Notes - Dirt Rich

September 16, 2024

Chapter 1: Birth of a Land Geek

How Much is Enough? A Parable

This section uses a parable about an American Businessman and a Mexican Fisherman to illustrate the concept of financial freedom. The American Businessman represents the traditional path of hard work and material success, while the Mexican Fisherman embodies a simpler, contentment-focused lifestyle. The parable suggests that true wealth lies in aligning one's pursuits with their values and finding fulfillment beyond monetary gains.

How I Became a Hungry Ghost: Parkinson's Law of Money

This section details the author's personal journey from financial comfort to distress and back to a balanced perspective on wealth. The author recounts his experiences with a high-stress job, lavish lifestyle, and eventual financial crisis. This period led to self-reflection and the realization that material accumulation beyond one's needs can lead to a state of perpetual dissatisfaction, a concept the author refers to as "hungry ghost syndrome." The author also reflects on his upbringing, his introduction to land investing, and the early mistakes he made along the way.

Parkinson's Law of Money

This section explores the concept of "Parkinson's Law of Money," stating that spending tends to expand to consume available income. The author argues that the relentless pursuit of money often leads to increased spending, creating a cycle of financial dependence and a lack of true fulfillment.

Getting to What Matters and Being the Pebble

This section outlines the author's shift in perspective after his financial crisis. Through therapy and self-discovery, he realized the importance of prioritizing personal values over material possessions. The author underscores the idea of achieving financial freedom through passive income to pursue meaningful contributions and find fulfillment. He introduces the concept of being "the pebble," signifying the ripple effect of helping others by alleviating financial stress.

The author also details how he achieved the ideal working situation, working when, where, and with whom he wants, by generating passive income through land investing. The author emphasizes the importance of responsible spending, investing in experiences, and giving back to the community.

The Land Geek Philosophy

This section introduces the author's overall philosophy, emphasizing that the principles discussed in the book can be applied to various business ventures. The core concept is acquiring assets at a low cost and selling them for a profit, ideally through a recurring revenue model. The author believes that raw land is the most straightforward and effective asset for this purpose.

Chapter 2: The Disease of Solo Economic Dependency and How to Cure It

The Dentist's Dilemma: An Illustration of Solo Economic Dependency

The chapter begins with an analogy of a successful dentist who, despite his thriving practice, is trapped in a cycle of solo economic dependency. This means that his income is solely reliant on his personal labor - if he's not working, he's not earning. The analogy highlights the burden of supporting various stakeholders like staff, suppliers, and landlords, all of whom depend on the dentist's continuous work.

The Graphic Designer's Struggle: A Parallel in the Gig Economy

The chapter further illustrates the concept of solo economic dependency by presenting the case of a freelance graphic designer facing challenges in the competitive gig economy. Despite not having employees, the designer is weighed down by expenses like rent, utilities, software, and the constant threat of being undercut by companies outsourcing to lower-wage countries. This example underscores the pervasiveness of solo economic dependency across various professions and income levels.

The Red Queen's Race: A Metaphor for the Modern Economic Reality

The chapter introduces the "Red Queen's Race," a concept borrowed from Lewis Carroll's Through the Looking-Glass. This metaphor represents the struggle of individuals working tirelessly to maintain their financial standing, often finding themselves slipping backward despite their best efforts. It draws parallels to the struggles faced by many Americans today, where dual-income households and mounting financial pressures have become the norm.

Solo Economic Dependency: Unpacking the Trap

The author reflects on his early career as a dental business broker, where he observed the prevalence of solo economic dependency among professionals like dentists. He realized that their income was directly tied to their physical labor, making them essentially employees of their own businesses. This experience shaped his understanding of the broader economic trap of solo economic dependency, where individuals are beholden to various expenses and find themselves caught in a cycle of working to pay for their lifestyle.

The Quest for the Perfect Business: Defining Ideal Characteristics

Drawing from his experience and discussions with a colleague, the author outlines the characteristics of an ideal business that can break the cycle of solo economic dependency:

1. No physical inventory: Eliminates the burden of managing and storing physical goods.
2. A one-time sale and then recurring revenue: Creates a sustainable income stream that continues beyond the initial sale.
3. Built-in pain or hassle for the customer to opt out of that service or product: Fosters customer loyalty and reduces churn.
4. A niche without competitive pricing pressures: Allows for greater control over pricing and profit margins.

Exploring Potential Business Models: Life Insurance, Software, and Beyond

The chapter explores various business models in pursuit of the perfect business. The author considers life insurance, recognizing its potential for recurring revenue but acknowledging its competitive landscape and inherent challenges in selling the product. He also examines software companies like Microsoft and Oracle, which, at the time, exhibited the desired characteristics but faced constant pressure to innovate and maintain their dominant market position. This analysis highlights the complexities of finding a truly perfect business model that fulfills all the criteria.

Land Investing Emerges: A Solution to the Solo Economic Dependency Trap

The author recounts his introduction to land investing and how it presented itself as a viable solution to the problem of solo economic dependency. He had been flipping raw land on eBay and experiencing significant profits, averaging 300 percent. This led him to identify the key characteristics of land investing that aligned with the ideal business model:

• Durable Asset: Unlike other investments that depreciate, raw land is a tangible asset that can last indefinitely.
• Value Appreciation: Land value generally appreciates over time, providing a hedge against inflation.
• Low Cost of Ownership: Compared to other real estate investments, raw land has minimal ongoing expenses.
• Pricing Flexibility: The unique nature of each parcel allows for flexibility in pricing and negotiation.
• Low Competition: The land market is often overlooked by investors, creating opportunities for those who recognize its potential.

Owner Financing: The Missing Piece for Recurring Revenue

The author identifies owner financing as the crucial element that completes the land investing business model and generates recurring revenue. By offering seller financing to buyers, he creates a stream of monthly payments that extends beyond the initial sale. This strategy not only provides ongoing cash flow but also expands the customer base by making land ownership more accessible to those who may not have the upfront capital for a cash purchase.

Working Smart vs. Working Hard: Leveraging Technology and Outsourcing

The chapter emphasizes the importance of working smart, not just hard, in building a successful land investing business. The author advocates for leveraging technology and outsourcing tasks to virtual assistants to streamline operations and free up time for strategic focus. This approach allows entrepreneurs to escape the trap of constantly working in their business and instead focus on working on their business to achieve sustainable growth and freedom.

Defining Passive vs. Active Income: Acknowledging Initial Effort

The author clarifies the distinction between passive and active income in the context of land investing, acknowledging that initial effort is required to set up the business. He stresses that while the ultimate goal is to create a system that generates passive income, the early stages involve actively acquiring properties, marketing, and managing financing arrangements. However, he emphasizes that with proper systems and automation, the business can eventually generate passive income with minimal ongoing effort.

Transitioning to Full-Time Land Investing: A Cautious Approach

The chapter advises aspiring land investors to pursue the business full-time only after their income from it surpasses their current job or they have sufficient savings to navigate potential dips in the market. This measured approach ensures financial stability during the transition and mitigates the risks associated with relying solely on a new venture.

The SMART Goal System: A Framework for Success

The chapter introduces the SMART Goal System as a framework for setting achievable goals in land investing. This system emphasizes:

• Specific: Clearly defined and focused goals, avoiding vague aspirations.
• Measurable: Quantifiable goals that allow for progress tracking and evaluation.
• Achievable: Realistic goals that are within reach given resources and capabilities.
• Relevant: Goals aligned with overall business objectives and personal aspirations.
• Time-bound: Goals with specific deadlines to create a sense of urgency and accountability.

The chapter highlights the importance of setting clear and measurable goals to focus efforts and create a roadmap for success. It emphasizes the power of consistent action and a strategic approach to achieving desired outcomes.

Embracing the 12-Week Year: A Strategy for Focused Action

The chapter endorses the concept of the "12-Week Year" as a strategy for maintaining focus and momentum in goal achievement. This approach breaks down annual goals into smaller, more manageable 12-week segments, encouraging consistent action and progress tracking. This method counteracts the tendency to procrastinate and allows for adjustments based on performance and market conditions.

Priming the Brain for Success: The Importance of Belief and Intensity

The chapter stresses the psychological aspect of goal setting, highlighting the power of believing in the achievability of goals. It posits that setting ambitious yet realistic goals and maintaining a focused intensity can propel individuals toward success by aligning their actions and mindset with desired outcomes.

Chapter 3: Why Land is a Unique Asset (and the Ideal Business)

Real Estate is a Solid Investment

• Land is a unique asset because it's imperishable and its value generally increases over time.
• Even if improvements on the land, like buildings or trees, are destroyed, the land itself will always remain and can be improved again in the future.
• Compared to other types of investments, like stocks, bonds, or forex (foreign exchange), which are susceptible to rapid changes in value due to things like high-speed algorithmic microtrading, land offers a more stable and predictable investment opportunity.

Five Key Reasons Land is a Great Investment

The author outlines five key reasons why investing in land is a smart strategy:

1. Land is simple, tangible, and finite. You can see and touch it, and they aren't making any more of it.
2. Land doesn't require a lot of management. You don't have to worry about the typical headaches that come with other types of real estate investments, like dealing with tenants, repairs, or maintenance.
3. Land has a low cost of ownership. You don't have to pay for things like utilities, insurance, or property taxes on vacant land until you sell it.
4. Land can provide cash flow through owner financing. You can sell the land on a payment plan and collect interest, creating a stream of passive income.
5. There is virtually no competition in the land business. Most investors focus on houses or commercial properties, overlooking the potential of vacant land.

Focusing on Affordable Land

• The author emphasizes that his strategy focuses on buying affordable lots or acreage priced under $30,000, located on the outskirts of big cities, in smaller towns, or in rural areas.
• This type of land is in high demand because many people are choosing to move away from big cities for a more peaceful and affordable lifestyle.

Land as the Ideal Business

• Investing in land isn't just about increasing wealth, it's also about creating passive income through owner financing.
• This method is described as being "way better" than rental income because it eliminates the hassles of dealing with tenants and property maintenance.
• The author encourages readers to hold onto properties that are likely to increase in value due to future growth.

The Author's Personal Success Story

• The author shares examples of his early land deals to illustrate the potential for significant profits.
• He started by buying a half-acre parcel for $300 and selling it online for $1,200, making a 300 percent profit in one week.
• He also bought hundreds of lots at a tax sale for a very low price and sold them for a profit of over 3,000 percent, or more than $90,000, in just six months.

Ease of Implementation

• The internet has made buying and selling land much easier than in the past.
• Online platforms offer a cost-effective way to market properties to a wide audience.
• While the author stresses that effort is still required, he has developed systems and blueprints to simplify the process and avoid costly mistakes.

Secret Advertisers of Land for Sale: Delinquent Taxpayers

• The author points out that people who haven't paid their property taxes are essentially "secretly advertising" that they no longer want their land.
• These landowners are often motivated to sell quickly and are willing to accept low offers to get rid of their tax burden.

Distinguishing Tax Lien Auctions from Direct Purchase

• The author clarifies that his strategy does not involve investing in tax liens.
• He advises against participating in tax lien auctions because:
  • They can be very competitive, driving up prices.
  • They involve a lengthy and potentially expensive legal process to obtain ownership of the property.

Targeting Properties Before They Reach Auction

• The author's preferred method is to send offer letters directly to delinquent taxpayers before their properties are put up for auction.
• This approach allows him to avoid competition and secure properties at much lower prices.
• He also emphasizes the importance of a unique offer system that avoids lengthy conversations with sellers about property value.

Focus on Closing Rate, Not Response Rate

• The author prioritizes closing deals over simply getting responses to offers.
• He aims for a closing rate of 3 to 7 properties out of every 100 offers sent, highlighting the effectiveness of his targeted approach.

The Vast Potential of the Land Market

• The author emphasizes the massive size of the land market, citing the large number of people who owe back taxes on raw land across the country.
• He asserts that there are more opportunities to profit from buying and selling raw land than from flipping houses or owning rental properties.

Conclusion

Chapter 3 provides a compelling argument for why land is a unique and ideal investment asset, particularly for creating passive income. The author's personal success story and detailed explanation of his strategy offer valuable insights for anyone interested in exploring the potential of land investing.

Chapter 4: How to Print Your Own Money (Legally!)

This chapter outlines the five key steps to creating wealth with land investing: finding sellers, making offers, conducting due diligence, marketing the property, and closing the deal.

Step 1: Find the Sellers

The author recommends targeting people who owe back taxes because they effectively advertise that they don't want their land. As a first step, contact the local county assessor or treasurer to get a list of tax-delinquent properties. You should then filter the list using criteria like price range, owner's location, and length of ownership. The author notes that many of these owners will sell land for a small fraction of its market value.

The author provides an anecdote about his student Jeff Akstin, who successfully implemented a letter-writing campaign to acquire land in Colorado. Akstin purchased 30 five-acre parcels for an average price of $222 each, plus back taxes. The author emphasizes that these were quality lots with good features and that Akstin was able to achieve a substantial profit from the deal.

Step 2: Make Lowball Offers

The author highlights the effectiveness of using lowball offers in this market because tax-delinquent owners are often eager to offload their properties. The author claims that direct mail marketing generally receives a response rate of around 0.5%. His methods, on the other hand, supposedly achieve a response rate of 3–5%. This is partially due to the fact that landowners who are behind on their taxes typically receive very little mail.

The author recommends keeping the offer letters brief and avoiding negotiation. The goal is to find motivated sellers who are ready to accept the low offer. This approach ensures that the process remains efficient and focused on closing deals.

Step 3: Due Diligence

Once an offer has been accepted, it is essential to perform due diligence to ensure that the deal is worthwhile. You or your virtual assistant can determine the property value online in 5-10 minutes. The author’s company also offers the services of a trained virtual assistant team in the Philippines.

Step 4: Marketing

This step focuses on attracting potential buyers to the properties you have acquired. The author emphasizes the importance of creating an effective marketing strategy to generate interest and demand. This will be discussed in detail in later chapters, but the goal is to establish a large buyer list, enabling pre-selling of properties.

Step 5: Sell the Property

The author asserts that anyone can effectively sell land by simply conveying their enthusiasm to potential buyers. He discourages pushy sales tactics, instead emphasizing providing value to customers to ensure long-term success.

In the initial stages of your business, the author advises against investing in a website. However, it’s a good idea to create a landing page or squeeze page where you can connect with and nurture prospective clients. The author will explain how to set up a free landing page later in the book.

The chapter concludes by addressing the potential challenge of limited funds. The author will later teach readers how to utilize strategies like lease options and wholesaling to lock up deals with minimal upfront investment. For example, you can purchase a property for 20–30% below market value using a lease option, then quickly resell it to another investor for 60–70% of the market value. This allows you to profit without investing much of your own capital.

The author acknowledges that even in a worst-case scenario where you are unable to resell the property, you can still profit by selling it for slightly more than your initial purchase price. Once you’ve built up a sufficient amount of capital, you can use it to reinvest in your business or to pay off any outstanding debt.

Chapter 5: The Number One Trait Required for Success in Land (and Real Estate in General)

Love Getting a Good Deal

To be successful in the land business, you need to love getting a good deal. Good deals are the basis of wealth for almost every business.

• This is like the saying, "Buy low, sell high."

  • Warren Buffet, Donald Trump, and Sam Walton all got rich using this principle.

The author learned this principle from his father, who was a wholesale grocer. He gives the example of his father refusing to pay full price for a gallon of milk. This lesson was valuable to the author, as one of his core investing principles is to not overpay.

Why is This So Important for Success in Business?

"Money is made on the buy." To sell a product or service, you need to keep the cost of bringing that product or service to the market as low as possible so you can make enough money when you sell it to the end consumer. This is known as the margin. The higher the margin, the more profit. Even if you create your own product, the price you sell it for includes a markup that takes into account your cost of materials and time spent making it. If you struggle to make money selling products you make yourself, then likely:

1. You’re in a market in which there isn’t enough demand for your product to make it profitable.
2. You’re spending too much to make the product compared to what the market will pay for it.

If you didn't grow up with parents who were bargain hunters, then you may be at a disadvantage. To make money in real estate, you need to develop the joy of getting a good deal.

The author calls this "the thrill of the chase," and once you learn how to be a bargain hunter, you will always be one.

The Thrill of the Chase

The author shares the story of how he became addicted to getting a good deal. He recounts how he and his friend went to a tax deed auction in New Mexico. He was excited by the prospect of buying land for pennies on the dollar and ended up spending his last $3,000. At his next auction in Southern Arizona, he bought 90 properties for as little as $5-10 each. He says this was all because of "the thrill of the chase": the number one trait required to be successful in land.

Chapter 6: Embrace the Suck: How to Not Lose Your Mind While Becoming Dirt Rich

The Truth about Real Estate Marketing

The "guru" market for real estate and other get-rich-quick schemes often misrepresents the ease with which someone can become wealthy. Oftentimes, this marketing makes real estate investing sound easy. The reality is that while investing in real estate can create wealth and free up time, the author makes it clear that success requires commitment, learning, and mental strength.

The Dip

Seth Godin's book The Dip illustrates a common phenomenon experienced in business ventures. Godin explains that things often start off strong with some initial wins. Then comes the dip. When the dip comes, people put in the same amount of effort, or even more effort, but do not see results. It is important to identify if the dip is a sign that your model is the problem. If it is, it may be time to quit. However, if the model is good, quitting during the dip is a mistake.

The dip is a test of grit and resiliency. Winners push through the dip and are then rewarded with success. Once you get past the dip, there is often an even bigger dip with an even bigger reward on the other side.

Embrace the Suck

To be successful, you must be able to embrace the suck and continue working even when it feels like you are not making progress. To do so, you can focus on daily effort and the things you can control. The author includes several examples of questions you can ask yourself to evaluate your daily effort. These questions help you stay focused and control your emotions. The author believes there is a direct correlation between effort and results.

Chapter 7: Deal Flow: The Lifeblood of Your Business

This chapter of Dirt Rich emphasizes the importance of consistent effort in a land investing business, focusing on the process of finding and securing deals.

The Excitement of Mail Day

The author begins by describing the thrill of opening mail that contains responses to land offers. The responses range from enthusiastic acceptances to outright rejections and even insults. The author highlights the importance of not being discouraged by negative responses, emphasizing that a single accepted offer can result in significant profits.

County Research

The author stresses the critical role of county research in finding suitable properties and determining appropriate offer prices. He recommends focusing on counties with high buying and selling activity because this indicates a healthy and active market. While acknowledging that market trends can shift from year to year, the author underscores the need for ongoing research to stay ahead of these changes.

Analyzing a County

The author then outlines a detailed process for analyzing a chosen county using Mosquito County, Florida as an example. He recommends compiling data on properties listed for sale using an Excel spreadsheet, organizing the information by:

• List Date
• Town
• Subdivision
• Acres
• Price
• Terms or Cash
• APN (Assessor's Parcel Number)
• Source

This detailed analysis helps establish a median selling price for properties in the county, which is crucial for determining an offer price.

Determining an Offer Price

The author reveals his "super-duper pricing formula": dividing the median price by four. He explains that this approach allows for a substantial 300% margin of safety and typically leads to a 300% return on investment. The author acknowledges that returns can fluctuate, sometimes reaching as high as 1,000%.

Getting a List of Properties

The author advises seeking out properties with delinquent taxes by contacting the county treasurer or tax collector. He emphasizes that these property owners often welcome offers as they seek to offload their tax burdens.

Letter Writing Campaign

The chapter strongly advocates for a letter-writing campaign to reach out to delinquent property owners. The author outlines his preferred approach, which involves sending a straightforward offer letter that avoids inviting phone negotiations. This approach minimizes time spent on appraisals and focuses on securing deals efficiently.

Scrubbing the List

The author addresses the daunting task of scrubbing the list of delinquent properties, comparing it to an encounter with a terrifying alien. He emphasizes the importance of developing Excel skills or, better yet, leveraging someone else's Excel expertise. The author provides clear guidance on organizing the list into columns for:

• APN
• Owner's Name
• Address
• City
• State
• Zip
• Parcel Size
• Land Use Code

He also explains the importance of removing:

• Duplicate owners
• Other land investors
• Out-of-country owners

The author stresses the importance of not getting bogged down in excessive upfront research, particularly regarding the amount of back taxes owed. He emphasizes the need to act decisively and mail offers without overanalyzing at the initial stage.

Mailing the Offers

The author discusses various methods for mailing offers, including direct mail services and the proprietary Land Geek software system (LGPASS). He encourages starting small with a manageable number of offers, such as twenty per day, to build momentum and evaluate the response rate. The author stresses the importance of consistently mailing offers to maintain a steady flow of deals.

Importance of Deal Flow

The chapter concludes by emphasizing the crucial role of consistent deal flow in the success of a land investing business. The author uses the analogy of a chicken restaurant without chicken to illustrate the point. He highlights that even experienced investors can see their business dry up if they neglect this essential aspect. The chapter ends by setting the stage for the next chapter, which focuses on due diligence.

Chapter 8: Know Thy Property: The Due Diligence Checklist

This chapter of Dirt Rich emphasizes the crucial role of due diligence in land investing, highlighting the importance of thoroughly evaluating a property before finalizing a purchase.

Importance of Due Diligence

After receiving an accepted offer, the author suggests asking two key questions:

• Is this really the best amount to pay for the property? This prompts a reevaluation of the offer price based on factors revealed during due diligence.
• Is this truly a good deal? This encourages a comprehensive assessment of the property's characteristics and potential challenges to determine its overall viability.

Revising the Offer Price

The author assures readers that revising an offer based on due diligence findings is not unethical, as the initial offer letter includes protective clauses and contingencies.

• Example 1: Unexpected Back Taxes If due diligence reveals significantly high back taxes exceeding the property's value, the deal should be abandoned. However, if back taxes are reasonable (e.g., $250 on a $700 offer), the author advises renegotiating with the seller to adjust the price accordingly.
• Example 2: Probate Complications If the accepted offer involves an executor handling a deceased owner's property in a state requiring probate, the author suggests passing on the deal due to potential legal complexities.

Identifying Potential Deal Breakers

Due diligence can unearth critical information that might make a property less desirable.

• HOAs/POAs: The author generally advises against properties within HOAs or POAs due to potential hassles and fees, though some students have found success in this area.
• Accessibility Issues: Properties with limited access (e.g., requiring an ATV and crossing other properties) may present challenges and take longer to sell.
• Unexpected Terrain: The author shares a personal experience of buying a nearly vertical mountainside due to inadequate due diligence, emphasizing the importance of thorough property assessment.

The Due Diligence Checklist

The author provides a detailed checklist for conducting due diligence:

• Obtain a copy of the deed: Verify the seller's name matches the deed, ensuring you are dealing with the rightful owner.
• Confirm a clean title: Check for any liens or claims against the property, ensuring a clear and marketable title.
• Obtain essential property information: Gather details such as GPS coordinates, legal description, property address, plat map, and survey map from the assessor or online resources.
• Utilize online tools: The author recommends websites like Google Earth and What3Words.com for visualizing the property and its surroundings.
• Assess access and terrain: Evaluate the ease of access, road proximity, easements, terrain type, soil composition, and surrounding environment.
• Research land use regulations: Determine permitted uses (RVs, mobile homes, etc.) and any restrictions imposed by zoning regulations.

Title Companies and DIY Approach

The author generally advises against using professional title companies for inexpensive parcels (under $5,000), suggesting DIY title research or outsourcing to a virtual assistant to maximize profitability. However, for larger deals or those with longer financing terms, engaging a title company for title insurance is recommended.

Physical Property Inspection

For larger properties, the author suggests hiring a service like Wegolook.com to conduct a physical inspection, take pictures, and verify property details.

Conclusion

The chapter concludes by reiterating the value of investing in due diligence tools and services to avoid costly mistakes and ensure informed purchasing decisions.

Chapter 9: Deal! The Art of Closing

Closing Methods

This chapter outlines the three primary methods the author uses to close a deal in his land investment business:

• Direct: This is the author's preferred method due to its simplicity. It involves calling the seller to confirm the offer acceptance and then sending a deed for the seller to sign, notarize, and return. Upon receipt, the deed is recorded, and a check is sent to the seller.
• De Facto Notary: This method involves using a notary service to witness the seller's signature and handle the paperwork. The author finds this method less efficient than the direct approach.
• Simplifile: This is an online service that facilitates secure deed recording via email. It's the fastest method, often allowing the seller to receive payment within 24 hours.

Handling Difficult Sellers

The author acknowledges that some sellers can be challenging and may insist on using a title company, even though the cost is often prohibitive for low-priced land deals. In such cases, the author informs the seller that they would be responsible for covering the title insurance expenses, which often dissuades them from pursuing that option.

Deed Acquisition and Preparation

The author provides guidance on obtaining deeds and preparing the necessary documentation:

• LGPASS: As part of the author's Land Geek mentoring program, students gain access to LGPASS, a proprietary software system that automates various aspects of the business, including deed processing.
• Deeds.com: This website allows users to purchase deeds for properties across the United States. It also provides any state-specific supporting documents that might be required, such as an Affidavit of Property Value in Arizona.
• DIY Deed Preparation: The author suggests that for simple transactions, one can create a deed by replicating the format and content of a previous deed for the property. This cost-effective approach involves using a Word document to match the font and spacing of the original deed.

Congratulations!

The chapter concludes with a congratulatory message to the reader for successfully navigating the process of acquiring a property. It then prompts the reader to consider the next step: selling the property, which will be covered in the subsequent chapter.

Chapter 10: How to Market Land

This chapter focuses on the crucial aspect of marketing land effectively to attract potential buyers and close deals. The author emphasizes the importance of going beyond simply listing property details and adopting an advertiser's mindset to effectively showcase the land's value.

The Headline

The author highlights the significance of compelling headlines in advertisements, drawing on the wisdom of renowned advertising copywriters and their works like Tested Advertising Methods and Ca$hvertising. The author suggests utilizing platforms like Fiverr or Upwork.com to find skilled copywriters who can craft engaging Craigslist ads for the land.

Posting Domination

The author acknowledges the limitation of Craigslist, which only allows one ad per city. To overcome this, the author mentions a program called "Posting Domination," hinting at its ability to circumvent this restriction. However, the specifics of this program are not detailed within the provided source.

Keywords

The chapter stresses the importance of strategic keyword usage in ads to target specific buyer demographics. Examples include:

• "Escape": Appealing to city dwellers seeking a retreat.
• "Steal": Targeting bargain hunters and investors.
• "Owner Financing": Attracting buyers who might not qualify for traditional loans.
• "Secluded": Appealing to buyers seeking privacy and tranquility.

Marketing Channels

The chapter outlines various marketing channels to reach potential buyers:

• Paper letters to neighbors: Targeting those familiar with the area.
• Craigslist: A widely used online classifieds platform.
• Facebook Buy Sell Groups: Leveraging social media for targeted reach.
• Land sites (LandWatch, Land and Farm, etc.): Specialized platforms for land sales.
• eBay: A last resort option due to potential drawbacks.

Managing Unsold Properties

The author advises that properties should ideally sell within 30 days if the initial pricing and marketing are effective. If a property remains unsold after this period, several options are suggested:

• Reducing the price.
• Making the terms more attractive: Lowering down payments, monthly installments, or documentation fees.
• Listing on eBay as a last resort.

The author cautions against relying heavily on eBay due to issues with non-paying bidders and lower selling prices compared to other platforms.

Chapter 11: It's All in Your Head

Think Different

This section emphasizes the importance of having a unique mindset for achieving success in business and life. It highlights Steve Jobs and Apple as examples of how thinking differently can lead to revolutionary changes and inspire movements. The author suggests that financial success alone is insufficient to sustain dedication and energy in the long run, and that a deeper purpose, a compelling "why," is essential for continued motivation.

Why vs. What: The Power of Purpose

The author discusses the importance of understanding the "why" behind one's actions. Referencing Simon Sinek's book Start With Why, the author argues that a clear purpose is more powerful than simply knowing what to do. The section contrasts Michael Dell's focus on company growth and financial gains with Steve Jobs' vision of changing the world. While both achieved success, the author suggests that a deeper purpose like Jobs' contributed to a more lasting impact. This concept is extended to land investing, emphasizing that a strong "why" can differentiate those who succeed from those who fail. The author then shares an anecdote about his student and business partner, Scott Todd, who found a powerful "why" to pursue land investing after facing unemployment and the need to provide for his family.

The Two-Hour Workweek: Systematization and Automation

The author clarifies the misconception about achieving a "two-hour workweek" solely through passive income. While acknowledging that he only spends a couple of hours per week managing his land business, the author stresses the importance of consistently working "on" the business by building systems, automating processes, and delegating tasks. He references Michael Gerber's The E-Myth, which warns against entrepreneurs creating jobs for themselves rather than building sustainable businesses. Due to the constantly evolving nature of software and technology, the author avoids listing specific tools and platforms, instead pointing readers to his website for up-to-date information. He emphasizes the importance of creating clear, easily understandable systems that can be executed by anyone, ensuring business continuity regardless of personnel changes.

An Entrepreneurial Mindset

This section encourages readers to adopt an entrepreneurial mindset by focusing on strategy, growth, and building a business that can function independently. The author uses Starbucks CEO Kevin Johnson as an example of someone who works on overall strategy rather than day-to-day operations. He stresses the need for discipline in creating systems that can be delegated to others, highlighting the importance of starting this process early in the business journey.

Automation: Embracing Technology for Efficiency

The author champions the use of automation tools for increased efficiency and time savings. He stresses that modern technology offers unprecedented opportunities for streamlining business processes and recommends staying informed about the latest advancements. The author's website provides links to current software solutions for various land investing tasks.

Conclusion

Chapter 11 ultimately emphasizes the significance of mindset, purpose, and strategic planning for long-term success in land investing. The author encourages readers to think differently, find their "why," systematize their operations, and embrace automation to create a thriving business that supports their financial and personal goals.

Chapter 12: Avoiding the Biggest Mistake

When to Quit?

The author answers the question, "When do I quit?" by drawing on the advice of Kevin O'Leary, an investor on the TV show Shark Tank. O'Leary is known for his direct and sometimes harsh critiques of entrepreneurs and their businesses. O'Leary believes that it is important to avoid wasting time on business models that won't work. He looks for business models with characteristics like:

• A large market
• Low manufacturing costs
• High profit margins
• Minimal competition

The author agrees with O'Leary's perspective and advises entrepreneurs to quit after 36 months if they have put in two focused hours each day and have not achieved success.

The Importance of Grit and Patience

The author emphasizes that entrepreneurship requires grit and patience. Success in business and life is often a result of persistence through uncomfortable situations. He quotes Tim Ferriss, author of The 4-Hour Workweek, who states, "A person's success in life can usually be measured by the number of uncomfortable conversations he or she is willing to have." .

The author concludes the chapter by sharing a quote from motivational speaker Zig Ziglar: "If you'll do for the next three to five years what other people won't do, you'll be able to do for the rest of your life what other people can't do.".