Skip to main content

Subscribe via:

In this conversation, Dylan Silver interviews Jason Fogarty, a retired army veteran and current owner of Joe Homebuyer in Montgomery, Alabama. They discuss Jason’s journey into real estate, focusing on off-market properties, the importance of understanding seller motivations, and the unique strategies employed by Joe Homebuyer. Jason shares insights on the Alabama real estate market, the benefits of franchising in real estate, and how military service can provide advantages in property investment. The conversation emphasizes the significance of effective communication and negotiation skills in real estate transactions.

Resources and Links from this show:

Listen to the Audio Version of this Episode

Investor Fuel Show Transcript:

Dylan Silver (00:01.112)
Hey folks, welcome back to the show. I’m your host, Dylan Silver. And today on the show I have Jason Fogarty. Jason is a retired army veteran with 23 years of service as a Black Hawk pilot and medical service corps officer. He and his wife Fawn have been married nearly four years and share a blended family of four children. Jason now owns the Joe Homebuyer franchise in Montgomery, Alabama, where he provides off-market real estate solutions to homeowners across Southern Alabama.

Jason, welcome to the show.

Jason Fogarty (00:33.328)
Thank you, great to be here.

Dylan Silver (00:34.87)
Absolutely. But before hopping in here, I said this is the second guest that I’ve had from Alabama. I wish we had more guests in Alabama. I’m actually very interested in the real estate market out there because I think there’s a lot of these markets. I’m in Texas, right, where they get a lot of national acclaim. But I think a lot of these other markets deserve lots of attention too. I bet there’s great deals to be had out there in Alabama.

Jason Fogarty (00:57.062)
there absolutely is. know the definitely nice thing about Alabama is the cost of living, the of property is a lot cheaper, especially in Montgomery and South. There’s a lot of deals we had where you can come in as a cash buyer and make an incredible deal.

Dylan Silver (01:12.93)
Now, after leaving military service, did you know you wanted to get into the real estate space?

Jason Fogarty (01:19.244)
So I’ve been involved in real estate for about the last 10, 15 years with personally owned rentals. And it was something I was thinking about and just really sort of Joe Homebuyer reached out to me and we got talking really their values and everything real lined with what I’m looking for, trying to help people in the real estate space. And it definitely got me interested in becoming a real estate investor and trying to help people not just buy properties, but also sell because

People have lot of different reasons why they need a cell and we try to make sure that we’re able to provide a good deal for them and also providing a service to them to make sure that their needs are

Dylan Silver (02:01.196)
So when I think of off-market, I’m typically thinking of some level of distressed real estate where people are able to do a value add of some variety in order to get it either to rental grade or to flip grade and then are able to exit from there. Tell me about the strategy with Joe, home buyer.

Jason Fogarty (02:20.72)
So yeah, great question. Yeah, a lot of what we do is we do focus on that, you know, the off-market. So really, you know, talking off-market, you know, not on the MLS where, and a lot of times it is those properties that do need to be fixed up and, you know, aren’t necessarily ready for the market. you know, people have a lot of reasons why they need to sell, you know, could just be, you know, the house is too much for them, you know, needs too much work. You know, they need to sell quickly, you know, for whatnot where, you know, the normal work of the realtor doesn’t work for them. And that’s really where

Joe Homebuyer really brings a lot to the table is understanding what the person needs, making sure that we’re able to provide a solution that really meets what they need so they can move on to the next chapter.

Dylan Silver (03:04.95)
Now, I think as myself being a wholesaler, now realtor, I’ve been licensed for almost two months now, I think about the deals that I’ve come across and there’s so many different reasons why someone might be what we would consider a distressed seller. And the most obvious one is the home is in disrepair. But there’s so many reasons really. I mean, just to name a few, you’ve got family, you’ve got divorce, you’ve got death, right? And then you’ve also got, you know, maybe they just don’t want to be associated with the home for whatever reason.

Maybe someone had passed and now it’s bad memories and they’re moving on to something else. And so each situation is so unique. mean, I’m sure you’ve seen this Jason too, where someone actually has a good real estate portfolio and they’re maybe retiring or they’re elderly and their kids don’t want to take it over and it’s maybe millions of real estate and so they’re kind of selling off one property at a time. So all different types of people that I’ve come across.

Jason Fogarty (04:03.12)
Absolutely, it’s no one set, you no two sellers are the same. it definitely a lot of, you you do really want to spend the time, get to know the seller, so understand their situations because, know, they may, you know, they may be that tired landlord and just want to sell, but they may not come out and say that, you know, they’re tired of real estate or whatever the reason is. So really as you get to know them, start pulling out what, you know, what those

I guess Chris Voss would say those black swans really understand what their motivations are because what they say as you start to understand them might not be the real reason as you start to understand them. It also worked with them to really understand what their needs truly are.

Dylan Silver (04:48.514)
That book never split the difference. One of the best books, definitely my lifetime, I’m 31 years old. That book changed the way that I viewed communicating with all people. Because if you’ve read the book as you have Jason, it’s one of these deals where you can approach pretty much any high stakes conversation as if it’s like a hostage negotiation. And it’s true. These conversations, definitely with a seller, can change a business. They can change that seller’s life. They can change so many lives involved. And so how do you

skill up and tactfully negotiate and really communicate really to where it makes sense for a seller and it makes sense for a buyer. That was an amazing read.

Jason Fogarty (05:29.882)
Yeah, it was great and I think his book really doesn’t apply. You don’t have to be an FBI hostage negotiator. You don’t need to be in real estate. The stuff that you take away from his book apply for literally every interaction that you have. You can even apply to your spouse, significant other, and it helps open up those lines of communication. And think a lot of what you take away from that is

improving those lines of communication. So you and the seller are not sitting opposite sides of table, not treating a transaction, but working to be on the same side of the table. So you and that seller together can work together to come up to an agreement that works for both parties. So it’s not one of those win-lose situations where a win-win. It’s at the end of the day, it’s we win working with that seller together.

Dylan Silver (06:27.064)
You know, I think when it comes to communication in general, there’s so many different ways where people can go about it. What that book really highlighted for me…

was this idea that there’s actual strategy like X’s and O’s of communication. It’s not just a script. It’s not just what you know, but it’s how to effectively commit. I mean, some of the things Jason, like I learned from that book, like radio FM DJ voice and like inflections, right? And he’s literally breaking down how he worked as a hostage negotiator. And I remember I was selling cars for Nissan at the time and had this book recommended to me. And it’s been applicable, like you said, in religion.

Relationships it’s been applicable in real estate but outside as well I mean if you think from him with his FBI background to then all the different areas that it’s expanded to it’s it’s really Pretty pretty incredible there. I’m curious as someone who’s acquiring these off-market properties yourself Do you tend to look at? These leads as a long-term Follow-up, what’s your follow-up process with them or as soon as you’re getting a lead in do you look?

at it like, okay, we’ve got only really a set period of time because someone else is gonna come up behind us if we don’t and they’re gonna move with someone else if we don’t get this under contract.

Jason Fogarty (07:49.048)
Yeah, no, that’s a great question. So I think it’s how I view it is, obviously I want to make contact with that prospective seller as soon as possible because, and it’s not something where it has to be closed quickly. Everyone’s situation is obviously different, but I think starting that, developing that relationship early on is very key. But as you go from there, people may be in a situation where

they need to sell right away for whatever reason or they could be have you know X, and Z that you know they can’t sell right away they need to you know wait for the school year to end what you know find new house before they can sell you what it is I think the biggest thing we’re able to provide is creating a relationship showing how we are of service to that seller and that is a thing I think really with Joe Homebuyer

is showing we’re head and shoulders above the whole set of out there that are trying to treat a very transactional. We want to make sure that we’re able to come up with a deal that works for both us and the seller, but making sure that we are providing things, bringing things to the table that go beyond just that transaction.

Dylan Silver (09:06.902)
I hope I’m not going to put you on the spot too much with this question. Feel free to kind of knock this down the road if you don’t want answer this one. Is there a difference or a key difference between what Joe Homebuyer is doing and maybe some of the other big box wholesale companies that people might be familiar with?

Jason Fogarty (09:22.648)
I would say I think the biggest difference is the values that Joe Homebuyer has and that’s what really attracted me to him is they, know, the 4-H’s, really have, you know, they’re the heart for that that’s what we’re working with and making sure, you know, we’re humble, we’re making sure that we’re continuing to learn, learn about that person’s situation because we don’t want to assume anything. So we want to make sure that we’re doing everything we can.

to be a value add. There’s a lot of other wholesalers out there, especially the ones that I sort of call them like the fly by night ones, where they’re just out there trying to lock up a deal regardless of the price and let it drag out. We want to make sure that we are working with the seller, coming to an agreement that works so that way we can get to a price that

we’re able to perform on, so we’re able to make sure we can get them onto the next stage of life quickly and not have to come back to them and let them know that we’re not able to perform.

Dylan Silver (10:33.708)
Yeah, I I’m a wholesaler, I’m a realtor here in DFW. I have a rather niche strategy that I think is, I’m surprised more people aren’t doing it, but I’m always curious what other people’s are. So I’ll ask you again, without giving away all the game here, Jason, but maybe some, are you, when you’re presenting these offers to prospective sellers, are you letting them know, we have a captive investor network, we’ll close on it ourselves? Are you doing subject

two deals, see the subject two hat in the background there, what type of offers are you, seller finance, right, what type of offers are you providing to sellers?

Jason Fogarty (11:13.392)
So really it depends on the person’s situation and what the house is. I do partner up with lot of investors that if it is a property that doesn’t necessarily meet what I’m looking for, I will bring in that investor to be able to sign that property investor. I do look for multiple exit strategies where you can imagine those creative finance deals subject to.

where I think those lovers, having those lovers are very good to have in your back pocket because not every seller is suitable for a wholesale cash deal. They may have a house that is pretty much market ready, but their timeline doesn’t necessarily meet being on the market. And they have that super low interest rate that is attractive to investors where you could have that creative finance deal. So I think the biggest thing is having

You know, knowing the multiple exit strategies so that way you can have the correct lever to pull that meets that seller’s needs.

Dylan Silver (12:18.7)
Now I’m not familiar with the Alabama real estate market, although I really would like to be, not that I’ve had two guests on the show here, and I think it’s one of these areas where, we get a lot of, I’m in Dallas, North Dallas, right, we get a lot of attention out here, and we like to think we’re one of the best single family markets for real estate investors in the country, Texas, and then maybe our competitors, we look at Florida, right, I’ve had a lot of…

people on the podcast in Arizona. think Alabama is probably a great area and I’ve actually heard great things that as recently even that you could find lots of deals that meet the 1 % rule right so 1 % of the rents is equal to the the purchase price type of deal after you put in the rehab. And so I’m curious you know as someone who’s based out there in Alabama are you someone who looks at it like this is a great area and it’s really ripe for innovation we

We need more investors and it’s really a great state to be investing in.

Jason Fogarty (13:14.98)
Yeah, it is absolutely great state to be investing in. The biggest thing is the people that are the fix and flippers, the contractors, really the ones that we want to make sure that we’re bringing the area. There is a lot of properties that have great deals, but that would be a great deal. But they do require work because it’s a lot of old. There’s a lot of older homes that you do need some work to really bring back to shine and bring them up to standard that would make.

great rentals. For example, right now I’m in the process of buying three rental properties, two or one transaction where I’m under contract for two houses for $33,000, have tenants in place, and right now they both together rent for $950 a month. You can’t beat that. So there is a lot of opportunities to be had, a lot of…

Dylan Silver (14:09.762)
Wow.

Jason Fogarty (14:14.416)
situations where you can bring value to the table and at the same time provide housing for people because that way some of these houses, they’re getting close to needing some work where if it doesn’t happen the next few years, they’re going to become unliable. So if that person could come in, know, rehab, restore those houses, keep providing that affordable housing for people going forward in the future.

Dylan Silver (14:38.324)
Is Joe Holmbeier focused and centered in Alabama or are they all over?

Jason Fogarty (14:44.176)
So Joe Homebuyer is all over. think, so they’re headquartered out of South Jordan, Utah, but we have franchises all throughout the US. think the last number I heard in March or April was we have 58 franchises spread throughout the US.

Dylan Silver (15:04.302)
You know I think the franchise model is interesting because I’ve had actually other people on the show here with a similar franchise model in the wholesale real estate space and you when I think of franchises I think of you know I think a lot of people think of like retail and they think of maybe restaurants, but franchising a real estate investment business is such a unique opportunity I’m sure when you first had this opportunity it was very interesting because you effectively have

a lot of mentorship and you have the ability to have a business all rolled into one plus kind of the backing of a network of people that have been successful doing this for a long period of time and a track record to boot.

Jason Fogarty (15:46.864)
Yeah, absolutely. And I think that’s the biggest thing that is really Joe whom our corporate brings to the table is, know, being a friend, you know, if you’re a franchise owner, you essentially have constant access to basically real estate masterminds where you’ve got, you know, Cody Ho Fine, Mark Strugler, you two of the giants within the wholesale, you know, off market really community are the co-owners. we, as franchise owners do have very regularly access.

with all of them, other large, people with lots of experience within the real estate community that we can constantly reach out to to continually refine and grow our skills so that way we’re able to be more successful and bring more value to the people we interact

Dylan Silver (16:33.186)
Jason, know, when I’m hearing all of this, I’m thinking about my journey when I was starting out in wholesale. And I was thinking about the mistakes that I made. You know, we had different paths, right? So you were military and investing while being, by the way, congratulations on that, because I think everybody who is military really should be investing while they’re active, because you have so many…

Benefits that you can utilize I had no idea right and so you were able to do both but When I was starting out I wasn’t really aware of what my options were, know, and so I kind of thought well I don’t have lots of money. What can I do? I had no even inkling as to what wholesale was all I knew was real estate was expensive and that I wanted to partake in it because if I can’t beat him join him I was living in San Antonio

for Nissan, I said, look, this is very expensive. How do I get involved in this? Because I just see my rents going up and up and up. So how do I become an owner, right? And I think I kind of fell into wholesaling through going to a networking event. But it ended up really just sparking a passion for me in the real estate space. And so when I think of what was the big takeaways for me, what were the aha moments and the game changers, it really comes down to, for me personally,

I learned a lot. Yeah, I got my license. I studied for tests. I’ve bought lots of books. I’ve been to courses, been to conferences. These have all been great. But the biggest value adds for me have been having these conversations, hearing about different strategies, being able to have like a text conversation, you know, with a couple different people, staying in touch with these people. These have been the real game changes for me.

Jason Fogarty (18:12.784)
Oh, absolutely. And it’s like something where, know, if I knew if I went back to 18 year old Jason and knew what I know now, it would have been a game changer. We especially with the military side with the VA loans, everything that is available, that it would have been a game changer. And that is one thing that I’m trying to pardon my son. He’s he enlisted in the Navy. He’s shipping basic training next month. He’s already picking my brain on when he gets on training, when he’s able to live off base.

how he can take what’s available and leverage it. Like he’s already talking using his VA loan to buy a fourplex so he can live in one unit and his tenants pay his mortgage for him and then he pockets his housing allowance. Like there’s a lot of knowledge out there and really anyone that wants to learn anything about real estate is, find those people that have been doing it for minute. Talk to realtors, go to real estate groups. There’s a lot of ways to gain knowledge and interaction with people that know what they’re talking

Dylan Silver (19:11.214)
I think that’s huge. Congratulations to you and your family on the success and to the future success as well. think I had a lone originator who specialized with military and it was new to me. think most people may be vaguely aware but they might not be totally aware that you go to your basic training and then basically three months after that, so six months in the military, you’re qualifying for a home.

And so 18 years old, What 18 year old is gonna qualify for a home in any major city? Very, very few, right? But you have military and then you’re qualifying for a home at 18 years old, within six months of, it’s unbelievable. granted, most people might think that that’s a huge undertaking, what am I gonna do? But.

If you’re going to be going to college and you’re going to be taking out these big loans anyhow, right? Or you have the military and then you have a place to stay and then you could fill it maybe with tenants, it is an unbelievable opportunity, I think, for real estate investors. I think if there’s any real estate investors out there who are thinking, I’m young, what do I do? Honestly, joining the military is kind of a great way to get your real estate investing career started.

Jason Fogarty (20:21.296)
Absolutely, because there is a ton of benefits. You’re also in communities that by default or relatively nomadic, transitory, by nature, where every few years are moving. So you’ve got a ready population of people that are ready to rent from you, that if you can buy those properties, you’ll have someone who wants to rent.

Dylan Silver (20:47.055)
Did you, at what point in your military career did you realize that, I’ve got a passion for this real estate thing?

Jason Fogarty (20:54.319)
So it sort of is one of those things where I think of this is like 2008 down here in Alabama old places like I had house Couldn’t get it sold. So I just decided hey, I’m gonna rent it out and You know kept renting it, know it the rent paid the mortgage so You know came, know ten years later, you know time to sell and it was you know made you know $70,000 proceeds at close

that I was able to put towards three more houses. And then,

Dylan Silver (21:28.28)
There’s your proof of concept right there. You’re like, well, I’m a real estate investor now.

Jason Fogarty (21:33.168)
Absolutely, just from learning from there, now with DSCR loans, other options where, especially if you’re an investor, there should be no reason why you need to do a personal loan to buy properties, go on your credit, start establishing your Wyoming LLCs now. There’s lots of ways that you can just go for it, be successful.

Dylan Silver (21:59.192)
Jason, we are coming up on time here. Where can folks go to get a hold of you?

Jason Fogarty (22:04.494)
Okay, sure. Yeah. So if you, you can either find me on social media, on Instagram, Joe Homebuyer of Montgomery. My website is jhbofmontgomery.com or you can reach out, look me up online with Joe Homebuyer of Montgomery. Contact me through that way through my biz page or email me through jfogarty at joehomebuyer.com.

Dylan Silver (22:31.352)
Jason, thank you so much for coming on the show here today.

Jason Fogarty (22:35.588)
Yeah, thanks for having me. was great. Love talking with you.

Share via
Copy link