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Sonia Hodgin and Formulaic Inc.: Cutting Out the Middleman in Real Estate

It has been said that a successful entrepreneur is a disruptor who sees an opportunity to do something differently and seizes it without hesitation. That can be said of Sonia Hodgin, who decided to find a way to help people trade properties on their own so that they could save on the commission that ordinarily goes to agents. Through her company, Formulaic Inc., based in Scottsdale, Arizona, she has implemented highly successful formulas that are teaching her clients how to be their own portfolio agent by illuminating the real estate agent, be self-confident about their ability to manage their own portfolios, and have fun at the same time.

“To accomplish this, I created four services at Formulaic Inc.,” Sonia Hodgin explains. “The first is mentorship. I don’t just throw my clients into the real estate world on their own. Instead, I go through their portfolio with them and help them change their formulas. I give them the confidence that they really can manage their own portfolios. As I tell them, there is no such thing as bad real estate; just a bad investor. They are excited to see that becoming a good investor is actually easier than they originally thought. There are over 300 formulas to use that can help them up their basis.”

Through Formulaic Inc., she also offers Formulaic 300, 3-day seminars in Scottsdale, Arizona, on how to invest, do your first transactions, and trade in a forum. “I also show attendees how to take a bad debt and change it into a passive asset to cash flow,” Sonia Hodgin states. “People finish the seminar confident that they have the knowledge and ability to enter the real estate market. They also understand that they don’t need money to buy real estate – they just need to know the right formulas to use.”

A highly successful service has been the company’s Formulaic Circle, its Wine and Dine Trading Circle and an invitation-only event in Scottsdale, Arizona. “Personally, I love going to these because it’s exciting to be around such like-minded people,” Sonia Hodgin says. “Once a month, twelve accredited investors from around the world meet to learn how to truly do a 1031 exchange. They also present their inventory to trade or venture with. No real estate agents are allowed; you must be an accredited investor. The investor/attendee may have a $1 million property; by selling the property on their own with the 1031 exchange formula, they can defer an average of 38% taxation. On top of that, they save on the commission without a sales person, up to 10% in commercial and up to 14% in real estate in a two-way transaction (selling and buying). That $170,000 remains with the investor.” On any given night, she states that there are on average $38,000,000 in transactions. There is no fee for the attendee, as she is there as an investor. “I do not mentor anyone at these events. My attendees show up knowing what to do. They have to be savvy.”

Sonia Hodgin also started a popular trading forum, www.formulaicinc300.com. The forum was created in San Francisco by a well-known software guru, Ed Wong. It is for paid members only, and they must pay $10,000/year. She explains that they get to trade as many investments as they want with like-minded, accredited investors. “Once again, there are no real estate agents, brokers, third party involvement, or transaction fees. They go straight to a title company with their transaction. With one transaction, members have a return investment instantly and beyond.” She pauses, then smiles. “I was recently offered $50,000,000 for the forum, but I turned them down.”

Sonia Hodgin clearly loves what she does at Formulaic Inc., and she has sixteen other companies as well as investments throughout the United States. “I’m not all business, though,” she says. “I like to take a break just like anyone else does and have fun. I love to travel the world, and it doesn’t scare me to go alone. I always meet the most interesting people. Believe it or not, I met Michael Jackson’s son, Prince, in Paris. I have discovered that there are others like me who enjoy the world through loving eyes. I especially love spending time with my son. When we go to another state to renovate a property, he comes out and meets me there. We always bond over the work we do together. We laugh and learn with other mentors, who teach us what we don’t know. I then take that new knowledge and incorporate it into what I do at my company so that I can empower more people.”

That desire to help others is genuine. “That’s the main mission of Formulaic Inc.,” Sonia Hodgin says. “I want to show people that they are smart enough, strong enough, and savvy enough to build their own wealth. It is immensely gratifying.”