Give Them What They Want Now Tell Them What They Want Later (CFFL 0271)

Give Them What They Want Now Tell Them What They Want Later Jack Butala: Give Them What They Want Now Tell Them What They Want Later. Every Single month we give away a property for free. It's super simple to qualify. Two simple steps. Leave us your feedback for this podcast on iTunes and number two, get the free ebook at landacademy.com, you don't even have to read it. Thanks for listening. Jack Butala: Jack Butala with Jill DeWit. Jill DeWit: Hi. Jack Butala: Welcome to our show today. In this episode, Jill and I talk about give them what they want now, so you can tell them what they want later. The people who buy our land that is, specifically the institutional people. Good show today, Jill. Let's take a question before we get into it, that's posted by one of our members on successplant.com, our free online community. Jill DeWit: Actually this is even better. This is from, I got a note in Facebook. So this is really cool. Tom sent in this note to me in Facebook, it says, "Hey Land Academy team, I've been listening to your podcast recently and I have been interested in buying and selling land. I'm 28 and debt-free with good credit, but I still rent an apartment and I do not have a home of my own yet. Just thought I would see your thoughts of buying property before I buy a house of my own." Jack Butala: Oh my gosh, this was designed for me. Jill DeWit: "I have a few friends that are loan officers, and they say house first. But some spare income for a larger down payment sounds pretty good." Well, first of all, why are we asking loan officers about borrowing money? Because I've got to say, I think I know what their answer is going to be. Versus you ask your dad, your dad's going to give you a different response, and your brother is going to give you a different response. Okay, Jack go ahead. Jack Butala: Boy, your friends are wrong, your loan officer's wrong, and who else is wrong on this? Everyone's wrong. I wrote a technical paper a lot of years ago about why it does not make sense to buy a house, almost ever. Unless you pay cash, or at least 50% down. And especially at your age, you want to build an empire. If you have no responsibility at this age, for people our age it looks like to me you have no responsibility and you actually probably do. You want to build a little micro=empire and then worry about a house later. Jill DeWit: I love it. Jack Butala: A house, unless it's in California or some high growth area, and even then you've got to really be careful, you don't make money. You don't make the money that you think. Your house is basically a savings account, you pour some money into it, you fix the roof when it needs it, but in the end your just putting money into a savings account, you're not making any money. The national average for years and years and years has been between 8 and 11% increase in value. Jill DeWit: That's what I was just going to ask you, I wanted to ask you Jack, just give us, for Tom, a few little tips about that article, because it was so good. And you had good numbers in there, and you even had like a ... You did the math, so people can kind of see, you're like, "Oh gosh, I paid 200,000 and then I sold it for 205," let's just say somewhere in Arizona, let's say Phoenix area, I lived there for ten years, gosh I made payments that whole time on a mortgage, did I really make money? When you add it all up ... Jack Butala: Jill's exactly right, and that's what the article was about. What you hear your friends and your parents say is, "I paid $120,000 for that house, and I sold it for $210,000, I made $100,000 in that." No you didn't. If you add up all the interest and the maintenance and the taxes that you paid, and all that stuff, like you would in a business. In a business you have revenue and expenses. Well if you did that with your house, revenue and expense, you would find out, and I'm not pulling this out of my hat,