Daniel Tromello is an Investor who buys the worst of the worst. The homes other investors won't touch. But even he has his limits. On this particular day, he was called out to a property in Encinitas. All he was told was that the seller needed to sell ASAP to a cash buyer because the tenant had stopped paying rent. Daniel knocked on the door and the tenant politely answered. She began telling him what had truly happened. The truth was that the homeowner's son and been using the ADU in the back of the home as a drug den and ultimately it became the site of a grizzly murder.
Music from Uppbeat (free for Creators!):
https://uppbeat.io/t/kevin-macleod/monkeys-spinning-monkeys
License code: YVBOHMDRTKWQGCIN
Daniel Tromello is an Investor who buys the worst of the worst. The homes other investors won't touch. But even he has his limits. On this particular day, he was called out to a property in Encinitas. All he was told was that the seller needed to sell ASAP to a cash buyer because the tenant had stopped paying rent. Daniel knocked on the door and the tenant politely answered. She began telling him what had truly happened. The truth was that the homeowner's son and been using the ADU in the back of the home as a drug den and ultimately it became the site of a grizzly murder.
Music from Uppbeat (free for Creators!):
https://uppbeat.io/t/kevin-macleod/monkeys-spinning-monkeys
License code: YVBOHMDRTKWQGCIN
[00:00:00] Christina Johnson: Welcome everybody to the humor house. I'm your host, Christina Johnson. And my guest today is Rick Albert. And he's out of Los Angeles, LA, California. So, uh, thanks for joining us today, Rick. I'm excited.
[00:00:14] Rick Albert: Absolutely. Thanks for the
[00:00:15] Christina Johnson: opportunity. Yeah. I'm looking forward to hearing your variable. You know, story, I've never heard of anything like this happening to someone.
[00:00:25] So, you know, it's interesting. Cause I think we go through a transaction as real estate agents and it can go so smoothly and then all of a sudden you're hit with something so unexpected. So strange. It almost gives you pause you, you don't know quite what to do with
[00:00:42] Rick Albert: it. Oh yeah. It's something totally brand new.
[00:00:47] You're like, wow, how do we even address it? It's like, what do you
[00:00:49] Christina Johnson: start? Yeah, I think I tell people you learn something new in every single transaction that you do, so you never stop learning for sure. You know, I [00:01:00] think actually just last December, um, you know, you, you, you're working with a client, they find holy love.
[00:01:07] And then, uh, on my deal, uh, two days before we were supposed to close the listing agent called us, said, Hey, we just found out the owner owes $45,000 to the bank. This has to cancel. And I'm like, uh, cancellations, not an option. So we're going to sit down and figure this out. And my clients were already moving.
[00:01:33] They had already sold their house. So, um, I said, we're going to put our heads together and we're going to figure it out. And we did, we actually did. She initiated a short sale? We did. Uh, temporary rent back and, and we were able to close it like two weeks later, but yeah, but I mean, that's, that's okay.
[00:01:53] That's something. Okay. We know how to anticipate that in the future, right. To kind of avoid it. [00:02:00] Your situation is completely different, completely out of left field. So why don't you start from the beginning?
[00:02:08] Rick Albert: Go ahead. Cool. Okay. So, uh, my wife and I were actually fiance at the time we're looking to buy a house. We see this house fixer, which is what we wanted. Um, we want a 17 offers, so we're like, okay, let's get creative. We got really creative.
[00:02:25] Got the offer accepted two days into escrow. My broker who representing me on this. It gets a phone call. Now a little bit of a backstory. The seller was selling it because his wife had passed away three years ago. So he wanted to basically just cash out and move to the east coast to be near family. So of course it's part of the offer.
[00:02:46] We're like, Hey, we want to start a family here, all that kind of stuff. We kind of like go with it. Right. Um, so fast forward to, at that point, the, my broker gets a call from enlist. [00:03:00] And the listing agent say, Hey, look, we have a little situation. I got a call from a four oh one five area code, which is like San Francisco bay area from a lady saying, why are you selling my house?
[00:03:14] Christina Johnson: Oh, okay. So was he just trying to sneak it through and just didn't think anyone would notice?
[00:03:21] Rick Albert: I think the seller genuinely thought his wife had passed away. Oh, wow. Do you think.
[00:03:30] Christina Johnson: And okay. So tell me a little bit more because,
[00:03:36] Rick Albert: um, so what we heard, we think that the relationship was not the healthiest of relationships.
[00:03:45] And so what one of the neighbors told us was that, um, maybe a fight broke out. Something happened where an ambulance came by, she went to the ambulance and they never saw.
[00:03:58] Christina Johnson: Oh, so, I mean, I guess that would [00:04:00] explain why the neighbors thought that something had happened or she had passed away. And I'm sure that he had mentioned something maybe in passing the, how did he think that she had passed away?
[00:04:11] Rick Albert: So apparently the, um, the seller, like a friend of his estranged wife was what we'll call her. Now. Apparently a friend came by and said, Hey, look, she passed away. Here's a copy of the death certificate. Oh my gosh. Yeah, I don't know about you. I I've never really seen a death certificate. I've never had to go through that process.
[00:04:30] So I would know if it's real or not. Right.
[00:04:33] Christina Johnson: And then obviously if you didn't owe anything on the property, he probably never even thought to file the death certificate, so, right. I mean, they would have had to authenticate it or something, so he must've been completely shocked
[00:04:49] Rick Albert: to find. Oh, yeah. And then, so basically like, well, hang on, we need a few days to work this out.
[00:04:54] Just a few. Yeah. Just a few since
[00:04:57] Christina Johnson: it's not a
[00:04:57] Rick Albert: legitimate treads out now, right? Well, yeah, because there's [00:05:00] no listing agreement because she didn't sign the listing agreement, you know, obviously you didn't sign the contract, uh, you know, the purchase contract. So I called my fiance and I tell him what happened.
[00:05:08] Honestly, I'm cracking up. I just think,
[00:05:10] Christina Johnson: yeah, of course. Just a day in the life of real state.
[00:05:14] Rick Albert: Yeah. And she's like, I don't find this funny. I'm like, I find this hilarious because it's better than the alternate.
[00:05:21] Christina Johnson: Yeah, exactly. Like I had an inspector find a body underneath the house, but that's a totally different podcast.
[00:05:28] So yeah. I mean, it is better than the alternative,
[00:05:33] Rick Albert: so she's like, yeah. So what do we do? Cause we're about to fly out to go to Peru. And so we're like, and we're going to go to the Amazon where there's no cell reception. I said, look, the market's super hot right now. Yeah. Like we're better off to sticking with it.
[00:05:49] And just have patience. So I just lined up all the inspectors. I got everything ready to go. So once everything got straightened out, you know, we got, so we were, we went to Peru. [00:06:00] We're in the Amazon, you know, fishing and doing, doing all sorts of stuff. I get back and apparently they've got it worked out.
[00:06:07] Things already happened,
[00:06:11] Christina Johnson: you know, it's, it's really funny because it is, it's like canceling is not an option. You just better think outside the box. And if you think about it, like. It's a gamble, but at the same time, what was this woman thinking? Knowing she had faked her death and calling up like, Hey, why are you selling my house?
[00:06:30] Like, why do you think they're selling the house? Your cover's blown.
[00:06:36] Rick Albert: You get the deal. Uh, eventually something's going to have to happen to that house. Yeah. Right.
[00:06:42] Christina Johnson: She sauntered on it. And so, um, I mean, that's, that's a crazy story. I've never heard of that. The closest thing I could even come to something weird on that level would be when I was single and I was on a dating site.
[00:06:56] And the guy's like, yeah, I haven't been out much since my [00:07:00] wife disappeared. And I was like, ex
[00:07:05] Rick Albert: Nope, that can be complicated.
[00:07:09] Christina Johnson: So that's, that's insane. I can't believe it, but I'm so glad that you guys got your.
[00:07:16] Rick Albert: I think it worked in our favor actually, because we were an escrow for $67,000 above list. Oh wow.
[00:07:26] And which was hilarious because it was never going to appraise at that price. But I told my wife I'm like, cause what we did was we did the escalation clause where, Hey, we're $1,500 above any.
[00:07:39] Christina Johnson: Yeah, and we don't have an escalation clause down here in San Diego. So that's interesting that you guys have that in LA we're not that far
[00:07:45] Rick Albert: apart, right?
[00:07:47] I mean, it's just something you write in. Most of my clients put a cap on it. I didn't. Yeah. Because, well, it's like whatever we lose some inspection money, whatever, like, for [00:08:00] me it was worth the risk considering how hot the market was. Right. Um, and so yeah, when they were in escrow, it was listed for 99.
[00:08:07] They call us and they're like, Hey, the highest offer is like four, excuse me. It was like five 60 something. And I was like, well, let's just take it because the other people were probably thinking I'm going to offer high and try to renegotiate it anyways. I'm like, screw you guys. That's what we're going to do.
[00:08:23] Christina Johnson: Um, not
[00:08:23] Rick Albert: today, not today, but yeah, we ended up, uh, we were able to negotiate the price $47,000. Yeah.
[00:08:33] Christina Johnson: Wow. Well, he probably felt so bad about the whole situation.
[00:08:38] Rick Albert: Well, he kills to keep in mind if he canceled on us, he now has to work with his no longer dead wife to address all these other offers. No, let's stick with this buyer and let's just get this thing closed and done.
[00:08:52] And he's still got above list at the end of the day. You can't complain.
[00:08:58] Christina Johnson: Now he just has to go through a [00:09:00] divorce.
[00:09:00] Rick Albert: I get like, oh my gosh.
[00:09:03] Christina Johnson: So many things, so many unanswered questions. Oh yeah. Wow. Well, you know, how long have you been working in LA?
[00:09:12] Rick Albert: I've been in LA for the last 10 years.
[00:09:14] Christina Johnson: Okay. So you know that market really, really well.
[00:09:17] Rick Albert: Yeah. Yeah. Yeah. I start off working with the developer where we were buying homes at the courthouse. Oh, wow. So I was able to, you know, you've got some more
[00:09:25] Christina Johnson: stories
[00:09:26] Rick Albert: and then some it's been so much fun, so much. I told myself when I moved down to LA, I'd give it one year. Yeah. Yeah. It's been such a
[00:09:36] Christina Johnson: blast.
[00:09:37] Wow. That's and now you have your wife and you guys,
[00:09:40] Rick Albert: then we own property and we're.
[00:09:43] Christina Johnson: I'm so excited. Well, let's do a little five questions in five seconds. Are you ready? I'm ready. Okay. Strangest or most interesting client you've ever had?
[00:09:56] Rick Albert: Um, I had a client that was extremely. To the point where [00:10:00] we were an escrow, a marble refinishing guy came through and said the house has structural issues, even though he's not qualified whatsoever.
[00:10:07] And my clients actually canceled after they had released all their contingencies over marble, over supposedly structural issues. Even though we had two architects say the house.
[00:10:19] Christina Johnson: Oh, my gosh. That's crazy. Did they ever buy something from you? Cause how do you even handle someone that picky?
[00:10:27] Rick Albert: We actually didn't.
[00:10:28] They lost half their deposit. They lost $30,000 and I explained it was like, look, this guy's not qualified. The house is fine. It's a brand new construction. It's under a, they were so picky even down to where they wanted an upgraded range and the seller. Oh,
[00:10:45] Christina Johnson: my gosh, I had walked away.
[00:10:46] Rick Albert: They walked away. That was my, uh, yeah, exactly.
[00:10:50] It was like, we probably dodged a bullet.
[00:10:53] Christina Johnson: What situation in the business has ever just taken you by surprise?
[00:10:59] Rick Albert: [00:11:00] Um, so I was setting up for an open house. The guy drives by and says, Hey, is this, you know, open to see? I'm like, yeah, sure. Come on in. Um, showing them the house, we go up to the primary bedroom with a walk-in closet.
[00:11:12] He takes a step in size, like, Hey, come here. I don't need to go in there. I can see it from here. Right. Um, he actually kind of pulls me in and says, do you want to have some fun? Oh
[00:11:27] Christina Johnson: my
[00:11:28] Rick Albert: God. His hand away from me. And I said,
[00:11:33] Christina Johnson: oh, I don't even, I mean, I know I would probably have punched him in the face, but that's just like the knee jerk reaction.
[00:11:41] Rick Albert: I'm sure you didn't do that. Yeah, but no. So that was the part of the strangest thing that's ever happened to me.
[00:11:49] Christina Johnson: Wow. And what do you love most about LA?
[00:11:54] Rick Albert: There is so much to do in LA that people don't think [00:12:00] about. Realize whether it's you want food, like pick any culture. You'll find it. Wow. I know. Good Peruvian restaurants.
[00:12:08] You can go to little EPO. If you want to go, you know, also LA is always kind of is perceived as being very expensive, right? Which yes, housing is expensive. Yes. Gas is like, I think over four bucks a gallon. Yeah, but there's free hiking. There's um, actually free tennis courts throughout. I
[00:12:27] Christina Johnson: didn't know that.
[00:12:28] Interesting.
[00:12:29] Rick Albert: Some of the museums different times of the month, we'll give you free access.
[00:12:35] Christina Johnson: Oh, Wow. That's neat. I had no idea. And I live in San Diego. I mean, what,
[00:12:41] Rick Albert: yeah, there's there's so, I mean, once a few years ago, my wife and I went to a like art exhibit called pancakes in booze and they were giving up pancakes and alcohol, to be honest, the line was too long.
[00:12:54] I was like,[00:13:00]
[00:13:00] but yeah, it was like five or 10 bucks in downtown and we got to see cool LaGuardia. All, I mean, there's so much to do. He has co is kind of put a damper on things, but, um, in general, like you can have an entertaining weekend. You don't have to spend a lot of money or you can, it's it's really up to you.
[00:13:19] Christina Johnson: Yeah. So I guess that kind of goes along with the other question, which is what should people know about LA before they moved there? But is there anything else that you think is really important for people to know?
[00:13:30] Rick Albert: Um, don't knock neighborhoods. You're not familiar with. LA has like 209 different neighborhoods and it can be completely different from each other and it can be a breakfast the same way.
[00:13:43] Right. But then even if you're looking to, let's say, buy a home, like I have a client right now, we just introduced for this morning, you know, originally we were looking at one neighborhood cause it's cute town, all that, but it's super competitive. We just entered escrow, literally like a mile. [00:14:00]
[00:14:00] Christina Johnson: Yeah, it's less competitive,
[00:14:02] Rick Albert: less compete for below list and contingent hot
[00:14:06] Christina Johnson: market.
[00:14:07] That's crazy. Well, it's, it's good for them to work with someone like you who's experienced in all those neighborhoods because you know, we're part of a coaching company. And I always think it's interesting when people are like, oh, where are you? Where do you socialize? And you're like, ah, where the business takes me.
[00:14:24] That's impossible. You know? Cause every zip code is different from one area to the next. You have to know them
[00:14:32] Rick Albert: all and there's enough data out there to help you. Right. So I look and say, if I look at sales, oh, sales, I've noticed above this one street is going for higher than below. Okay. That's common sense.
[00:14:43] This is okay. That's clearly a demarcation. Yeah. You know, back in the day, you know, our parents, maybe in grandparents generation, like we have a big book and no one else can see this book. Like you, you actually had to be a specific neighborhood expert. Like you didn't have a choice [00:15:00] now,
[00:15:00] Christina Johnson: do you remember the book?
[00:15:02] My, my parents were in the business, like from the seventies, I would go into the office and have to. The buck,
[00:15:11] it was like in early 2007. Like, can we stop doing the book now? Yeah.
[00:15:17] Rick Albert: If it's on the Kindle, like here you go.
[00:15:22] Christina Johnson: And what's an interesting fact about you as a person or just something about you that people should.
[00:15:29] Rick Albert: Um, I do like to enjoy hiking. One of the things I used to do, and I don't do as much anymore by love the obstacle courses, the tough Mudders, the Spartan races.
[00:15:39] I used to do a lot of that.
[00:15:40] Christina Johnson: I used to want to sign up for that until I watched a YouTube video. And I was like,
[00:15:44] Rick Albert: nah, um, it's, I'll tell you. It's a lot of fun. Um, I mean it's hard, right? Um, like it's been, it's unfortunate. It's been too long since I've done it. Um, I plan on doing them [00:16:00] next year.
[00:16:01] Christina Johnson: Well, maybe you need to get like a, like a mud race challenge mailing and see if you can get, well, you know, when covenants will see everything centering on that.
[00:16:13] And if someone's thinking about either moving from or to LA, how do they get ahold
[00:16:19] Rick Albert: of you? Yeah, absolutely. So I'm on pretty much the major social platforms, you know, at Rick B as in boy Albert. So at Rick BL. Um, feel free to give me a call 3, 2, 3 9 2 9 7 6 5 3. I'll throw it out there. Yeah, I respond.
[00:16:37] Christina Johnson: Great. I'm so excited. Thank you so much for, for the story and for all the information. It's, it's been great talking to you and I look forward to more stories.
[00:16:45] Rick Albert: Oh, for sure. Unintentionally.
[00:16:51] Christina Johnson: All right, I'll
[00:16:53] Rick Alb