On this episode of House Flip Masters Holly is joined by guest Evan Younger. Evan is a former worker in corporate America turned real estate investor. Evan graduated not knowing what he wanted to do, like everyone else at the time (2004) he got into mortgage industry and around 2008 - 2009 his income went down by 90% - at that time he decided it was time to bail and it was time to figure something else out and that’s when he decided to get into real estate investing. He started his real estate investment journey by reading books on his lunch break. He had a friend who was into real estate investment who took him under their wing to learn about real estate investing. Evan’s biggest piece of advice is to get a mentor when getting into real estate investment. Even quit his job in August of 2010 and has been doing real estate investing ever since.
Evan enjoys spending time with his family and has afforded his schedule, to live life the way he wants, to real estate investing. While he does not work on weekends his week is very busy but some days are more open than others – he even takes days off during the week to go to Disneyland with his kids.
Evan gives listeners insight on his business; how he gets deals. Evan uses MLS, sends out direct mailers, and goes to auctions, as well as he works with wholesalers. Many people say that the MLS is dead but Evan says that if you stay on top of it and are constantly searching you will come across deals. Evan does not use bandit signs to get his deals, he sticks to tradition means to get his deals – you have to put in the effort and grind it out to get good deals.
Evan prides himself on his simple business plan, he is a single-family house flipper – does not focus time and energy on out of state or multi unit deals. Evan does not have a big staff of people that help him find deals; he often will pay people that help him find deals. He does do join ventures for commission. While he does not have a staff or giant team he considers his lenders, escrow companies, etc. as the team that he relies on most.
Holly asks Evan to share with listeners a one of the biggest lessons he’s learned from doing a deal. Evan got involved with a contractor on a six-figure rehab, where they walked off the job half way through the project. The original contractor came highly recommended but Evan feels that his biggest mistake was not doing enjoy due diligence on this contractor.
Holly reminds listeners that it is important to not put all your eggs in one basket when dealing with contractors and others involved in the homes you are investing in. If you only work on one home at a time and something goes wrong and you get pushed back six months that makes a large impact on your income. Make sure to diversify your deals and work on a few homes at once.
Holly and Evan talk about money, which Evan says is the easiest part of the whole equation. When you want to find money to lend the people that you know and that are in your social circle is easier to find money with. If you put the need out there you may be surprised as to who will come out with funds that can help you out financially on your deal. When talking to your circle about your need for money Evan urges that you need to speak with confidence about your deal otherwise people will not want to get on board with your deal.