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Raising Private Money with Jay Conner
I’m Jay Conner, also known as the Private Money Authority. Did you know that as a real estate investor, you are missing out on 87% of the deals because you’re “not” leveraging private money? After two decades as an investor, I started the Raising Private Money podcast to help you unlock all the private money you'll ever need to fund your real estate deals - WITHOUT resorting to expensive hard money loans.
If you’ve ever lost out on a great off market deal because you lacked the financing, then you and I are kindred spirits. I’ve been there too, missing seller financed opportunities early on because I didn’t know any better.
On this podcast, we’ll walk through accessing private funding together. You’ll discover:
•How to position yourself to tap into flexible private money funding rather than restrictive, costly hard money loans
•Untapped funding sources like self-directed IRAs – and many others you may not be aware of
•Steps to build your own network of private lenders for repeat financing
I speak with wholesalers, flippers, rehabbers, and investors in every niche about where they were BEFORE private money, and how adding private money has EXPLODED their profits!
Whether you’re a new investor looking to quit your 9 to 5 job and finance your first deal or an experienced investor aiming to do more deals and generate bigger profits, private money is out there waiting for you.
You just need the right mindset, positioning and tools.
Visit JayConner.com to join me on this journey and fund your first (or next) deal. All the capital you need is closer than you think. Let’s get there together!
Raising Private Money with Jay Conner
Maximizing Profitability: Private Lenders vs. Hard Money in Real Estate Financing With Jay Conner
*** Guest Appearance
Credits to:
https://www.youtube.com/@TheBigPictureBlueprint
"Raising Private Money with Jay Conner"
https://www.youtube.com/watch?v=oYvFywuPL88
In the ever-evolving world of real estate investment, securing funding can often be the make-or-break factor for success. Between complex financing options and stringent lending requirements, many investors find themselves in search of alternatives that offer more flexibility and potential for profit. This blog post delves into the insightful discussion between Jay Conner, Dan Haberkost, and Mason McDonald revealing the significant advantages of utilizing private money over traditional hard money lenders. Follow along as we explore the strategies to effectively raise private money, the benefits it provides, and how you can leverage these insights to maximize your real estate deals.
What is Private Money?
Private money involves raising capital from individual investors rather than institutions or traditional lenders. Jay Conner, a seasoned real estate investor, explains that he has successfully secured private money for his deals since 2009, paying his private lenders an annual percentage rate (APR) of 8%. Unlike traditional lenders, private money lenders offer more flexible terms and often provide 100% of the purchase price and rehab money, based on the property’s after-repaired value.
Why Choose Private Money Over Hard Money?
**No Hidden Costs:** Private money comes without the extra-associated costs that are common with hard money lenders. This includes origination fees, extension fees, junk fees, or appraisal costs.
**Flexibility in Terms:** Private lenders typically do not require strict credit score checks, making it easier for investors to secure the necessary funds.
**Lower Interest Rates:** While hard money lenders may charge interest rates upward of 15%, private money has a more appealing 8% rate. These savings can significantly impact the overall profitability of a real estate deal.
**Faster Access to Funds:** Jay emphasizes the importance of having quick and straightforward access to capital, allowing investors to seize opportunities promptly. Private lenders can often expedite the funding process compared to traditional banks.
How to Secure Private Money
**Building Relationships:** One of the pivotal strategies Jay Conner highlights is the importance of personal relationships. He suggests targeting your existing network—church members, rotary club peers, and business network groups—educating them about private lending and self-directed IRAs.
**Transparency and Trust:** Proving your performance to new private lenders is crucial. Jay suggests using their funds first to demonstrate successful deal execution, thereby building trust and credibility.
**Leveraging Personal Networks:** Jay shares an anecdote about a conversation at church that led to onboarding retired school teachers as private lenders. It’s a reminder to capitalize on the potential within your immediate circle, where you might find people looking to invest their funds more effectively.
Raising Private Money Strategically
**The 7-Day Private Money Challenge:** Jay underscores the importance of structured learning and highlights the 7-Day Private Money Challenge—a master class designed to teach realistic methods to raise $500,000 in private money. This training is interactive, easy to follow, and helps investors understand the nuances of securing private funding.
**Quantifying Your Needs:** Being clear about how much private money you require for your deals is essential. Jay outlines an exercis