Sam Primm grew up in St. Louis, MO, in a hardworking family with an engineer father and a teacher mother. Following the traditional path, he earned his degree and secured a stable corporate job in his hometown. While the role provided financial stability, its high-pressure demands and long hours highlighted its limitations and drained his energy.
Determined to break free from the constraints of the corporate world, Sam turned to real estate as a way to build a different kind of future. The early years were filled with challenges, including failed ventures and hard-learned lessons. However, through persistence and a focus on continuous improvement, Sam developed strategies that worked. Over the next nine years, he built a real estate empire, acquiring $45 million in assets, flipping over 1,000 properties, and managing 150+ single-family rentals—all without using his own money.
Sam’s success in real estate inspired him to help others achieve similar results. He founded FasterFreedom, a platform designed to teach aspiring investors how to quit their jobs and create wealth through real estate. By sharing practical, up-to-date strategies based on his own experience, Sam equips his students with the tools and knowledge they need to succeed in today’s market. Through his work, Sam has become a trusted mentor and resource for anyone looking to break free from traditional career paths and achieve financial independence.
During the show we discussed:
- The mission of FasterFreedom and their target audience.
- Initial steps to take when getting started in real estate investing.
- How much capital is needed to begin investing in real estate.
- How to identify the best markets or neighborhoods for investment.
- Common strategies for financing real estate deals without personal funds.
- Ethical and effective ways to leverage other people’s money (OPM).
- Key differences between wholesaling, flipping, and buy-and-hold strategies.
- Strategies for scaling from a single property to a large real estate portfolio.
- Deciding when to reinvest profits versus diversifying into other investments.
- Important metrics to evaluate the potential success of a property.
- Common mistakes made by new real estate investors and how to avoid them.
- Approaches to handling setbacks like failed deals or unexpected expenses.
- Major risks in real estate investing and ways to mitigate them.
Resources:
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Transcript
Episode Transcript
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(00:02):
(Transcribed by TurboScribe.ai. Go Unlimited to remove this message.) Welcome to the Business Credit and Financing Show.
Each week, we talk about the growth strategies
that matter most to entrepreneurs.
Listen in as we discuss the secrets to
getting credit and money to start and grow
your business.
And enjoy as we talk with seasoned business
owners, coaches, and industry leaders on a variety
(00:22):
of topics from advertising and marketing to the
nuts and bolts of running a highly successful
business.
And now, to introduce the host of our
show, financial expert and award-winning author, Ty
Crandall.
Hello, and thanks for joining us today.
I'm super excited you could be here because
today we're talking about building a real estate
portfolio.
I mean, we're talking about doing it from
(00:43):
scratch all the way to getting to financial
freedom.
Look, there's a reason that you've heard that
real estate can be one of the easiest
and best ways to retire.
Maybe not the easiest, but the best ways
to retire.
And the reason for that is, is that
this is crucial to you really building the
kind of financial freedom you wanna have in
your life, right?
Financial freedom is where you're able to walk
through your life and you don't have to
(01:05):
worry about money.
What you're bringing in from your investments and
your returns pays for your cost of living.
Real estate's one of the best ways to
get there, but it's a minefield, right?
There's so many people out there that are
gurus or experts that don't really know what
they're talking about that can lead you in
the wrong direction.
So today we're gonna get you on the
right path.
And we're gonna help you actually build a
portfolio from scratch, and we'll talk about the
(01:26):
path to get you all the way to
financial freedom.
And with us today to have this conversation
is Sam Prim.
Now, Sam grew up in St. Louis and
a hardworking family with an engineer father and
a teacher mother.
Now, following the traditional path, he earned his
degree and secured a stable corporate job in
his hometown.
And while the role provided financial stability, well,
it's high pressure demands and long hours highlighted
(01:48):
its limitations and drained his energy.
So determined to break free from those constraints
of the corporate world, Sam actually turned to
real estate as a way to build a
truly different kind of future.
Now, the early years were filled with challenges,
including failed ventures and hard learned lessons.
And however, through persistence and a focus on
continuous improvement, Sam actually developed strategies that worked.
(02:11):
And over the next nine years, he built
a real estate empire, acquiring $45 million in
assets, $45 million in assets, flipping over a
thousand properties, over a thousand properties.
I don't know how that's possible in a
lifetime, let alone at the time.
He's a pretty young guy.
I got to ask him about that.
Amazing 150 plus single family rentals all without
(02:32):
using his own money, which is what we
all want to hear about.
And Sam's success in real estate inspired him
to help others achieve similar results.
So he founded Faster Freedom, a platform designed
to teaching aspiring investors how to quit their
jobs and create wealth through real estate.
Now, by sharing practical up-to-date strategies
based on his own experience, Sam actually equips
(02:53):
his students with the tools and knowledge they
need to succeed in today's market.
So through his work, Sam has become a
trusted mentor and resource for anyone looking to
break free from traditional career paths and achieve
financial independence.
Sam, man, what, you've done so much stuff.
Welcome to the show.
I'm excited to be here.
That is a heck of an introduction.
You made me sound way cooler than I
(03:15):
am, which I always appreciate.
How do you flip over a thousand property?
I mean, I have to start there because
like that's, I mean, I would think a
property a month would be hard to do.
And so I can't, I don't even understand
like the math.
How do you get to flipping over a
thousand properties?
That's crazy.
Yeah, so there's a couple of things that
go into that.
So we have a team.
I have six full-time acquisitions reps that
(03:36):
their job is to go out and buy
distressed properties through relationships as well as through
marketing.
And each of them are tasked with buying
about four to five a month.
So that's where we get to 200 and
250.
We did 312 a couple of years ago.
That's where we get to that two to
300 houses per year.
And I say flip, cause it's simple, about
(03:57):
25% of those we close on, we
rehab, we sell, we have crews and about
75% of those we wholesale.
We flip, we buy them and then we
sell them without touching them, wholesale them.
So that's where you get to that number
where we're actually just crossed the 1600 property
a few months ago.
So yeah, we got a team, we got
a system, we got a process and we
got a brand that allows us to do
(04:18):
it at scale here in St. Louis.
How did you get there?
Because everybody hears this and then they go
off to accomplish that dream and they forget
about all the hard work you took to
get there.
So what did you do?
Walk me through that.
You went to college, you came out with
a degree.
What was the degree in?
What were you doing in your hometown?
And then what made you like switch and
go real estate's the answer and then decide
(04:40):
to go all in on real estate?
Yeah, so it's not like, there's not this
like rags to riches story.
They're not gonna create a movie about how
I did it which is kind of disappointing
but I think it's how I did it,
I think is relatable and I think other
people can try to emulate it which I
think is exciting.
There's a lot of these gurus like you
(05:00):
said that have this maybe real, maybe not
like story about growing up and selling newspapers
on the corner and all these crazy horrible
things happening to them.
My story like you mentioned earlier is very
normal.
Midwest went to school, got a degree in
marketing, got a job in sales right out
of college and I thought that I was
going to work until I was 65 like
(05:20):
my dad did.
My dad retired, he worked for Boeing for
45 years.
He retired at the age of like in
his early 60s and that's all I knew,
that's what my goal was.
That's what my dream was.
And in fact, I remember watching those Folgers
commercials of the coffee commercials with the dad
getting up and the kids are sleeping and
he makes his Folgers, he smells it, he
(05:41):
gets in his gold Camry and drives to
work while his kids are and his wife's
sleeping.
That's what I wanted to do, that was
my goal.
But again, super cliche, super boring, super normal.
My best friend at the time and current
business partner Lucas, he sent me Rich Dad
Poor Dad and I graduated college in 2011,
got married in 2012 and I read Rich
(06:01):
Dad Poor Dad in 2012 on my honeymoon
and it started to open my mind up
a little bit, the financial freedom, the assets
versus liabilities that there was potentially more for
me to do than go work for somebody
else to retire only when I'm too old
to actually enjoy that retirement.
So that's what sparked it all.
(06:21):
And by 2014, me and Lucas, who I
mentioned earlier, decided to start investing in real
estate on the side.
And my goal was to buy one house
a year for 10 years.
And at the end of 10 years, start
to sell them off and maybe retire a
little bit earlier.
So even at that point, I didn't have
goals and aspirations to do what I'm doing
now.
I don't know if I didn't think it
was possible.
I just didn't have those big goals.
(06:42):
I'm not one of those guys that thinks,
at least I didn't think that he's gonna
be this billionaire and I'll have all this
money.
So 2014, I started investing in real estate
on the side.
And by 2018, we both quit our jobs
and went all in.
Wow, so how did you make the leap?
How did you go from one house a
year to where you are now that you're
doing hundreds a year?
I learned about the number one skill that
(07:02):
has allowed me to create the most wealth
as well as other people's, and that is
leverage.
That's one of the beautiful things about real
estate is you can do it with little
to none of your own money.
Stock market's great, right?
You're gonna, it's gonna double every seven years,
great.
But you have to put money into it.
401k is awesome.
Your employee might match some of it, but
you have to put money into it and
you can't touch it.
Same with an IRA.
(07:24):
You have to put money into it, but
you can't touch it.
So there are all of these things that
tie you to your job, your salary, your
401k, your IRA, because you can't do anything
with any of that.
And I always say that most people don't
make enough money, especially in today's society, to
save enough, to live well, to invest enough
to actually get ahead.
(07:44):
Everyone's kind of treading water right now because
of inflation and the fact that it's just,
it's expensive to live these days.
So the only really way to jump in
front of the line is leverage, and that's
what I learned very, very quickly, because believe
it or not, my very first rental property
was an accidental rental.
I didn't know that you could use other
people's money to buy rental properties, which I'm
(08:04):
sure we'll get into.
I bought it to flip it, and I
was gonna take the profit and put 20
% down on a rental.
So I wanted to buy one rental a
year.
That meant I had to do one flip,
and it had to go well, and then
I had to take the profit from that
flip to put 20% down on a
rental.
That was my path.
But during that initial rehab, I learned out
about cash out refinances, I learned out about
(08:25):
leveraging, and I was able to end up
keeping that property and owning it, and I
still own it to this day.
So the biggest thing that allowed me to
grow and scale was understanding leverage and not
being scared of debt, both of which were
not really taught as we're growing up and
trying to make it in the world.
I'm a big fan of OPM.
(08:46):
You are too.
I've watched your stuff on YouTube.
It's killer.
So, and by the way, you need to
go find Sam on YouTube because his stuff
is off the charts, which I think you
can just find with your name, right?
Sam, S-A-M-P-R-I-M.
Sam Prim or Faster Freedom, either one, on
any platform, you'll be able to find me,
yep.
His content's insane.
So right now, you should go check it
out and follow him on YouTube.
It's Sam Prim, S-A-M-P-R
(09:08):
-I-M-M.
So Sam, let's start.
I usually, I kind of start with the
beginning of work up, but I'm interested to
know, I mean, financing, how do you do
it?
Can you really get into real estate with
no money down?
What are some of the most proven strategies
you've found that are scalable to do that?
Yeah, there's one main strategy, which is awesome.
I always say, and obviously other people say
(09:29):
it too, but this is so simple, but
it's not easy.
There's a big difference between simple and easy.
People think they're synonyms and they're just simply
not.
So I understand that I do make it
sound simple because it kind of is.
And I also do it all day, every
day, I'm in the trenches and actually doing
it, which I think adds more value to
the content.
(09:49):
As you're saying, I'm not talking about something
that I used to do or don't do.
But the biggest thing is having just one
simple method, but it doesn't mean it's easy.
It's called the BERS method.
It stands for buy, rehab, rent, refinance, and
systemizes what I turned it into.
I'll just do a quick little example of
it to help the audience understand.
I know you know what it means, but
everybody else might not.
And this method I've used to buy 165
(10:12):
single family rentals, six apartment complexes, three self
-storage facilities, and a hotel motel that we
turned into like a boutique Airbnb thing.
So this works for any real estate asset
class.
This works as long as you're buying it
and adding value and managing it properly, this
works.
So I don't want people to think this
is only for single family rentals, although it
predominantly is.
(10:33):
So it stands for buy, rehab, rent, refinance,
and systemize.
And this is how I bought 50 million
now in real estate using none of my
own money.
I don't know that I'll be able to
get 200, 200, 300 million with none of
my own money.
Maybe I will, maybe I won't, but we've
gotten here without using any of our own
money.
So what you do is you find a
distressed property that you buy using somebody else's
(10:56):
money.
There's private money, there's hard money, there's lines
of credit, there's a lot of different ways.
You're just not using your own money to
buy a distressed property.
Let's say you can buy it for $50
,000 to keep the math simple.
And then you rehab it using somebody else's
money, private lender, hard money lender, line of
credit, your cash, whatever you do, because you're
gonna get it back.
So you put 25 grand into it.
(11:17):
So you buy it for 50 using somebody
else's money.
You rehab it for 25,000 using somebody
else's money.
Then you get it rented.
That's pretty self-explanatory.
Then the next step is the refinance step.
You go to a small local bank and
they will do a third-party appraisal and
they'll give you a loan for 80%
of the appraised value.
So this property pays for $100,000.
(11:38):
The bank writes you a check for 80
grand.
Now you owe them that over the next
25 or 30 years, but they write you
a check for 80 grand.
You take the $80,000 and you pay
back your private lender.
They're 75,000 plus five in interest.
They're paid off.
They're good.
They made 10, 12% of their money
in six months.
They're happy.
They're gone.
Now you owe the bank 75, or you
(11:59):
owe the bank 80 grand, but you take
rent and you pay back the bank.
And guess what happens over time?
That real estate's gonna double in value.
And over time, the tenant pays down the
principal balance.
So you're doubling up on your equity.
Value goes up.
Tenant pays down the debt and you get
tax-free cash flow on the way.
And yes, it's a process.
Yes, it's a step, but five rental properties
(12:19):
can completely change your life.
Most people are willing to work for somebody
else for 50 years.
When I'm telling you, give me one or
two years and let's get you five properties
and that will set yourself better financially than
working for 50 for someone else.
So that's the process in a nutshell.
Of course, there's nuances to it, but generally
that's the workflow.
So let me ask you some questions about
this because my brain breaks it down two
(12:39):
ways is that we've got the acquisition and
then we've got when the properties rehab done
or refinancing.
So for refinancing, how many of these mortgages
of these can we have?
How many properties can we have or we
have outstanding mortgages for?
And what kind of mortgages are we getting?
Are we doing Fannie, Freddie type mortgages?
Yeah, so you can have however many, yeah,
so you can have however many mortgages you
(13:00):
want.
You can have 10 in your personal name,
but if you own them in an LLC
and do a commercial loan like I've done,
you can have unlimited.
There's no cap to how many loans you
can have.
And that was a great question because if
you do it in your personal name, there
is a 10 loan cap.
So you're getting commercial loans at small local
banks.
They're just commercial loans.
(13:20):
They're not Fannie Mae, they're not Freddie Mac.
That's a huge misconception for a lot of
people because your traditional residential loan that you
have on your house, Bank of America gave
it to you and then they sold it
off to Fannie Mae and Freddie Mac.
So they didn't service the loan.
So they don't own the loan.
These small local banks, they service and own
the loans.
I have a portfolio of rental properties, they
(13:42):
have a portfolio of loans.
So they borrow from the Fed at 5%,
lend to me at 7% and they
make that 2% spread every single month
and they hold the note in house.
So that's, you made a good point.
It's not something you can just go down
traditional path.
You have to have the right connections.
You have to have the right financiers, but
they're out there and they're in every market.
(14:02):
They're not hiding.
People just probably haven't looked in the right
spot.
So you're looking for local regional banks, local
credit unions, and you're looking for portfolio lenders,
not ones that are basically selling the paper
on the secondary market, right?
100%, yep.
Okay, and then what kind of LTV, what
kind of loan to value do these kinds
of properties have?
When you're, again, we're the ones when the
(14:23):
property's already rehabbed and you're refinancing into that
long-term loan.
75 to 80% usually.
Some will go over 80, not very common.
I would say 75 to 80% loan
to value is what you're gonna get your
cash out loan on.
90% of the time, it's gonna be
in that range.
Are you doing DSCR type of stated income
loans or are we doing full dock?
Well, I guess they're in the business name.
(14:44):
Well, that's a good question.
Like, are they doing full verification on these
things or is it just debt service coverage
that they're looking for?
Yeah, that's great.
So it's, I wish it was a simple
answer.
It's a little bit of both.
So when you're developing a relationship with a
bank at first and you're doing your commercial
loans and they're gonna be, it's more asset
-based lending instead of borrower-based lending, as
you alluded to, they are gonna kind of
poke at your personal credit, maybe poke at
(15:05):
your income at first just to see you
as a borrower and build a relationship.
But these small local banks are a relationship
bank.
You're gonna know the owner of the bank
probably.
They're businessmen and businesswomen masquerading, entrepreneurs masquerading
around as bankers.
So you build a relationship with them and
eventually they're not gonna check your income and
credit and all of those things.
(15:25):
They're just gonna look at the asset.
So it starts a little bit personal and
then it becomes based on the LLC and
the asset because I do well for myself
but I have $30 million in debt, right?
That is.
And now a quick break to hear from
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(15:47):
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(16:08):
Not a DTI probably safe type of formula
to be had because I borrow money and
every dollar that I borrow, I get a
certain amount of equity and certain amount of
cashflow from but you can't do it without
debt if you wanna grow and scale as
quickly as I have unless you come from
money already.
And by the way, you're following along, you
can go to fasterfreedom.com and at fasterfreedom
(16:30):
.com, you can see that we're talking about
a mentor program.
He's got a full mentorship program and he's
also has a YouTube channel, which is remarkable.
I mean, it's one of the best real
estate, if not the best real estate YouTube
channel I've ever seen.
So if you wanna follow along step-by
-step what he's doing, you can go to
fasterfreedom.com and that'll get you there.
So now when you're buying the property, what
(16:50):
are some of those common methods that you
or your students are using?
Because you mentioned a lot of them.
You mentioned credit lines, you mentioned hard money
loans amongst others.
So what are the most common methods that
your students are using to get into this
without any money out of pocket in the
beginning?
Yeah, there's several different ones.
So the easiest and like the push a
button is a hard money lender.
(17:10):
There's local ones and there's national ones.
I have one, Faster Freedom Capital.
So I lend to my students as well
hard money.
So hard money is the easiest one.
The drawbacks of hard money are they are
going to require some liquidity and then probably
some money down.
So you're not gonna be able to get
100% finance like you would with a
private money lender.
(17:30):
So hard money lenders are companies that are
in business to lend you money.
However, they're usually arbitraging some type of money.
So they're going to need some liquidity and
maybe some down payment and potentially some experience.
So that's the easy button.
They're there, they will lend, but you might
have to bring some money to the table.
Now, if you go that route, you have
options.
I tell a lot of my students, they
(17:51):
can get a home equity line of credit
on their house.
The hard money lender does 90% of
it.
You need 10% do a home equity
line of credit on your house.
You're gonna get it back.
Remember the example I told them earlier is
you refinance and you get it back.
So even some students use their own cash.
My goal is just not a pocket long
-term.
If you need 10, 15 grand and you
have it, marry the loan together, use it
(18:12):
and then pay yourself back on the refinance
or sale if you're flipping it.
So hard money lenders mixed with some type
of gap funding.
So that could be a home equity line
of credit, could be a self-directed IRA.
It could be a private lender.
There's a lot of different options.
And then the main one that everyone goes
for are these private lenders.
These are individuals, not institutions, not companies.
(18:34):
They're individuals that you know that have access
to some types of funding that they can
lend you the money.
And they're not gonna do a credit check.
They're not gonna do a background check.
They're not going to underwrite the property.
They're gonna write you a check for whatever
you tell them to write you a check
for.
And that should fund the purchase and rehab.
And then you pay them back.
So private lenders are the most, the best
and most scalable lenders to get.
(18:56):
You just have to put a little bit
of effort to find them.
Yeah.
And I love that.
This is a strategy we talk about a
lot about with business funding, right?
Is that like business credit paying 90%
of what you need to business.
Then you're just trying to fill that delta
of the 10% way easier to get
a loan or a credit line for that
amount than the total amount.
So I just love that of being able
to use lender, private investors, other people's money
to get you part of the way there,
(19:17):
70, 80, 90%.
Then you just a little bit of money
from another source of a lot of different
ways that we get that.
And by the way, if you're watching the
show, you already know we talk about a
lot of those ways to be able to
do it.
So I'm just getting started.
Let's say you talk about wholesaling.
You talked about flipping, like where do you
guide your students to get started?
Cause man, there's a lot of freaking options,
right?
It's like, I got mobile home parks.
I got storage.
(19:37):
I mean, like everybody's talking about their way
is the best way.
It's so overwhelming and confusing.
So how do you help your students get
in there and understand where they should start
and where do you recommend that they actually
start?
Yeah, I love that question.
So we give a, it's going to sound
like an oxymoron.
We give like a customized holistic approach.
(19:59):
So the first thing we tell them is,
what's your cash situation?
Do you have cash?
Do you have good steady income?
Do you have bad debt, student loan debt,
credit card debts?
What is your current financial situation look like
personally?
If you're making a good income and you
have a good job and your credit's good
and you're good, well, let's start with rentals
(20:19):
right now because you only create wealth by
owning assets over a period of time.
So the longer you wait to buy rentals,
the longer you're waiting to create financial freedom.
Nobody ever got wealthy flipping houses.
They got wealthy owning assets, businesses or real
estate.
You have to own them and you have
to own them over a period of time.
Of course, you can shorten the period of
time by volume, by doing multiple, but you
(20:40):
have to own.
Now there's the other side of it.
They have the bad debt.
They want to get their credit score up
a little bit.
That's where we tell them to wholesale or
fix and flip.
You don't need credit to do either of
those things.
You can wholesale and never close on a
property.
You can fix and flip using a private
lender.
So if they need chunks of cash now
for their financial situation, then hey, let's get
you chunks of cash now.
If you're doing okay, you can always add
(21:01):
that.
Let's get into rentals.
So that's kind of the line of delineation.
We talk through with each student, like what's
your specific situation?
That's why it's the customized, but it's holistic
because we can tap into any form of
real estate.
And to put a pin in your question,
we always tell people single family rentals is
the best place to start.
Yes, there's apartments.
I own them.
Yes, there's self-storage and there's mobile homes
(21:22):
and there are all of those things, but
the simplest, easiest way to get started to
build the credibility with the lenders, to build
the credibility with the contractors, to build the
confidence in yourself is to at least do
a handful of single family flips, rentals or
wholesales or a combination.
You just learn it and they're liquid.
You can't sell a mobile home park tomorrow.
Well, you probably can't.
(21:42):
You can sell a house tomorrow.
They're in demand.
They're in need.
Consumers buy them and investors buyers.
Consumers don't buy apartments.
Consumers don't buy mobile home parks, but investors
are your only options for those things.
So single family is just more liquid, easier
to wrap your arms around, easier to see
the financials of it and build the confidence.
And again, you do a handful of single
family rentals with a bank and you prove
(22:05):
yourself to them.
They're very likely to approve you for that
12 unit apartment complex when they're probably not
just going to take you green off the
street and say, yeah, here's a $900,000
loan on this 12 unit apartment complex.
We trust that you're going to do this.
You know what I mean?
So it's single families are just a great
way to get the ball rolling and then
you can scale them or you can kind
of diversify from there.
Yeah, that makes perfect sense.
(22:26):
You have money.
If you have money, go to rentals.
If you don't have money and you need
it, then you do fix and flip and
you do wholesaling.
But let me ask you this.
At your scale, you're doing a lot of
fix and flip and wholesaling, right?
And so you didn't transition from that to
that.
So are you doing that to then make
more cash that then you're using to reinvest
into the system to be able to develop
(22:47):
more rentals?
Is that why you're still doing so many
fix and flips and wholesaling?
Yeah, the biggest reason we have our local
fix and flip and wholesale company called Fast
Trials here in St. Louis, it's a couple
of different reasons.
One, we truly feel like we are making
the community better by taking these distressed properties
and either selling them to somebody who's going
to make them nicer or rehabbing them themselves
(23:08):
or being landlords like we are with the
conscious and treat people fairly and do things
the right way.
Most people don't understand that if real estate
investors went away, they actually think the opposite.
They think the real estate investors are hurting
the real estate market when in fact we're
helping it.
We take houses out of the supply of
a normal home buyer and we add them
to the supply.
(23:29):
Nobody's going to take the house that we
bought last week that we bought for 280
grand that needs $130,000 in rehab.
Nobody qualifies for that type of loan.
No first-time home buyer is going to
have the cash or resources to rehab it.
So we add to the supply.
So that's not the main reason, but a
big reason why we do it because we
truly feel like we're making St. Louis community
better.
(23:50):
Secondly, we're providing assets to us and our
team.
So Lucas, my business partner and I are
able to have a system, a process to
just, we have 26 houses under contract right
now.
So we're able to pick a handful of
them and keep them as rentals.
So we're adding to our rental supply through
that company.
But then our team does too.
We have like 400 units owned by our
team.
(24:10):
So our team has the opportunity to buy
these properties and keep them as rentals or
flip them if they want.
Obviously we mark them up, but they can
do that.
And then lastly, yeah, it's a good additional
stream of income.
That company is, I'm not going to say
volatile, but in the fall and winter, we
don't make as much money.
In the spring and summer, we do pretty
well.
We kind of followed the real estate trend.
So it's just another stream of income for
me being an idiot entrepreneur and trying new
(24:32):
things and failing and not having companies always
be as profitable as they could be.
When you have three or four of them,
there's a good chance at least one or
two of them are going to hit that
month while you're screwing up the other ones.
Yeah.
And I love it.
And I love that you practice what you
preach.
I don't know if I've had anybody on
the show that's done as much volume or
doing as much volume as you are.
And I love that because you have vast
knowledge to be able to help so many
(24:53):
of your students.
Speaking of your students, Faster Freedom, what are
you guys doing?
What are you doing to help people break
into this and actually scale?
Yeah, that Faster Freedom community is nuts, man.
I didn't ever do any of this to
A, create a social media following or B,
create a coaching program.
I posted on social media, my personal Facebook,
like 2020 about like an apartment we bought
(25:14):
and people were freaking out.
High school buddies, college friends, people I didn't
know like, how are you doing?
How are you doing it?
So then I created like a professional page
and then I had people saying, teach me,
teach me, teach me.
So we turned that into 2021-ish.
I started a quote unquote mentorship and we
have over 2000 students now that own over
350 million in real estate and have bought
(25:35):
over 500 million if you're talking flips as
well.
So it's really, really cool.
And I'm always tweaking and changing it.
But right now, if you were to join
my community, we have 12 weekly group coaching
calls.
They're like mastermind calls.
There's like 20, 30 people on them with
a couple of qualified coaches and I'm involved
as well.
There's one-on-one calls.
We have a Facebook group.
We introduce you to the right people.
(25:57):
We introduce you to the right LLC companies.
We introduce you to our funding or other
funding.
We introduce you to contractors.
We have students in all 50 states now,
which is pretty cool.
So we're building a community where I had
someone join yesterday from Dallas.
We have 65 students in Dallas.
So we plug them into our network in
Dallas and then they have the resources they
need.
So again, it's just the fact that we
do it all.
(26:17):
We have a call on creative financing in
sub two.
We have a call on rehab and construction
so we can kind of cover everything because
we do everything and people can plug into
what they want to do or what they
need now.
And we have people in the group that
have bought 65 rentals in two years and
they're still involved and they're helping coach and
teach.
So it's this really cool blend of self
-guided resources, videos, community and calls that is
(26:41):
unique and I'm proud of it and it's
definitely not something I thought I'd be doing
but it's fun and we're helping a lot
of people create financial freedom.
I love it, man.
Congrats on your success.
I think you're probably part of Matt's group
down here in Tampa.
I'm sure you come down and visit but
you have to know how rare you are.
Like the volume you're doing.
Like I talked to a lot of influencers
like very few ever I talked to to
(27:01):
do the volume you guys do.
So just congratulations, man because to be able
to do what you're doing volume wise and
still have a place in your heart to
come in and take an average everyday person
and then bring them up with you.
It's just such a cool thing.
It's a Midwest thing.
Like it just is like doing it for
your community.
Like it just, I love to hear you
talk because coming from Indiana just reminds me
like that's just the way that things are.
(27:23):
So I am so appreciative that you do
what you do to bring people up with
you and that you're so dedicated to your
community.
Just kudos, man.
You're real standout in the industry.
I appreciate that very much.
I try to be different and I try
to be me.
Somehow I have like three and a half
million followers on social media and I talk
too quickly.
I mumble sometimes.
(27:44):
I slur a little bit with my words.
I'm not your news anchor style content creator
but I think kind of what you said,
it's authentic.
It's real.
I talk about the screw ups, the good,
the bad, the ugly.
I make probably way less money than some
people think and way more money than some
people think and it doesn't really matter at
the end of the day.
I'm just trying to go out there, grow
my companies, grow my businesses and enjoy time
(28:06):
with my family.
And sometimes it's very financially rewarding and sometimes
it's very, very frustrating but that's just part
of it.
And it seems like the more you help
people the more money you make and not
the other way around.
Yeah.
Sam, where can everybody go?
What actions should they take to be able
to learn more?
Because you know, we scratch the surface and
I want to warn everybody like we made
it sound easy but it's not easy, right?
Like this is why you want to follow
(28:27):
Sam on social.
It's why you really want to go to
fasterfreedom.com and you want to really entertain
being part of this community because there's so
many details that you don't know.
We didn't have a chance to cover in
30 minutes.
So where can those people that are saying,
okay, I want to do this.
Like you're the king of OPM to be
able to do this.
Where can they go?
What should they do to be able to
start following you and be part of your
(28:50):
community so they can actually be able to
have this kind of success?
Yeah.
I'd say the biggest thing you mentioned a
little bit earlier is just following me on
social media and kind of getting a feel
for what I do and how I do
it.
I'm on all platforms under Sam Prim or
Sam Faster Freedom.
So just look up either of those things.
The company's Faster Freedom.
My name's Sam.
So just follow me there.
That's the best place to go because I
(29:10):
want you to understand how I do things
that the style that I have and make
sure it's a good fit for you because
we don't just take anybody.
Obviously we want to have people and help
people, but if it's not the right fit,
then there's no point in us doing a
transaction where you're not going to put in
the effort and we're not going to be
able to provide what you're looking for.
So the biggest things are just checking me
(29:30):
out on social media.
I do webinars weekly now, starting to do
webinars weekly.
So if you follow me on socials, you'll
see me talking about a webinar or you
get an ad from me about a webinar.
And that's where I sit down for an
hour and break everything down, give you some
resources, give you some tools, and then allow
you to be able to book a call
with my team to see if you're a
good fit.
So I'd rather have them start there than
(29:51):
say, hey, go to this specific URL and
sign up for my mentorship.
Go there, learn a little bit about me.
DM me on Instagram.
I have 650.
(Transcribed by TurboScribe.ai. Go Unlimited to remove this message.) Welcome to the Business Credit and Financing Show.
Each week, we talk about the growth strategies
that matter most to entrepreneurs.
Listen in as we discuss the secrets to
getting credit and money to start and grow
your business.
And enjoy as we talk with seasoned business
owners, coaches, and industry leaders on a variety
(00:22):
of topics from advertising and marketing to the
nuts and bolts of running a highly successful
business.
And now, to introduce the host of our
show, financial expert and award-winning author, Ty
Crandall.
Hello, and thanks for joining us today.
I'm super excited you could be here because
today we're talking about building a real estate
portfolio.
I mean, we're talking about doing it from
(00:43):
scratch all the way to getting to financial
freedom.
Look, there's a reason that you've heard that
real estate can be one of the easiest
and best ways to retire.
Maybe not the easiest, but the best ways
to retire.
And the reason for that is, is that
this is crucial to you really building the
kind of financial freedom you wanna have in
your life, right?
Financial freedom is where you're able to walk
through your life and you don't have to
(01:05):
worry about money.
What you're bringing in from your investments and
your returns pays for your cost of living.
Real estate's one of the best ways to
get there, but it's a minefield, right?
There's so many people out there that are
gurus or experts that don't really know what
they're talking about that can lead you in
the wrong direction.
So today we're gonna get you on the
right path.
And we're gonna help you actually build a
portfolio from scratch, and we'll talk about the
(01:26):
path to get you all the way to
financial freedom.
And with us today to have this conversation
is Sam Prim.
Now, Sam grew up in St. Louis and
a hardworking family with an engineer father and
a teacher mother.
Now, following the traditional path, he earned his
degree and secured a stable corporate job in
his hometown.
And while the role provided financial stability, well,
it's high pressure demands and long hours highlighted
(01:48):
its limitations and drained his energy.
So determined to break free from those constraints
of the corporate world, Sam actually turned to
real estate as a way to build a
truly different kind of future.
Now, the early years were filled with challenges,
including failed ventures and hard learned lessons.
And however, through persistence and a focus on
continuous improvement, Sam actually developed strategies that worked.
(02:11):
And over the next nine years, he built
a real estate empire, acquiring $45 million in
assets, $45 million in assets, flipping over a
thousand properties, over a thousand properties.
I don't know how that's possible in a
lifetime, let alone at the time.
He's a pretty young guy.
I got to ask him about that.
Amazing 150 plus single family rentals all without
(02:32):
using his own money, which is what we
all want to hear about.
And Sam's success in real estate inspired him
to help others achieve similar results.
So he founded Faster Freedom, a platform designed
to teaching aspiring investors how to quit their
jobs and create wealth through real estate.
Now, by sharing practical up-to-date strategies
based on his own experience, Sam actually equips
(02:53):
his students with the tools and knowledge they
need to succeed in today's market.
So through his work, Sam has become a
trusted mentor and resource for anyone looking to
break free from traditional career paths and achieve
financial independence.
Sam, man, what, you've done so much stuff.
Welcome to the show.
I'm excited to be here.
That is a heck of an introduction.
You made me sound way cooler than I
(03:15):
am, which I always appreciate.
How do you flip over a thousand property?
I mean, I have to start there because
like that's, I mean, I would think a
property a month would be hard to do.
And so I can't, I don't even understand
like the math.
How do you get to flipping over a
thousand properties?
That's crazy.
Yeah, so there's a couple of things that
go into that.
So we have a team.
I have six full-time acquisitions reps that
(03:36):
their job is to go out and buy
distressed properties through relationships as well as through
marketing.
And each of them are tasked with buying
about four to five a month.
So that's where we get to 200 and
250.
We did 312 a couple of years ago.
That's where we get to that two to
300 houses per year.
And I say flip, cause it's simple, about
(03:57):
25% of those we close on, we
rehab, we sell, we have crews and about
75% of those we wholesale.
We flip, we buy them and then we
sell them without touching them, wholesale them.
So that's where you get to that number
where we're actually just crossed the 1600 property
a few months ago.
So yeah, we got a team, we got
a system, we got a process and we
got a brand that allows us to do
(04:18):
it at scale here in St. Louis.
How did you get there?
Because everybody hears this and then they go
off to accomplish that dream and they forget
about all the hard work you took to
get there.
So what did you do?
Walk me through that.
You went to college, you came out with
a degree.
What was the degree in?
What were you doing in your hometown?
And then what made you like switch and
go real estate's the answer and then decide
(04:40):
to go all in on real estate?
Yeah, so it's not like, there's not this
like rags to riches story.
They're not gonna create a movie about how
I did it which is kind of disappointing
but I think it's how I did it,
I think is relatable and I think other
people can try to emulate it which I
think is exciting.
There's a lot of these gurus like you
(05:00):
said that have this maybe real, maybe not
like story about growing up and selling newspapers
on the corner and all these crazy horrible
things happening to them.
My story like you mentioned earlier is very
normal.
Midwest went to school, got a degree in
marketing, got a job in sales right out
of college and I thought that I was
going to work until I was 65 like
(05:20):
my dad did.
My dad retired, he worked for Boeing for
45 years.
He retired at the age of like in
his early 60s and that's all I knew,
that's what my goal was.
That's what my dream was.
And in fact, I remember watching those Folgers
commercials of the coffee commercials with the dad
getting up and the kids are sleeping and
he makes his Folgers, he smells it, he
(05:41):
gets in his gold Camry and drives to
work while his kids are and his wife's
sleeping.
That's what I wanted to do, that was
my goal.
But again, super cliche, super boring, super normal.
My best friend at the time and current
business partner Lucas, he sent me Rich Dad
Poor Dad and I graduated college in 2011,
got married in 2012 and I read Rich
(06:01):
Dad Poor Dad in 2012 on my honeymoon
and it started to open my mind up
a little bit, the financial freedom, the assets
versus liabilities that there was potentially more for
me to do than go work for somebody
else to retire only when I'm too old
to actually enjoy that retirement.
So that's what sparked it all.
(06:21):
And by 2014, me and Lucas, who I
mentioned earlier, decided to start investing in real
estate on the side.
And my goal was to buy one house
a year for 10 years.
And at the end of 10 years, start
to sell them off and maybe retire a
little bit earlier.
So even at that point, I didn't have
goals and aspirations to do what I'm doing
now.
I don't know if I didn't think it
was possible.
I just didn't have those big goals.
(06:42):
I'm not one of those guys that thinks,
at least I didn't think that he's gonna
be this billionaire and I'll have all this
money.
So 2014, I started investing in real estate
on the side.
And by 2018, we both quit our jobs
and went all in.
Wow, so how did you make the leap?
How did you go from one house a
year to where you are now that you're
doing hundreds a year?
I learned about the number one skill that
(07:02):
has allowed me to create the most wealth
as well as other people's, and that is
leverage.
That's one of the beautiful things about real
estate is you can do it with little
to none of your own money.
Stock market's great, right?
You're gonna, it's gonna double every seven years,
great.
But you have to put money into it.
401k is awesome.
Your employee might match some of it, but
you have to put money into it and
you can't touch it.
Same with an IRA.
(07:24):
You have to put money into it, but
you can't touch it.
So there are all of these things that
tie you to your job, your salary, your
401k, your IRA, because you can't do anything
with any of that.
And I always say that most people don't
make enough money, especially in today's society, to
save enough, to live well, to invest enough
to actually get ahead.
(07:44):
Everyone's kind of treading water right now because
of inflation and the fact that it's just,
it's expensive to live these days.
So the only really way to jump in
front of the line is leverage, and that's
what I learned very, very quickly, because believe
it or not, my very first rental property
was an accidental rental.
I didn't know that you could use other
people's money to buy rental properties, which I'm
(08:04):
sure we'll get into.
I bought it to flip it, and I
was gonna take the profit and put 20
% down on a rental.
So I wanted to buy one rental a
year.
That meant I had to do one flip,
and it had to go well, and then
I had to take the profit from that
flip to put 20% down on a
rental.
That was my path.
But during that initial rehab, I learned out
about cash out refinances, I learned out about
(08:25):
leveraging, and I was able to end up
keeping that property and owning it, and I
still own it to this day.
So the biggest thing that allowed me to
grow and scale was understanding leverage and not
being scared of debt, both of which were
not really taught as we're growing up and
trying to make it in the world.
I'm a big fan of OPM.
(08:46):
You are too.
I've watched your stuff on YouTube.
It's killer.
So, and by the way, you need to
go find Sam on YouTube because his stuff
is off the charts, which I think you
can just find with your name, right?
Sam, S-A-M-P-R-I-M.
Sam Prim or Faster Freedom, either one, on
any platform, you'll be able to find me,
yep.
His content's insane.
So right now, you should go check it
out and follow him on YouTube.
It's Sam Prim, S-A-M-P-R
(09:08):
-I-M-M.
So Sam, let's start.
I usually, I kind of start with the
beginning of work up, but I'm interested to
know, I mean, financing, how do you do
it?
Can you really get into real estate with
no money down?
What are some of the most proven strategies
you've found that are scalable to do that?
Yeah, there's one main strategy, which is awesome.
I always say, and obviously other people say
(09:29):
it too, but this is so simple, but
it's not easy.
There's a big difference between simple and easy.
People think they're synonyms and they're just simply
not.
So I understand that I do make it
sound simple because it kind of is.
And I also do it all day, every
day, I'm in the trenches and actually doing
it, which I think adds more value to
the content.
(09:49):
As you're saying, I'm not talking about something
that I used to do or don't do.
But the biggest thing is having just one
simple method, but it doesn't mean it's easy.
It's called the BERS method.
It stands for buy, rehab, rent, refinance, and
systemizes what I turned it into.
I'll just do a quick little example of
it to help the audience understand.
I know you know what it means, but
everybody else might not.
And this method I've used to buy 165
(10:12):
single family rentals, six apartment complexes, three self
-storage facilities, and a hotel motel that we
turned into like a boutique Airbnb thing.
So this works for any real estate asset
class.
This works as long as you're buying it
and adding value and managing it properly, this
works.
So I don't want people to think this
is only for single family rentals, although it
predominantly is.
(10:33):
So it stands for buy, rehab, rent, refinance,
and systemize.
And this is how I bought 50 million
now in real estate using none of my
own money.
I don't know that I'll be able to
get 200, 200, 300 million with none of
my own money.
Maybe I will, maybe I won't, but we've
gotten here without using any of our own
money.
So what you do is you find a
distressed property that you buy using somebody else's
(10:56):
money.
There's private money, there's hard money, there's lines
of credit, there's a lot of different ways.
You're just not using your own money to
buy a distressed property.
Let's say you can buy it for $50
,000 to keep the math simple.
And then you rehab it using somebody else's
money, private lender, hard money lender, line of
credit, your cash, whatever you do, because you're
gonna get it back.
So you put 25 grand into it.
(11:17):
So you buy it for 50 using somebody
else's money.
You rehab it for 25,000 using somebody
else's money.
Then you get it rented.
That's pretty self-explanatory.
Then the next step is the refinance step.
You go to a small local bank and
they will do a third-party appraisal and
they'll give you a loan for 80%
of the appraised value.
So this property pays for $100,000.
(11:38):
The bank writes you a check for 80
grand.
Now you owe them that over the next
25 or 30 years, but they write you
a check for 80 grand.
You take the $80,000 and you pay
back your private lender.
They're 75,000 plus five in interest.
They're paid off.
They're good.
They made 10, 12% of their money
in six months.
They're happy.
They're gone.
Now you owe the bank 75, or you
(11:59):
owe the bank 80 grand, but you take
rent and you pay back the bank.
And guess what happens over time?
That real estate's gonna double in value.
And over time, the tenant pays down the
principal balance.
So you're doubling up on your equity.
Value goes up.
Tenant pays down the debt and you get
tax-free cash flow on the way.
And yes, it's a process.
Yes, it's a step, but five rental properties
(12:19):
can completely change your life.
Most people are willing to work for somebody
else for 50 years.
When I'm telling you, give me one or
two years and let's get you five properties
and that will set yourself better financially than
working for 50 for someone else.
So that's the process in a nutshell.
Of course, there's nuances to it, but generally
that's the workflow.
So let me ask you some questions about
this because my brain breaks it down two
(12:39):
ways is that we've got the acquisition and
then we've got when the properties rehab done
or refinancing.
So for refinancing, how many of these mortgages
of these can we have?
How many properties can we have or we
have outstanding mortgages for?
And what kind of mortgages are we getting?
Are we doing Fannie, Freddie type mortgages?
Yeah, so you can have however many, yeah,
so you can have however many mortgages you
(13:00):
want.
You can have 10 in your personal name,
but if you own them in an LLC
and do a commercial loan like I've done,
you can have unlimited.
There's no cap to how many loans you
can have.
And that was a great question because if
you do it in your personal name, there
is a 10 loan cap.
So you're getting commercial loans at small local
banks.
They're just commercial loans.
(13:20):
They're not Fannie Mae, they're not Freddie Mac.
That's a huge misconception for a lot of
people because your traditional residential loan that you
have on your house, Bank of America gave
it to you and then they sold it
off to Fannie Mae and Freddie Mac.
So they didn't service the loan.
So they don't own the loan.
These small local banks, they service and own
the loans.
I have a portfolio of rental properties, they
(13:42):
have a portfolio of loans.
So they borrow from the Fed at 5%,
lend to me at 7% and they
make that 2% spread every single month
and they hold the note in house.
So that's, you made a good point.
It's not something you can just go down
traditional path.
You have to have the right connections.
You have to have the right financiers, but
they're out there and they're in every market.
(14:02):
They're not hiding.
People just probably haven't looked in the right
spot.
So you're looking for local regional banks, local
credit unions, and you're looking for portfolio lenders,
not ones that are basically selling the paper
on the secondary market, right?
100%, yep.
Okay, and then what kind of LTV, what
kind of loan to value do these kinds
of properties have?
When you're, again, we're the ones when the
(14:23):
property's already rehabbed and you're refinancing into that
long-term loan.
75 to 80% usually.
Some will go over 80, not very common.
I would say 75 to 80% loan
to value is what you're gonna get your
cash out loan on.
90% of the time, it's gonna be
in that range.
Are you doing DSCR type of stated income
loans or are we doing full dock?
Well, I guess they're in the business name.
(14:44):
Well, that's a good question.
Like, are they doing full verification on these
things or is it just debt service coverage
that they're looking for?
Yeah, that's great.
So it's, I wish it was a simple
answer.
It's a little bit of both.
So when you're developing a relationship with a
bank at first and you're doing your commercial
loans and they're gonna be, it's more asset
-based lending instead of borrower-based lending, as
you alluded to, they are gonna kind of
poke at your personal credit, maybe poke at
(15:05):
your income at first just to see you
as a borrower and build a relationship.
But these small local banks are a relationship
bank.
You're gonna know the owner of the bank
probably.
They're businessmen and businesswomen masquerading, entrepreneurs masquerading
around as bankers.
So you build a relationship with them and
eventually they're not gonna check your income and
credit and all of those things.
(15:25):
They're just gonna look at the asset.
So it starts a little bit personal and
then it becomes based on the LLC and
the asset because I do well for myself
but I have $30 million in debt, right?
That is.
And now a quick break to hear from
our sponsor.
Hey, it's Ty Crandall with CreditSuite.
Many of our subscribers wanna build business credit
that's linked to their EIN without a personal
(15:47):
guarantee or credit check.
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(16:08):
Not a DTI probably safe type of formula
to be had because I borrow money and
every dollar that I borrow, I get a
certain amount of equity and certain amount of
cashflow from but you can't do it without
debt if you wanna grow and scale as
quickly as I have unless you come from
money already.
And by the way, you're following along, you
can go to fasterfreedom.com and at fasterfreedom
(16:30):
.com, you can see that we're talking about
a mentor program.
He's got a full mentorship program and he's
also has a YouTube channel, which is remarkable.
I mean, it's one of the best real
estate, if not the best real estate YouTube
channel I've ever seen.
So if you wanna follow along step-by
-step what he's doing, you can go to
fasterfreedom.com and that'll get you there.
So now when you're buying the property, what
(16:50):
are some of those common methods that you
or your students are using?
Because you mentioned a lot of them.
You mentioned credit lines, you mentioned hard money
loans amongst others.
So what are the most common methods that
your students are using to get into this
without any money out of pocket in the
beginning?
Yeah, there's several different ones.
So the easiest and like the push a
button is a hard money lender.
(17:10):
There's local ones and there's national ones.
I have one, Faster Freedom Capital.
So I lend to my students as well
hard money.
So hard money is the easiest one.
The drawbacks of hard money are they are
going to require some liquidity and then probably
some money down.
So you're not gonna be able to get
100% finance like you would with a
private money lender.
(17:30):
So hard money lenders are companies that are
in business to lend you money.
However, they're usually arbitraging some type of money.
So they're going to need some liquidity and
maybe some down payment and potentially some experience.
So that's the easy button.
They're there, they will lend, but you might
have to bring some money to the table.
Now, if you go that route, you have
options.
I tell a lot of my students, they
(17:51):
can get a home equity line of credit
on their house.
The hard money lender does 90% of
it.
You need 10% do a home equity
line of credit on your house.
You're gonna get it back.
Remember the example I told them earlier is
you refinance and you get it back.
So even some students use their own cash.
My goal is just not a pocket long
-term.
If you need 10, 15 grand and you
have it, marry the loan together, use it
(18:12):
and then pay yourself back on the refinance
or sale if you're flipping it.
So hard money lenders mixed with some type
of gap funding.
So that could be a home equity line
of credit, could be a self-directed IRA.
It could be a private lender.
There's a lot of different options.
And then the main one that everyone goes
for are these private lenders.
These are individuals, not institutions, not companies.
(18:34):
They're individuals that you know that have access
to some types of funding that they can
lend you the money.
And they're not gonna do a credit check.
They're not gonna do a background check.
They're not going to underwrite the property.
They're gonna write you a check for whatever
you tell them to write you a check
for.
And that should fund the purchase and rehab.
And then you pay them back.
So private lenders are the most, the best
and most scalable lenders to get.
(18:56):
You just have to put a little bit
of effort to find them.
Yeah.
And I love that.
This is a strategy we talk about a
lot about with business funding, right?
Is that like business credit paying 90%
of what you need to business.
Then you're just trying to fill that delta
of the 10% way easier to get
a loan or a credit line for that
amount than the total amount.
So I just love that of being able
to use lender, private investors, other people's money
to get you part of the way there,
(19:17):
70, 80, 90%.
Then you just a little bit of money
from another source of a lot of different
ways that we get that.
And by the way, if you're watching the
show, you already know we talk about a
lot of those ways to be able to
do it.
So I'm just getting started.
Let's say you talk about wholesaling.
You talked about flipping, like where do you
guide your students to get started?
Cause man, there's a lot of freaking options,
right?
It's like, I got mobile home parks.
I got storage.
(19:37):
I mean, like everybody's talking about their way
is the best way.
It's so overwhelming and confusing.
So how do you help your students get
in there and understand where they should start
and where do you recommend that they actually
start?
Yeah, I love that question.
So we give a, it's going to sound
like an oxymoron.
We give like a customized holistic approach.
(19:59):
So the first thing we tell them is,
what's your cash situation?
Do you have cash?
Do you have good steady income?
Do you have bad debt, student loan debt,
credit card debts?
What is your current financial situation look like
personally?
If you're making a good income and you
have a good job and your credit's good
and you're good, well, let's start with rentals
(20:19):
right now because you only create wealth by
owning assets over a period of time.
So the longer you wait to buy rentals,
the longer you're waiting to create financial freedom.
Nobody ever got wealthy flipping houses.
They got wealthy owning assets, businesses or real
estate.
You have to own them and you have
to own them over a period of time.
Of course, you can shorten the period of
time by volume, by doing multiple, but you
(20:40):
have to own.
Now there's the other side of it.
They have the bad debt.
They want to get their credit score up
a little bit.
That's where we tell them to wholesale or
fix and flip.
You don't need credit to do either of
those things.
You can wholesale and never close on a
property.
You can fix and flip using a private
lender.
So if they need chunks of cash now
for their financial situation, then hey, let's get
you chunks of cash now.
If you're doing okay, you can always add
(21:01):
that.
Let's get into rentals.
So that's kind of the line of delineation.
We talk through with each student, like what's
your specific situation?
That's why it's the customized, but it's holistic
because we can tap into any form of
real estate.
And to put a pin in your question,
we always tell people single family rentals is
the best place to start.
Yes, there's apartments.
I own them.
Yes, there's self-storage and there's mobile homes
(21:22):
and there are all of those things, but
the simplest, easiest way to get started to
build the credibility with the lenders, to build
the credibility with the contractors, to build the
confidence in yourself is to at least do
a handful of single family flips, rentals or
wholesales or a combination.
You just learn it and they're liquid.
You can't sell a mobile home park tomorrow.
Well, you probably can't.
(21:42):
You can sell a house tomorrow.
They're in demand.
They're in need.
Consumers buy them and investors buyers.
Consumers don't buy apartments.
Consumers don't buy mobile home parks, but investors
are your only options for those things.
So single family is just more liquid, easier
to wrap your arms around, easier to see
the financials of it and build the confidence.
And again, you do a handful of single
family rentals with a bank and you prove
(22:05):
yourself to them.
They're very likely to approve you for that
12 unit apartment complex when they're probably not
just going to take you green off the
street and say, yeah, here's a $900,000
loan on this 12 unit apartment complex.
We trust that you're going to do this.
You know what I mean?
So it's single families are just a great
way to get the ball rolling and then
you can scale them or you can kind
of diversify from there.
Yeah, that makes perfect sense.
(22:26):
You have money.
If you have money, go to rentals.
If you don't have money and you need
it, then you do fix and flip and
you do wholesaling.
But let me ask you this.
At your scale, you're doing a lot of
fix and flip and wholesaling, right?
And so you didn't transition from that to
that.
So are you doing that to then make
more cash that then you're using to reinvest
into the system to be able to develop
(22:47):
more rentals?
Is that why you're still doing so many
fix and flips and wholesaling?
Yeah, the biggest reason we have our local
fix and flip and wholesale company called Fast
Trials here in St. Louis, it's a couple
of different reasons.
One, we truly feel like we are making
the community better by taking these distressed properties
and either selling them to somebody who's going
to make them nicer or rehabbing them themselves
(23:08):
or being landlords like we are with the
conscious and treat people fairly and do things
the right way.
Most people don't understand that if real estate
investors went away, they actually think the opposite.
They think the real estate investors are hurting
the real estate market when in fact we're
helping it.
We take houses out of the supply of
a normal home buyer and we add them
to the supply.
(23:29):
Nobody's going to take the house that we
bought last week that we bought for 280
grand that needs $130,000 in rehab.
Nobody qualifies for that type of loan.
No first-time home buyer is going to
have the cash or resources to rehab it.
So we add to the supply.
So that's not the main reason, but a
big reason why we do it because we
truly feel like we're making St. Louis community
better.
(23:50):
Secondly, we're providing assets to us and our
team.
So Lucas, my business partner and I are
able to have a system, a process to
just, we have 26 houses under contract right
now.
So we're able to pick a handful of
them and keep them as rentals.
So we're adding to our rental supply through
that company.
But then our team does too.
We have like 400 units owned by our
team.
(24:10):
So our team has the opportunity to buy
these properties and keep them as rentals or
flip them if they want.
Obviously we mark them up, but they can
do that.
And then lastly, yeah, it's a good additional
stream of income.
That company is, I'm not going to say
volatile, but in the fall and winter, we
don't make as much money.
In the spring and summer, we do pretty
well.
We kind of followed the real estate trend.
So it's just another stream of income for
me being an idiot entrepreneur and trying new
(24:32):
things and failing and not having companies always
be as profitable as they could be.
When you have three or four of them,
there's a good chance at least one or
two of them are going to hit that
month while you're screwing up the other ones.
Yeah.
And I love it.
And I love that you practice what you
preach.
I don't know if I've had anybody on
the show that's done as much volume or
doing as much volume as you are.
And I love that because you have vast
knowledge to be able to help so many
(24:53):
of your students.
Speaking of your students, Faster Freedom, what are
you guys doing?
What are you doing to help people break
into this and actually scale?
Yeah, that Faster Freedom community is nuts, man.
I didn't ever do any of this to
A, create a social media following or B,
create a coaching program.
I posted on social media, my personal Facebook,
like 2020 about like an apartment we bought
(25:14):
and people were freaking out.
High school buddies, college friends, people I didn't
know like, how are you doing?
How are you doing it?
So then I created like a professional page
and then I had people saying, teach me,
teach me, teach me.
So we turned that into 2021-ish.
I started a quote unquote mentorship and we
have over 2000 students now that own over
350 million in real estate and have bought
(25:35):
over 500 million if you're talking flips as
well.
So it's really, really cool.
And I'm always tweaking and changing it.
But right now, if you were to join
my community, we have 12 weekly group coaching
calls.
They're like mastermind calls.
There's like 20, 30 people on them with
a couple of qualified coaches and I'm involved
as well.
There's one-on-one calls.
We have a Facebook group.
We introduce you to the right people.
(25:57):
We introduce you to the right LLC companies.
We introduce you to our funding or other
funding.
We introduce you to contractors.
We have students in all 50 states now,
which is pretty cool.
So we're building a community where I had
someone join yesterday from Dallas.
We have 65 students in Dallas.
So we plug them into our network in
Dallas and then they have the resources they
need.
So again, it's just the fact that we
do it all.
(26:17):
We have a call on creative financing in
sub two.
We have a call on rehab and construction
so we can kind of cover everything because
we do everything and people can plug into
what they want to do or what they
need now.
And we have people in the group that
have bought 65 rentals in two years and
they're still involved and they're helping coach and
teach.
So it's this really cool blend of self
-guided resources, videos, community and calls that is
(26:41):
unique and I'm proud of it and it's
definitely not something I thought I'd be doing
but it's fun and we're helping a lot
of people create financial freedom.
I love it, man.
Congrats on your success.
I think you're probably part of Matt's group
down here in Tampa.
I'm sure you come down and visit but
you have to know how rare you are.
Like the volume you're doing.
Like I talked to a lot of influencers
like very few ever I talked to to
(27:01):
do the volume you guys do.
So just congratulations, man because to be able
to do what you're doing volume wise and
still have a place in your heart to
come in and take an average everyday person
and then bring them up with you.
It's just such a cool thing.
It's a Midwest thing.
Like it just is like doing it for
your community.
Like it just, I love to hear you
talk because coming from Indiana just reminds me
like that's just the way that things are.
(27:23):
So I am so appreciative that you do
what you do to bring people up with
you and that you're so dedicated to your
community.
Just kudos, man.
You're real standout in the industry.
I appreciate that very much.
I try to be different and I try
to be me.
Somehow I have like three and a half
million followers on social media and I talk
too quickly.
I mumble sometimes.
(27:44):
I slur a little bit with my words.
I'm not your news anchor style content creator
but I think kind of what you said,
it's authentic.
It's real.
I talk about the screw ups, the good,
the bad, the ugly.
I make probably way less money than some
people think and way more money than some
people think and it doesn't really matter at
the end of the day.
I'm just trying to go out there, grow
my companies, grow my businesses and enjoy time
(28:06):
with my family.
And sometimes it's very financially rewarding and sometimes
it's very, very frustrating but that's just part
of it.
And it seems like the more you help
people the more money you make and not
the other way around.
Yeah.
Sam, where can everybody go?
What actions should they take to be able
to learn more?
Because you know, we scratch the surface and
I want to warn everybody like we made
it sound easy but it's not easy, right?
Like this is why you want to follow
(28:27):
Sam on social.
It's why you really want to go to
fasterfreedom.com and you want to really entertain
being part of this community because there's so
many details that you don't know.
We didn't have a chance to cover in
30 minutes.
So where can those people that are saying,
okay, I want to do this.
Like you're the king of OPM to be
able to do this.
Where can they go?
What should they do to be able to
start following you and be part of your
(28:50):
community so they can actually be able to
have this kind of success?
Yeah.
I'd say the biggest thing you mentioned a
little bit earlier is just following me on
social media and kind of getting a feel
for what I do and how I do
it.
I'm on all platforms under Sam Prim or
Sam Faster Freedom.
So just look up either of those things.
The company's Faster Freedom.
My name's Sam.
So just follow me there.
That's the best place to go because I
(29:10):
want you to understand how I do things
that the style that I have and make
sure it's a good fit for you because
we don't just take anybody.
Obviously we want to have people and help
people, but if it's not the right fit,
then there's no point in us doing a
transaction where you're not going to put in
the effort and we're not going to be
able to provide what you're looking for.
So the biggest things are just checking me
(29:30):
out on social media.
I do webinars weekly now, starting to do
webinars weekly.
So if you follow me on socials, you'll
see me talking about a webinar or you
get an ad from me about a webinar.
And that's where I sit down for an
hour and break everything down, give you some
resources, give you some tools, and then allow
you to be able to book a call
with my team to see if you're a
good fit.
So I'd rather have them start there than
(29:51):
say, hey, go to this specific URL and
sign up for my mentorship.
Go there, learn a little bit about me.
DM me on Instagram.
I have 650.
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