Creative Financing Real Estate: How to Buy Homes Without Banks or Credit

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Show Summary

In this episode of the Real Estate Pros podcast, host Michelle Kesil interviews Dakota Taylor, a creative financing expert in real estate. Dakota shares his journey into the industry, focusing on helping homeowners avoid foreclosure and the challenges he has faced along the way. He discusses the importance of networking, building teams, and innovative approaches to real estate investment. Dakota also outlines his future goals, including making a million dollars by the end of the year and becoming a lender. The conversation highlights the significance of community and support in the real estate business.

Resources and Links from this show:

• • • Investor Fuel Real Estate Mastermind
    • Investor Machine Real Estate Lead Generation
    • Mike on Facebook
    • Mike on Instagram
    • Mike on LinkedIn
    • Dakota Taylor on Facebook
    • Dakota Taylor’s Email Address: [email protected]
    • Dakota Taylor’s Phone Number: (502) 821-2333

  Listen to the Audio Version of this Episode

  Investor Fuel Show Transcript:

  Dakota Taylor (00:00)
  So my main focus is to keep ⁓ people basically in their houses. think a big part of homelessness is, you know, there’s a lot of factors involved such as mental illnesses and drug addiction and things like that. But I think the housing market is one of the biggest reasons for homelessness. my kind of, the way I do things is to try to keep people in their houses from.

  pre-foreclosures to divorces to ⁓ certain things like that.

  Michelle Kesil (02:05)
  Hey everybody, welcome to the Real Estate Pros podcast. I’m your host, Michelle Kesil Today I’m joined by someone I’m looking forward to chatting with, Dakota Taylor, who does creative financing in real estate. So excited to have you here today, Dakota.

  Dakota Taylor (02:18)
  I’m excited to be here. Thank you.

  Michelle Kesil (02:20)
  Yeah, think our listeners are going to take something away from how you’re approaching your deals and networking and growing your business. So let’s dive in.

  Dakota Taylor (02:29)
  Sure thing.

  Michelle Kesil (02:30)
  First off, for those who are not familiar with you and your work, can you share what your main focus is?

  Dakota Taylor (02:35)
  So my main focus is to keep ⁓ people basically in their houses. think a big part of homelessness is, you know, there’s a lot of factors involved such as mental illnesses and drug addiction and things like that. But I think the housing market is one of the biggest reasons for homelessness. my kind of, the way I do things is to try to keep people in their houses from.

  pre-foreclosures to divorces to ⁓ certain things like that.

  Michelle Kesil (03:08)
  Awesome, and how did you get started doing that?

  Dakota Taylor (03:11)
  So a couple years ago, I was running a tiny house Airbnb, which no one really knew what Airbnb was at the time, ⁓ not where I’m at anyway. And so people like really started to dig that and it became like number one in two cities around me, which was very exciting. But then I was kind of browsing through the internet.

  found an influencer named Pace Morby. Super cool guy, ⁓ but kind of got into creative financing through him and eventually just kind of networked with all of these people to kind of build like lifelong friendships with them and do deals with them. It was a little while before I actually hopped in and closed on a fix and flip.

  Things like that that I’m working on. ⁓ that was very exciting. ⁓

  Yes, I’ve been at it for a few years now.

  Michelle Kesil (04:10)
  Awesome. And what do you feel has been the main key that made the biggest difference in allowing your business to be able to grow and to run smoothly?

  Dakota Taylor (05:06)
  I would say definitely the network that I’ve built. ⁓ They’re all some pretty exciting people. There’s a few more I could think of, but you know, really kind of going into it arm and arm with partners and things like that has really been helpful and using certain softwares and things like that that I think are going to be, you know, ⁓ it costs a little bit of money, but I can get like

  real estate leads like instantly before, you know, buying some scrape data from a BA or anything like that. ⁓ now I feel like I’m just kind of getting above and beyond, you know, where someone would normally start.

  Michelle Kesil (05:48)
  Yeah, and what have been some of the main obstacles and challenges that you’ve experienced?

  Dakota Taylor (05:53)
  Some of the main obstacles definitely, I guess, gaining support from people that you would think would really give it to ⁓ you. Family, that was a hard life lesson to learn. ⁓ Friends, so a lot of people, kind of crap on the idea of whatever you’re doing and then they’ll try to steal it. ⁓

  And just trying to convey what entrepreneurism is to W2 workers, ⁓ you know, that can be a bit challenging and, you know, laws such as wholesaling, things like that, you know, you can’t like advertise it without being a licensed realtor to the masses. you know, there’s a few ways around that. ⁓ Yeah, you know, just your day to day business challenges though, for sure.

  Michelle Kesil (06:51)
  Yeah, and why specifically is like the foreclosures the area of support that you chose?

  Dakota Taylor (06:59)
  ⁓ so we definitely want to keep people from going homeless because, you know, I think a big part of homelessness is the housing crisis. There’s enough homes for enough people out there. ⁓ so our big leg up in the industry is helping people, ⁓ basically keep their home. ⁓ you know, I, I grew up poor and stuff, so I, kind of understand like how it is to.

  kind of bounce around places, stuff like that. So yeah, being able to help people without sharking them, that’s like a huge thing for me.

  Michelle Kesil (07:33)
  Yeah, can you share maybe some examples of how you’ve helped people through that?

  Dakota Taylor (07:38)
  ⁓ so we had some foreclosures or pre foreclosures and, we essentially were able to reach out to them and be like, okay, Hey, through subject to hybrid seller finance, like if we can offer you a little bit less money than you’re kind of looking for, ⁓ we can definitely take over the mortgage or, know, you can be the bank. ⁓

  That’s certainly been a huge help to keep people in their houses longer ⁓ without like any of us really gaining a bad reputation because we’re such a close network together. ⁓ So that’s been a pretty helpful thing to do.

  Michelle Kesil (08:20)
  Cool, and what are you most focused on solving or scaling to next?

  Dakota Taylor (08:26)
  I’m definitely trying to build my war chest in order to become a little bit more professional, know, ⁓ filing the C Corp, the holding Corp, investing into a real estate agency that would hold that real estate Corp, you know, have definitely have money for business cards and things like that. ⁓ And also a really cool thing is

  audition for a reality show in Miami that they’re actually flying me out there next month for like a red carpet thing. I’m going to gain some training from the CEO, all that fun stuff. So that will be really cool to kind of make it a little bit more kind of become famous, make some more money, make some more constant friends, things like that.

  Michelle Kesil (09:18)
  Yeah, and as far as your career in real estate, what are you excited for in this coming year?

  Dakota Taylor (09:58)
  ⁓ so I feel like last year was such a bad year for me. Like, ⁓ was engaged to this girl that ended up kind of feeding on me and stuff like that. And. You know, she was kind of, ⁓ she could get a little bit physical and things like that kind of beat me up and stuff. And so I was practicing for boxing.

  and things like that. And I think when I practiced, this guy hit me so hard, it like gave me a brain bleed. And, ⁓ wasn’t sure how that was going to go with the reality show in Miami or anything like that. But our plan was to buy a house, you know, bring her kids in. ⁓ we were planning on having a baby, stuff like that. And then it just kind of, I kept her around because she was like sort of homeless after we broke up.

  ⁓ But that made me kind of focus on this year of being like one of the best years I can make it just based on how I operate and do things. So that’s been a huge help. Like I’ve been noticing just certain things in a row that are just already forgot about 2025, you know.

  Michelle Kesil (11:08)
  Yeah. And as far as like the real estate stuff, is there something that you want to focus on this year?

  Dakota Taylor (11:14)
  Definitely to make a million dollars by the end of the year. So I have a partner and we bring in transactional lenders, multiple investors, things like that. We’re going to buy like a 10 to 50 million dollar house or something. ⁓ And basically we’ve worked it out that we’re going to refinance it.

  And kind of ⁓ out of that, we’ll be able to pay the sellers back with like a million down and pay all of the investors right away. And then being a part of the team, I’ll get 50 % of that deal. So whatever the math is on that, ⁓ that’ll be pretty exciting. ⁓ Just to continue to help people, things like that.

  just to get better at my job and to, you know, I’ve built a wholesale team, a TC team ⁓ with my GC license and stuff. I’m going to kind of set up a new construction type team to do new construction and things like that. All very exciting stuff.

  Michelle Kesil (12:29)
  Awesome. Can you expand on those teams that you’re building?

  Dakota Taylor (12:32)
  ⁓ so the transactional coordination team, ⁓ they’re great friends of mine. ⁓ some of the nicest people in the community. ⁓ so I’ll do like marketing to get them contracts and stuff and I’ll give them like 60 % of the marketing. So that’s super exciting. ⁓ wearing too many hats sometimes kind of makes it a little bit disorganized, but, ⁓

  I have a wholesale team as well. Same thing. So with my software that I paid money for, ⁓ I can definitely find all the buyers, all the sellers and lenders and things like that. ⁓ So that’s super fun. ⁓ Also doing what’s called Morbius methods to where we don’t put any money down.

  And they actually kind of seller finance us a portion of that. And, you know, those are usually million dollar properties, things like that.

  So yeah, there’s just a lot of money to be made in real estate, think. And with kind of just sitting back and learning and networking and trying to basically over-understand, I wasn’t able to get much done. But I think 2026, the year that I’m trying to my hands dirty, get contracts out there, get houses signed. ⁓

  you know, bring everyone together to have similar goals.

  Michelle Kesil (14:06)
  Awesome. When you say bring people together, does that mean like growing your team or what does that look like for you?

  Dakota Taylor (14:11)
  ⁓

  Yes, growing my team, but also exciting new people in my networks ⁓ like the pace Morby network

  Getting them kind of ⁓ trying to be an educator instead of just kind of educating. So whatever gets them excited to kind of go out and, you know, I kind of give them doors to walk through and to watch them walk through it and actually like, hey, real estate isn’t such a bad investment property to, to really make, make a living at and to, you know,

  I think investing can be fun, if you make it fun, for sure.

  Michelle Kesil (15:29)
  Yeah, what’s the funnest part for you?

  Dakota Taylor (15:31)
  ⁓ I would say that, you know, I kind of work like seven days a week, which is fine because, ⁓ you know, Alex Hormozzi said that the rest of the world is out working you by working seven days a week, no weekends. ⁓ that’s totally cool with me. ⁓ so to be able to work really hard is,

  ⁓ I don’t know. It’s almost like an addiction, you know, ⁓ always, ⁓ to find a bigger and better deal when you’re, when you wake up and you go out there and usually the day starts with a sort of plan, but, know, I’ll be hopping on calls with people from zoom groups and things like that. And, you know, in 15 minutes we become friends and they’re like, Hey, I’ve got this.

  this and this deal that could help what you’re working on. And I’m like, that just gets me so excited.

  Michelle Kesil (16:25)
  Awesome. Is there anything specifically that you’re looking out for or wanting to get more educated on this year?

  Dakota Taylor (16:35)
  ⁓ probably becoming a lender, I think, is the ultimate goal for every real estate investor eventually. ⁓ That way I’m more, it feels more of an investment than me kind of running around trying to do this and that. Like I’ve known that I’ve already made a few million dollars that I can lend out to new people. ⁓ Maybe take a little bit more of a risky or

  type of plan of action with it. ⁓ So basically we avoid using banks and we use private money, hard money, all those kind of lenders and things like that. It just cuts down on time. I don’t know, I feel like I’m building and adding to like a new way of doing real estate this way.

  Michelle Kesil (17:29)
  What can you expand on how you’re doing it in a new way?

  Dakota Taylor (17:31)
  I would say everybody has been kind of a bit brainwashed into thinking like, okay, they need to buy a house. They got to use a bank. They got to use a realtor. I have no problem with those things. I just don’t think it’s economically smart, in my opinion.

  But doing this without the traditional methods of gaining money to do real estate, I think that opens up a lot. Like you don’t need a credit score, you don’t need a job, you don’t need this and that to get into real estate. So, know, even maybe doing a bunch of Airbnb’s and things like that could be cool or I mean, there’s just so many options in real estate that I’d

  didn’t discover that makes it so different from other investing vehicles you could drive like stocks or anything else. ⁓

  Yeah, that’s pretty much it on that one.

  Michelle Kesil (18:31)
  Awesome. And how are you building your network?

  Dakota Taylor (18:35)
  So I will go to, ⁓ I’ll find Facebook groups and stuff like that on Facebook and anything to do with just networking. They’re like, their big thing is we all do business, right? But like, let’s all connect here to learn about each other, to become friends, learn about each other’s lives, things like that. ⁓ That’s been a huge one.

  ⁓ Sometimes they’ll have zoom calls where they all post their phone number and state what they do. ⁓ And the guys are like, Hey, go ahead and, you know, trade numbers with other guys, girls, trade numbers with other girls, things like that. ⁓ And then we’ll just call each other up. Honestly, like some of us are kind of not very good at talking on the phone. ⁓

  But yeah, that’s been a great way to that I’ve been lately networking and it’s been a little bit difficult with trying to do so many things at once because people have Zooms at the same hours and things like that. So I’m like constantly on my phone being like, hey man, I screwed up. Like I can’t make this one. But yes, it’s been, it’s been pretty excellent. You know, I think I went from

  making like $18 an hour or something, working as an assistant manager at PetSmart. And, you know, it was, it’s an all right place to work, but to really stick with entrepreneurism and using investing instead of trying to be a CEO of something. I think that’s really where things definitely change.

  Michelle Kesil (20:17)
  Definitely. Awesome. So before we wrap up here, if someone wants to reach out, connect, learn more, where can people find you and connect with you?

  Dakota Taylor (20:25)
  My primary source is Facebook. My email is [email protected] My phone number is 502-821-2333. Yeah, that’s pretty much it there.

  Michelle Kesil (20:39)
  Perfect. Well, appreciate your time and your story. Thank you for being here.

  Dakota Taylor (20:43)
  All right,

  thank you so much. I had a great time. Thank you.

  Michelle Kesil (20:46)
  Of course. And for the listeners tuning in, if you got value, make sure that you’ve subscribed. We have more conversations with operators like Dakota who are building real businesses and we’ll see you on our next episode.