Danny Burbol – Company Owner of MoveFastLV.com and Head Instructor at GrowWealthWithin.com, talks to Neil Henderson and Brittany Henderson, the hosts of The Road to Family Freedom podcast. Danny made the transition from being a 9-5 employee to living full-time off of passive income at age 38 with real estate, after 13+ years of self-education, risk-taking, and investing for cash-flow. Danny talks about his training business to build up investors he can partner with, doubling his investment portfolio, and also tips on gaining reliable mentorship.
Read Full TranscriptDanny Burbol [0:00]
The road to success is paved through failure, right. So if you can just face your fears, and realize that if you’re afraid of something, you’re probably heading in the right direction. Right? If you’re making mistakes, you’re probably heading in the right direction. Because everything you want is outside your boundaries. It’s outside your comfort zone. And the only way you can get there is by crossing those boundaries. And that’s scary. I’m Neil.
Brittany Henderson [0:25]
And I’m Brittany,
Neil Henderson [0:26]
we are a family on a journey towards financial and location independence. Each week, we interview successful real estate entrepreneurs about their chosen investment strategy, and rated based on how much money it took to get started, how long it took to educate themselves, how passive it is, and whether or not they could do it from anywhere in the world.
Brittany Henderson [0:44]
Welcome to the road to family freedom. If you like our show, the easiest way for you to give back is to leave us a rating and review on iTunes, head on over to road to family freedom, calm slash review for links and instructions on how to do that we would be so grateful. All right. And that thought of us Let’s hit the road to family freedom.
Neil Henderson [1:13]
Greetings, friends and families. I’m Neil. And I’m Brittany, you’re listening to the road to family freedom. Joining us today is Mr. Danny verbal,
Danny Burbol [1:20]
Danny Aria. Awesome.
Neil Henderson [1:22]
It’s great to have you. After 13 plus years of self education and risk taking investing for cash flow, Danny made the transition from being a nine to five employee to living full time off passive income at age 38. You bastard. Now you have investment portfolio, and teaching as many people as possible how to do the same. With all that said, Danny want to give our friends and families a little bit more about your background and what you’re up to now.
Danny Burbol [1:47]
Sure, yeah. So basically, when I finally got past all of the learnings and all that wonderful stuff to figure out how to invest and retire, I had a lot of people coming to me asking, so how did you do it? And I I’m the kind of person where I love to share, and I love getting as many people financially educated as possible. So I found myself spending many hours and many lunches with people explaining. And from there, I thought, well, maybe I should just make some kind of a actual training course. And that’s where it’s taking me right now. So at currently, although I have said, I retired at age 38. Currently, my I’ve made a decision to double my portfolio, which means I’m actively investing again, and also started trading business so I can find more investors to invest with, and also trained beginners to be how to invest with integrity, and so I can invest with them in the future.
Neil Henderson [2:37]
Gotcha. So for those of us who don’t know you and don’t know what kind of investing it is, what was it that was the vehicle to allow you to stop working nine to five at 38? Hmm.
Danny Burbol [2:50]
So the vehicle that allowed me to stop working nine to five was mobile homes. And I’m talking about mobile homes in parks not on land. And with what amazing about them is there a low price point, I’m usually in for between 10 to 15,000. And then after I rehab them and sell them, I’m selling them for more like 35. So it ends up being a nice, a nice return there. Compared to other things. When I started, I was doing a lot of real estate, I bought a duplex, I bought a three Plex. So I had five units. And I had so much money wrapped up in these five units. And my cash flow was so low. That just didn’t make sense. Like retiring off of that didn’t make sense. So I went looking for something else. And thankfully, I had I met this guy here in Vegas, in a basically an investor mastermind, where I showed up every week for three months. And I said I’m trying to find a house to flip. I’ve sent out 300 postcards and I’ve made 200 phone calls, got nothing. And the next week I would show up, I send out 300 postcards did 200 phone calls, nothing. I did that for the months before he finally just grabbed me and said, Stop it. Let me show you what I do. And I needed mobile homes. So basically, I followed him around for a week. By the end of the week, I had bought one. And it worked. And it seemed like a fluke. So we got two more. And they worked. And we thought okay, maybe we’re onto something here. And me and my partner at the time, we just started selling all our real estate and pushing it all into these mobile homes. And within two years, I’d gone from having 1500 dollars a month cash flow from five real estate units to having $7,000 a month in cash flow from all these mortgages I was creating with these mobile homes.
Neil Henderson [4:44]
Okay, so I want to dig into the about just for people who don’t understand sort of what it is you’re doing. You’re buying a distressed mobile home, correct? Yes, you’re rehabbing it. And you’re than selling for a profit, but you’re not just taking straight cash for it. Can you explain what the mechanics is of what the sale process is.
Danny Burbol [5:08]
So it’s called owner will carry. And basically what it means is, I get to be the bank, with these mobile homes, the problem that I’m solving, and as an investor, we should be solving problems. The problem that I’m solving is that people cannot get a bank loan on mobile homes in parks. Right, there are a lot like a car, their personal property. And the people who loan on cars are totally different than the people who loan them on real estate. But either way, getting alone on a mobile home and apart is almost non existent. So when I offer a home for 35,000, and I right owner will carry people call me They asked what that means. And I tell them well, for a downpayment, I will finance you, I’ll be the bank, and then you’ll have a mortgage, and you will just pay me every month as the bank, people are really excited about that.
Neil Henderson [6:03]
So what that essentially means for you, they are now the owner, you’re not the landlord, correct?
Danny Burbol [6:09]
Correct. And that’s a very good distinction to bring up. I used to be a landlord, I used to have all this money wrapped up in these duplex and the three Plex. And when anything went wrong, I had to pay for it. So if the toilet breaks, or if the water heater breaks, the roof is leaking, all that fell on me. And it would it would just suck up my cash flow, I actually had a roof leak in one of my one of my homes. And it when I say home, I mean my my duplex. And it sucked up my cash flow for the whole year. Compared to these, these mobile homes where I’m selling them, their name goes on the title. Like I said, it’s just like a car, their name goes on the title, I go down as a lien holder. And now they own it. So if anything goes wrong, if the if there’s a pipe that bursts or if anything needs to be fixed, it’s their home, they fix it. Gotcha. I do want to point out that I go out of my way to make sure the home is moving ready, and that they don’t get sold a lemon. Because this is my business. And my whole attitude is I want them to be so ecstatically happy with their home, that they tell everyone they know. And they come to me and they want to buy a home as well. So I do things like not only do I do carpet and paint, but I make sure the water heaters like I have a guarantee for all the appliances for the first two weeks. In the first two weeks. If anything doesn’t work, just give me a call, we will either fix it or replace it. And that includes water heater, h vac air conditioner, all the appliances like the stove, washer, dryer, all of that. And that right there, in my opinion is what makes it so people are much more likely to buy a home for me than from somebody else.
Neil Henderson [7:48]
Gotcha. So let’s dig in a little bit more into how you got yourself educated. Now
Danny Burbol [7:57]
I said the hard way.
Neil Henderson [8:00]
The bruises I can see some scars up there. So you you mentioned that you met you met another investor at a mastermind? Yes. And he listened to your struggles as a landlord and told and grabbed you and told you to stop it and said basically, come do what I do. Yeah,
Danny Burbol [8:20]
yeah, he saw how hard I was struggling to find a real estate flip here in Vegas. And at some point, he just saw that I was working so hard. And in the he’s working so hard, he realized that I was a serious investor, I wasn’t someone who was talking about doing it. And there’s nothing wrong with talking about doing it. But I have to push, the more action you take, the more success you’re going to find. But the success always comes down a road paved with failures. So if you can realize that if you’re failing, you’re heading in the right direction. You can get excited and and to keep pushing. Yeah.
Brittany Henderson [8:58]
So you said that you were able to purchase one within a week or so. What kind of education went into that? Did you really feel like you kind of knew what you’re doing? Because of what you’ve been doing before? Did you just kind of leap it in feet first.
Danny Burbol [9:13]
So I worked out something with the guy who who told me he would show me I put together a deal that was a win win for both of us. I said, Okay, how about this? How about, I would like to do at home. But I really need a mentor, I need you to be available to me for questions. But you’re not free, you shouldn’t be free. So how can we structure some kind of agreement that will allow both me to learn and work on my on this home, and for you to be available to me and make it worth your while. And what we decided was 5% of the sale price, when we sell the home, I would give him that amount of money. And so that’s, that’s really not that much. If you think about it, if it’s a $30,000 home 10% would be 3000. So 5% would be 1500. I said when the home sells, I will I will give you that money. And he said awesome. That’s perfect. Because to him, it was free money. And he’s doing this every day anyways. So he’s happy to walk through any home with me. And if I don’t pick up the deal he might do so it was perfect for him. Yeah. And it was perfect for me because I have somebody who is just completely available for all my silly new person questions. Right. So what happened was, I literally followed him around for a week. On the third day, I believe he left and I was still driving around the park. And my partner and I we saw home for sale. And the way it works is people put little for sale signs up in their homes and windows that they literally wrote themselves for sale and their phone number. And nobody, nobody sees those. Nobody. Nobody calls that that number. Except for me. You know, I’m driving through a park. So I stopped. I called the number. Actually, I think they had a moving van or moving truck in the in the driveway. And I just walked up and said, Hey, what’s going on? You know, is this for sale? What you gonna do with it? And they said, we’re not sure we’re going to do with it. We might have to leave it all this stuff. And ultimately I said, Well, I buy them. I’d be maybe I’ll buy it, what can I show it to me, they walked me through the home. To me and my partner, it looked pretty good. It looked rough. But the price they were asking was $1,000. So I immediately called our mentor back and came back to the park, he walked through it with us. And he confirmed Okay, guys, this is gonna be a lot of work, just so you know, you’re looking at like seven $8,000 with a rehab here. But if it’s the model, you know, we want to be all in for 10,000 or less. So we buy it for 1000. And we spend 1000 fixing it. We’re good. So I said okay, great. And we bought it that day. So we with a mobile home, it’s way easier, you just have a title, you go to a notary, the seller signs one side, the buyer signs the Riverside, and you’re done. So called them, we gave them a ticket, maybe 100 bucks on the spot. And we said we’ll give you the rest after you’re completely moved out. And you give us the keys. And then from there, we had our first home for $1,000.
Neil Henderson [12:14]
So it took you it basically took you a week from the time that you decided, all right, I’m going to look for a mobile home and took you basically week to do do your first deal.
Danny Burbol [12:23]
Yeah, to make the purchase. Gotcha. That was one of our bigger rehabs, we we had a lot of holes in the floor, we had to redo. It redid all the carpets, there was a pet smell. So we had to like get everything out that we could to kind of like cure the pet smell, we had a little bit of roof damage we had to fix the gas was turned off. And that that was a we didn’t know it at the time. But that is a red flag. If the gas utilities turned off, you should get it turned on before you buy. Because it’s going to expose a lot of issues. And both that the water heater was literally broken, just not working. It was old anyways. So we replace the water heater, and then just end to end just kind of cleaned it up. And that took about three to four weeks. And then from there, we sold it for eight team. And it took about three to four weeks to find the right buyer to sell it to gotcha. About two months. And then. Okay. And actually I still have that note today.
Neil Henderson [13:21]
Wow. Same same buyer.
Danny Burbol [13:24]
Yep. Wow. They’ve been paying 300 a month for the last three years.
Neil Henderson [13:29]
Wow, that’s great. And then how long? What’s the term of that note, how long is it?
Danny Burbol [13:35]
All my notes are between seven and 10 years. So I believe that one is a eight year note, I’d have to double check. But the high level, all my notes are 11.2 is the rate seven to 10 years is the term. And depending on what the price is, that’s what we’ll find out how long the tournament’s actually going to be. I usually shoot for 500 a month, because now that first home was single way, which meant it was smaller. And the price point was smaller with like I said we, we we were all in for nine. And we sold it for 18 with a 10% down so we a little bit of money out. Yeah, we tuned in very quickly that we wanted to work in double wides, because everybody wants a double life. And they’re just easier to sell. They’re bigger, they’re beautiful. And if I’m going to rehab it anyways. And I mean, if it’s going to cost me say $1,000 to put in carpet, it’s probably going to cost me 1500 to put carpet in a double wide. So why not just I mean, half of everything is getting the guy out there, right? If we start spending his time, so why not just have a double one. So we actually switched our, our demographic very quickly to we only work with double wides. And then from there, we were able to say all of our notes are 500 a month. 11.2 is the rate and the term will be whatever it needs to be to pay off the home, somewhere between seven and 10 years.
Brittany Henderson [15:00]
You so you did this one, this first one with the mentor? Did you continue to work with him for more than the first
Danny Burbol [15:05]
one? Yes. So we like I said, we put together a deal with him where everyone would win. And I keep bringing that up. So that’s very important is whatever deal you ever do. If everyone doesn’t win if one person loses, it’s not a deal, right? So if you realize there’s one person in this deal, who’s going to get screwed, or just not be treated? Well, don’t do it get away. So we pushed actually very hard to make sure he was going to get paid. And he really appreciated that. And because of that I feel like he kind of gave a little above and beyond. Because we gave a little above and beyond. Yeah. And Neil, we set up with him. Like I said, when a home sells, he would get 5% of the purchase price. And as we started selling bigger homes, he started making more money, right? Yeah. And we locked him in for five homes. And you could say maybe he locked us in for five home. When everybody wins. It feels like I’m getting something but also feels like he’s getting something. Yeah, yeah. So yeah, we wrote an agreement, we said we’re going to do five homes together. And our plan is, we don’t want to rely on you. We want home numbers we want every home we do to take less than less of your time. Until where we don’t need your time. Yeah. And yeah,
Brittany Henderson [16:20]
when it really like made an incentive for him to help you get the best deals or you know, give you the information to really do do the best that you could, because he wasn’t you know, when you it’s it’s a limited time, but also, yeah, it’s just, it just makes it. So that’s a really awesome deal. Because you get everything you can out of him. It’s a short term, so you don’t feel like you’re like kind of locked into being in some sort of partnership forever, but you get a lot out of it. And he’s able to feel compensated, which is fantastic.
Danny Burbol [16:52]
So as a beginner, I’m sure many people feel this paying a mentor is a very scary concept. I’m gonna pay this guy $1,000. What if he doesn’t deliver? Right? And then that’s scary. So what we decided was, we will pay you for results. And he said, I can get you results. And we were thought, well, that’s great. So let’s just tie it all to results. When we get results, you get paid every time. And we actually go out of our way to make sure he got the check the same day that it’s sold. Because we want to honor our commitment. You gave us results. Boom, here’s, here’s here’s your paycheck. But we were a little afraid of a lot of people out there who are trying to get these programs where you’re paying, however much a month, but you don’t know if they actually do the thing they say they do. So that’s why we structured it like we did. And I’m pretty sure the agreement said in there that either one of us could cancel at any time. Any home that we started, we had to finish. But if either one of us wanted to cancel before doing the next home, like the next pack of five, and we you’re allowed to do that. So we signed up for a pack of five. And honestly, I think we signed up for a second pack of five, that we almost didn’t need them for it. But we still pay them. Yeah.
Neil Henderson [18:09]
Gotcha. So were there any challenges that held you back from from doing that first deal? or challenges that you had to overcome in some of those first deals that like you did weren’t weren’t expecting? Oh, yeah. The
Danny Burbol [18:29]
number one challenge was fear. I grew up in a mobile home. So when I walked into one, I looked around and went, oh, oh, yeah, this makes sense. But my partner did not. So when she stepped in, she immediately like literally did like a like a shake. And like I want to leave right now. And so we had to kind of get over that fear of what is there’s a stigma around mobile homes. And so she was fighting that. And I wasn’t thankfully, as far things that came up, turning on the gas, as soon as we turn the gas on, what it meant was, we had to get the gas company to come out, they had to inspect the whole line. And make sure that every appliance that use the gas was working. And immediately they found out that the water heater was not working. And there was also an actual gas leak somewhere else in the house, which is kind of scary because people were living in that house for I believe they said three years. And they didn’t know there was a gas leak. So that’s kind of scary. So I count myself as lucky that the gas was turned off. because that meant a professional had to come out turn on professional had to inspect it, as soon as he inspected it. And he tagged it and said I can’t turn this on to fix these problems. And that was a surprise. I mean, we thought maybe the water heater was old. But to find out that there was two issues was a surprise. We got a plumber out there to fix it all, which was a fun experience. How do you work with a plumber. And but once it was done, it was done. And now every time we look for that every time we’re like, okay, are the utilities on? If they’re not on, then we know that turning them on is going to reveal some issues. And we should plan for that. And that’s basically how we relieve that fear. The more you know, the more you understand and investment, the less risky it is. So every time we come across one of these surprises, it means our next investments going to be that much easier.
Neil Henderson [20:25]
So on the subject of knowledge, were there any books that on mobile home park and mobile homes I’m sorry, mobile home park mobile home investing that are note investing that sort of helped you in this initial journey.
Danny Burbol [20:38]
So I read a lot of books, there is a book for exactly what I do called deals on wheels. But I’m going to be honest, I haven’t read it. Because I had a mentor pushing me through it. That’s how I learned later on. When I go to conferences for investors and things like that. I’ve told people what I do. And they immediately go, you’re doing a Lonnie deal they call it which is the author’s name from fields on wheels. So if you wanted to see more about what I do, I’d recommend checking that book out. For me personally, the book was always Rich Dad, Poor Dad.
Brittany Henderson [21:16]
I don’t think there’s been anybody that has not mentioned that book ever. In millennium, we didn’t have any interviews that we don’t know, like 15 or something. Yeah, absolutely certain that just about everybody.
Danny Burbol [21:28]
What’s really great about that book is that, first of all, I I got it on audio. So I used to listen to it on my commute to work. And I’ve listened to it, no lie probably two dozen times. And not all at once. But you know, I probably listened to it once a year. And every time I listened to it, I always catch a little tidbit that I somehow missed. And for example, if you listen to the book, there is a point where he mentions actually doing notes, he’s creating notes, he’s he has a friend who needed some money, or he needed some money, and he created a note with his friend, and then did a whole deal. And then he walks you through the whole deal. And at the time I missed it. I told him that he’s not just doing real estate. He’s also creating notes. And that’s a they kind of go hand in hand there. They’re not the same thing. They’re slightly different. Real estate is real estate notes or notes. They’re not the same. But if you can wrap your mind around the two different types of investing assets, then suddenly it unlocks you be able to solve all these things. So yeah, so last time I listened to the book, I was kind of blown away. He is creating notes. And I thought, how did I miss that? And now that I’m doing it now, now suddenly, I can hear it.
Brittany Henderson [22:43]
So you didn’t have a lot of money that you had to put into that first deal. How How were you funding these first mobile homes? They were buying?
Danny Burbol [22:52]
Okay, yeah, I’m going to be honest, we were 100% self funded. And the way we did that was, we were both high paid professionals. For many years, I was a software engineer, and my wife at the time, was an accountant, she was up the finance ladder. So she was more than an accountant. I’m not sure her title, actually. But we were Piper high paid professionals, they were basically learned how to not create a bunch of debt. She was way better than me. She was an accountant. I had a lot of debt when we first met. And I learned a lot of great lessons from her on how to just be responsible with money. And ultimately, we started using the technique, pay yourself first. And we just started putting money away and putting money away. And one day I looked at my account, and I had thousands of dollars. And I started realize, okay, well I’m ready to start looking for an investment. And that’s when I went and found a duplex. So just on that little start, I was about 25 when I realized I was in debt, and I need to do something about it. By the time I was 26, I was out of debt and paying myself first. So I think I was 28 when I bought my duplex. And that habit of just automatically saving money to invest for with later just never ended. And that is how we were able to be self funded. And when we finally did quit our jobs to start doing investing full time, it was because we had a big cushion set aside that would support us. Originally, we were shooting for like six months. But when we did the math, we realized that if we were smart with our money, we could last for probably two or three years, just off our savings. And and once we realized that we quit our jobs and went for it. Gotcha.
Brittany Henderson [24:36]
So now, are you still mostly using your own money? Or are you finding deals in a different way?
Danny Burbol [24:43]
Currently, I am using all of my own money. And there’s an advantage to that, right? Like borrowing money, costs money. In fact, I actually just lent a friend, a flipper, friend $40,000. And in doing that, I charged him a rate of 40 percent, it was an interest only loan. So when I lend him $40,000, and he’s doing his flip for every month, he’s holding on to my money, he just sends me a $400 check. And so originally was supposed to be three months. And it turned out to be five months. So there you go. And then I get all my money back, and I could invest it somewhere else, right. But if I was on the other end of that I would be paying somebody for the right to use their money. And that’s just part of part of a deal, right? You need to make sure it works when you structure your deal. What I noticed was, I have to convince people to give me the money. And with mobile homes, a lot of a lot of investors are a lot of private money investors are antsy, right that they feel like the mobile home is not worth anything, they can’t attach the money to the land or anything like that. So they don’t really want to. And it’s funny, it’s all the same things that the banks won’t lend on these homes for. Yeah, so but by not involving a money partner, that means I can basically make my own decisions. And I’m saving a little bit of a little bit of money there. Because I’m not paying for the money. So I’ve been self funded this whole time. And my plan is always been for cash flow, not for flips. And so I’ve slowly built up that cash flow. And then at some point, it eclipsed my expenses. I just didn’t have to work anymore. Yeah. So right now, if I want money for a deal, I have two options, I can go out and find the money. Or I can just sit back and relax and let the cash flow build up and have that reserve I go get another mobile home.
Neil Henderson [26:33]
Gotcha. Now, these are expiring assets. Correct at
Danny Burbol [26:38]
some point racked. Good point,
Neil Henderson [26:40]
you know, there’s not 30 year assets, correct? I mean, so. So the cash flow is high, the buy in is low, but it is something where you’re going to have to feed the machine again, correct? Yes, or find a million other sources.
Danny Burbol [26:58]
Yeah, people people forget a mortgage, owning a mortgage, owning a note, a note is a depreciating asset, it only goes down over time, every time they pick a payment, I get some interest. And that’s wonderful. But they’re also knocking off a little bit of their principal. So a good example I use is, if you bought a house and rented it for 500 a month, for 30 years, you’re gonna make a bunch of money. And in 30 years, that house is probably gonna be worth more, right, there’s gonna be maintenance in there and all that fun stuff, all landlord stuff. If you owned a mortgage on a house, and someone is paying you 500 a month, for 30 years, you’re going to make a bunch of money. But on the last day, you’ve got nothing, right, the mortgage is now paid. So if you can understand and wrap your mind around that the notes go down in value over time, you have to plan for that. A great thing about mobile homes, is that it the asset class is affordable housing. A lot of people are stepping into a mobile home with the intention of stepping up into real estate in the future. So it puts me in a position where either one of two things is going to happen, they’re going to either going to pay it off, because they want to sell it to go put a down payment on real estate. Or they will not be that great with money. Because I mean, let’s face it, if you’re buying a mobile home in a park, there’s a reason, right? And I’m not judging anyone, just saying some people are on their way up, and some people are stuck. And some people have put themselves to the red line financially. And if they lose their job, they can’t, everything falls apart. And I’ve had that happen a couple times. So what will happen is they’ll call me up, and they’ll say, Hey, I lost my job. I don’t know what to do. And I’ll say, Okay, I sympathize. But this, what do you do about this, this money, but this is a lot of debt. And they said, Is there anything we can do? I’ll say, Well, if you’d like, I can release you of the debt. If you get Welcome back. But you it has to be in, cleaned out empty, swept wiped. And the lot rent has to be up to date. And they’ll say thank you so much, I will absolutely make this happen. And so when people can’t pay anymore, they usually call me and give it back to me. As soon as that happens. I basically just got a home for free. I new carpet, new paints, and then I sell it again. And that’s resets the clock on the note. Right. So I went from a note that goes down to nothing in 10 years to a note that has just been reset. And who knows how many times it’s going to be reset. Gotcha. Gotcha.
Neil Henderson [29:39]
Alright, so what does a day in the life of a mobile home investor look like? I realized there’s a difference between acquisition mode and maintenance mode. Yep. Why don’t you start off sort of walking us through a day in the life of an act like when you’re actively an acquisition mode. Okay.
Danny Burbol [30:01]
So a day in the life as an active mobile investor means that I’m I’m if I’m looking for a home, I’m driving through parks, I’m calling Craigslist ads, I’m talking with community managers. But honestly, community managers are not allowed by law, to give me any real tips, they’re only allowed to say you might want to drive to the park. So So as an active investor, I’ll drive through some parks, I’ll see some for sale signs, I’ll knock on some doors, I’ll make some calls on Craigslist, and ultimately find people with homes for sale. I’ll talk to them on the phone, and try to vet them as much as possible to understand the condition of the home. And more importantly, the condition of their situation. I don’t buy homes, I don’t look for homes, I look for people who are in a situation where they just want to get rid of their home. So if that makes sense, I’m I’m listening to the to the bar, sorry, I’m listening to the seller, more than I’m listening to the condition of home. And my final sell, who just really wants to just give it to me, then I say thank you. From there, there’s a lot of making calls to get people in there make quotes, making calls to schedule people to get in there to do the work that needs to be done. I personally do not lift a hammer, or a screwdriver or anything because I feel like if I did, that would limit me to be only be able to work on one home at a time. And I don’t want that. So I purposely never do any of the work myself. There’s a lockbox on the door. I have a lot of people come in who are licensed professionals who I trust, just giving a lockbox code they come in, they do their job, they leave, I come in, I’ve verified they did the work where they said they would and then I pay them and I changed the lockbox combo. And we do that until it’s done. And from there, I put up ads and I start picking up the phone for people looking for the home. There’s a lot of pre qualifying questions that you want to use, before you run out and show somebody a home. In the state of Nevada, where we are right now, you have to have a license. So I have a I have a mobile home dealers license, that allows me to number one, put ads up. So I’m allowed to advertise. And number two, I am allowed to show someone a home. If you don’t have a license here in Nevada, it’s illegal to be putting up the ads and it’s illegal to be showing people the home, it’s also illegal to sell the home without a mobile home dealer. So once I find somebody who gets who wants it, I push them to the park because they have to get qualified for the park. And then from there, there’s a little bit of a delay until they get approved or, or turned down. And once they’re approved, I get them the guy who does all my paperwork rolling, I use a licensed mortgage originator. And I also use a licensed dealer. Even though I am a licensed dealer, I use a licensed dealer, because I don’t want to be doing paperwork, I I let him do it. He doesn’t he does a great job. So I love paying him, I have an opinion of always paid professionals good money, because they’re worth it. And then ultimately, we will meet at the home. And usually on the countertop, we sign all the contracts for selling the home, I give them the keys and I shake their hand and wishing the best. And from there, I tell them how to basically pay me every month, which involves basically walking into I use Chase Bank, so walk into any Chase Bank, and you just drop them on your account. I also get them to a note servicer as soon as possible, so that I don’t have to keep track of all this money and who’s sending the money and all that sort of stuff. So I know you asked for a day in the life, I just kind of outlined the whole process. Yeah, so a day in the life is basically, depending on what projects are currently going on. That’s where my focus will be. So for example, right now, I have a home for sale. So right now my assistant is picking up the phone, pre qualifying people, and then scheduling appointments. And then I will go out and show them the home. And then and then push them down the process to to go get qualified for the park. So currently, my assistant posts ads answers the phone, makes scheduling appointments, and I basically just show up to show home. And that’s that’s my active mobile home investor today. Gotcha. If I had a rehab that was in the middle of being done, then they would be dropping by. It would be making phone calls. Right? Yeah. So now you know the whole process. It’s just a matter of how many projects do you have? And what state are they in? Gotcha.
Brittany Henderson [34:31]
How much time are you typically spending a week average? You know, obviously, it changes because what you’re doing is changing but
Danny Burbol [34:41]
not much. I mean, I when I when I retired, literally, my whole job was to open up my email, and review the emails from my note servicer That said, the positive, the positive, the positive, the positive. And so that was it. If a note was going bad anyway, or somebody was late on a payment, but I would pick up the phone and call them and remind them, hey, you gotta pay me and then get them going again. And that was that was my life for about six months, when I was just what you called earlier maintenance mode. Now that I’m full time again, my the majority of my time is just checking in with my assistant, checking my calendar to see if I have to go to a showing. And I’ve been doing one tax season just ended, I was doing a lot of like interacting with my CPA. Gotcha. Right now the majority of my time is actually taken by my second business. So what do you see?
Neil Henderson [35:37]
On a daily basis? What is your most high value task that you like, the only person who can do it is is Danny
Danny Burbol [35:47]
making a decision on whether or not we’re going to buy or sell or go with a certain quote or something like that. So whenever possible, I, I’ve got my assistants wonderful. She’s great on the phone. And I’ve trained her in a good questions to ask, whether it be a contractor or the buyer or seller. And so she does a lot of pre screening for me, which is wonderful. And so now mostly she comes to me and says, Okay, well, we’ve got two carpet guys, one says this one says that, she tells me the numbers that she tells me how they’re going to do the job. And each one has their own style. And then basically I make a decision. And from there we have been moving towards. Okay, well here is a spreadsheet that tells you how much I’m willing to pay for every type of repair. As long as they’re under the number in the spreadsheet, just say yes. If they’re over the number of them, engage me and let’s talk. So, but in the end, yeah. But every The most important thing that I could be doing is looking at something and making a decision, do we go for it or not? And that, honestly, a lot of that just comes from experience and making the wrong decision many times earlier?
Neil Henderson [37:05]
And then you also do you have to be the one to show the property?
Danny Burbol [37:10]
At the moment, yes, in my business. But you asked a great question. So in Nevada, you have to have a licensed person to get in there show the property. And there’s two people who could do that. And I’m going to compare them to realtors real quick. So with real estate, you have a realtor. And you have a bunch of realtors who all work in the same business or the same building owned by a broker. So with real estate, you have a broker who has a bunch of realtors that I should say real estate agent, a broker with a bunch of real estate agents who work below them. A broker can close a deal. And so can a realtor, right? Or a broker could show a house and so could a realtor. So it’s the same way. They just have different names. So in mobile homes in Nevada, you have a licensed mobile home dealer, which is what I am. They’re like the broker. And then you have a sale agent, which is like a real estate agent. So those two people, those two licenses are allowed to show homes in Nevada. Gotcha. And I currently am talking with my assistant to see if she would like to go down the path of becoming a licensed agent so she can show homes. But that’s totally her call, and we’ll find out.
Brittany Henderson [38:22]
Besides your assistant, have you put any systems into place or hired anybody else that helps you through this process?
Danny Burbol [38:29]
I tend to rely on. Like I said, I said this earlier, I believe that good professionals, specialists will always find their value. So for example, my CPA, I pay him a lot of money, but he always finds me a lot more. Does that make sense? So my attorney, when I pay my attorney, I always feel like it’s insurance. I’m, I’m paying him, honestly, $300 an hour or something like that. But he saves me from, you know, $10,000 issues further down the line. So every professional I pay, I’m happy to pay. So I try to get as many outside offices and contractors involved to do as much as possible. So I’m not. So I I have a bookkeeper, right, I have a note servicer, I rent a space and an office building. So that I don’t have to deal with running a building, right that I’ve got somebody at the front door, just because the building provides that, right. So there’s, there’s so many ways that I’m just trying to get somebody else to do it. Another great thing that I would recommend is something called Fiverr. That’s fiverr.com fiverr.com. They’re fantastic. Anything you can do from a computer, you could probably hire a fiber person to do. So I’ve hired Fiverr people to do. Like research, I’ve hired them to post ads, which is really great. There’s so many so many things if I were persecuted for you. So whenever possible, I would tap into that. Gotcha. You mentioned systems though. And I want to just, I want to demystify that a little bit. I, in my professional career, when I was an engineer, I went from engineer to lead engineer to project manager to Product Manager, a process or a system is really just a checklist. And honestly, the simplest example that I I always use, again, again, is a recipe. If you imagine holding a piece of paper that is a recipe, it’s gonna have a title that says, apple pie. And it’s gonna have a summary that says, This is the type of apple pie, it’s going to be the most delicious crispy cinnamon apple pie you’ve ever had. Then there’s a section for ingredients, which tells you all the things you need. And there’s a section for the steps do the steps in order. That is what it processes, and it’s literally just the checklist. Do I have all the ingredients? Am I doing the steps in order? That’s it. And so with with that simple example, I have, I would say at least 50 different documents in in my Google Drive that me and my assistant use to get anything done. So if someone is having a hard time, if a I don’t know, let’s say we want to show a property. Okay, great, open up the document that says, show a property. And it will say, make sure you have these documents with you. Right, make sure you have the lockbox code for the home, make sure you have this, make sure you have that. And then that’s it. It just it’s just a checklist. So if anybody out there wants to start their own system, just start making chocolates.
Brittany Henderson [41:37]
Yeah, that’s a nice way to because like a lot of us try and keep all those things in our heads. And when you have so many different pieces to what you’re doing, because you know, there is the showing, and there’s the buying and there’s you know, all these different things. Like Yeah, you could probably keep a lot of that in there. But eventually you’re going to miss something here in there. So having that in that document to remind you, oh, yeah, I need XYZ. And it’s so much more just, it’s just more efficient. And
Danny Burbol [42:05]
it kind of cracks me up. I’ve always considered myself lucky, because I do not have a good memory. And so I’m always forgetting things. So I just as a person, I just started making checklists all the time. And it turned out to be beneficial later. Because as being as being a business owner investor, you’re wearing all the hats, and you’re, it’s the changing hats. It’s the pulling off this hat to put on this had to do something for five minutes to pull it off to put on a different hat to do that for 10 minutes. It was just, it’s just really jarring. And to have a checklist to go with that means you can you can just context switch so quickly, and get things done right, every time.
Brittany Henderson [42:45]
Isn’t there a book that you I’m sorry,
Neil Henderson [42:52]
my favorite recent book, if you aren’t a believer in checklists, the book you need to read is called the Checklist Manifesto. I can’t remember the author’s name. But it explains the origins of checklists that explains the importance of checklists, to getting things right and doing things correctly. It doesn’t necessarily go through as much on how to actually write a checklist as much. But it’s if you want to become a checklist, evangelist, book, that’s fantastic.
Brittany Henderson [43:23]
I feel like making a checklist is sort of self explanatory. For the most part, even if you’re not sure, then you just need to go through the process of whatever you’re making the checklist for and start writing down exactly what you’re doing right you used
Neil Henderson [43:35]
there is a there is an art to it, because you don’t want to just write down everything, okay, do this and then do this. If it comes unwieldy, then it can be like, you know,
Brittany Henderson [43:45]
I make five meal plans every
Neil Henderson [43:50]
I was just speaking to, you know, the audience.
Danny Burbol [43:54]
And that’s why I always come back to the recipe analogy, I feel like anybody can pick up a recipe and accomplish something. And once once you can wrap your mind around that it’s easy to write a process.
Brittany Henderson [44:04]
It does have to be written clearly though. So my husband is right doesn’t have to be sort of well written, because there are actual recipes that come around, come across, and I’m like, should have told me this part, like 10 minutes before so that I could have like prepared for that, you know, like it has to be order bring up a really good point,
Danny Burbol [44:25]
when I give, because I wrote it, I already have permission to change it just naturally. But I had to actually give my assistant permission, empower me, I need to make it clear to her. When you go through this, if it doesn’t work, if a step is wrong or out of order, or if something has changed. It’s your job to update it every time you run it. And if we just do that, as a team, I’m walking through step three, step four way, step four is not working right. Oh, okay. I figured it out. Update the document. Yeah. And then there you go. And then from there, the document will either be right or be about to be corrected. And that that works out great. But you bring up a good point, if if you didn’t know, there was a specific step that he didn’t know about. He should have been putting it in the in the document, and sorry to throw you under the bus there.
Brittany Henderson [45:16]
Oh, no, it’s fine. It’s not really him. I just I use a lot of like recipes that other people have written to help like my nutrition clients, like all you know, find something that fits what they’re they’re needing, and then I typically will adjust the recipe or make sure that works within what they need. But sometimes I’m like, this doesn’t make sense here. You know? Like, why would you tell me to heat an oven to for 25, five steps down, you do that first because it takes a long time. You know, like, even if there’s stuff you need to prep in between, it’s still probably more efficient to do that first. But anyway, this is a whole different tangent, but really has nothing that much to do with.
Danny Burbol [45:56]
So interesting about this is that because I had the system in place, it allowed me to actually put a course together for mobile home investing, because I already had the systems and all I had to do was just kind of cramming together and put them in a format that someone else could just consume. So I made a bunch of videos, and it’s a basically a webinar. And I put together a mobile home boot camp, because I already had all the material. So it’s like I already do this. So why not share this?
Brittany Henderson [46:24]
Yeah, yeah. And it really helps you to also not just, you know, now you’ve you’ve monetized that information. But before you did that, you were really able to take some of those things off of your plate, because you already had them completely listed out. And that probably made it so that there was less time put into having to train someone or, you know, get them to where they were doing it really competently because you weren’t like, Oh, I need to figure out XYZ thing before I can share that with you. So it’s definitely something that we all should do. Because the goal, we’ve talked about this a bunch of times in previous episodes, that the goal is really to offload a lot of different tasks on to other people just like what you’ve done, like, you don’t want to be the one that’s doing all of those things, because then you can’t use your time to do the things that are really important. So this is just one way that you can get there faster,
Danny Burbol [47:16]
which is awesome. And I would I would imagine, I mean, for me, it’s always been about time that this whole investment journey has always been about getting cash flow, so I don’t have to go to work. Right? So I’m, I’m really not trying to amass a bunch of money. I’m actually trying to amass a bunch of time. That’s a great point.
Brittany Henderson [47:37]
So you live here in Nevada, where are you typically buying these mobile homes.
Danny Burbol [47:43]
So I’m I live in Vegas, and I, I buy them in Vegas, because at the moment, I have to show the homes myself until I have an agent who could show homes, I have to do with my hometown. So and around town, I actually did some research. I’m, I’m kind of an analyst. So I like doing research. There’s about 70 mobile home parks here in Vegas. And when I did the and I called all 70. And ask them they’re kind of basic information. And I found it of the 7030 sound like they might be someplace I might want to work. I drove through those 30 parks and narrowed them down to about 15. Parks that I would like to work in. And right now, I own homes in six parks. So there’s so much opportunity out there that I’m excited about sharing all this knowledge with other people who might want to do it. Because there’s no way that we’re going to get each other’s way. Right with with 70. Parks out there. And everybody having different unique ways of investing. The odds of us being in the same Park are pretty minor. And even if we are, I’ll let you have this one. You let me have the next one. Yeah.
Neil Henderson [49:00]
So how often do you end up having to visit the properties that you already hold the notes on?
Danny Burbol [49:08]
Actually, never? Well, okay. The only time I visited a property is when I’m driving by and I, I’m already in the park, and I see the person and I just want to say hello, because you want to have a good connection with basically everybody work. Investing is a Is it a networking business? If you didn’t, if you didn’t already, make that connection. It’s a team sport, you need to be networking, you need to learn how to make relationships, that’s it’s way more important than money. So every chance I see somebody that I know, I always stop and say hello, how you doing? Is there anything you need for me, which they don’t, because I’m the bank. But other than that the only time I actually stopped at home is to knock on a door or post a notice that says, hey, what’s up? How can we avoid the pain? And that leads to a conversation. Right? And yeah, and I like I said, I purposely make it a point to drop. If I’m in a community to look for acquisitions, or if I’m in a community to check in on a rehab, I will almost always stop at the the community managers office just to say hello, Hey, how’s it going? I, I noticed you, you repainted the gate. That’s beautiful. I love working in this community. Thank you so much for letting me be in here. Because honestly, you have to understand that you’re a guest in their house. And if you treat them that way, they will always want to work with you. So yeah.
Neil Henderson [50:32]
So obviously, anybody who’s investing in real estate right now is very hyper focused on the market, like what where are we in the state of the market? And I’m curious what your answer would be to that question. You know, I’m not you don’t have this crystal ball, I don’t have a crystal ball. But where do you say we are in the market cycle, and specifically how it applies to a mobile home park, a mobile home investor.
Danny Burbol [51:01]
So the way I see it, the markets going to do three things, it’s going to go up to go down, what’s your status, then. So you should have three plans. And then you have to worry about the market cycle anymore. So if you have three plans, you’re good with mobile homes, because they happen to be affordable housing, and I peg my cost of my mortgage plus the lot rent, I peg that exactly to whatever the rent is across the street for an apartment. So you can go across the street and get an apartment for say 1100 a month. Or you can come over here and get a mobile home for 1100 a month. And it will be twice the square footage and you will have a yard. So because I’m working in affordable housing, when when the economy goes down, which I’m personally I believe the market right now is just starting to turn, I’ve spoken to a bunch of flipper friends who were finding that the comps they did, or not quite working as far as the sale. So this is just starting to slow down. And when the market starts coming down, more people are going to be looking for affordable housing. In my opinion, I do believe that the people who are already in my homes are probably going to find a change in their financial situation, I’m expecting to get a bunch of homes back. So currently, I’m building up a cushion within my business, to be able to accept and rehab these homes for the next round of people who are probably going to come in after the market crash, which will be probably homeowners, people who actually had a house, the market went down, they lost their job or whatever happened. And they still need a place to stay. And they’re already used to that large square footage. So they’d be looking for a mobile home.
Brittany Henderson [52:42]
What do you believe is the most critical skill that a new mobile home investor would need to be successful.
Danny Burbol [52:49]
So I would say that the every successful person that I’ve spoken to, they always come back to the ability to keep pushing forward. Right, that you’re the road to success is paved through failure, right. So if you can just face your fears, and realize that if you’re afraid of something, you’re probably heading in the right direction. Right? If you’re making mistakes, you’re probably heading in the right direction, because everything you want is outside your boundaries, it’s outside your comfort zone. And the only way you can get there is by crossing those boundaries. And that’s scary. And you’re going to you’re going to trip up. But if you can, if you can look at every single one of those little trip ups as being one step closer to your goal mistake that you don’t have to make again in the future, then that’s going to carry you right to wherever your goal is, whether it be mobile homes or some other style investing. So that that’s where I would go with that.
Neil Henderson [53:47]
If you could hit a magic reset button, knowing what you know now and start your investing career all over again. Is there anything you do differently?
Danny Burbol [53:55]
Yes. And it would basically be the advice that I just said it wouldn’t. Danny, everything you want is outside of your comfort zone. And it’s scary as all get out. But get moving. And when you fall down, pick yourself up and keep going. Because that is the skill you’re learning not to avoid failure. You’re learning how to pick yourself up and keep going. Awesome.
Brittany Henderson [54:20]
Do you have any advice that you would give to someone specifically who has a job and a family and is looking to get into this space?
Danny Burbol [54:27]
That’s a great question. I can’t relate on the family side. So I’m just gonna be upfront about that. On the job side, what I found in for me and my my wife, when we treated investing like a hobby, it paid like a hobby, and hobbies don’t pay. In fact, hobbies are kind of a money pit. When we treated it like a career, it started to pay like a career. So what happened was we put ourselves at risk as soon as so our plan was she quit her job. We had everything set up, we had a cushion, I told you about that earlier, she quit her job first. And started looking at investing full time while I continue to pay the bills. Because we were in a situation where we agreed early on that we would not put ourselves in a financial situation where if one of us lost our jobs, we lose it off. So the whole time, we’d always been saying, okay, everything we do need to operate off of one person’s income. And that way, if somebody loses a job, we’re totally fine. And that’s what we did. So when we decided for her to quit her job, and do investing full time, what do you know, we made a lot of progress. And that was about nine months worth of progress, which was wonderful. And again, I say that now it was wonderful. At the time, it was a lot of her seeking outside her boundaries, a lot of making mistakes, a lot of year, a lot of encouraging your spouse, and saying, Look, I know this is scary. I know right? Now you feel like our futures on your shoulders. But it’s not I’m right here with you. Right and and you made a mistake, but you’re you’re moving forward. So you kind of have to have one of you be the cheerleader for the other if you decide to go this route. And once we got far enough down that path, we realized, okay, if I quit my job to that’s going to double the amount of time we’re putting into this. And once I did that, it literally became our career and our business, and it reunified us. And then from there, we were able to just just take off.
Neil Henderson [56:36]
So you also have a you’ve mentioned a couple of times that you have a couple of training programs that you’ve recently started, can you
Danny Burbol [56:44]
give us a quick overview of those? Sure. So I have two courses. One is all about the investor mindset. And that is a very hard thing to describe. But I’m sure you’ve heard it in my voice this whole time, right? The idea of everything you want outside your comfort zone. And that’s all going to be full of fear, right. And then if you’re running towards your fear, you’re going in the right direction, you’re going to make mistakes, but that means you’re heading the right way. Like a lot of that is the investor mindset, it pushes for abundance, right? My first course is that it is how to be an investor how to go from living paycheck to paycheck, to retiring off of passive income, vehicle independent. So I want you to find the right vehicle for you. Because if you’re doing if you’re taking all of your skills and all your knowledge and all your experience, and going for an investment, that means you will have no competition, because nobody else will have your experience and your knowledge, right. My other course is quite literally what I do, which is mobile home investing. And that’s called the mobile home investors Bootcamp, because I found that I was getting questions from both ends of the spectrum. I was getting questions of how do you be a good investor? So okay, well, I’ll make a course for that. That’s called the ultimate passive income system. And then I got questions from other people saying, No, no, just cut to the chase. What do you do? Okay, here’s a mobile home boot camp. So and then you can find both of those on grow wealth within calm. Okay.
Neil Henderson [58:14]
Well, that answers our last question is how do people who want to get in touch with you reach out to you,
Danny Burbol [58:20]
you can also find me on Facebook, Danny cash flow, all one word, I do video tips, I try to make them under two minutes. And they’re near daily. So I’ll just drop in. And I’ll give you give you an investor tip or a mindset tip. And I also do interviews just like you do. I also have a meetup that I have here in Vegas, and we meet once a month. And I try to get investors come in and beginners to come in. And let beginners see what investors actually look like when they talk to each other. So in from there, to the investors, I’m creating a network of people who are doing deals together. And I’m training people to be investors with integrity to get involved in those deals. Gotcha.
Neil Henderson [59:01]
That’s awesome. Well, Danny, thank you so much for for sharing with us today and taking time to talk with us. So I think that’s it.
Yeah. Thank you for having me. It’s been wonderful, great YouTube.
Neil Henderson [59:15]
Okay, that was Danny burble a mobile home investor from grow wealth within calm. We appreciate Danny, given us His time and knowledge, and especially the mindset stuff was really,
Danny Burbol [59:28]
really interesting. So enjoyed that.
Neil Henderson [59:31]
What was the key lesson that you took away from this interview?
Brittany Henderson [59:39]
as usual, it’s hard for me to pick one I think. I think you know, some of the just that mindset piece of like, you know, you have to push through the fear and the mistakes and you know, some of those those pieces because everything that you want really is outside of you. It just makes sense. It’s a different way of putting it, then some other people have presented it. And I think it’s a good way to think about it. And then also, I had fun talking about systems and checklists and kind of why those are important. All right. So what did you take away from it? My dear?
Neil Henderson [1:00:17]
So, no, I love checklists. And I love the idea of checklist.
Neil Henderson [1:00:25]
we’re going that way? No, but there’s, it’s multiple reasons for creating checklist. One is it allows you to learn as you go, as you start to make mistakes, you’ll go and you’re writing stuff down. But how you did something, you go, you know, that didn’t work. So I’m going to change it and then you don’t have to remember it and relearn it every time you do it. Second, it just kind of clears your brain of all of the stuff that you’re you know, because this stuff can be complicated. And that can be a lot of steps to it. And then third is it allows you to eventually, it makes it easier for you to hire somebody to take yourself out of the tasks that are not as high value for you later on.
Brittany Henderson [1:01:12]
Yeah. And also to share that information, whether you’re sharing that freely, just, you know, sharing your knowledge with other people’s a part of how you give back to the community or as an actual paid product like Danny has done, you know, this is a really great place to start and is something that you know, like even myself in the nutrition world, like leaving aside recipes, we talked about that, but I have these meal plans that I give to people and I realized recently that I’m not sure that some people know how to use a recipe really well. Because like, yes, the recipe is a checklist, but like how do you really go through it and use it to the to the fullest, it’s not just read it once and then do it like you read it. And then you figure out what you need what you have on hand already, you read it again, you know, you go to the grocery store, and you get it and then you read it again, maybe a day or two before you’re going to meet, make it to make sure that you need don’t need to marinate something or do something like hours ahead of time. And then you read it again, like you do these the end. If you do the steps like you won’t get halfway through the recipe and be like, Oh, damn it, I don’t have this thing, or I didn’t, you know, preheat the oven. And now I’m 30 minutes in and I have to wait another 20 minutes before I can like get any further so
Neil Henderson [1:02:32]
and everything that she’s saying applies to real estate. Because no matter what you’re doing, if you’re looking at a property to purchase, there’s going to be a list, it’s going to be checklist that you’re going to want to go through to make sure that it’s it’s an investment that you want to get into whether it be just the physical property or the numbers, running the numbers and making sure it fits your investment criteria. And you should have systems and simply
Brittany Henderson [1:03:00]
and you may need a system for your system.
Brittany Henderson [1:03:04]
know, even a checklist for how to read a checklist. Anyway, alright, so how did Danny go about getting educated,
Neil Henderson [1:03:15]
he had a local mentor that he partnered with, and basically said, Hey, for every deal that we do, I’ll give you a cut of the deal, we just want you, we want you to basically be available to be available to kind of hold your hand when you need it. Yeah, and that’s a great, it’s a great lesson, when it comes to mentorship is, you know, when you’re starting off in this business, you’re learning something new, these are busy people. And time time is the most precious resource we have. And if you are going to them and just saying, hey, teach me how to be an investor, and you’re not providing anything of value to them, then you’re going to have a hard time finding somebody that wants to help you.
Brittany Henderson [1:03:56]
Yeah, there’s a few people that will do some things out of the seemingly goodness of their heart. Usually, there’s some kind of motive behind it, whether it’s to help you become an investor that they can work with. But a lot of times, if that’s the case, they already like you, generally you’re not a stranger. And I think we’ve you know, we’ve talked about mentors before, and it really is a place that you can start at to accelerate where you’re at, you know, it take, it could take a long time to read a lot of books and weed through the information that is out there. And so if you kind of know where you want to go, and you want to fast forward a little bit, then getting together with someone that already knows what they’re doing and can weed through the information with you so that you’re not getting sidetracked, squirrel, you know, over into to some area that’s not actually important, it can be really, really helpful and is usually worth the investment, whatever that is, I think for Danny and his partner that the way that they set up that investment was really smart, because it allowed allowed them and we can talk about money next, if you want it allowed them to not have to, you know, a lot of mentors can be thousands of dollars up front. And that might not be the easiest situation for someone, I mean, for them, they probably could have done that it sounds like they had a cushion. But that would have taken away some of the money to be able to purchase the properties and rehab them in the first place. Because it’s not just that purchase price that’s really low. It’s also you know, you need the eight $9,000 to rehab. So
Neil Henderson [1:05:29]
the creative in the alignment of interest, correct. Between Danny and the mentor wasn’t just about, hey, give me your knowledge, and I’m going to take it and you’re going to create a competitor. It basically said, Hey, give me your knowledge. And if this is successful, you’re going to get, you’re going to get paid.
Brittany Henderson [1:05:48]
Yeah, it puts some more skin in the game for them. I think, you know, sometimes you get a mentor who is there, they’ve already got the money. And if they’re big enough that they can afford the you know, bad review or two they don’t, it doesn’t really matter how great you did, you know, there’s always going to be some people who just do amazing because they were probably already on that trajectory anyways, and they can take your information and go but you know, this really, he had to help them to get his money. And, and he was going to get more money, the more he helped them probably because he was going to help them find better deals and do it in a in a more efficient manner so that they saved more money and all these I just really think you know, and the more money you save, the more money you get all that kind of stuff. So I just think it was an ingenious way to go about it. And if you can find a situation that’s similar, that’s a really good place to start. Alright, so time,
how much time how
much time? I’d say.
Neil Henderson [1:06:52]
I mean, he kind of said that. This was not something didn’t didn’t take all that much time. And of course, it depends on whether or not he’s in acquisition mode or maintenance mode. Yes, obviously, acquisition mode and rehab mode is going to be a lot more work, then the maintenance mode of having to collect the checks and things like that. I don’t know that we got an exact hour out of him.
Brittany Henderson [1:07:15]
No, I don’t think we did, I think one of the things to take note of is that he has outsourced as much as he can to other people, that then reduces the amount of time that he really needs to spend there, a lot of the time is driving to someplace looking at it, you know, his assistant, obviously, is setting up a lot of the initial calls and working through the initial stuff for like carpet guys, or whatever. And then I assume that he probably now has some carpet guys that he just uses, generally speaking. And so you know, that’s cut that time. So he’s really worked up to where he doesn’t spend a lot of time on these things is sort of what I read into that. And so I think, you know, we can pound this in further that the quicker you can outsource things, the more you get your time back, and you can spend that doing higher value things or those, those revenue, getting, collecting whatever, you know, those types of activities, revenue generating activities, that’s what I was trying to come up with in my brain. There’s a word for that. But I can’t remember the word for that either. But anyway, I think, you know, for for Danny, he’s done a lot to like, reduce the amount of time that he spends on this,
Neil Henderson [1:08:34]
what would you say? Give me a give me a number.
Brittany Henderson [1:08:36]
It sounded like he you know, probably, I mean, I think he probably spends less than a full time job on it, because that’s what he wants, okay. He doesn’t want to be working all the time. Maybe he does spend a full time job on it. But it’s, you know, stuff that he likes to do
Neil Henderson [1:08:52]
3030 years since I was my
Brittany Henderson [1:08:58]
guess, part time, foolish job. But like, when you enjoy what you’re doing, and then you also have the flexibility to say like, I’m not doing that right now. You know, it really opens things up. I think that a lot of people and apparently have a lot of thoughts today. Right? You know, people don’t necessarily just want to sit around and do nothing, no, they just want to be doing something that they feel is contributing in a worthwhile way or interesting or, you know, fulfilling fulfilling for them, whether it’s because it gives their family the time that they want or whatever that is. And for Danny, it was like he didn’t want to be working for money, hour an hour he he really just wanted to have that time to choose what he wanted to do with it. And he chooses right now to do some active investing. We didn’t really get into it. But I would assume that, you know, there’s probably something that he’s working towards, you know, is it that they want to be able to go travelling for a certain amount of time or whatever, I don’t know. But he’s made a decision to double his portfolio for some reason. And maybe next time we talked to him, we can ask him about that
Neil Henderson [1:10:12]
much money to take him to get started in this niche. I know that he got started previously with
Brittany Henderson [1:10:18]
not a lot. I mean, $10,000 Yeah,
Neil Henderson [1:10:21]
that was what I gather took him about thousand dollars to acquire it another nine to eight tonight,
Brittany Henderson [1:10:28]
I would say if you had like a nice nest egg of like 20 grand and probably be a good place to start. Because that was with a smaller single why and he said the double wides tend to be a little bit more desirable, yada, yada. So if you can give yourself if you have like about a $20 $20,000 chunk of money, that that is probably a good place to start for this type of strategy. Obviously, you could go over though, if you needed to know. Alright, so location independence for a couple of reasons. And depend unless you can find someone to outsource. The showings to this is fairly location dependent,
Neil Henderson [1:11:11]
correct. That would be what I would say, right now, I would say Danny, this is very much a local kind of locally for both for because he needs to be the one to show it. And then for regulatory reasons, because he needs to basically be a broker, a licensed mobile home broker in the state. Yeah. And that may differ from state to state. But until Danny can hire hire out that job, then
we can be
Brittany Henderson [1:11:44]
And, you know, something to note is that mobile, mobile home parks, there’s a limited number of them. They’re not everywhere, from what I understand. And so if this is something that you do want to do, but you don’t have have them in the area that you live in, then you need to find that person to outsource it to or you’re going to have to move to where they’re at, which might not be ideal. So this is as we live in Las Vegas as well. Like we could theoretically do this. And and because it’s nearby us but someone who’s listening that’s out of state, you know, you’re going to have to really look at, even though there’s a lot of like seems like a lot of great pros to how this could work for anybody, but particularly a family. Like if we look at a lot of different strategies, and this one looks like one but if you’re in the certain financial position and have a certain amount of time. You know, for us, it’s a little dicey, because we’ve got a four year old, but maybe you’ve got a little bit of a older kid or you’ve got a better care situation. And we do or whatever that you might have the flexibility and the nest egg to really make this work. If you can find the actual like properties and you know, have the resources, all that kind of stuff. So
okay, cool. Here’s my diatribe. very chatty today. Anything else that we feel like we need to think that covered at all? All right.
Brittany Henderson [1:13:07]
Yeah, awesome. Well, that was really an amazing chat with Danny burble of the grow wealth within.com. And so if you are interested in getting in touch with them, you can go there or find him on Facebook at Dan McCann cash flow. And if you have any questions, just
let us know.
Neil Henderson [1:13:31]
And if you like this podcast, we would really appreciate it if you take just a few minutes and leave a review for us on iTunes. It’s really simple to do. Just go to roadtofamilyfreedom.com/review for links and instructions. Thanks for listening. We’re doing this all again next week. Until then, safe travels
Three Key Take-Aways from this Episode
- Within two years of investing in mobile homes, Danny went from having $1,500 cash flow from five real estate units to having $7,000 a month cash flow from all the mortgages he was creating with mobile homes.
- Owner Will Carry means that you get to be the bank and become a lien holder for those looking for a mortgage loan and they become the owner.
- Whatever deal you do, if one person is going to lose, don’t do it.
What you’ll learn about in this episode
- Danny Burbol discusses his history in real estate.
- What is the vehicle that allowed Danny to stop working a 9-5 job?
- How does Danny make money from mobile homes?
- How did Danny get educated?
- Why does Danny deal with ‘double-wide’ mobile homes?
- Paying a mentor is a scary concept, so if you can, pay for results.
- Was there any mobile home investing books that he learned from?
- Borrowing money costs money.
- Owning a mortgage note is a depreciating investment.
- What is a day in the life like in acquisition mode?
- Making a checklist is crucial.
- What advice would Danny give to mobile home investors?
- What were the take-aways that Neil and Brittany gained from Danny Burbol?
Help Us Out!
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