Credits to:
https://www.youtube.com/watch?v=A_bISP70sOs
“E47: The Power Of Private Money with Jay Conner”
https://www.youtube.com/@livingwellwithrentwell
In the ever-changing landscape of real estate investing, one timeless truth emerges time and again: access to capital is the lifeblood of successful deals. While many new and experienced investors believe that finding the perfect property is the key to building wealth, industry veterans like Jay Conner know that it’s actually securing funding—particularly Private Money—that lays the foundation for growth and confidence in real estate.
What Is Private Money, and Why Does It Matter?
First, let’s clarify what we mean by Private Money. Unlike institutional money, which comes from banks or traditional lenders, Private Money is lent by individuals—people just like you and me. Jay Conner describes it simply: “A private lender is a human being… an individual that loans money to you, the real estate investor, either from their investment capital and/or their retirement funds.”
This access to capital is a game-changer. For six years, Jay Conner built his real estate business using only bank financing. That all changed in 2009, during the global financial crisis, when he found his credit lines abruptly cut. Within two weeks, he discovered Private Money and raised over $2.1 million, never missing out on a deal for lack of funding since. This turning point didn’t just save his business; it tripled it.
The Key Principle: Get the Money Before the Deal
There’s a pervasive myth in real estate circles: “Get the deal under contract, and the money will show up.” Jay Conner calls this “the most stupid thing in the world.” He emphasizes, “The money comes first. Focus on getting the money lined up. There’s always going to be deals.” Having money ready doesn’t just enable you to act quickly; it transforms your negotiating power and confidence. Imagine approaching sellers knowing you can close fast—often securing properties at substantial discounts, as Jay Conner routinely does.
Building Wealth in Small Markets
One of the most inspiring aspects of Jay Conner’s story is his success in a market with just 40,000 people. Many believe that major cities hold the opportunity, but his team consistently flips 2-3 houses a month, averaging $78,000 in gross profit per deal. He’s proof that with the right strategies—and Private Money—you can dominate even a “sandbox” market and net millions annually.
Becoming the Local Authority
Consistent marketing and ethical deal-making have set Jay Conner apart in his small-town community. Not only is he solving sellers’ immediate problems—offering creative solutions that banks and traditional buyers cannot—but he’s also revitalized hundreds of properties and helped residents. Having cash available through private lenders means he can close quickly, buy homes at a discount, and even let sellers remain until they’re ready to move.
Raising Private Money the Right Way
For many, the daunting part is simply asking people for money. Jay Conner flips the script: he never asks for money. Instead, he puts on his “teacher hat,” educating people in his network—friends from church, local business groups, or the Rotary Club—about how they can make safe, high returns on their capital by lending it, securely backed by real estate. He separates the conversation about the program from individual deals, never pitching a specific property in a desperate rush.
His process earns trust and creates win-win relationships. Whether folks are new to real estate or seasoned pros, Jay Conner’s approach to Private Money enables investors to confidently scale, navigate tough markets, and build community impact.
The Takeaway
If you’re ready to level up your investing, Jay Conner says it best: “Own the real estate between your ears first.” The right mindset, ethical approach, and commitment to educating and serving others will put you on the fast track to raising Private Money—and to transforming your real estate business for years to come.
To get started, download Jay’s free guide at www.Jay.Conner.com/MoneyGuide, and don’t wait for the next deal to scramble for funding. Instead, let the money chase you.
10 Discussion Questions from this Episode
- Jay Conner emphasizes the importance of Private Money over institutional lending. What are the key benefits he identifies for real estate investors who focus on Private Money rather than relying on banks?
- How did the 2009 financial crisis serve as a turning point in Jay Conner’s career, and what broader lessons can real estate investors learn from his experience losing access to traditional funding?
- Jay Conner mentions the concept of buying properties in small markets and achieving significant profits. What strategies does he use to dominate these markets, and do you think similar tactics would work in larger cities? Why or why not?
- When working with private lenders, Jay Conner stresses the mindset shift from asking for money to offering an opportunity. What are the psychological or practical advantages of this approach for both investors and lenders?
- The episode touches on the importance of consistency in marketing and deal-making. How has consistency contributed to Jay Conner’s ongoing success, and what are some practical ways investors can remain consistent in a competitive market?
- Jay Conner shares a story of acquiring new private lenders by simply teaching them about his program rather than directly soliciting money. How does education build trust in these relationships, and what are some potential pitfalls if this process is handled poorly?
- What role does creativity play in structuring real estate deals, especially as described by Jay Conner when helping sellers solve non-traditional problems? Can you think of examples where creative deal structure might be necessary?
- The discussion highlights the need to secure funding before seeking deals rather than the commonly held belief that “the money will follow the deal.” Do you agree with this stance? Why or why not?
- Reflect on Jay Conner’s advice regarding mentorship and the importance of learning from someone active in the arena. What qualities should you look for in a real estate mentor or coach, and how can you assess their current relevance?
- The episode ends with personal routines and philosophies for maintaining well-being. How do you think daily habits and mindset have contributed to Jay Conner’s professional achievements, and what routines could you implement in your own life for similar success?
Fun facts that were revealed in the episode:
- First Deal Drama: Jay Conner’s first real estate flip was so rundown and smelly that his wife wouldn’t even get out of the car to see it, and his father questioned his sanity upon seeing the property.
- Small Market, Big Results: Despite investing in a town of only 40,000 people, Jay Conner and his wife have flipped over 475 houses and now average 2–3 deals a month, showcasing that major real estate success doesn’t require a massive urban market.
- Private Money Power: Jay Conner raised over $2.1 million in private funds in less than two weeks after being cut off from bank financing in January 2009, a pivot that transformed his business and ensured he never missed out on a deal due to lack of funding again.
Timestamps:
00:00 Starting in real estate investing
04:35 Finding a promising property deal
08:54 Discovering Private Money funding
11:24 House flipping profit margins
15:15 Flipping houses in small markets
20:07 Creative real estate solutions
22:21 Investing in small town real estate
26:52 Navigating financial uncertainty
28:00 Discussing real estate investing strategy
33:19 Explaining Private Money lending
35:11 Explaining the investment program
38:54 Finding private lenders for real estate
43:18 Experienced real estate investors
45:04 Focusing on a single asset class
47:21 Shifts in real estate investing
52:42 Morning routine and self-care steps
54:31 Morning personal development routine
Connect With Jay Conner:
Private Money Academy Conference:
https://www.ThePrivateMoneyConference.com
Free Report:
https://www.jayconner.com/MoneyReport
Join the Private Money Academy:
https://www.JayConner.com/trial/
Have you read Jay’s new book, Where to Get the Money Now?
It is available FREE (all you pay is the shipping and handling) at https://www.JayConner.com/Book
What is Private Money? Real Estate Investing with Jay Conner
http://www.JayConner.com/MoneyPodcast
Jay Conner is a proven leader in real estate investing. Without using his own money or credit, Jay maximizes creative methods to buy and sell properties with profits averaging $86,000 per deal.
#RealEstate #RealEstateInvesting #RealEstateInvestingForBeginners #Foreclosures #FlippingHouses #PrivateMoney #RaisingPrivateMoney #JayConner
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