In this episode, the full tactical breakdown of a 32-acre Louisiana subdivide is laid out, a three-child-parcel minor subdivide with parcels priced above $300K each that sat completely offerless through 20-plus site visits over multiple months. Originally underwritten during a mini bull run, the deal stalled as buyer demand evaporated, with local realtors citing the slowest land movement in over 10 years and Louisiana’s statewide home values sitting roughly 12 to 13% below income-adjusted levels. Every Dispo tactic used to force an exit is covered, from Facebook boosts at $100 per week to Hormozi closing scripts deployed live at site visits.
Key Takeaways:
- Price Cuts Into a Vacuum Backfire Cutting price only makes sense when buyer attention already exists; slashing into silence destroys margin with zero upside.
- Hormozi’s Framework Applied to High-Dollar Land Sales The “1-to-10” scale close was adapted for $300K-plus parcels, with pre-filled offer sheets handed to site visitors on the spot to force a decision before momentum died.
- The Spouse Objection Has a Workaround A non-binding, unsigned offer sheet lets hesitant buyers take a number home to their partner, keeping the deal alive without pressure or awkwardness.
- Shorten Listing Agreements to Tighten Realtor Alignment Compressing the listing term from six months to three to two months signals urgency and keeps everyone’s incentives pointed at speed over patience.
- Contingent Offers Require Comp Validation Before Accepting The accepted contingent offer only worked because comparable homes in the buyer’s neighborhood were going pending in 3 to 14 days, making the contingency a calculated risk rather than a blind concession.
Listen to the full episode for the complete post-mortem on what worked, what failed, and how a single commission negotiation down to 2.5% squeezed out one final margin win on an already razor-thin exit.
(Podcast transcript below)
Welcome to Get Serious. We’re at Serious Land Capital. We have successfully funded over $6 million worth of land deals with industry-leading 41 % operating margins. So today I wanted to provide a strategic and tactical update on this deal that ⁓ we’ve been working on for much longer than I anticipated. It was this ⁓ Louisiana subdivide. ⁓ You can search the archives and the
a serious news newsletter if you want. I’ve been writing off and on about it several times ⁓ over the past year and all of our technical adjustments and running the whole minor subdivide. ⁓ So I won’t belabor a lot of those points, but bare minimum here, this was a roughly 32 acre purchase ⁓ in one of the nicest parts of Louisiana, ⁓ three
child parcel split with driveways and home sites ⁓ created for each of those child parcels. So it was basically turnkey ⁓ for home development ⁓ minus septic install. So ⁓ that was the situation here. And ⁓ we had originally
purchased this one roughly a year ago, you recording this at the end of March, 2026. And it took a few months to run through the, you know, survey and parish approval for the child parcels and then get to get the actually actual value add done. you know, we were listed with one of the child parcels by early June of 2025 and the other two.
⁓ by early July of 2025. ⁓ that entire last year, that 2025 period was just super quiet. ⁓ We had ⁓ priced these parcels competitive to the market. ⁓ And there were a bunch of solid comps that indicated we could get
certain pricing on it. And, you know, very unfortunately, I mean, some of the times that this is just what happens is why you try to build so much margin to land deals is just, you know, the market starts to turn on you and buyers dry up. And really, we had underwritten this property, you know, kind of at the end of that mini bull run of start of 2025. And then,
post tariffs and so forth and continued trending towards buyer’s market in a lot of parts of the country, ⁓ especially for ⁓ more expensive lots, which these ones were priced at over 300K each to start here. So there was already a limited buyer pool ⁓ for these. ⁓
There was just effectively no buyers. It was crazy where, again, I talked in a lot more detail about this, but ⁓ to kind of catch things up, mean, realtors and brokerages were just mentioning, yeah, we haven’t seen land move this slow ⁓ for close to 10 plus years, roughly. And so they were kind of scrambling and it didn’t really make sense to cut price, cutting price into a vacuum.
like I’m a huge proponent of cutting prices. Like, I’m probably pull that trigger faster than a lot of investors, ⁓ to move things quicker. ⁓ but when it’s into a vacuum and the buyers don’t, aren’t there, like it can be, ⁓ kind of shooting yourself in the foot, if you’re not getting the attention on your lots anyway. And so we were just kind of in a holding pattern. Luckily we had lower, lower closing costs.
are not closing costs, carrying costs associated with a parcel and all of our other inventory was moving so well that I was just less concerned about this particular property, even though it was bigger bite size and a lot of investor involvement as well. And, you know, we started getting more aggressive in it by the end of 2025. And, know, we had
utilize a lot more of the Reventra data. You can hear me talk about Reventra oftentimes. you know, interesting to note for like that particular parish in Louisiana that we had bought this property is like clearly the highest home value. And, know, bougiest to use that term out of all the Louisiana areas of that particular state.
Interestingly, like statewide within Louisiana, the homes were actually undervalued by at the time of this recording, something like 12 or 13%. Like that’s pretty, ⁓ I think it’s actually the most undervalued ⁓ state. I’d have to double check that, but I’m almost positive last time I looked at it, which is pretty interesting because like almost every other state is actually overvalued. Again, no surprise given the, you know,
super high prices in relation to income across most of the country. you know, even though from a per acre perspective, we might have still been priced correctly, like the market hadn’t necessarily caught up to what incomes would allow. So was almost in a weird place where buyers probably had more capacity in relation to
underlying land value, but the land and home values were still depressed in relation to income. So that’s kind of the opposite of everywhere you see in the country. I’d rather have that to deal with compared to the opposite. ⁓ But it still was hurting us in terms of what ⁓ buyers might have had the potential to actually purchase. So we started to try to get ⁓ more creative.
in a lot of angles and, um, you know, again, toward the end of 2025, again, I would say price solves almost any problem you have with moving land. Like if you cut enough, eventually it will sell, um, you know, pretty much regardless of, of what you have, uh, it’s just whether you’re to lose money or not. Right. Um, and fortunately we had a lot of, uh, margin on this particular property. So we started, okay, let, let’s, you know, start cutting this down. Um,
And, ⁓ and again, this was around the holidays. So it’s like, okay, we can do a cut prior to the holidays, but we also know it tends to be slower in that locality. So again, we don’t want to cut into a vacuum. So there were some strategic price cuts in, in place. ⁓ and we didn’t like really start to pick up the pace of just price cutting, you know, every few weeks, roughly, until after the end of January.
just about once the spring season started to ramp up. Plus there was just a bit more buyer activity anyway. ⁓ and we had a long enough hold time on the property where it’s like, you know, macro wise, we don’t see the situation getting any better here. Like if we think we can get the capital back and deploy it into something else, or again, the underwriting has just inherently changed compared to when we bought this property, like let’s just exit out ASAP.
⁓ what, what, what’s not try to hold on for, for longer, which, know, that strategy like almost always comes back to bite you. If you think, and outweighed and just kind of be patient, ⁓ compared to, moving something like if things aren’t really moving within the first few months, ⁓ of listing a property, ⁓ like almost assuredly you’re, you’re better off just, trying to pull the trigger.
getting more aggressive with Dispo and just, ⁓ just, ⁓ trying to, trying to move it ASAP. And so we started heading in that direction. ⁓ and that was coupled with a number of other tactical shifts as well, too. Again, they’re like, there’s only so much you can do from a Dispo perspective. Like there’s a lot of, ⁓ again, tactical items. ⁓ but really.
almost everything centers around pricing. ⁓ Pricing is by far the most important factor. All the rest of them are kind of like ancillary. They might help you out a little bit. You might get lucky on some of them just to open the door, smidge to get some other buyers to potentially get some looks or potentially get some offers. ⁓ But again, when things are kind of…
going so slowly and you’re not getting the site visits, you’re not getting the, you know, even verbal offers. didn’t even got any verbal offers after like six plus months of whole time. It’s like, okay, we, really have to explore what else can we do to move this thing? Um, so I’m just going to run down a number of those, uh, tactics. Like all of these probably deserve their own podcasts, but like this is more of a demonstration, um, on how creative you have to be when you’re like,
really facing some fire, right? Like this is again, like wartime scenarios, right? ⁓ And you can see like from, you know, last week’s podcast, my newsletter, like this is ⁓ by most metrics, like the hardest buying environment ⁓ in the history of the U.S. for at least the last hundred years, as far as like data that we have here. So like, you have to be ⁓ just exceptional in terms of…
what level of effort you’re going to do to move properties and how creative you have to be ⁓ or what hard choices you have to make in order to get things to move here and how to balance patience and urgency while trying not to lose money ⁓ as really the number one goal. that is everything to kind of keep in mind here. ⁓ And so one of the avenues that we attempted to do was ⁓
running a Facebook, ⁓ boosted, ⁓ listings. So we had already had these properties up in Facebook marketplace for months. You know, Facebook, as you well know, like it oftentimes we’ll get activity, mostly tire kickers, from pretty much everything. And I had heard John Jasney, talked about, I mean, we’re a significant number of his leads. ⁓ even, serious leads will come in through Facebook and he boosts, ⁓ you know,
⁓ most of, his listings there. And I know a lot of his stuff centers more around, ⁓ owner financing, which, ⁓ is just, you know, key to denote it’s going to be easier for more buyers to, come in, you know, less inherently expensive, ⁓ parcels. And it’s not like we didn’t advertise owner financing. We had had that up on our parcels almost the entire time. It’s just, ⁓ no one really inquired about that. while we,
while we had these properties up, they were going to be looking at cash purchases or traditional ⁓ financing was kind of the route. ⁓ hearing that from John, it’s like, OK, may as well, like, let’s experiment with it. Like, we have very limited budget still to work with. Like, we didn’t want to keep throwing more money at this particular property. We had tried a lot of other experiments doing ⁓ mailers out to neighbors or larger.
landowners and so forth. ⁓ Yeah, we had done direct dials to builders and LLCs in the area. Just like none of that went anywhere. ⁓ And so we had burned a lot of our limited marketing budget. Like we only raised enough money to kind of purchase the property and have very little left over. So we didn’t want the extra ⁓ drag on ⁓ capital costs.
Um, within the account. so it’s like, okay, you know, Facebook, could, um, you know, across four listings, because we also listed the parent tract later on as well to seeing, you know, there was some interest, which was unusual for us. We probably should have done that earlier on. It’s like, instead of just the three child parcels, which were each developed on their own, it’s like also list the parent tract. Maybe someone wants to take it down all on their own, like build their own house on it and like develop the others later.
have it as their own like longer-term project. We had some interest for that later in 2025. And so it’s like, okay, let’s actually list the parent tract. That one hasn’t really gotten any stronger hits on it, even though it was priced at a per acre basis less than all three of the child parcels separately. So it was, you know, discounted.
but still, know, an expensive parcel. ⁓ And so it was going to cost roughly $100 per week to boost all those listings. And our realtor who has been with us through every step, been responsive the whole time, and obviously was going to like not make nearly as much money as we anticipated ⁓ coming into selling this property. It was like, hey,
His brokerage will pay for half of the Facebook ⁓ leads here. And like, was keeping a close eye on the results there. Like, Hey, we’re, if we don’t get like real serious leads here, probably no more than, you know, three weeks, maybe four, ⁓ to, run these and then just shut it down. And like, he’s continuing to get more leads. that we’re actually throwing out some.
you know, not fully drafted offers saying, would you take this number here? like, Hey, anything we can get here, like we are all ears to try to negotiate, and just exit these properties and our realtor, fortunately it was, ⁓ you know, after we pulled the plug and saying, Hey, we don’t want to commit more funds to the Facebook leads, ⁓ given our limited budget here. Like he was saying, Hey, I’ve seen enough, ⁓ to like still continue it on. And like his brokerage was going to cover for it. So.
Like that, that’s also ⁓ just a good sign when you can find the right partners who are incentivized to like figure out really rough deals. ⁓ and they might, ⁓ you know, throw in some additional skin in the game, just to get things over the finish line. So that’s what we did from the Facebook side. which was, you know, worth a shot. Sometimes it’s going to work better than, than not. Like it was still generating a lot of activity. Was it generating like an actual by lead? ⁓
and turning into real site visits, still lower hit rate compared to the MLS. So some other avenues that we tried, and I should mention, as we cut the price, naturally we got more activities. And the land market, real estate market in that local area started to turn around by the end of 2025, early 2026. And so we started getting some more activity.
like routine site visits, usually at least one or two a week. ⁓ going, ⁓ going out to the property. and like really encouraging signs. Like we’ve had some properties that were struggling to sell. Like we were just getting like no site visits at all. It’s really bad. that’s how we had started off, but now it’s like, okay, we’re finding the right strike price here. This is getting attention. People are going out there. ⁓ but we just could not get a.
⁓ an offer like let alone a verbal one. And I, had like given direct, instructions to our realtor here. Like this is effectively a fire sale for us. Like just get a number out of these people, ⁓ that go out there and like, you know, do whatever it kind of takes to just say, Hey, like the seller is going to be more cooperative with this than you might realize. Like just, you know, throw something out there.
Um, but it was just super frustrating that we were getting so many site visits. mean, we, we must’ve been 20, 30 plus, um, site visits without like a dedicated, uh, offer. So many people who seem to be like right there. Um, and then they just ghost or just leave or say, yeah, we’re not interested anymore. Like, um, very unusual. Uh, I mean, usually when you’re getting that many site visits, I think like generally the rule of thumb within real estate and even.
homes, it’s like you might get one offer per 10 site visits roughly. And that was just not the case here, which I think again, like just spoke to how deep of a buyer’s market is and like, just so many people are cautious when it comes down to like actually wanting to put money towards something that people were just very risk averse to actually move forward.
⁓ even if they knew they had a very cooperative seller, on the backend and like sometimes it’s just, you know, it’s hard not to let like the emotions kick in a little bit here. It’s almost like you want to reach through the screen and like shakes on these buyers. Like, why won’t you give us an out? Like we are like ready to sign the paper if you just do that. But like ultimately that, doesn’t help anything. ⁓ it doesn’t help the realtor. Like if you’re expressing frustration and disappointment and so forth, like you have to, you know, still maintain that logical.
⁓ even keel demeanor of just like taking the data in that you have and then adjusting decisions, accordingly. So like, it’s one thing to say that it’s, ⁓ another thing entirely to actually, you know, behave that well, ⁓ behave that way and, ⁓ you know, act in that manner and not like just throw up your hands. Like, God, this is just, it’s so hard to deal with. And again, like especially
frustrating when we had our best year ever and like exited all the rest of our portfolio from 2025, um, like just excellent profits. And this was like the remaining property parcel within our portfolio that had most significant investor involvement. Um, and you know, we had three child parcels and like, couldn’t get an offer on just one of them. Like if we could get one, like that just buys us a lot of time and goodwill.
⁓ and so it was just like this ticking time bomb, like, man, the market continues to worsen. We just cannot figure out our way out of this one. And, margins continuing to shrink with, price cuts that, ⁓ that, that kept happening. like that, that’s just share a little bit more of the psychology behind the scenes of, you know, the inherent pressure, ⁓ we were, ⁓ dealing with. So, ⁓
That was another piece that was going on here. And, ⁓ again, jumping around to some other anecdotes and tactics and strategies that we were utilizing and data points that we were, trying to work off of. like, you know, every time somebody would say no to a certain property, it’s always just like, can we figure out why? Like what, what’s, what’s the reason that’s preventing them from moving forward here? Like what else can we do to sweeten the pot? and.
So many folks were just kind of determining, for this amount of money that I, like, I can get a decent home. Like they didn’t want to go through the work of building on the land, even though we had prepped, you know, so much, was like basically as turnkey as possible. ⁓ but still compared to a, ⁓ you know, fully built home. I mean, it’s just, obviously the ladder is going to be easier to deal with for, most buyers. And again, just, you know, it’s the buyer pool that they, they, they are kind of calling the shots. ⁓
at this point, or at least in this locality that we were operating in, it was just very home hungry buyers ⁓ compared to ⁓ moving land. And so we had to take that in stride as well. And I know I’ve remarked on the strategy before for some other properties we’ve looked at, but can you apply it to ⁓ other parcels that you’re working on? in this case, we already knew there were a couple of custom home builders that
tried to show our properties to their clients and they were kind of wishy-washy about it too, like earlier on in the process and so forth. And then we wanted to explore, okay, ⁓ if you guys prep a initial ⁓ custom home design here that we can basically co-market the property with, ⁓ potentially we can come up with some type of…
partnership that is almost a land home deal that like allows us to exit out for the price that we need. then, you know, the, the buyer can basically get approved for a loan for the house they want to build on the property. that exits, exits us out. still soon, we don’t have to wait for the completed home, but we just have to wait for the loan approval. And then, you know, the buyer goes through the process with the builder to actually get the.
the home built. So that is a successful strategy if you have the right relationships in place. know, you know, some folks who have pulled that off, successfully. we tried to start these conversations here. ⁓ but again, a lot, a lot of the home builders in the area were struggling too. And so even though our realtor, ⁓ had relationships with them, ⁓ and had done deals together with them, like it was just hard to get in contact with them even after they had expressed interest. it’s like,
Okay. There’s only so much we can do for each strategy we pursue here, but that’s at least something that ⁓ we explored further. ⁓ Additional pieces here is just like, clearly we were struggling on the conversions. Our lead volume was going up, but we couldn’t convert anybody. couldn’t get any offers. like, again, there’s only so much, you know, I can do. I’m not dealing directly with the buyers and another state and so forth.
⁓ you know, I would have to work through our realtor and so forth. And again, other people can say, you could just list for yourself and sell the property yourself. like, yeah, we potentially could, but like these particular properties, there was so much nuance with the site visits and having somebody who’s local and understands the area, certain cultural aspects and, ⁓ where I didn’t think that it was going to be as effective.
And I really didn’t, like, I think our realtor was ⁓ doing everything that we were asking. And he was like, always responsive and taking in feedback. was like, you know, sometimes the market’s market and like looking for a scapegoat or trying to figure out, Hey, we just like need you to be better here. is not necessarily going to be the best pathway. Sometimes it is, to where you have to play some hardball and like, Hey, you’re not performing up to expectations, but that was not the indication we were getting.
And so it was more of like, okay, what else can we kind of coach in? Like, and you want coachable people, right? You want to, mean, everybody should want to be a coachable person. That’s the only way you get better at anything. Um, and so it was like, okay, if conversions are the difficulty selling this property here to like our leads keep going up, we’re getting site visits all the time. Um, what else do need to do here? And so, uh, you know, go to the hormones script, right? Um, that’s why I had, you know,
Gone to that, you know, a hundred million, ⁓ dollar money model launch and you got the 200 books, ⁓ package and got all the extra a hundred million dollar, playbooks and like the exact closing scripts that her Mosi and his team will utilize. And so I took key frameworks of that, scanned them into our realtor and said, I needed to print out and study these scripts. Then we can even role play ourselves. ⁓ but I want you to start utilizing some of this, with people who are out.
⁓ looking at the lots primarily during site visits. ⁓ but also via the phone when it, when it makes sense and you have to adjust some of the script because, you know, real estate and, know, selling land, ⁓ you know, some of Formosus scripts is more oriented towards, you know, info products, or, you know, smaller physical products like supplements or something like it’s not always going to apply one to one.
But you can take some of the frameworks and adjust it to, ⁓ the, real estate side, is again, much larger purchases, right? Like 200 and 300 K plus purchase prices, ⁓ is ⁓ just a different animal, ⁓ compared to even expensive info products. so like, and again, fortunately our realtor was all game printed out everything started working on it and, you know, adapting the script and, you know, key, the ones that I thought were the best for this.
some were just like the general closing scripts, which, you know, one of my favorites is just like, okay, like on a scale of one to 10, like, ⁓ how close are you to, ⁓ you know, purchasing this program or this, you know, land and so forth, like 10 being, you know, absolutely gung ho and just trying to get people’s baseline. And then like, if they answer, you know, six or seven or an eight or lower.
Like you just, ask, Hey, what, would it take to get you to a 10? And so then you can start breaking down. All right. What are their objections and then determining, okay, what else do we need to solve? Because we as the sellers had so much room to work with. it’s like pretty much anything these buyers want. Like we will be able to accommodate, ⁓ you know, short of, ⁓ you know, changing the actual landscape itself or like building a home or something on it. Like that, there, there were some lines that were going to be.
unrealistic for us to cross, you know, almost anything shorter that, ⁓ was, you know, something we could be game for. So that was a primary closing tactic that our realtor started using. And then other ones where we just kept getting objection after objection was just, and I’m sure a lot of you guys on the acquisition side get this all the time as, I need to talk to my spouse, ⁓ know, wife, husband, whatever. And that happened so many times for us.
Like even during site visits, you know, one, you know, partner would be out there and they’re like, yeah, I need to get my wife out here or vice versa and so forth. Um, and then they would just ghost us. Um, and so it’s like, okay, we really need to adapt this script here to just like, okay, can we still get a decision point? Hey, even, um, you know,
Obviously. Yeah. You, you, big purchase like this. He, you want to have your spouse involved and so forth. Um, and we like, but here’s like a non-binding offer. Um, you know, it can just even start the conversation with the seller. It’s not even countersigned here yet, but like, if you just want to write down, Hey, what, what’s the kind of number you’re thinking of, can at least take it back. Like we can start taking the steps in the right direction. Um, and you can take it back to your spouse and so forth. Like just.
finding a way to keep greasing the wheels to get people to commit and keep moving forward. and, uh, again, being their, their advocate to like not trying to like that, that’s the thing with her Moses closing scripts too. like, it’s, and you’re not trying to be pushy or force people in a certain direction. It’s just helping them come to the realization that, uh, uh, this decision is something they have personal capacity to move forward on and, um,
getting to the root of their psychology on determining that they actually want to do this. ⁓ So those were some of the tactics that ⁓ we ⁓ utilized. I think there were some other ones like about the money objections as well here too. ⁓ And so our realtor was using this and I encourage our realtor, hey, like when you go out ⁓ to ⁓ these site visits, like again, this is similar for the acquisition side where it’s like, hey,
get on a phone call and or a zoom, what have you, and have the seller sign the PA while you’re on the line with them. Like don’t, don’t let any time pass. Cause it’s just, yeah, people lose focus and they just, they drop off so quickly. Um, it’s like, and I was like, you know, just have a folder filled with, um, uh, you know, pre-filled, uh, offer sheets for all of our parcels. And so people can just sign a hard copy right there.
like let’s not go back and say, I’m to get you a docu sign over later and you can sign like, let’s try to keep the action. They’re out of the property. They love it. We kept getting so much great feedback. Well, let’s take advantage of that, momentum and get people to sign. So that was another tactic that, but I suggested over to a realtor again, he printed out and followed through with this, right, right away there. ⁓ Getting towards the end here. another one, again, this is just to show you like,
This was our number one priority. had to sell these lots. Like what do we have to do to get, get, get this done? ⁓ and that any, any little, ⁓ adjustment or data piece that you could utilize that could help, ⁓ move things like you have to be able to diagnose and put into action right away. like what we were in contact with our broker, like every single day about this property. so another piece too, is just to routinely reassess the underlying market.
⁓ so, you know, we had initially underwritten this deal like a year ago, which is just going to be materially different. So I wanted to see what was actually starting to move over the past few months and so forth. And we occasionally did this. ⁓ it’s hard to like fully reassess markets more than maybe once a quarter or so. think things usually don’t move that much faster than that. and it was notable that land was starting to move.
at a greater pace at the start of 2026 compared to like the entire mid 2025 and late 2025. Like it was almost just completely dead across that entire parish for that period of time. ⁓ and so I started to figure out some other listings that were moving and like, are still priced competitively here. some of these other parcels, which are inherently worse in characteristics, they don’t have all this work done. Like they’re moving at a higher PPA than what we have.
Yes, we can always lower price more, but like we are effectively undercutting the market here, which is like a good sign. And some, some stuff is still moving. ⁓ so we had to take that in stride and determine, all right, like why did some of these other ones move? Or maybe there, there’s some other buyers out there, who were looking at these other properties that moved. And like, some of them did take a while, like they were 400, plus day listing timelines, like, you know, well over a year, stuff that, you know,
we would generally not try to target for. Like we’re always, you know, try to be sub six months whenever possible. ⁓ but yeah, it was notable that some of these properties, like they took a really long time to, actually move. And so what we did in that instance, ⁓ again, our realtors smaller town, you know, trying to determine, ⁓
What, um, you know, maybe he knew some of these other brokers locally who could, you know, provide some further info on, on how some of these other parcels moved and like looking at the listing agent for some relatively similar properties, but, um, you know, that were very recent sales, uh, and just seeing, okay, like, what was the situation there, um, going on? And so it was like, told the realtor, Hey, can you call this listing agent? Like, just get the story and then also figure out like,
Does she have any other buyers who might’ve missed out on these ones? Like she can get, you know, another commission, by bringing them to look at, our properties. ⁓ so like, and again, our realtor called up, you know, within the day, got her on the line and, know, already started the conversation and, know, some of the back and forth there again, you’re only at the, ⁓ behest of these, ⁓ you know, other people, so long as they’re willing to put the effort in this particular agent, you know, again, it was just a bit flaky.
I kept saying, yeah, go find these other buyers. did have another list here. And then like, she just never really followed up with it. ⁓ and there’s only so much you can do to like, keep on top of these people. ⁓ if, if they’re not one you have like a super direct relationship with. So, ⁓ but still another avenue that we pursued, ⁓ because it’s just like worth turning every single rock over, when, when there’s a deeper struggle.
And then one other piece here right before I get to this offer that we got ⁓ is that, you know, we always want to maintain incentives across everybody involved with the particular sales process for the property. So even though our, like a realtor was, you know, following every direction we were giving him and just responsive and so forth. ⁓
We also had to be mindful of like internally the pressure that we were facing from our investors, which wasn’t outward. want to be clear with that. but like, and even though our investors would say, it’s, like we’re, trust you and so forth, which I very much appreciative. Like I have my own standards that I want to maintain. and you know, promises that, that I had kept, ⁓ to, ⁓ to get my money out.
both for myself, had deep skin in the game for, for this particular property and SLC. but also I investors money and like figuring out, okay, what, what else do we need to do? Like how tight, you know, there’s already a tight leash on myself. like what else can we do to like, keep incentives tight of like, Hey, this is very clear. We need to move these ASAP. And so with our realtor, you know, initially we had a six month listing agreement. then we went down to three months, you know, like further incentive pay like.
This is, we really have to move this up and again, like not blaming, but it’s just, we want that incentive to give us out if needed, ⁓ and just show, Hey, we’re all under pressure here to move these things. And then that three month one ran out too. And then it was like, ⁓ Hey, let’s do two months. ⁓ like we have to move these properties, like whatever it takes us, bring us an offer. ⁓ and so like that was another dynamic and tactic that we utilized. ⁓
Again, just to ensure alignment across everybody involved with this deal that like, speed is all that matters at this point. Like we’re, not going to be nearly as profitable as we thought on it. but we want to get out with hopefully some profit, ⁓ at a minimum, not losing money on it, which we still had significant margin for. And those are the numbers I was really keeping like keeping me up at night here is like, okay, blended exit across all three of these, like X is the number that we need to hit.
And it was just starting to shrink and shrink and shrink. okay, this is just getting really cagey here. And meanwhile, like the macro economy has continued to become more volatile wars and stuff. And ⁓ just not easy to operate in tremendous amounts of pressure. Again, number one rule for any investor, regardless of the environment you’re in, like don’t lose money. Like that’s all I was thinking about for these properties. ⁓ Not about how profitable they… ⁓
that they could be at this point. So finally, ⁓ we did get like a written offer on one of these properties after multiple site visits, back and forth, you’re super serious buyers, this newlywed couple, I guess they were previously married, divorced their previous partners. Now they had two homes they had from their previous marriage and they wanted to sell one that was also in Louisiana. So their offer was contingent on them selling their house.
which I was cautious of, we have never accepted an offer where that was the case prior. And so I really want to understand the contingency and the dates and so forth. and, ⁓ understanding the underlying market for their home and how likely it was for them to sell within that period of time. And very fortunately, ⁓ like that particular area in that neighborhood, there were a lot of other comps, ⁓ moving even very recently within like the past.
a month or two that we were accepting this offer where homes were going pending like within three, four, ⁓ no more than really 14 days on markets. We felt more comfortable, okay, with the contingency here. ⁓ By the data, ⁓ even though the market’s continuing to worsen here, more than likely these people will be able to sell their home and they’re not necessarily overpricing it either.
I get some fairly, ⁓ fairly marketed and fairly priced, ⁓ in relation to, to what’s moved. ⁓ plus again, it’s contingent. So we could still show the property, still get other people to make offers, but they will have a right at first refusal, ⁓ to accelerate their bid on the property if another offer came in. ⁓ and so they came in with this particular offer. We were able to bump them up, ⁓ a bit more, ⁓ you know, fortunately, again, we instructed our broker like, Hey,
We will bend over backwards, whatever these guys want. If they don’t want to accept any of our counters, it’s fine. ⁓ like we will take this cause it was over the threshold that I needed to see and gave us a, a win that we could bring back to, to our investors here, but by us some more breathing room, ⁓ saying, was trying to sell the other two properties. And so, ⁓ there was only one other clause within the contract that it was like a little concerning. We had to go a little bit back and forth.
⁓ because the driveway for this particular child track, actually crossed one of the other child parcels. So there was going to be just a servitude and the easement that we were going to build in. Like very minor, like barely brushed it over. ⁓ but we didn’t know that was going to be the case until after the mapping process was done. And then when we got the groundwork done, like it made more sense to do it this way, it would cost us less. ⁓ so.
It would have been easier just to do the easement, but with some of like the attorney review on the buyer side, they just wanted a full remapping done, ⁓ which was fine. ⁓ like it was just slightly more expensive, ⁓ to, ⁓ to do that. And you have to still go through the approvals again, which is like, again, not, not a big deal to do that. ⁓ but again, just something that we wanted to have full clarity on before we signed the counter offer on, which is again, like just always look at all the words there, make sure you’re not signing anything and.
know what all the costs are. Um, and again, because like we were so cash strapped within, within this particular LLC, it’s always like, Hey, just ask what else can we put off as far as payments here? Like this surveyor, is he okay getting paid when we actually close on this property? Um, uh, and our broker’s like, yeah, that seems to be the case there. And even if the surveyor wasn’t our broker again, who had built up this relationship in the rapport with he’s like, Hey, my brokerage will
cover it ⁓ until the time of close if needed. So that puts us off from having to incur extra capital expenses on a property until we actually get income coming in. So whenever you can build those structures in place, that’s always going to be to your ⁓ advantage ⁓ as well.
let me think if there was anything else, I know I threw a lot at you, but clearly like there’s a lot going on with this property. Like what land is complex when, ⁓ you’re, trying to move stuff in, ⁓ a reasonable, ⁓ timeframe here. So yeah, went over the contracts, the contingency that we had in place. ⁓
Yeah, no, I think that that’s just about it. So it was, you know, obviously felt good to get something under contract and knowing, ⁓ you know, it’s always worth making a counter, even if you know, like, you’re going to be the one back to back down. Like I made it super clear to our, our realtor of like, Hey, we, ⁓ are not playing hardball at all. ⁓ so if you get even the hint that this buyer, like, it’s going to walk from, you know, the, counter here, like don’t push back at all. Just.
you know, we will take it and, ⁓ you know, move forward, accordingly, which again, just in this market, like pretty much anywhere in the country, like that’s just the position you’re going to be in as a seller more often than not, which is why it’s so important to build in that extra margin on the buy side so that you can, ⁓ concede, ⁓ as much as, necessary, ⁓ when, when you’re operating in such a
difficult conditions here. So that’s
That is where we’re at. Oh, last thing from it is just our broker had noted that the buyers on their original contract didn’t indicate what they were requesting for their agent as far as commission. And so we assumed like it was going to be, you know, standard 6 % 3.3 across the board, but our agent was like, Hey, like just propose 2.5 % to them. Um, see if they’re willing to, to, to eat that. Um, and they did accept. So, you know, that alone saved us.
like a little over 1000 bucks or so that’s going to be into our pocket and save us a little bit more room on margin. ⁓ Plus helps eat some of that cost that you know, the remapping process has to go in. So yeah, people can advocate on your behalf or, you really try to, you know, eat out a little bit more. ⁓
you know, cost savings where possible. That was just another, uh, another thing that worked to our advantage. So with all of that in mind, if you got through this to this week, this is the last week up until a Sunday. So what is, early April? I wouldn’t say April 4th, um, Easter, uh, yeah, whatever day Easter is, um, is the last day to buy into, uh, Kellyn’s early bird, um, uh, effortless, uh, business bootcamp.
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