How David Randolph Uses Short Sales for Massive Real Estate Profits

TheDavid Randolph.com (00:00)
I’m climbing that corporate ladder, right? I’m getting patents. I’m becoming the…

technology manager of the company, and I’m climbing and climbing. And guess what? I got to the top of the ladder and there was nothing there, Quentin. It’s a false, it’s a lie.

Quentin (01:48)
Hello, everyone. Welcome to the Real Estate Pros podcast. I am your host Q Edmonds, and I’m excited to be here today, excited to have another fantastic guest. I’m going to let him tell you all his resume and his accolades. But just know this gentleman has perfected a method, perfected it over 16 years.

And so what he’s going to talk about, listen, he didn’t put in probably more than what they say that thousand hours that you didn’t put in, like he’s been putting in more. So trust me, he knows what he’s talking about. Some of you probably heard of him. So I’m going to do it this way. As they say, I’m going to present to some and introduce to others, Mr. David Randolph. Mr. David, how you doing today, sir?

TheDavid Randolph.com (02:35)
I’m doing great. I am so honored to be here with you. This is awesome.

Quentin (02:39)
Absolutely, me too, man. I’m honored, happy to have you here. And Mr. David, I’m the type, I want to dive in, man. I would love for you to tell the people what your main focus is these days. I would love if you can give us a little bit of an origin story, kind of how you got started to the place where you are now. And then, man, if you don’t mind, tell them what part of the world you’re in, because people seem to want to know where we are geographically. And so if you don’t mind, tell them that. So what you’re doing, your origin story, and where you are. Mr. David, sir, you have the floor.

TheDavid Randolph.com (03:07)
Yeah, so I’m a real estate investor of 16 years. so ⁓ basically I tell people, hey, you know, look, my name is David Randolph and I rehab about five to 10 houses a year. One of my claims to fame is all my renovated houses listed on the MLS here in St. Louis, Missouri. OK, great state of St. Louis or whatever it is. You know, have, ⁓ you know, list on the MLS for sale. Two hundred sixty five thousand and less. ⁓

You know, they have all sold in seven days or less Atlas price or higher for 16 years. Now I’ve got this unfair advantage. Okay. Quentin, I am making 50 to $150,000 gross profit on each house. And so it’s easy to sell. Now, how do I do that? That’s what we’re going to be talking about. I do that by buying them for the last 16 years. That’s what’s called a short sale. These are not on the MLS. They’re not with a real estate agent.

but rather I work with the homeowner, the family to help them stop that foreclosure. And then I negotiate directly with the bank. That’s how I bought my houses. And so it’s easy to sell them quick. Now after that, know, I, ⁓ cash is piling in, right? And so now what do I do? Holy smoke. So, so through guidance and mentors and experts, I basically open up IRAs and 401ks. And so I’ve got three and a half million in cash in my IRAs that I lend out. And so my heart,

is to help new rehabbers. So I started lending them the money to buy, the money to fix, the money for the points and the money for the monthly interest payments. They need $0 and stuff. And so I started doing that. Then about five years ago, the biggies out there that know me, like Ron LeGrand and others like that, and Jeff Watson and Sean McCloskey and a lot of others out there, there’s more than that, but that’s all pop to my head.

So you need to start teaching other people. So Quentin, five years ago, I started teaching people how to do short sales all across the country on it. And it’s just amazing what’s happening in the industry right now with short sales. I see so much with all the students and members that we have in our community. And so it’s just amazing what the banks are doing with dumping houses now. And so that’s the main thing I’m doing today is that short sales.

Quentin (06:15)
I love you, Mr. David. Thank you for walking us through it, The short sales, I started five years ago teaching. And I love your passion to want to help new rehabbers. And so you’ve known this for a long time, 16 years. And so I want to peek in a little bit into David, to Mr. David. So I have this saying, Mr. David, that destiny has no wasted moments, right? Meaning no matter what we go through in life, destiny has a way to fortify the people that we are now. And so you got this insight, you like this, you know,

help new rehabbers, you have the insight that you like to help teach people to something you started on five years ago. I would love to know kind of where that comes from. Like what made you evolve through the moments in time, these moments in destiny, these moments throughout your journey? How did you evolve to become a person that want to help people? Or was that something that was always in you since you just been kind of going on throughout your journey? Or this is something that came towards the latter end?

TheDavid Randolph.com (07:10)
Well, I was like a lot of other people out there. I was in that corporate world where I had a day job. And I was actually pretty successful because I was an engineer. And what was happening, this is horrible. This is a warning to everybody listening right now in the corporate world. I’m in the corporate world as an engineer. And

climbing that corporate ladder, right? I’m getting patents. I’m becoming the…

technology manager of the company, and I’m climbing and climbing. And guess what? I got to the top of the ladder and there was nothing there, Quentin. It’s a false, it’s a lie.

I climbed all the way to the Here’s what happened to me. I go in for my result review with the head of personnel and they go, you know, how they do it, they review what you did for the year, all this and this and this and good things, that little bad things and stuff. And then at the end, they give you your raise, right? They give you your raise.

And then she said, well, great, you did a good job, these patents. I go, good, so what’s my raise? Well, you’re not getting one, David. Okay, what do mean, ma’am? Why I get, you just said I got patents for the company and you made millions. Well, it’s because David, you make as much as the president of the company makes. And I’m like, what? Well, that’s ridiculous. Give him a raise, give the president a raise, right? Okay. And I’m like, and so I left the corporate world after that.

Okay. And I went into homeschooling my children and real estate. And so then that’s what got me into is like, holy cow, I need to get other people out of the corporate world. And that’s why I lend the way I do to help people to get started. Okay. Into real estate. If they have the funding, no credit check, no tax returns. So help people get out of their corporate job into the real estate field. Real estate has so many business facets that you can do. You can be successful wherever your heart goes.

And that’s what drives me to do that.

Quentin (09:07)
I hear it, man. hear the passion. And I love you said you want to get people out of this corporate structure, out of this corporate world, because you said you got to the top of the ladder. Wasn’t up there.

TheDavid Randolph.com (09:16)
Another layer! ⁓ my god, climb! Run back

down the ladder and get out of here! Clear the building!

Quentin (09:23)
I love it man. So you built this machine that helps people. Has there been any adversity as you build? Like have you had to pivot fast as things went smooth and natural or has there been kind of some ups and downs that you had to work out?

TheDavid Randolph.com (09:39)
Well, I tell you, ⁓ my background, as I said, is engineering. And so that’s one reason in real estate I’m successful is I have processes, checklists and procedures. So everything I do, I run my real estate as a business. It’s not a hobby. Nobody listening to this should treat it as a hobby. They treat it, should treat it seriously, document what they do and improve on what they do.

And so I’ve had that in place for years to really help me. But I had a real interesting adverse time when this thing, do you remember this? ⁓

this COVID-17, COVID-19, you remember 2020, that is one of the COVID things, right? But that was really tough, because remember, Quinton, that what happened was that they shut down the whole foreclosure market. There was a moratorium for 18 months, no foreclosures. If there’s no foreclosures, it’s kind of hard to do real estate, especially if that was your method of buying.

Quentin (10:46)
Something like that. Yeah, I think I vaguely remember. Yeah, something like that. Yeah.

Mmm.

TheDavid Randolph.com (11:10)
And so I really had to pivot on how to do short sales during that time. Now it actually flourished a lot because what happened was people were missing their payment, okay, and stuff. And so there were a lot more people in the position of being able to do a short sale, but the danger that we had to pivot on was they didn’t have a foreclosure date, so they’re not real motivated to work with you, They ran that out for 18 months on the moratorium.

And so that was a tough time. We had to really come up with a whole new set of marketing systems and a whole new thing. Here’s kind of one way I summarized it to the homeowner. I don’t want to get into too many details, but you know, they’re like, well, I don’t really need to do anything and stuff like that and stuff like that. I said, you know, and so I’m like, okay, so right. here’s the problem, you ⁓ you got this moratorium, you don’t have to do anything, but you know, there’s this light in the tunnel, right? Okay. Yeah. And stuff. so, you know, it’s going to end pretty soon, but that’s a train.

that you’re going to run into. Get off of that track and get on my short sale track and we can run this for another six months. But what you see 18 months, that tunnel is going to end and that bright light is a train going to plow into you. And that would usually switch them over. you mean so now I can delay more? Right? And stuff. So that was a tough time then.

Quentin (12:16)
Yeah.

Yeah. Yeah.

Yeah. I love it, man. I love the nuggets that you’re sharing. I love the picture that you’re painting, that people kind of can really clearly see kind of what’s going on, maybe, you know, what they can strategically do. And so I love it. I want to ask you this. What is your next real goal? Like, what are you looking to solve a scale next? What’s next for you, Mr. David?

TheDavid Randolph.com (12:53)
You know, I have proven my that I know, I know for 16 years my way of doing short sales worked. I obviously know that. But now after 460 students and 46 one on one coaching students across the country making, you know, I don’t want to say how much they’re making, but they’re making lots of money that it works for them too. OK, it works for other people. And so my mission now in life in in my business model

is to make a million heirs for 1,000 people. 1,000 million heirs across the country is my goal. And so I want to reach out across, because see, people might not understand this. A short sale is a federal process. It’s identical in every state. The short sale paperwork process is identical. There’s other things that are different, like marketing. And we don’t need to talk about that. But the process is the same. And so anybody across the United States can do that.

if they learn my system and my method.

Quentin (13:54)
Absolutely. No, I absolutely love it. Now, you’re walking me right into my next question because you want to make 1,000 millionaires. You already are teaching 460 people and that’s there in the portal. And I think I heard you say you have 46 one-on-one people that you’re kind of coaching, teaching. And so this question to me, you’re the perfect person to ask this question. I want to talk about relationships.

TheDavid Randolph.com (14:15)
Yes, yes.

Quentin (14:23)
to hear your perspective on relationship building. Is it important? What is your relationship structure? How do you go about building relationships? Like talk to me about the word relationship. When you hear it, what comes to mind when you hear the word relationship?

TheDavid Randolph.com (14:37)
It is the number one attribute to understand in real estate. You get everywhere in real estate by having relationships with other people around you. Okay. That’s the biggest thing is to have people on your team. is not real estate is not a lone ranger game.

Okay. And all it’s about knowing I real estate agent can do this. A contractor that can do this,

a person who can make phone calls for you for this. you know, it’s about having relationships with that inspector. Okay. You know, everything is about the relationship of knowing other people.

Quentin (15:57)
I couldn’t have said it better. Their relationship piece is so monumental. I love that. That’s what you’re ultimately trying to do is build a relationship with people. So ultimately, they can build a relationship with theirself and know that, you can do and perfect the strategy that I have and ultimately build your own success. And I hear that. So I love the relationship piece and the way you talked about it.

Listen, is there anything I have not brought up Mr. David that you would like to talk about? Or is there any kind of other words of inspiration, education, motivation? I kind of just want to open up the floor to you if there’s anything on your mind or your heart that you feel like people may need to hear.

TheDavid Randolph.com (16:38)
Well, I think in life there’s a lot of places you can invest your time and your money out there, but you have to really look for me coming into real estate and being here for 16 years, okay? And there’s still different things that I’m learning to do. And so, I think that what I really wanna say to people is, look, you can find a niche inside of real estate that you can be comfortable with and enjoy.

I loved helping keep families out of foreclosure. They cried at the closing table because you got them out of a foreclosure situation. I’m crying at the closing table because I’m going to make $100,000 gross profit. We’re both crying at the… And so in real estate, really, I think that you can find a place that you can enjoy and make it a way of your life. It’s not feeling like work. It’s a mission.

Okay. And real estate can provide so much in finances. I mean, you know, my wife has a health and wellness business and they don’t make a lot of money, but my real estate business can fund her $5,000 magnetic resonant mat. It can fund her frequency stuff. can fund all these things. So real estate is a great liberator of society for people. You can rise above the corporate world and you can go out and then build relationships with other like-minded people.

like through your podcasts. mean, you got to, this is such a gold mine, what you provide to people, cause they would have never known about short sales if it wasn’t for you. Okay. ⁓ and stuff and you connect people together and you, you, you do a great service for our industry. And I appreciate that.

Quentin (18:18)
Yeah.

Now, I appreciate that. I always tell people and people ask me what my purpose or my passion is. I tell them that my purpose is to unite and my passion is through storytelling. And that word unite just means that you just find the different connecting pieces and you just put them together. And so the connecting piece is that just like you said, someone need to know about short sale. I don’t know about short sale.

But hey, I met somebody today who does know about Short Sale. And then I know I have eyes, people that come to watch the podcast. So I just want to connect to people. And then hopefully they can integrate what you’re saying, connect with you and integrate your system. so, and I tell them my purpose is Unite and my passion is do storytelling. That’s what the platform is all about, is a form of storytelling. And today’s story was about Short Sale. So I appreciate you saying that, how this platform I believe is helping people because of.

people like you and I together. Like you said, this thing is, you’re not a Lone Ranger. We do this thing together. And so with that being said, man, I’m so glad you was on today. Mr. David, if someone wanted to reach out to you, connect with you, collaborate with you, or learn more about what you’re doing, how can they get in contact with you,

TheDavid Randolph.com (19:32)
Yeah, you know, I really, really want to help people understand what a short sale really is. We’ve had a great 20 minutes, but I haven’t been able to say anything about what they are and how, you know, what the steps are. for all the people that are listening to this, I would like for them to have a free two hour Zoom workshop on short sales that I do.

every single month, okay? And so if they text the word intro, I-N-T-R-O to my phone number, it’s 636-685-2990. And I bet you can put that in some kind of show notes that because you’re ⁓ technically qualified to do that. I’m not, but you know, and so that is a monthly two hour Zoom session where I go through the short sale process and introduce you to all the things that take place and how it works.

why the banks are dumping, I mean, you know, the banks are literally dumping houses right now. We kind of talked about this earlier before we started, but, you know, Kevin in Pennsylvania, just two months ago, okay, you know, early in 26, he basically did a short sale where the bank itself does their own appraisal for 198,000. Now you’d think that’s what the bank wants, right? Because they did their own appraisal. Instead, the bank,

accepted his $96,000 offer before we could even talk or ask or argue or dispute. They accepted his existing offer that he sent in for 96,000. So he closed on it and he went in and he did a little fix up and he did some demo to the house and everything. And he puts it on the MLS and sells it for 285,000 cash. Okay. No appraisal, no inspections. The point is that, get into that intro class,

The banks are dumping houses right now. They’re desperate. They’re a distressed seller, as we call it. And so they need you to help them. Okay. So definitely get into that. It’s free. It doesn’t cost anything on it. You can learn more about it. We got two hours to talk about short sales there.

Quentin (21:40)
Yeah, yeah. I love it, man. I love it. Let me say three things to you, Mr. David, sincerely. First, thank you for your time. It could have been anywhere in the world, but you gave us your time today, and so I really, really appreciate that. Secondly, thank you for your story. Thank you for your narrative, what I even call the gift of your transparency. I know it’s planting some seeds in people, and I appreciate that. And lastly, thank you for your perspective, for your mindset, the way you think, and bringing that perspective to this platform. I appreciate you, Mr. David.

TheDavid Randolph.com (22:09)
Thank you Q, I appreciate it.

Quentin (22:11)
Absolutely. So listen, you heard Mr. David, check the show notes. This man is giving gifts today. Check the show notes. They’re in there. Get in contact with him. And whatever you do, definitely get in contact with him. But definitely make sure you’re subscribed here. That way you can be here when we continue to bring up amazing people just like Mr. David. So sir, I say thank you again, the David Randolph. I appreciate you, sir. Everyone else, you have a fantastic day.