Show Summary
Sterling White joins us to talk about the obstacles he had to overcome to start to see success in real estate, and shares his advice on how you can do the same. In the Taking Action segment of the show, we dive into how to build your pipeline with leads, so you can fill your funnel, and share some thoughts on how forming a partnership may be the right move to help your business. Check it out!
Highlights of this show
- Meet Sterling White, Ohio based real estate investor and Co-Founder of Holdfolio.com.
- Learn some of the obstacles that Sterling faced to achieve success as a real estate investor, and what the turning point was.
- Taking Action: Join chat about how to build your pipeline and fill your funnel with leads.
Resources and Links from this show:
Listen to the Audio Version of this Episode
FlipNerd Show Transcript:
Mike: Hey, everybody. It’s Mike Hambright with FlipNerd.com. Thanks for joining us for this episode of the Expert Interview Show, where I interview leaders and entrepreneurs from across the real estate investing industry. We’ve got a great show today. I’m here with Sterling White, who has a really unique approach. So we’re going to dive into that in a second.
So if you’re a member of FlipNerd.com, hey, welcome back. We’re excited to have you. And if you’re new, thanks for joining us. Please go check out FlipNerd.com. You can actually set up a free account in about 15 or 20 seconds. It’s pretty fast now. We’ve got it down to a science.
I want to tell you too, by the way, I haven’t really talked a whole lot about it on this show. We actually launched a second show about four months back called REI Classroom and we’re publishing shows every single day literally. Four months in, we have almost 200 episodes. They’re short, kind of five-minute lessons. It’s called REI Classroom and you can get there at FlipNerd.com/classroom or you can search for REI Classroom in iTunes or whatever your favorite podcast platform is.
So again, this is episode number 297. We’re coming up on the big 3-0-0 here and we’re with Sterling White today. Sterling is a real estate investor in Indianapolis. He’s the co-founder of Holdfolio, which is a really unique kind of buy and hold opportunity and provider. I’m excited to learn a little bit more about that today because when I saw it, I was like, “That’s a fascinating model. I haven’t seen that before,” and I think you guys will enjoy it today.
So one last reminder is that we now break the show into two parts. Kind of part one, we’re going to talk to Sterling and get to know him a little bit. We’re going to talk about kind of some of the obstacles that he overcame and why he chose the business model that he has. And just how you can kind of get started, and we’re big on taking action.
In fact, part two of the show is taking action segment where we’re going to dive into building your pipeline of properties and some stuff about direct marketing, getting lots of offers in there, a lot of action so that you can fill up your pipeline. And Sterling’s going to share a whole bunch of great advice with us. So let’s get this thing started. Sterling, welcome to the show.
Sterling: Hello, hello, everyone. This is Sterling from Holdfolio. Thank you so much for attending the show.
Mike: Yeah. Awesome. Thanks, man. I love your energy. Sometimes, it’s funny. Sometimes, I find myself . . . because I’ve done almost 300 episodes. I need to kind of get pumped up and get some of that energy for myself.
Sterling: Oh, yeah. Get going. Passion.
Mike: Awesome. Well, hey. Sterling, very happy you’re here. I know we’ve actually been talking back and forth for a couple months about getting you on the show and I’m excited that it’s finally here. When I saw your site, it was a really fascinating model. Let’s kind of get into that after you tell us a little bit more about who you are and kind of how you got started.
Sterling: Yeah, yeah. Yeah. So I grew up here in Indianapolis, Indiana. Single mother, twin brother who I do not think we look alike, but everyone says it. And when I first originally got into the entrepreneurship type of realm, it was back in my early days of elementary selling Kool-Aid to all the kids in school. I really started to get the business side of things and started getting kids underneath me to sell the Kool-Aid candy and then they’d come back to me at the end of the day. “Here you go, Sterling.” Then I ended up getting . . .
Mike: You created your own little MLM on the playground. Is that where you’re at?
Sterling: Yes, yes. And just kind of fast-forwarding from that and going to my college days, about 2009 was when I got started in the construction side of the real estate field and really loved it. But I’m not a swing the hammer type of person, getting my hands dirty. I like being a little clean. There’s some callouses on there.
Mike: I don’t do dirty. I will say last night, I actually touched a can of WD-40 because I needed to lubricate something. But yeah, I don’t . . . I don’t.
Sterling: No, no, no.
Mike: Whenever I need to use a hammer or something like that, it usually takes me about 20 minutes to find one. So I’m not that . . . yeah. I get it.
Sterling: I’m not even too familiar with how to use a screwdriver sometimes. My partner and I don’t take up hammers.
Mike: There’s nothing wrong with that. Yeah.
Sterling: And yeah. In about 2012-2013 is when I met my mentor who was the commercial developer here in Indianapolis and he was the developer also for apartment buildings. And that’s whom I actually partnered on with my first buy and hold single family home.
And from the experience of working with him, I went to a couple seminars and about 2014, the summer, probably a little bit earlier than that was when I met my partner, Jacob, who is phenomenal. He’s got spreadsheets all over the place. Pretty remarkable. And that’s when we were looking for a way to streamline the turnkey process because with the operations he was in was buying and selling hundreds of these turnkey properties. I was also a little bit incorporated with that too. We saw the new crowd funding legislation and really wanted to streamline the process and make it as completely hands off for the investor. So that’s where Holdfolio came about.
Mike: Yeah. And your model. Let’s talk about your model for a little bit because it’s really fascinating. A lot of people that listen to the show, they know that we’ve talked to a number of people that are in the turnkey space. In fact, we recently just launched a turnkey model as well where we connect people. It’s called PassiveRental.com.
But I will say that your model is very unique. Usually, turnkey operators, they get a property ready, they ultimately sell it to somebody and they generally help kind of manage that property and do all that. But you guys are actually a maintaining owner. You kind of prepare a portfolio of them and then you sell shares in that portfolio and you maintain an equity interest. So you’ve got a vested interest in kind of the performance of that property, which is. I’m not saying nobody else is doing that, but I haven’t heard of it.
Sterling: Yeah. If our investments aren’t making money, then we aren’t making money. So that’s what we really wanted to gear the model toward.
Mike: Yeah. The fascinating thing is I think . . . and I have lots of friends that are turnkey operators. I’m not knocking them at all because their business . . . I mean generally, when you’re a real estate investor, it’s hard to keep everything. You have to pay the bills, you have to generate revenue to pay for your marketing and your overhead and all those things.
So there are so many people who ask the question of, “Well, if it’s such a good deal, then why don’t you keep them all?” You can’t. Generally, you can’t keep them all because you have to. Like I said, you have expenses and employees to cover and so for a lot of real estate investors, they might buy two, three, four, five properties and try to keep one out of there. But you’ve got to do that to kind of keep the machine going. It sounds like you guys have found kind of the best of both worlds.
Sterling: Yeah. It’s a very scalable model.
Mike: So talk a little bit about how that works. Maybe just kind of share, give an example. I think you said you put 10 properties in a portfolio and then you effectively sell kind of shares in that package. Is that right?
Sterling: Yeah. Yeah, virtually. So we go out with our own personal cash, buy these 10 single-family homes. We renovate them and lease them to where they’re fully occupied and then producing income. Then, that point, that’s where we open the doors for outside investors to invest in that portfolio.
Mike: Yeah. And it’s kind of ringing together. I mean the crowd funding area . . . so we have a number of friends that have been on the show before too that are in the crowd funding space. So there are typically financing deals where they say, hey, you can buy chunks of $5,000 or more to help fund this property deal that somebody is working on. But usually, the way that it works is that once that property is sold off, they get their money back and they have to go find something else to invest in.
Sterling: It’s a debt type of deal structure.
Mike: Say that again?
Sterling: Is it like a debt type of structure?
Mike: Yeah, they’re more debt. Right. Right, and so ultimately, that structure, they have first lien deed of trust on it. So they’re secure, but a lot of people that have money to invest, they don’t really want it back. Because then they have the trouble of having to go reinvest it again or find another thing to put it in. So awesome. Well, it’s a really fascinating model and, again, it’s Holdfolio. So again, if anybody is interested, we’ll add a link down below the show here. But check out Holdfolio.
Sterling: Holdfolio.
Mike: Holdfolio.com. That’s actually a really cool name too. Well, hey, let’s jump into kind of part one of the show here, talking a little bit more about how you guys determined to get into this model and some of the obstacles that you overcame.
Sterling: Yeah. So part of the biggest obstacle that we had to overcome is just simply the legalities of the company. So we pay a hefty fee to our lawyer just to make sure our Is and Ts are crossed. Because we’re dealing with security so this is a serious matter in those dealings. And it’s . . . I wouldn’t say the marketing side of things. That’s also not official. I’m trying to think of something.
Mike: It’s all hard, right? None of this stuff. People look at real estate investors that are doing stuff and they think, “Cool idea. I’m going to go do that.” But it’s like nothing is easy, but it doesn’t mean it’s not worthwhile to make it work. So you have some legal challenges too. A lot of the crowd funding stuff is obviously kind of hot off the presses and new and still evolving. And talk a little bit about the marketing. You started talking about marketing, how you kind of almost created a new category. How you create awareness for what you’re doing?
Sterling: Yeah. So we’ve taken on a lot of the social media. So we really push out quite a bit of content in the aspect of really . . . so when people Google Holdfolio, what’s the first thing that they see? So that’s really where we want to create that presence.
Mike: Right. And how do you get . . . people don’t know the word. I think because we’ve dealt with this a little bit recently with just kind of saying “turnkey.” I think there are people that know, “I’d like to own rental properties.” But they don’t know the term turnkey. I mean we use it interchangeably because we’re real estate and we kind of get it. But so it’s more of how do you convince people that you can buy a share of a package of rental properties, right?
Sterling: Oh, yes. Are you meaning the type of diversification?
Mike: Yeah. Just that that exists. I think most people assume, “Well, if I want to buy rental properties, I have to go do it myself.” They just assume, “Well I need to call a realtor or somebody that’s going to find a property. And then I’m going to put together the property management.” They typically assume they have to do all these pieces together, and you kind of brought it all in one place. So talk a little bit about how you kind of train the market or create awareness that what you offer even exists.
Sterling: Yeah. So even with our previous investors that we have, it’s virtually just completely hands-off. So what we send, we send our quarterly disbursements at the end of each quarter and at the end of each year we send a K1 writing off appreciation. So there’s not them having to go back and forth with us, the managers. We’re the decision makers when it comes to our investment model.
Mike: Okay. So Sterling, with your partner, Jacob, you mentioned that he had been doing quite a bit of turnkey stuff before. Is that kind of how you decided to move forward in turnkey? Do you guys do much like fix and flip or wholesale or anything at all? Is it all pretty much keeping . . .
Sterling: I’d say about at this point it’s 90% Holdfolio and we do 10% fix and flips, but we’re more of the long-term play and not as speculative. So we like to buy a property. Boom. There’s cash flow.
Mike: I want to talk about how you . . . a lot of people, again, I’m trying to shift the show to talk more about taking action and stuff. And we’re going to jump into the real taking action segment here.
Sterling: Oh, yeah. Taking action.
Mike: I know we’ll jump in there in just a few minutes. But I know a lot of people get stuck. They’re like, “Your model is interesting,” but a lot of people couldn’t just go start there, right? You were working for a builder before and developer, and people start to get distracted because they’re like, “Well, I can develop new houses. I could get into multi-family. I could do this.” And a lot of people just kind of get stuck and can’t move forward. And I know you talked about having a mentor too. I coach and mentor people too so I really understand the value there. I have coaches and mentors as well.
But just talk about how people that might be listening to this that say, “Wow, that sounds like a really cool model,” nut they have yet to get started or have yet to kind of move out of what I’ll kind of call their infancy as a real estate investor. Just talk about how you would advise people to not get stuck and be able to move forward.
Sterling: Yeah. So what I would highly recommend for people is I read a lot and no news. Please do not read the news and listen to all the noise that’s out there in the marketplace. Because people will tell you not to do this, not to do that. Just pick a goal and “10x” said . . . I’m a huge Grant fan, by the way. 10x goals. And pick a really high goal, put your blinders on, and as I had mentioned to you, once you pick that goal, the universe will conspire to you as long as you put your head down and just grind day in and day out for it.
Mike: Yeah. And any kind of advice to people there? Because what you just said is easier said than done, right? There are so many distractions and so many things that can get your attention. So many things that allow people to quit or give up. They just lose hope or whatever.
Sterling: Yeah. So one thing that was a really great turning point in my life was in my early college days when I was on the construction side of things and really switching things in my life was I absolutely got rid of all of my friends. Didn’t talk to anyone. Threw my cell phone away and just went to the library every day. That’s all I did and just really fed my mind with all these dead guys’ inputs.
And that’s really what ultimately gave me the mindset in which I really would like your readers to learn that it’s really possible to really do anything in life as long as you put your mind to it. It’s as simple as that. And that’s one thing that I would recommend for people is just to read books, find someone who has already done what you’re doing, maybe even work for that person for free, and you’ll learn so much. You’ll gain so much knowledge versus going trying to get an education at a collegiate level.
Mike: Yeah. And it’s not just the education. It’s being around somebody that’s actually doing this. A big problem that a lot of people have is that initial confidence. I think it really helps kind of get you over that hump. I think one of the things that I don’t know if I’ve ever explicitly said it before on this show, but I hope that people gather from having almost 300 episodes now is that there’s nobody that I’ve had on the show.
I’ve had some really awesome people. Sterling’s a great guy. We’ve had a lot of great people on the show, but none of them are superheroes. These are all regular people that, at one point in their life, just figured this out. I can’t even think of anybody I’ve had on the show that was just a real estate investor from day one. Their parents did it, they did it and they just kind of walked right into it.
Usually, it’s something that they had a passion for, developed a passion for and just figured it out, ultimately. And so anybody that’s hearing this right now can do the same thing. No doubt about it.
Sterling: You can do it. I believe in you.
Mike: So Sterling, are you ready to dive into the taking action segment of the show?
Sterling: Yeah, Mike, you already know. Let’s go right into it.
Mike: Awesome. This is obviously not new information to real estate investors that are active, but a lot of new real estate investors or newbies get a lot of training that basically is how to be a real estate investor. And there’s not a whole lot of training on what we’re about to talk about, which is filling your pipeline, generating leads, keeping the deal flow coming. Because without deals and without leads, you have no business. I mean there’s no business there. And so let’s jump in. Where do you want to start?
Sterling: Yeah, let’s start about putting in offers on the MLS. Real estate properties. So one thing that we’ve implemented here at Holdfolio is it comes down to a numbers game, essentially. So what we’re doing is we’re putting in hundreds of offers weekly on the MLS and we have some assistance through a VA that we use in the Phillippines to where it’s a little bit more hands-off for us. Such as him going in and putting in the numbers to our spreadsheets, doing all of the nitty-gritty. And then, of course, we do the necessary things on sending the offer to the actual agent of that nature.
And then, of course, all these offers are going to be really low. Once we do get that accepted offer, that’s when we do proceed in going to check out the property. Make sure you also have a clause in there to where if the property still doesn’t meet your criteria that you’re able to back out the deal.
Mike. Yeah. Yeah, and I want to encourage people that are listening right now, I think in some markets, the MLS is still a way to buy properties. In some markets, it’s not. But just don’t discount some of the opportunities. The key is to find a number of different things that you can do to kind of fill your pipeline and keep things coming in. And especially at this time in the market, the cycle that we’re at, it’s getting more and more challenging to buy everywhere in the country now. And so it’s more important than ever to have kind of multiple ways to generate leads or find deals, right?
Sterling: Yeah. And the key also to that is following up. So let’s say 30 days ago or maybe 45 days ago that you put that offer in that was relatively low and they declined it, maybe 45 days from then they have to move out of the country. And now they’re motivated. So you put that offer in again and boom, there you go.
Mike: Yeah, yeah. Awesome. So MLS offers and what else do we have?
Sterling: We also have direct mail marketing, which is huge. What we do here is we incorporate a little bit of the postcards, but we like to do a lot of the yellow letters, which is highly effective when it comes to the open rate.
Mike: Okay. Can you talk about direct mail a little bit? What you do that might be . . . give us your trade secrets, my friend. No. What do you do that you think is unique or helps you stand out? Because a lot of real estate investors do yellow letters and things like that. Any kind of tips on what might be unique?
Sterling: Yeah. So by what we’ve seen in our market because, as property owners, we get hundreds of letters from people willing to purchase our properties. What we’ve seen is people don’t do that handwritten letter like they used to. So that’s one thing that we really implement. It does cost a little bit more, but we believe that ROI of them opening up that letter is a lot higher than just having it printed.
Mike: So you’re saying you handwrite the envelopes. Is that what you’re saying?
Sterling: We have someone that does it for about, just to be transparent, I think, about $0.50, $0.40 per letter.
Mike: Okay. So they actually write the letters as well,s you’re saying.
Sterling: Yes. They write the letters as well. They are definitely . . . it’s definitely cheap to get them to do it. Yeah.
Mike: Awesome. And maybe can you give some advice or thoughts on your kind of targeting? Specifically, everybody’s goals are going to be different. For your business, you are looking for stuff that would make a good rental, right? I know we haven’t talked a whole lot about this yet, but you’re not going after war zone stuff and you’re not going after move-up type properties. You’re going after first-time homebuyer stuff that would make a good rental property, right? So maybe kind of share some thoughts on targeting for folks that are listening that might not be obvious.
Sterling: Yeah. So one of the great things about us being in the Indianapolis market is the areas that we are interested in, you just drive the area and simply that house looks like it needs a little bit of work. This house looks like it needs a lot of work. And once we drive, we call it driving for dollars. And once we get all of those on a spreadsheet, we’ll just pull the public records and the address and then just send them a letter. And we think that’s a lot more effective versus just going and sending a letter to all those owners in that area.
Mike: Just buying lists and stuff. You’re a little more targeted.
Sterling: Yeah. Because in some of those lists, you may be marketing to a brand new home and not even realize it.
Mike: Right, right. Yeah. Okay. Awesome. So we’ve got MLS, we’ve got direct mail.
Sterling: And we also throw some signs up there. So that’s what I really would like people to know is it’s a numbers game and it’s also taking a lot of action. So you have to do a mix of everything. MLS offers, direct mail, bandit signs, putting these signs up everywhere. Well, not in the red areas, the war zones. Excluding the war zones.
Mike: Yeah, yeah. Okay. Any other kind of marketing strategies you want to talk about?
Sterling: And through word of mouth is another.
Mike: Talk about that a little bit.
Sterling: Yeah. So our contractors, because we have two crews that work solely for us, we generally get leads from those individuals when they’re going to properties. They’re renovating them. The neighbor will say, “Hey, what do you guys think about potentially buying my property?” Then boom, there’s a lead right there that we just go right into.
Mike: That’s interesting. Can you talk a little bit about how you incentivize contractors or tell people that just happen to be out and about to be thinking of you really? Because it’s easy to say that, but I think to get your guys thinking about it when they’re driving around or even when they’re off the job, just kind of thinking about, “Hey, Sterling might be interested in this one.” How do you kind of incentivize people to be thinking about what’s in your best interest?
Sterling: Yeah, so that’s more work for them is one. And just the amount of volume that we have construction-wise just to keep them happy and to give them enough money to satisfy them so that they’ll be able to feed their families is one thing that we really use to incentivize them. Just being the ones that they go to when it comes to construction for them. We have enough volume for them.
Mike: Yeah. So that’s the incentive. Okay. All right. Yeah, awesome. Well, let’s talk a little bit about just the importance of kind of building your pipeline. We talked about some kind of tactics here, but just I think a lot of folks are living.
I say living. They’re kind of running their business more like a hobby and the deals are kind of few and far between. Like all sales, it’s a funnel, right? You’ve got to be constantly putting stuff in. Just maybe talk about that a little bit and to maybe give some advice to folks that are listening.
Sterling: Yeah. So work towards having a schedule. So one thing that we really implement here, which my partner Jacob is huge at, is systems. Systemizing everything so it’s about if you send out 3,000 postcards the beginning of January or so, you better have a follow-up plan after that. So not just doing one-off deals. So always systemize. So maybe have someone when you send out those 3,000 postcards, have someone else at your organization that’s driving for dollars to accumulate more owners to market to. So it’s creating systems and then, once that person pools those, then they send it to someone to pull the tax records. And then they can then send 3,000 more postcards to a different set.
Mike: Sure. Yeah, I think for a lot of newer investors, there are a lot of folks that start out without a lot of money. Some of the challenge is they do activities when they have money and when they have time. And I would call that not a business. So you’ve got to be willing to . . . what you really need to do is in your calendar, say, “It’s the first of the month. This is when I put my order in.” Like clockwork.
If you just talk about driving for dollars, if you’re doing that, it’s like, “Hey, I want to add whoever’s on your team.” You could start to say, “You need to give me 15 addresses per week,” or whatever that is so there are kind of goals and it’s just systematic. And none of those things, other than direct mail, is usually . . . Usually, their phone rings when direct mail drops, but a lot of these other activities, it’s not like you’re going to go drive for dollars today and buy a house from that today. It’s more of like feeding that funnel that hey, I know that if I systematically do this every day or every week that over time stuff will start to work its way through to an ultimate purchase. Right?
Sterling: Exactly. You just never know that call that comes in. So you put a sign or put a sign on a pole that’s in the middle of nowhere. Someone just may decide to drive past that and boom. You’ve got a lead on a great deal. So that’s why it’s always about just keep pushing that out, that market.
Mike: Yeah. Sterling, maybe we could talk a little bit about partnerships because I know you have a partnership. Would you mind just sharing some tips? Because I think . . . and I literally don’t. This is not like we didn’t rehearse this out, folks. I just caught Sterling off guard.
I try to do that on the show. I have an idea. We didn’t talk about it, but I’m going to pull you out. But I think what a lot of real estate investors struggle is that nobody is good at everything. And I think if you could find partnerships, partners that complement what you do . . . so in my business, my wife, I’m the talker and she’s the doer. So she tries to bring me in all the time. But I’m saying there are certain things she’s good at.
It sounds like with your partner he’s real big on systems and things like that. And so that’s probably a skill that he’s better than you at and you have some skills that you’re better than him at. But just for people that are out there, I think a lot of folks just try to go it 100% alone and they always go up against the fact that there are just some things they’re not good at. Maybe you could kind of share some advice on why it might make sense for folks to partner and how they find that other half.
Sterling: Yeah. So this comes down to being . . . another thing I would recommend is being self-aware of your capabilities. Maybe take a seat down and say that, “Okay. I’m good at all of these things. I’m good at all of these things.” Ask a friend or a family member also to check that list because, of course, you’ll be like, “Nah, I am good at this.”
So have someone check that and then that’s the big thing I would say is that self-awareness. And once you figure that out, let’s say I’m not a numbers person even when it comes to simply subtracting and dividing and trying to figure out ROI on certain deals, when it’s a preferred return and all this and that nature. Then, I’m glad I have someone like Jacob who specializes in that, something that complements. And my partner is more of an introvert and I’m more of an extrovert. So it’s perfect in certain scenarios like that.
Mike: Yeah. Yeah, I think an obvious one for a lot of folks is kind of what I’ll call front office and back office side, which is the back office is usually more systems, financial side. The front office is more marketing, talking to buyers and sellers. I think managing contractors, all those things that require a lot of hands-on relationship type stuff. So that’s a pretty typical scenario. So if you’re an introvert out there, it doesn’t mean that because you’re not comfortable doing those things that you can’t be successful in real estate investing. It’s like find your other half that’s good at those things that are not going to be good at the things that you can do.
And then another common one, obviously, is somebody that has time but not money, and then somebody that has money. They could be your financier. They could maybe help fund the marketing and get the operation going. And then maybe they could even help fund potential deals. But they maybe have a job or not as much time as you do and you’re doing the legwork, right?
Sterling: Yeah. And speaking on that, that’s often one of the questions that I get from some newbies, as you would call. They say, “How do I get started in wholesaling? How do I get my first deal? I don’t have enough capital.” I usually tell them, “You have time.” Well, usually, they do have a lot more time. You can find someone who has the amount of capital that you’re looking for that doesn’t have the time. So you have the value to create for that person. So that’s also something that also could be complementary for someone in that nature.
Mike: Sterling, any thoughts on how people can . . . I mean there are some obvious ones like going to REI club meetings, things like that. But anyway, any kind of advice you can give people on how they could find partners or people they might like to work with?
Sterling: Getting yourself out there. I mean, yeah, that’s easier said than done, again. Let’s say you’re on some of these real estate oriented platforms. Posting questions, fully emerging yourself. At that point, someone will uncover. Networking with people, meeting people for coffee, reaching out to influencers. If you put yourself out there, what’s that quote? “When the student is ready, the teacher will uncover?”
Mike: Appear, something like that?
Sterling: Yeah, yeah. Yeah. So that’s actually what happened in my situation. I was working out at a Crossfit gym and as I mentioned, I was in the construction side of things, but I really wanted to be more in the buy and hold. And at that time, my mentor was working out at the same Crossfit gym I was working out at. I overheard him talking about this subject that I just got done reading in a book and it just like, “La!” And then from there, we just clicked on and that was it.
Mike: There was a lot about that. I think opportunities, just generally speaking, and partnerships, business relationships, JVs, whatever these things might be. They come about when you least expect it, but you kind of have to have your eyes and ears open. Right? And I’ll give you an example.
I host this big event that I do for a lot of the folks that I mentor and coach and a bunch of vendors. We have essentially this big kind of happy hour kind of thing twice a year and I think there are 70 or 100 people there. I literally was making a reservation at a restaurant near me. Literally, the guy was like, “I’ve been trying to get started in real estate investing and I don’t like the gurus and all that stuff.” It literally just happened to be kind of circumstance. You were there. I don’t know if anything’s going to come out of that, but it was like, “Hey, I can tell you about a lot of my guys are wholesaling properties.” And so there’s always some fit there, but you have to be kind of in the market, right?
Sterling: Huge.
Mike: Yeah. Well, Sterling, if folks want to learn more about you or about Holdfolio, where should they go?
Sterling: You can either go to just simply Holdfolio.com, H-O-L-D-F-O-L-I-O.com, or our Facebook page, @Holdfolio. We push out a lot of valuable content that you will find very interesting.
Mike: Awesome. We’ll add links for both of those. I’ll find a link for Facebook and we’ll add that down below the page here for those that are listening or watching right now to make it easy for you. Sterling, thanks so much for joining us. I definitely appreciate your time and we wish you all the best with Holdfolio.
Sterling: All right. Well, one thing I’d like to tell your audience finishing things up is to dream big, take action. Oh yeah.
Mike: Awesome, buddy. Have a great day.
Sterling: Okay. You too.
Mike: See you.
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So again, this is episode number 297. We’re coming up on the big 3-0-0 here and we’re with Sterling White today. Sterling is a real estate investor in Indianapolis. He’s the co-founder of Holdfolio, which is a really unique kind of buy and hold opportunity and provider. I’m excited to learn a little bit more about that today because when I saw it, I was like, “That’s a fascinating model. I haven’t seen that before,” and I think you guys will enjoy it today.
So one last reminder is that we now break the show into two parts. Kind of part one, we’re going to talk to Sterling and get to know him a little bit. We’re going to talk about kind of some of the obstacles that he overcame and why he chose the business model that he has. And just how you can kind of get started, and we’re big on taking action.
In fact, part two of the show is taking action segment where we’re going to dive into building your pipeline of properties and some stuff about direct marketing, getting lots of offers in there, a lot of action so that you can fill up your pipeline. And Sterling’s going to share a whole bunch of great advice with us. So let’s get this thing started. Sterling, welcome to the show.
Sterling: Hello, hello, everyone. This is Sterling from Holdfolio. Thank you so much for attending the show.
Mike: Yeah. Awesome. Thanks, man. I love your energy. Sometimes, it’s funny. Sometimes, I find myself . . . because I’ve done almost 300 episodes. I need to kind of get pumped up and get some of that energy for myself.
Sterling: Oh, yeah. Get going. Passion.
Mike: Awesome. Well, hey. Sterling, very happy you’re here. I know we’ve actually been talking back and forth for a couple months about getting you on the show and I’m excited that it’s finally here. When I saw your site, it was a really fascinating model. Let’s kind of get into that after you tell us a little bit more about who you are and kind of how you got started.
Sterling: Yeah, yeah. Yeah. So I grew up here in Indianapolis, Indiana. Single mother, twin brother who I do not think we look alike, but everyone says it. And when I first originally got into the entrepreneurship type of realm, it was back in my early days of elementary selling Kool-Aid to all the kids in school. I really started to get the business side of things and started getting kids underneath me to sell the Kool-Aid candy and then they’d come back to me at the end of the day. “Here you go, Sterling.” Then I ended up getting . . .
Mike: You created your own little MLM on the playground. Is that where you’re at?
Sterling: Yes, yes. And just kind of fast-forwarding from that and going to my college days, about 2009 was when I got started in the construction side of the real estate field and really loved it. But I’m not a swing the hammer type of person, getting my hands dirty. I like being a little clean. There’s some callouses on there.
Mike: I don’t do dirty. I will say last night, I actually touched a can of WD-40 because I needed to lubricate something. But yeah, I don’t . . . I don’t.
Sterling: No, no, no.
Mike: Whenever I need to use a hammer or something like that, it usually takes me about 20 minutes to find one. So I’m not that . . . yeah. I get it.
Sterling: I’m not even too familiar with how to use a screwdriver sometimes. My partner and I don’t take up hammers.
Mike: There’s nothing wrong with that. Yeah.
Sterling: And yeah. In about 2012-2013 is when I met my mentor who was the commercial developer here in Indianapolis and he was the developer also for apartment buildings. And that’s whom I actually partnered on with my first buy and hold single family home.
And from the experience of working with him, I went to a couple seminars and about 2014, the summer, probably a little bit earlier than that was when I met my partner, Jacob, who is phenomenal. He’s got spreadsheets all over the place. Pretty remarkable. And that’s when we were looking for a way to streamline the turnkey process because with the operations he was in was buying and selling hundreds of these turnkey properties. I was also a little bit incorporated with that too. We saw the new crowd funding legislation and really wanted to streamline the process and make it as completely hands off for the investor. So that’s where Holdfolio came about.
Mike: Yeah. And your model. Let’s talk about your model for a little bit because it’s really fascinating. A lot of people that listen to the show, they know that we’ve talked to a number of people that are in the turnkey space. In fact, we recently just launched a turnkey model as well where we connect people. It’s called PassiveRental.com.
But I will say that your model is very unique. Usually, turnkey operators, they get a property ready, they ultimately sell it to somebody and they generally help kind of manage that property and do all that. But you guys are actually a maintaining owner. You kind of prepare a portfolio of them and then you sell shares in that portfolio and you maintain an equity interest. So you’ve got a vested interest in kind of the performance of that property, which is. I’m not saying nobody else is doing that, but I haven’t heard of it.
Sterling: Yeah. If our investments aren’t making money, then we aren’t making money. So that’s what we really wanted to gear the model toward.
Mike: Yeah. The fascinating thing is I think . . . and I have lots of friends that are turnkey operators. I’m not knocking them at all because their business . . . I mean generally, when you’re a real estate investor, it’s hard to keep everything. You have to pay the bills, you have to generate revenue to pay for your marketing and your overhead and all those things.
So there are so many people who ask the question of, “Well, if it’s such a good deal, then why don’t you keep them all?” You can’t. Generally, you can’t keep them all because you have to. Like I said, you have expenses and employees to cover and so for a lot of real estate investors, they might buy two, three, four, five properties and try to keep one out of there. But you’ve got to do that to kind of keep the machine going. It sounds like you guys have found kind of the best of both worlds.
Sterling: Yeah. It’s a very scalable model.
Mike: So talk a little bit about how that works. Maybe just kind of share, give an example. I think you said you put 10 properties in a portfolio and then you effectively sell kind of shares in that package. Is that right?
Sterling: Yeah. Yeah, virtually. So we go out with our own personal cash, buy these 10 single-family homes. We renovate them and lease them to where they’re fully occupied and then producing income. Then, that point, that’s where we open the doors for outside investors to invest in that portfolio.
Mike: Yeah. And it’s kind of ringing together. I mean the crowd funding area . . . so we have a number of friends that have been on the show before too that are in the crowd funding space. So there are typically financing deals where they say, hey, you can buy chunks of $5,000 or more to help fund this property deal that somebody is working on. But usually, the way that it works is that once that property is sold off, they get their money back and they have to go find something else to invest in.
Sterling: It’s a debt type of deal structure.
Mike: Say that again?
Sterling: Is it like a debt type of structure?
Mike: Yeah, they’re more debt. Right. Right, and so ultimately, that structure, they have first lien deed of trust on it. So they’re secure, but a lot of people that have money to invest, they don’t really want it back. Because then they have the trouble of having to go reinvest it again or find another thing to put it in. So awesome. Well, it’s a really fascinating model and, again, it’s Holdfolio. So again, if anybody is interested, we’ll add a link down below the show here. But check out Holdfolio.
Sterling: Holdfolio.
Mike: Holdfolio.com. That’s actually a really cool name too. Well, hey, let’s jump into kind of part one of the show here, talking a little bit more about how you guys determined to get into this model and some of the obstacles that you overcame.
Sterling: Yeah. So part of the biggest obstacle that we had to overcome is just simply the legalities of the company. So we pay a hefty fee to our lawyer just to make sure our Is and Ts are crossed. Because we’re dealing with security so this is a serious matter in those dealings. And it’s . . . I wouldn’t say the marketing side of things. That’s also not official. I’m trying to think of something.
Mike: It’s all hard, right? None of this stuff. People look at real estate investors that are doing stuff and they think, “Cool idea. I’m going to go do that.” But it’s like nothing is easy, but it doesn’t mean it’s not worthwhile to make it work. So you have some legal challenges too. A lot of the crowd funding stuff is obviously kind of hot off the presses and new and still evolving. And talk a little bit about the marketing. You started talking about marketing, how you kind of almost created a new category. How you create awareness for what you’re doing?
Sterling: Yeah. So we’ve taken on a lot of the social media. So we really push out quite a bit of content in the aspect of really . . . so when people Google Holdfolio, what’s the first thing that they see? So that’s really where we want to create that presence.
Mike: Right. And how do you get . . . people don’t know the word. I think because we’ve dealt with this a little bit recently with just kind of saying “turnkey.” I think there are people that know, “I’d like to own rental properties.” But they don’t know the term turnkey. I mean we use it interchangeably because we’re real estate and we kind of get it. But so it’s more of how do you convince people that you can buy a share of a package of rental properties, right?
Sterling: Oh, yes. Are you meaning the type of diversification?
Mike: Yeah. Just that that exists. I think most people assume, “Well, if I want to buy rental properties, I have to go do it myself.” They just assume, “Well I need to call a realtor or somebody that’s going to find a property. And then I’m going to put together the property management.” They typically assume they have to do all these pieces together, and you kind of brought it all in one place. So talk a little bit about how you kind of train the market or create awareness that what you offer even exists.
Sterling: Yeah. So even with our previous investors that we have, it’s virtually just completely hands-off. So what we send, we send our quarterly disbursements at the end of each quarter and at the end of each year we send a K1 writing off appreciation. So there’s not them having to go back and forth with us, the managers. We’re the decision makers when it comes to our investment model.
Mike: Okay. So Sterling, with your partner, Jacob, you mentioned that he had been doing quite a bit of turnkey stuff before. Is that kind of how you decided to move forward in turnkey? Do you guys do much like fix and flip or wholesale or anything at all? Is it all pretty much keeping . . .
Sterling: I’d say about at this point it’s 90% Holdfolio and we do 10% fix and flips, but we’re more of the long-term play and not as speculative. So we like to buy a property. Boom. There’s cash flow.
Mike: I want to talk about how you . . . a lot of people, again, I’m trying to shift the show to talk more about taking action and stuff. And we’re going to jump into the real taking action segment here.
Sterling: Oh, yeah. Taking action.
Mike: I know we’ll jump in there in just a few minutes. But I know a lot of people get stuck. They’re like, “Your model is interesting,” but a lot of people couldn’t just go start there, right? You were working for a builder before and developer, and people start to get distracted because they’re like, “Well, I can develop new houses. I could get into multi-family. I could do this.” And a lot of people just kind of get stuck and can’t move forward. And I know you talked about having a mentor too. I coach and mentor people too so I really understand the value there. I have coaches and mentors as well.
But just talk about how people that might be listening to this that say, “Wow, that sounds like a really cool model,” nut they have yet to get started or have yet to kind of move out of what I’ll kind of call their infancy as a real estate investor. Just talk about how you would advise people to not get stuck and be able to move forward.
Sterling: Yeah. So what I would highly recommend for people is I read a lot and no news. Please do not read the news and listen to all the noise that’s out there in the marketplace. Because people will tell you not to do this, not to do that. Just pick a goal and “10x” said . . . I’m a huge Grant fan, by the way. 10x goals. And pick a really high goal, put your blinders on, and as I had mentioned to you, once you pick that goal, the universe will conspire to you as long as you put your head down and just grind day in and day out for it.
Mike: Yeah. And any kind of advice to people there? Because what you just said is easier said than done, right? There are so many distractions and so many things that can get your attention. So many things that allow people to quit or give up. They just lose hope or whatever.
Sterling: Yeah. So one thing that was a really great turning point in my life was in my early college days when I was on the construction side of things and really switching things in my life was I absolutely got rid of all of my friends. Didn’t talk to anyone. Threw my cell phone away and just went to the library every day. That’s all I did and just really fed my mind with all these dead guys’ inputs.
And that’s really what ultimately gave me the mindset in which I really would like your readers to learn that it’s really possible to really do anything in life as long as you put your mind to it. It’s as simple as that. And that’s one thing that I would recommend for people is just to read books, find someone who has already done what you’re doing, maybe even work for that person for free, and you’ll learn so much. You’ll gain so much knowledge versus going trying to get an education at a collegiate level.
Mike: Yeah. And it’s not just the education. It’s being around somebody that’s actually doing this. A big problem that a lot of people have is that initial confidence. I think it really helps kind of get you over that hump. I think one of the things that I don’t know if I’ve ever explicitly said it before on this show, but I hope that people gather from having almost 300 episodes now is that there’s nobody that I’ve had on the show.
I’ve had some really awesome people. Sterling’s a great guy. We’ve had a lot of great people on the show, but none of them are superheroes. These are all regular people that, at one point in their life, just figured this out. I can’t even think of anybody I’ve had on the show that was just a real estate investor from day one. Their parents did it, they did it and they just kind of walked right into it.
Usually, it’s something that they had a passion for, developed a passion for and just figured it out, ultimately. And so anybody that’s hearing this right now can do the same thing. No doubt about it.
Sterling: You can do it. I believe in you.
Mike: So Sterling, are you ready to dive into the taking action segment of the show?
Sterling: Yeah, Mike, you already know. Let’s go right into it.
Mike: Awesome. This is obviously not new information to real estate investors that are active, but a lot of new real estate investors or newbies get a lot of training that basically is how to be a real estate investor. And there’s not a whole lot of training on what we’re about to talk about, which is filling your pipeline, generating leads, keeping the deal flow coming. Because without deals and without leads, you have no business. I mean there’s no business there. And so let’s jump in. Where do you want to start?
Sterling: Yeah, let’s start about putting in offers on the MLS. Real estate properties. So one thing that we’ve implemented here at Holdfolio is it comes down to a numbers game, essentially. So what we’re doing is we’re putting in hundreds of offers weekly on the MLS and we have some assistance through a VA that we use in the Phillippines to where it’s a little bit more hands-off for us. Such as him going in and putting in the numbers to our spreadsheets, doing all of the nitty-gritty. And then, of course, we do the necessary things on sending the offer to the actual agent of that nature.
And then, of course, all these offers are going to be really low. Once we do get that accepted offer, that’s when we do proceed in going to check out the property. Make sure you also have a clause in there to where if the property still doesn’t meet your criteria that you’re able to back out the deal.
Mike. Yeah. Yeah, and I want to encourage people that are listening right now, I think in some markets, the MLS is still a way to buy properties. In some markets, it’s not. But just don’t discount some of the opportunities. The key is to find a number of different things that you can do to kind of fill your pipeline and keep things coming in. And especially at this time in the market, the cycle that we’re at, it’s getting more and more challenging to buy everywhere in the country now. And so it’s more important than ever to have kind of multiple ways to generate leads or find deals, right?
Sterling: Yeah. And the key also to that is following up. So let’s say 30 days ago or maybe 45 days ago that you put that offer in that was relatively low and they declined it, maybe 45 days from then they have to move out of the country. And now they’re motivated. So you put that offer in again and boom, there you go.
Mike: Yeah, yeah. Awesome. So MLS offers and what else do we have?
Sterling: We also have direct mail marketing, which is huge. What we do here is we incorporate a little bit of the postcards, but we like to do a lot of the yellow letters, which is highly effective when it comes to the open rate.
Mike: Okay. Can you talk about direct mail a little bit? What you do that might be . . . give us your trade secrets, my friend. No. What do you do that you think is unique or helps you stand out? Because a lot of real estate investors do yellow letters and things like that. Any kind of tips on what might be unique?
Sterling: Yeah. So by what we’ve seen in our market because, as property owners, we get hundreds of letters from people willing to purchase our properties. What we’ve seen is people don’t do that handwritten letter like they used to. So that’s one thing that we really implement. It does cost a little bit more, but we believe that ROI of them opening up that letter is a lot higher than just having it printed.
Mike: So you’re saying you handwrite the envelopes. Is that what you’re saying?
Sterling: We have someone that does it for about, just to be transparent, I think, about $0.50, $0.40 per letter.
Mike: Okay. So they actually write the letters as well,s you’re saying.
Sterling: Yes. They write the letters as well. They are definitely . . . it’s definitely cheap to get them to do it. Yeah.
Mike: Awesome. And maybe can you give some advice or thoughts on your kind of targeting? Specifically, everybody’s goals are going to be different. For your business, you are looking for stuff that would make a good rental, right? I know we haven’t talked a whole lot about this yet, but you’re not going after war zone stuff and you’re not going after move-up type properties. You’re going after first-time homebuyer stuff that would make a good rental property, right? So maybe kind of share some thoughts on targeting for folks that are listening that might not be obvious.
Sterling: Yeah. So one of the great things about us being in the Indianapolis market is the areas that we are interested in, you just drive the area and simply that house looks like it needs a little bit of work. This house looks like it needs a lot of work. And once we drive, we call it driving for dollars. And once we get all of those on a spreadsheet, we’ll just pull the public records and the address and then just send them a letter. And we think that’s a lot more effective versus just going and sending a letter to all those owners in that area.
Mike: Just buying lists and stuff. You’re a little more targeted.
Sterling: Yeah. Because in some of those lists, you may be marketing to a brand new home and not even realize it.
Mike: Right, right. Yeah. Okay. Awesome. So we’ve got MLS, we’ve got direct mail.
Sterling: And we also throw some signs up there. So that’s what I really would like people to know is it’s a numbers game and it’s also taking a lot of action. So you have to do a mix of everything. MLS offers, direct mail, bandit signs, putting these signs up everywhere. Well, not in the red areas, the war zones. Excluding the war zones.
Mike: Yeah, yeah. Okay. Any other kind of marketing strategies you want to talk about?
Sterling: And through word of mouth is another.
Mike: Talk about that a little bit.
Sterling: Yeah. So our contractors, because we have two crews that work solely for us, we generally get leads from those individuals when they’re going to properties. They’re renovating them. The neighbor will say, “Hey, what do you guys think about potentially buying my property?” Then boom, there’s a lead right there that we just go right into.
Mike: That’s interesting. Can you talk a little bit about how you incentivize contractors or tell people that just happen to be out and about to be thinking of you really? Because it’s easy to say that, but I think to get your guys thinking about it when they’re driving around or even when they’re off the job, just kind of thinking about, “Hey, Sterling might be interested in this one.” How do you kind of incentivize people to be thinking about what’s in your best interest?
Sterling: Yeah, so that’s more work for them is one. And just the amount of volume that we have construction-wise just to keep them happy and to give them enough money to satisfy them so that they’ll be able to feed their families is one thing that we really use to incentivize them. Just being the ones that they go to when it comes to construction for them. We have enough volume for them.
Mike: Yeah. So that’s the incentive. Okay. All right. Yeah, awesome. Well, let’s talk a little bit about just the importance of kind of building your pipeline. We talked about some kind of tactics here, but just I think a lot of folks are living.
I say living. They’re kind of running their business more like a hobby and the deals are kind of few and far between. Like all sales, it’s a funnel, right? You’ve got to be constantly putting stuff in. Just maybe talk about that a little bit and to maybe give some advice to folks that are listening.
Sterling: Yeah. So work towards having a schedule. So one thing that we really implement here, which my partner Jacob is huge at, is systems. Systemizing everything so it’s about if you send out 3,000 postcards the beginning of January or so, you better have a follow-up plan after that. So not just doing one-off deals. So always systemize. So maybe have someone when you send out those 3,000 postcards, have someone else at your organization that’s driving for dollars to accumulate more owners to market to. So it’s creating systems and then, once that person pools those, then they send it to someone to pull the tax records. And then they can then send 3,000 more postcards to a different set.
Mike: Sure. Yeah, I think for a lot of newer investors, there are a lot of folks that start out without a lot of money. Some of the challenge is they do activities when they have money and when they have time. And I would call that not a business. So you’ve got to be willing to . . . what you really need to do is in your calendar, say, “It’s the first of the month. This is when I put my order in.” Like clockwork.
If you just talk about driving for dollars, if you’re doing that, it’s like, “Hey, I want to add whoever’s on your team.” You could start to say, “You need to give me 15 addresses per week,” or whatever that is so there are kind of goals and it’s just systematic. And none of those things, other than direct mail, is usually . . . Usually, their phone rings when direct mail drops, but a lot of these other activities, it’s not like you’re going to go drive for dollars today and buy a house from that today. It’s more of like feeding that funnel that hey, I know that if I systematically do this every day or every week that over time stuff will start to work its way through to an ultimate purchase. Right?
Sterling: Exactly. You just never know that call that comes in. So you put a sign or put a sign on a pole that’s in the middle of nowhere. Someone just may decide to drive past that and boom. You’ve got a lead on a great deal. So that’s why it’s always about just keep pushing that out, that market.
Mike: Yeah. Sterling, maybe we could talk a little bit about partnerships because I know you have a partnership. Would you mind just sharing some tips? Because I think . . . and I literally don’t. This is not like we didn’t rehearse this out, folks. I just caught Sterling off guard.
I try to do that on the show. I have an idea. We didn’t talk about it, but I’m going to pull you out. But I think what a lot of real estate investors struggle is that nobody is good at everything. And I think if you could find partnerships, partners that complement what you do . . . so in my business, my wife, I’m the talker and she’s the doer. So she tries to bring me in all the time. But I’m saying there are certain things she’s good at.
It sounds like with your partner he’s real big on systems and things like that. And so that’s probably a skill that he’s better than you at and you have some skills that you’re better than him at. But just for people that are out there, I think a lot of folks just try to go it 100% alone and they always go up against the fact that there are just some things they’re not good at. Maybe you could kind of share some advice on why it might make sense for folks to partner and how they find that other half.
Sterling: Yeah. So this comes down to being . . . another thing I would recommend is being self-aware of your capabilities. Maybe take a seat down and say that, “Okay. I’m good at all of these things. I’m good at all of these things.” Ask a friend or a family member also to check that list because, of course, you’ll be like, “Nah, I am good at this.”
So have someone check that and then that’s the big thing I would say is that self-awareness. And once you figure that out, let’s say I’m not a numbers person even when it comes to simply subtracting and dividing and trying to figure out ROI on certain deals, when it’s a preferred return and all this and that nature. Then, I’m glad I have someone like Jacob who specializes in that, something that complements. And my partner is more of an introvert and I’m more of an extrovert. So it’s perfect in certain scenarios like that.
Mike: Yeah. Yeah, I think an obvious one for a lot of folks is kind of what I’ll call front office and back office side, which is the back office is usually more systems, financial side. The front office is more marketing, talking to buyers and sellers. I think managing contractors, all those things that require a lot of hands-on relationship type stuff. So that’s a pretty typical scenario. So if you’re an introvert out there, it doesn’t mean that because you’re not comfortable doing those things that you can’t be successful in real estate investing. It’s like find your other half that’s good at those things that are not going to be good at the things that you can do.
And then another common one, obviously, is somebody that has time but not money, and then somebody that has money. They could be your financier. They could maybe help fund the marketing and get the operation going. And then maybe they could even help fund potential deals. But they maybe have a job or not as much time as you do and you’re doing the legwork, right?
Sterling: Yeah. And speaking on that, that’s often one of the questions that I get from some newbies, as you would call. They say, “How do I get started in wholesaling? How do I get my first deal? I don’t have enough capital.” I usually tell them, “You have time.” Well, usually, they do have a lot more time. You can find someone who has the amount of capital that you’re looking for that doesn’t have the time. So you have the value to create for that person. So that’s also something that also could be complementary for someone in that nature.
Mike: Sterling, any thoughts on how people can . . . I mean there are some obvious ones like going to REI club meetings, things like that. But anyway, any kind of advice you can give people on how they could find partners or people they might like to work with?
Sterling: Getting yourself out there. I mean, yeah, that’s easier said than done, again. Let’s say you’re on some of these real estate oriented platforms. Posting questions, fully emerging yourself. At that point, someone will uncover. Networking with people, meeting people for coffee, reaching out to influencers. If you put yourself out there, what’s that quote? “When the student is ready, the teacher will uncover?”
Mike: Appear, something like that?
Sterling: Yeah, yeah. Yeah. So that’s actually what happened in my situation. I was working out at a Crossfit gym and as I mentioned, I was in the construction side of things, but I really wanted to be more in the buy and hold. And at that time, my mentor was working out at the same Crossfit gym I was working out at. I overheard him talking about this subject that I just got done reading in a book and it just like, “La!” And then from there, we just clicked on and that was it.
Mike: There was a lot about that. I think opportunities, just generally speaking, and partnerships, business relationships, JVs, whatever these things might be. They come about when you least expect it, but you kind of have to have your eyes and ears open. Right? And I’ll give you an example.
I host this big event that I do for a lot of the folks that I mentor and coach and a bunch of vendors. We have essentially this big kind of happy hour kind of thing twice a year and I think there are 70 or 100 people there. I literally was making a reservation at a restaurant near me. Literally, the guy was like, “I’ve been trying to get started in real estate investing and I don’t like the gurus and all that stuff.” It literally just happened to be kind of circumstance. You were there. I don’t know if anything’s going to come out of that, but it was like, “Hey, I can tell you about a lot of my guys are wholesaling properties.” And so there’s always some fit there, but you have to be kind of in the market, right?
Sterling: Huge.
Mike: Yeah. Well, Sterling, if folks want to learn more about you or about Holdfolio, where should they go?
Sterling: You can either go to just simply Holdfolio.com, H-O-L-D-F-O-L-I-O.com, or our Facebook page, @Holdfolio. We push out a lot of valuable content that you will find very interesting.
Mike: Awesome. We’ll add links for both of those. I’ll find a link for Facebook and we’ll add that down below the page here for those that are listening or watching right now to make it easy for you. Sterling, thanks so much for joining us. I definitely appreciate your time and we wish you all the best with Holdfolio.
Sterling: All right. Well, one thing I’d like to tell your audience finishing things up is to dream big, take action. Oh yeah.
Mike: Awesome, buddy. Have a great day.
Sterling: Okay. You too.
Mike: See you.
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