Matrix Denier
4.1K posts
This is one of the problems in the real estate space. There is some unwritten code. A code among thieves if you will.
They create these networks and terminology "top tier pros". And enforce these stupid rules.
IF a guy loses $15 million of course people are going to "pile on"
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Getting off an international flight at Dulles has got to be one of the most miserable travel experiences possible. Takes forever to deplane, customs is always a mess, and then there’s the people movers, the most stupid fucking idiotic design choice ever made at a major airport.
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If you think about it...
This is still absolutely insane.
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@DMAC_19 Are you living under a rock? Plenty of people Wholesale commercial
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Seen this blow up the last few days and get dunked on.
Resi real estate is a foreign land to me.
Especially wholesalers.
Doesn’t exist in CRE - guy would never see another deal again.
More savvy people involved and cost of reputation damage not worth the act I presume?
Jacob Naviaux@Jacob_Naviaux
Fixer upper gets listed for $250k. I offer $180k with 3% commission — I’m a licensed agent and my company is the buyer. Plan is to wholesale it for $190k. Needs $75k in work and will be worth $320k after repairs. Listing agent says too low. 4 weeks later our CRM notifies me the list price dropped to $225k. I follow up. Agent still says $180k is too low. Another month goes by. CRM notifies me again — price drops to $210k. I follow up. Agent says they think it’ll work. I draft the offer, send it over, and it gets accepted. We price the deal at $190k and sell it — signed contract and EMD in hand. While we’re still in DD, I tell the agent my buyer needs a $20k price reduction to move forward, but they’re ready to wire EM and waive the rest of DD. Seller meets us halfway. Price drops to $170k. We make $25k. That’s the exact play we run wholesaling MLS properties.
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@PaceJordanMorby @BeardyBrandon 2 wrongs don’t make a right. Brandon should have never raised that money
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A lot of trashing of my friend @BeardyBrandon about his honest post.
I think people should applaud him for sharing this publicly.
Right now… a woman I know who lost $40 million on investor capital last year is back to raising money again…
Say what you want… at least he was willing to put himself in the crosshairs and be honest.
Most syndicators are hiding from telling the internet the truth and will be back to raising money again soon.
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@phil_mcalister The property had crappy reviews on Google as well
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I'll say this as someone with experience in acquiring several billion dollars of multifamily:
If you don't understand how floating rate debt and rate caps work, you really aren't ready to act in a GP capacity. (His comment here proves he didn't understand).
If you don't understand how investing in a market with rents up 40% might affect the future returns you think you're getting and then shrug it off: "hey, I couldn't underwrite a 7% cap could I?!" you're really not ready to act as a GP.
I hope that he's plugging as much of the gap with his own money as possible and definitely refunding his fees. I'm sure he's been aware of issues at this property for some time so hopefully he's been waiving the AM fee for some time.
If you're an LP here's my advice: If you feel like you're in a marketing funnel, that's not the right GP for you.
Brandon Turner@BeardyBrandon
Hey dude- thank you for the post. Wow, lots of comments. Yes, definitely some damage control in the post (as my investors and partners already knew all the information, so clearly this was for the public), but only because the Internet started going wild with a lot of misinformation about what was happening. So I definitely wanted to try and control some of that. The narrative was “Brandon Turner lost 100% of all his investors money in all his deals.” I’m mean I’ve been seeing fake rumors like that for years online, there’s not a lot a person can do. And I’ve already addressed a couple hundred comments over on Instagram, mostly the same stuff, but I’ll say a few things: 1.) yes it was adjustable rate, but we had a rate cap on it. For those unaware, that is basically like Insurance against the rate going up. So it can turn adjustable into fixed. And it worked. However, but I did not realize and I don’t think anyone realized… is that if rates did go up, you have to re-buy rate cap insurance and the cost went like 100x. Plus, there were limits. No one expected us to blow past those limits. So definitely I wish I would’ve known that before and I would not have likely done it. 2.) but this is the interesting thing about real estate. Or any investment, no matter what. If you underwrite everything, every line item, to the most insane unprecedented estimate, you would never invest in anything ever. You would live in total fear all the time. So for example, if the average cap rate was a four, I might underwrite to a five, but I would never underwrite to a seven. And I might assume rents aren’t going to do 5% per year, but I might say worst case is zero. But in Austin, for example, we’ve seen Rents drop 30%. Geeze. So on one hand, it’s easy to look back and say that we should not have bought the deal. And I agree. Maybe I got caught up in the frenzy of buying. But also- every line item went up to unprecedented levels. Our underwriting, even when I look at it now, wasn’t crazy. It was conservative. Just … wrong. Anyway, appreciate you. Thanks for sharing.
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Watching Jacob and Brandon defend themselves this weekend is a masterclass in what not to do
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How is everyone traveling via air these days?
I’ve always been an Amex/chase point redeemer.
Pretty much puts me on American 9/10 times out of AZ.
Flew Delta the other day and it was a substantially better experience than American.
Have I been incorrectly loyal to American? Should I transition to United/Delta?
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@Jacob_Naviaux Lots of cope here. Nothing wrong with asking for a discount during DD.
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Fixer upper gets listed for $250k.
I offer $180k with 3% commission — I’m a licensed agent and my company is the buyer.
Plan is to wholesale it for $190k. Needs $75k in work and will be worth $320k after repairs.
Listing agent says too low.
4 weeks later our CRM notifies me the list price dropped to $225k. I follow up. Agent still says $180k is too low.
Another month goes by. CRM notifies me again — price drops to $210k. I follow up. Agent says they think it’ll work.
I draft the offer, send it over, and it gets accepted.
We price the deal at $190k and sell it — signed contract and EMD in hand.
While we’re still in DD, I tell the agent my buyer needs a $20k price reduction to move forward, but they’re ready to wire EM and waive the rest of DD.
Seller meets us halfway. Price drops to $170k.
We make $25k.
That’s the exact play we run wholesaling MLS properties.
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I'm trying to figure out how to price seal coating and i need help from seasoned business owners.
I overbid this by what seems to be a lot, and this guy was nice enough to let me know.
How do I respond?
It's a 19k sq ft lot that is in pretty bad shape and my competitors bid this at $5600, but my material cost is roughly $2.5k - $3k, meaning a minimal 2 day job nets ~$2.5k to 3k Gross which is terrible.
What do I do?
Is this a problem that is fixed with scale because I'd be able to knock out multiple a day?
Or is it a problem where someone is just going with lowest bid, which I don't want to be at all - i want to be the most expensive, and I'll never win bids where people prioritize saving money over quality?
Is this price vs value problem and i just failed to properly differentiate myself to justify a higher price?
I need help.
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@colinushkowitz @Aidan_MacIsaac You’re buying? Or Max Lomas is buying?
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I work with my best friend, @Aidan_MacIsaac, everyday.
We started Champion Oak from a shared passion for helping people, creating financial freedom through real estate and building a legacy business.
We’ll buy any house. Any condition. Any size. NJ, PA & surrounding states.
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Bought a new phone number last week for our Google business page
Guess how many of these are potential customers?
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@eastdakota Nice guys finish last. Bankrupt the guy if necessary.
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Have a problem I genuinely would love input on. My wife and I own a local newspaper. In our town the police arrested a member of the community for having what they thought were naked pictures of a juvenile on his phone. Held him for days. Turns out, it was his own kid and none of the pictures were sexual. Terrible.
Newspaper we own reports on it. Just the facts. Also report on when he’s released and there are no charges. Exactly what local news should do.
He sues us and the local radio station, which had also reported on the arrest. We’re like: dude, we just reported the facts. Radio station settles (not sure terms). We push on because we did nothing wrong and the nature of a newspaper is reporting what happened.
So we win. No cause of action against the paper. And then we, under statute, get awarded attorneys fees. They amount to tens of thousands of dollars.
So what’s the right move? I don’t particularly care about the money. But I do want to discourage other caseless plaintiffs against suing us. Has been a costly distraction. But also seems wrong to bankrupt the guy. Genuinely looking for what to do next…
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@TheJSantiago Agents hate money so it makes sense. He doesn’t want your future business. Average realtor behavior.
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This is 100% my TC’s fault, but …
Her and an agent we have on one of our novations verbally (via text) agreed to 4% commission
He sent over listing agreement for 3.5% and the BAC is 2.5%
He now states he won’t lower the commission because he has to go by the listing agreement
Scumbag move, no?
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We had a $50,000 deal get delayed yesterday
Lender pulled out of the deal last second.
So we have to go back on market and do this all over again
Is there anything worse?
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Just checked into my flight to ICSC…
❌ No CLEAR
❌ No TSA PreCheck
❌ No seat selection
❌ No checked bag
❌ No upgrades
Never have. Never will.
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Good evening! I can provide the hotel's number. They cannot accept credit card numbers any other way. Please follow @hyattconcierge and provide the name of the hotel so we may DM you to assist.
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A landlord sent over a 3-year lease. The tenant altered it & snuck in a “2,” turning it into 23 years, then signed and returned it. Landlord missed the change and countersigned…no legal remedy available.
Rents have since gone up 4x. Tenant’s been saving ~$20k/month for almost 13 years, with 10 still left.
Approx $1.8mm in total cash flow…
Gone.
Hire attorneys y’all!
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Well so much for that. Already lost. The system is utterly fucked and broken. @stripe
48-page evidence package. Easy to read, Table of contents, filled with visuals (a junior bank employee could easily understand everything).
The customer used the product for 49 days, was logged in 13 hours before filing the chargeback, then canceled the subscription 5 hours after the dispute was already filed. *Technically they are still ACTIVE.
Here's everything we submitted:
PAYMENT INTEGRITY
• AVS postal-code check: PASS
• CVC check: PASS
• Stripe Radar score: Normal (22 / low risk)
• Auth success rate on customer email: 100%
• Card brand, last-4, fingerprint, exp, billing ZIP all confirmed by issuer
CUSTOMER USE POST-CHARGE
• 35 distinct active days in 49 days
• 393 authenticated session-refresh events
• 17 long-form SEO articles generated
• 18 AI images generated
• 3 WordPress sites configured (admin credentials added)
• 4 Google accounts authenticated via OAuth
• Customer added their own paid OpenAI API key (BYOK)
• 4 team members added
TIMING
• 49 days between charge and dispute
• Logged into the dashboard 13 hours BEFORE filing the chargeback
• Canceled the subscription 5 hours AFTER the dispute was filed
INDEPENDENT IP CORROBORATION
• Stripe captured IP at checkout: Manchester, UK
• Microsoft Clarity captured 22 of 38 sessions over 60 days: also Manchester, UK
• Two unrelated 3rd parties placing the same person in the same city across payment + 60 days of authenticated use
THE KICKER - THE CUSTOMER'S OWN PUBLIC WEBSITE CURRENTLY DEPENDS ON OUR PRIVATE CDN
• Articles generated on his account are LIVE on his own public WordPress sites
• Page source contains img tags pointing INSIDE our private R2 bucket
• Last-Modified headers on those CDN files match the EXACT minute his account generated them
• Currently fetched by every visitor to his website
CRYPTOGRAPHIC IDENTITY CHAIN (Automattic / Gravatar)
• Every WordPress author avatar = SHA-256(author email)
• 3 of his sites, 3 perfect SHA-256 matches against the gmail addresses in our DB
• Automattic has no relationship with us, the customer, or the bank
• Effectively unforgeable email-to-WP-admin binding
DOMAIN OWNERSHIP (third-party attestation)
• Google Search Console verified ownership on 4 separate domains
• Public WHOIS: 2 of his domains registered 9 SECONDS APART through the same registrar account
• Both registered 5 MONTHS BEFORE he bought our subscription
• Pre-existing content business, not a stolen-card test
VISA CE 3.0 ELIGIBLE
• Same payment credential had a $0.00 trial-start invoice marked "paid" 7 days before the disputed charge
• Same customer, email, payment method, subscription
• Exactly the prior-undisputed-transaction proof Visa CE 3.0 requires
The chargeback dispute system is broken.
Chris Riley@LCSlates
48 pages, 2hrs later, fingers crossed.
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On April 4th, a likely mentally-ill African man was behaving erratically in a Market Basket parking lot.
I exchanged words with him, encouraging him to leave both the parking lot and the beautiful state of New Hampshire entirely.
For this, I was arrested.
Neither of us came within physical reach of one another, and I expect the matter to be dropped by the city of Manchester. Additionally, I am exploring legal action against the city.
This incident is yet another example of how our government treats mentally-ill and dangerous African men as saints, and how the police prevent decent men from maintaining order in American cities and towns.
The footage of my arrest is below. As someone who loves New Hampshire and attempts to make our state look good, it embarrasses me that our police our this incompetent.
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