Jason starts the show discussing the aftermath and terror of Hurricane Florence with Phil, a guest from Myrtle Beach. Phil talks about the status of his neighborhood and what’s happened in the area as well as the good deeds of the community and how they’ve looked out for each other. Jason goes into the interview segment of the podcast on a happier note hosting guest and client Diana Dine. They discuss her real estate journey and her experience with the network. Diana bought her property less than a year ago and in a total of 7 months accumulated 4 more in the Jackson and Memphis markets. She went in about her experience investing in real estate. Diana just recently bought her first home and is now up to 5 properties between Jackson and Memphis. She recently went to both cities to meet with the Local Market Specialists and discusses her future plans as she moves toward her financial independence.
Investor 0:00
You’re that kind of person and you’ve got the capital and you’re a great negotiator. You’ve got great people skills. You You could probably be a successful flipper, but it’s like a job. Right? If you’re not flipping, you’re not making money. And that’s why I prefer income property because you just make money every month.
Announcer 0:17
Welcome to the creating wealth show with Jason Hartman. You’re about to learn a new slant on investing some exciting techniques and fresh new approaches to the world’s most historically proven asset class that will enable you to create more wealth and freedom than you ever thought possible. Jason is a genuine self made multi millionaire who’s actually been there and done it. He’s a successful investor, lender, developer and entrepreneur who’s owned properties in 11 states had hundreds of tenants and been involved in thousands of real estate transactions. This program will help you follow in Jason’s footsteps on the road to your financial independence day. You really can do it. Now, here’s your host, Jason Hartman with the complete solution for real estate investors.
Jason Hartman 1:07
Welcome listeners from around the world to Episode 106 to 1062. This is your host Jason Hartman coming to you from beautiful Aspen, Colorado today. It is absolutely gorgeous up here with leaves changing and the air smells like fall. I love the smell of fall air, don’t you? So today we have got two things one negative and one positive. Let’s start off with a report from the hurricane affected areas in North Carolina and South Carolina. You’ll hear about that, from someone who’s there living through it, it is getting worse, not better. So I think it’s important to have kind of an on the ground update of that. And then we will go the second half of today’s episode will be a client case study with one of our clients and I think you’ll find what they have to say very interesting way As she will share some of her investing experience with us. So let’s go ahead and get started. Welcome to Episode 106 to 1062. This is your host, Jason Hartman. And I thought I would give you a report from Myrtle Beach, South Carolina in the wake of the tragic events of Hurricane Florence, that recovery there has been slow and much to my disappointment. things appear to actually be getting worse, not better. And I’ve got phil jackson on the line with me He is a resident can update us on what’s going on. Phil, welcome. How are you doing? They’re
Phil 2:37
great. Thank you so much for having us. We really appreciate it. It’s actually like you said it’s getting worse. The river flooding is coming up swallowing homes whole, displacing thousands of our residents. So we are just trying to maintain and get everyone in our community to help that they need what’s the situation with power. Do you have Electricity, is it spotty or what’s going on there? So far, all the homes that are livable, and businesses have power there is power outages in certain places. But the power companies are doing an amazing job keeping that online because that would just add to the you know, disaster that we’re already living in. Right now,
Jason Hartman 3:19
right in Myrtle Beach I mean many other areas have been affected as well but and I’ve been to Myrtle Beach you have a kind of a unique bad situation there right with the way the rivers flow. Now these these rivers and the hilly areas that just I mean, there were trillions of gallons of water that were dumped. And now you haven’t even reached the point to where these rivers have crested yet is that correct?
Phil 3:43
Correct. And to the north of us, they have crested but all that water is moving south as a way for us track was like came in from the east and actually moved south again North East so it just dumped 20 plus sometimes 30 plus inches of rain in border Bell and in North Carolina, which all that water feeds down to us. And it basically goes out of Georgetown, South Carolina, which is about 20 miles south of us. And we have a bunch of rivers that lead through our communities to to be exact, the walkable and the intercostal waterway. And those rivers are just following this water and we have the PD River and the Santee river and all these rivers are just coming to a head yet kind of bottleneck right here in Myrtle Beach and south part of each so the water is up 2628 feet in some places. Oh my God, that’s amazing.
Jason Hartman 4:35
Try and paint a picture for us of what that looks like. When you’re talking about flooding. I mean, like what percentage of the streets are drivable? Just give us some kind of a picture of that if you would.
Phil 4:47
A lot of people have taken a boat on a river and you’ve already seen houses and homes along the rivers, some within basements and just picture a dock being above a roof line on a house that’s located on In the river, that’s what’s happening docks are actually releasing from their poles that are drove into the ground that they’re secured to. And then that water’s coming up into the neighborhoods that are along the river. And there’s a ton of houses that are 234 and five streets, off the river that are flooded out. So it’s basically the same. It works the same way as a title search, but just on a river search, and you can drive boats in neighborhoods, and there are people kayaking and canoeing to get to their properties to check on them
Jason Hartman 5:32
when they’re driving boats and kayaking and canoeing to get to their homes to check on them. What are they seeing, are they seeing just the roofline of their house? are they seeing the eaves, the doorways and the windows are what
Phil 5:45
the ground level home? Yes, and the homes that are up on stilts, a lot of them the first floor is completely covered in water. So it looks like that it’s a single story home but they’re actually two story homes
Jason Hartman 5:59
and They have their own stones. So not only is the water above the stilt level, but it’s up into the first floor. And then there’s a second floor home, you know of the home on stilts, right? Correct. That’s unbelievable.
Phil 6:13
It’s just shut down all river traffic. So boats are allowed to the river unless it’s a ski or dinar and because the week as well, so you have some homes that are literally inches away from it going into their home. So if you added a boat week, or even a vehicle driving down a street and creating awake, that could make the difference of someone’s house being saved or completely flooded out, you know, it sounds minor, just a truck driving down a flooded Street. But in reality, those couple inches could
Jason Hartman 6:44
really make a difference. Oh, yeah. Because if the water comes in or out, it’s a whole series of problems with water, you know, more than just damage. It’s incredible. You know, water can’t be compressed. It’s already as compressed as it can be. You know,
Phil 7:00
like a gas and I tell you what this community I’m so proud of this community because everybody has stuck together. We are our school districts are unique here as well. We’re one district, both Georgetown and Orange County, as one district, Georgetown county and Orange County. So you know, there’s two districts, but the entire district is closed at this concert. We’re going on, I think 23 days that the kids that not been in school, and I tell you what, to have the area high schools, three of the area high schools, I’m sorry, have been sandbags. drop off and fill locations. And it’s amazing to see how many kids are out there. Actually filling sandbags delivering sandbags off at St. James High School yesterday. It was about 400 people filling sandbags and another line of about 100 trucks delivering at this filling their truck up and just going into neighborhoods using each sandbags. So everybody is pitching in to try to save as many homes as possible. Yeah,
Jason Hartman 8:00
stuff like that whenever you have these natural disasters or disasters of any type, it really is heartwarming to see how great human nature can be and how people can bond together and you know work for the greater good. That’s just a wonderful thing. It’s wonderful to hear that what can people do for you fill in what charities and aid organizations are helping you there you know, you’re on the ground, you’re seeing it firsthand. It’s one thing to, you know, see it on the internet or hear about it on TV, but you’re right there. I mean, who’s really helping and what can the listeners do if they want to help?
Phil 8:33
We know the Triton relief group has really stepped up in our area, and they’re actually what we’ve partnered with them and this morning became as an idea last night about 7pm to open up a distribution and Donation Center, Andy camp from ama produce, which is where I work, has, you know, contacts in our neighborhood and secured a warehouse 10,000 square foot warehouse For us, along with Marnie Kennedy and a couple other volunteers, we have opened up SC needs help distribution and Donation Center. And we currently are getting the local cable company is bringing us a phone line, internet service. We’re getting dumpsters out here. And we are filling up this 10,000 square foot warehouse fall donations. And the Triton relief group is sending it out to local communities and local hotels that are housing people. And there’s a hotel downtown called Midtown hotel. And he has opened up his entire hotel for free for the evacuees. So currently, he has 300 people staying at this hotel, and it’s absolutely free. And so a lot of these efforts are being trickled down to that place and several other shelters and hotels to get those folks to stuff they need. Yeah, it’s great to hear that people are helping on the negative side. Have you seen or heard about any scammers, you know, whenever there’s a thing Like this, you get great stories of great people pitching in and helping out. But you also get a lot of opportunistic scammers that are, you know, going and siphoning off funds and promising repair work, and they’re not really doing it. I mean, the scams are rampant. Have you seen or heard anything about that kind of stuff going on? miraculously? No, not yet. And I think the reason why is because we do have such a strong community, that people if someone tries something like that, the words out, you know, and then there are people to step up and just put a stop to it and even approach these people and take it upon themselves to say, Hey, you know, you’re done. It’s not going to happen here. Yeah, obviously, once the flooding recedes and work, you know, everybody wants to help and everybody wants to make money and they see all these opportunities. I believe that’s when those things are going to come about even more, but people are even just scared. It’s hard to even get in town right now. So a lot of those people that do that from out of town are not coming in town yet, but I do foresee something like that taking place. But like I said, we got to jump on that. And I think we’re gonna try to keep that at bay as much as possible.
Jason Hartman 11:09
Yeah, yeah. Excellent. Well, so thank you so much for sharing this and, you know, you are in our thoughts and prayers and we wish you the best there. It is really, really tragic. You know, you think the hurricane is the terrible part, but it’s really the after effects are usually the most devastating, right? Is that correct?
Phil 11:25
No, it is correct. And living in a beach town and growing up here my whole life. I’ve been through Hugo and Matthew and Floyd friend, just family members were through Hazel and everybody that has been through it. They know that it’s not the hurricane part. You know, you can have a hurricane. category three come in and you’re fine. It’s your house, you lose power. You may lose some shingles, maybe a window you’re fine, but as a couple weeks after that really tests you and that’s why people evacuated. Not to get away from the winds and the rain, but as to get away from the flooding and the aftermath of not having power. For weeks, well, mosquitoes, food shortages, gas, sort of just things like that. So I think a lot of people need to be aware of that. You’re not running from the actual storm itself. You’re reading the aftermath. Yeah,
Jason Hartman 12:11
yeah, that’s absolutely true. Well, so again, thank you for sharing what’s going on there. We wish you the best. Just keep the faith and keep doing your thing. And now thank you for being involved in contributing to the solution for everybody. We appreciate it.
Phil 12:25
Awesome. Thank you so much for having me.
Jason Hartman 12:30
Hey, we always get great feedback when someone comes on the show one of our clients and does a client case study. We had another volunteer recently and I’m so glad to have her here. Her name is Diana Dine and she lives in Colorado. She recently visited some of our local market specialists in Mississippi and Tennessee. We’re going to talk about that and just give her a warm welcome Diana, thanks for coming on the show. Appreciate it.
Diana Dine 12:58
Thanks for having me. I’m excited. I talk to you.
Jason Hartman 13:01
Yeah, it’s good to have you. So just give the listeners a little bit about your background. You live in Colorado. What do you do for a living? I am in the financial services industry.
Diana Dine 13:09
So that’s always been kind of interesting that I kind of went this direction. But yeah, for over 20 years, I’ve been in the financial services industry more like corporate side product management, what do you mean? Are you helping big companies invest their Treasury funds or what kind of stuff? No more so on retirement planning, so it’s not so much of I don’t see clients, I help with kind of the back side of how the products run or the retirement so individual retirement accounts, small business retirement accounts, fantastic, good
Jason Hartman 13:47
stuff.
Diana Dine 13:48
And I have a team that helps me do that. They’re a company. Okay, great. Good, good stuff. So what got you interested in real estate and how long ago did you become interested in the real estate investing world? My commute is really long. It’s close to 100 miles roundtrip when I go to the office, so I wanted to have a good job and also support my kids and keep them in an area that they were really comfortable with. I got a divorce A few years ago, and it was trying to balance providing for them and also keeping them in a happy environment. So I took a job pretty far away. And so with that commute, I started listening to podcasts and books and just trying to use that time, so I didn’t stress out on my drive and 25 doing so. So I just started listening to podcasts, and I came across yours and just for a year, I think at least a year. I just listened and thought, Well, you know, this is really interesting. And I like to hear about more of the what’s going on politically and economically. But I always thought real estate investing is kind of out of my realm. It’s Not something that I was really familiar with. But I would say after a year of listening to your podcast, I can’t remember which one, but the light bulb just went off, like, I can do this. Now, there’s, there’s ways to do it, I have money, but somehow I couldn’t figure out how to use it. And I just didn’t want to do that drive and have that corporate life forever. So I’m like, I gotta find a different way. So I can have some flexibility to be there with my kids and be able to provide for them. So that’s kind of how I got involved with deciding to go down that real estate venture.
Jason Hartman 15:34
I know you mentioned, Diana, that you can’t remember what episode it was that sort of was the seminal episode, I guess that made you interested. But do you remember what the reason was? Or the like the topic or anything? I mean, I know you wanted to avoid the commute, probably want to have more time to spend with your kids and so forth, of course, but was there a particular thing was it another client case study, maybe that inspired you or a particular angle on investing or something?
Diana Dine 16:02
It was, I think it was the client studies. I couldn’t remember which one I was listening to. But he also was just trying to figure out how to support a family, and a different way of doing it. And he’s pretty sure he’s a lot younger than me and started with the young family. And I remember his kind of journey. And I’m like, Well, if he can figure it out, I can figure it out. And that’s when I went ahead and called Sarah. I talked to Sarah, right? She was mentioning and it was toward the end of last year. So this happened pretty recently. And she said, You need to go to masters like, sounds great, but am I brave enough to go all by myself to meet the Masters? And she’s like, yeah, you can do this. I mean, my dad go, it’ll be great. I’ll be there. And I’m like, Okay, I’ll go to meet the master. I love that’s a great story. Yeah, I know. I schedule my flight didn’t registered and off I went. Okay, cool. You talk to one of our investment coaches. Sara and then you flew from Colorado to San Diego and came to our meet the Masters event. So it was great to have you there. And when did you buy your first property through our network was it just recently or a while back, I hadn’t purchased anything until I went to meet the masters. And they just a little prep work to make sure that I was ready with I did a refinance on the house and thought I could use cash out on that on a property or two, but I didn’t really realize when I went to meet the Masters, just all the great information and all the the ability to chat with the local market specialists and you had them up there to kind of explain the different areas and their expertise and their local markets. And once they did I that’s when I felt really comfortable to start walking up to the different tables and I walked up to the Jackson in Jackson, Mississippi to look at those properties. And they talk to the local market specialist there and I’d like to Okay, I’ll pick this one. And this was good. Like, I think I can do this. Now I like I can do this, you know. So that’s kind of how it started. So I admitted to buy two properties there at NEPA masters. And now I just close on my fifth property on Tuesday. And I have the two that I have in Jackson and I have three with him in Memphis, right. Yeah,
Jason Hartman 18:24
good. Good stuff. Good stuff. So you actually traveled to both markets, I believe, right? I did in August,
Diana Dine 18:30
I just really wanted to. I’ve never been to either place. And here I am buying properties. And I just felt like it would make me feel better to go out there and meet the team, see the areas my property. I’m going through their property management. So I wanted to meet them, make sure I felt comfortable with the team. It was really fun.
Jason Hartman 18:51
Yeah, good, good stuff. So you actually bought the properties and then you went to the markets, right?
Diana Dine 18:56
I did for four of them and then when I was out, looking Memphis was very clever to show me more properties. And I’m like, okay, I should get this one
Diana Dine 19:07
under contract on this one, and that’s what I just flow. Good stuff. So you got a
Jason Hartman 19:11
fifth property while you were there. Fantastic. How were the local market specialists when you went there, you know, tell us about your experience visiting with them and so forth. I had like
Diana Dine 19:21
the plan I one of my girlfriends, I said, let’s make this a girl trip and let’s go see my properties and go to Memphis and go to Graceland and all that other stuff. So she was game. So I direct her along with me and I sent out emails to both the local market specialist and saying that I was coming out and they both were fabulous. say, Okay, we’ll roll out the red carpet for you. And I told him what days I’d be there and I first went to Tennessee and Memphis and met the local market specialist there and he took us around to see my properties to kind of tell us about the area and the growth and kind of gave me the Nice background to everything. And then, of course, you know, got a little yummy barbecue there. You know, they brag about their barbecue in Memphis. So they all know
Jason Hartman 20:10
for sure, yeah,
Diana Dine 20:11
exactly. And then I met the team, the management team. And so that was pretty much a full day of doing that is very nice. And like I said, he also showed us some newer properties that they were just finishing the rehab on. And I just really felt like when would be a great, great opportunity to add to the portfolio.
Jason Hartman 20:29
Fantastic. Good stuff. I always like to ask, and you’re probably not prepared for this. So forgive me if I put you on the spot. But do you have any questions or concerns about investing that I can answer because whatever questions you have, everybody listening probably has the same exact questions or do you kind of feel like you’re on the road now and you’re moving along and you’ve kind of got all your questions answered, or are there any remaining that you’re thinking about now?
Diana Dine 20:56
I would say I was pretty nervous. When I first started everything I did, I was like, Am I doing this? Right? And I would just ask them, you know, going through the the mortgage went through the same mortgage company for all of them and worried about what I was fumbling through and the insurance and like, Oh yeah, I gotta get insurance on these, I’m gonna figure this out. And so, but now on the fifth one, I felt pretty comfortable. I I’m, you know, I knew what I was doing and how he’s going about it. But I would say that some of the concerns I have, would be, and you were just talking about this about interest rates going up a little bit more. And I noticed from my first property to my fifth property, it did go up, although, you know, my credit score and all that’s really good, it just the rate the mortgages went up. And so part of me is like, do I hold off and just see how things go for a while or do I continue to buy you know, and kind of like juggling where I go back? You know, from here,
Jason Hartman 21:54
yeah, good stuff. So So now you really learned it by doing it right. And this is what we Find over and over Diana, is that there are some people that are new to it, and they’re sitting on the sidelines. And they want to learn everything first. And they’ll spend years going to conferences and reading books and trying to learn all about it. But the real learning comes from action that comes from doing it. I don’t know. It’s just human nature. We all bring a different us to the table right when we’re really doing it. So the first few properties It sounds like you were you had concerns and questions. And then when you got to the fifth one now you’re kind of a pro. Right?
Diana Dine 22:38
Well, I wouldn’t know about that. But close. I felt much more comfortable. That’s for sure.
Jason Hartman 22:42
Yeah, absolutely. Good stuff. So what are your plans for the future?
Diana Dine 22:46
You know, one of the things for me, the Masters that you you actually had them go up on their five year plan. And I, I had my five year plan and figuring out my properties and what I’m willing to do, and I feel like I’m ahead of the game. On my plan, because I kind of took a more conservative approach like, okay, two properties this year, two properties, and in so many years and five years, I’ll have what I need. I really look at that. And you know, like I said, I have five properties already within like seven months. And I do want to get to the 10 properties that I have my nine properties that are investment properties that I can do. So that’s my plan to do that. And then I’m not sure what to do after that, do I switch them out how much time goes by? So I guess my have to relook at things and figure out the next steps after the 10 properties.
Jason Hartman 23:39
Yeah, absolutely. So 10 properties is is sort of your first goal right? Now, do you have a an idea as to when you will retire from your job at how many properties will it be 15 or anything in mind there. So if I continued to do the single family homes, I think I came on to like, 20 properties that I would need to replace income and quit the job. Mm hmm. The listeners should know, these are inexpensive properties, you know, maybe you want to mention like, what’s your average price of the properties you purchased so far?
Diana Dine 24:13
Sure. All properties give or take are right around 100,000. Okay, so give or take around
Jason Hartman 24:17
100,000. So the five properties is 500,000 in value, and you’re in two markets. So you’re nicely diversified so far? And did you just say 15 properties would be kind of the retirement metric where you could leave the corporate job
Diana Dine 24:31
in 20. Oh, 2020. Okay.
Jason Hartman 24:33
So 20 and that will give you x amount of cash flow. And, you know, you know, from listening to the podcast, there’s a lot more to it than cash flow, because it’s a multi dimensional asset class, which is the wonderful thing about income property. Yeah, good, good stuff. When do you think you’ll get to the 10?
Diana Dine 24:50
I’m thinking next year. Mm hmm. Okay, good. Yeah, just trying to figure out what I’ll need to do the next group and have my 10 by next year. My first step,
Jason Hartman 25:00
now you’re in you’re in Mississippi and Tennessee so far. Do you have your eyes on another market or two more markets for the next properties?
Diana Dine 25:09
I think Indianapolis Yeah. Indianapolis is
Jason Hartman 25:11
great. Good, good stuff. Good stuff. We also have good stuff in Florida and you know, Little Rock and some of our other markets. So that’s great. But yeah, Indianapolis is great. And then you will be diversified in three markets now, before you started investing in real estate in the income property. Did you ever own your own home before?
Diana Dine 25:35
Yes, yeah. I’ve always own my own home.
Jason Hartman 25:37
So you’re familiar with real estate in terms of buying your own place, like your place in Colorado? But these were the first rental properties that you purchased, right?
Diana Dine 25:45
Yes, that’s correct. Yeah. Good stuff. Good stuff.
Jason Hartman 25:48
Good. Well, hey, thank you so much for sharing your story. I really appreciate it. Are there any thoughts or questions or anything else you want to share with the listeners? We really appreciate you sharing? Well, I think we’ve covered it and Thank you, Jason, and fun. All right. Well, thank you so much, Diana. Appreciate it and happy investing to you.
Diana Dine 26:05
Thank you.
Jason Hartman 26:16
I’m Jason Hartman and I’d like to invite you to our very first two day conference in beautiful Hawaii. Many of our attendees are making a vacation out of this event, you will learn the most innovative strategies for real estate investing available today. We have helped thousands of people invest in properties around us, and we can help you do it too. So I hope you’ll join us and happy investing.
Jason Hartman 26:55
Thank you so much for listening. Please be sure to subscribe so that you don’t miss any other episodes, be sure to check out the show’s specific website and our general website heart and Mediacom for appropriate disclaimers and Terms of Service. Remember that guest opinions are their own. And if you require specific legal or tax advice, or advice and any other specialized area, please consult an appropriate professional. And we also very much appreciate you reviewing the show. Please go to iTunes or Stitcher Radio or whatever platform you’re using and write a review for the show we would very much appreciate that. And be sure to make it official and subscribe so you do not miss any episodes. We look forward to seeing you on the next episode.
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