Podcast Summary: Digital Social Hour – "The Shocking Truth Behind Seller Financing Deals | Nathan Danner DSH #847"

Host: Sean Kelly
Guest: Nathan Danner
Release Date: October 31, 2024

1. Introduction to Seller Financing (00:29 – 06:00)

Nathan Danner opens the episode by explaining the concept of seller financing as an alternative to traditional bank loans. Instead of approaching large banks like Chase, Wells Fargo, or US Bank for financing, buyers can negotiate directly with the seller to finance the property.

"Actually, rather than going to a bank like Chase or Wells Fargo or US bank, any of these big banks, to get a traditional loan, you go to the seller directly, and they will actually provide financing for you on the property."
— Nathan Danner (00:29)

Sean Kelly clarifies the process, emphasizing direct communication with the seller to bypass banks.

"So you just get in contact with the seller, basically, whether it's email or call, say, hey, let's cut the bank out. Deal with me directly."
— Sean Kelly (00:45)

2. Recent Microsoft Outage and Its Implications (00:56 – 02:44)

The conversation shifts to a significant Microsoft outage affecting various sectors, including aviation and banking. Both hosts express concern over the widespread disruptions.

"Like, there was a Microsoft outage, so micro. I think there's more sinister things behind it. They haven't announced if it's a hack or something yet, but, yeah, all the flights are down. My WI fi is down at home. Banks are down. It's pretty serious."
— Sean Kelly (01:12)

Nathan Danner adds insights about the impact on car dealerships and hotels, highlighting potential cyber warfare implications.

"Have you heard about the car dealerships? Their systems are down."
— Nathan Danner (02:02)

3. Cybersecurity Concerns and Hacking (02:44 – 04:02)

The discussion delves deeper into cybersecurity threats, mentioning large settlements by hotels due to hacking incidents.

"I've heard 10 million."
— Nathan Danner (07:25)

Sean connects these issues to global cyber threats from nations like North Korea and Russia, noting the significant financial impact these breaches have on businesses.

4. Personal Investment Paths: Crypto vs. Real Estate (04:02 – 14:01)

Sean Kelly shares his early involvement in cryptocurrency, reminiscing about buying Bitcoin and Ethereum during high school and his producer's success with crypto investments.

"I've been in for a while because I used to buy weird with crypto in high school, but I never kept all that. If I did, I'd be retired."
— Sean Kelly (03:07)

Nathan Danner contrasts this with his focus on real estate, emphasizing the stability and long-term benefits he finds in property investment.

"With real estate, there's so many different strategies to implement, but creative financing right now with interest rates, you know, so high. What we're doing is a lot of creative financing or subject to where you go and pick up somebody else's loan and take over payments there."
— Nathan Danner (04:19)

5. Real Estate Strategies: Creative Financing and Subject To (14:01 – 23:35)

Nathan elaborates on his real estate approach, particularly using creative financing methods like "subject to" deals and lease options. This strategy allows buyers to take over existing loans, creating mutually beneficial arrangements for both buyers and sellers.

"We do a subject to our seller finance and we'll pick it up and then we'll turn around and turn that into a lease option. And that gives someone who otherwise wouldn't have the opportunity to get into their home... it really helps them create the American dream."
— Nathan Danner (04:35)

Sean praises this model for its low-risk nature and minimal capital requirements.

"I love that model, dude. Because it's low risk on your end. You're not putting up stupid capital."
— Sean Kelly (05:27)

Nathan discusses the importance of marketing in securing deals, utilizing direct mail, phone calls, and social media to connect with sellers.

"We're marketing. We're direct to sellers. We get a lot of deals from wholesalers as well. So direct mail, phone calls, Facebook. Marketing is key in getting in front of these sellers."
— Nathan Danner (06:28)

He also highlights the flexibility of real estate deals, sharing an example of assisting an elderly seller to maintain stable housing for long-term tenants.

"He was 89 years old. He didn't want to raise the rent on these people... and he cash flows more because he's not paying taxes and insurance on the property."
— Nathan Danner (07:13)

6. Personal Life and Challenges (14:01 – 25:01)

The hosts share personal stories that have shaped their lives and businesses. Nathan recounts a severe car accident where he tore his MCL, which significantly impacted his perspective and drove him to take more proactive steps in his life and business.

"That's crazy. Someone protected you guys there."
— Sean Kelly (09:39)

Nathan discusses other near-death experiences and family challenges, emphasizing how these events have strengthened his resolve and commitment to his work.

"Stuff like that really shapes you."
— Sean Kelly (12:49)

7. Real Estate Community and Networking (25:01 – 33:18)

Nathan emphasizes the importance of building a community within the real estate sector. He is actively developing a real estate mastermind group and offers one-on-one coaching to foster collective growth and support.

"My end goal is to build up my community. Kind of like what Pace has or Eric, Rock, Jamil. All these guys that I think the community is, is one of the greatest assets because you build a community."
— Nathan Danner (30:37)

Sean shares his experiences with networking at real estate conferences, mentioning interactions with notable figures like Russell Brunson, Cody Sanchez, and Grant Cardone, underscoring the value of connecting with industry leaders.

"I love how Pace can have a little meet up in any city. He's at 100 people instantly."
— Sean Kelly (31:30)

8. Real Estate Market Insights: Boise and Beyond (33:18 – 37:48)

The conversation shifts to specific real estate markets, particularly Boise, Idaho, which Nathan refers to as "Silicon Mountain" due to its burgeoning tech and real estate sectors. They discuss the opportunities in Boise and surrounding areas like Nampa and Coeur d'Alene, highlighting recent property deals and market trends.

"Boise's on the come up."
— Sean Kelly (26:56)

Nathan shares a recent successful property acquisition in Nampa, acquired significantly below market value, illustrating the potential for lucrative deals with the right approach.

"We picked it up for 180, and the investment company had bought it for 260."
— Nathan Danner (16:12)

9. The Importance of Honesty and Authenticity in Business (34:32 – 37:48)

Nathan stresses the significance of integrity in real estate, advocating for honesty, transparency, and authenticity as foundational principles for long-term success.

"My motto is honesty, transparency and authenticity. That's how I live."
— Nathan Danner (34:32)

He recounts overcoming skepticism from family members about his honest approach in a traditionally transactional industry.

"I promise I'll be honest. And I've just held myself to that standard."
— Nathan Danner (34:50)

10. Conclusion and Future Plans (37:48 – 38:24)

As the episode wraps up, Nathan provides listeners with his social media handles and information about his coaching and mastermind programs, encouraging engagement and community building.

"On Instagram, mainly on Nathan. Nathan_underscore Danner8."
— Nathan Danner (37:55)

Sean Kelly invites listeners to join upcoming events and continue following the podcast for more insightful discussions.

"Thanks for watching, guys."
— Sean Kelly (38:18)

Key Takeaways:

• Seller Financing: A viable alternative to traditional bank loans, enabling direct negotiations between buyers and sellers.
• Creative Real Estate Strategies: Utilizing methods like "subject to" deals and lease options to facilitate property acquisition and ownership.
• Community Building: The importance of networking and creating a supportive community within the real estate industry.
• Integrity in Business: Upholding honesty and transparency as essential components for sustainable success.
• Market Insights: Understanding and leveraging specific real estate markets, such as Boise, for optimal investment opportunities.

Notable Quotes with Timestamps:

• "Somewhere, it's still a thing... subject to is for sure."
  — Nathan Danner (08:44)

• "That's the thing. It's a numbers game. Just continue to pound the pavement and submit offers, even on the MLS."
  — Nathan Danner (16:49)

• "People do business with people they know, like, and trust."
  — Nathan Danner (35:42)

This episode offers an in-depth exploration of alternative real estate financing methods, personal investment journeys, and the significance of building an authentic community within the industry. Nathan Danner's experiences and strategies provide valuable insights for both novice and seasoned real estate investors.