For a note investor to get 50 deals and make 50 offers, they need to have an idea of their due diligence right up front. The thing is, due diligence is one of the processes that takes a good chunk of time for a note investor. But JD Bates created the software NoteProz to help them save time doing due diligence with just a click of a button. This speed-up in the process is a huge help to get bids up on a regular basis because due diligence happens before and after the bids.
Listen to the podcast here:
Speeding Up Due Diligence with JD Bates
We are excited to get rock and rolling with you. We are so excited to have you join us here to discuss some of the great things that is going to help so many of you out there take your business to the next level. Something that’s going to save you time, save you money. Before we dive into that, we’ve got a little bit of housekeeping to go through. We have a variety of people who join us on a regular basis here. We have real estate investors. We have note investors. Basically, our major focus is helping note investors, people that are investing in paper, first, second deeds, owner-financed, any type of that asset class. We have people looking to get into notes. For those of you that are joining us for the first time, thank you for joining us. We hope that you love what you hear and you join us on a regular basis.
We just got back from South Florida. We were on the
I have to first give a lot of big thanks out to all of you. We hit 50,000 downloads on the Note Closers Show Podcast. Thank you so much. Big applause to all of you for listening and sharing. We could not do the show without you. Thank you to all of you who subscribed to the podcast, who have shared it, who have left us a review. Thank you so much. We’ve got some lofty goals for the next couple of years and we know that the podcast is a big, big part of it. We’re over 52,000 downloads. If you have not listened to the podcast, do so on iTunes, on Stitcher, on Tunein, on Google Play Music. We have set a very big lofty goal for ourselves. We discussed this on one of the episodes of the podcast. We have a five-year goal on We Close Notes to help educate and create 10,000 note investors. I know that’s a very lofty goal, but I believe we can do it. We can do it by having the workshops and also having the podcast. If you are new here, we want to help you succeed. We want you to accomplish the goals that you’ve set for yourself over the next 6, 12, 18, 60 months or whatever it might be. We want to help and educate and create and help you find success out there. That’s the only way we will find success ourselves is to help lift the people around us, which ultimately lifts us up.
We believe in a servant leadership model here at WeCloseNotes.com and we are here to help serve you as best as we can to help give you the nuggets that you need to succeed. We’re not here to hide anything. We’re not here to smoke and mirrors, to blow smoke up your ass. We’re not here to do that. We want to give you real nuggets, real good content that will help you in your business. We believe this is going to help many of you do a lot of that here very shortly and you will be very pleasantly surprised. If you’re interested in getting to be a part of the Mastermind or coming to the Fast Track Training, you probably want to reach out to us sooner than later. Don’t wait until you close two or three deals to come and get your feet wet. There are a lot of great things that are happening with people before they arrive. We’ve only got two spots left in February and only three spots left in March. If you’re interested in being a part and going through our three-day Fast Track Training, you want to reach out to us so we can get you reserved. If you want to RSVP now, it’s three days of basically one-on-one coaching. It’s a small group. We don’t go more than ten people. We usually have around six to seven people. It’s focused on your business and what your needs are. That’s why we keep it small so we can focus on the needs of the people in the audience. I’m excited about that. We want you and your partner, you and your spouse to come in. We want to help you put your note business in overdrive.
Also you want to mark on your calendars our next Mastermind. I had a lot of people asked me that and have dropped me emails and messages when and where is our next Mastermind? We’re going back to Cape Coral, Florida. It’s April 13, 14, 15. That’s tax weekend. You’ll need to either have your extensions filed or done before you get there. If you don’t have it done, we’ll have some extensions printed so you can actually file them at Friday, the 13th or on Monday, the 16th if you need to be. If you want to get to look and talk with somebody about booking your time there, we will have a couple of sneak peeks I think this time around. I don’t have the specific number on those allowed like we did last December but you want to reach out to Stephanie. You can reach Stephanie directly by shooting her a text message at 512-507-5663. If you’re a previous Mastermind member, please make sure to do so and reach out to her so she can get you on the list. Room blocks are taken care of and get an idea of the exact headcount. I know we’re still three months out from that but you can never plan too early; 90 days from there. If you’ve got some big goals, I know many of you do, maybe you probably have it on your goal to make it to our Mastermind this year. That would be a great way to kick your year off at that point. I’m really excited. We’ve got a lot of great stuff of the roster lined up for you in the next month, just some great, great stuff. I think you’re going to really, really love and not want to miss out on here.
We’ve got a question here, “Where do you get more information on the Fast Track Training?” Drop me an email at Scott@WeCloseNotes.com and myself or Stephanie will give you a phone call to discuss what’s all involved with the Fast Track and the Note Mastermind.
Let’s dive in on our contents. It’s all about due diligence in minutes. I know that so many of you have goals set for this year with how many deals that you want to ultimately close, how much money you ultimately will want to make? I know it’s probably six figures, “I want to close twenty deals, I did five last year. I want to close ten because I haven’t closed on one yet.” The idea is that we all get these lists that come out on a regular basis from the asset managers and so many people, I see this online, I see this in The WCN Crew Facebook page, people struggling to get their due diligence done. They’re like, “I’ve got to get everything done in the frontend before submitting an offer,” and we all know that’s not true. If you’re in the note, there’s a lot of due diligence that goes before the bids and then after the bids. Afteryou get a bid back, whether it’s accepted or countered or declined, especially if it’s accepted or countered, you’ve got to really dive into doing a lot of things. Anytime you can expedite and speed up your time from the time you get a list to the time that you’re getting your initial or indicative offer into the asset manager, any way to speed that up, it’s huge help and you get more bids accepted in the long run.
I see so many people struggling in the frontend trying to figure out how to do things and I’ve had this happen to myself too. I’m very blessed. I’ve got a really good group here in the office that does a great job. Greg, Jennifer and Nichole do a great job but I’m still always looking to speed up their times to help us get bids. We do a lot of offers in the bulk side, making 100 offers, 60 offers, 50 offers. So many people struggle with that and they’re like, “I can only submit five.” If I could show you a way to help you really speed your time up, trust me, it’s well-worth it to get things done. It’s all starts with due diligence. When you get a tape in, you’re going to slice that tape with an Excel spreadsheet down in a variety of ways. You’re going to get rid of the states you don’t want to look at. You get rid of the property type. You’re going to look at the ones that are occupied or vacant. You may look at their last pay date. Then you’re going to jump on Zillow which we don’t believe Zillow obviously is the greatest of values, but you’re still going to use Zillow to get a rough value, if it’s in a good position or good status, beds, baths, square foot, rents. Those are things that aren’t always going to be on the spreadsheet that you’ve got to pull relatively quickly.
You want to make sure to double check the values on Trulia or double check also crime mapping. The heat mapping aspect or the crime map in Trulia is so important to see whether you’re buying a house or buying a crack house; some important things to keep in mind with that. If you’re going to buy 50 deals and make 50 offers, you want to have an idea of your due diligence in the frontend being somewhat accurate or at least saving you time. Check out Rentometer, it’s also where you check rents, proximity to other things. The hardest thing that everybody struggles with is how to get realtors or how to find realtors in the location of your assets that you can actually have them drive-by the property, give you an accurate CMA and actual photos. Oftentimes, I’ll get realtors involved in the frontend while I’m waiting for my indicative offers to come back either accepted or get declined or things like that. I don’t always run a realtor up on the frontend. I don’t have time when I’m putting in 50, 60 offers or ten offers or five offers a lot of times. I want to get that offer in and get it accepted. Hit that number that the asset manager is looking for so that when they accept my offer, they come back, then I can spend more time with the realtors that drive-bys just checking the conditions, then calling the county records, calling tax offices.
I don’t need to spend a lot of time on that in the frontend especially for power and things like that because I may not get the offer accepted. I can always check taxes. Taxes are important thing to check that you’re going to have to call no matter what. If I could still save you time or show you how to save time and hopefully save money, it’s a good thing. We all need photos. We all need CMAs. We need to see somebody drive-by the property. We can agree it’s a lot of time and a lot of effort. Online due diligence is only half the battle. I don’t know if you’ve ever broken down 100 assets by yourself. I’m sure many of you have tried to do that. It takes time. It’s very easy to make errors if you’re not really smart with Excel by doing copy and pasting in the wrong spots or eventually your eyes start to get blurry because they all start to look the same.
Many of you have heard me promoting another company out here that for $4 or $8 an asset, they’ll run through and they’ll pull a lot of the online due diligence data for you. They’ve been a very valuable asset, but they still take time and they’re not always accurate either. You’ve got to wait 72 hours on average if not longer if you’re going to submit more than 30 or 40 assets. They have a limited bandwidth what they can accept and really work through. I’m asking you a rhetorical question. I’m going to ask you, “Who wouldn’t want to cut out that 72 hours of wait? Submit and wait. Sit around. Who wouldn’t want the online data from the websites we talked about now?” I guarantee everybody’s going to raise their hand and say, “I’d like to have it.” Everybody would. What if I could show you a way that will help you actually identify realtors to call, also that will allow you to go directly to making a phone call at the tax office. Making a phone call to the county records department or the county utilities department while your data’s done now. You don’t have to wait until 72 hours. You can call now because all your online due diligence are pulled for you. Wouldn’t that be valuable to all of you?
If you’re doing 100 offers or 100 assets, that’s $400 bucks right there to run your due diligence through another company. You don’t know if it’s going to be approved or not approved. You’ve got to wait around 72 hours. I know I’m talking to a lot of people here. What if I could give you a tool that’s not only going to help you pull your online due diligence but also give you access to the list of asset managers? Would that be something that’s valuable to all of you? Of course you would love that. Who wouldn’t want to have asset managers and also a tool to help you with realtors in reaching out to your asset manager? Who would not want that? I’m excited. Let me introduce you to a company called NoteProz and our special guest is JD Bates who is joining us from outside the country. JD is a great guy. Hi, JD.
JD, you are the creator of the NoteProz software and due diligence tool for note investors. This has saved our office hours and in some cases days of due diligence time in a click of a button. You’re going to be their best friend here.
That’s my goal. I’ve been working with note investors actually for a year and a half to two years. I’ve gotten so much into the industry and the ways that you do business. It’s a joy for me to be able to help you do what you do.
You’ve done a tremendous job. A little secret here: If you were part of the last Virtual Note Buying Workshop we did, we had JD on talk a little about NoteProz. You’ve had a lot of people that tried to break the machine. In the beta version, they’ve gone in and give you some pointers, “Let’s tweak this. Let’s add this.” This is after I spent six months doing that with you and gave me some pointers as well. The beautiful thing about this is this isn’t just for note investors. This is a tool that you can use to pull due diligence on a variety of residential or other real estate deals that you can pull by jumping into it. Where are you located?
I’m located in beautiful Costa Rica.
Let’s talk a little bit about this. You want to dive in and share with people the awesomeness of NoteProz?
Let’s start from the beginning. For those of you who don’t know me yet, I’d been working with note investors for almost two years now. My company is called Five Sigma and what we do is optimize digitally company processes from online marketing, websites, sales funnels and everything else to create custom platforms to optimize internal company processes. This is basically how NoteProz started out. We started getting some real estate investor clients. We always asked, “What is it that’s the most time-consuming thing for you? What is it that takes more time from you on your business so we can go in there and try to help you?” The due diligence process was the thing that always came up. We decided to start creating a platform, just a very simple scraping tool. That’s how NoteProz started out. It started as a very simple scraper and then it has grown to what it is today. I believe it’s the most complete due diligence tool for investors out there. We wanted to become a platform where you manage your real estate investing business. Besides the due diligence process that we have created here and it’s going to keep going throughout updates and with the feedback from you, we’re going to keep improving this. We also want to be able to implement new stages of the real estate investing process; how to manage your deals, how to keep track of every single cent and every single investment that you have? In the near future, in the next couple of months, we’re going to be adding CRM into NoteProz. Everything is in just one place. It’s not Excel sheets everywhere. I’m pretty excited to present this to you.
I’m going to start presenting to you the due diligence platform that we have so far. As we worked with investors, we were able to identify what were the things that were most time-consuming and that was the due diligence process. Then we identified how it was segmented. We learned that you have to be able to get tapes first from the banks. After you got the tape, you had to do the due diligence process to see which assets of that tape were worth investing on and which are not. We did that. We split NoteProz in two parts: the bank and asset manager database where you will be able to contact directly asset managers and then the property data scraper where you’re going to be able to copy, paste from tape right into our platform and then be able to get all the most important information for you to decide which assets are worth your time and money and which are not.
I really experimented what you had to go through when it comes down to contacting asset manager database and get the tapes. We spent around five months probably. We first decided which states were more profitable for note investing. After we decided which states to focus on, then we went into each state and find out where all the banks that had assets to sell. After we did that, we spent around five months just calling all these banks and try to get through the gatekeepers and be able to get the information that you need the most in order to get the tapes. What we did here is try to get some information for you to get a direct contact with the asset manager. As I experimented and you probably know, you have to do at least three, four or five calls in order to get a hold of this person because it’s not like you’re calling customer service. You’re calling to try to get a hold of somebody within the organization that doesn’t usually takes calls from anybody. We have to do that. We didn’t call once. We called several times to these banks. We got hang up many, many times. It’s hard. I too understand, “This is not easy.” We got hang up on many, many times but we were able to create this database for you. We’re going to give you some information for you to get a hold of the asset manager of the banks on each state.
Basically, we identified which states were most of interests and then we started calling all the banks in those states that had assets to sell. We’re going to provide you with the main bank phone number. If there’s a direct extension, then we’re going to provide that for you. If that is not provided, then it’s going to be left blank, the direct number for the department. Obviously the person in charge of that department,that’s the one thing that we wanted to get. Who do we have to talk to in order to see if you have any assets for sale? The name of the asset manager, the email, the department email or any notes we created these fields for you so you can try to contact this person. You’re not going to see the data fields filled all of them the same way. The banks are not always very open to give this information. Sometimes they don’t have a direct extension. Sometimes they don’t have an email. What we tried to do is get you some information so you can get a hold of this person when you’re calling the bank.
It’s very different when you call a place and say, “Can I speak with Scott Carson in this department?” Then the person is going to be, “Sure. One moment.” Then they’re going to transfer your call instead of going, “I’m JD and I’m calling from this company. I was wondering if you had assets to sell and if I could speak with somebody?” You’re going to get hang up. We basically did all this work for you. It took a lot of time for us to do this. We wanted to provide you with the best, the most effective way for you to get a hold of this asset manager because that’s the key. You get a hold of the asset manager, you do that, you’re going to be able to create a relationship. You call them by name like, “Eric, how are you?” That’s what we wanted to do with the asset manager database.
The great thing about this too, JD, is you don’t have all 50 states up there because there’s no reason to put all 50 states. You’ve put where the bulk of the assets are and you still don’t have all the banks into this. This is not a complete be-all-end-all list for the banks. It’s a chunk of it that you’ve reached out to. You’ve had VAs, you had other people call them and reach out to them and track down this information to help prime that pump for people to reach out to.
That’s basically what we did. This is not the Holy Grail of database. This is just a result of months of work. That’s something very important to note. If you call some of these banks or a state that you’re actually interested in and you find out that the data here is let’s say Eric here is not in charge of this department anymore. We do try to do updates on the database every couple of months. Not always we’re going to be able to do this every month or every two months. We’re going to be able to do this every once in a while and information during that time to do updates may change. If you run into some information that has changed, please just use the contact button and just let us know, “JD, I’ve been calling these banks or this and this bank, there are new asset managers and here are the names.” This is not something for us. This is something for you to help your fellow investors. It’s just something that as a community, we want to be able to have this database to the community of investors and NoteProz members. If something changes and you have some feedback or something, just use the contact button and let us know and we’ll update the database.
Can you go over the states?
We have Florida, Georgia, Indiana, Kentucky, Maryland, Michigan, Missouri, North Carolina, Ohio, Oklahoma, South Carolina, Texas and Virginia.
You won’t be wasting time putting in Arizona or California because we’ve got some, “We’re getting assets in California.” This is where you see the books. It’s not saying they’re not going to add more states later on there. You made add them as markets change and as you dive into your VA put some stuff as you update it in a quarterly basis. That is a good chunk of states to go through.
It’s very straightforward. The database, you choose the state, you choose the bank and off you go. If you find some information that has changed, just use the contact button and send us a message and then we’ll go ahead and update the database and we’ll hugely appreciate your feedback.
We have a question here, “Is this information from your system transferable to our CRM or email database as we establish contact with the bank asset manager?” Could you export this information or they basically just copy-paste it?
You can copy-paste it and you are free to copy, paste it from your database. We’re not going to give out the database as an export functionality. This is something that we worked very hard on. We want to keep it within the platform. You’re free to copy, paste all you want.
If that’s the case, they just got to log in once, pull everything and never use it again and that’s not fair.
The point again is to create a community. That’s exactly what we wanted to avoid. Just people coming in, use it once and then never come back. We wanted to avoid those opportunists and be able to create a community.
Let’s dive into the second part, the banks. Let’s dive into the asset scraper.
This is the other part of our platform, the property data scraper. This is how NoteProz started. This is super straightforward and this is how I wanted to create the platform. Something so simple to use because I’ve seen some other platforms that are real-estate oriented and they’re so complicated. Think about so much data, so many graphs that it’s not even useful. They’ll give you so much data that is not useful. The first note here for the scraper is you have to use it with the format that is in example on the input.
Basically the address, city, states copying over those columns, correct?
Right. It has to be in this format. If there’s a comma, if there’s a zip code, then the results are going to be like no data or it’s going to give an error. Make sure you input the data as it is on the example. I had some people coming in, “Is your site down? It’s not working properly.” Make sure you follow the format.
He’s literally copying the address, the city, the state. You’re not having to copy the actual column headers though, correct?
No. You could just go select and copy and then paste. You have to give it a couple of seconds so it loads all the data because we’re pulling a bunch of data from a lot of places in order to show it at one place. It might take some seconds sometimes to load. Just have a little patience when you do it. It’s not broken or anything. We’re just getting the data for you. Basically after you copy-paste, we’re going to show you all of values of the property. Bathrooms, what is the lowest estimated value, the highest estimated value? Last sold, when was the property last sold? The price, when was the tax assessment year done? The amount, what type of house it is, when was it built? This is something very important for you to know if it is an old or a new house or what. The lot square footage, the finish square footage or the construction in square footage. This is something very cool. The crime data of the area, also we have the crime value, the maps and the realtors.
You’ve got the low value and the high value. It’s not a hard exact value of what the property is. You still are going to need somebody to go out and take a look at it but this is going to be based off recently sold, is that correct JD?
That’s totally correct.
Let’s talk about the 4420 East Stone Gap Road, Big Stone Gap, VA where it said no data there. Is it just probably because it’s smaller and there’s not any online data for that property?
Sometimes there is not going to be any data on it. We look for the information. If it shows no data there, that means exactly that there’s no data. You are always welcome to double check and stuff like that. If it comes out with no data on bathrooms and bedrooms or the address or the values, it’s probably not online at least.
There’s just little information which is very, very rural asset which will run into quite a bit from things, and recognizing that the list that you send out, you’re going to have that. That’s why I was able to pull that up. The beautiful thing is the crime map. Let’s talk about the 236 South Prospect where you pulled up one assault, two drugs, one breaking and entering and seven theft and 28 total.
These are the different average report of the area. I don’t really know what this order is. I don’t know what kind of crime that is.
Drunk and disorderly, just being loud and obnoxious basically.
I guess there are a lot of parties in that area. There are 28 disorders, seven thefts, breaking and entering, one drugs and assault. It’s not as bad. I’ve seen worse. At least you get an idea of what’s going on there. The data is there for you to analyze. The platform is not here to tell you what assets are good to invest and which aren’t. The platform is here to give you a direction. That’s basically it.
What JD pulled this from is an older spreadsheet of contract for deeds. Am I correct, JD?
Yeah. This is an old one. This is just something that I use for examples.
A lot of those were sold four or five years ago. Counterfeit, that’s why they’re sold lower than the actual value and stuff. That’s the reason for this. It’s not anything relatively new. We have a question here, “Where’s the rental factor taken from? Rentometer, Zillow, etc.? Could crime be coded accordingly to the Trulia heat map green, yellow, red or not?”
No. That’s something that we tried to do but this is the best we can do regarding crime data for areas. This is a platform that we’re always going to keep improving upon. We want to be able to give you the best data and the most accurate data. The crime data, the maps that Trulia shows are very cool. Those maps, they’re a little bit more comprehensive. There are colors and then you can see. With this, you have to read how many crimes there had been and then you can judge through that. That’s something that we wanted to do at the beginning, but we’ve found that that’s a little hard to create or recreate something that Trulia has. We’re going to keep improving and then eventually we’re going to show something like that; something that tells you from the scale from one to ten, how dangerous that area is or something more comprehensive to what we have right now.
We have a question here, “It’s pulling online data so it’s pulling Zillow. High and low values are originally sold on Zillow?” No, it’s not pulling off the MLS. He is not going to pay access for MLS or everything. This is really just pulling you quick online due diligence stuff on the frontend side. It’s not pulling from the actual listing agents. Let’s go ahead on where it says View Realtors, so people can see what that aspect is.
This is something that you see. Let’s say for example, you just want to really quick went through the data and say, “I like this and this property. We need to go ahead and contact somebody to take a look at it.” We did that for you. Instead of you going into realtor or trying to call your realtor’s database or try to somehow find out what realtors serve in that area, we did that for you. What we did was to export the zip code from the address and put it into realtor and then realtor is going through all the agents that work on that specific zip code.
The beautiful thing is that it gives you the values and the activity range, their lowest to highest, the last time they listed a house. You see how active they are. This is a really cool tool to help identify. This is one of the most difficult things that people struggle with is reaching out to agents. Now, you’ve got 29 right there that you knock out with a phone call or send an email to them really fast, “I’m looking for a listing agent. I’m looking for somebody to drive-by and do a CMA for me and drive-by BPO.” Really, really valuable for that.
Let’s say NoteProz didn’t have this realtor functionality. Let’s say for example you did look at the property and then you did like it. You still have to go to Realtor.com, put in the zip code and try to figure out which of these guys to call. We just expedite that for you. In the business, what we do is the less clicks the better. That’s what we’re trying to do, for you to do less clicks and more decision making and just phone calls basically.
We have a question, “Is there a way for you to put a link in there so that the crime box link goes back to actually the crime map? Is that a possibility?”
That could be a possibility, yes, that we can show the data and then a link to Trulia. I’m going to take note of that and see if we can implement it.
It shouldn’t be too difficult to implement. It’s not like you’re going to show the map there. You do have the map there, just the regular Google Maps there where they can click on it and pull that up too, correct?
That’s right. Let’s look into that. What we did here is basically that you were interested in a property. You want to look into where is it located. It’s super important also for you to know what is around the property. Are there schools? Are there banks? Are there malls around? Location, location, location, this is the first rule. Looking at the map is a very important thing for you. We did that so you can see what is around the property. Even more, if you want to look at the property firsthand, you can use Google Earth. You can see that with the map view. All you have to do is go down on the bottom right and then pull the little yellow guy and then put where the pin is. A quick tip for you: The blue lines in the streets came out as soon as I grabbed the doll. That’s means that the Google car has come through those streets. If you pull the little doll and there are no blue lines in front of the property that you want to look, most likely you’re not going to be able to look at it. That means the Google car hasn’t gone through that specific street or location. Most of the times, you will be able to see it, sometimes no. I’ll say probably 15%, 10%. This is a good way for you to see the assets firsthand. This is something very useful that I was pretty excited about also for you to be able to see what is around the property or around the asset and actually see the asset firsthand right then and there without having to wait for the realtor to show you pictures or anything you are going to be able to see firsthand what is it that you are going to put your money on.
We have a question, “Can it do a city population? Can you include the size of the city by any chance?”
Size in the city, that’s something that I was looking into when we’re looking at the features. Somehow it just stayed in the back but I’ll consider it and put it on the feature wish list.
A lot of times you can tell where the city is with the maps or the things that you look at. If there’s no data, a lot of times there’s no data because it is a smaller city. If you recognize the city, great. If you don’t recognize it, it’s small there and clicking on the map will tell you how remote or rural it is too for you, correct?
Exactly. You can also tell by the address and the town and the state and everything. There’s a lot of ways for you to figure that out. Our goal is to input as much data here for you to be useful on the due diligence process. Any features that you want to put in there, what you like to see on the scraper, just send me an email.
Let’s do the one really nice thing that you’ve also added. You’ve added many nice things. I don’t want that to sound bad. There’s a little button where it says Export CSV.
There are two options. You can export this sheet. You can either check all which is going to check all the assets or you can just choose one-by-one. You can just say, “This one, I’m interested. This one, I’m interested. This one, I’m interested. This one, I’m interested. These are the ones that I’m interested to get on.” Then you can just click Export CSV. It’s going to save the CSV file into your computer and that’s it. You can save it anywhere you want in your computer, your OneDrive, anything else and then you’re going to be able to see the same data that the scrapers showed into the CSV file.
One of the great things that you should all be doing is obviously using interns or assistants or things like that. You could share that file directly to Dropbox that you share with your virtual assistants or your office staff or partners or whatever and now they’ve got all the information there that pulled up. Therefore, that can be copy-pasted directly over to the rest of the spreadsheet that you have that you pulled this information from, right, JD?
Yes, totally correct. The maps and the realtor links will be on the export CSV this very same link.
Which means that 29 realtors, that information is going to be in there as well?
I’m going to put the very same links. You’re going to be able to have that on the export CSV as well.
I own 1113 O’Brien Street in South Bend, Indiana. That was hard to find. It didn’t have much information and we found this out from basically calling local realtors. The reason it didn’t pull up is there was very little data on that one to begin with. Luckily, it’s a re-performing asset when the first time we bought it. It was hard pulling values because there weren’t a lot of sales in there. We didn’t know beds, baths, those kinds of stuff as well. You still want to double check some of these things to make sure; maybe an extra search or things like that. Honestly, if you had 200 of these assets and you’ve got as much information as you could on over 75 to 80 of them, that would allow you to really spend a lot of time on the last few that you need to.
We have a question, “What’s the accuracy percentage of the data?” 80% to 90% effective is what I would tell you. There’s not a 100% perfect scraper because not every address is going to be on the websites out there. If it’s a new property or over to a small rural area, it’s not going to have all the information that links into stuff. For the most part, if it’s in a major area, a major metroplex, a major city, it’s going to be pretty damn straight on with everything. Just think of how much time we just saved by literally just pulling that information to help you identify. If you look at West Millgrove, Ohio, theft, drugs, that will probably be one right off the bat that I would say no.
It has a 105 thefts, 23 breaking and entering, assault with deadly weapon, 10. That’s something that you’ll definitely say, “I don’t really want to look into this.” That’s basically what we wanted.
The rental rate, is that coming off of Zillow as well or Rentometer or which one?
We have a question, “Does this software pull information due diligence of commercial assets as well?”
Any address that you put in there, it should give you data. It’s not only residential or commercial. You put the address in there and then our platform and the algorithm pull any data that there is of that address.
It’s not going to give you accurate rent rates for commercial property because we know that can change and vary a little bit. It will give you a good chunk of information there. You’re not going to get bed or baths but that’s something they will edit a little bit too and help streamline some things. We have a question here, “Would you place a bid based on the low value or an average of low and high?” I would put it based on probably the lower value because I haven’t put eyes on it or a midway. I would just put a number in there and put value midway. It will depend. Like the Rockford, Illinois what we see there. It’s $30,000 on the low, high on the $40,000. I could probably put a bid somewhere around $35,000. The one in Bellaire, Ohio where it’s between $30,000 and $90,000, I’m for sure you’re going to want to have a realtor take a look at that one first. That will also depend a little bit on what the unpaid balance is on this one as well. That’s one thing you have to still do is match up these spreadsheets with your unpaid balance to see if it’s over-encumbered with debt or under-encumbered and go off of there too.
We have a question, “On some of these that had no data or it showed a blank, what’s the difference between those?” I got Cooper, Texas a pretty good-sized area. No data there because it probably didn’t list low or high but still the property showed up on there and probably there wasn’t any recent solds whereas in Bland, Missouri, that’s a small, small area.
The results of no data or it shows blank is just that we just didn’t get enough data to show. That’s basically what it means.
We’ve got a question, “Is this information saved on the site or does it export, how you can save it?”
We’re working on another feature like that. We want that the platform will automatically save the searches because we actually want to minimize the amount of searches that are done. Use the scraper and then get the data and then somehow you didn’t export it and then you have to do it again. All those API calls take bandwidth from the servers and everything else. What we want to do is for the platform to save automatically and would link to your account the last five searches that you did. Then we’ll try to save that data in your accounts. That’s also a feature that we’re working on right now.
We have a question, “The tax assessment values, is that pulled from the county or Zillow as well?”
I believe it’s from Zillow if I’m not mistaken.
One thing, you are still going to want to pick up the phone or jump online to check out the tax, what’s owed in taxes, and still make a phone call. You have to realize, this is a scraper that will help you on the upfront due diligence. You still got to check taxes. You still got to pick up the phone and call to do that stuff. There’s no program that’s going to help you solve that without picking up the phone and making it done.
Even though we’re working on it, even though that’s our goal, there’s always going to have that underground work that you will have to do in order to confirm.
The low and the high values is basically pulled off of Zillow. Recent sold was off of Zillow or vary a little bit. Do you limit the number of searches that they can do each month?
We don’t limit the amount of searches that you do a month. The functionality that we were talking about where we want to be able to save the searches is exactly because of that. We don’t want to limit you, how many searches you can do. We do want to limit it in order to not crash the site. Right now, it hasn’t happened but I’m projecting that there’s going to be a time where there are going to be thousands of users and then there are going to be even tens of thousands of searches. That could collapse the platform. We want to avoid that for sure. We don’t want to limit the amount of searchers so we’re going to give you tools in order for you that you no longer have to do the searches many, many times.
This is the best information you can get right there. You can add a couple of things that’s based on a couple of sites but you can’t run to every county website out there and have every tax office website linked and never be included. That’s not going to happen because not every county has stuff. Sometimes you’ve got to subscribe to counties. Sometimes it’s the same numbers. Sometimes it’s labeled differently. All you’ve got to do is go to NETR Online to track that information down for you. We have a question, “Would you recommend using this tool with Lane Guide in locating asset managers?” Yes, I would. That’s why we have it on here. We have another question, “Does this cover everything pre-bid? Do you do taxes and realtor drive-bys and accept the bid only?” No. You can check your taxes now with a phone call or logging online. I will not wait because you’ll make a bid and you find out it’s going on the tax sale six months ago. You just wasted time and the asset manager’s time. You can check taxes in the time that this saved you pulling those values. Utility companies especially in Texas, the power companies deregulates so you don’t know who it is there. It’s still one thing you need to pick up the phone and call and ask: Is there a balance? Is the water on? Those are things that you can’t get from a scraper where you can get from a phone call. You need to be doing that with a phone call. We have a question, “In listing the cities, can the actual county also be listed so we don’t have to look up the county phone number? Is there a way for you to put the county in there too?”
That’s something that we haven’t looked into but please feel free to just contact us.
I know when I have paid other people to pull lists, I’m paying hundreds if not thousands of dollars to pull due diligence. JD, you want to share with them how much this is going to cost them to have access to this?
This is a monthly subscription thing. It costs $47 a month. Since we’re going to do something for Scott Carson’s students and the audience of Scott’s, we’re going to give it to you for $27 and that’s including the future releases of the CRM. It’s just $27 a month. I think that’s a super good price.
That’s a phenomenal price by the way. In comparison, Tape Techs isn’t a little further okay in some cases. I don’t like waiting for a ton. If I get to wait for four days to get a tape in when I should have it in 24, this is much more effective. There’s a specific way for you to get that $27 price though. They’ve got to go to NoteProz.com/ScottCarson to get that. $27 a month times 12, that’s a total of $324 in a year. If you were to take that by somebody else’s at just say $4 of asset, you would pull due diligence on 81 assets and pay more for that versus this year. This is a phenomenal deal. The asset manager aspect of it is also a very nice bonus plus the fact that you can pull everything in seconds, not hours, not days, not extended time. It literally helps you really narrow things down to help you really filter your due diligence down to spend more time on the ones that you want.
I know some people have said, “Can I have an annual billing thing?” If you want to do a yearly plan, there’s nothing like that on the signup page still. I’m going to add it later. If you want an annual plan, go ahead and sign up normally. After you have signed you, just shoot me an email and say, “I would like to be billed annually.” Let me know and then we will add an extra percentage of discount if you want to do it annual. I’m super, super excited to be able to get into the real estate business myself someway, somehow at least.
We have a question, “How soon do you expect to have the CRM available? Is that going to be six months, eight months? What do you think about that?”
I think we’ll have something in the next 90 days at least. I don’t think it’s going to be six months because let me tell you something, the structure is already up there. It’s not non-existent. It already exists. It’s about merging it and making it work and testing and debugging. All those times, the entirety when you’re creating some like this like a software platform, the map is always very simple but in between and in your business as well, in between each step, there are a million things that we don’t foresee and that takes some time to develop. It’s going to be there, I promise and it’s going to be awesome.
We have been messing around with this. We’ve been using this. We’ve implemented this in our office before the Virtual Workshop. That’s when we tested it out a little bit. We liked it enough and use it. It saved us a lot of hours. We ended up closing on 40 assets in December. We made originally 100 offers, so this saved me money immediately just like that. It cut down our due diligence time in half from using Tape Techs to being able to use it all in minutes now that Greg in my office and Nichole could dive into different things and look at stuff. We could speed up our due diligence so we got more accepted because we got offers and it hit the market a lot faster. We have a question, “Do we get the bank contacts with NoteProz?” Yes. That’s the thing. Once you log in, you get the asset manager search and the scraper. It’s all included.
All you have to do is banker scraper. If you want to go to get some assets, just click on bank and then off you go.
It’s not either or. That’s all partly included with the $27 a month. When does this offer end?
It’s never going to end hopefully.
Let’s not do that because at some point, you’re going to stop offering the $27 a month. We know that.
I said that in a way that we hopefully want to be out forever for you. The promo, it will end eventually. We don’t know that.
JD and I haven’t talked about this but we think we’re going to basically look to have it end in the next week or two. If you guys aren’t taking action, you are never going to take action and that’s the biggest thing. That’s why it is important for you because if you’re going to sign up now and get and rock and rolling, why wait around? If you have goals to close deals this year, I don’t care if it’s a fix and flip or a wholesale deal. If you were a wholesale investor and you ran this information, it will add more value to your wholesale listings. Using this type of tool for any type of real estate is going to help you no matter what. If you’re not going to sign up at the $27 now on the next six days, you probably shouldn’t be in real estate. I’m not saying that to be mean. I’m so fed up with people that say, “I’ll get around to it,” and you never get around to it. If you’ve got some New Year’s resolutions to make things happen, $27 a month is cheaper than what you guys often pay for lattes in a week. We have another question, “Does the asset manager info include emails or just phone numbers?” It includes emails and phone numbers if they are available. If they’re not available when you do a search, it’s because they didn’t have that information.
You could call the bank and then you might be able to find out that there is a direct number. Let’s say for example you found out that there is a direct phone number to the asset department, just go ahead and share it with us so you can share it with the rest of the investors. We provide the information that we could gather at that moment, either phone number, direct phone number, direct email, name, extension. We will always get you something so you can contact the asset manager directly.
The website is NoteProz.com/ScottCarson. You’ve got to go to that website to get the $27 a month. We’ve had this out for less than 90 days, right, JD?
We’ve been in development for almost a year probably. We just officially launched in the last three months. We just launched it and you saw it and you liked it, and here we are.
We talked and we gave you some ideas and some things. You went out and made something and gave it back to me and I’m like, “This is not going work.”
It’s a true story and you’re totally right. I know you have a ton of requests, a ton of features that you would like to see, just give it all to us. If you don’t see it immediately, it’s because it takes time to put them in there and make it work. Anyhow just use the platform, send us your feedback, send us your thoughts and send us your constructive criticism. We will take it all and then try to put it in there for you.
The asset scraper is worth that alone just to get that taken care of for you. JD, thank you for joining us.
Thank you. It’s been a pleasure. I hope to see you soon.
You go out and make something happen. Once again, NoteProz.com/ScottCarson. We have a question, “When you get a tape from a manager who loves cherry-picking, is it better to make a low-ball offer in all of the ones you aren’t crazy enough about to do due diligence on or leave it blank to avoid making the whole thing look like a robbery or theft?” Leave it blank. If it’s crap, don’t waste your time making offers on it. You don’t want to do that. You’re going to spend time, you just wasted time. Do you want people to waste time on your stuff? No, you don’t want to be dreck. He forgot to mentioned, this is designed for Chrome. If you’re using something else besides Chrome, go over to Google Chrome and try to sign up for that. Thank you so much for joining us here. I appreciate it.
- JD Bates
- Five Sigma
- Financial Friends Network
- NETR Online
- Tape Techs
- Lane Guide