the in-buyer bought this property sight unseen, and the JV partner was able to contract and assign this deal one with one day of marketing the deal. One day, 24 hours. Now that is a true dispositions professional, right there. I love it. And by the way, the the dispo partner on this deal was another TU member at Maximilian De Year. Loved it. One day of marketing the deal and was able to find an end buyer. She used investor boots to take the pictures and videos of the property, which is a TU approved vendor. So inside of Titanium University, we have certain vendors that we work with, right? Now you guys probably know the lead providers that we use because we talk about them. That's that's the hot topic, right? Speed of lead, lead Zolo, property leads. You guys know that. You guys also know that we use Re Simply as our CRM, but there's other vendors that we need to have a full arsenal to make sure that a deal can make it to the finish line. And so, in this regard, this is a virtual market where she didn't have known boots on the ground, so she hired investor boots to go out there and take these pictures and get the videos, which is very important because without that recon work being done, Maximilian wouldn't have been able to do his job on the dispositions. So I love how she quickly and efficiently made that decision to just invest in the deal, hire investor boots, and get those pictures. So it took one week from the time that she spoke to the seller to the buyer to get it under contract. Okay. The in buyer closed three weeks after the assignment, and there's no complications, no extensions, or anything like that needed. The property was in Bon Air, Georgia. I've done a lot of deals in Georgia, I've had a ton of leads in Georgia. I have never heard of Bon Air, Georgia. No idea. I don't know if it's close to Atlanta, I don't know where it's at in the state, but that's the power of virtual wholesaling. Everybody is always so worried about which market should I be finding deals and whatnot. It doesn't matter. What matters is the buyer activity. Is there buyer activity going on in that market? If so, then you should contract the deal, and that's what Aisha did here. The property was owner occupied. The lead came from lead solo. Okay. Now, what I love about Aisha breaking this down, we'll get into the other notes here in a second. But from start to finish, everything that she did on this deal is exactly what we teach inside of Titanium University. You're gonna go get your leads from one of the three approved TU lead PPL providers, lead Zolo, property lead, speed of lead. She chose lead zolo. Then identifying the seller avatar, right? This is an owner-occupant motivated seller. All right, it's in a rural location in Georgia, Bon Air, Georgia, wherever the hell that is. Okay, irrelevant. People complain about these types of leads. There was no complaint here, just action and following the proven processes. I love it. And then she was able to use another TU approved vendor with investor boots, did not try to keep 100% of the deal, reached out to another TU member, Max Million, JV'd the dispo, and because of that, maximized the assignment fee to$20,000, and was able to get the property assigned in 24 hours. That is exactly the blueprint of what we want you doing inside of Titanium University. That's the power of the community, it's the power of the vendors, and it's the power behind how we do deals here inside of our own wholesale operation. That is exactly what we would do across the board. Now, in her other note, she says this was the second property that she has gotten under contract since joining Titanium University. But the first one fell through and was terminated because it was a complicated deal from day one, because it was a tax sale redemption property. Now, the reason why I wanted to shine light on this is because so often people are new into wholesaling or new to titanium university in general, and they go out and they get a property under contract, and for whatever reason, it ends up in a termination, and that demoralizes them into not taking any more action. But in this scenario, Aisha didn't do anything wrong. That property didn't end up in a termination because of her, it ended up in that situation because of the seller's motivation and what was happening there with the property being a tax sales redemption. Like, that's not on her, and we are not always going to be able to solve the seller's problems. So I love the fact that she didn't let that cripple her and keep her from taking action on the next deal that then leads up to being twenty thousand dollars in revenue. That to me is something that is extremely important out of this testimonial right here. Now, the next parts right here are absolute fire to me. This is, in my opinion, what I want the future of our industry looking like. This is the power of what we do inside of Titanium University right here. The seller originally wanted$150,000, but Aisha never made the seller an offer. She simply told the seller, I priced this as a fix and flip and as a rental, and the numbers don't work for me at$150,000. She told the seller that he should call the other investor that offered him$170,000 and said, You should accept that. Now think about that. You just invested your hard-earned money into a lead, and she is sitting there and saying, This is not about me, this is about solving the seller's problem. And realistically, if someone else is willing and capable of investing$170,000 into this property, that's what this seller should do. Now, the other part of this is you're kind of calling our competitions bluff. Can you do this? I don't see how that pencils out. I entered this into the profit calculator, and that makes no sense whatsoever. Guaranteed. The after repair value on this is 230. It needs$30,000 to$40,000 worth of work. No investor is going to be willing to come in and spend$170,000. And if this other investor was a wholesaler, absolutely no one's going to be willing to come in and spend above$170,000. So this is more than likely going to end up being a termination. Well, it does, but not exactly the way we probably assume the seller did contract with that other company, but immediately they tried to price drop the seller. Now we talk about renegotiating contracts all the time, but it's only once we have figured out the facts and we have determined that something was not what we thought it was. Now I don't know what the conversation was like between this other investor and the seller, and maybe there were things that come out. But based off of what Aisha has shared here, it feels like she was able to price it correctly. I don't know if that she it's because she's better trained, or if it's because honestly, the competition's process probably was contract it at whatever price you need to to contract it and then immediately price drop them. Does that work? Maybe. Does it more often than not probably lead to this? Yeah. And is that really how you want to run your business? It's not how I want to run my business. You should ask yourself the exact same question. So when Aisha followed up with the seller, he said he wanted to go with her. She says, I can't go under contract until that other original contract is terminated. Again, doing things the right way with transparency, explaining, hey, sir, you're already under contract with somebody else. I cannot sign a contract with you until you terminate that other one. So he sent that other buyer an email, and kudos to the competition here, whoever this person was, they did terminate with him. Now it's probably because they knew that he wasn't going to accept the price drop, but they could have done all kinds of crazy things. They could have filed a memorandum, they could have tried to hardball the seller, but they didn't. And they terminated, and that was the right thing. All right. Now, here's the crazy part. A seller offered Aisha a lower price. Remember, his original asking price was$150,000. He came back and said$115,000. Aisha never lowballed him or asked him to come down to that price. This is the power of authenticity and transparency. People ask all the time, I don't understand how you can get sellers to come down to the price that we need them to be at. Well, let's go back up here. She said, I simply told the seller I priced this as a fix and flip and as a rental. And the numbers didn't work for me at 150. The truth. She explained it to him. It doesn't work at 150. So when he terminates with the other investor, he knows once he says, I want to go with Aisha, that 150 is not going to be the price. But she never told him what the price was. Because it's not needed. So he comes back and he says 115. Now Aisha, with embracing the mindset and the mentality of the buyer, can simply say yes or no to that price. So she said yes. And since the seller had a bad experience with another wholesaler, now this to me is absolutely next level. He just had a bad experience. So it was another wholesaler. It was an investor. Aisha tells him, I am going to wholesale the property before they go under contract. Think about that. She has the deal. She can simply just send the contract, lock it up, never has to disclose this. But Aisha has made a decision as a business owner that she is going to run her organization with transparency, authenticity, letting the sellers know what is taking place. And because of that, she's able to get the signed contract and doesn't have to worry about the seller finding out that it's a wholesale deal, that she's assigning the deal to make profit. This seller doesn't care. All he wants is his problem solved, and he trusts that Aisha is going to be the solution because of how she navigated these conversations. Explain my logic, give them the alternative options, follow up, and most importantly, follow. RJ and Cassie's teachings. Big thanks to RJ and Cassie. Now I love the love there by Aisha, but most importantly, thank you for sharing this not only with the TU members, but now here on this YouTube video to show the importance of what for 701 days in a row I have come on this YouTube channel to talk about, discuss, dissect, go into the importance of it. You don't have to be a great closer because honestly, there's there's nothing about this that requires any sort of skill other than your ability to listen to a seller's need and then convey what you need and see if you can piece those puzzle pieces together. If you can do that, then you can be a great wholesale closer. And that's what she's doing. She's like, I'm not a great closer because I don't exert any pressure and I don't have any gimmicks and games. It's not needed. What's needed is your ability to see does this seller need to sell this property for a discount? Yes. What do I need to get this under contract for? So it's a good deal for my end buyer. And if you could do that, then you could be successful. Even if you've never done a wholesale transaction just like Aisha hadn't. She came into Titanium University not thinking that she knew more than anybody else, and said, I'm going to follow the process. I'm going to listen to what they say. They say buy leads from Lead Zolo, I will do that. They say when I get a property under contract in the middle of nowhere, Georgia, hire investor boots. They say when you get a property under contract in the middle of nowhere, JV that with another TU member that is known to be good at dispositions. And she did that by JVing with Maximilian. And because of that, she gets her first wholesale check 48 days after joining Titanium University. That is amazing. That is exactly what I want everybody to do that joins our community. Replicate that over and over and over again. But she had a property under contract. It ended in a termination. She did not let that demoralize her. She kept up with it, consistent action day in and day out. And like she said, I just run the numbers, explain the logic, give them the alternative options, follow up, and trust the process. That's what it means to be titanium right there. I tell every single person that comes into titanium university during their onboarding, we're doing it again tomorrow. We have our 25th class coming in on December 3rd. I tell every single one of them, when you wear the titanium brand on you, it's not a hope and a prayer that you're going to close deals. You follow the process, you will close deals. That is exactly what we do. That's why every single person that comes into titanium university, we give them leads on day one and we say, pick the phone up and start calling sellers. Trust the process. Get out there and start taking action because there's sellers in the middle of nowhere, Georgia, that need your help. And there's people in this community that can get that deal moved. And before long, maybe even 48 days later, you have$10,000 in your bank account. Now just rinse and repeat and do that over and over and over again. Aisha, I'm proud of you. Thank you for sharing that.