Dyches Boddiford (pronounced Dykes) grew up on a farm in rural South Georgia, 10 miles from the small town of Sylvania.
Dyches attended the Georgia Institute of Technology, graduating with a BS degree in Physics in 1971, a MS in Information & Computer Science in 1972 and post-graduate work in 1973.
In 1980 he began to learn about real estate and buy property on a part-time basis. His first property was his own home, but soon was picking up rental properties as well.
Then around 1984, because of his travel schedule, Dyches began studying and purchasing discount mortgages. He saw this as a way to invest in real estate without the need to deal with the property itself. But even then, he continued to add properties to his portfolio for the tax advantages and appreciation.
In 1986 he formed The Oaks Group, Inc. to handle real estate related activities. The first purchase was an apartment complex.
After making a couple of job moves, the original company with which he had worked contacted Dyches and convinced him to return to them. Over the next few years he moved up to Vice-President of the holding company.
During 1991 Dyches was President of the Georgia Real Estate Investors Association (GaREIA). He was instrumental in securing the first permanent office space GaREIA enjoyed.
During the late 1980s, Dyches and another investor had researched the use of land trusts in Georgia. By 1992, they decided that because they were getting so many calls asking about trusts, they would teach a weekend class for GaREIA. Dyches also added a Corporation segment to the session to show how other entities could be used with the trusts.
Over the next couple of years, Dyches was approached by a national seminar promoter to teach Corporations for him. Thus the Corporate Fortress was born and has subsequently been licensed by an attorney to use with a presentation he makes nationally.
Dyches also developed his Mobile Home Money Machine course to teach others how to make money as he did in manufactured homes. When he began to develop subdivisions for mobile homes, he joined Newton Boykin in writing the book Deals in Dirt.
Dyches has written books and teaches seminars on Financial Freedom, Asset Protection, The Corporate Fortress, Limited Liability Companies & Partnerships, Real Estate Investment Using Self-Directed IRAs, Advanced Strategies, Business Tax Strategies, Estate Planning with Asset Protection, Guerrilla Bankruptcy Tactics for Creditors, The Mobile Home Money Machine, Deals in Dirt, Discount Notes & Mortgages, Private Money Lending  as well as other topics.
Episode Notes:
Narrator  This is The Norris Group’s real estate investor radio show the award-winning show dedicated to thought leaders shaping the real estate industry and local experts revealing their insider tips to succeed in an ever -changing real estate market hosted by author, investor, and hard money lender, Bruce Norris. The Norris Group proudly presents our 15th annual award winning event I Survived Real Estate. Industry experts join Bruce Norris to discuss the evolving industry trends, real estate bubbles, inflation and opportunities emerging for real estate professionals. All proceeds from the event benefit Make-a-wish and St. Jude Children’s Research Hospital. See Isurvivedrealestate.com for event details information on all our generous sponsors and to connect with our speakers. We want to thank our Platinum partners, San Diego Creative Investors Association, uDirect IRA Services, White Feather investments, The Collective Genius, MVT Productions, and Realty411.
Joey Romero  Hi, welcome back to The Norris Group Real Estate Radio Show and podcast. This week, we have part two of our interview with Rohny Award winner Dyched Boddiford. Hope you enjoy.
Bruce Norris  Significant mentor that influenced your life, not from the real estate world, Jack Fullerton and I figured out that we were in the same Jim Rohn seminar in 1981, oddly enough, so did you.
Dyches Boddiford  Jim Rohn, I was fortunate, growing as an investor and as a person, a lot of his teachings and all made me reflect on my situation and what I wanted out of life and I gained a lot from you. Before Jim Rohn was Zig Ziglar.
Bruce Norris  Oh, absolutely. Absolutely.
Dyches Boddiford  Zig has, did the same thing. He made me think about what I was doing and what I was wanting and made me take time to evaluate what I was doing.
Bruce Norris  Yeah, I really enjoyed Zig Ziglar. Matter of fact, I met him. I didn’t meet him. I talked to him on the phone one time. And I just loved, I just loved his energy. He was a, he was a great guy. I just called him out of the blue out of Texas. And he picked, he took the phone call and we talked it was great. Yeah. I’m just curious about this. I, there’s some times when I I talked to investors, and also just successful people, did you notice any spark of entrepreneurship when you were a kid that you had? I’m just curious if you did anything that was…
Dyches Boddiford  Well, I grew up on a farm and anybody who’s grown up with one farm knows you do, you wear a lot of hats. It’s not just the farming yourself, but you learn how to fix things, you learn how to weld and do electrical work, plumbing work so forth. So, I had a kind of an introduction to real property when I was growing up. So, I didn’t think of it like that. I kept thinking I was gonna get into some kind of business where I’d have 100 employees course didn’t realize employee’s work time. And I thought it was gonna go in that direction. That’s why I went to college and got degrees and I was gonna get out of work in that corporate world. As far as entrepreneurship, yes, I had a lot of interest but didn’t really act on it when I was in high school, looking at different things we could be done. So, I had somewhat of an entrepreneurial bent.
Bruce Norris  Now how about, how about Dorsie? I’m just curious.
Dyches Boddiford  Dorsie had a great childhood and growing up, I grew up enjoying her friends and our class, classes at school, high school, and she enjoyed Georgia Tech. She went there as well. And she learned, she enjoyed the learning but she also enjoys his social life not to the point of partying harder or whatever, but just enjoyed getting around people and having fun talking to them about what they were going to do when they got out and what, how they grew up and so forth. So, she’s much more of a people person than I was. But entrepreneurship that occurred which inside was trying to say what to do which kind of school She came to me and said, “Dad I don’t want to be in an office eight hours or 10 hours a day, I want to be able to get out and about or have some of my own, not depending on somebody else to give me. And I’d like to try to do the real estate like you’ve been doing, just over the years that you came to all games and plays, and so forth. And I like to be able to do that for my children.” So I said, “Okay, we’ll take six months and see how you do.” And she jumped into it. And she spent nights and weekends as well as weekdays, finding houses, flipping them, getting tenants in the rental houses, she got herself in a real good situation. So, now, she’s kind of taken off the last couple of years, because she’s had two little girls. And she’s taking care of them. But she’s still got a rental property.
Bruce Norris  Good for her. That’s very cool. What did you think…
Dyches Boddiford  I think when the kids grew older, she’ll get back out and do some more. Wished had more time.
Bruce Norris  Yeah. Well, but that’s, it’s, it’s served its purpose. It’s like, work for her to be at home Mom, that’s very cool. When did you, when did you first start teaching? What year was that?
Dyches Boddiford  It was about a year late after I went full time. So, somewhere ’91 is when I started.
Bruce Norris  Okay.
Dyches Boddiford  It really kind of by accident, I was president a local real estate club and I kept having people call me at nights and weekends, when I was at home asking me, “How do you do this?” “What about this strategy, that strategy?” And so I said, to another person who was on board with me. I said, you want to teach one day class on Saturday to answer some of these questions. So, we did that. And we made it I grew into a two day class. And then I had won the national promoters asked me about coming to doing helping teach a bootcamp. And I did that. And I kind of got away from the promoters because trying to always sales.
Bruce Norris  Yeah, I don’t like that either.
Dyches Boddiford  And that’s when I started talking to Pete Fortunato and Chuck Miller. And I had already been going to their classes, and I started talking to them about teaching and they gave me encouragement. And put me out there, while me and put me out of there and see what I would do. Fortunately, I was able to do pretty well.
Bruce Norris  Yeah, there’s, I think an audience appreciates somebody teaching a class without an agenda of please run to the back of the room. I hate that. I don’t like sitting in the audience for that. And I don’t like standing in front of an audience with, when there’s an agenda. I hate it.
Dyches Boddiford  It’s also unfortunately, there are a lot of beginners out there that feel like they’ve got to do everything they can find.
Bruce Norris  Yeah.
Dyches Boddiford On the subject before they can get out and do something at some point, you just kind of jump in and do, do the work, not worry about do you have everything exactly right.
Bruce Norris  No, you know, it’s interesting. What, what percentage of what you have bought in your life do you think included you being directly across a human being?
Dyches Boddiford  I’d say 80-70%.
Bruce Norris  Okay.
Dyches Boddiford  Sometimes you bought a package of material, whatever, and find out it really wasn’t what you were thinking it was. And you didn’t follow through with it. But it might have been just perfectly right on target for somebody else. Everybody’s different. And everybody picks different things that they are interested in targets, they want to go for.
Bruce Norris  I think, I think what I meant was the properties that you bought, did you most of the time meet the owners?
Dyches Boddiford  Ah okay, the properties. No, I did most of the time meeting owners I did in the beginning for sure.
Bruce Norris  Okay.
Dyches Boddiford  But then as far as buying some were I was dealing just with their representatives, because we were getting to be bigger properties.
Bruce Norris  Okay.
Dyches Boddiford  And, and then that makes a difference. Because who can who has the final say say what? So, you really need to be in front up. And sometimes that’s not even the owner. This is mother or his cousin who knows more about real estate and he does. You got to find out who is the trigger person is, one that can pull the trigger.
Joey Romero  Bruce can ask question?
Bruce Norris  Yeah, sure.
Joey Romero  Hey, Dyches, you know, investors throughout the career, especially ones that have been successful and, and had long careers always have a story of overcoming some pretty major adversity. I know Bruce has had, you know, some, you know, investors that we’ve spoken to, in our, in our network have gone through those. Can you talk about maybe one, one instance in your career where you felt like, you might have had to hang it up? And what did you do to overcome that? And how did you get through that?
Dyches Boddiford Good question. Right after I got married, I got to do bigger deals. And I really wasn’t prepared to do bigger deals, technically. But I was going to try, shop all the apartment complex, and got financing. And then I had good credit scores. And, you know, I’ve never done apartments or at least done rental property. So, the bank loan the money told me to do it. And that was a bad investment for me, because I was not prepared to be a apartment owner. Still working full time, I was trying to do a nice weekend and I thought it hasn’t hired a manager that would help me with, they just made the problem worse. And it was a lower lower end, low economic, high end apartments. And it took me a year and a half to get work out of that problem. And I literally lost, I’m talking about hard dollars, and I pay for lost hard dollars, I lost 110,000 when my net worth was barely beyond that.
Bruce Norris  Wow.
Dyches Boddiford  So, I lost a lot of sleep at night, thinking about how I was going to solve the problem and kept trying different things. And the only thing that kept me going is I had experience with real estate and has done very well for me in the previous six or seven years. So, I knew that I was just doing something wrong, and I couldn’t find anybody can really help me solve the problem, when it was more of a people problem than anything else. And I can’t go on with it. Because I knew the real estate was good. It’s just a matter of working out of the problem. I could have easily given up on my hands and file bankruptcy or whatever. But I made it work and made me appreciate the details a lot more.
Bruce Norris  You know, what’s, what’s interesting about how you face that, is that, that made, that end in the big part made you who you are.
Dyches Boddiford  We’re saying everybody is going to have some adversity in their investment career. And don’t think you won’t have it in the stock market. If you’re in the stock market. You have it there as well. Any kind of investment you do, you’re gonna have some challenges to go almost make you quit, and you just gotta have the grit to keep going.
Bruce Norris  Yeah, I want to like who I look at in the mirror, to be honest with you. I really, really do.
Joey Romero  I’ve heard Bruce talk about it. And I think, you know, I think that’s when your “why” has to be the strongest, you know, and that’s something that Jim Rohn you know, implanted you know, in a lot of these investors is like, if your “why”is strong enough, you know, there’s really nothing anything because you’re working for that “why”, you’re overcoming for that “why”, everything and you’re doing this for that “why”.
Bruce Norris  Yeah.
Dyches Boddiford  Determine what that is early on. And another value people don’t realize a lot of times as your “why” changes as your, as you grow, to grow, psychologically, review code and your business career. You got to constantly be reevaluating why you try doing it.
Bruce Norris  I agree with that. Probably narrowing down to last set of questions, are you, what do you think about the current change of interest rates? And what that probably will do to real estate prices? I’m just curious.
Dyches Boddiford  Well, you got two opposing factors, you got the interest rates going up, which typically in most markets will push house prices down. You got the supply chain limitation and labor limitations on building new property, new single family and multifamily housing. So, you’re not going to have as much product on the market as you had. So, this is where you got to determine which is going to be the most the strongest force, where there’s going to be abundance property, which we don’t see in the near future, or is it going to be a scarcity of properties because it’s just building part, and this harm being taken in? The buildings are not, out they’re building, are we gonna have a monetary crunch that keeps the interest rates high? Or will we go back like we were a year and a half ago where we had low interest rates and a plenty of money out there. And so it’s just, if I was a good prognosticator, I’d be a billionaire. And…
Bruce Norris  Well, you know, you’ve, you’ve brought up two things that are very valid. The other thing that I think is also in place is that over the last two years, you know, saying it from the beginning of 2022 go back two years, everybody in the world has had a chance to refinance their house at something that starts with the two or three. So, most of the inventory in every market that’s for sale is existing inventory. 15% or so new houses, but 85% of it is existing inventory. I think a lot of people are just gonna say, I’m good. I’m gonna stay right where I’m at.
Dyches Boddiford  No, I think you’re right on that. I’ll point another thing too, is refinance 2 and 3% are properties that you should be watching for the person move, or as a reason to sell the property.
Bruce Norris  Yeah, no, you’re right. Well, that’s, see that’s another thing that interest rates are so low that let’s say even if prices went into negative equity territory, they’d cashflow as rentals.
Dyches Boddiford  Yeah.
Bruce Norris  So, the person wouldn’t…
Dyches Boddiford  …have rentals.
Bruce Norris  Pardon me?
Dyches Boddiford  It’s a great time to have rentals.
Bruce Norris  Yeah, oh, my goodness, really is but that’s also pretty supportive of the price at, at a higher interest rate, too. So, if somebody was saying, okay, like, like in Florida, we had houses that were 250, go to 400. But we had rents go from 1300 to 2400. And so all of a sudden, your $2,400 rent payment compared to a payment of 400 grand a 20%. Down at 7%, it’s not inconceivable that somebody would say, Well, I’d rather own and have equity going up than just write a check for rent. So, interesting, interesting take.
Dyches Boddiford  And we’ve got a lot of people working remotely now. And companies being forced to offer jobs remotely, because many people are looking for that. And maybe with a remote job, they can be out in the middle of the desert, if they wanted to work as long as they got internet connection, and phone connection, so forth. So, a lot of things are changing, a lot of needs and desires are changing. So, we just have to see what happens next few years. I wish I could tell you what I can tell you this, historically, you can’t go wrong buying property for rental involves, the long game is worked out so far for the last 100 years or so at least, that we look back at. So, I wouldn’t not buy thing now because of high prices. It’s just a question of can you make the numbers work for your situation, you can think you should consider and not to the point of having a little beans and rice all the time. But the point that you can hold on the property and probably go up.
Bruce Norris  You know what’s interesting for the last few years, we have, you know, that Nixon library event where we have some people there that are influential in the industry, to the extent where you might be able to get some unusual policy passed, one of the best things they could do for the industry right now is have the existing loan base allowed to move forward either to a property that the same person is going to buy, can I please move my mortgage over there? Or to actually have that loan fully assumable where it’s at? That would be a very big help to the real estate agents of the country.
Dyches Boddiford  Yes, that was. I haven’t looked into that area a lot. But you’re right. It follows the economist and speak in the dinner. Actually have a lot of control within organizations they come from.
Bruce Norris  Well, we were invited to have a one on one lunch with the CEO of Fannie Mae last summer. And that was one of the topics that came up. So, while we were sitting there, I said, when interest rates crank up, man, you guys got to figure out how to make this as if these existing loans stay stay on the property and be taken over by somebody else. I mean, to me, that would be That would just be life saving for the industry. Because what’s going to happen now is you’re gonna have 50% of your sales, that’s probably going to occur. But that means a lot of people don’t have jobs anymore that are real estate agents or lenders. So just one of those. It seems like a decision that would be very easy for somebody in power to make. And yet I found that doesn’t usually happen.
Dyches Boddiford  Sure. Bureaucracy doesn’t move very fast.
Bruce Norris  Oh, no, it really does not. So. Well, Dyches thanks so much for taking time out of your day to talk with us. I really appreciate it. Thanks for all you’ve done for the industry and was an honor to give you the Rohny Award really was.
Dyches Boddiford  Thank you very much for your time. I appreciate it and feel very honored.
Bruce Norris  Joey did you have something?
Joey Romero  No, I just wanted to say I’m Mexican, beans and rice sounds great to me.
Bruce Norris  Well, then you’re, you’re all set for your first negative real estate. I’ll give you an, I’ll give you an over encumbered property.
Narrator  We’d also like to thank our gold sponsors, Chase Leland Photography, Inland Valley Association of Realtors, Keystone CPA, Inc, LA South REIA, Leivas Tax Wealth Management, NorCal REIA, NSDREI, Pasadena FIBI, Tony Alvarez, White House Catering, Wilson Investments, Windermere Tower Realty. See Isurvivedrealestate.com for event details, information on all our generous supporters and to connect with our speakers.For more information on hard money, loans and upcoming events with The Norris Group, check out thenorrisgroup.com. For information on passive investing with trust deeds, visit tngtrustdeeds.com.
Aaron Norris  The Norris Group originates and services loans in California and Florida under California DRE License 01219911, Florida Mortgage Lender License 1577, and NMLS License 1623669. For more information on hard money lending, go www.thenorrisgroup.com and click the Hard Money tab.