We will see a 25 – 40 percent House Devaluation in Virus Times (HA 87)

We will see a 25 – 40 percent House Devaluation in Virus Times (HA 87)

Transcript:

Steven Butala:

Steven and Jill here.

Jill DeWit:

Hi.

Steven Butala:

Welcome to the House Academy Show, entertaining real estate investment talk. I’m Steven Jack Butala.

Jill DeWit:

And I’m Jill DeWit, broadcasting from sunny Southern California.

Steven Butala:

Today Jill and I talk about will we see a 25 to 40% house devaluation in these virus times? Heck, yes. In fact, it’s going to be a deeper than that.

Jill DeWit:

I would put money on that.

Steven Butala:

Me too. Before we get into it, let’s take a question posted by one of our members on the houseacademy.com online community. It’s free.

Jill DeWit:

Brandy wrote, I’m watching the prices of new houses listed go down in the Cleveland area on realtor. When exactly should I send a mailer out to make sure resales will work? Like I can make money on the flip?

Steven Butala:

Well, that is the question. You know what, that’s what the show’s about. So that’s the question. The answer lies in looking at graphical data about exactly what happened in 2010. And it was from about 2007, 2008 to about 2011-ish, there was a one of the worst real estate, if not the worst, real estate recessions, depressions in the history of our country. And so while that was tragic at the time, and it cut both of us to our knees financially, I knew at the time when we were going through it that this was going to happen again, and I knew how to prepare for it. And that’s my goal here. My goal is to, let’s take a look at the data from 2010-ish. Let’s apply it to what’s happening now and look at some of the variables and the differences and make some money out. And so this is the topic of the show, so we should just start it.

Jill DeWit:

I agree.

Steven Butala:

Will we see a 20 to 40% house devaluation in virus times? Yes. This is why you’re listening. Apply that data and that experience to what’s happening now, so you can maximize value for yourself as an investor.

Jill DeWit:

You know what’s interesting, what happened to us then though, wasn’t worldwide. It was countrywide. So I think it’s going to be even more clear and more substantial than it was then. And I think, not to [inaudible 00:02:28], I just want to say, just state for me and people who think like me, what I’m hearing you say is, look at what happened back then. How many, was it 30 days, this happens, three months, this happened, and then six months, this happened. Is that basically what you’re saying? Look at that experience and apply that to right now?

Steven Butala:

Basically, yeah, it’s a 101 version.

Jill DeWit:

Okay.

Steven Butala:

Yeah, absolutely, Jill. You’re right. There’s a a gap of time where property… economists like to call it a market correction, which cracks me up. It’s a landslide. It’s a crash, is what it is.

Jill DeWit:

Right.

Steven Butala:

But this crash seems to happen every 10 or 15 years, and if it’s going to happen 10 or 15 years from now, here’s the difference between last time and this time. This time, real estate didn’t cause this. Last time, the real estate bubble caused it, and it was fueled by really bad loans. Loans that weren’t in the best interest of the borrower. They were very much in the best interest of the lender.

Steven Butala:

So I don’t know how they won. Nobody won. They were into the best interest of the person who is sitting at the kitchen table, writing loans, laughing to himself while they’re getting the homeowner to sign it. That’s a different story.

Steven Butala:

So there’s a lot of differences about cause and effect that are going to create variables. But the same basic thing, what Jill said is exactly the same basic thing. You can see what happened back then. It’s going to happen again. It might be more severe in certain areas, it might be less severe. There’s a bunch of variables. This one’s worldwide, and it was caused by a healthcare issue or a media event, however you want to look at it. That one was caused by real estate, and it caused banks to fail.

Steven Butala:

So the great news is that we know what’s going to happen.

Jill DeWit:

Right.

Steven Butala:

To some version of it. And what’s going to happen 10 or 15 years from now. Here’s the thing that just wakes me up smiling every day, and I don’t want to seem insensitive here because this is a real healthcare issue. What makes me happy about the real estate part of what we’re talking about is that we have the internet. So all this data from the last time, it’s at our fingertips for free. You just have to know where to go get it. And all the data the next time, which will definitely be in our working lifetime, now we’re going to have two examples, two full blown data-driven examples and all the data to back it up to tell us what’s going to happen next time. This is not like, let’s see what’s going to happen.

Jill DeWit:

Right. There’s no guessing.

Steven Butala:

There’s no guessing here.

Jill DeWit:

We have two, like you said, two examples. Not just one, two.

Steven Butala:

Last week on Thursday… every Thursday we have the webinar calls for our members. The last week on the House Academy webinar, I explained all this in a tremendous amount of detail, where to get the data, how to do it, how to test it, because in every single market, here’s my whole point, in every single market, there’s two or three or four zip codes that see dramatic declines. And last time for us in Phoenix, it was 90%. It was 80 and 90% off, we were buying houses and reselling them immediately.

Steven Butala:

So my point is I know exactly, and I’m happy to share it with everyone, I did last week, how do identify these markets, how to get the data to back up your theory that this little zip code area is the one that’s going to happen to, and how to price it.

Jill DeWit:

I was going to add that, so thank you for saying that. So yeah, now we all know what’s going to happen. So before you lock on Cleveland, like Steven was just saying, what you should be doing right now is trying to anticipate… Or not even just anticipate, watch it happening, watch it unfolding in certain areas. For example, California traditionally, not a great place, obviously. Texas-

Steven Butala:

What does that mean, not a great place?

Jill DeWit:

Oh, as far as the percentages. Here’s what I want you to think about. I want you to be buying those assets that are 40% below their prices pre-virus, that kind of a thing. Because then you know you can mark it up and do very well. It’s not so much fun in a Southern California 20% market. You could still make money here, but I’d rather you go in hotter and hit an area that you’re going to make more money. Maybe Texas, maybe… I could see… There are trends to certain areas. Probably downtown New York doesn’t drop so much, like downtown Dallas or Phoenix.

Jill DeWit:

I actually was reading some articles today about the Phoenix area and things that they’re trying to do because they were just building it back up. There was a whole article today I was reading about how Phoenix downtown was a ghost town 10 years ago, and they’ve spent the 10 years building it up, and there’s new condos being built and live event venues, all kinds of great things coming. And man, now the virus hit. They’re like, “Doggone, how are we going to keep the momentum?” And they were coming up with some actually good, unique ways to do some visual displays, not kidding, at events that are safe and would bring people back. It’s kind of an interesting spin on it. But do you understand where I’m…

Jill DeWit:

So that’s what I want you to do, Brandy, spend your time like Steven said, studying what happened last time and then also start really thinking about… And get out of your head. Don’t think because I live in Cleveland, this is the best going to be the best area. It might not. You might be doing it somewhere in the South. You might be doing it somewhere out West. Who knows?

Steven Butala:

I disagree with everything she just said.

Jill DeWit:

Really?

Steven Butala:

I think in every single MSA… I don’t think this, I know this, from a data and statistical standpoint, every MSA, Cleveland included, Los Angeles included-

Jill DeWit:

Well, you will make money.

Steven Butala:

There is, if you look at just the data, and you compare house sale prices between 2010 and 2019, there are some zip codes that are going to rise absolutely to the top as candidates for purchasing, candidates for what I’m going to call-

Jill DeWit:

That’s what I’m saying.

Steven Butala:

Elasticity.

Jill DeWit:

Okay.

Steven Butala:

And so houses, unlike land… candidate pricing elasticity means for a property that in 2019 sold for 200 grand. It was listed in 2010 for 22,000 dollars. So there are zip codes that are that elastic, and some zip codes are more elastic than others, but in every MSA, it happens.

Steven Butala:

Here’s the thing with houses, it’s very difficult to buy houses, in my opinion, six states away, without local representation.

Jill DeWit:

Oh, I mean with local representation.

Steven Butala:

So while you could go to Phoenix or you could go to Los Angeles from Cleveland, and not go there, but you could do deals there like we do with land. It’s very easy to do a land deal three states over. It’s tougher… What I’m saying I want you to do is this, listeners, if you’re into this, analyze the heck out of the MSA that you’re in, and if you do it the way that I show how you do it with a theory about certain areas, and then supporting the theory with data from 2010… This is unprecedented. You can’t do this because there was no data for this the last few times, or at least the data that’s accessible to people like us. You’re going to find two or three or four zip codes that are just history repeats itself, and it’s truly amazing.

Steven Butala:

And one of the areas in Los Angeles is Compton. Compton properties, I’m already watching them. Compton is not… You see stuff on the news in Compton, and there’s this one little block in Compton that makes it look terrible. Compton is a very livable… Normal people live there. So it’s not like the Rust Belt in Detroit, where normal people don’t live in these neighborhoods, and the inelasticity and some of these Rust Belt areas like Detroit and Flint and some areas in Illinois, Indiana, and Ohio have never recovered. So they’re not elastic. They were always bad and they just never… So you want to stay completely out of these areas.

Jill DeWit:

But what if that’s your MSA?

Steven Butala:

If Detroit is your MSA.

Jill DeWit:

That’s what I’m saying.

Steven Butala:

The MSA in Detroit doesn’t just include the city of Detroit. It includes… there’s four counties in the MSA in Detroit, and you will find a market with elasticity [crosstalk 00:11:05].

Jill DeWit:

Four zips?

Steven Butala:

Up and down. Yeah.

Jill DeWit:

Four zips. Okay. Yeah, I would say one county, four zips-

Steven Butala:

It’s not going to be a county, it’s going to be three or four… And they’re usually adjacent zip codes.

Jill DeWit:

Right.

Steven Butala:

Actually, I know exactly where they are in Detroit [crosstalk 00:11:17].

Jill DeWit:

This is me exercising patience. I will not throw him under the bus and say I totally disagree.

Steven Butala:

No, why?

Jill DeWit:

Well, because you just said that.

Steven Butala:

If you want to disagree, disagree.

Jill DeWit:

No, I don’t. No, but-

Steven Butala:

I mean inner city Rust Belt, non-recovering areas. You don’t want to confuse load prices with the elasticity. That’s my point.

Jill DeWit:

Okay. What did you say? Load-

Steven Butala:

This is complicated.

Jill DeWit:

Load prices?

Steven Butala:

Hold on.

Jill DeWit:

Okay.

Steven Butala:

This is complicated. It’s going to take hours and hours and hours and weeks of research in your MSA to find out-

Jill DeWit:

Well, I said that.

Steven Butala:

To find out which two or three or four zip codes are the places that had dramatic price declines in 2010. Those are the places that… And then recovered. Those are the places where it’s going to happen again.

Jill DeWit:

Here’s what I would argue with. I’m just saying I wouldn’t stick around… You know what? I wouldn’t stick around in my area because I can only drive that far. I wouldn’t do deals only where I can drive one myself, personally. If I had boots on the ground somewhere else, where it’s a hot market, where they are really taking a dive.

Steven Butala:

I couldn’t agree more.

Jill DeWit:

That’s my point. That was all I was trying to say.

Steven Butala:

You have to have local representation there that you trust.

Jill DeWit:

Thank you. And I totally… Well, you can’t do it any other way. Otherwise you’re getting on a plane and driving somewhere all the time, and that’s stupid. That defeats the purpose.

Steven Butala:

A lot of these people are brand new, Jill. They don’t know.

Jill DeWit:

I know.

Steven Butala:

It’s not like land, where it’s like this all the time. Elasticity in land is because you created it, based on your offer campaign.

Jill DeWit:

Right.

Steven Butala:

You can’t, in good times, do a mail campaign, an offer campaign for houses, for 10% of what property’s worth, in let’s say, I’m just making it up, Dallas, Texas, because you know somebody there who can do the deal for you. No one’s going to send the offer and send it back. They’re just not. With land, you can do that. In these times now, you can do that if you really micro look at these zip codes.

Jill DeWit:

Remember when we talked about on Tuesday? Patience. That was my number one, and this is me exercising patience.

Steven Butala:

Why? I didn’t disagree with what you said.

Jill DeWit:

Yeah, you did.

Steven Butala:

I agreed with every single thing you said.

Jill DeWit:

Oh, no, you didn’t. You said, “I absolutely disagree with that whole thing, and here’s why.”

Steven Butala:

It takes-

Jill DeWit:

You said those words.

Steven Butala:

It takes some time to describe how this is going to work, how it works-

Jill DeWit:

Patience.

Steven Butala:

And it’s not a skip along the top topic.

Jill DeWit:

ANd my third thing on Tuesday was do what you want to do for you. And you know what? I’m doing this show for me, not because I want to get anything out of this. I’m just kidding. I’m not going to get back. I’m teasing on that one. Okay.

Steven Butala:

I don’t think you are at all.

Jill DeWit:

Yeah, no, I didn’t go how I liked it, but that’s okay. Happy you could join us today. Every Tuesday and Thursday we are right here on the House Academy Show. Mondays, Wednesdays, and Fridays we are over on the Land Academy Show.

Steven Butala:

Tomorrow the episode on the Land Academy Show is called the Jack and Jill Show is finally here. You are not alone in your real estate ambition.

Steven Butala:

It’s just technical, man.

Jill DeWit:

I agree with that.

Steven Butala:

Technical things, that doesn’t [crosstalk 00:14:22]

Jill DeWit:

Could have been a little nicer way to say it, or maybe ask questions.

Steven Butala:

There’s always a nicer way to say everything.

Jill DeWit:

No, no, no. How about ask questions if you… I don’t think you were clear on what I was trying to say, and it would have been a good time to say to ask me a clarifying question to see what I meant.

Steven Butala:

I’m sure that’s true, too.

Jill DeWit:

That would have solved it. Thank you very much.

Steven Butala:

It would have taken away from the actual data part of this, though. That’s the real issue.

Jill DeWit:

Oh, okay. The House Academy Show remains commercial free for you, our loyal listener. Patience. So wherever you’re watching, wherever you’re listening, please have patience and subscribe and rate us there. We are Steve and Jill.

Steven Butala:

Information.

Jill DeWit:

And patience.

Steven Butala:

To buy undervalued property.

Steven Butala:

Steven and Jill here.

Jill DeWit:

Hi.

Steven Butala:

Welcome to the House Academy Show, entertaining real estate investment talk. I’m Steven Jack Butala.

Jill DeWit:

And I’m Jill DeWit, broadcasting from sunny Southern California.

Steven Butala:

Today Jill and I talk about will we see a 25 to 40% house devaluation in these virus times? Heck, yes. In fact, it’s going to be a deeper than that.

Jill DeWit:

I would put money on that.

Steven Butala:

Me too. Before we get into it, let’s take a question posted by one of our members on the houseacademy.com online community. It’s free.

Jill DeWit:

Brandy wrote, I’m watching the prices of new houses listed go down in the Cleveland area on realtor. When exactly should I send a mailer out to make sure resales will work? Like I can make money on the flip?

Steven Butala:

Well, that is the question. You know what, that’s what the show’s about. So that’s the question. The answer lies in looking at graphical data about exactly what happened in 2010. And it was from about 2007, 2008 to about 2011-ish, there was a one of the worst real estate, if not the worst, real estate recessions, depressions in the history of our country. And so while that was tragic at the time, and it cut both of us to our knees financially, I knew at the time when we were going through it that this was going to happen again, and I knew how to prepare for it. And that’s my goal here. My goal is to, let’s take a look at the data from 2010-ish. Let’s apply it to what’s happening now and look at some of the variables and the differences and make some money out. And so this is the topic of the show, so we should just start it.

Jill DeWit:

I agree.

Steven Butala:

Will we see a 20 to 40% house devaluation in virus times? Yes. This is why you’re listening. Apply that data and that experience to what’s happening now, so you can maximize value for yourself as an investor.

Jill DeWit:

You know what’s interesting, what happened to us then though, wasn’t worldwide. It was countrywide. So I think it’s going to be even more clear and more substantial than it was then. And I think, not to [inaudible 00:02:28], I just want to say, just state for me and people who think like me, what I’m hearing you say is, look at what happened back then. How many, was it 30 days, this happens, three months, this happened, and then six months, this happened. Is that basically what you’re saying? Look at that experience and apply that to right now?

Steven Butala:

Basically, yeah, it’s a 101 version.

Jill DeWit:

Okay.

Steven Butala:

Yeah, absolutely, Jill. You’re right. There’s a a gap of time where property… economists like to call it a market correction, which cracks me up. It’s a landslide. It’s a crash, is what it is.

Jill DeWit:

Right.

Steven Butala:

But this crash seems to happen every 10 or 15 years, and if it’s going to happen 10 or 15 years from now, here’s the difference between last time and this time. This time, real estate didn’t cause this. Last time, the real estate bubble caused it, and it was fueled by really bad loans. Loans that weren’t in the best interest of the borrower. They were very much in the best interest of the lender.

Steven Butala:

So I don’t know how they won. Nobody won. They were into the best interest of the person who is sitting at the kitchen table, writing loans, laughing to himself while they’re getting the homeowner to sign it. That’s a different story.

Steven Butala:

So there’s a lot of differences about cause and effect that are going to create variables. But the same basic thing, what Jill said is exactly the same basic thing. You can see what happened back then. It’s going to happen again. It might be more severe in certain areas, it might be less severe. There’s a bunch of variables. This one’s worldwide, and it was caused by a healthcare issue or a media event, however you want to look at it. That one was caused by real estate, and it caused banks to fail.

Steven Butala:

So the great news is that we know what’s going to happen.

Jill DeWit:

Right.

Steven Butala:

To some version of it. And what’s going to happen 10 or 15 years from now. Here’s the thing that just wakes me up smiling every day, and I don’t want to seem insensitive here because this is a real healthcare issue. What makes me happy about the real estate part of what we’re talking about is that we have the internet. So all this data from the last time, it’s at our fingertips for free. You just have to know where to go get it. And all the data the next time, which will definitely be in our working lifetime, now we’re going to have two examples, two full blown data-driven examples and all the data to back it up to tell us what’s going to happen next time. This is not like, let’s see what’s going to happen.

Jill DeWit:

Right. There’s no guessing.

Steven Butala:

There’s no guessing here.

Jill DeWit:

We have two, like you said, two examples. Not just one, two.

Steven Butala:

Last week on Thursday… every Thursday we have the webinar calls for our members. The last week on the House Academy webinar, I explained all this in a tremendous amount of detail, where to get the data, how to do it, how to test it, because in every single market, here’s my whole point, in every single market, there’s two or three or four zip codes that see dramatic declines. And last time for us in Phoenix, it was 90%. It was 80 and 90% off, we were buying houses and reselling them immediately.

Steven Butala:

So my point is I know exactly, and I’m happy to share it with everyone, I did last week, how do identify these markets, how to get the data to back up your theory that this little zip code area is the one that’s going to happen to, and how to price it.

Jill DeWit:

I was going to add that, so thank you for saying that. So yeah, now we all know what’s going to happen. So before you lock on Cleveland, like Steven was just saying, what you should be doing right now is trying to anticipate… Or not even just anticipate, watch it happening, watch it unfolding in certain areas. For example, California traditionally, not a great place, obviously. Texas-

Steven Butala:

What does that mean, not a great place?

Jill DeWit:

Oh, as far as the percentages. Here’s what I want you to think about. I want you to be buying those assets that are 40% below their prices pre-virus, that kind of a thing. Because then you know you can mark it up and do very well. It’s not so much fun in a Southern California 20% market. You could still make money here, but I’d rather you go in hotter and hit an area that you’re going to make more money. Maybe Texas, maybe… I could see… There are trends to certain areas. Probably downtown New York doesn’t drop so much, like downtown Dallas or Phoenix.

Jill DeWit:

I actually was reading some articles today about the Phoenix area and things that they’re trying to do because they were just building it back up. There was a whole article today I was reading about how Phoenix downtown was a ghost town 10 years ago, and they’ve spent the 10 years building it up, and there’s new condos being built and live event venues, all kinds of great things coming. And man, now the virus hit. They’re like, “Doggone, how are we going to keep the momentum?” And they were coming up with some actually good, unique ways to do some visual displays, not kidding, at events that are safe and would bring people back. It’s kind of an interesting spin on it. But do you understand where I’m…

Jill DeWit:

So that’s what I want you to do, Brandy, spend your time like Steven said, studying what happened last time and then also start really thinking about… And get out of your head. Don’t think because I live in Cleveland, this is the best going to be the best area. It might not. You might be doing it somewhere in the South. You might be doing it somewhere out West. Who knows?

Steven Butala:

I disagree with everything she just said.

Jill DeWit:

Really?

Steven Butala:

I think in every single MSA… I don’t think this, I know this, from a data and statistical standpoint, every MSA, Cleveland included, Los Angeles included-

Jill DeWit:

Well, you will make money.

Steven Butala:

There is, if you look at just the data, and you compare house sale prices between 2010 and 2019, there are some zip codes that are going to rise absolutely to the top as candidates for purchasing, candidates for what I’m going to call-

Jill DeWit:

That’s what I’m saying.

Steven Butala:

Elasticity.

Jill DeWit:

Okay.

Steven Butala:

And so houses, unlike land… candidate pricing elasticity means for a property that in 2019 sold for 200 grand. It was listed in 2010 for 22,000 dollars. So there are zip codes that are that elastic, and some zip codes are more elastic than others, but in every MSA, it happens.

Steven Butala:

Here’s the thing with houses, it’s very difficult to buy houses, in my opinion, six states away, without local representation.

Jill DeWit:

Oh, I mean with local representation.

Steven Butala:

So while you could go to Phoenix or you could go to Los Angeles from Cleveland, and not go there, but you could do deals there like we do with land. It’s very easy to do a land deal three states over. It’s tougher… What I’m saying I want you to do is this, listeners, if you’re into this, analyze the heck out of the MSA that you’re in, and if you do it the way that I show how you do it with a theory about certain areas, and then supporting the theory with data from 2010… This is unprecedented. You can’t do this because there was no data for this the last few times, or at least the data that’s accessible to people like us. You’re going to find two or three or four zip codes that are just history repeats itself, and it’s truly amazing.

Steven Butala:

And one of the areas in Los Angeles is Compton. Compton properties, I’m already watching them. Compton is not… You see stuff on the news in Compton, and there’s this one little block in Compton that makes it look terrible. Compton is a very livable… Normal people live there. So it’s not like the Rust Belt in Detroit, where normal people don’t live in these neighborhoods, and the inelasticity and some of these Rust Belt areas like Detroit and Flint and some areas in Illinois, Indiana, and Ohio have never recovered. So they’re not elastic. They were always bad and they just never… So you want to stay completely out of these areas.

Jill DeWit:

But what if that’s your MSA?

Steven Butala:

If Detroit is your MSA.

Jill DeWit:

That’s what I’m saying.

Steven Butala:

The MSA in Detroit doesn’t just include the city of Detroit. It includes… there’s four counties in the MSA in Detroit, and you will find a market with elasticity [crosstalk 00:11:05].

Jill DeWit:

Four zips?

Steven Butala:

Up and down. Yeah.

Jill DeWit:

Four zips. Okay. Yeah, I would say one county, four zips-

Steven Butala:

It’s not going to be a county, it’s going to be three or four… And they’re usually adjacent zip codes.

Jill DeWit:

Right.

Steven Butala:

Actually, I know exactly where they are in Detroit [crosstalk 00:11:17].

Jill DeWit:

This is me exercising patience. I will not throw him under the bus and say I totally disagree.

Steven Butala:

No, why?

Jill DeWit:

Well, because you just said that.

Steven Butala:

If you want to disagree, disagree.

Jill DeWit:

No, I don’t. No, but-

Steven Butala:

I mean inner city Rust Belt, non-recovering areas. You don’t want to confuse load prices with the elasticity. That’s my point.

Jill DeWit:

Okay. What did you say? Load-

Steven Butala:

This is complicated.

Jill DeWit:

Load prices?

Steven Butala:

Hold on.

Jill DeWit:

Okay.

Steven Butala:

This is complicated. It’s going to take hours and hours and hours and weeks of research in your MSA to find out-

Jill DeWit:

Well, I said that.

Steven Butala:

To find out which two or three or four zip codes are the places that had dramatic price declines in 2010. Those are the places that… And then recovered. Those are the places where it’s going to happen again.

Jill DeWit:

Here’s what I would argue with. I’m just saying I wouldn’t stick around… You know what? I wouldn’t stick around in my area because I can only drive that far. I wouldn’t do deals only where I can drive one myself, personally. If I had boots on the ground somewhere else, where it’s a hot market, where they are really taking a dive.

Steven Butala:

I couldn’t agree more.

Jill DeWit:

That’s my point. That was all I was trying to say.

Steven Butala:

You have to have local representation there that you trust.

Jill DeWit:

Thank you. And I totally… Well, you can’t do it any other way. Otherwise you’re getting on a plane and driving somewhere all the time, and that’s stupid. That defeats the purpose.

Steven Butala:

A lot of these people are brand new, Jill. They don’t know.

Jill DeWit:

I know.

Steven Butala:

It’s not like land, where it’s like this all the time. Elasticity in land is because you created it, based on your offer campaign.

Jill DeWit:

Right.

Steven Butala:

You can’t, in good times, do a mail campaign, an offer campaign for houses, for 10% of what property’s worth, in let’s say, I’m just making it up, Dallas, Texas, because you know somebody there who can do the deal for you. No one’s going to send the offer and send it back. They’re just not. With land, you can do that. In these times now, you can do that if you really micro look at these zip codes.

Jill DeWit:

Remember when we talked about on Tuesday? Patience. That was my number one, and this is me exercising patience.

Steven Butala:

Why? I didn’t disagree with what you said.

Jill DeWit:

Yeah, you did.

Steven Butala:

I agreed with every single thing you said.

Jill DeWit:

Oh, no, you didn’t. You said, “I absolutely disagree with that whole thing, and here’s why.”

Steven Butala:

It takes-

Jill DeWit:

You said those words.

Steven Butala:

It takes some time to describe how this is going to work, how it works-

Jill DeWit:

Patience.

Steven Butala:

And it’s not a skip along the top topic.

Jill DeWit:

ANd my third thing on Tuesday was do what you want to do for you. And you know what? I’m doing this show for me, not because I want to get anything out of this. I’m just kidding. I’m not going to get back. I’m teasing on that one. Okay.

Steven Butala:

I don’t think you are at all.

Jill DeWit:

Yeah, no, I didn’t go how I liked it, but that’s okay. Happy you could join us today. Every Tuesday and Thursday we are right here on the House Academy Show. Mondays, Wednesdays, and Fridays we are over on the Land Academy Show.

Steven Butala:

Tomorrow the episode on the Land Academy Show is called the Jack and Jill Show is finally here. You are not alone in your real estate ambition.

Steven Butala:

It’s just technical, man.

Jill DeWit:

I agree with that.

Steven Butala:

Technical things, that doesn’t [crosstalk 00:14:22]

Jill DeWit:

Could have been a little nicer way to say it, or maybe ask questions.

Steven Butala:

There’s always a nicer way to say everything.

Jill DeWit:

No, no, no. How about ask questions if you… I don’t think you were clear on what I was trying to say, and it would have been a good time to say to ask me a clarifying question to see what I meant.

Steven Butala:

I’m sure that’s true, too.

Jill DeWit:

That would have solved it. Thank you very much.

Steven Butala:

It would have taken away from the actual data part of this, though. That’s the real issue.

Jill DeWit:

Oh, okay. The House Academy Show remains commercial free for you, our loyal listener. Patience. So wherever you’re watching, wherever you’re listening, please have patience and subscribe and rate us there. We are Steve and Jill.

Steven Butala:

Information.

Jill DeWit:

And patience.

Steven Butala:

To buy undervalued property.