Wake Up to Wealth: The Truth About Mortgages and Real Estate with Mike Benton

Podcast Information:

• Title: Wake Up to Wealth
• Host: Brandon Brittingham
• Guest: Mike Benton
• Release Date: October 28, 2024

1. Introduction to the Episode

In this episode of Wake Up to Wealth, host Brandon Brittingham welcomes Mike Benton, a seasoned mortgage banker and real estate expert. The conversation delves into the intricacies of the mortgage process, debunking common myths, and exploring strategies for financial growth through real estate.

2. Mike Benton’s Background

Mike Benton shares his extensive background in real estate and mortgage banking:

• Career Journey:
  • Started with a real estate license in 2003.
  • Transitioned into real estate investing, focusing on fix-and-flips.
  • Managed approximately $50 million in properties but faced significant challenges during the Great Recession.
  • Rebuilt his career by purchasing auction properties and establishing a redevelopment company, which was sold in 2017.
  • Currently runs Responsive Mortgage Partners, originating mortgages in over 40 states and collaborating with real estate teams nationwide.
  • Quote: “I started out with my real estate license in 2003 and then got into real estate investing pretty much immediately with fix and flips and whatnot…” [00:56]

3. Demystifying the Mortgage Process

Brandon and Mike tackle prevalent misconceptions surrounding the mortgage and home-buying process.

• Misconception: High Down Payments Required

  • Mike's Insight: “The number one misconception... you need so much money down... you can truly get into a house with zero dollars down again.” [02:56]
  • Highlighting the availability of seller concessions and programs that allow first-time homebuyers to purchase homes with minimal or no down payment.

• Leveraging Equity for Investment:

  • Brandon shares a client example where purchasing a primary residence and a rental property resulted in substantial equity.
  • Mike’s Analysis: Demonstrates how leveraging equity through refinancing can accelerate investment growth, potentially saving decades in property acquisition.
    • Quote: “If someone is listening to this and like they've never bought a house before... most loan programs... have multiple 100% financing options in most states.” [05:27]

4. Mortgage Buying Process Steps

Mike outlines the essential components prospective homebuyers should prepare for:

1. Credit Evaluation:

   • Not necessary to have a perfect credit score; Mike has approved loans for scores as low as 550.
   • Quote: “Credit is your first step... you don't have to have perfect credit.” [05:40]

2. Proof of Income:

   • Various options available, including W2 jobs, non-QM products, bank statement loans, and 1099 income verification.
   • Mike’s Clarification: “There's so many different non QM products... as long as you have some sort of income that we can find.” [06:13]

3. Assets and Incentives:

   • Many programs offer 100% financing, especially for first-time homebuyers or those who haven’t owned a home in the past three years.
   • Quote: “There are quite a few states out there today that have a lot of different incentives for first time homebuyers...” [07:13]

5. Primary Residence vs Renting

The discussion emphasizes the financial and personal benefits of owning a primary residence over renting.

• Brandon’s Perspective:

  • Owning a home allows for equity buildup and investment opportunities.
  • Personal Example: Purchased a home for $380k, now worth nearly $800k and paid off, enabling investment in additional properties.

• Mike’s Experience:

  • Personally owned 14 primary residences over 21 years, with 13 successful investments.
  • Highlights the dual benefits of asset building and personal fulfillment.
  • Quote: “I have lived in 14 homes in 21 years, I’ve won 13 out of 14 times and multiple seven figures on primaries.” [08:09]
  • Legacy Building: Ownership fosters family stability, community roots, and personal satisfaction.

6. Partnering with Real Estate Teams

Mike discusses his program designed to integrate mortgage solutions with large real estate teams and agents.

• Program Benefits:

  • Seamless integration with team CRMs for enhanced transparency and client experience.
  • Collaboration opportunities that allow teams to reinvest in each other's businesses, expanding market presence.
  • Quote: “We plug right into their CRM and operate, giving the team more transparency and the client a better experience.” [09:58]

• Brandon’s Endorsement:

  • Highlights the ease and reliability of partnering with Mike for mortgage solutions, especially for busy agents and large teams.
  • Brandon’s Advice: “Don’t try to do this on your own. Go get somebody that’s ahead of you, like Mike and his crew.” [10:44]

7. Mike Benton’s Health and Wellness Journey

Transitioning to personal growth, Mike shares his transformative journey towards better health and wellness.

• Overcoming Personal Challenges:

  • Grew up in an environment with prevalent alcohol use, which impacted his personal and professional life.
  • Made a decisive choice to eliminate alcohol, leading to significant life improvements.
  • Quote: “Removing alcohol from my life permanently changed my mindset and my life.” [12:11]

• Achievements Through Wellness:

  • Improved physical health, losing weight and becoming more active.
  • Enhanced personal relationships and overall quality of life.
  • Mike’s Reflection: “I’m running 5 am to 10 pm, not losing energy and just excited about life again.” [13:57]

• Brandon’s Observation:

  • Noted the positive impact of sobriety and healthy living on personal and professional environments.
  • Remark: “No one in the room was drinking alcohol... they’re aging in reverse.” [14:34]

8. Advice for Entrepreneurs

When asked to share one key piece of advice, Mike emphasizes the importance of consistency.

• Consistency Over Shiny Objects:

  • Encourages sticking to a chosen path to achieve mastery and long-term success.
  • Quote: “Consistency is the key. You’ve got to get through a lot of no’s to get to the right yeses.” [16:53]

• Embracing Hard Work and Relationships:

  • Advocates for persistent effort, building solid relationships, and embracing hard work as fundamental to entrepreneurial success.
  • Mike’s Insight: “Hard work works, picking up the phone works, building solid relationships, they work.” [17:58]

9. Living Wealth and Personal Reflections

Mike reflects on living a life aligned with his definition of wealth, highlighting personal achievements and current happiness.

• Personal Fulfillment:

  • Enjoys living in Siesta Key near Sarasota, despite recent hurricane challenges.
  • Values his long-term marriage and supportive family life.
  • Quote: “I'm living it today... supporting my daughter's passion for aviation.” [19:07]

• Sobriety as a Gift:

  • Attributes his current happiness and success to his decision to live sober.
  • Mike’s Statement: “Being sober is the best gift.” [19:53]

10. Conclusion and Sponsor Spotlight

Brandon wraps up the episode by reiterating Mike’s role not only as a guest but also as a sponsor, emphasizing the value of his mortgage services for listeners.

• Sponsor Endorsement:

  • Praises Mike and his team for their expertise and reliability in the mortgage industry.
  • Encourages listeners, especially real estate professionals, to partner with Mike for integrated mortgage solutions.
  • Brandon’s Recommendation: “If you need help with a mortgage, he’s the guy to talk to.” [19:53]

• Closing Remarks:

  • Brandon thanks Mike for his participation and encourages listeners to subscribe, leave reviews, and share the podcast.
  • Final Note: Emphasizes the importance of leveraging expert partnerships for financial success.

Notable Quotes:

• “You don’t have to have perfect credit.” — Mike Benton [05:40]
• “I have lived in 14 homes in 21 years, I’ve won 13 out of 14 times and multiple seven figures on primaries.” — Mike Benton [08:09]
• “Consistency is the key. You’ve got to get through a lot of no’s to get to the right yeses.” — Mike Benton [16:53]
• “Being sober is the best gift.” — Mike Benton [19:53]

This episode provides valuable insights into the mortgage process, the benefits of homeownership, strategic partnerships in real estate, and the profound impact of personal wellness on professional success. Mike Benton’s expertise and personal journey offer listeners both practical advice and inspirational motivation to pursue their financial and personal goals.