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Show Summary
In this conversation, Eric Partin discusses the importance of a team-based model in real estate, focusing on how realtors can stand out in a crowded market by addressing capital gains issues for their clients. He shares real-life success stories, emphasizes the significance of building relationships with realtors, and highlights the need for effective communication. Eric’s passion for helping realtors and their clients navigate financial challenges is evident throughout the discussion, showcasing strategies that lead to increased transactions and client satisfaction.
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Investor Fuel Show Transcript:
Eric Partin (00:00)
Their cost basis is $400,000. But in today’s inflated market, they want to sell them for $1.2 million was the listing price. They hesitated to sell because of capital gains. Frankly, the deal was off. Got brought to the table. I talked to the client, worked with the realtor. Long story short,with our tax strategy, they were able to sell because we got them a $393,000 tax deduction. And then even better, they’re going to receive $5,457 as an income per month for 20 years.
Q Edmonds (02:11)
Hello everyone. Welcome to the real estate pros podcast. I am your host Q Edmonds. Super excited to be here today. I have another fantastic guest. Listen, he knows his lane. He want to work with agents. He want to save people money. The agents are expert at what they do. He’s an expert at what he do. And he, and he know how to save people money. He knows how to help people as they moving on and try and try to.have financial wealth and making sure the money is in the right place and actually you use your money for your best advantage for what you need to do. And so I’m super excited for you guys to get to know Mr. Eric Partin. Mr. Eric, how you doing today, sir?
Eric Partin (02:53)
Mr. Quentin I’m doing great. How are you?Q Edmonds (02:56)
Man,I’m doing great. I’m excellent. So excited to do this podcast with you. so Eric, listen, I want you to take us into your world, man. I want you to tell us what you’re mainly focused on these days. I would love for you to give us a little origin story of how you guys started doing what you do and then tell us what part of the world you’re in as well, man. And so Mr. Eric, sir, you have the floor.
Eric Partin (03:19)
Thanks, Quentin. I’m Eric Partin. As he said, I’m the founder of the team-based model with Landmark 828. 828 is our area code with our website. We’re in the beautiful mountains of Western North Carolina, Pisgah Forest in particularly. is a tropical rainforest. It’s beautiful. But what my real passion is, Quentin, besides I love where I live, is we want to help realtors increase transactions.and to be the number one go-to agent in their area by addressing an interesting client ⁓ tax concern. It’s capital gains, Quentin. I really have a passion about capital gains. People work their whole life with the inflation.
with the houses and then they go to sale and everybody forgets about capital gains. So I’m very passionate about helping realtors have an edge up. What I’ve learned and what I really want to do for your podcast listeners, for those that want to talk to us is how do you stand out in a crowded sales environment? Simple, don’t sound like everybody else. And if we teach you to work with us in our team-based model,
We don’t have to hide behind capital gains. Bring it to the center. Let’s help them eliminate it. Let you be the hero. Let you be the quarterback. Let you stand out in your area where all of a sudden they say, that realtors different because what we’ve also learned is fish with the same scale school together, urge the same or flock together and people tried together. If you can save someone hundred with our help.
hundreds and hundreds of thousands of dollars on capital gains, you are special and they will tell everybody. That’s my passion, is to help realtors get more transactions, more closings, and not hide behind and worry about capital gains. Let’s hit it together. Let’s hit it off at the pass.
Q Edmonds (06:14)
I love it, Mr. Eric. Thank you so much, man. I want to know where does this passion come from? Like, where did it enter into your mind and your heart to really want to help people? Where does this passion come from,Eric Partin (06:29)
Quit a long time ago, like 35 years ago, I got out of UNC Asheville.University of North Carolina Asheville, an economic major. And it was, you I learned about the market and ups and downs and supply and demand. And then when I went into the broker world, the insurance world, and it’s all about growing money, growing money, growing money. That’s all we were taught to do is grow it. And as I matured through that, there’s more strategies that need to be put in about protecting the money and saving it from taxes.
know, there’s 72,000 pages in the IRS code. There’s only 2,000 of those pages are what you have to do in compliance. These are round numbers. The other 70,000 are what you can do to avoid taxes. So I’m not a CPA or a tax person.
I’m a team-based model strategist, but we’ve learned how to help you with techniques to help your clients eliminate the capital gains. And I just found my niche. Quentin, I just love it. It makes me happy. I sleep better at night. I helped a realtor get more listings in the closings and the transactions, and the client sleeps better. No buyer remorse when they figured out they had issues. Quentin, let me give you an example. This is my favorite one. Let me tell you about Mary and Jesse.
They’re in their mid 80s. They have three rental homes and were tired of being a landlord. So they went to sell. Here comes the problem.
Their cost basis is $400,000. But in today’s inflated market, they want to sell them for $1.2 million was the listing price. They hesitated to sell because of capital gains. Frankly, the deal was off. Got brought to the table. I talked to the client, worked with the realtor. Long story short,
with our tax strategy, they were able to sell because we got them a $393,000 tax deduction. And then even better, they’re going to receive $5,457 as an income per month for 20 years.
They’re in their 80s. So if they pass, that money will go to their children or their grandchildren. So what’s nice about this is they were going to sell it for $1.2 million.
have an $800,000 increase with the percentage of capital gains, depending on which state you’re in, et cetera. But this couple is going to receive, after 20 years, with the deduction and the payments, $1,309,000. And they’re thrilled. It became a legacy plan. And they told everybody about this realtor. Wow, I wasn’t going to sell. And they fixed this problem. They brought Eric and his team in. And it was just one of the greatest transactions.
The 85 year old couple had peace of mind, was able to sell their rental houses. The realtor made their commission and they were happy and we got to do our thing. They paid us our fee and everybody wins. That’s my favorite example.
Q Edmonds (09:36)
Yeah, man, thank you for sharing and that that just really highlights that you’re really really helping people right and I love the age range that you’re really helping people these are people who are Probably already retired or definitely looking to retire and you’re really helping them Keep more money into in their pocket and their bank accounts and so you’re really you know being true to what you’re saying You’re really you want to help people and you really are helping people and I really appreciate that. I really really doEric Partin (10:41)
You remind me another one. Sure. The older folks need it because they’ve got that low cost basis. They’ve owned that house for 50 years. They have a cost basis problem with the capital gains and the inflation. I have another friend that we work with. His name’s Nate. He’s a spec home builder. He builds them and then flips them. And what he told me, what we’ve learned is we started working with him.The old model was to build it. You have to hold it for two years because he doesn’t want to pay capital gains. His problem is, wait a minute, he has a building mortgage on that or a loan. So he’s got to his payment. He’s got to pay the utilities and it just sits there for two years. He said, that doesn’t work. I need my cash flow. need to go. But he’s tired of getting hit with capital gains. So immediately.
He starts working with us and now they can sell it immediately. go through the same process with my first example, but now Nate’s getting payments over 15 years. Out of that transaction, you can pay off the loan, take his payments, no capital gains, start over. So if you are a realtor that’s helping spec builders, you’re going to get more transactions quicker, more inventory, no delays, know, the more listings.
And you’re helping that we are helping that spec builder have a better business model on how to get out of capital gains and a structure with the business when they want to go selling. We found each other 20 years ago because he’d already retired over the fact that he could get these payments. So it doesn’t always mean the older couple, can be a younger couple as well.
Q Edmonds (12:15)
Yeah. Yeah.No, I absolutely love it. So let me ask you, what’s the, what’s the next real goal for you? Like what, what, are you looking to do next?
Eric Partin (12:39)
I would like to help realtors. My team is not just me. We have folks that are on our team-based model all over the country, know, Florida, Texas, California, you know, Northeast. We would like to have this concept of we help realtors all across the country and become more of a household name. When there’s capital gains in real estate, you get with Eric and Landmark 828 or one of our specialists, you know, one of the people on the team.Yeah, that’s that’s the real long term goal. In the short term, when I just like to keep helping realtors one at a time, but you know, and I like helping the people. Yes, but you said it turns me on. I like being able to go to sleep at night knowing that I helped somebody sell their home. Real estate wins, eliminate the taxes the best we can. That’s just my passion.
Q Edmonds (13:33)
Absolutely, no, I absolutely love it. Listen, I want to ask you this because you talk about working closely with agents. You want agents to thrive. You want them to really, ⁓ you know, you want to help as many of them as you can. So I want to get your perspective on relationships. Like, is building relationships important to you? Like, what are some of your strategies on the way that you build relationships? So two parts.Is building relationships important to you? If they are, how do you go about building those relationships?
Eric Partin (14:08)
Quentin, yes, we’re not about a transaction. We’re about relationships. would like, unofficial partnership, it’s not like it’s a contract. We’re just two professionals that work together, but we’d like to get to know that realtor, find out what their goals are, how do I help them? know, a lot of them, Quentin, they have personal needs. One of our clients,She’s the solver, a realtor. She sold her spec house last year and forgot the call me that I didn’t know she sold it. And we want to make sure that relationship is there. So when something changes in that realtors need, she sold her personal house. Had the capital gains. She’s on Medicare. So Irma came in. If we had been communicating better, which is my goal, I would have helped her eliminate that. So I definitely want to stay in touch.
You know, once a quarter, every six months, something just to touch in, how’s it going? What can we do to help you? You know, how are your listings? Did you get some closings? What can I do to help? Quentin, I’m not real sure why. I just learned standing out in that crowded environment, you have to sound different. And when they come together with us as a team based model, they’re different. So yes, we need a relationship to do that. ⁓
I like talking about my kids. I’ve got my, my youngest is having twins. I want to know about their life. I want to know about their kids. Do they like football, basketball? mean, you know, we’re, going to become a team. It’s not just a transaction.
Q Edmonds (16:25)
Yeah, yeah, I absolutely love that. I love how you said it’s not just about transaction. I have a saying why I say people are the real currency, like investing in people. That’s the real currency. Because when you invest with people, you’ll get a return. And that may come through money, but that may come through resources, referrals, connections, and just authentic friendships. And so I’m with you. I always say that people are the real currency. And it sounds likeThat’s your, that’s your motto. That’s your mindset as well is that this is just not transactional that you really, really care about people.
Eric Partin (17:00)
And, and Quentin, it’s just a semantics word, but now it’s very, very important. It’s not a referral. You’re not referring people to us. It’s an introduction to somebody on your team. Referrals, you know, they can get a little weird. If I do a great job, everybody’s happy. But now the next friend is telling everybody what Eric did. If it’s an introduction from the realtor, they’re saying, let me tell you what my realtor did. I don’t know.Q Edmonds (17:23)
Yeah.Eric Partin (17:31)
I’m in the background. I want the realtor to get the glory. it’s a difference in the word a little bit, but an introduction to somebody on the team is better than saying, I have a referral, go talk to Eric. That’s the, I want team-based model introduction.Q Edmonds (17:46)
Yeah, I appreciate you saying I’ve never quite thought about it like that. And thank you for that perspective and that shift in mindset that this is not a referral. This is just an introduction, a team based introduction. And I love that. I think that’s a good, solid way to think about it again. So you’re not thinking about it as a transaction. You’re thinking about it as a real introduction to a real person for a real conversation. And so I absolutely love that.Eric Partin (18:15)
And Clint, we want to work, you know, I’ve been in sales now for 35 years. I want to help that realtor. Well, I want to learn from them too. This is a two way street. It’s a team. It’s a team, but here’s what I’ve learned. Let me give one more example of what we’ve learned. I want that realtor to be the hero. Why? Just think of yourLet me use another example, a 66 year old couple, Benny and Sarah, had sold their house and they had $600,000 of growth for the capital gains. Well, here’s this unexpected trigger with something called Irma, they’re on Medicare. Medicare Part B premium brown numbers is $200 a month for next year. When you have that extra $600,000 a year, it goes to $700 a month each for a year.
They had buyer’s remorse. They said they wished they hadn’t downsized. Not that they were mad at the realtor, but this is the whole transaction was ugly. What we would rather have done is show them how to avoid that Irma penalty. And the benefits to the realtor, you prevented buyer’s remorse and become the real hero for the client. And again, my goal for that realtor is we get your clients.
who are selling their homes with you or you’re listing them for them, become your raving fans. They’re telling everybody in your community, you gotta work with this realtor. They’re fantastic. They’re different. You gotta call them. That’s where the real magic happens. The rising tide will raise all the ships. And we just wanted to find a few realtors to start with. Long-term goal, yes, let’s go nationwide like crazy, but right now, whatever state you’re in, few more at a time.
Get to know some realtors that really got to work and help them.
Q Edmonds (20:07)
Yeah, Nope,Listen, I love it. absolutely love it. I appreciate your time. I appreciate your story. I absolutely appreciate your perspective. Listen, man, I’m so glad you came through. This is fun for me, Mr. Eric. I appreciate you,
Listen, so y’all heard Mr. Eric y’all got the y’all got the value
from this conversation, please make sure you’re subscribed. You do not want to miss out on amazing people that we’re going to continue to bring up. So Mr. Eric, I thank you again. And to everyone else, we will see you on the next time.
