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Southern California 1:1 Note Coaching
Harriet Sukuta and the Note Guy
Harriet Sukuta 1:1 Note Coaching Testimonial
1:1 Note Coaching Preview Video
Finding Notes On Route 66
So here I find myself in Rancho Cucamonga, California working with my newest 1:1 Note Coaching Student, Harriet Sukuta. I will be out here for the next five days working with Harriet to implement the strategies that we use with Inverse Investments to help her take advantage of the huge amount of defaulted residential and commercial notes in California.
Some of the things that we will be focusing on over the next five days is making bank contacts to track down notes, raising private funds, marketing, working with other investors, and systemizing her business to have her work smarter instead of harder.
Getting Started on Day One
Day One Wrap Up
Day One Wraps Up With A Bang!
Day one of the 1:1 Note Coaching is always an excited time. The student's are excited to get things going and I'm excited to help take them to the next level in their real estate careers. Usually the success of the week is determined before I ever step off of the plane in their town. We spend the first few minutes of reviewing the homework that I assign them to get done. The homework is nothing difficult to get done, but it is critical for investors to have a successful week that can snowball into a successful month and on beyond that.
The items that I assigned Harriet was for her to sign up for ActiveRain.com, take her business cards that she had collected over the past years and combine them into a database with her other contacts, and then to pull a list of short sales on residential or commercial deals in her market. I also requested that she make a list of local investment clubs as well that she can join or that we can visit if they are meeting during the week that I'm in town. She had completed all of these assignments!
We immediately got to work posted a referral request for a Los Angeles area realtor via the referral request feature of ActiveRain.com along with requesting that the realtors have a name or two of a local real estate attorney. We immediately got a response from two realtors in less than 30 minutes with attorney referrals!
One of the bonuses of the 1:1 Coaching program is that students get access to the list of non-performing notes that are listed with the WeCloseNotes.com membership. I had several individual notes on a couple LA area apartment complexes that we could review and underwrite. We spent the next hour working through and underwriting both apartment notes by using Google, Loopnet, and Realbird.com to find info on both.
I showed Harriet how to pull rental comps by using RentOMeter.com along with how to use the information provided on the tape to help determine the value of the defaulted note. I also showed her how to calculate a quick Net Operating Income on each complex. After this, I took a few moments to contact the asset manager to check on status of the notes along with seeing if he would prefer one Letter of Intent or separate ones for each note. He quickly responded back that both were available and that he would like to see individual LOI's.
While we were waiting on the asset manager to get back with us, I started to discuss with Harriet on ways that she could raise private money. She had employed an assistant to compile her list of investor contacts with her database into one spreadsheet. I took a few minutes to help her write up an email to help her raise money and then we sent out an email blast to the first 450 contacts through her gmail account.
After sending out her email blast, we went ahead and finished writing up the LOI's and we emailed them into the asset manager directly. We wrapped up the day early as Harriet had to pick up her kids from school so she dropped me off at my hotel and we called it a day.
So to recap:
2 LOI's submitted
3 Realtor Contacts
2 Real Estate Attorneys
1 Email Blast to 450 Investors on Raising Funds
More Results on Day Two
Day two started off with Harriet picking me up and me sharing with her that the two LOI's that we submitted the day before had been countered by the asset manager and that we would want to get some more recent comps pulled before proceeding. Harriet had also received a couple responses to her email blast as well and she was excited to talk about them.
She had received three responses back and between them, her contacts had already discussed her using their funds to help fund real estate deals. This amount turned out to be over $500,000 and Harriet's mind really began to expand as she thought of other's that she had yet to contact about private money! Harriet and her husband (who was out of the country on business) ran an international skin care company. She had contacts come to mind that she hadn't even considered. She was more excited about the emails coming from her database of people emailing her to let her know that they were forwarding her info and email on to others that they knew who had money and were looking to invest. The power of email marketing is truly amazing! So as Harriet and I sat there visiting on the phone with one of her contacts, she kept smiling at the momentum that we had created with just 10 minutes of our time the day before. Harriet realized how important and in this case, very valuable her database was.
Throughout the day, we also received several phone calls from other investors who had been forwarded her email and they were looking for apartment deals for their own portfolio, so we effectively killed two birds with one stone by helping her build a buyer's and investor's list with one swoop. We quickly sent out a second email blast to an additional 450 on her list.
We spent a huge chunk of the morning and early afternoon working on calling banks. We identified some local California banks who had defaulted notes by using Foreclosure Radar to pull lists of short sales and preforeclosures on residential and apartment buildings in San Bernadino county. We then cross referenced these banks with Laneguide.com to get the main administrative office numbers of these banks to help with the phone calls.
I made a few phone calls for her to see how it was done and after five successful calls, she jumped in and started calling. She was nervous at first, but she didn't let that stop her. She made a total of around 15 phone calls, but she was able to get direct emails and extensions for the asset manager, secondary marketing manager or credit risk desk managers from every bank she called. She batted a perfect 100% on her calls and she had one note sent to her. The note turned out to be a dud, but she did have several asset managers tell her to call back within the next two weeks and they would have something for her to look at! Check out some of the videos of her calling!
We also spent some time in the afternoon on a social media webinar with dotJenna discussing the importance of how you portray yourself on social media and how important it is to send the right message. As a 1:1 student, Harriet gets 6 months of one of Jenna's monthly coaching program to help her get her feet wet with social media.
I also had Harriet use Meetup.com to identify multiple online and local real estate investment clubs that she could network with. She joined these clubs and filled out her online profiles for each club and I showed her how she could use these clubs to sell her notes and to market for other private investors.
We spent the rest of the day talking with investors, her new realtor contacts who were getting new comps for us, along with talking with the real estate attorney to discuss what we were doing. All of them were on board with what we were doing because they all had years of experience negotiating short sales and they realized the importance of what we were doing.
All in all, it was another successful, busy day. To wrap up, here is what we accomplished:
$500,000 in private money raised.
450 more investors marketed for more private money.
15 Secondary Marketing Contacts
1 commercial note sent over
2 future pools identified
4 apartment buyers discovered
1 real estate attorney and 1 realtor added to Harriet's note buying team.
Private Investor Phone Call
Harriet Suzuka Calling Bank Asset Managers
We started out day three just like we started the previous two days with Harriet sending out another email blast to her contacts to help her raise private money. She ended up getting another phone call from a friend off of this blast and raised another $25K for investments.
I then had Harriet go back into the real estate groups that she had joined on Meetup.com and had her edit her profile along with posting on the bulletin boards of each group about her being a note investor. We also spent some time and set up her initial Facebook account to help her start marketing and joining online investment groups as well.
After that we spent some time discussing the general note timeline and what she would experience with negotiations, etc. We also discussed different funding transactions, flipping, wholesaling, and holding for her own portfolio.
We then spent the rest of the morning calling banks and tracking down asset managers at some more banks. After doing that, Harriet asked what she should expect and what was the best way to discuss in person how an investor's money is secured and protected with real estate investing. I filmed us roll playing that for others to use, so check that video out below.
The rest of the day was spent calling banks and working on performing some online due diligence on some San Francisco notes that we got in, along with us reviewing and calling some apartment complexes in South Carolina that ended up on another tape that we received from another student.
It was a busy, but another very productive day!
Roll Playing the a Private Investor
Day four started out with Harriet finishing up her email blasts to her database and she received another call from a potential private investor with money for her invest with. After that, we spent some time going through Laneguide.com and showing her how to effectively use it to pull lists of banks and to find lists of Special Asset managers emails and phone numbers. She pulled a list of California asset managers from banks which turned out to be a list of around 43 contacts. I helped her ad this to her database along with assisting her in writing an email blast to send out to them. So 45 minutes later after we started looking at Laneguide she was sending out contact to 43 banks and lending institutions. Ten emails were kicked back, but that's still a great job.
We then spent some time setting Harriet up and working with Postlets.com to help her market notes and her short sales. We then jumped on Foreclosure Radar and pulled a list of local preforeclosures in the Inland Empire area and spent some time calling banks for those notes as well. That didn't go well, and she realized why just calling the banks is probably the best way to track down notes.
We spent the rest of the day working on due diligence files on some residential notes and we wrote up two LOI's on Florida single family homes that were listed for short sale. We wrapped up the day early due to Harriet having to pick her daughters up.
Getting In NDA's
Day Five, Wrapping It Up
Day five started with Harriet picking me up and excited about the fact that she had received two NDA's from lenders for their non performing notes. After I had her fill them out and email them back in to the lenders, she sent out another email blast for private money to her database.
We then spent some time going through game plan for her weekly and monthly follow up calls. We also put in place a marketing calender for her to work off of on to help her manage her time blocking on a hourly basis with reminders off of Google calender.
We also spent some time reviewing a couple sample tapes and showing the differences between the different lenders tapes and how they set them up. She was excited to see these and she very quickly caught on to what each tape showed.
As we were going through the tapes, she received another phone call from another potential private investor and she handled the phone call perfectly, with her interviewing her friend first and then uncovering her needs and concerns. I honestly couldn't have done a better job.
We wrapped up the day by doing a quick recap of the week and taking some time to cover specific questions that she had. After that, it was time for her to drop me off at the airport.
After Harriet dropped me off, she called me back up to inform me that both lenders had sent over tapes for her to review and cherry pick! Ah yeah! Harriet would be working on them and we will be submitting offers on Monday to both lenders.
- Do something, Learn something, Share something, Change something - Meetup
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- ActiveRain Real Estate Network
ActiveRain Real Estate Network allows real estate agents, mortgage professionals and brokers to create a customized profile.
- dotJenna | Social Media Sales Coach
- Inverse Investments LLC Home Page
Home of "the Note Guy". We help investors buy and sell defaulted notes on residential and commercial properties from our expansive list of over 1000 banking contacts across the country.