Raising Private Money with Jay Conner

Why Your Personal Network is Your Biggest Asset in Real Estate InvestingNavigating the world of real estate investing can be daunting, especially when it comes to financing your ventures. Often, it's not about what you know but who you know. In a recent episode of the "Raising Private Money" podcast, hosts Jay Conner along with Cara Broyles, Erica Camardelle, Chaffee Thanh-Nguyen, and Banjo Camardelle, delved into the five essential steps to successfully raise private money. This blog post expands on their discussion, offering practical advice to help real estate investors unlock the potential of their networks. Make Your ListThe first step in raising private money is to identify potential lenders within your existing network. This might seem straightforward, yet it's often overlooked. Jay Conner emphasized the importance of listing people you already know, particularly those you see regularly and individuals who are retired.Jay pointed out two key categories:People you see frequently:This includes friends, family, co-workers, and members of any social or community organizations you belong to.Retirees:They often have investment capital or retirement funds that could be put to work in your real estate projects.By focusing on these groups, you tap into established relationships where trust is already present—a critical component for successful private lending. Start the ConversationOnce your list is ready, it’s time to engage with potential lenders. There are two primary methods for initiating these conversations: the direct and the indirect approaches.Direct MethodThe direct method involves asking a straightforward question, known as the "magic question." Banjo Camardelle shared his experience with this approach: "Do you have investment capital or retirement funds not giving you a high rate of return safely and securely?"This question is designed to pique interest without coming off as desperate. It’s a powerful way to shift the focus from your need for funding to the opportunity you are offering.Indirect MethodIf the direct approach feels too confrontational, the indirect method allows for a more subtle introduction. Crystal elaborated on this technique, which includes asking if the person knows anyone dissatisfied with their current investment returns. Often, this leads to the person considering the offer for themselves.1. Leverage EnthusiasmBoth Crystal and Kara highlighted the importance of enthusiasm. Sharing your excitement and genuine belief in your investment opportunities can be contagious. Crystal likened it to the enthusiasm parents show when talking about their newborns—it's palpable and hard to ignore.When you’re passionate about your investment program, it organically draws people in, making them more inclined to learn about and participate in your offerings.2.  The 16-Minute Introduction: Stress-Free InvestingOne of the standout strategies Jay Conner discussed is the use of a 16-minute audio recording called "Stress-Free Investing." This pre-recorded message serves as an automated way to introduce potential lenders to your investment program, answering common questions and alleviating concerns.The recording allows you to present a polished, consistent message to all potential lenders, saving you time and ensuring that all key points are covered. It's an efficient way to get the word out and generate interest without continuous one-on-one meetings.3. Focus on Serving, Not SellingA recurring theme throughout the discussion was the mindset shift from needing money to offering an opportunity. Chaffee Thanh-Nguyen emphasized leading with a servant's heart. When you truly believe that you are helping othe

Private lending is a powerful tool in the real estate investor’s arsenal. It allows both novice and seasoned investors to scale their portfolios by attracting funding without the traditional hassle of convincing lenders. In the popular podcast episode of "Raising Private Money," Jay Conner and Ruben Izgelov dive deep into this topic, sharing invaluable insights and strategies for leveraging private money to build a thriving real estate business.The Power of Networking: Starting Small to Raise BigRuben Izgelov, who has raised over $50,000,000 in private money, reveals a simple yet effective start—leveraging your immediate network. Friends and family are often your first potential investors, as their trust and familiarity with you create a solid foundation for initial funding. As Ruben mentions, trust must be coupled with a demonstration of your expertise and experience. The widespread use of social media today makes it relatively simple to showcase what you do and how well you do it. So, his first piece of advice to aspiring real estate investors is to ensure everyone in their social circle knows they're in the real estate business and understands their capabilities.Leveraging Social Media: Building a Consistent Digital PresenceIn today’s digital age, social media provides an invaluable platform for sharing your real estate journey and drawing potential investors. Ruben emphasizes the importance of consistency in posting about your ongoing projects. From Instagram and Facebook stories to LinkedIn and even TikTok updates, the continuous flow of relevant content engages and informs your audience.A fascinating tip Ruben offers is creating videos and images that demonstrate your work's progress—both completed deals and those you’ve chosen to walk away from. This helps potential investors understand your thoroughness and decision-making process, enhancing their confidence in you. He suggests starting simple and scaling up; even the most basic social media posts can grow into comprehensive marketing strategies over time.Creating Impactful Investor Decks: Confidence in PresentationA lacking or overcomplicated investor deck can be detrimental. Ruben advises striking a balance; preparing just enough to showcase important details without overwhelming your audience. Investor decks should be straightforward, highlighting key property info, planned strategies, and anticipated returns. He suggests a landscape where real estate investors should be constantly learning and evolving. By keeping your pitches clear and straightforward, you build trust and show potential investors that you know your business inside out.States Capital: A Refuge for Passive InvestorsStates Capital, Ruben’s private debt fund, provides an enticing entry point for accredited investors looking for real estate opportunities without the intricacies of ownership. As Ruben explains, States Capital focuses on attracting passive investors by offering them safer returns, given that they sit in the most secure part of the capital stack as debt investors rather than equity investors.The fund is structured to support both short-term and long-term goals, providing fluidity and less lock-up compared to traditional syndications. This setup attracts those who want to earn passive income without being directly involved in every decision or deal negotiation associated with property ownership.We Lend: Speed and Efficiency in Every TransactionThe service difference is what sets Ruben’s firms apart. We Lend, the originating arm of States Capital, specializes in providing fast, efficient loans for real estate investors. Speed is of the essence in property deals, and Ruben boasts turnaround times ranging from 3-7 business days, with existing clients sometimes experiencing funding within 24-36 hours.Their approach stands out by focusing on the asset rather than exha

Welcome to another enlightening episode of the Raising Private Money podcast! Today Jay Conner sits down with Jered Sturm, CEO of S&S Capital Group. Jered has transformed his journey from a humble apartment maintenance technician to managing a multi-million dollar portfolio in the real estate multifamily sector. Jered shares invaluable insights about investment strategies, raising private capital, and maintaining a balanced lifestyle amidst the challenges of entrepreneurship.The Early Days: From Maintenance Technician to Real Estate MogulJered's journey began 18 years ago in Cincinnati, Ohio, where he worked as an apartment maintenance technician. Fresh out of high school, he and his brother purchased a six-bedroom house and launched a construction company, leveraging their skills in the trades. Initially, they utilized their resources to acquire and improve properties, building a solid portfolio without raising outside capital.Their business model focused primarily on the advantages of compounding interest and long-term investments. A significant milestone was reached when they secured a cash-out refinance loan on eight of their houses, allowing them to reinvest in additional properties, setting the stage for their success today.From Small Beginnings to Syndication: The Power of NetworkingFor the first eight years, Jered and his brother operated without external investors, relying on their resources and grit. However, a pivotal shift occurred seven years into their career when Jered recognized the potential of syndication. Encouraged by exceptional investment results that outperformed traditional retirement funds, they decided to share these opportunities with others.Jered emphasizes the importance of treating borrowed money with the utmost care, viewing it as a representation of the time and effort invested by the lenders. This philosophy has earned the trust and commitment of investors, with 60% repeatedly participating in multiple deals.Syndication has allowed Jered’s company to scale significantly, leveraging both personal networks and word-of-mouth to attract investors. Their approach involves contracting specific deals and presenting a comprehensive offering memorandum to investors, detailing the business plan, projected returns, and more.Infinite Return Model: Forced Appreciation and Long-term Hold StrategyA key strategy at S&S Capital Group is the infinite return model. Typically, projects are held for an extended period, around ten years, but investors often see their principal returned within 2-3 years due to forced appreciation. This involves modernizing units and executing strategic property management improvements. By doing so, the company can return 100% of the initial investment while maintaining ownership, creating a cycle of continuous, passive income.The benefits are twofold: investors receive predictable cash flow and returns without actively managing properties, and the company gains financial advantages through economies of scale and operational efficiencies.Balancing Business and Personal Life: An Entrepreneur's GuideMaintaining a balance between personal and professional commitments is a recurrent theme throughout the interview. Jered underscores the importance of intentionality in staying balanced across personal, professional, and spiritual life. He acknowledges that perfect balance is an elusive goal, but the continuous effort towards achieving it is essential for personal growth.He advises entrepreneurs to leverage their strengths, whether in construction, sales, or analytics, as their unique competitive advantage in the multifamily space. Jay Conner complements this with his father's philosophy of 'dictate, delegate, and disappear,' underscoring the significance of knowing one's strengths and delegating tasks to maintain focus.Contact Information and Additional

***Guest AppearanceCredits to:https://www.youtube.com/@passiveincomeadventures "Tax-Free Ultimate Private Money Challenge! Jay Conner"https://www.youtube.com/watch?v=5cHECcNUl8I In a recent episode of the Raising Private Money podcast, renowned real estate investors Jay Conner and Emma Powell delved deep into the world of passive income and investment strategies. The conversation traversed through practical advice on private money lending, the intricacies of networking for investment opportunities, and personal experiences that shaped their journey to financial autonomy. Whether you're a seasoned investor or just dipping your toes into real estate, the insights shared in this episode can serve as powerful tools for your investment toolkit.Investment Strategies for Smart ReturnsEmma Powell opened the discussion with a compelling observation on investment returns, highlighting how wealthier individuals often witness lower proportional returns due to their chosen investment vehicles. She advocated for the straightforward nature of hard money lending, where typical returns range from 10-12%. According to Powell, adding hard money lending to one's portfolio can fill a crucial gap in diversification, ensuring that investors don't overlook simpler, high-yield opportunities. This strategy aims to balance out portfolios and hedge against market volatilities.Understanding Private LendersJay Conner shared his extensive experience working with private lenders, stressing that these lenders are often regular people—teachers, retirees, and even minors with inherited funds. He illustrated this with an example of his pool of 47 diverse private lenders, indicating that you don't necessarily need to target "accredited investors" to secure substantial investments. This democratization of investment opportunities underscores the importance of building trust and educating potential lenders about the benefits of private money lending.The Power of NetworkingNetworking emerged as a cornerstone theme in the episode. Jay Conner and Emma Powell both underscored the significance of being actively engaged in organizations like Business Networking International (BNI) and attending high-value conferences. Powell suggested seeking out wealthy individuals through expensive hobbies or clubs that resonate with one's interests. For those attending self-directed IRA conferences, there was an acknowledgment of the competitive environment, with Conner preferring to position himself as a speaker rather than an attendee to stand out. Both hosts agreed that feeling like you don't know wealthy individuals is a barrier best overcome by diverse event participation.Best Practices in Private LendingDiving into the mechanics of private lending, the conversation pivoted to the importance of protecting and optimizing investments. Both hosts warned against unsecured loans and emphasized the necessity of collateralizing promissory notes with real estate. They advised maintaining a conservative loan-to-value ratio, around 75% of the after-repaired value, and ensuring lenders are named as mortgagees on insurance policies and title policies as additional insureds. This creates a robust security net, giving lenders peace of mind and solidifying the operator-lender relationship built on trust.Handling Funds with CareOn the subject of fund management, Emma and Jay advised that wired funds should be directed to a closing agent’s trust account rather than to the borrower, ensuring transparency and security in the transaction. They highlighted the pitfalls of desperation in securing investments and advocated for having funds lined up or a solid relationship with a hard money lender before soliciting deals. Thi

***Guest AppearanceCredits to:https://www.youtube.com/@famousinterviewswithjoedimino  "Famous Interview with Joe Dimino Featuring Nationally Renowned Real Estate Investor Jay Conner"https://www.youtube.com/watch?v=oSz4f4Zdjfc  The real estate industry is known for its cyclical nature, but few periods have been as tumultuous and instructive as the COVID-19 pandemic. Jay Conner, an experienced real estate investor and private money specialist, recently shed light on how he navigated these challenges and adapted his business to thrive in a changing economic landscape. In this engaging episode of "Raising Private Money," where Jay joined Joe Dimino on his Famous Interview With Joe Dimino podcast, Jay opens up about his journey, revealing key strategies and personal philosophies that have shaped his success.The COVID-19 Impact: More Cash Chasing Fewer DealsThe COVID-19 pandemic revolutionized many sectors, and real estate was no exception. During this period, Jay Conner observed a staggering shift in available cash for investments, jumping from $18 trillion to $31 trillion. Investors sought safer harbors for their funds amid the pandemic's economic uncertainties, with real estate offering reliable returns. Interestingly, Jay faced the unique challenge of having more money available than deals to fund, a problem many would envy but which required strategic maneuvering to harness effectively.Explaining Real Estate to a Child: The Simple and The ComplexWhen explaining his job to a group of third graders, Jay likened himself to an HGTV flipper. By simplifying it to helping private lenders make high returns safely, assisting sellers in distress, and coordinating with contractors for rehabs, he made the complex nature of his work understandable. His description as a "real" flipper, unlike the scripted versions on TV, beautifully encapsulates his multi-faceted role in real estate.The Foundation: Early Influences and Career BeginningsJay’s journey into real estate is deeply rooted in familial influence. Growing up in North Carolina, he learned the ropes from his father, Wallace Conner, who was a significant figure in the manufactured homes industry. Jay's early exposure to business, communication, and leadership came through summer jobs at his father's company, which indelibly shaped his career ethos. His father’s management style, famously known as the "3 D’s: dictate, delegate, and disappear," also fostered an early understanding of efficient business operation.Inspirations and Heroes: The Mentors Who Shaped JayBehind every successful individual are influences that light the path. For Jay Conner, figures like Zig Ziglar, Dale Carnegie, and Og Mandino played instrumental roles. Training tapes from Zig Ziglar instilled a servant-based approach to business, emphasizing the importance of helping others to achieve one’s own success. Books like Dale Carnegie’s "How to Win Friends and Influence People" and Og Mandino’s "University of Success" further enriched his mindset and approach to real estate and business.Triumph Over Adversity: The 2009 Financial CrisisOne of Jay’s most defining experiences came during the 2009 financial crisis, which abruptly severed his lines of credit at local banks. Faced with this challenge, he pivoted to private money, a form of financing he had not previously explored. With guidance from a friend, he learned about private money and self-directed IRAs. Embracing a teaching approach, he began to educate others about private money while effectively solving his own financing issues. This pivot allowed him to attract $2,150,000 in private money in less than 90

***Guest AppearanceCredits to:https://www.youtube.com/@jmmbmedia  "The Untold Secrets of Private Lending Prosperity"https://www.youtube.com/watch?v=cw5txrXj6Vs In a recent episode of the Raising Private Money podcast, Jay Conner and Ida Crawford dive into the fascinating world of private money for real estate investments. The conversation unpacks the journey of Jay Conner, who successfully transitioned from traditional bank financing to the more flexible and profitable method of using private money, especially after the financial crisis of 2008.The Transition from Traditional Bank Financing to Private MoneyInitially, Jay Conner and his wife relied heavily on bank financing to fund their real estate ventures from 2003 to 2009. However, like many investors during the financial crisis, they faced a significant hurdle when banks tightened their loaning capabilities. Jay recounts the arduous moments when traditional financial institutions cut them off, compelling him to seek alternative funding options. This pivotal moment led him to discover private money, marking a transformation in his approach to real estate investing.The Power of Private MoneyJay Conner's introduction to private money came through a fellow investor who enlightened him about using self-directed IRAs. Within a strikingly short period of 90 days, Conner managed to raise over $2 million in private funding. This shift not only revitalized his business but also allowed him to set rules that worked in his favor.Control and BenefitsOne of the most significant advantages of private money is control. Unlike bank loans, where terms and conditions are strictly set by financial institutions, private money allows investors to negotiate favorable terms, making the deals more profitable and less stressful. Furthermore, private money is not limited by the same stringent guidelines that banks enforce, resulting in virtually unlimited funds and no constraints on the number of lenders or the amount they can contribute.Quick ClosingsAnother notable benefit is the ability to close deals rapidly. Jay shared that his fastest closing, an oceanfront condominium, happened in a mere five days. This agility provides a competitive edge in the real estate market, enabling investors to capitalize on opportunities swiftly.No Personal Investment RequiredUsing private money also often means that investors can secure additional funds at closing, which aids in improving cash flow without necessitating personal investment. This aspect liberates investors from the constraints of their financial standings, allowing them to pursue high-yield projects confidently.Building Relationships and Educating Future LendersJay Conner's success with private money didn't come from merely asking for investments; it thrived on building relationships and educating potential lenders. By focusing on a servant leadership approach, Jay was able to demystify private lending.Educative ApproachInstead of directly soliciting funds, Jay educates individuals on the lucrative opportunities available through private lending. For instance, he uses a 16-minute audio introduction available on YouTube to outline private money's benefits without divulging sensitive details. This approach reduces the fear of rejection and attracts genuine interest from potential lenders.Leveraging Personal ConnectionsIt’s noteworthy that Jay’s private lender network, which includes everyday people like retired school teachers and church acquaintances, was built entirely through word-of-mouth. In one recount, Jay shares how an 89-year-old friend, initially wary of private investments, was convinced, resulting in a significant

***Guest AppearanceCredits to:https://www.youtube.com/@ROIClear "Jay Conner: Teaching & Leading with a Servant's Heart"https://www.youtube.com/watch?v=kqCmL7b5mYE&t=46s Introduction: Reimagining Real Estate FinancingIn the latest episode of the Real Estate Investing podcast, we delve into an enlightening discussion on private money and private lending with Jay Conner, affectionately known as the “private money authority.” Having embarked on his real estate journey in 2003 alongside his wife, Carol Joy in Eastern North Carolina, Jay has amassed invaluable experience and developed a unique approach to real estate financing — one that eschews traditional banks and lenders in favor of private money. Here's how Jay's innovative strategies can revolutionize your approach to real estate investment.The Genesis: Jay Conner's Real Estate JourneyJay Conner's foray into real estate investment began in 2003. Like many new investors, Jay initially relied on local banks for funding his deals. However, the global financial crisis in January 2009 marked a pivotal turning point. When his bank line of credit was abruptly closed, Jay faced a financial dilemma that could have derailed his investment ventures.Instead of succumbing to financial pressure, Jay asked himself a crucial question: "Who do I know that can help?" This quest led him to discover the world of private money and self-directed IRAs, thanks to Jeff Blankenship, who had also been affected by bank funding cuts. This newfound knowledge fueled Jay's development of a comprehensive private lending program.The Approach: Educating with a Servant's HeartOne of Jay Conner's core strategies is educating potential lenders without directly soliciting funds. This creates a trusting environment where investors feel comfortable and informed. Jay, positioning himself as a “private money teacher,” shares his extensive knowledge of private lending, emphasizing the safety and profitability of such investments.Jay’s method revolves around hosting educational sessions where he teaches individuals about private lending. For example, Jay often organizes luncheons and community presentations, sharing insights about earning tax-free and tax-deferred returns through self-directed IRAs. By leading with a servant’s heart and focusing on education, Jay removes the pressure and desperation often associated with funding requests. This strategy fosters organic interest and investment, underlining the notion that people lend to those they trust and respect.The Mechanics: Engaging Private LendersJay Conner’s private lenders fall into three categories: personal network contacts, expanded warm market contacts, and existing private lenders. By leveraging these connections, Jay has engaged 47 private lenders who invest anywhere from $30,000 to over a million dollars each.A practical example of Jay’s method involves using PowerPoint presentations during luncheons to educate attendees on private lending opportunities. This includes an emphasis on self-directed IRAs’ advantages, such as tax benefits. Attendees are provided with interest forms to express their willingness to participate, eliminating the need for hard selling.Follow-up calls are crucial in Jay's approach, focusing on gathering feedback rather than persuasively asking for investments. This subtle, respectful method often leads attendees to express their interest in investing voluntarily, underscoring the effectiveness of Jay’s educational focus.Single Family vs. Commercial Real Estate FundingPrivate money’s application varies based on the type of real estate deal. For single-family homes, Jay explains that funding often involves individual promissory

***Guest AppearanceCredits to:https://www.youtube.com/@duratusproperties "Ep. 25 - How to Raise Private Money for Real Estate with Expert Guest Jay Conner"https://www.youtube.com/watch?v=gSMuEeoodHM&t=23s In a recent episode of the Raising Private Money podcast, Jay Conner joined Maura McGraw on her  Mastering Real Estate podcast and shared his invaluable insights on mastering real estate investment. The discussion was rich with practical strategies and personal anecdotes providing a roadmap for novice and seasoned investors. Here's a comprehensive dive into the key takeaways from their conversation.The Fallacy of "Get the Deal, Money Will Follow"Both Jay Conner and Maura McGraw reflected on a pervasive piece of advice commonly given to real estate professionals: "Get the deal under contract and the money will show up." Though well-meaning, this advice often leads to undue stress and poor decision-making.Maura recounted her experience with her first coach who urged her to secure deals without first lining up the necessary funding. This led to precarious situations where she struggled to manage finances. Jay echoed her sentiments, emphasizing that a successful real estate strategy must start with securing money.Building a Resilient and Strategic MindsetJay Conner detailed how his career was transformed by adopting a resilient mindset. After being cut off from banks during a pivotal moment, Jay didn't despair. Instead, he pivoted towards private money. This mindset—converting setbacks into opportunities—is crucial for anyone in real estate.He highlighted the importance of budgeting for unexpected costs, as the unpredictability of real estate projects is governed heavily by Murphy's Law. Investors are bound to face unforeseen issues. Being mentally prepared and financially buffered for these hiccups sets successful investors apart.From Humble Beginnings to Scaling New HeightsJay Conner’s story is inspiring. He began his journey modestly by focusing on one house at a time. Through hard work and a systematic approach to building his team and automating his processes, he gradually scaled his operations. Technology played a crucial role in managing leads and streamlining team communication.The Power of Private MoneyA significant portion of the discussion focused on the advantages of private money. Jay Conner believes that securing funds before finding deals provides a solid foundation for growth.For those interested in raising private money, Jay Conner suggests:Defining Your Program:Establish key details like interest rates, loan length, and payment frequency.Targeting Potential Lenders:Focus on individuals with idle retirement funds.Partnering with Self-Directed IRA Companies:This facilitates easier transfer of funds for lenders.The 7-Day Private Money ChallengeOne of Jay’s major highlights is his 7-day private money challenge. This accelerated learning program provides daily actionable insights on attracting private money without directly asking for it. Jay outlines a revolutionary approach where the borrower sets the terms, separating the educational aspect from presenting actual deals. This method not only empowers investors but also builds trust with potential lenders.Balancing Work and LifeThroughout the episode, Jay emphasizes the importance of balancing work and life. To reduce stress and create more freedom for himself, Jay automated as much of his business as possible. This transition allowed him to pursue other interests, including his passion for writing music with his wife. Notably, o

Welcome to this week's episode, where we dive into the world of creative financing in real estate with Chris Prefontaine. Chris is a seasoned real estate investor and coach who has trademarked the innovative "3-Payday System." This model transforms conventional real estate transactions into avenues for multiple streams of income, all without the hassle of traditional bank financing.The 3-Payday System: A Game ChangerThe 3-Payday System, trademarked by Chris Prefontaine, is a unique approach to real estate investing that has revolutionized the field. By leveraging owner financing, lease purchases, and subject-to-deals, investors can generate substantial and reliable income streams. Prefontaine’s method ensures that you're leveraging creative financing without risking personal credit or hefty bank loans.Payday 1: Upfront DepositThe first payday comes from obtaining an upfront deposit from buyers who are prepared to purchase but cannot qualify for a traditional mortgage. These "deserved buyers" bring cash to the table, providing the initial influx of funds.Payday 2: Monthly Cash FlowThe second payday is the steady monthly cash flow generated from the difference between your payment to the seller and what you charge the tenant-buyer. This ongoing income stream ensures consistent revenue throughout the term of the deal.Payday 3: Future ProfitThe final payday occurs at the end of the term, with benefits seen from principal paydown and property appreciation. This crucial component makes the 3-Payday System exceptionally lucrative over time.Effective Marketing for Motivated SellersOne of the most significant challenges in real estate is finding motivated sellers. Prefontaine uses a combination of expired listings and targeted marketing strategies to find leads.Utilizing Expired ListingsNon-licensed investors can access expired listings through services like My Plus Leads. These leads are thoroughly vetted by trained virtual assistants (VAs), ensuring that only the most promising prospects move forward.Direct Outreach and Problem-SolvingPrefontaine's VAs focus on direct outreach to these expired listings, asking key questions to gauge the seller's motivation. They ask where the seller was planning to go had the property sold and what the repercussions are if it doesn’t sell again. This strategy uncovers the seller's real motivation and allows the investor to present viable solutions, such as lease purchases or owner financing.Financing Strategies: Versatility in ActionOne of the remarkable aspects of Prefontaine’s system is its versatility. Whether it's owner financing, lease purchasing, or subject-to deals, his approach adapts to various scenarios, including commercial properties.Owner FinancingApproximately 99% of Prefontaine’s deals involve owner financing with sellers who owe nothing on their properties. These transactions offer lucrative principal-only monthly payments, ensuring significant equity build-up over time.Lease PurchasesLease purchase deals make it easy for new investors to step into the market with minimal upfront costs. These agreements allow control over a property for as little as $10, providing ample opportunities for profit through structured agreements.Subject-To DealsIn subject-to deals, the mortgage remains in the seller’s name while the buyer makes the payments. This method is particularly beneficial for sellers needing financial relief, especially those going through life changes like divorce or dealing with the aftermath of COVID-19.Success Stories and Practical ImplementationChris Prefontaine emphasizes the importance of practical experience and highlights some of his most successful deals to illustrate how the system works.Commercial Proper

***Guest AppearanceCredits to:https://www.youtube.com/@TheSourceCRE "Finding Investment Capital in Private Money with Jay Conner"https://www.youtube.com/watch?v=MV3Ed6buyfI&t=26s  In a recent Raising Private Money podcast episode, Jay Conner joins Jonathan Hayek, a former teacher turned commercial real estate investor, they share invaluable insights about private money lending. Their discussion shed light on practical strategies, community involvement, and building trust-based relationships to secure private money for real estate deals.Emphasizing Simplicity and FlexibilityNo-Penalty Approach: A Win-Win SituationJay Conner highlighted the simplicity and flexibility of his private money program. Unlike traditional banking systems, his approach eliminates penalties for early repayments by lenders. Over the years, he has had only two small notes called due early due to medical emergencies. This flexibility benefits lenders who prefer to keep their money generating returns rather than having it returned prematurely. Jonathan Hayek concurred, noting that his lenders also favor keeping their money invested for continued financial benefits.Securing Loans: Importance of Legal DocumentsPromissory Notes, Trust Deeds, and MortgagesA pivotal aspect of securitizing loans involves proper documentation. Jay explained the roles of promissory notes, deeds of trust, and mortgages in protecting both lenders and borrowers. Promissory notes capture all loan specifics, such as borrower details, loan amounts, interest rates, and payment schedules. Deeds of trust or mortgages grant lenders the authority to foreclose if borrowers default. Adding further layers of security, Jay emphasized adding lenders on insurance and title policies. These additional protections ensure that both parties' interests are safeguarded, making the investment process transparent and trustworthy.Identifying Suitable BorrowersUnderstanding Who Should and Should Not BorrowJonathan Hayek queried Jay about scenarios where private money lending might not be appropriate. Jay addressed the question thoughtfully. Not every individual or situation aligns with private money lending. Traditional banking or hard money loans might be more suitable for some. Jay cautioned against borrowing private money without a thorough understanding of real estate. Investors must comprehend property valuation, management, and rehabbing, making decisions based strictly on mathematics rather than emotions.Building Thriving NetworksLeveraging Business Networking International (BNI)One of the keys to Jay’s success in securing private money has been his involvement with Business Networking International (BNI). BNI’s structure allows only one representative per profession in each chapter, fostering trust and encouraging referrals. By joining BNI as a real estate investor, Jay unlocked the potential of a robust network quickly, securing millions in private money.Community Involvement: A Trust BoosterPrinciple of "Givers Gain"Jay and Jonathan underscored the importance of community involvement in gaining trust and attracting private money. Engaging with local organizations like the Chamber of Commerce, Rotary Club, church groups, and Real Estate Investing Associations (REIAs) not only builds visibility but also trust. The principle of "givers gain" is central; by serving and giving to the community, individuals earn trust, making it easier to forge investment relationships. Jay’s active volunteering and consistent networking have established him as a reliable and giving individual, hence attracting significant private investments.Consistency in Lending Terms<