Isaac’s back to discuss what happened since the last time he came to podcast with me (think massive business growth) and we talk about an investment we are working on together!
You can watch the video by clicking below!
Here is the transcript for those who want to read along!
Natasha Collins: Hello and welcome to the NC podcast. My name is Natasha Collins. And I am the founder of NC real estate which includes members Club the landlord to talk to investors to come and build a profitable property portfolio. The completely aligns with their lifestyle and financial goals. If you haven’t heard it yet and I think I’ve said it enough over the last couple of weeks.
I’m opening the members club for a limited time only next week. So get that in your Diaries as of the 4th of August eye-opening for 4 days only 4 days only. That’s the only time you have for the rest of the year to come and join the members Club. So please get on the waiting list. That’s NC real estate members club.com.
I’m going to put the link below because you’re going to have to get on it now so that. You get all of the awesome bonuses that come with joining during that period so make sure you head over sign up and you’ll be first in the queue as well. And the first people in get a little something special but I’m not going to tell you quite what that is.
Yeah. I want you to find out when you come in and you’re Amazed by all of the awesome stuff I’ve got for you in the members Club. So make sure you’re doing that. Right today back by popular demand Isaac. Hi, hi. Thank you for coming back.
Isaac Sebbag: My pleasure.
Natasha Collins: Second time on the podcast same time. Wow.
Isaac Sebbag: Second of many.
Natasha Collins: Second of many going to become a regular thing.
Isaac Sebbag: Yeah looks like it.
Natasha Collins: So how have you been since the last time you came on the podcast?
That’s good. Yeah, wheeling and dealing doing deals go shooting that sort of stuff.
Mmm-hmm. For those of you who think back to when I did a podcast with Isaac called y by 2 let is dead.
Or not and we discussed how Isaac got into property industry how he was investing in New Jersey and all of the deals that you’ve done over there your flips your development projects how you started how you’ve built it how you’ve grown tell me what happened since
Isaac Sebbag: so first off. I wanted to say to you. Thank you so much for last time. It was a great experience and not only that. But afterwards the amount of people that came over to me and told me you know, it’s such a cool podcast. And so so so happy to learn about your life and how you do things and we want to hear more on and also like I was telling you before people just saying to me, what do you do on how to get started and then I’m like instead of.
Tell them I just for them to link and they can figure out themselves. It just saves me time. Also,
Natasha Collins: you got 40 minutes from breathe. Being just okay. This is what I was doing.
Isaac Sebbag: Yeah, it’s all them. We don’t just repeat myself again. So just look at it and and figure it out.
Natasha Collins: So what came as a result of.
Isaac Sebbag: And people just people kind of understand more of what I was doing. They you really went through a lot of them besides in the history and how I started also like how I structure stuff and how I do things and people just you know, they have they got more they got better ideas and they got what I was doing where I came from so people are just impressed and. Yeah, it was just as good.
Natasha Collins: Yeah, because I think something that I want to make sure that my audience are aware of is that you have to tell people what you do don’t you because that’s the only way people can invest in you and-
Isaac Sebbag: [00:03:30] if it’s a good story behind it, you know, that’s people love that people love a good story.
Yeah. I’m I was telling someone else recently. I it’s not we don’t sell a product. You know, I’m not selling products. I’m not going I’m not trying to compete against other people and trying to say look here. I have this product and trying to sell. And then I have a different way of selling it another person has you know, I’m just it’s just I’m I do real estate we take on investors here and there but the main thing is that you know, just as when I get in front of people, it’s not they don’t feel that they don’t feel they have to respond.
They don’t feel like you know, oh, it’s another person picture me something it’s just a story. I’m telling you a story. This is what happened to me. This is how I did it. This is how you can do it. If you put your mind to if you if you know that that’s that’s what people like. So
Natasha Collins: [00:04:11] very true because also it’s that trust building.
Isaac Sebbag: Yeah the trust building so that again that podcast people, you know, they want to know more about me and then they talk to me and then they go on to do they go on the podcast and they see other people engaging in it and they say, you know, he’s not just the guy that I met in the street and all of a sudden I should put money with him.
You know, he’s someone that people he has a following he has people that are watching her stuff and. He’s doing podcast is getting out there. He’s being totally transparent sort of as…
Natasha Collins: Yeah, because a lot of people say to me. Well, how do I get started if I’ve got nothing or not a lot of money and it’s about having that experience isn’t it a building experience?
I mean you can have both you can have money and experience and you build that over time, but sometimes it can just be that you have to become the expert. And you have to feel confident what you’re doing if they have
Isaac Sebbag: to sell you have to have value if the value so, you know, you can have no money and you can have maybe no little amount of money, but that money you can take it and you can you know, learn something and then when you go to speak to someone all of a sudden, you’re the person that has the knowledge and that a person listening taking it in and that’s that has more value than any money because once it was that person will invest with you or their friends or whatever only because you went and studied something you start you learn something you really went out there and you figure it.
And they haven’t figured it out yet. So that’s the advantage you have with them. So I tell us a lot of people anyone else against Real Estate want to start like this is exactly how I did it. I mean a real estate agent and just just focusing on learning markets and learning different different areas locations prices how much things cost to sell to buy and these sort of things and then when you’re talking to someone they say, what do you do all of a sudden you have you have something to say, too.
You know, you’re not just saying something. Oh, yeah. I’m a mortgage broker. You know, like okay fine next, you know, you’re saying to them I’m a I’m in real estate. I’m doing I’m a developer and this is why this is how I did it and this is what I’m doing. And this is what I know and this what you don’t know and it’s what you need to know.
So that’s yeah, that’s that’s the that’s what I would tell people that are looking to get started always
Natasha Collins: and become an expert in some think that you know, because
Isaac Sebbag: some of the you know, and have a passion for something that you would enjoy doing because when you have a passion for it’s going to it’s going to show it’s gonna and then you have time to get up for even when it doesn’t work for the first day week month year, but when it eventually clicks it clicks, but till then, you know, you need the passion to keep you going you need the excitement.
Natasha Collins: and the mock the mindset you’re right things. You don’t just wake up one morning decide you’re going to be a property investor or decide you’re going to be a property expert and there because you read
Isaac Sebbag: in the news that people make money doing real estate. Yeah,
Natasha Collins: it doesn’t happen does it you have to because you go out you have to learn that knowledge and then sometimes things go wrong.
Unfortunately. It’s harsh reality of life. Right? But
Isaac Sebbag: it’s a roller coaster
Natasha Collins: plain sailing some days you have UPS some days you have down some days. You don’t get the funds you want for property some days. I don’t know any number of things and
Isaac Sebbag: trying to sell something in the house the contract falls through and you set two months under contract of the market and I have to put it back on the market and restage in a real estate, you know.
Yeah things go up his ups and downs
Natasha Collins: and you’ve just got to stay the course because a lot of people would give up in that situation if
Isaac Sebbag: there’s no there’s no real excitement with no passion, you know, if it’s only about the money then it’s it’s not it’s not gonna you know, then when you get to the situation is going to be hard to pull through so you need those.
Into that that that excitement in that, you know, that is.
Natasha Collins: So true about it anything about the money some people come to I’ve had a lot of people come to me with business ideas. And I said to me hey Natasha, can I join with your brand will do X y&z and we’ll be raking in don’t know they come at me with some figures I might okay, but.
Actually, what’s the substance behind it? How we helping people? What are we? What are we adding value? Because that’s about you can get
Isaac Sebbag: excited about it because until you get excited about it, you might even put some money into it. We might put some time into it. There’s no excitement. Then then what’s going to happen in week 3 or week for when it’s kind of not moving and you’re like, hey, you know forget about this.
Natasha Collins: Yeah. I mean I’ve spent the money whatever but also because when you get excited other people get excited about it true because if I’m really excited for property deal. Then everybody else is going to be like, oh, well, I want a piece of that too. And if I can frame it in that light and I believe it in the bottom of my heart.
That’s that’s a good thing to do. Even if it ultimately might not go quite the way I want like that’s very different to me just saying. Hey Isaac I’m buying this thing. Then you’d be like
Isaac Sebbag: it might work out. It might not work out. I don’t know. We’ll see. You have to have confidence you have to have a lot of you know, I was I don’t know if I told you a story.
I had this guy that invested in me and he did to Deals and then he came to visit me and I said, you know why – why are you doing this? You know, you figured out you did very well. He’s like hmm as it I got lucky. I don’t want to I don’t want to risk it again. I got lucky those two times and I wanted to shake him up and say you didn’t get lucky.
You did a good job. He made the money go and do it again Times by 5. Then times it by ten then just build up a business and get out of your corporate job in the city. That’s what you should do. Because I know when I’m gonna get the money to you and you’ll figure it out and then eventually will you know, I’ll build it up, but for now, I just I got and it’s like people want people to have confidence and it’s also the excitement it’s also the you know, the really believing and having a Passion but the same time it’s also having that confidence and having them being a risk taker, you know, so
Natasha Collins: yes taking risks is a big one, isn’t it?
If you’re not going to put anything into it. Why do you expect to get something out? I find that that people can sit on their hands for a long time and then look back on it and say oh I should have done something about that at the time, you know, everybody can think back pre-recession 2008 and say, oh I should have gotten on the bubble and sold at the right time with hindsight.
It’s very powerful thing, but.
Isaac Sebbag: It’s easy. It’s easy to speak. Yeah, it’s easier to say these things about it’s all about living in the moment figuring out what you have to do for now and then and then that’s it.
Natasha Collins: Yeah, I agree. I agree completely agree with that. And so what would you say to people who?
Haven’t yet found that passion a really struggling
Isaac Sebbag: different business. It’s true. I had someone actually today just pitching me to get into an Amazon business. So I said listen, it’s very simple. I have no passion of Amazon. I’ve no interest in it. If you can show me how it’s going to make money.
Yeah, I’ll put some money into it and see how it goes. If you could show me she’s like well what products you want to sell? Yeah. Nothing. I don’t know saw anything.
Natasha Collins: Yeah, I don’t do sales
Isaac Sebbag: from what I do. If you if you have if you can put you know, show me how a plan show me things that sell show me numbers, you know, then okay, we’ll go by 500 pieces and see how it goes.
You know by thousand pieces will trouble will but until then I have no interest in it. I have this interest in making money, but I don’t want to do any work. I don’t do any like work for that’s not my business.
Natasha Collins: Yeah. Where’s your happy to jump on the back like jump on a promise? I didn’t do the work.
Isaac Sebbag: Right? Probably the I’m happy to do it if I break even if I lose whatever it is, that’s that’s the risk I took and that’s the business. I’m in and I’m happy with it. You know, so true. Yeah you can you can you can say, you know, I want to get into real estate, but I’m no passion. What should I do?
It’s just it’s been choose different job. Yeah.
Natasha Collins: So actually I didn’t ask you too much about this last time, but I’m going to ask you now because. People always ask me what my day looks like and every day for me is very different some days. I can be just sat in front of my computer other days. I’ll be out and about it for me very much varies.
What does the life of a full-time developer look like?
Isaac Sebbag: So my day this I tell us a lot of people what the what the most the biggest thing I like. Most like the most the most attractive thing in my job that I enjoy the most is the fact that I have no date. I have no structure in a day. So I don’t hit Sunday and I have no clue why weeks in look like I mean, I have a meeting on Wednesday and have this on Tuesday and have this thing on Friday, but between that, you know, there’s anything that could happen and I and I’m busy the entire time but it’s just I have no there’s no is it a lot of lot of flexibility?
So yeah and a lot of days I’ll start they nine o’clock, whatever it. And I won’t I won’t know what I’m doing that day. And then things would just happen figure out. You know, I’m not the property manager. So I don’t have to be by the projects I go to them sometimes because decisions have to be made and I have to speak to speak to different people designers and Architects and stuff, but I don’t have to be by the project.
So I’m not doing that I go to the office, you know, because there’s a lot of paperwork and stuff. So I’m in the office to office now moved from East Orange now to Jersey City.
Natasha Collins: so cool all the pictures that I’ve been saying on Insta stories. Yeah.
Isaac Sebbag: It’s the downtown Jersey City. It’s a world of a difference because literally walk out of office and within within two minute walk two to three minute walk from where we are.
We can just walk past five of our projects and these are the bigger ones. These are the ones that are selling for, you know, 34325 million dollars like 45 unit each. So it’s like I don’t need to go there but the fact that you’re so close and like oh, let’s just swing by this property. Let’s just check something out.
There’s a structural issue here. There’s a question about the window. Okay, I’m going to come I’ll be back in two minutes, you know, it’s like it’s a world of a difference until we went East Orange, which is probably about 25 minutes out. It was like, okay should we go? We’re not gonna go down to the probably now we’ll do it tomorrow.
We’ll do it. We do this and like you kind of. The amount of the mountain of control I guess is the word that you feel like you have when you’re close to your project and the rest of Jersey City. It’s five minutes drive a motor drive. It’s like really everything is so close by you. Like we’re now having offers exactly where we work which is a game changer.
So and then we have the real estate agency also, so I’m busy with that trying to build that up. We have a. Broker Christina, she’s a broker and we have about six seven agents. We just did a live event with them which you saw, you know had some food and head shots and stuff, you know just as a to get started and it’s again, it’s another program progression of our business trying to you know, we haven’t had a real a construction company also be opened up.
We have a license and everything. So we’re just trying to slowly build out the development company to have these these you know these. Other parts of the areas which we can take care of in house, you know and save us money that way and you know, maybe build a business out of it also, so
Natasha Collins: can I ask how long has it taken you from the day you started to get to here now?
Isaac Sebbag: Real estate?
Natasha Collins: Real estate.
Isaac Sebbag: Almost five years.
Natasha Collins: Yeah. Okay.
Isaac Sebbag: So just because you guys what you guys do is amazing. But again what I want people to realize is that there’s so much work that goes into getting here. It doesn’t it’s not like you wake up one morning and you’re like, oh my gosh got a development company and I’ve got this agency.
Natasha Collins: It takes it takes time and you guys work so hard you’re always on the road.
Isaac Sebbag: Yeah, you’re driving around all the time. Yeah a lot.
Natasha Collins: Every time I speak to Isaac. He’s in his car.
Isaac Sebbag: Yeah. Yeah, so there’s different steps to get there. But it’s also we had that kind of shift where you know, you can do real estate and I started doing it for five years ago and flipping houses year 1 year 2 already making money already the second year which is thank God that which is really good.
And then there’s a shift while you say instead of just doing this and just buying selling buying selling and maybe like building up but slowly instead. We’re going to invest in a business. We’re going to build a real business out of this. We’re going to put all the money back into the business build up a development company by these much bigger properties that require a lot more holding cost a lot more, you know.
Liquids just to support it and that’s that’s the decision. We made a couple years ago. And that’s that’s why we had that’s what that’s that was the decision that a lot of companies have to make do you continue being freelance, you know entrepreneurs Style just you know, just hustling and buying and selling and making money or do you focus on the bigger picture?
Do you make that take that move and establish a company and try and really, you know, knock it out.
Natasha Collins: Yeah, and do you do you see that as just that you’ve long-term now? You’ll do that for the next 10 15 20 years how long you want it for.
Isaac Sebbag: Yeah
Natasha Collins: and how have you built the relationships of people? How do you find the people who you’re bringing on is it just through networking?
Isaac Sebbag: So the people that it within our development company we have as secretary and we have to project managers in the me my partner so we have five. That was kind of just the people we new friends, you know, so there they are just hiding our construction manager and other ones though.
He has five years in Brooklyn and construction experience and then he came to us. So that’s how he came in and the Agents a lot of them is just people that I worked with yeah friends and the people that I’ve worked with other agencies when I was mailed this is it that like, you know, wherever you’re going to come also we see what you’re doing.
We see how much inventory you have to have for them. It’s a song. For them, it’s a lot of times. It’s just it’s we have listings that in-house listings that way that we have. So our broker is she gets a lot of that. She has most of those things and then we have they know they have opportunities and as the company grows, we’re going to be giving out giving out the listings giving out property so that the cell so which other brokerages doing that?
But again and also because they’ve worked in me and they you know, they they like how I work and they join me. So even though we’re a new company, we’re not we’re not offering training. We’re not offering any of the stuff that other companies offering.
Natasha Collins: Yeah. Yeah, and it’s definitely something we’re something that we were actually talking about this on the phone yesterday about the difference between the UK and the US and how you’re saying to me that you know in the u.s. You’re able to do this as quickly but forever. A little bit more quickly, but for everybody that’s listening if this is something you want to do in the UK, this is very much a doable thing.
If you’re starting to buy and invest in a limited company, there are ways in which you can then develop that out. So you have the management side of it. You have the agency side of it if that’s something you want to do if you want the lettings it in house as well. If you want your construction industry York instructor Shin side of it in house as well.
You can do all of that under a bigger company structure and then have each in a smallest in a smaller company structure as well. So it’s this is completely available to you as much as investing in the UK can be harder because we’ve got so many more taxes and so many more holes and Hoops to jump through actually what you’re doing for people who are listening.
It’s very accessible to them because you’ve just got to think about what do you need and house that is going to help you write and then build on it.
Isaac Sebbag: The only thing is that it’s an its capital investment. Usually, so you’re making x amount of money every year doing what you’re doing. And now you have to make that decision do I shift over and start to build a business and start to make these different Avenues within my business.
It’s an investment. So I might not see the return year one year two year three, maybe a three or four. I’m going to suddenly see, you know, now I have an agency with 30. And we’re closing 50 million a year, you know, and then that’s that’s and then all of a sudden it’s worth it. So it’s an investment to rip.
It’s a risky investment. But the way I looked at it wasn’t as easy for me was because I have enough properties myself that I’m selling. Yeah, the referral that I’m taking on that is enough to support the company. Yeah. So once I know that and it’s it makes the decision easy. I’m getting the money anyway.
You know, so I just take that money and just use and that money is the investment for the for the agency and the construction didn’t cause it doesn’t cost much you know, and and again it saves US money because instead of paying contractors and paying the extra fees and the pain that to own company and then we get the money back.
So it’s just. It makes a lot of sense all around but a lot of times the decision you have to make is do I open a window company. I’m a developer to open a window company and do I invest a few hundred thousand dollars and in that or not, you know, and that’s that’s an investment the risk and you don’t have you don’t necessarily have $20,000 and windows a year to support that so it’s like you have two I mean three 1,000 profit on the windows that you would make, you know versus ya doing it somewhere else.
So it’s just it’s just a it’s just a leap of faith. You got to take you know, and when it makes it easier when it’s covered. Yeah, it’s chicken.
Natasha Collins: That’s true. That’s a decision. I had to make when I decided to do the members club and go into kind of the education and support side of things rather than and we also do have a development company because the pair of us who run that development company.
We have such different ways and doing things that didn’t always go did it works, but sometimes weird away doing other projects that we get back together, so. That for me was like I like teaching I like working with people. So I’m going in that direction and that’s a distance but that was supported.
Holy on my property portfolio and it was like well, I’ve got the proper. Okay, so I’m going into that. So that’s I was the same as you have to think about that. Where what can I invest? How is this going to make a difference long term, how am I adding value? But
Isaac Sebbag: it’s a
Natasha Collins: good extension, right? It’s
Isaac Sebbag: a great extension and it makes it easy that I that’s how I started.
I started as a real estate agent, even though I never did anything really that but I started being a licensed agent and looking on the MLS and looking for deals and stuff and then you know, and I worked with agents. I’ve sold all these properties through agents and I understand the business very well.
So I was like, this is you know, we had kind of had the property that’s going to support it. Why not?
Natasha Collins: Yeah, exactly. It’s just an extension.
Isaac Sebbag: Yeah when I’m speaking to like potential investors, especially the big ones. For like the big developments they asked me how you going to Market your property.
So I always tell them that we know we have an in-house marketing but a lot of times will join up because we’re new will join up with the local biggest guy and then that’s how we’ll sell it. So we’re doing it with our can’t climb 38 unit condom in development that we do. So we’re joining up with another big agency.
They’re going to help us do that ties in we’re going to split the commission between us, you know, so we still get something back. We don’t get the whole thing. We get something back. And we have now this this, you know, we have them that their marketing and we’re also using our name so it’s kind of like, you know, two together.
Hmm But I always I always thought people ask me. Why do you open Real Estate Agency know what for I say I can support it that I am. What do you the headache for into the headache? So I always say and I kind of believe it but I always say that. It’s because I like to be in control, you know, it’s a lot of times you you give out your properties and they saw me come at you.
Yeah, it’s not really selling what you need to lower the price or it’s sold in one day some like well if the solder one day maybe it’s too cheap. You know, I like all these. Yeah, and you’re not in control of what’s going on really? Because you can’t you give it to them they figure it out and then they come back to you and saying what they want us what they want you to what they.
YouTube respond, you know, they want to sell it they don’t care. So if you have it in house, it kind of becomes close to home, you know, so then now they realized when the something something it’s not they’re not, you know selling something for some client. It sounds like for your company. Yeah, they associate the company with Vellum company with the Agency company and I becomes a listing and enhance listing.
So now when I tell developers I’m like, yeah, we have it because we want to be we really want to be you know, really wanna be in control of our marketing and then control. And then that impresses them that makes the like okay fine. So you have that you can control that puddle. So that’s good. You know, they want to they want to that gives them more confidence.
Natasha Collins: amazing.
Isaac Sebbag: Yeah, I think it’s worth its work
Natasha Collins: everything right? You don’t just roll out of bed and these things happen. Yeah, it’s always more and more
Isaac Sebbag: together.
Natasha Collins: The bigger all the more successful that you look the more Hoops you or the more you have to deal with right and it’s not a bad thing.
Isaac Sebbag: yeah. Well, then it’s about delegating. You know, are you delegates the right people that are going to take care of it and not going to you know, or you’re not or you’re not delegating because you’re too much of a control freak and everything has to be under your. It’s a lot about that.
You know, how much how much are you giving away? Because certain point the business get grows enough big enough that you can delegate can give away their people again, if it’s there too passionate about it, or if they’re two tours of control the to controlling that it’s hard for them to do that. So that’s another thing that you really have to learn them in the journey journey just to note to know when to get out to know when to say okay that can be taken care of by this person that can be done with us, but I just have to do this.
Natasha Collins: Yeah.
Isaac Sebbag: Yeah,
Natasha Collins: and again and that goes higher level your or you become the Visionary at the top of the company you can see the future but what you’ve already done you’ve got a team who sort that out for you and they’re great at it. Yeah, I agree. So should we talk about this project that we’re doing together?
Isaac Sebbag: Yes, I’m excited. I’m
Natasha Collins: really excited. This has been a long time in the making. Yeah, right. We were talking about doing a project for ages. And then finally it kind of came together that that was what we’re going to do. So I will let you talk about it because I’m I’m using this as a learning experience for me in the American Market because I’ve never invested over here before.
So this is all very very new and I’m very excited about it, but. You talk through the deal because it’s you found the deal.
Isaac Sebbag: Okay. So basically to of two-family house were buying it’s in Jersey City. It’s in it’s in the Heights apologize City very kind of get gentrifying area probably about 10 minutes to Manhattan buses direct right right in the corner like the location is really good and having views from the top floor.
It’s a good it’s a really really solid property than actually built like the 80s or 90s is not like an old property or anything. So we bought it for 600,000. We haven’t bought it yet. We’re buying it for 600,000 and we plan to put in about 250 to 300 construction to turn into two condos. So be the duplex of the bottom and the you know on top and then there’s parking in the front and the back which is a huge plus especially in that area.
This family’s move there and stuff. So. And then we plan to sell out. We have the appraisal to sell out 750 plus 550. So 891 .35 1.4 around that so in a fit under a million to sell for 1314 is is is what we call very good deal. Yeah, and this is like I was like, you know, it was a short sale. So for those who don’t know what a short sale is its.
Basically when the person someone that owns the house can’t afford their mortgage starts paying their mortgage after a few years the bank wants to foreclose on the property take it over. So sometimes the person can list it and and then we could put an offer in and then the real estate agent will present the offer to the bank and say hey instead of foreclose on the property.
Can you just accept this offer and take this so take the 600,000? I know that they all ate 50 or whatever. They are million dollars and how much they are. When you take six hundred thousand dollars, we have a sale contract and instead of doing a full closure where the seller now has bad credit can never buy a house for the next who knows how many years can’t credit cards at least can’t cause or anything they can do anything because now they have they they just had a foreclosure is that do not like just a regular sale where now they just sold the house and the bank has accepted a price less than what they are.
That’s what a short sale is. So we did so the different the thing with short sales is they can take time, you know that they could have been 2,000 short sales has taken over a year to close. Wow, so they can take time. So this one seemed pretty simple. I mean, we actually put the office she was telling me he came was telling me that we put an offer in in January.
So what are we July now? It’s like 7 months from so it’s been a while. So we put the off in January. We got it accepted the bank accepts it and then there was just all the like the. All the like that corporate procedure that goes through another some kind of bank that has to prove it it is they just have the thing and you can’t you can’t control that you can follow up but you can’t really control any of that and we just yeah, we got approval then it came in and then we have to push it off for one reason and another reason then right as of now is supposed to close next week.
So she’s about to be closed next week. I was supposed to be Friday till yesterday yesterday the like knows that we Friday because we’re waiting for this thing from the short sale. There’s just so many a lot of people. Actually after doing a short sale about three four years ago that I decided to go to the auction.
Yep. That’s how I like I did a short sale took me a year and as a decent deal and then I’m like I go to the auction on Thursday at 1:00 and I walk out at five o’clock with two properties. It’s why do I have to why do I have to go to the White House to do short sales for nine months of headaches and Banks and lenders and disapproval and that approval like who doesn’t.
Yeah. But again, if an agent comes out through the property that that that’s a short sale and the numbers make sense. I’ll put an offer in I’m not I mean, I’m not doing any work. I just don’t know when to close but apart from that I’m not going to do it any of the following up on anything is taken care by the the two agents and the banks so they yeah, that’s the deal.
Natasha Collins: [00:11:00] It’s exciting.
Isaac Sebbag: It is really exciting. Yeah. I already have the architect on standby the come by the minute we close to come down and to get the drawings drawn up and stuff. So it’s
Natasha Collins: see were telling me about. Zoning. So the difference between the UK and the u.s. Is that in the UK? Obviously we go to a planet planning permission and it’s painful to say the least in the u.s.
You get you have zoning, right? So This falls in an area of zoning where you can turn the property into these two condos
Isaac Sebbag: what it is that it’s called are one’s own or one’s own is one and two families. So we are to family. So what conforming looking for in property and our one’s own because we are to family and I are one of them.
And we’re not changing that we’re not we’re not changing that with thing is two units if we were to add in third year. Then we’d have to go for the planning board and get the permission and and do a variance by the variance that he want to put three units are as long as we stay within two units.
Yeah, we’re going to utilize the basement to make a duplex but it’s still going to be one one resident and then the top one is give me another residents. So that’s that’s that’s fine. But like the other properties that we had that we’re going through planning board, which we learned the hard way is we bought three family for families five families all over Jersey City and the problem was they were in R1 zones, but they were.
So there were three there were legal three families legal for families, but they weren’t a non-conforming zone. So the rule is that if you’re if you’re non-conforming in our one’s own any extension you want to do you have to confront an award you can stay as a three family renovated sells three corners.
Whatever you want. Yeah Many Wonders smallest extension. You have to come from the planning board and we bought all these properties with plans to do extension. They all had huge low coverage on the first floor, but like we’re going to go straight up four floors is. And then after we close them then we got hit with the harsh reality that it’s not that simple the minute you touch it and the extension because it’s a non-conforming property.
You have to go from the planning board. So last was it last week, we got approved finally number one of three. There’s three of them we have to get approved. So one of three got approved last week. It was it was yeah. It was amazing.
Natasha Collins: [00:13:03] After how long?
Isaac Sebbag: [00:13:05] Probably a year
Natasha Collins: [00:13:07] Wow,
you already started development on that have you done anything to it?
Isaac Sebbag: [00:13:11] Just demoed inside but don’t forget. This is a 1.4 million dollar property. So for paying 10 percent taxes, they told me thirteen-fourteen thousand dollars a month in just just holding it. If you about the prop real estate taxes, which is another you know, so that that that’s that that’s the deal still makes sense was still very happy with it.
You know, thank God go I gotta prove the way it we’re moving forward and everything. But it took a long time. It’s a lonely we don’t and since then we haven’t bought anything unless it’s existing. We just bought a four-wheeler just as you would a for family. Maybe five six months ago. We want to for family.
We all know we’re halfway through the construction already. It was simple we kept the structure no extension and just renovated the whole thing. Yeah, and that’s it and then walk into condos will sell each one separately. But as long as there’s no extension, that’s it.
Natasha Collins: And so how are you finding these deer so.
Can found the one that we’re doing, right? And so what are you saying to your agents? Because a lot of people would say to me how do you find these deals and you build really good relationships of your agents. So what are you asking for? What you tell them?
Isaac Sebbag: Well, that’s another thing about having an agency is that you have people that are that.
Well, a lot of them will spoil will understand and know that if they find me a deal they’ll get to sell it when he gets finished, right? So they finally deal they not only getting commission today that also they also have a commission coming to them when we finish the construction and now we put it back in the market for 1.3 million.
They’re going to get you know, twenty thirty thousand dollars on that. So this is now they’re incentivized if a good deal comes and they have to investors to go to they’re going to come to me. Yep. Well other agents also not only were they my agency they’ll also they won’t necessarily get the listing but they know that I can close quickly know that they’ve done deals in me before they know how that you know, it’s a simple process.
I don’t it doesn’t get complicated and that’s. So that’s that’s how I mean most of the deals are people that have met by networking events, you know, we do a lot of networking events and it’s just a face-to-face meeting and people you know, and they gain confidence that we talked about trust and they you know, they believe that things can that things will be in they are good, you know, thank God so.
That’s how I found my deals. I never to one thing. I never have an issue. I have other issues in the in the business. But one thing I never had issues with finding deals. It’s there’s so much there’s so much other. Yeah, it’s just about who gets them, you know. Let’s say for example multifamily, you know a hundred a hundred fifty units all over the country if I slept if I started to buy them up.
I wouldn’t I wouldn’t you know, I’d be fighting for deals. Yeah, because I’m not known in the industry. I don’t know what I do. I don’t I don’t network with those with people that have those access to those deals. I don’t know commercial brokers as well. You know, it’s just not my thing. Yeah, and in this and this what I do, I just the last five years built so many connections some.
People that are always going to know they’re going to ask someone who’s going to know me. It’s always going to come to me even if it’s not direct it’s going to come to me because and I’ll get off of the same deal three times in one day. Yeah a lot of times because through this is the habala deal making the come straight to me.
Yeah, so building that building that reputation that you know, if the deal with the numbers meant when he extends he’ll close it and it’s simple and it’s easy is the number one. You know if I knew present it is hot. It’s not easy. No, but you got to just build it up. You got to keep meeting people and you got to show you got to execute.
That’s all about execution. Yeah, they see you can execute then. You know, I’ll do it. So by having an agency definitely helps with that helps with find the deals because they’re looking at they’re the ones I’m not looking at them unless I’m not looking what comes up and walking a lot of the stuff for buying our stuff that come to the market not necessarily off-market New York Avenue was on the market was listed.
Natasha Collins: Really, okay..
Isaac Sebbag: We went the full story. We went and looked at it. I said 580 list of 600 I said 580 and they said 6:00 a.m. They said for 600 you can have it and it was the two days on the market or something. We we put another right when I hit the market so we weren’t we weren’t it wasn’t it was quick and it was a good deal.
You know the number it sounded a praise and everything came out well, so we knew was a good deal so.
Natasha Collins: So your what are your key tips of advice then for anybody who’s just starting out or anybody who’s been in it for a while? What would you say the best use of someone’s time is going forward.
Isaac Sebbag: Well, if you’re just starting out the advice, I would say the main thing is first find out that you’re that you have a passion for it.
Like we discussed they find out that that’s what you want to be doing. That’s what you enjoy doing. You know, a lot of people enjoy designing houses then they enjoy seeing taking something that looks bad. The whole world likes is you know, the hold all the real estate shows showing a bad house showing it fixed up Everyone likes it.
But the question is are you willing to get dirty and get your hands dirty for you know, I willing to like really jump in we will you just like watching the show that’s really what it boils down to so it’s fit first finding out that you have that Pat you have that interest and then finding out a way how just getting not find how to add value.
That’s yeah, like what which part of real estate you like you like the mortgage business do you like the. The realtor business do you like the design business architecture? Which which part do you like and then, you know taking on a part of that and focusing on that and then talking to people and saying this is the value that I have.
This is what you need to know and this is what I can how I can help you. Yeah, I’m not trying to sell you a product. I’m not trying to sell you something that everyone else has I’m selling you way of life and sell your partnership. You’re going to partner with me and we’re going to do this together and you’re going to enjoy it and then you know what into deals time you going to tell me goodbye now do it yourself and you can figure out yourself, but for now. We’re going to pawn it together and we going to really you know, and that’s how you gotta go out there go out there and just sell sell that so lifestyle those cell like not selling a product sell. This is this is an it. It’s not even work.
This is what you’re going to enjoy as we’re going to do and you’re going to you know, it’s really it’s really gratifying.
Natasha Collins: Yeah, so find your passion in real estate for you for happiness. That’s where you start your starting from your
Isaac Sebbag: place. An accountant’s fine.
Natasha Collins: That’s your ever
Isaac Sebbag: option Townsend, you should be there’s this the jobs out there. If you need if you need the security, if you like the consistency, if you like the structure, you know, then that that’s what that’s what you should be doing. And I yeah, and they have this and they endanger them sell them. I don’t say that. I don’t think I do enjoy themselves.
They’re happy some people need happiness with having flexibility and some people need Happiness by me structure. So yeah, just whoever you are.
Natasha Collins: [00:19:27] It’s your auntie what you have passion for so that brings us to the end of this podcast. Thank you for coming back pleasure second time a dream if you want to find out more about.
NC real estate me head on over to www.ncrealestate.co.uk I’m going to put the links below how you can find Isaac and see more of what he’s doing because you post so much greatness on Instagram and Linkedin, so I’ll share that thank you very much for joining us today. We have really enjoyed your company and I cannot wait to catch up with you again soon!!