Creative Financing Strategies to Buy Real Estate With No Money Down

Del Hedgepath (00:00)
My ultimate goal when I was closing on a piece of real estate was to not only go to the closing table with no money from my pocket, but I wanted to walk away, not only owning a new piece of real estate, but I wanted extra cash in my pocket. That was my extra, or that was my ultimate goal. I wasn’t able to do it at every closing, but I was ⁓ successful in doing it on quite a few. ⁓

I’ll give you an example of how that works. ⁓ on the very first property I bought with ⁓ zero out of my pocket, but walking away with cash in my pocket.

Cody Crabb (00:31)
Z

Hello and welcome back to the Real Estate Pros podcast by Investor Fuel. I’m your host, Cody Crabb, and today I’m talking to Del Hedgepath. Del is the owner and operator behind Del Properties in Kansas City, Missouri, and over the last 30 years he’s built a portfolio of close to 600 units across apartments, lofts, office, and retail. Off all while keeping his properties close to home and staying very disciplined about what he buys. We’re going to get into his Rags to Riches story, written goals, and how he thinks about building real

Long term wealth. Del, thank you so much for being here today.

Del Hedgepath (02:39)
Yes, my pleasure.

Cody Crabb (02:40)
so I’d love it if you could give us the the short version or the semi-short version, I suppose. ⁓ how did you go from starting with basically nothing to the portfolio you have today when real estate is not typically one of those ⁓ one of those vehicles to wealth where you need you do need some starting capital in some form. So how did you make that work?

Del Hedgepath (03:00)
Well, ⁓ when I was a young guy just out of high school, I ⁓ and by the way, I barely made it out of high school. I had a very very small class and I was pretty close to the bottom. ⁓ but right out of high school I ⁓ you know realized I wanted something different, you know, perhaps better for myself than ⁓ where I came from. You know, I came from a great family, but you know, we were low income.

And I ⁓ got a job when I was in junior college ⁓ managing a small apartment building. And one day I had what I call my light bulb moment. I had this light bulb moment. How I was gonna reach my goals of financial independence was going to be real estate. I was gonna buy and hold real estate.

Cody Crabb (03:47)
okay. I thought I I was like, all right, yeah, that’s I was waiting for more, but no, that’s it. See, I I think it was I I find it interesting ’cause I I think having a having a little bit of experience managing a property, was it just kind of like a I could do this? Like, ⁓ this is this is all it is, really?

Del Hedgepath (04:01)
Well, you know, my family wasn’t and you know, still not, you know, involved in real estate. And this ⁓ would have been the early 1990s, so it was pre-internet. ⁓ you know, so I was self-taught at that time. It was the library. I don’t know how many of your listeners even know what a library is, but it was all the thing back in the 90s. So it was spending time in the library and I was checking out books related to real estate investing, and they just clicked, you know.

Yeah. Even though the books in ⁓ high school, they they were not clicking, but these real estate books, they were just clicking. I understood them. And I would read one book two, three, four times over until the middle of the night, and it just, you know, just clicked. It made sense. And ⁓ I over the years I’ve came up with this little trick. I’ll try to explain it to you. That’s it’s more of a visual, but I’ll get a as I mentor younger guys, I’ll get a handful of coins and I’ll throw them on the table.

And I’ll say that these pennies represent a single family, the nickel, maybe that’s a duplex, or maybe it’s five units, the dime, maybe it’s 20 units, and that quarter is a high rise. So I’ll show with these coins how it worked for me. That first little penny was a little house I bought from my hometown, this little ⁓ tiny, tiny town in Kansas. I believe I sold a motorcycle and I bought this single family house for like twelve thousand five hundred dollars.

Today’s dollars, that would probably be up close to a hundred thousand. But I bought this little house, so I put this little penny representing this little house, you know, and then I buy another house, so I put another penny there, and maybe my next one was the duplex. And so I ⁓ you know, my goal was to buy one piece of real estate a year, and ⁓ that worked great for three, four years, and then I started buying more. So anywho, I line up these coins, I you know, I start out with some pennies and then a nickel dime and

Maybe I’ll get a couple dimes. And that’s when, you know, it really gets exciting. So maybe in year 10, it blows up, it snowballs, no stopping me. I what I do is I go back to that very first penny and I say, I’m going to harvest that house. ⁓ I’m not gonna sell it. I would never cut down a money tree, but that house has been sitting there for 10 years. I’ve paid down the debt, it’s naturally has appreciated in value.

You know, I build up my rents in the last 10 years. So that very first house that I bought for 12.5, I go back to my banker. By the way, I never ever would pay late on a ⁓ piece of real estate. ⁓ I go back to the banker, he’s thrilled to see me. So he loans me, I don’t even know, maybe it was 80%. So all of a sudden, on year number 10, now I have a ⁓ pocket full of cash that’s tax free.

And I’m have a way to pay it back with that first house, aka penny. So now I have a buttload of money. So now I can start buying the high rises. And now I can go back to that second penny and do the exact same thing. And next year I can go to the third penny. And then eventually I’m revisiting the high rises and harvesting the equity in those.

Cody Crabb (07:01)
Mm.

Hmm, gotcha. Yeah. So you’re using the early properties like stepping stones, you know, not selling. You’re kind of waiting for the equity to mature a little bit. So for someone that’s listening who’s newer, how do you know when you’re ready to do that? Like how what what is the point where you start to do the harvest that you said?

Del Hedgepath (08:12)
Well, you know, in that 10 years, I built up lots of knowledge, negotiations, you know, finding the right property. I knew how to improve properties to increase the rent. I build up knowledge on you know building materials and finishes and ⁓ building relationships with insurance, accountants, realtors. ⁓ so you know, you just build up your confidence and then you know, you’re you’re finally ready to start.

Harvesting and getting a pocketful of tax free money. And the snowball gets bigger and bigger and

Cody Crabb (08:46)
bigger.

Yeah, I think I I I enjoy your I enjoy your analogies. I th I feel like that really simplifies it. So I mean it’s it also seems like this is a safe way to scale. It’s it allows you to mature as your skills mature too. So what were your biggest skills that you had to learn ⁓ before you felt comfortable moving from kind of these you know single single family homes to maybe bigger apartment

Commercial stuff.

Del Hedgepath (09:16)
Well, y you know, I I was since I was in the business, albeit with a smaller property, single families, duplexes, maybe some five units, maybe seven units, you know, I every day I was learning something. ⁓ I was building my Rolodex. Your listeners probably have no clue what that is, but building my

Cody Crabb (09:32)
Your contacts app, yeah.

Del Hedgepath (09:34)
Making my contacts. I was building my team. My team is employees, you know, insurance agents, ⁓ lenders, designers, architects, accountants, building my team, treating my team well. So they wanted me to succeed. And when I say treat them well, it’s it’s easy. I would answer their their call, number one. I would never never too important or busy to make somebody chase me. I would ⁓ always pay their bill on time. I would get them a Christmas card.

So my team wanted me to succeed because they liked me.

Cody Crabb (10:06)
when did you notice things started getting more comfortable for you?

Del Hedgepath (10:09)
So you know, the skills and negotiating, finding the perfect property, ⁓ communication skills, contract skills, you know, design skills, architectural skills, ⁓ you know, just you you learn a little bit with each property that you ⁓ buy.

Cody Crabb (10:33)
Yeah, for sure. And and you you mentioned something that was underrated, I think. You said ⁓ you made people want you to win. And so I th how much of that growth do you think came from those relationships instead of just I got lucky with a a good deal somewhere?

Del Hedgepath (10:47)
Well, a lot. I think it’s important, especially with your employees, you know, ⁓ and your contractors, your vendors, treat them right and they they want you to do well. ⁓ d you know, just with the whole team that I listed there a second ago.

You know, I would never undercut a realtor to save a commission, you know, never go behind their back, n nothing like that. That that would not be me.

Cody Crabb (11:08)
D does a specific relationship come to mind like a with a banker, a contractor, a broker, somebody, that you were like that that specific relationship helped me level up?

Del Hedgepath (11:17)
Shoot

all of them, but one in particular. I have an architect and he’s also a designer. He’s kind of become my friend. I’ve used him on many, many projects, but gosh, now I tend to get free services from him. He ⁓ I bought a vacation home before. And ⁓ as a as somebody on my team, I, you know, invited him to use my vacation house without me. And he got down there and he just gave me all these free services and whipped it into shape with his ⁓ design ⁓ services and he

If I need something at my personal house, he’s would be right over here, you know, buying art at my expense, but using his skills to buy art or furniture or rugs.

Cody Crabb (11:52)
Well you know, I think that’s a great example too, because I’m sure that’s not a one way street. I mean the way that he’s the way that he’s acting it makes it makes me think you’re probably doing a lot of stuff back for him as well. I mean, is that is that would you say that’s the case?

Del Hedgepath (12:04)
Sure, referring him to family and friends, always paying the invoice on time, not beating him up too much on his invoices. Sure.

Cody Crabb (12:12)
Yeah, there’s definitely something to be said about a relationship where you kind of Yeah, don’t worry about it, it’d get me next time or like, yeah, I can stop by and kind of having that both ways where you can provide some value to someone else. I mean, that’s that that’s hard to replace if if you were to lose something like that. I mean that’s a that’s a huge deal in this industry.

⁓ so pivoting a little bit here, you’ve you’ve kept everything with within about six miles of your front door is something you told me. ⁓ that is something I find very smart, but ⁓ and I’m a little bit like, why doesn’t everybody do that? why was that such a big rule for you right up front? And what do you what advantage do you think that has given you?

Del Hedgepath (12:48)
Well, I learned from a very young guy that no matter, you know, how deep your pockets are, or you know, no but no matter how big your head gets, you only have twenty-four hours in a day. And you need to spend them wisely. And I ⁓ growing up, I watched my mom drive ⁓ one one trip to work. It was an hour away and an hour home, and I just knew I was not, you know, spending my time, my energy, my resources on a highway.

⁓ you know, I wanted to work my entire I don’t know, eight hours or ten hours or whatever you want to fill in, but I wanted to work the entire time. I didn’t want to be on a plane or, you know, in a car. Yeah. And it has served me really well.

And yes, all all my properties are within probably six miles of my front door. ⁓ you know, I can drive by on weekends or during the week. I can walk, you know, the corridors or the pools or the lobbies. I can keep an eye on them. ⁓ so it’s really worked well. Something else I’ve done that I tell my mentors is I’ve came up with a way to cut my expenses in half on multifamily. And, you know, my mentors are like, yeah, all right.

Cody Crabb (13:55)
Yeah.

Del Hedgepath (14:32)
Maybe not, maybe not quite 50%, but real close. And what I’ve done and why others don’t do this, maybe they do, I don’t know. But I have tried and have been successful in buying ⁓ multifamily either side by side or within the same block. So, you know, my property manager, they’re making, you know, 70,000, I’ll say, whether they’re managing this one property or whether they’re managing two.

So immediately I cut that expense in half, the the office expense, the advertising expense, the phone expense, you know, the internet, ⁓ the one maintenance man, the housekeeper, you know, they can one lawnmower can mow two lawns as, you know, that kind of thing. So that has really worked well for me is to buy side by side or almost side by side properties.

Cody Crabb (15:21)
That’s interesting because I feel like people kind of say like, well, yeah, obviously you’re gonna wanna be able to have it close enough to keep an eye on a lot of times, but they don’t really talk about it as a strategy, like as literally part of the money making process. And I think that’s I mean, you I think you hit the nail on the head. You’re kind of optimizing a lot of things when you get things close like that.

⁓ so one thing that stood out to me before we started is that you said ⁓ it was a rule for you. ⁓ so why was it a rule? I is it just because you didn’t want to spend time traveling or were there there are other things too?

Del Hedgepath (15:51)
As far as buying for six miles from my house.

Cody Crabb (15:54)
Yeah, yeah, ’cause it seems like that that’s something that you’ve really I mean, and w and just to kinda emphasize this, like we’re not talking about like a handful of houses here. Like we’re talking about a lot of doors here. So like this is something you really had to really, really select ⁓ deliberately. So was there anything else behind it besides that? Or was it just like saves you time, saves you money, and that’s all you need, really?

Del Hedgepath (16:16)
You used the word rule. I think I used the term goal.

Cody Crabb (16:20)
I

think you’re right, yeah actually, yeah.

Del Hedgepath (16:22)
And again, written goals. If they’re not written, it’s a dream. Dreams don’t come true. Dreams don’t come true. but as part of my written goals, yeah, you know, I wanted to work my entire day. I didn’t want to carve off, you know, I don’t a couple hours a day or a week to be driving, you know, out south or east or to get on a ⁓ plane. ⁓ it has served me well. ⁓ let’s talk about my goals.

Yeah, sure. Yeah, I like to say that your goals have to be written. And I you know, sometimes I tell my mentors this and they’re like, okay, well, my goal is by the time I’m 30, I want to have a net worth of five million, but that’s not really how the goals work. I like weekly, monthly, quarterly, yearly, and long term. And I don’t do goals anymore because you know, I’m already I’m already there. I’ve already I’ve already reached my goals. Maybe in my head I’m working goals and I don’t realize it, but when I was, you know.

twenty, twenty-one, twenty-two. ⁓ my goals were like weekly, you know, I wanted to read at least two real estate books. I blew that goal away. I wanted to visit ⁓ probably two open houses. Monthly I wanted to make an offer to buy on at least one piece of real estate. Maybe not necessarily thinking I was gonna close, but it helped me to build my confidence, it helped me to read and understand contracts, it helped my negotiation skills. Yeah.

And let’s see, yearly I wanted to close on at least one piece of real estate. And you know, I blew that away. And I think when I was in my early 20s, I wanted to have a net worth of a million dollars by the time I was 30, I want to say, and keep in mind, you know, a million dollars 30 years ago is more than it is today. But ⁓ that’s what I like to see for goals daily, weekly, monthly, quarterly, and yearly.

Cody Crabb (18:10)
Yeah, I I I like that too, ’cause when you when you say something when you say a number like that, it sounds terrifying, but when you kind of break it down, you kinda go, well, I could do that. It it really then becomes about consistency more than the actual difficulty or not of the goal, because it’s kinda like working out. Like if you worked out every day for fifteen minutes, that’s gonna serve you way better than it would, you know, working out once a week for an hour.

or or longer ’cause it’s just you you are just you’re never gonna miss it ever, ever, ever.

How has consistency played a role in in that amount of success for you?

Del Hedgepath (19:27)
Sure, definitely. De definitely has. You know, always had those goals, you know, right there in the corner of my ⁓ desk.

Cody Crabb (19:34)
Did did you do anything besides write them down to kind of remember and have like what what did you have how did you have kind of floating around you all the time?

Del Hedgepath (19:42)
⁓ he you know, I I eventually they became, you know, part of my daily routine and I didn’t have to revisit the written format, you know, every day. ⁓ and you say

Cody Crabb (19:53)
You

just mean they’re concrete. Like you you have to like they gotta be like set where they’re at where they’re at.

Del Hedgepath (19:59)
Right. And it’s not a struggle as it you know, it wasn’t like I ⁓ you know, struggled to do it. I was, you know, into it. I was passionate. I was ⁓ you know, I was living today like nobody. So tomorrow I could live like nobody. I could see the rainbow at the end of my at the end of the tunnel.

Cody Crabb (20:16)
Yeah. Well it’s and it’s a lot easier to ⁓ you know, eat ramen every day for a month, so to speak, when you know that at the end you get the big you know, you get the fancy the fancy meal to as an example, you know, ’cause I think it’s it’s a lot i if you just go, well, I’m gonna starve forever, you know, that’s that’s not sustainable. But if you say, I’m gonna ⁓ you know, really pinch pennies for a year and then use that to do something, I mean that’s there’s an when there’s an end in mind, it’s it’s doable. So

The it’s to me it sounds like, you know, the written goals give you the target, but it’s the actual daily and weekly actions that make it a real thing. So someone that is listening that wants to build wealth, they want to maybe do some of these big goals that you mentioned, but they feel pretty overwhelmed. What’s a boring goal that you that you would tell somebody to start with that is maybe not the most exciting, but with consistency, it it’s gonna have a massive payoff?

Del Hedgepath (21:09)
Well shoot, I advise, you know, put down the the phone, you know, and the the Facebook and all that, unplug the TV and read. ⁓ although these days I guess you’re using your phone to read, but educate yourself, you know, if real estate is what you’re going for, learn everything there is ⁓ about it. ⁓

That’ll give you confidence and then you know when you’re ready to make your first ⁓ transaction, you’ll be confident, you’ll you’ll have some negotiation skills behind you, you’ll know how to ⁓ offer a fair price.

Cody Crabb (21:40)
Yeah. Yeah. And I that’s really good. And I think that’s probably the through line here. Like written goals, education, relationships, and then kind of one one of the one of the things I liked about the one of the goals you shared was just making an offer was one of the goals. Like what you said once a month, I believe. Like i that that just makes it like, well, I even if I’m not gonna do it, I’m I’m even if I’m not gonna pull the trigger fully, I gotta at least make an offer. Like I like the idea that it’s just it’s just what you do. When it becomes just a habit

You know, it’s it builds by itself. You almost don’t even have to it it b discipline is hard, but like it’s just a habit. It’s just what you do. So I I think that’s a really interesting way of looking at it for sure. ⁓

Del Hedgepath (22:21)
Yeah, let’s talk about creative financing, Cody. Yeah.

Cody Crabb (22:23)
Let’s

do it actually. I was actually just gonna ask you ⁓ n next about kind of if you did get started that ⁓ with that low of a ⁓ entry point, you know, I would love to hear some of the ways that you’ve some of the things you’ve tried as far as creative financing or some of the things you recommend.

Del Hedgepath (22:39)
Well, I think that is a stumbling block to a lot of ⁓ you know, of the youngsters is ⁓ how the heck am I, you know, I live in an apartment, I have maybe I have school debt, maybe I have a vehicle debt, and you know, maybe my income is 50, 60, 70 a year. How the heck am I gonna save up for that and first investment property? And I would agree, I would concede that first one could be the ⁓ trickiest. ⁓ how I did it, I actually sold a motorcycle.

⁓ you know, the first handful of properties I bought I bought, I had no knowledge of creative financing. ⁓ but it dawned on me if I was really gonna get my snowball going, I needed to start using OPM, other people’s money. So maybe I bought three or four or five and then it dawned on me I needed to get, you know, into some creative financing. ⁓

My ultimate goal when I was closing on a piece of real estate was to not only go to the closing table with no money from my pocket, but I wanted to walk away, not only owning a new piece of real estate, but I wanted extra cash in my pocket. That was my extra, or that was my ultimate goal. I wasn’t able to do it at every closing, but I was ⁓ successful in doing it on quite a few. ⁓

I’ll give you an example of how that works. ⁓ on the very first property I bought with ⁓ zero out of my pocket, but walking away with cash in my pocket.

Cody Crabb (23:59)
Z

Del Hedgepath (24:03)
It’s actually in Lawrence, Kansas, home of KU. It was right there, walking distance to campus. So I knew immediately the property was a winner, you know, walking distance to a major campus, you know, how how much better could you get?

And it was this big ⁓ three-story house. Although years ago, someone had subdivided this huge house into seven apartments, had a realtor sign out front. ⁓ and number one, I knew the seller was a don’t wanna. And that’s who I’ve always tried to do business with is don’t wanna’s. And the don’t wanna, I you know, I had a I built this skill. I could find the don’t wanna, I would stand at the end of a block and I could find it.

‘Cause consistently that don’t wonder he had one of these things going on. The mailbox, you know, was either at a twenty percent slant, he had something on the front porch that didn’t belong, whether it be a washing machine, a couch, maybe a couple of tires.

Cody Crabb (24:58)
I’m thinking of a couple of houses I pass every day. Yeah.

Del Hedgepath (25:01)
Okay,

they’re don’t wanters. You know, consistently there’s a broken window on the top floor. You know, the flower beds are overrun. That guy, he doesn’t want the house. He’s not proud to own the house. His wife doesn’t want him to have the house. The neighbors don’t want him to have have the house. He’s a don’t wanna. you know, he jumps for joy when he gets your phone call. I’m getting off track. back to that house in Lawrence. I knew this guy was a don’t wanna. This particular one, he happened to have listed it. I like to.

you know, work with sellers that haven’t listed yet. But this particular one, he listed it. So I call, I have no idea how I remember the name. This is 35 years ago, but I call Lita, the agent. She shows me the house, seven units, maybe three or four of them are vacant. You know, it’s pretty dilapidated, but again, a great location, lots of potential. And ⁓ you know, this was roughly 1995. So back then

He was asking, I want to say 79,000 for this house. Today, you know, that would be maybe six, six hundred and fifty thousand. But he was actually asking seventy-nine thousand. So how we ⁓ how we made this happen, ⁓ let me think here. Number one, I asked Lita, the realtor, you know, she was making I assume six percent. I told her to make this happen. I needed her to do a carry back on her commission.

She did. She let me make payments for I assume 24 months. Never missed a payment. So that was a little bit of cash in my pocket, was Lita’s commission. I told the seller ⁓ he wanted 79. I told him I’d pay him 90. And so when he got through jumping up and down, you know, celebrating, I’m like, hold on, hold on, hold on. I’m gonna pay you 90, but at closing, you need to give me whatever it was, maybe it was 22,000 back.

And in our contract, we’re gonna call that deferred maintenance. So I’m paying you 90, but at the closing table, you’re giving me 20,000 back for deferred maintenance. ⁓ and let me think here. I told the seller he had to do a maybe a carry back of 20%, maybe 80% was coming from a conventional vendor. ⁓ I set the closing date at in the middle of a month.

So that way I had 60 days worth of rents before I had to take rents and pay my lender. So as it you know all unfolded, I ⁓ you know, got a house in a great location. Everybody’s happy. I would never dream of making a late payment to my lender, my realtor, my seller. And then, you know, I got in there and scrubbed and painted and you know, fixed these up. ⁓ I spent my time and energy on kitchen and bathrooms, curb appeal.

Yeah. You know, instantly got all seven of these rented, jacked up the rent. And you know, that house was just a real ⁓ money tree for years and years. I finally though I moved out of Lawrence and I did ⁓ sell that house and you know, probably bought a you know, a little apartment building with the proceeds, can’t remember, but so lot you know, lots of creative financing ⁓ ideas, you know, using other people’s money.

Cody Crabb (28:00)
Hmm.

Del Hedgepath (28:06)
Often some of that money’s coming from the cell.

Cody Crabb (28:09)
Yeah, I find that really interesting. So can you give me like I don’t know if I’ve ever heard of the, you know, you I’ll pay this amount but you give some of it back for deferred maintenance. I thought that was interesting. So like what’s what’s the kind of for our listeners that that sounds a little strange to? Like what’s the logic behind that exactly?

Del Hedgepath (28:25)
Well, it it works more so in ⁓ you know, a local ⁓ lender, you know, your bank on the corner. ⁓ and I can see that today’s climate’s a little bit different than it was in the early nineties, but it’s still doable. ⁓ especially if you have a couple ⁓ pieces of real estate under your belt that’ll give that lender a little bit more comfort. ⁓

It’s a way to get into a property with none of your own money. Sometimes the lender might want you to put that deferred maintenance in an account and draw it out, but maybe you’re doing the work yourself. Maybe you’re doing an exterior paint job and you’re charging it back, you know, and getting, you know, fill in the blank that money back in your own pocket. Nobody says you can’t physically do the work.

Cody Crabb (29:07)
Yeah, you know, I actually really like this because when most people say creative financing, what they mean is go find someone else to fund it or something like that. But when you say it, I fe I hear what you’re actually saying is like stacking a bunch of different little, you know, creative ideas on top of each other because it it it wasn’t just one thing. You mentioned like multiple little strategies there that kind of made it all possible for you.

Del Hedgepath (29:30)
Right. And here lately, you know, I’ve I’ve ⁓ that scenario that I told you I was probably 25, I’m 62 now. And not too long ago, I bought a really nice property in Kansas City. ⁓ 50 apartment. Actually it’s a hundred year old school, so it had fifty apartments, an event center, and lots of ⁓ offices. And I used my creative financing on that.

I knew the sellers were don’t wanna they lived out of state, they had lots of vacancies. ⁓ what was the deal? So I think I went to my lender, they probably gave me 75%. I told my seller they had to do a carryback of 20%. ⁓ but another trick that people can’t believe I did it. But ⁓ in my ⁓ purchase contract to these sellers of this.

You know, pretty sizable multifamily property. And actually, it now that I think about it, it not only was this big hulking red brick schoolhouse with apartments and event center and offices, it also included ⁓ roughly 12 houses and duplexes that abutted this property. wow. So it’s pretty sizable, it was in the $10 million range and pretty sizable piece of real estate in Kansas City. Well, anywho, in my purchase contract, I did a clause.

That said the sellers would cooperate with the buyer if I chose to pursue their insurance carrier on hail damage on a roof. So as it unfolded, I did find out there was hail damage on the roof. It happened, who knows, a couple years ago. so my seller

It was their insurance policy. So they had to notify the carrier. Hey, we don’t own the property anymore. It doesn’t matter because the hell damage was when we owned it. And you, Mr. Carrier, had coverage. So long story short, the someone else’s insurance carrier wrote me a sizable check, you know, a couple hundred thousand for a new roof. ⁓ and it didn’t ⁓ hurt me on renewals because that’s not my insurance carrier. So a little trick.

Cody Crabb (31:32)
Mm.

Del Hedgepath (31:33)
To do that really worked out good on this particular case.

Cody Crabb (31:36)
Yeah, I think that’s a great example because it shows creative financing is not just one thing. It’s knowing the asset, knowing your situation, knowing the seller’s situation, and kind of knowing what you can get away with, for lack of a better word. You know, well knowing what you can ask for that they will

maybe ⁓ be willing to execute with you. ⁓ so we’re we’re kind of running out of time here, but I would love to, you know, if somebody wants to connect with you, they want to learn more about Del Properties or follow what you’re doing in Kansas City, where should people go online to to find out more?

Del Hedgepath (32:05)
website Del D E L Del Properties Kansas City.

Cody Crabb (32:09)
Awesome. So d is it delpropertieskansascity.com?

Del Hedgepath (32:13)
actually I take that back. Del Properties K C.

Cody Crabb (32:15)
delpropertieskc.com Okay, cool. Well, yeah, I I love this. I think people are I think people listening are gonna get a lot out of this, especially the idea that like building wealth is not necessarily an event. It’s like a kind of lifestyle change. You gotta do the boring stuff and you know it I th I I think that that sounds so much more doable to a lot of people than just like ⁓ you get lucky and something happens. You can kind of make some small changes over a long period of time and

And things can start working out. So thank you so much for sharing this with our audience. ⁓ and thank you, listeners, for giving us some of your time too. If you got something out of this episode, make sure you follow us. make sure you follow Del and go check out his website. ⁓ and don’t miss another episode so you can get more great conversations like this one. Del, thank you so much. I really appreciate you giving us your time today. Yeah. Yeah. You have a good one.

Del Hedgepath (33:01)
That was fun. Thanks.

All right. Thanks a lot.