YOUR DAILY REAL ESTATE INVESTMENT SHOW
May 16, 2022

Why You Should Be Looking into Land Investing with Timothy Krause

In this episode of Cash Flow Pro, we talk with Timothy Krause, founder of Investments Crafted. Tim grew up in a real estate family, helping his parents flip houses. However, after a difficult time during the 2008 crash, he swore to...


 

 

In this episode of Cash Flow Pro, we talk with Timothy Krause, founder of Investments Crafted. Tim grew up in a real estate family, helping his parents flip houses. However, after a difficult time during the 2008 crash, he swore to give up real estate. Tim tried many different jobs until he started his own video production company. He worked with real estate professionals – this re-ignited his desire to get into real estate again. 

 

Over the past few years, he has built a five-person team buying and selling 3-5 properties each month. Investment Crafted focuses on offering investment opportunities for various budgets selling raw land all over the U.S., with more than 50 successful land transactions. Today, Tim is here to tell us about his land investing business and share his expert tips!

 

In this episode, we discuss:

  • Choosing land wisely and what criteria it needs to meet 
  • Scouting deals, sending blind offers, and range offers 
  • Understanding data and how it can help you 

 

If you are interested in learning how to invest in raw land, tune in to this episode to find out more!

 

Find your flow, 

Casey Brown

 

Resources mentioned in this podcast:

  1. https://investmentscrafted.com/about/
  2. https://www.linkedin.com/in/tim-krause-776796a1/

 

Transcript

Unknown Speaker  0:00  
Sounds great

Casey Brown  0:06  
Hey there and welcome to cash flow pro your daily podcast and investment channel. We want to welcome Tim Kraus. Tim was just sitting here telling me I'm my mind's running 1000 miles an hour because this guy's got some stuff set up. That's just unbelievable. Unbelievable how do diligent and how just everything he's got is systemized. So I apologize for talking slow, but my mind is just a little bit blown. So anyway, Tim, how are you doing today, sir? I'm doing great, Casey, thanks for having me on. Awesome. Yes, sir. We are so glad to have you and investments crafted is Tim's company. So I want to make sure that we get that out there. So that so that everybody kind of knows what we're talking about and what direction we're going here. So So Tim was just kind of showing me some of the systems and some of the things that he does when it comes to like acquisitions or properties and, and really, the entire study of, of everything leading up to the acquisition was what really just blew my mind. So anyway, so Tim, I want to just before we get started in the investments and and the real estate part of your life, why don't you tell us a little bit about your backstory and maybe like, you know, we're we all have that moment where you're like, Hmm, real estate exist, or real estate investing exists? So once you tell us a little bit about that, and how that looked when you when you first got started?

Unknown Speaker  1:36  
Yeah, so for me, it's a little bit different in that I grew grew up a little bit in real estate, my, my, or my grandpa on my dad's side, he had about 30 or 40 doors somewhere right in there when we were growing up. So I actually worked for him as a handyman for a long time. My parents did a real estate business a few different times. Their last one that they tried was in, oh, 5208 Flip, I believe about a dozen or 14 houses in that amount of time. And I actually got my real estate license, you know, seven, and then I saw Yeah, and then I saw it all fall apart in 2008. And, and I basically said, You know what, I'm not doing real estate, no way. No way. Just completely done with real estate, because I was like, man, it's, it's it just wasn't fun. Also fixing and flipping, which I still do not do. If I had no fun fixing and flipping like, you know, that's what we did for my teenage years, you know, the first properties my parents flipped, we like, you know, did a lot did a fair amount of the work, you know, as an as you as you grow up a little bit more in the business, then you start hiring contractors for more and more stuff. Because you know, the time is very expensive. But yeah, I mean, the number of floors and walls and everything we painted. I mean, I could it's funny, I can hardly I consider it a blessing, but I could hardly smell bad smells anymore, because of the number of crappy houses that I've been in. I consider it a benefit, but that 2008 All that stuff kind of blew up and everything and I said Screw this, I'm no I'm not doing real estate ever again. And I went and I did a bunch of different jobs over the next, actually a little bit before that. But over the next seven or eight years, I did like eight or nine jobs I did a total of 11 jobs over 11 years from when I was 18 to 29. But I did one of those was being a realtor in that mix. And so then a bunch of different things started with video production on the side with my friends because I really enjoyed that my friends started skateboarding, and I didn't like to I didn't like to fall so I grabbed a camera film, skateboarding. So then did that for church and then eventually started a business doing that I joined some really good networking groups local to me and and really got some good good advice from people who've actually done business before who'd actually been there which is a really invaluable piece of information you can get from someone who's done it. So did a video business full time for three years because I got a back injury one of my jobs I've worked in the ambulance for three years making 24,000 bucks a year. Yeah, so now it's fine. Now my average deals a little bit more than that.

Casey Brown  4:22  
But yeah, I was gonna say it's those Yeah,

Unknown Speaker  4:25  
yeah, it's it's crazy how time how time flies. So I did that I did my video business for three years. I got involved with a with a with a real estate show. We shot 50 episodes of the show. We interviewed a lot of realtors and and I flown around the country for the real estate show. And then for the video business in general, I flew around the role twice most of Bosnia once Iceland. Very cool. I didn't I didn't make a whole lot of money. I made more than I made an ambulance. So that was great. I was really really grateful for that. And most of my videos work about 40% was real estate professionals. It wasn't it wasn't like houses or listings or all this it was like the fixin flippers the commercial guys the people buying self storage, the people buying malls and putting self storage units in there who buy an RV parks moat, you know, mobile home parks, all that type of stuff. And, and 111 time I was down doing a video dropped down in California, and I was out to dinner. And there were kids my age like, you know, younger than me who were just killing in real estate like flipping houses up in Seattle, Bellevue just doing really good. And we were out to dinner. And I remember feeling kind of pissed off because like, we were there buying expensive stuff. And I was like, and when I came to the bill time I looked at it like, you know, there's no way I could pay for any of this stuff. Like they like Tomahawk steaks, which I didn't know what a tomahawk steak was before then. Now, though, I do yeah, I do. I do now Yeah, but they have they got like LP like three or four for the table. And then then all sorts of other stuff. It was nuts. And I remember telling to real estate guy who edited video work for Toro Yarber, who runs a big a big. He's on bigger pockets every once in a while. And he wrote a big, big convention that I found a few times. I was like, man, you know, I really wish I could do this real estate stuff. But I just don't have a passion for it. And he's like, what does that have to do with it? Like, it's a vehicle to get you somewhere that you want to go like, like that, like that's what it is. And I was like, Oh, that's really interesting. So I eventually bumped across land investing, I was researching mobile home parks, and I bumped across land investing. And I thought and I laughed. First time I heard about flipping land because I I'd filmed the largest real estate conference in the Pacific Northwest for the past two years. And we had multiple cameras running on multiple stages for hours. And so I had to review all the footage. So like, I watched dozens of hours of real estate education from these people. And no one ever mentioned this to at all. And then so that's one eventually I was I had a little bit of confidence to start tiptoeing back into real estate from seeing everything fall apart. I mean, my parents lost it lost everything, they lost their house, they lost the creditors calling my dad wouldn't answer his phone, if he didn't know the number, you know, like that was just like, a normal way of 2010 life. And, and I got married in oh nine. So like that was just like, kind of grew growing up going through all that. So I bought my first piece of land for 1800 bucks, and I sold it for 3000 in Arizona, and then just started going from there. And I've now sold 50 I think current numbers should be three pieces of land. Wow. So it's been a two and coming on two and a half years.

Casey Brown  7:52  
You know, I guess one of the things that I noticed, I'm gonna say about four or five years ago, the a lot of banks started becoming they wanted to start reducing their risk in their land raw land only deals by making the borrower bring more money to the table. So basically, they're like, they're saying, hey, well, we're only gonna loan 60% LTV on on a vacant piece of property or raw land. So you need to either bring 40% equity 40% Cash, whatever the whatever the scenario was. And so you know, the there is a little more risk and just raw land but tell us a little bit about like, like how, without getting into anything proprietary necessarily as far as whether or not it's a secret or something of yours What how do you kind of go around let's start with geography. And you say hey, you know, I focus on land here, here and here. And then how do you basically go through take us through your process?

Unknown Speaker  8:54  
Yeah, so with you have to one super valuable thing you have to figure out is what is the value that you add? So I typically do not hit the hottest of the hottest markets. Okay, you know, right right now Texas, Florida, Idaho, those are some very hot ones right now. Because one of the value ads that we add in buying and selling land is usually land can take a long time to sell you know, but in the super super hot markets land is selling very very quickly so there's less than a value add opportunity I'm not saying people don't make money in those markets 100% People do you can move down in price point you could you know, move out in complexity for move to properties that have more hair on them there's there's value to be had there. Sure. But like some one of the one of the states I did quite well in I'm willing to say because I hit it recently and I'll probably be a while till here again is Ohio actually. I didn't quite well in Ohio. Yeah, I had some I had a few record breakers over there. One acre piece of industrial Property and a 20 acre piece of residential property with the old substation for 18. T server building. Oh, wow. Yeah, it was very little is a little literally like a 30 by 30 Cement shack that had some old racks in there. The family had never ever been to like the mom owned it and she passed away and the family never been there. So

Casey Brown  10:22  
what did those What did you're talking about AT and T shack I mean was, what was the, what was the value add move there, specifically just on that one?

Unknown Speaker  10:32  
Well, so the value that I add to the situation, because 99 95% of the time, I do not change anything in the land. So I don't change anything in the land. What I do is I give people the problem that I fix is the inland in general, most agents, especially for low dollar land, which most of the land idea with his sub $150,000, retail, most agents won't want to deal with land. Just try it, try to try your best try yourself. Call up three or four real estate agents who aren't your friends and tell them I want to list a $45,000 piece of land or a $50,000 piece of land. How many of them call you back? Yeah, I have I have a five acre piece of land. I think it's worth about $45,000? You know, we'd love it if you listed for me. Yeah, well, no, the chances of getting zero call back is very, very, very, very high.

Casey Brown  11:31  
So you bring that close fast cash? Here it is. Let's do it. Let's make it happen. So your your value add is on the buy side?

Unknown Speaker  11:39  
Yes, yes, it's on the buy side for sure. And also like 65 to 70%, the piece of pieces of land that I have been have been listed in the past three to five years. Okay, so they were listed before, but then the agent either does a such a poor job because let's there's no, I use agents in my business, I use them for evaluation, I use them for local expertise. So I'm not necessarily anti agent. But the way that the current system is structured, it's hard for agents to make good compensation on a $50,000 per sale of a piece of property. Because the most they could charge is you know, 5% aside, even though technically, there's no legal limit has been a realtor

Casey Brown  12:18  
talking about $5,000 divided by two is 2500 bucks. And that's $100 to drive 20 miles one way or whatever the case is for properties property that might sit on the market for two years.

Unknown Speaker  12:32  
And that's before brokerage splits. And that's before taxes, you know, if you've kept or whatever, that's before all those things, and it's like, I can go sell this piece of this house over here and make you know, X amount of 1000s of dollars, you know, so So that's that's for the value add in my situation.

Casey Brown  12:50  
doesn't beat him up on a 10% commission and say, Hey, I bet you won't do you know, I'm only gonna pay or I'm only gonna pay you whatever.

Unknown Speaker  12:57  
Yeah, my my business exists solely because there is that hole in the market. Yeah, there's there's that little hole. And that little hole, I'm able to I'm able to fit in there and do do make a nice little income for myself. And for my investors in that so. But yeah, so that is the value add piece that I do I make it easy sale for people. I'm starting to do bigger pieces of lands somehow. They haven't sold yet. But I have a few big ones that are that I'm going to put up on the market. That Yeah, could be could be fun. Yeah, the numbers are getting quite fun. Some of those ones in Ohio, by the way, just for fun numbers. So this is the funnest part about land is then if done well, you can make good money on land. You have to do you have to you have to do you have to be willing to put in enough work to get the job done. Off the industrial property, I bought it and this isn't just like, I've never bought property from someone who I felt was mentally compromised. As a matter of fact, right now we're dealing with someone who has had a recent medical issue. I think they've had a stroke or something. And we are as we talked to, as my acquisition person talks to her. She's like, Hey, she's a little bit confused. I'm like, Cool. Make sure her family knows everything was going on. That's right. Sure. Make sure. Yeah, make sure her kids know what's happening. And ask her about hey, did the kids know are the kids on board with this? We want to make sure everyone's on board with the situation. Yep. Dude lighter. Absolutely. So somebody either so yeah, no, yeah, totally. And it's just like, most of the people that we buy properties from they're well to do Yeah, most of most of them the difference between selling it for 18 or selling it for 30 on the market is not worth all the headache and all the things they have to learn. Yep. So one one of them in Ohio I bought actually through a lawyer I bought two properties where literally the client just hands the my one page contract to the lawyer and tells the lawyer talk to this guy to me sell the property and I talked to the lawyer the whole time. Yep. I've done that a few different times. And that property what I bought for 18,600. Okay. And I sold it for 65 500. Wow. So somewhere in there, so it was like a mid 40s. Yeah. Which is like, which like two years of work in the ambulance?

Casey Brown  15:21  
Yeah, that's right. Two years, we're gonna make one one little deal. I mean, and that was just a little industrial lot. What about the what about the other one?

Unknown Speaker  15:30  
The 20 acre one actually bought for about the same amount of money but 18,000 I sold that one for 72. I think I have not broken yet. The $50,000 Mark profit on one deal. Now also, like percentage wise land is just bonkers. Like to buy a property for 18,000. I sell it for 70. There was that several times the purchase price of the property. That's you know, that happens. Sometimes I may even have to hopefully double my money. But then I have problems. I have properties they have problems with I've, so far I've lost money on one. I have one other problem property that I'm currently dealing with. It could be a fairly substantial loss. Yeah. But yeah, that's kind of it is what is there? Well, yeah.

Casey Brown  16:15  
And so how do you go about like, obviously, you're saying that these are? So this is in Ohio. Now? Where do you live at? What's your Washington state? State so you're you're basically all the way across the country, from a plot of land in Ohio, a one acre plot of land in Ohio. Now, how does Tim find out that this one acre plot of land can even be bought? Like what's what's the, what's the process there? And obviously, I saw your your Trello board and how you had everything laid out and different, you know, you you you obviously have that systemized thought process. So I'm assuming that is probably some systemized manner that brings these deals to you. But I'd like to possibly hear a little more about that maybe,

Unknown Speaker  17:07  
for sure. So I am I do direct mail, I send off about 10,000 units of mail a month. So so that's what I do right now. My mail is scheduled for the next three months, two and a half months. So I did some work a little while ago, I have I trained my brother how to do my pricing. I haven't priced them for me because we set up for my land, we send off what's called blind offers. For my commercial deals, which I'm getting into, we send off what are called range offers, which I'm still experimenting with those. We'll see how they go. Sure. Because the blind offer, I don't do very much sales. It's more just getting the message out there. And if it resonates with someone that price then we're able to move forward or four. If I'm in the ballpark, then we're able to move forward. Because I'm not I'm not that huge on the sales. I gotta get better at it. I'm more on the marketing. Yeah, so I will choose. So how I get how I get to it as I made a macro, which is a computer program that I use to scrape Redfin. And so I scrape Redfin data for land, because the greatest thing about land is no one cares about land, the greatest thing, so there's no database for land, that's decent. Price has a pretty good one, but there's no neural database that I want. So then I'm able to tell by each ZIP code through Redfin, how many pieces of land have sold the past year, how many pieces of land are currently for sale? And what's the average price of each of those numbers, then I'm able to make a demand, you know, just a month of supply demand calculation. I do a lot of Excel, I really enjoy the Excel stuff. I recently learned what queries were in Excel, and they are very, very powerful. Then I basically give the I use that to pick zip code. So when I mail Ohio, I'm or Washington, because I live in Washington. I've mailed a whole state at one time, but I will only mail the zip codes that I like. So I might mail 100 different zip codes. I'll go to my data provider I currently use data tree. And I'll always have codes in there on my criteria, which I criteria are much that they own the property for a while. That's pretty much it. And then is the piece of land big enough to build on legally for that state.

Casey Brown  19:19  
Fly. How do you know if it's how do you know if it's what about China title kind of stuff? I mean, obviously, you run into some places where people are like, oh, yeah, I'll sail and then you run in and all of a sudden you're starting to make a deal and you find out there's a there's a rogue sister somewhere that's that's that raises all matters a hell because she it's in the family and she doesn't want to sell and I mean, I'm just just kind of going off there on stuff that I ran into anyway.

Unknown Speaker  19:43  
Oh, for sure that that does happen. I mean, for for the most part, you know, I don't deal with a whole whole lot of that because, you know, either everyone's on board or everyone's not if they're not on board. I'm not going to sit around and convince anyone to get on board. We've we've had family members killed deals all the time. I'm acquisition person with her inbound calls. And then also with following up with people does about 25 to 30 phone calls a day, on average, and they're so cool. Yeah. So

Casey Brown  20:15  
when deal fallen to the wayside, it's not a not a Yeah, we

Unknown Speaker  20:18  
kill deals every day. Yeah.

Casey Brown  20:22  
How many deals are you doing a year, like just just overall

Unknown Speaker  20:27  
last year, I started hiring people for months, and I now have a team of four or three or three, four, it depends on VAs and full time, part time. But last year, I bought 36 Sold 31. I bought some inventory into this year. This year, I'm probably gonna do a little bit less, but my deal size is going up. I have a few deals in the pipeline right now. That knock on wood, if everything if everything works out, one of them will be close to a six figure profit. And one of them could be it's not sold yet. And it's on the market right now. But it could be close to a quarter potentially a quarter million dollar profit.

Casey Brown  21:17  
Yeah, man. I know. I know it's in you can't go spinning that money before you make it. I've been I've been in the game long enough to know that too. So now, of course, I know that there's there's several questions that that pop up as as you talk and go through and look at various scenarios and so on so forth. But your your one thing that that that I have ran into, at least over the years is the quality of data. You had mentioned that data tree or data tree? What what do you do on a scale of one to 10? What do you think is the quality of that data? Obviously, you're you're still using them. So you must be fairly decent, but you don't have you? Obviously, the better the data, the more expensive it is to just like anything else. I mean, get kinda get what you pay for. But, but what's the data is just really difficult.

Unknown Speaker  22:08  
Yeah, so a few things with that one, data tree data is quite good. It also has a lot of vacant land data. There are other ones that have like prop stream and other ones that are cheaper. But their data isn't very good for vacant land. Or find vacant land stuff like I cannot in my current system, I cannot cross reference individual demographics with my data, like list source, you can cross reference each boat and you can't with vacant land, because it's based on a mailing address, and the situs address being something completely different. It just throws it all off. Now I do. And I'm trying to test so I can do hosting, that's something to hire my brother for that I'm gonna hire him to make that program anyways, I do have my team. Sorry, side note, I do have a VA team, who I give my day my data to. So I'll do a poll 15,000 units, okay, whatever, pull them all, get them all down there. Then I've made, of course, no surprise video trainings, from what you've seen on my Trello board, video trainings, and some educational stuff and criteria and a few Excel tools. And they will go through, and they will look at every single piece of data. And I have four different criteria by which a piece of data could get killed off that list. Okay. So then they will scrub out about on average, 15% 15 to 20% of that bad data. So that's a manual process. I want my brother to eventually build a program where we can just click a button and then we can see a screenshot of every single property. That way the ones that are that are, you know, 10 feet wide by 1000 feet long that show up is no. Yeah, yeah, yeah. So we can filter all those out quicker, another runner by him, but they filter out enough pieces of data. I pay them four bucks an hour. Yeah, they filter out enough pieces of data to save me about $10 an hour in mail. Yep. So it works out. And mentally, mentally, you have to get past that because all you're seeing is you're spending money and you're still sending mail to make money. But but my my team doesn't deal with like, for the most part, really crappy, weird pieces of land that come back because the data is a little janky or in Ohio in some areas. They for some towns, they will pre plot all of the all of like the main downtown, not the one building, but it'll be on for individual APN lots. One of those will be the house. The other three will show up as vacant land even though they're under the house. Yeah, that's just how the county does it. So Wow. So I claim my data to make it better.

Casey Brown  24:52  
Yeah, you know, when I realized that to win, so as my audience is very well aware I, the real estate sales businesses where I started several years ago. And so what I did in 2008, which was right around the right before the first bust, and of course, I'll, if any real estate agents are out there listening, you need to use this or think about this anyway. But what I did is I went to my local tax office. And I thought, and I said, okay, they let you, they let you reference out, and you can cross reference and get a curated list of whatever you want. And the thing I learned about the tax office was was that data, those people are going to get that, that that property tax bill, somebody somewhere that is that is related to or the owner of that property is going to get that property tax bill. And if not, the property tax officer is gonna get it returned. And then so I went down there, and I said, Okay, I want to buy a list of everybody that owns property, and we live in a Christian County, I want to buy a list of everybody that owns a piece of property in Christian County, that does not receive their tax bill and Christian County. So they might own a piece of property here, but essentially that that that filtered out that was the absentee owner list before the absentee owner list was cool. This is 15 years ago. Then from there, go through a process where you you just you just manually mail them out letters and and they get a letter and I you ran into people well, yeah, mom passed away a couple of months ago, we've been thinking about selling, we didn't realize the market was this high. We didn't realize this, that or the other. And now we'll sell and so when you when you really start coming down and curating that data and saying, okay, you know, you might I sent I think it was the first mail out I ever sent the stamps were like 40 cents, I don't know what they weren't always they were something like that. And so I mailed out like 1500 letters, so I'm into it. 600 bucks, and postage, probably another 600 and stamp are in labor envelopes, paper printer. So on. Okay. So I'm into for just just call it 1000 bucks. And and the first call I get the day the letters go out, is a lady that has 150 acre tracts of land that joins a Walmart distribution center. Now obviously, if Walmart distribution was going to, to move, to expand, they would have contacted. Nevertheless, what boils down to is is within 45 days of me mailing this letter, I was at an attorney's office closing 150 acre tract of ground for $750,000 at a 6% commission. So what I'm getting at is, is whether whether anybody wants to believe it or not, everybody can talk about API's. They can talk about input forms, they can talk about newsletter, signups they can talk about all of this, whatever internet stuff they want to talk about. But I'm telling you, when a person actually sits down at that dinner table, and slides their finger through that envelope and pulls your curated letter out that says Dear Mr. Jones, I'm interested in buying your piece of land. It changes the game. Here. Yeah, I didn't mean to take over what you were talking about. But I'm just but when you start discussing these processes and the processes that have to happen, each step has to be curated. And it has to make sense.

Unknown Speaker  28:26  
You You have to care about every step. So I have Sally the seller, seven, seven year old Sally, the seller in my head. And when I'm writing my letter, which now you know which now I use a, I use a two page letter. But also here's the thing, I use a two page letter, I do a double sided. So I have four pages of content that go to Sally, the seller to help her show that because I believe most reason why people don't want to sell to me, everyone who wants to sell to me knows about real estate agents. Some of them weren't former real estate agents. It's not like they don't know that they exist. There's a reason why they want to why they want to sell to me, and I think they're most concerned about am I a scam? Yep. So I have things in my letter to I have testimonials on my letter of hey, if you want references, give us a call, we'll come up, we'll contact you with our escrow department in that area. And you could talk and you can talk to them. I have a guarantee in my letter for my landlord or not for my commercial stuff, because more expensive, but for my land letter actually, I have it in there that the seller can cancel the contract all the way up until the day of closing. If they don't like me, because so many people want to do the whole lock people in lock it down and do all these different things. Hey, now they don't want to sell well now I'm gonna pressure them to do this and like, that's not that's not who I'm after. That's not sour. Sally's just had it forever. Her husband bought it when they went to Arizona and they had such a great time that like hey, let's buy this piece of land for 20 For $10,000.50 years ago, and now she has it and he's passed and she and her kids don't want to share it. He asked all the kids do you want this thing? This is the character I had. And, and all of them have said, No, we don't want that thing, give it to that piece of land. And then so she has to deal with it. And so that's who I'm dealing with, I'm dealing with a person very similar to that he wanted a piece of property not too far from me. And she land County, which hopefully, if the builder checks it out, could be a potential. If it weren't, if everything works out, could be close to an $80,000 profit, but she got it in an inheritance. And she's under for nine years. And she's never thought about and she got my letter and she was like, Well, why not?

Casey Brown  30:40  
Why not? Yeah, let's, let's let's, let's put what I can put in my pocket right now. And let's go on and let somebody else deal with the headache of rezoning or the headache of, of whatever selling,

Unknown Speaker  30:51  
finding an agent finding an agent that will call you back for an for, for not a giant piece of land for a small piece of land. And also with letters, my current deal rate is one one deal, one purchase deal out of 2200 letters.

Casey Brown  31:09  
So yeah, but but but 2200 letters at 50 cents a stamp, another 25 cents a letter 70 So you're talking $1,500 Basically, you're getting you're getting a purchase that makes even if it makes 10 grand I mean you're you're five times in your money.

Unknown Speaker  31:29  
I'm very happy I'm very happy with those numbers I'm I'm my current bottleneck is my acquisitions person, which she's doing absolutely great, but it's not just gonna be do I want to hire someone else. But so that's what I'm maxed out on pretty much my letters I could send. And I just do it all through whether they use rocket print, or it's called Postcard Mania. Yeah, they do a bulk stuff really nice and cheap, I buy a package of 120,000 letters for the start of the year and I'm just working my way down 10,000 at a time I send them a template and I send them an Excel spreadsheet. I don't look a stamp or you know, like an envelope or any of that stuff.

Casey Brown  32:05  
Yeah. So real quick, we're kind of running out of time. But what tell us just a little bit about investments crafted and what what you've what you've got, I know obviously we're in the land flipping business but as far as setting up, you know, you're kind of on the on the on the cusp here of of setting up a fund and kind of getting going with that.

Unknown Speaker  32:26  
Yeah, thanks. So investments crafted is it's kind of an homage to my video business called videos crafted, so investment scrap that kind of a little maj to that. So I do a lot of different things I do, I'm doing land, I'm doing direct mail for commercial stuff and start to get that going I have a lot of mentors in that space. And then also I know people in the land space who have deals. So investments crafted as a 506 C Fund, which means I can only take accredited investors but it allows me to advertise which is great because I also plan on doing direct mail to certain zip codes who are local to me so then I could potentially get get investors for that. So basically anything I tried to do I want to be able to use a lot of data and then direct mail or some sort of mass mass outreach method to then be able to talk with people so that's what investments crafted primarily it's going to be a debt fund I might have some equity offerings but primarily debt I feel more comfortable with it lowers it lowers the risk for the investor typically also lowers the reward to you know, because risk reward are related in there definitely, but But yeah, I mean right now you know, I have I have a lot of private lenders on my land deals been starting to take down bigger land deals. Yeah, just one year this is going to be about a 220 purchase that we just had a photographer go out to oh and by the way I don't really I used to go out to the properties locally my first year but I don't even really go out to my properties even if there are local yes they're there in my same county are two hours away I typically don't go out because there's not much more I'm going to get from going out there so

Casey Brown  34:03  
you've got all the analysis right there in front of you as to what what all is available and and and so on so anyway well good man that's awesome. He's what a business plan and all together and so many moving parts but yet it all comes down to one the nucleus of of that letter and and just just creating that that person to take enough action to call you or call your your acquisitions person and whatnot. So Well, Tim, first off, I want to thank you for everything you've you've dropped here today and I hope that the the listener has has gotten some value out of of what you've brought. But real quick, how can the listeners reach out to you if you know if they want to find out more about your phone or, Hey, maybe somebody is listening, that grandmother has this property they want to sell their home or whatever the case may be? What how can I how can a listener reach out to you and get in touch and learn more?

Unknown Speaker  34:54  
Yeah, so the easiest way would simply be just my website investments crafted.com investments Have an S. And then my email is info at investments crafted. And yeah, that's pretty much the easiest way there. I keep my other brands kind of no specific format letter. Sure.

Casey Brown  35:14  
Yeah. Well awesome, Tam. Well, thank you so much again. We really appreciate everything you've dropped here today. And we want to thank the listeners for carving out a little bit of your time to sit and listen to Tim and I jabber about land acquisitions, which sometimes are can be painful, sometimes they can be very profitable. So anyway, Tim, thank you, sir. We really appreciate your time.

Unknown Speaker  35:38  
Thank you so much, Casey. Yes, sir.

Transcribed by https://otter.ai

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Timothy Krause

Investments Crafted