Real Estate Cold Call Scripts: Assisted Living Sales, Senior Downsizing, and Keeping Property objections. PLUS How to hurry the probate process up.

Estate Professionals Mastermind - More than a probate mastermind podcast episode 49

In this podcast, the probate masterminds practice conversations involving senior downsizing scripts and assisted living sales scripts through cold calling role play. Certified Probate Experts also do some live deal analysis and transaction engineering for situations with an urgent probate timeline.

In this episode, Chad Corbett and Certified Probate experts practice real estate cold call scripts, including senior downsizing scripts and assisted living sales scripts. In addition to these cold call role plays, Chad covers what to say when a probate lead presents the common objection that they plan to buy and keep the probate property to rent out.  Chad and the group do some live deal analysis and transaction engineering for probate property situations with urgent timelines (foreclosure) and discreet, off-market sales (wealthy clients).  Other tips for working with real estate attorneys and speeding up the probate process are also shared in this podcast episode.

This week’s highlight: If you’re interested in learning Divorce Real Estate, check out Laurel Stark’s Ilumni University Divorce Training offerings for Probate Mastery Students.

Thanks for tuning in and if you’d like to become a Certified Probate Expert yourself, you can get started today or check out this probate webinar

Episode #49 of Estate Professionals MastermindProbate Podcast

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Training Topics In Good real estate marketing ideas: Probate Website, Content Marketing, and expected costs vs. return:

Certified divorce real estate training for real estate agents (Divorce Real Estate Course)

0:00 Certified divorce real estate training for real estate agents (Divorce Real Estate Course)

Intestate succession and multiple probates with no will (Selling Inherited Property)

4:50 Intestate succession and multiple probates with no will (Selling Inherited Property)

Stop a foreclosure after death: Can an executor sell house before probate? (Foreclosure Timeline)

9:31 Stop a foreclosure after death: Can an executor sell house before probate? (Foreclosure Timeline)

Does a homestead property go through probate? (Florida Homestead Law)

14:18 Does a homestead property go through probate? (Florida Homestead Law)

How to speed up probate: Ex parte for special letters of administration (Probate Timeline)

15:31 How to speed up probate: Ex parte for special letters of administration (Probate Timeline)

Senior Downsizing Cold Call Role Play: Calling surviving spouses and adult children in Probate (Assisted Living Sales Script)

18:54 Senior Downsizing Cold Call Role Play: Calling surviving spouses and adult children in Probate
(Real Estate Cold Call Sales Script)

Real Estate Cold Calling Example Break Down: How to speak to adult children about selling Mom’s house real estate (Real Estate Scripts)

27:58 Real Estate Cold Calling Example Break Down: How to speak to adult children about selling Mom’s house real estate (Real Estate Cold Call Scripts)

Finding buyers for off-market properties: Wholetailing vs. non-MLS brokers, commercial bankers, and divorce attorneys (Off-Market Deals)

29:43 Finding buyers for off-market properties: Wholetailing vs. non-MLS brokers, commercial bankers, and divorce attorneys (Off-Market Deals)

Probate advances, liens, and having a family member purchase probate property (Probate Property Sale)

39:55 Probate advances, liens, and having a family member purchase probate property  (Probate Property Sale)

Probate Real Estate Objections: What to say when probate leads want to keep and rent an inherited house (Real Estate Objection Handling Scripts)

44:48 Probate Real Estate Objections: What to say when probate leads want to keep and rent an inherited house (Real Estate Objection Handling Scripts)

Economic uncertainty, alternative investments, and cash-flowing assets (Economy and Finance)

47:11 Economic uncertainty, alternative investments, and cash-flowing assets (Economy and Finance)

Real Estate Marketing and Training Resources for this Episode:

  1. Free Probate Webinar: Probate Fast Track Webinar – Probate Mastery
  2. Take Chad’s Probate Course and get Certified in Probate Real Estate
  3. Become a Probate Mastery course affiliate https://probatemastery.samcart.com/affiliates/signup 
  4. Join Estate Professionals Mastermind Group (Facebook)  
  5. Learn Probate, Real Estate Investing, Creative Finance, and more on our YouTube Channel
  6. Most recent content:
    1. Episode 48 Group Coaching: Bad vs. Good Real Estate Marketing ideas: Probate credibility website, inbound marketing, and more. (probatemastery.com)
    2. Episode 47 Ask The Expert: How to get deals and listings from probate attorneys, even when other real estate agents are asking for referrals | Ask The Expert with Rilus Dana
  7. Propstream trial: PropStream Investment Software (propstreampro.com)
  8. Get the free QRP ebook: The Secret Retirement Plan for you to get Full Control of your 401k & IRA money and AVOID the IRA Tax on Real Estate Investments like Apartments! Download here.
  9. Certified Divorce Real Estate Program (CDRE) with Ilumni Institute: Special Offer: Probate Mastery (ilumniinstitute.com)
  10. Relevant Training Content:
    1. Chad Corbett on the Al Nicoletti (Florida Probate Attorney) show: https://youtu.be/bJoorFQblAA
    2. Assisted Living – How to prospect assisted living professionals for real estate referrals
    3. Chad’s video recommendation: Ray Dalio – How the Economic Machine Works: https://youtu.be/PHe0bXAIuk0
  11. Nina’s suggestion for finding Heirs – Legacy Tree

Real estate cold call scripts for senior downsizing and assisted living sales – Episode Transcript:

Download full transcript as a PDF: Real Estate Cold Call Scripts_ Assisted Living Sales, Senior Downsizing, and Keeping Property objections. PLUS How to hurry probate.docx.pdf – Google Drive

Real Estate Cold Call Scripts: Assisted Living Sales, Senior Downsizing, and Keeping Property objections. PLUS How to hurry probate

Certified divorce real estate training for real estate agents (Divorce Real Estate Course) [00:00:07] 

All right. Welcome everybody to the weekly probate mastery group coaching call and the estate professionals, mastermind podcast. Nothing let’s see this week. I think we just we’ve been producing so much content. I don’t think we, we may not get the episode released to you as part of the ask the experts series before a coupon expires.

One of the things that we got a lot of folks on here, a show of hands, how many people in this group I’ve ever done a divorce deal?

How many people are interested in doing a divorce deal with the skills you’ve learned in probate. That’s good. That’s good validation that, that we had the right expert on. I’ve been looking for over the last couple of years, actually, the kind of the leading expert, someone that really fits the culture here and uses kind of the same methodology that I’ve applied the probate.

And then I think we all share. So Laurel Starks turns out to be that person and I’ll give the credit to Kat Wagner. She found Laurel and my team and her team have been in communication and unreal how similar of a pathway walk and how similar of an, of an approach we use in two completely different niches.

So I just earlier today finished an interview with Laurel, talking about their community and their version of what we have here. And I’m excited to kind of get the two communities together and start cross-training. Rodger Lecy, so he’s not here today, but he’s one of those early students, early CPEs that has done well in the divorce space because he impressed the probate attorney so much.

So the niche kind of found him just like probate did most of us, but uh, Laurel has two different courses. She has the probate mastery on-demand version of her divorce course that they call up a Bootcamp. So it’s an on-demand digital course. And then they also have a 12 week very stringent curriculum, a 12-week live course that they do twice per year.

The urgency on this is that that course closes the registration. As of this morning, there were four seats available just because of the timing of our meeting, but they do have four seats available. She’s extending a $500 coupon to any member of this community who wants to take her divorce masterclass.

And that, you know, just like with, with probate mastery comes with a certified divorce real estate expert, I think is the designation. So Katt as I think already dropped the link in the chat. If we don’t get the episode to you guys before then you can click on that link that will designate you as a probate mastery student.

And you can use the $500 coupons, so excited to feature Laurel Starks and her community as part of our ask the expert series. But considering how much I’m asking of my team, especially of Katt may not happen this week, because we still have guests that we had on back in the middle of February, that we still haven’t gotten to you guys.

So thanks for your patience. I know you get to hear us talk about exciting guests and then wait a week or two to get through them, but we’re aggressively rolling out new content. So I will jump to questions, Duane, I see your hand up. How can we up, sir? Unmuting myself here ever. I’ve been getting emails from roar over the divorce program for probably one to two years and then look into it at all.

So glad to see you’re doing that. What is the total cost? You say $500. I assume that $500 is a higher amount. Yeah, so her, her Bootcamp course like the on-demand course, I believe is $249 or $275. And I quite honestly don’t remember the bigger. I really should. we, we were just introduced a couple of phone calls.

Katt said it’s 13,000 for the 12-week track. And her website, we’ll kind of unpack everything that, that includes. If you’ve heard me talk about my biggest vision for probate mastery, where we include, you know, the marketing library, one-on-one contact with probate attorneys everything that was software, everything we could roll into one offering it’s that. It’s not just an on-demand digital course.

She has been at this for several years and has built out a pretty sizeable offering that, you know, to the extent like they let you, you do as a group, it’s a cohort of 25 people moving through the course at the same pace. One of the things, I mean, for one of the sessions, they spent four hours in a virtual divorce court.

They used to fly to a California court and sit in the physical courtroom. But now because of COVID, they have the, you know, the convenience of being able to do that by zoom. So it’s going very deep in a single niche. So think of it as a, as a, you know, investment into an overall system and a community more than just a digital course.

Intestate succession and multiple probates with no will (Selling Inherited Property) [00:04:50] 

All right. Jeremy here up next from a new face. So Jeremy from central New Jersey, myself, and Silvio are on the line. Great material and great insight from everybody. So thank you. We’re dealing with a probate situation where it’s the stepson whose father predeceased. He’s got no siblings and his stepmother who never adopted or anything like that.

He was already an adult at this point, had no children. He says there’s no other family. There’s a reverse mortgage with equity, have it under contract, meaning under contract, but he has no legal authority to do anything. The bank is talking to him. And. He went to them, said we have, we have motivated buyers.

They came to us today and said you know, here’s a payoff letter, you have 24 hours. And we’re like, we can’t get the clean title in that time. So there’s the attorney who we made the referral to said that there’s just, it’s, it’s going to be a ton of work. And, and maybe not even worth it to go through the process of putting together the family tree and finding out if he is in fact in the line of succession, you know, does he have any right to anything and find out if other is missing heirs might be out there.

Okay. That was a lot. So I want to go through and clarify some points. The decedent was married to step-mom when he died, correct? Correct. Was there a will? No, there was no will. So we’re dealing with state succession law. Step-mom like a widow. Her son was over 18 years old when she married the decedent, correct? Correct.

Okay. And there are no known heirs or descendants of her, correct? Or excuse me, of, of him, of the decedent? The decedent. Correct. And he’s got no siblings either. All right. So as far as, I mean, state succession law will dictate this, but pretty much she inherits the estate. Correct. And the steps, who did you sign a purchase agreement with her? 

With the stepson.

Why? 

He’s essentially the only person that there is to step in as an administrator. Why not? The widow she’s deceased. I’m sorry to jump in I’m Jeremy’s partner.

Oh, okay. All right. Sorry. I missed that. So we have two descendants, one asset?

Correct.

Sorry. That one seemed kind of obvious to me. Okay. So he is her only son? Stepson and not even really related because he was over 18 when his father remarried.

So he may not be in the line of succession. He’s likely not in the line of succession at all. She didn’t have other kids and according to him no other family

and the father who is deceased first, did she probate his estate and close it and inherit the property at all? Or was that not done? I’m not certain of, but I believe that everything was settled. before.

So let’s start there because this goes back to Dad dying. So if Dad died, whether he had a will or not, if his estate was probated and she was determined to be the sole heir of that, probate closed, all of those assets became hers.

Then the dad’s side of the family is out of the question. If that isn’t the case, that is the case. You are certain that probate was opened and closed on his estate. Almost certainly. Okay. If that’s the case, then his side of the family is now out of the picture and we’re just dealing with the widow’s side of the family.

And if she truly doesn’t have any sisters, she had no siblings.

No, according to him. 

Okay. Then he would be the first in the line of succession. if that, if father’s probate, father’s estate had open and closed probate on record, then 100% of his assets went to his wife, even though you know, marriage assets he’s deceased. There were no other heirs then it becomes 100% his stepmother’s estate.

And when his mother passes away, state succession law in the absence of a will would say that he is first in line and the line of succession. So he could be right that he is 100% heir to his mother’s estate. However, you first need to go back and follow the father’s death and make sure you can find a closed probate filing.

And you may be as simple as have you run title on the asset yet, or have you started? No, we haven’t started that yet. We were still company. They required him to be the administrator for them before they did anything. We haven’t run just title. 

But when you look at tax records, is it her name on the, on the deed or is it the estate of, or who’s on the deed. 

Stop a foreclosure after death: Can an executor sell the house before probate? (Foreclosure Timeline) [00:09:31] 

It’s her name. Her name. Okay. So then it had to have cleared. Yes. All right. So through deduction, we know that he probably is the first in the line of succession. How much equity is in the home? Like your offer price to the payoff? What’s the spread? I think that pay 140 or so 150 and we’re paying 2. Okay.

So there’s a $50,000 inequity on the table for the family if we could get this deal done, correct. Have you spoken to the probate attorney about filing for an injunction to stop the foreclosure, to protect the estate’s equity Luckily, they are the bank is talking directly to him? And I do believe that is kind of in the process.

That’s your only play here.

What I would recommend is to make sure that the probate attorney is well versed in real estate law. If not find one, bring, bring your real estate attorney into this. And the argument you want to make to the judge is that this family stands to lose $50,000 in equity, due to a technicality on a timeline on HECM lender.

So can we please, we would like to file an injunction to freeze this foreclosure process for 30 days. So we can show you that we’re legitimate cash buyers. We will close. The family, the estate we’ll get the money in the bank will get full pay off. Nobody’s losing anything. We’re just trying to protect everyone involved.

And if your probate attorney doesn’t have the skillset or doesn’t agree with that, go find someone that does. I think that’s your only play. Yeah. Okay. But then, but then there’s the question of how, how do we get a clear title? Well, you buy yourself 30 days and the title search, the chain of title will connect through the closed probate that’s already there.

So we just need to connect. You need him to petition. Her probate is open, right? Or not. Okay. Get his ass to the county clerk petition for probate today. Like before the end of the business, make sure he’s there. Open that probate. Then have the attorney plead to the judge tomorrow for an injunction. Get that process at least extended for 30 days, that gives you a controlled environment to do title work and close the chain of title, using the letters of testamentary that might put a week delay in there.

And then you should be able to close probably within 10 days. If you’ve got a really good title company, you can do it at that speed. Your, biggest holdup is going to be the time that it takes from the petition being recorded until the initial hearing where he is given the letters of testamentary.

That could be what, what market are you in? You’re in Jersey. Have your courts gotten caught up? Not really. 

Your biggest question mark here is a court backlog, which is a good reason for an attorney to argue for an injunction. The family stands to be the one harmed, so a petition for probate today, appoint a probate attorney today, reach out to the court tomorrow and plead like, hell, because the only one that’s going to lose here is the family.

Thanks so much. Yeah. So, Jeremy and Silvio, you guys are clear on, like that makes sense. Okay. Yes, it does. I just had one follow-up question. 

Petitioning for Probate: What if there are other heirs and we can’t find them? [00:12:43] 

One of the caveats is that you know, the stepson has told us that the stepmother has no family, no living heirs or relatives. How do we know for sure? I mean, isn’t there a process through clearing title where they will try to track down heirs or relatives if, if they exist, like who’s responsible, it would be great if we had a will, but we don’t. So he is going to, you know, the court will give him the authority as the, as the administrator or not. If they do give him the authority as the administrator, then as a fiduciary legal responsibility is to disclose all assets, all liabilities, and all heirs.

 If it’s an oversight or he doesn’t have something, he doesn’t know what he doesn’t know. And he doesn’t have any real legal liability. If he’s hiding information, then his ass is liable. And you can, you can explain that to him. Just say, you know, listen, we’re, we’re giving you the benefit of the doubt.

Like we believe this is true. Just understand when this petition is recorded and you’re given the letter letters of testamentary, you have real legal liability, to be honest, to be a fiduciary. And the recourse is not coming to me. It’s coming to you. The house will be mine, even if your ass is in jail. So if you feel like he’s lying, you can say something like that.

Otherwise, it’s probably not necessary. Give him the benefit of the doubt and roll with it, but he should understand his risk and not be forthright and honest.

Thanks so much. Yeah. Glad we could help guys, 

Does a homestead property go through probate? (Florida Homestead Law) [00:14:18] 

Chris, you’re up next. How can we help you?

A quick question um, I’ve been reading the Florida statutes, as you suggested. So going through all that, it seems to be mixed signals or signs on if homestead property goes through probate or not… And so I, when I do want to do more searches on that.

I understand if there’s husband and wife and the husband survives or whatever, but if it’s passed down to let’s say multiple children, would that still go through probate or did it, would it not? If it was at homesteaded? 

There is a homestead exemption if the title is held and it’s homestead, you know, if it was a homestead title before the death, I would point you to Al Nicoletti on this one.

Have you watched the episode that we did with him? I don’t think I haven’t got to that one now. Okay. Katt can you drop a link please in the chat.

Al Nicoletti is a probate attorney near Jacksonville. What market are you in? Orlando Central Florida. Okay. So he’s not that far, he’s half an hour up the road.

Al would be the person I would point to, to answer that question until we can publish the next episode. And then I’ll give you an attorney south of you. We’ve, we’re, we’ve got a lot of really interesting attorney conversations to give you guys. That’s a great way, a great way for you to build a relationship with a Florida attorney.

 Perfect. Thanks. Awesome. 

How to speed up probate: Ex parte for special letters of administration (Probate Timeline) [00:15:31] 

Nina, I think you probably have advice for Jeremy. How about he’s all yours. Thanks. Sorry. I’m not on camera. I’ve been having issues with my computer for the last 60 days anyway.

I just put it all in the chat, but as far as the heirs’ search, I have a client now just got his letters, hearing. But it was put off by 90 days because his former attorney who he fired did not tell him when he attended the hearing that he needed to get a genealogical report or genealogy report, which the judge ordered because several of the heirs are in the UK.

Some are here and they’re all like second, third cousins or nephews, nieces kind of thing. So he said, okay, you got to get this. So he had to go and find the company to get that report, to prove if there were any, any other potential heirs. That company was Nina. You know, I got it from him and it’s somewhere in all my records and notes.

I’d have to dig it up. I can S I can share it with the group in the Facebook group. Give me a minute and I’ll get it in there, but just so you know, it’s, it’s a good thing to do that so that it doesn’t hold up his probate letters date. No, that’s a great suggestion. I’ve never actually used a company like that.

I’m really curious who they are. Yeah. I can’t remember starting with an a, he said it was pretty expensive, but he had to do it. And there were no other heirs that they found. They already had them on the list. But if this was done ahead of time, it would have been prevented. He would have had his letters already.

He was scheduled to have them in December. Now he had to wait until today. So that’s one thing. And then I gave some other pieces of advice on there. As far as if it’s urgent, I have a case right now, my friend passed away last week. And we were in the middle of preparing her trust, her pre her other.

My other friend is her sister and she’s in Atlanta. And we were on the phone going back and forth, preparing her trust. The day I was going to go over to her house to have her sign in front of a mobile notary. She passed away that morning at four. So now her everything’s in probate and we’re dealing with it right now.

And I referred her to one of the best attorneys I’ve worked with before. And she said, oh yeah if it’s urgent, we can do it in 45 days, which she means she can get her a hearing in 45 days in LA county. Right now it’s about 90 days, but she said 45 because they can do ex parte. If you’re in a rush to get this done, Jeremy advises him to go and get that, get it petitioned ASAP.

And then have him recommend that he asks his attorney: can they do it ex parte for special letters of administration? It might be named something different in your state, but here it’s special letters of administration, which is saying, Hey, we need a rush here to get this done. There’s a foreclosure timeline. And then the other piece was that I can always order documents on title as a realtor. I can, because of the service I have, you might be able to get this as well. I’m able to pull notice the trustees’ sales notice of default, all kinds of documents. And there probably is a transfer document on title from when it was transferred to the surviving spouse, through affidavit or community property, whatever there the allowance was.

And it may very well show in there any history of the previous probate for the decedent, the husband on those documents. So a few things there to get it done. 

Oh, that’s awesome. Thank you for that contribution. Lots of, lots of valuable information there. 

Senior Downsizing Real Estate Cold Call Scripts: Calling surviving spouses and adult children in Probate (Assisted Living Sales Script) [00:18:54] 

Rich, you’re up next. Hey, what’s up quick question. I just want to learn how to segue from I understand when your spouse will, your spouse dies. So you have adult children handling your estate now in probate.

And I just want to know how to, how to ask or how to segue are they interested or are they looking or considering going or having their, their mom or that who, if they’re considering going to a nursing home or assisted living, something like that, still know how to segue that conversation.

Okay. Do you want to role-play a senior downsizing real estate cold call script? All right. Let’s just for the sake of time, let’s assume that I’ve already given you the probate USP. You understand what I offer, that that could be a variety of things. I haven’t labeled myself as a realtor or an investor. I’m here more as Chad for right now. Can we agree to that?

Yes. You’re. You’re good with that front end of the conversation. Yes. 

[Real estate cold call scripts role play begins:] Rich so thanks for giving me an opportunity to, to kind of explain, you know, some of the things we can do if it’s okay with you. If you’ve got a couple of minutes, I’d like to ask you a few questions just so I can understand best how I might be able to help you.

Have you got just a few more minutes? Yeah, sure. Go ahead. Okay. One of the biggest things, that’s the biggest challenge I see for children who are, you know, unfortunately, well, fortunately, your, your parents trusted you enough to put you in this position. Unfortunately, they trusted you enough to put you in this position.

So that means that you know, to hand over your estate to somebody or your, your spouse’s estate is it’s nothing to be taken lightly. Have you discussed this with your, let’s see, I’m going to say it was your dad that died. It’s your mom. So have you discussed this with your siblings and with your mother? if a transition in her living situation is necessary? Is she independently living, how long do you think that will be that way? 

What’s the situation with her? Why is she not the executor on executor on the estate? Well, I have not had that conversation, but the reason is that she feels like she can’t handle it. I just, you know, her energy level is not that high, but she, her health is fine. It’s just, she, she don’t, she doesn’t feel like dealing with lawyers and judges, you know, appearing out of court or anything.

Okay. What we often find is the shock that in the early stages of grief, the shock is so great that they that a widow won’t even know which way is up. They’ve they’re in a bit of an identity crisis for the last 50 years. I’ve been this person’s wife now, who am I? What do I do? What am I capable of? And they have to almost daily for the first 90 days or so come to the realization.

There was no life insurance. Half of my social security check is going away. The bills are increasing. The national inflation rate is closer to 15%. Like this starts to set it on the layer by layer. And what we find is a lot of families, eventually five or six months in when financial pain sets in and they realize, holy crap, mom needs to move in with us.

Or mom needs to go to an independent living facility. I’m not suggesting that’s your situation. This is the first time you’ve been through this, right. As an executor. Yes. Yes. So I’m just trying to make you aware of some of the possibilities of what the next 90 days of your life might entail. You may be in a position where you need to help your mother find a more suitable living.

If she’s mentally not capable, not can’t currently deal with the stress of an estate. Does she? What is your, and this is just a gut feeling? I mean, do you feel like she can live on half as much income with the same amount of expenses and take on the housework and the yard work and everything else?

No, I don’t think she would be able to handle that. Okay. And knowing your mom as well as you do, if you brought that up right now, what would you expect her response to be? Would it be aggressive and defensive or with an open mind and taking that as a loving suggestion? She will probably want to receive it that well, because she’s been here so long, probably I, this is why thing.

I don’t think she’ll receive it that well. Okay. Thanks. I mean, that’s all I need is honest answers. So I’m going to be transparent with you. Rich. Like I could benefit from the house being sold. That’s not my objective. My objective is to remove as much stress from your life as I can. Me pressuring your mother into assisted living is just going to make your life hell so you and I can have honest conversations and bean I agree.

I’ll be as transparent as possible on this. I would like to help you maximize the amount of equity in that asset to get her into a better living situation. Because what I hear in your heart is you believe she’s better off, not better off leaving to go to a different living situation, whether that’s what the family member or an independent living is that right?

So you and I will leave it at that. Let’s find ways to serve her. Let’s find ways to show her that we’re being proactive about getting her problems dealt with when she concludes that she needs to change her living situation. I’ll be there to have that conversation with you and her. But we’re not going to put pressure on her right now.

It’s important that she, you know, her wellbeing is cared for. And if she’s fragile right now, let’s give her her space, but we can still do things in preparation. You and I both know the con the most common out, the most likely outcome of this is in the next 90 days, we’ll need to sell this home. So in the background, it’s okay that we work on a strategy.

We understand we start to, you know, get the property cleaned up as much as possible minimize, you know if we can get rid of your dad’s personal property and help her through that grief process, then when the time is right, we can have the conversation about getting the home on the market, getting it sold for top dollar and using that money to transition her to a better living, a better situation for the rest of her life.

So did you expect that answer for me? Or do you expect me to come after the house? Yeah. He expected you to go after the house. So if, if, if you can trust. My intent is pure. I mean, and it is like, this is how our relationship is going to go. I’m going to move at a pace that I believe is what’s in the best interest of you and all your family members.

That’s why I asked so many personal questions because my job is to make this easier for you the maximize the equity. And in that order. So we’re never gonna force somebody out of a home to make revenue for a company. That’s the company wouldn’t be around very long. If we did that, you’re likely to receive other calls.

They’re likely to be very different than this one. And I, I just want to underscore that that will move at whatever pace your family needs to. Other people are going to pressure you and say things that intimidate you and want to meet with her. My advice is you should be the filter and a buffer between that because let her proceed through grief as she needs to.

And let, let me, and you take care of her when the time is right. Is that fair? Yes, it is. Okay. Now I can do for you and her right is to just drop by the house and look at the personal property. That’s oftentimes an incredibly difficult first step for a widow to take. So if you could present me as someone who you’ve met, that has a community service that helps families transition, we can.

You know, the salvation army, Goodwill church organizations. We have several, several distribution channels for donating property. For example, one of the things we try to do is, is donating the property to a nonprofit versus just people in the community, because then I can give your mom a tax receipt, for the estate’s last final tax return.

And even though her income’s gonna, like, I can show, like we can start to show her that you’re going to pay fewer taxes by donating his stuff to a nonprofit, which helps us offset the impact of losing half of your social security income. So that’s how I’ll proceed with your mother. I’ll show her non-threatening ways that she can proceed through grief and how that benefits her to act now versus sitting and waiting.

And whenever the time is right, hopefully, you guys will both trust that I’m the right person for the job to get the highest amount of money in the shortest amount of time for this house for the next phase of her life.

How does tomorrow around lunchtime, like maybe between 12 and one just stop by and just have a cup of coffee, talk it through? Maybe, I help now. Maybe I come back in a few weeks, but tomorrow is a good time for the three of us to meet. Yeah. I think that’s a good time. Okay. All right. And I’ll break there.

Real Estate Cold Call Scripts Example Break Down: How to speak to adult children about selling Mom’s house [00:27:58] 

This is where I would get details on the house and the personal property and, you know, prepare for an appointment. That’s exactly how I would’ve handled that in real. So I’m focused on the people in the situation. I’ll get that real estate deal. That one will probably be three to four months away when the overwhelm hits when spring Springs open and the grass starts to grow.

And, and the, the shrubbery trimming cost money and the lawn mowing costs, money gas is $5 a gallon, medicine spikes, another 35%. She starts to understand that that, that, you know, Medicaid supplemental insurance doesn’t always cover everything costs, rise. Like, most widows or widowers get to a point where they realize this no longer makes sense.

I need to change my, position. And they moved to more affordable housing. Oftentimes family housing sometimes assisted living, but it sounded like in your scenario, she’s physically good. She’s just gonna have a tough time mentally. It’s gonna be a tough transition if she. If she can’t probate her husband’s estate.

What else is she going to get hung up on? The other thing I would probably recommend then I would do this in person is we would connect you with a grief counselor in the community as a, as a next step of, of value, we can add to your family. No way we’re going to monetize that. Not expecting to. It’s just something that probably will get her to that conclusion, I need to do what’s best for me going forward.

It’ll get her to that conclusion faster. Thanks, else have another take on that, if you would have taken it in a different direction feel free to chime in. That’s just how I would’ve handled it.

Alrighty, then let me look at chat. Katt says she went, she listened to the role play, she wants to get on the phones again. 

Finding buyers for off-market properties: Wholetailing vs. non-MLS brokers, commercial bankers, and divorce attorneys (Off-Market Deals) [00:29:43] 

How are you? I’m great. How are you? So, this is a little off-topic, but maybe not. I have an opportunity to transition property or help someone transition a property into an owner-finance deal.

, the owner seller is willing and prefers it. They don’t want to, they’re very wealthy. They don’t want to put the property on the market. Their privacy is of utmost importance. My impression is they’d rather die than have somebody see the interior of their home. And it’s not bad. It’s lovely.

Anyway, I don’t know. So I’m in the state of Colorado. I understand I’ve got a bazillion resources for this kind of thing, but I thought I’d throw it out there to see what you’ve seen happen. Is this a probate? It is not probate. Okay. What’s what do you think the market value is?

Markets one, 1,050,000, maybe 1.1 next week, 1.2, anyway, 2007 version.

So anyway probably, she allows for 900, 950. So, not probate, around a million-dollar asset, as far as, you know, free and clear title.

 Discretion is the number one priority, maybe even oversell. So I, I believe it’s, it’s free and clear and yes, yes. What I would recommend.

And you want to do this as a broker? Not as a consultant, right? I don’t, I don’t have, I don’t know. I mean, you can, you can buy the house, and then their discretion is not a concern. If you can buy the house at a discount that you’re comfortable with, you know what we’ll cover, make your risk comfortable, then you could just resell it.

And we call those whole tales. So you’ll buy it at a, at a wholesale price. You’ll turn around. You’ll incur realtor costs. You’ll incur, you know, the marketing, the holding cost, insurance, everything, and then you sell it for a retail price. It’s not a big, giant spread, but it’s, it’s a, it’s a base hit.

So that would be the easiest strategy would be to, well, the riskiest, but the easiest. To find the end buyer would be a whole tale, the less risky, but harder to find the end buyer would be an off-market listing. So have them sign an exclusive right. To represent seller listing agreement for 12 months.

Make sure you get an MLS opt-out so you don’t get in trouble if that’s assuming that’s still allowed. That’s something that our lovely association is trying to take right away. I can’t, I can’t get pictures. I mean, I’m sitting there like, you know, like, like a criminal ticket, my phone for my reference, you know?

So yeah. Can, can you list a property with an MLS opt-out and your market?

Do you agree? I won’t get on that soapbox. He, this is the reason I fight that so much. What NAR did two years ago, is horseshit. Like if you’re in a divorce, if you’re high, if you’re in a fluent person like this is the reason they shouldn’t have done that. I mean, it’s so I agree. It has. In, in a fiduciary capacity, it’s the wrong thing to do, you know, it is not serving the sellers and that’s, you know, it frustrates me.

So you know that right. The right was taken away, taken away from them. What they could do is do you have, do you have commercial brokers in your market that are not members of the MLS. I do get one of them. The list that you take the referral fee, 75% of the commission as yours, or whatever you, whatever, you can get them to agree to list it with a non-MLS broker NIR.

Do you hear me? So take this outside of the national association of realtors because of their bullshit policy list, it was a non-NAR broker take a referral fee, and then very discreetly worked through your, and I’m aware that she already had the high net worth network. You go get, get their permission to discretely market their property through conversation and your sphere of influence.

And ease them into that and say, you know, listen, we’ll, we’ll ask for a pre-qualification letter and just ask them what, what they need to be comfortable for you to show their home and very discreetly through your, your network. Let them know, especially with the focus on small business owners immigrants like re like if you have fluent immigrants who ha who don’t have permanent residence or green cards, those are the people you’re looking at.

Okay, divorcees. Like if you find an affluent person who’s currently going through a divorce, they’re unlikely to get financed, but they need it. They need a place to live. So network with divorce attorneys network with registered investment advisors network with the CPAs who work with more affluent individuals network with commercial bankers who are like non-QM lenders and commercial bankers.

Because guys, guys that show very little income on a tax return because they’re savvy, they have a tax strategy. They have a hard time getting financed. The people who rejected them, we’ll introduce you to them. Because they want to write them loans in the future. So the non-QM lender that had the turn them down, the jumbo lender, who had to turn them down, the commercial lender that had turned them down.

Even if, even though they were willing to pay prime plus two or prime plus two and a half, those people can lead you to the readiest, willing, and able buyers for the asset you structured as owner financing, whatever down, you know, as I would match, you know, if 20% down is as high as I would ask for, but I would take it as low as the comfortable the seller is comfortable with and, you know, make, get them the down payment.

You give them a first position mortgage and you know, they’re safe to do that. I mean, a reasonable rate for that would be, I would think up the 5% would be more than reasonable. Okay. So she had shared what some of her build-performing annuities were doing. And 5% would be a win on that money. Yep.

That’s what I would do. Alternatively, you step up, you bought a house as an investor. You hold it, take the risk, and then hope like hell the market. Doesn’t correct. Before you get it. Yeah. I, you know, that, you know, that might be a little bit of a problem for me. Meaning like, I’ll take the risk. Yeah. It’s very risky, it’s a risky way to make a small spread.

I think the risk is at the price point, right? Like we’re not talking to $300,000 house well, the environment we’re in, I mean, anything like it’s a pretty dynamic environment day by day. So like real economic pain could set in at any anytime. I mean, look at how quickly prices are rising on some things I don’t believe the federal reserve is in a position where they can do what they had intended on doing.

We’ll find out here in another eight days, but I don’t think they can do that, but they might because inflation is a massive threat and we are, we’re staring down the barrel of the stagflationary economy, which is about the worst outcome we could, could expect. So having exposed a million-dollar exposure.

At this part of a market cycle, when we know we’re maybe past the top, but at least heading for the top it’s a lot of exposure for you personally, if you wanted to lessen that exposure, you can do it with a hard money lender and you know, they know their risks. They’re big boys.

 And that’s going to be costly. You’ll make, there might not even be enough meat on the bone to make that work, make that feasible. Your best bet. Go to a commercial broker, just get a legal, get a legal listing with a true MLS opt-out, and go sell real estate. Go sell high and real estate the way it should be sold discreetly and write a letter, write a letter to those people in Chicago.

You paid dues every year and thank them for putting you in this position. I will.

It’s terrible. Thank you. All right. Anything else? Who’s next? We’ve got a flair 15 minutes till the top of the hour.

Nothing that I’d take all the air out of the room by attacking NIRS policy. No, no, you did. Not just exactly how I feel about it. Imagine here in Beverly Hills where you got a lot of, I know that was the first market. I said like, when that happened, I’m like, what are they doing to the LA? Yeah. And there’s a, there’s a group of agents who had something called the PLS, which was for high-end luxury homes, pocket listings, which were a lot of celebrities, entertainers, you know, people who wanted privacy and they had to shut it down.

And now you’re having, you know, a lot of their gatekeepers, you know, their assistants, their managers saying, put the word out. I want to sell. And they’re doing. Yeah. And they’re just trying to, I mean, that’s, that’s, it’s, it’s cutting their nose off to spite their face. Cause it’s just going to create an off-market, like a luxury off-market market.

Right. And you know, when I was in Mallee, we, I mean, I’ve been through Jack Canfield’s home and Nickelback and Metallica. And like, there was a discreet way to move homes like that. You didn’t say, Hey, everybody come look, this is Helen Hunt’s house. Like you, you, you discreetly sold assets like that. And that, that, I guess that’s why I’m so damn opinionated about it because I think that as they’re here to serve us and that we’re here to serve the clients and that is a selfish policy that transfers to the client as a, as a negative, not a positive.

Yeah. Well, they’re still in, in, in under DOJ, DOJ said we’re throwing out everything we required you to do and we’re going to come after you even more. So they’re still in the process of fighting, but I wanted to ask the question. 

Probate advances, liens, and equity (Probate Property Sale) [00:39:55] 

Regarding my current probate. So that was my friend who passed.

So she, her, her sister, my other friend, and is her half-sister and her brother is her half-brother. And I told, she told me that her half-brother wants to buy the house. He wants to buy her out, or he wants to keep it as a group home type of thing. And I said, well, there’s a reverse mortgage on there with fees.

It’ll probably be about 660,000 to pay off. So he’s going to need to get a loan first. And then he’s going to need to do additional funds to be able to buy you out. And she said, oh, I’m willing to have him pay me on monthly payments. I said, if the, if the lender’s willing, sure. You know, they, the lender has to be willing for you to, for him to do a second lien but based on the purchase price, which I’m, I just ran the CMA and it’s about 1.15.

He can do a conventional, but if he still would need to have about $24,000 a month in gross income to meet the FHA front-end loan amount, which I know that Kim doesn’t have that, I know Kim doesn’t make that kind of money. No, I know he doesn’t, he lives in an apartment and I know he doesn’t own any other assets because my friend who passed it was her home.

She had the reverse on there, but she also worked it out. It was their mother’s house. And she worked it out to put him as a second lien on the house because there was enough equity to pay him out at the time that she bought it when it was worth like half of what it is now. So the path is six 60. What is, what does each half of the estate worth the equal?

The value of the questionable estate. It’s probably about. Probably no, that’s the biggest asset. The total value in terms of the asset value of the person who passed away. She was the co-administrator on another probate in the family of two properties I sold and the taxes still aren’t done because they got a bad CPA that they were working with.

So there about six months out before the final distributions and she, and several other heirs did advances on the probate, their probate assets. She did an advance to pay that path brother out because he was on the lean on that. He was a second lien on the house. So he’s gone. What she’s due to get back from that, you know, from that estate, it’s going to be about somewhere in the neighborhood of about 110,000, maybe more.

And so you add that into. It’s her, her property asset, which is all there is then the total is about 1.3 Macs in total value. It’s the source of Kim’s income that I don’t know. Cause I haven’t, I haven’t, I’m supposed to meet with them Thursday. I don’t. Kim hides in the background, but here’s what I know.

I told them, Hey, I can do the buyout for you. If that’s what he wants to do, he needs to get a lender to approve it, or we can sell it. And the property has tenants in it, by the way, a whole other story. But yeah, in LA it’s a nightmare. It’s a shit show. When it comes to tenant-occupied properties here in the moratoriums, it’s a damn shit.

Show what they’ve done. Are they current? Yeah. I agree with that too. Actually. Not what is not my friend who passed the week before. I mean, I told her a year ago, get your trust put up. But the week before she said, Nina, as soon as I’m done with getting this cash-out refi, cause she was doing a head to refight, he gets more money out for in-home care.

She said, let’s go ahead. And I was doing your property management course. She’s let’s go ahead and get these tenants out. And I said, okay, I have to research it because they came out with some new laws this month and that was back in February and sure enough, she’s an LA county, city of LA is worse, but she’s Nelly county and there’s just no option.

You have to wait until January to evict anybody for no-fault evictions. It’s insane. So I mean there’s, may I ask you this? Nina? So the 660 note.

What will I’m getting my, my facts crossed up here? What would his purchase price be? If the sister agreed to sell it to him? Well, it would have to be the equal value of fair market value. And which is what about 1.15? Okay. So he needs to get, so where I’m going with this is can we use the current tenants who’ve been in there for a while?

Can we get to a debt coverage ratio of 1.25? If the answer is no, this house needs selling. Yup. No, I know that because I told her, I said, you realize you’re not even charging the market. Yeah, this is very common that you have, and air who I’m rushing through because Joyce has her hand up and I only have seven minutes to stop today.

Probate Real Estate Cold Call Scripts: What to say when probate leads want to keep and rent an inherited house (Real Estate Cold Call Scripts) [00:44:48] 

It’s a very common situation where you have an heir who loves this vision of owning this home. They’ve always thought about it, but they, they, they didn’t really, it wasn’t a real goal because they weren’t getting their finances to own the asset, right. Or, to buy their share of it.

To tell them that puts them on, on, you know, they get up on the balls of their feet in a defensive stance and you’re dealing with their ego. So you have to find, you have to find a way for them to discover that on their own, just be the leader, right? So you send them okay. There are a couple of ways we can do this.

The easiest way would be using a DCR loan. And what that means is we’re going to go to a commercial lender who instead of underwriting your incoming credit is going to underwrite the performance of the asset. The problem I see here, the asset is underperforming. We’ve got one tenant. That’s not current.

And we’ve got a legal environment. That benefits the tenant, not you as the owner. So it’s very unlikely. We’ll get loan approval from even that commercial lender who is way more risk-tolerant than anyone who is in a conventional mortgage space. So if you can get that tenant, correct.

We can get two months of, of, on-time payment, get them caught up two months of on-time payments and we can get the rent raised to a certain level. As long as we can get 1.2, five times what your purchase loan mortgage monthly installment would be. Then we can do this deal. That’s asking a heck of a lot.

Do you think you can get that done in the next 60 days? 

No, I don’t. I know exactly his answer will be no because I already know those tenants can’t even get to the 1.5% of what that loan would be now. They couldn’t, it. I mean, we know it was a rhetorical role play, right. We knew, we know where it said, like, but you have to walk them to their realization of the, of the situation because they don’t know what they don’t know about finance and what we know happens in an underwriter’s mind, you need to translate that to them and try to do it in, you know, kind of in story form of let’s just hypothetically say, this is how this happens and you lead them to their conclusions and then, you know, have a listing agreement there and ready because when they let go, they are willing to list the house.

That moment, getting them, getting them to let go sometimes not the easiest thing. Got it. Okay. Well, thanks. I’ll let you get to the next person. Thank you. That was very helpful. Okay. 

Economic uncertainty, alternative investments, and cash-flowing assets (Economy and Finance) [00:47:11] 

Hey, Joyce, two quick ones. Are you recommending that our clients get out of this?

Oh, I’m not an investment advisor and don’t, don’t even pretend to be I think you have more volatility in public equities than you’ve ever had. However, there could be a chance. The United States economic system looks a lot like Japan. We just keep printing money. We keep doing our best to drive asset prices and it’s gone on for decades there.

If you look back in history, Japan is one of the outliers. Most, most countries in the position we are you only have to go back to the British empire ending in the post-world war I before world war two. That’s where I believe we are in the economic cycle. I think you’ve had a central bank and a government that’s been desperate to inflate debt and keep things growing and moving.

But they’re not, they’re not willing to let re-let you know, Recourse happen. Like we’re not willing to let, to recognize losers. So that has, that has resulted in an extremely frothy market. That’s still being fed by a federal reserve intervention and I don’t trust it. So if you have a fluent class, if your clients had a lot of exposure and stocks, I would move them to tangible income-producing assets or inflation hedges, such as Bitcoin gold commodities.

He also has six properties that he’s asking me if he should sell or he should hold. What’s his goal. What’s his goal income in the long run.

Housing is in short, you know, we’re in short supply of rental housing. Rents are unlikely to go down. They might not continue to rise at the rate they have, but it’s with the fact that you know, the fed is in even more of a conundrum than they were just a few weeks ago. Now we’re disengaging from a big part of our global economy.

We’re cutting them off of, you know, we’ve, we’ve cut them out of swift banking. We’ve taken a visa. MasterCard payments away from them were, were blocking the import of the, of, of energy from that country. It’s going to ripple throughout economies throughout the world. And markets are going to be disrupted.

What’s different. This time is we printed more money than we ever have any society has in the history of the world. And we have this whole new de-centralized kind of. You know, let’s just go ahead and call it a libertarian currency that citizens around the world can choose to opt into. They don’t have that for the first time.

They don’t have to be told by a government or a central bank, what they, what their options are. So it’s hard to determine, you know, your guess is as good as mine. But what I know is that the central banks are still committed to the agenda of print, more money. We can print our way out of the problem, all of them.

And that is going to drive the price of tangible assets. Any cash-producing asset is going to continue to skyrocket. The fed has the tool to step in and, and tamp that down to a safe level, which is raising interest rates. But if they raise the interest rates, they are. Completely collapsed equity prices because all those companies that have been swimming naked, that’s the tide going out.

And when that hits their balance sheet, they’re going to lay off their mid-level mid-level management is going first. And that’s what ripples through housing. Because when people lose jobs, they can’t get loans. When they can’t get loans, you can’t sell houses when you can’t sell houses. Inventory goes up, prices come down.

So for everyone who disagrees and says, or it’s different this time, real estate stem, you know, super strong, it’s not about the inside the industry that worries me. It’s all the other circumstances and the greater macroeconomics. That worries me about the housing asset class. But if you just buy and hold, you don’t have to worry about that because the price swing won’t hurt you.

Rents. Aren’t going to swing that drastically, but when people can’t purchase. Th they’re likely to see sales prices calm down. But that could be months, maybe years from now. I don’t think the fact that can move right. They don’t think they can move even 25 basis points without causing one hell of a calamity.

So it could keep going. Prices could keep soaring, but if he were my client, I would tell him to hold his position on the tangent on, the income-producing assets he already owns. And I would go find him some more. Okay. Thank you. Thank you. Just so guys, there’s other stuff that you guys don’t know about me and McKenna.

If you’re watching, I’m already late for our meeting. I run an I, I just like probate. It found me. I’m the president of an investment club by sec definition, an investment club. What that is a group of my closest friends and family that I couldn’t keep my mouth shut any longer. I’ve been investing alternatives in alternative assets for over a decade now.

I started out writing small, balanced, private mortgages to mine, but my real estate investors. And then I looked behind the curtain. I followed politicians and billionaires, and my whole outlook on economics changed. I’ve studied monetary policy since 2008 because I made a promise to myself and the client as I was walking down the hallway in Maui, that I would understand this the next time.

Cause he was talking way over my head. So I started to study the history of the federal reserve and central banks in general and world history and currencies throughout time. So a lot of my opinions are formed, not because I watched some, I’m not parroting, something I saw on the news. I’m not technically a fiduciary to my friends and family, but as the president of an investment club, I feel like that’s my duty.

And I take it that seriously. So the advice I just gave you is the same, I’m giving people that I dearly love and would never, ever, ever financially harm. And I make zero gain from being in this role, but we have liquidated a million and a half dollars of assets, just in a handful of guys in the last few days.

And we’re redeploying that in a thing like I’m telling you. So we’re, we’re taking we’re trimming stock positions or eliminating them wholly to move into other plays like, and if you guys are looking for opportunities you need to have a good understanding of cryptocurrency production and cryptocurrency trading.

There are two very different markets. The mining side of it is like gold mining. Then, you know, the other side of it is like holding physical gold, but we have positions in both of those energy markets that are being abruptly disrupted. Because there’s a war, but also because policy, the political theater is leading the, that that’s the agenda.

Even when it doesn’t make sense, even when we don’t have the infrastructure or the workforce to meet, there’s no way we can realistically meet what they’re, what they’re proclaiming they’re going to do. So I’m just repositioning more traditional investment positions for people. I want to protect myself from the path.

You know, as I said to one of my members this morning, I said all, a lot of these decisions that are being made now are going to create a lot of weight. You can get smacked in the face with it, or you can get up and serve. I’m going to be surfing. I brought my boards and that’s what we’re doing. We’re looking at not what, what Fox News or MSNBC or any of these other damn media outlets are saying, like, use your head, think critically, like what is going if this happens, then what is going to happen?

And that’s how I proceed through this. So the advice I’m giving you isn’t just recklessly thrown around. This is what I’m telling my mother, the people in my closest circle, I’m getting them the hell out of you out of equities and in the private investments on cash-flowing assets.

For what it’s worth. And again, I’m not an investment bother. I don’t even understand money. I just have a little bit of it, but guys, listen, these are always really great conversations. Thanks for being here and participating. We had some really neat, neat conversations today, and keep an eye out for the ask the expert series that we’ve promised.

We’ve got a lot of, a lot of new stuff coming your way. And again, thanks so much for being part of this valuable community. Appreciate ya.

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