GUEST: RYAN + JENNY PENNOCK

Ryan and Jenny Pennock came to the real estate industry after closing down their indoor gun range in 2018. That was a low point, but they dove into the real estate business. Ryan did fix & flips, and Jenny became a real estate agent for Keller Williams. They’ve been landlords, wholesalers, and rehabbers, and experienced the headaches that come with those facets of the business. (You’ll hear Jenny describe the headaches of owning and renting a duplex.)

After hearing Eddie Speed on several podcasts, they enrolled in a 3-day class and have been enthusiastic note investors ever since. Even though they haven’t completely given up their other real estate endeavors, they both realize the potential of notes to make transactional income for today and build wealth for tomorrow. According to Ryan, “Notes represent freedom, flexibility, and security.”

For 10 years, Ryan and Jenny Pennock were the owners of one of the largest indoor shooting ranges in the country. But in 2018, they had to close down the family business and they lost all their retirement and savings. That’s when they got into the real estate business. Ryan started rehabbing and wholesaling, and Jenny became a licensed real estate agent. They were able to make a living to feed their family, but those facets of the business can take a toll on your personal time.

Jenny tried landlording and quickly realized the downside. She bought a duplex that on their pro forma spreadsheet looked like a great investment. But that paper didn’t let them know they’d have to put on a new roof plus install a new HVAC system. And half the duplex sat vacant for months.

Ryan happened to hear Eddie being interviewed on various real estate podcasts and decided to check out NoteSchool. They took their first 3-day class at the beginning of 2021. They both are still involved in other facets of the real estate business, but notes has opened up a new world of flexibility and creativity that they didn’t have before.

They like being able to make transactional income for today, plus building wealth for the years ahead. According to Ryan, “Having the ability to move forward and build a financial future for our Kids means the world to us. Eddie, you and the entire team at NoteSchool have given us that opportunity! We are truly grateful for that. We have the flexibility to explore our business and grow it as we see fit. Notes are the epitome of flexibility. There are so many ways to create them, sell them, modify them. It’s very exciting and refreshing to know that we control the Chalkboard!”

TIME STAMPS:

2:00 | Brian introduces Joe Varnadore with the latest news: Where are older and younger Americans settling? Florida is the #1 state for retiring, followed by other east coast locations. Younger people are moving to Austin, TX, then St. Louis. Three of the top ten cities for young people are in Texas. Austin’s booming housing market is redefining what counts as “luxury” real estate.

5:30 | Joe introduces today’s guests: Ryan and Jenny Pennock rom Wichita, Kansas. Joe then introduces Eddie Speed.

7:10 | Jenny describes their previous life before note investing. They owned an indoor shooting range. But then the business closed so Jenny became a realtor and Ryan started doing fix & flips. Then they came across a podcast with Eddie. When housing prices got high, they enrolled in a 3-day seminar and have been in notes ever since.

9:50 | Joe defines Ryan and Jenny as “action takers.” Ryan defined his first profit as a note investor on NotesDirect as “way too easy.”

11:40 | Eddie describes how a person doesn’t have to give up their other ventures to go into notes. Both Ryan and Jenny have stayed involved in other facets of real estate. They maintain focus with two kids. Ryan spends 15 to 20 hours a week as a note investor.

14:00 | Eddie describes how burned out landlords thought they were getting an investment but found out they bought a job. Jenny describes buying a duplex to rent, and the hassles of dealing with problems (roof, HVAC repairs, roaches, vacancy). She finally sold it and was glad to lose the headaches. They describe how they now target burned out landlords with a “tax strategy” to defer capital gains taxes with the “installment sales method.” The landlords then owner finance the property to Ryan and Jenny. The landlord makes profit plus monthly income, and less aggravation.

20:15 | Ryan and Jenny find a “penalty box buyer” to sell the property to, and do seller financing to their buyer. They’re building long term wealth. They plan to do more partials for future income plus transactional income now. Eddie says Jenny can make double to quadruple the income by reselling the house than by listing as a real estate agent.

22:40 | Ryan describes the freedom and creativity of note investing. When owning a property, he can fix it, sell it, or rent it. That’s it. But with notes he has many different strategies. He can make transactional money, plus build wealth over time.

24:40 | Eddie describes Ryan and Jenny as a perfect example of adding note investing to their existing real estate efforts. They’re focused and determined.

27:40 | Brian comes back and says he can relate to their story of having to switch careers. And he can adapt his work to his lifestyle, instead of the other way around.

29:15 | Brian introduces our sponsor, NotesDirect and Feeding Frenzy Friday.