***Guest Appearance
Credits to:
https://www.youtube.com/@VastSolutionsGroupdotcom
“Real Estate Deals with Private Money!”
https://www.youtube.com/watch?v=70bQ7fWVgiM&t=367s
If you’re a real estate investor, entrepreneur, or simply someone looking to take your business to the next level, you’ve likely encountered one common hurdle: access to funding. The latest episode, featuring Jay Conner and Kenner French, dives deep into an innovative approach that has been helping investors scale their portfolios for years—raising private money without ever directly asking for it.
Jay Conner, recognized in the industry as “The Private Money Authority,” shared the actionable, real-life steps that have powered his own success since 2009 and transformed the investment businesses of countless others. He emphasizes that this isn’t a theory—it’s a proven strategy honed over years of real estate experience.
Private Money vs. Hard Money: Understanding the Difference
One of the biggest takeaways from the episode is Jay’s distinction between hard money and private money. As Jay notes:
“Private money has had more of an impact…in my real estate investing career ever since 2009 when I started doing it beyond anything else that I’ve done.”
Hard money lending typically involves strict terms, high interest rates (often between 12% and 14%), origination fees, appraisals, and a limited timeframe to repay the loan. By contrast, private money is all about building one-on-one relationships with individuals—often from your own network. These lenders provide funds from their investment capital or retirement accounts, allowing the real estate entrepreneur to set the terms, interest rates (often as low as 8%), and loan period (usually multiple years).
The Mindset Shift: From Borrower to Teacher
A recurring theme throughout Jay’s approach is the importance of mindset. Most people think the person with the money makes the rules, but Jay flips the script.
He urges investors to:
“Take on the mindset of having a servant’s heart and put on your teacher hat.”
Rather than begging or selling, you develop a program, become the “private money teacher,” and share opportunities with potential lenders in your network.
This isn’t about joint ventures or giving away equity. The private lender becomes, in essence, a bank, collateralized not through ownership but through promissory notes and deeds of trust.
Five Steps to Raise Private Money
Jay outlines a simple, replicable five-step process:
- Make Your List: Identify the top prospects in your own network—people in your contacts, at church, or on your email list.
- Opening Conversation Script: Use direct or indirect methods (which Jay expands on in his conference) that don’t involve asking for money, but instead spark curiosity and invite questions.
- Stress-Free Investing Audio: Jay records a short audio to introduce people to the concept of private money, raising questions without pitching the opportunity directly.
- One-on-One or Group Presentation: Teach the program, share success stories, outline terms, and explain the safety and profitability of private lending.
- Verbal Pledge: Secure a verbal commitment about how much a prospective lender can offer, without pressure or paperwork at this point.
Why Private Money Works—for Both Sides
There are a wealth of reasons why investors prefer private money: no credit checks, no income verification, no personal guarantees, fast closings, and the ability to bring home fast cash and fund unlimited deals. For private lenders, their investment is safely collateralized, they earn far more than a CD or savings account, and if structured correctly, even their retirement funds can be leveraged through self-directed IRAs for tax-advantaged gains.
Ready to Learn More?
Jay Conner’s methods have changed lives, as highlighted by success stories like Crystal Baker and the Carmadelles, who went from working grueling hours to financial independence thanks to his system. Want to dig deeper? The upcoming Private Money Conference (October 8–10 in Atlantic Beach, NC) offers invaluable networking with Jay’s personal lenders, in-depth sessions, and the chance to learn all the steps in person.
Whether you’re starting or ready to scale your investments, Jay Conner’s strategy offers a fresh perspective on raising money—centered on service, education, and building lasting relationships.
Are you ready to unlock the power of private money? Don’t miss the chance to attend the Private Money Conference and connect with industry leaders who can help you transform your real estate business.
10 Discussion Questions from this Episode:
- Jay Conner emphasizes raising private money “without ever asking for money.” What do you think are the key elements that make this approach effective, and how does it differ from traditional fundraising methods in real estate?
- Jay talks about having a “servant’s heart” and putting on a “teacher hat” when approaching potential private lenders. Why do you think mindset and approach matter so much in real estate investing, especially in building relationships with investors?
- The episode discusses a pivotal moment in 2009 when Jay’s line of credit was suddenly closed by his bank. How did this challenge redefine his business strategy, and what can listeners learn about overcoming setbacks from his story?
- Private money vs. hard money: Jay lists several differences, including approval processes, interest rates, and loan terms. Which differences do you think make private money more attractive to investors, and are there any potential downsides?
- Jay outlines three categories of private lenders: your own connections, expanded warm market, and existing private lenders nationwide. Which category would you feel most comfortable starting with, and why?
- The episode mentions leveraging self-directed IRAs as a source of private money. What are the benefits and risks of using retirement funds for real estate investing, both for investors and lenders?
- Jay claims you should always be able to “bring home a big check” when purchasing with private money, as long as you’re buying right. How feasible is this strategy in today’s market, and what safeguards should new investors put in place?
- Kenner French points out that a lot of the audience are commercial property investors. How transferable do you think Jay’s strategies are to the commercial real estate space, and what adjustments might be necessary?
- The episode features real success stories from Jay’s private money conference attendees. What qualities or actions do you think set these successful investors apart from those who struggle to raise funds?
- Jay talks about the role of networking and building a strong team in scaling his real estate business. In your experience or observation, how important is team-building compared to capital-raising in the success of a real estate investment business?
Fun facts that were revealed in the episode:
- Jay Conner raised over $2,150,000 in private money in less than 90 days after being cut off from traditional bank financing in 2009. He did this by leveraging relationships and a unique approach of teaching others about private money—rather than begging or chasing investors.
- Jay’s approach to private money allows real estate investors to bring home a big check when buying a property—sometimes even three big checks per deal! He teaches how to structure deals so investors get paid upfront, during, and after a real estate transaction, often without using any of their own money.
- At Jay Conner’s Private Money Conference, attendees get to meet actual private lenders in person and even go on a rehab renovation bus tour to see real properties and learn directly from Jay’s dream team, including his real estate attorney, realtor, interior designer, and project manager.
Timestamps:
00:01 Business Secrets for Entrepreneurs
09:52 Getting Paid to Buy Properties
13:46 From Banks to Private Money
20:34 Private Money Strategies Explained
24:46 Private Lending Simplified
29:19 Hard vs. Private Money Advances
32:52 Hard Money vs Private Money
40:57 Private Money & Lease Option Profits
46:24 Private Money for Real Estate Deals
52:20 Private Money Conversation Strategies
57:04 Funding Deals with Self-Directed IRAs
59:48 Funding Strategies for Real Estate Deals
01:05:45 Life-Changing Event Success Stories
Connect With Jay Conner:
Private Money Academy Conference:
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 real estate investment leader. Without using his own money or credit, Jay maximizes creative methods to buy and sell properties with profits averaging $67,000 per deal.
#RealEstate #RealEstateInvesting #RealEstateInvestingForBeginners #Foreclosures #FlippingHouses #PrivateMoney #RaisingPrivateMoney #JayConner
YouTube Channel
https://www.youtube.com/c/RealEstateInvestingWithJayConner
Apple Podcast:
Facebook:
https://www.facebook.com/jay.conner.marketing
Twitter:
https://twitter.com/JayConner01
Pinterest:
https://www.pinterest.com/JConner_PrivateMoneyAuthority
From Bank Rejection to Millions: The Private Money Transformation
Jay Conner [00:00:00]:
What I’m going to share in this presentation is called How to raise private money without ever asking for money. And what I want to share in this presentation, Kenner, with your subscribers to your community is actual, real-life life actionable items that work. It’s working today. It’s been working for a very, very long time, nd of course, I tweak it and change it as we go along. But I’m only going to share the steps as to how to do this, as to what has actually really worked for me and really works for my community members as well.
Narrator [00:00:38]:
If you’re a real estate investor and are wondering how to raise and leverage private money to make more profit on every deal, then you’re in the right place to raise private money. We’ll speak with new and seasoned investors to dissect their deals and extract the best tips and strategies to help you get the money. Because the money comes first. Now here’s your host, Jay Conner.
Kenner French [00:01:09]:
Hey there. Kenneth French, with a vast voice, tells business secrets to entrepreneurs. We’re very, very happy you stopped by. Either you’re going to watch this or listen to this because you want to take your business to the next level. You’re probably an entrepreneur who’s either just starting or you’ve been around for quite a while, nd you want to take your business to the next level. You’re probably a real estate investor, maybe even a real estate agent, maybe a professional or some sort t professional advisor of some sort. And well, you are stopping by because you need some valuable advice from one of the top industry leaders there is. Anyway, thank you very much once again, Kenneth French, vast voice telling business secrets to entrepreneurs.
Kenner French [00:01:45]:
Really glad you stopped by, Mr. or Mrs. Real Estate Entrepreneur. Are you looking for money for real estate? Jake Conner is your man. Jay, I’m so glad we’re chatting about this because this is going to put money in real estate in real estate investors’ pockets. That’s why you’re here. Thanks for being here.
Jay Conner [00:02:02]:
Absolutely. Kenner, thank you so much for inviting me to come along and talk about the topic that I’m so excited about and I’m so passionate about, that being private money to fund real estate deals. And the reason I’m so passionate about it is because private money has had more of an impact, made more of a difference in my real estate investing career ever since 20,9 when I started doing it beyond anything else that I’ve done.
Kenner French [00:02:30]:
You know, I’ve talked to a couple of your clientssactually, this guy named Ron Legrand, who’s kind of a Famous investor. And he was talking about how good you are in the marketplace, helping people get money. And really, that’s what real estate is about, is, well, hopefully amassing as much real estate and potentially using other people’s money to amass a fortune, and who knows, maybe even provide money for future generations. I think it’s unbelievable what you’ve done. I can say without a doubt that I know enough people who know you. You’re the real deal with respect to real estate.
Jay Conner [00:03:00]:
Well, I appreciate that, Kenner. Yeah, what I’m going to share in this presentation is called How to Raise Private Money Without Ever Asking for Money. And what I want to share in this presentation, Kenner, to your subscribers to your community is actual, real-life, real-life, life actionable items. That works. It’s working today. It’s been working for a very, very long time. And of course, I tweak it and change it as we go along. But I’m only going to share the steps as to how to do this, as to what actually really worked for me and really works for my community members as well.
Kenner French [00:03:40]:
Yeah, that’s, that’s exactly what I’m going to ask of. And you know, as you know, most of our people, real estate investors, they’re entrepreneurs, really for the most part. They are, you know, trying to get their business and real estate business or whatever, you know, real estate investing business to kind of the next level. Maybe they’re, you know, they have a net worth of a million or maybe even, probably even higher, and they want to, you know, get a bigger portfolio, and they don’t want to have to ask or beg people for money. And that’s why I think you’re here. So why don’t we get right to it? I’d love to see your presentation. I’m going to ask a bunch of questions.
Kenner French [00:04:10]:
You know me, I’m an inquisitive guy, and by the way, my name is Kenneth French with Fast Solutions group dot com. We have podcasts, we have several things out there that are for added value elements for real estate investors, and this is one of them. So please go ahead, share what you have and help the audience, the viewers, the listeners, to, well, take their business to the next level.
Jay Conner [00:04:28]:
Awesome. Well, Kenner, I am not the technological greasy monkey, if you know what I mean. So, if you will let me know here in just a moment if I am sharing my entire screen. I will.
Kenner French [00:04:44]:
Looks like you’re moving forward. Looks like you are sharing your screen. No, oh, she, your whole screen. And now we see, ah, we see your presentation, how to raise private money without asking for money, by none other than Jay Conner.
Jay Conner [00:04:57]:
Thank you, Kenner. Well, I’m gonna go ahead and jump in again, Kenner, interrupt me anywhere, you know, along the way here. And just for everyone that is watching and listening to this presentation, this content, I’m going to cover a lot of content, step by step, actionable items. And I’m going to anticipate we’re going to go probably about 50 minutes or so, which will leave plenty of time for us to be done in less than an hour after Kenner, you know, asks me any clarifying questions. And Kenner, by the way, if you have that compelling comment or question, as I’m going through this presentation, feel free to interrupt me at any time. Okay, I will.
Kenner French [00:05:38]:
Thank you very much. Because I think I’m going to try to represent myself just like I would if I were an audience member and ask questions. And. And by the way, you’re not getting paid for this. I’m not getting paid for this. This is truly to add value to the listeners and viewers out there. So again, without further ado, please go ahead.
Jay Conner [00:05:53]:
All right, well, here we go. So hopefully, as you are watching and listening to this presentation, you are aware that you can write notes. So wherever you’re taking your notes, go ahead and write down the title of this presentation, How to raise private money without asking for money. And you can put my name down there as well, Jay Conner. And I’m an er not an or J a y c o n n e R. And we’ll go ahead and dive right in. But before we do, I just want to go ahead and let you know, for those of you who are listening in and watching, that this has got nothing to do with hard money. And by the way, some of my best friends on the planet are hard money lenders, and they’ve actually used my techniques that I’m going to share with you here in this presentation to raise private money from private investors to invest in their hard money fund.
Jay Conner [00:06:45]:
So in no way am I, you know, talking down about hard money lenders. But when we talk about private money, what we’re talking about is doing business with individuals just like you and e and Kennewhot is loaning money, investing in your deals. They’re loaning money on your deals either from their investment capital or their retirement funds. So I just want to give you that background right there, which you’re going to be doing business with individuals. So I’m going to show you in this presentation, first of all, how to never miss out on any deal due to a lack of money. I’m going to show you the exact steps that you need to attract unlimited funding for your real estate deals. Now, when I say the word attract, that’s a very, very important word. Because in this world of getting private money and funding for your real estate deals, this has got nothing to do with begging or chasing or selling or trying to persuade or talk anybody into loaning you money.
Jay Conner [00:07:47]:
In fact, you’re going to learn here in a moment exactly how I go about attracting private money without ever asking anybody for money. I’m going to share with you here, step by step, the five steps on how to raise private money. First of all, from your own connections. I’m also going to show you how to attract funding from three different sources. So the question is, what are the different categories of private lenders, and where do you find these private lenders to fund your deals? I’m going to share that with you in this presentation. I’m also going to show you how to locate over 12,000 new private lenders every month that are from all across the nation. Well, what am I talking about there? Well, we have this proprietary software that’s called the private lender data feed. We update it every month,,h and we actually get every private lender closing information in the nation.
Jay Conner [00:08:49]:
With the private lender’s contact information, we get the interest rate that they are being paid. And so that’s a whole other category right there of where you find private lenders. And I’m going to show you the five steps that I did that still work today, as to how I raised $2,150,000 in new private money in less than 90 days after I was cut off from the banks. Now, I’m also going to teach you the following three things. I’m going to teach you in this presentation how to buy properties without using any of your own money. In fact, it gets better than that. I’m going to show you in this presentation how to always bring home a big check when you buy a property without ever taking any of your own money to the closing table. Here’s the question.
Jay Conner [00:09:46]:
Who wants to get paid to buy properties?
Kenner French [00:09:50]:
Right here. Kenner does.
Jay Conner [00:09:52]:
Kenner wants to get paid to buy properties. So I mean, not only in this world of raising private money and using private money for your real estate deals, you never have to take any of your own money to the closing table. All of these deals are essentially no down payment deals, and you’re going to bring A big check when you buy the property, and you’re going to get multiple checks. I’m going to show you here how to get as many as three big checks on every transaction that you do when you’re using private money. And I’m going to show you how to get all of your rehab money up front if a renovation is involved. Now, I’ll say this again during the presentation, but it’s so important, I want to say it right here. Private money is not only for rehabbing and renovations. Private money you’re going to use whenever the seller, and I don’t care if the seller is an institution, a bank owned property, or if the seller is a for sale by owner off market property, you’re going to use private money when the seller requires all the cash.
Jay Conner [00:11:04]:
We’ll dig into that a little bit deeper. Now in case, in case you have to jump off early from this presentation, I don’t want you to miss out because you are in Kenner French’s world and in his community. You are going to get a big gift right here. You’re being invited to the private money conference. To the private money conference. And as you can see here on the PowerPoint, it’s October 8th, 9th, and 10th right here in eastern North Carolina. This private money conference is not another event like it on the planet. The tickets for a person and a guest are typically and normally $2,997.
Jay Conner [00:11:47]:
And because you are here with Kenner French, you get to come for a measly $97 registration fee. So I’ll talk more about the live event at the end of this presentation. But in case you have to jump off early, go ahead and take a picture right now of that QR code. In fact, take a picture of this entire PowerPoint slide. You got the URL down there at the bottom. Go.jConner.com vast v a s T and we’ll talk more about it at the end of this presentation. But I didn’t want anybody to miss out on this in case you had to jump off early.
Kenner French [00:12:26]:
And by the way, thank you. That’s a big event. I’ve heard some of your events are, you know, they’re truly adding value to the audience. So I do appreciate you doing that. And I’m gonna, I’m gonna drive something home. That’s a big benefit for you people who are out there. Again, there’s. He’s not getting paid for this.
Kenner French [00:12:39]:
I’m not getting paid for this. This is, is a truly of value. There’s a lot of value that Jay brings to the table, hence the reason he’s here. And so please do look into that. Take a picture of the screenshot, I think it’ll make of that screen. I think it’ll. It’ll truly add some value to you because I’ve heard so many good things about, you know, what Jay brings to the table. I mean, who wouldn’t want money, money for closing on a piece of real estate, whose hopefully that real estate is going to, you know, grow in value, etcetera, etcetera.
Kenner French [00:13:07]:
This is a big deal. Thank you very much, Jay, for this.
Jay Conner [00:13:10]:
Oh, well, thank you, Kenner. And yeah, I mean, at this event, I don’t know another event like I.. I’ve got private lenders, my personal private lenders, at the event for you to network with. And of course, we talk a lot at the event about how to raise private money. And. But anyway, I’ll give you more details. But then again, as Kenner just said, be sure to take a picture of that slide right there so you don’t miss out. So who in the world is Jay Conne, and how am I qualified to talk about private money other than Kenner? French told you so. Yeah.
Jay Conner [00:13:46]:
So anyway, here’s how I got involved in private money. So my wife Carol Joy and I started investing in single-family houses here in eastern North Carolina all the way back in 2003. That far back? Well, from 2003 until January of 2009, Kenner, the only thing that I knew to do to get my real estate deals funded was to go to the local bank, apply for a mortgage, or go to the. Go to a mortgage company, apply for a mortgage. And the banker always made me pull up my skirt so they could look at my personal assets and pull, you know, get my financial statement, pull my credit score, all that jazz. And so that was institutional money. And you know, they always had to pull an appraisal. It would normally take about four weeks to close and all that kind of stuff.
Jay Conner [00:14:40]:
It was traditional funding. Well, that worked out okay for the first six years from 2003 to January 2009. And then in January 2009, I was sitting right here at my desk, and I had two houses under contract to fund. So I call up my banker, which I’d done many times for six years. I called up my banker, whose name was Steve, and Steve and I had a little chat, and I told Steve about these two houses that I have under contract to close on. And I immediately learned from Steve, just like that. That my line of credit had been closed with no notice to me, mind you. And I said to Steve, I What in the world are you saying that my line of credit’s been closed? Why? We’ve had a great business relationship here for six years.
Jay Conner [00:15:38]:
Always made my payments on time. My credit score is 800. Why are you shutting down my line of credit? And Steve said, Jay, don’t you know there’s a global financial crisis going on right now? I said no, but you just gave me a financial crisis.
Kenner French [00:15:57]:
I don’t.
Jay Conner [00:15:58]:
I don’t have a way to fund these two deals. And Steve said, Well, Jay, we’re not loaning money out to real estate investors anymore. Sorry. So I hung up the phone, and I sat here for a moment. And Kenner, I want to share with you and your audience A very powerful question that I asked myself. In fact, the answer to this question that I’m going to share totally changed the trajectory of my real estate investing business. In fact, this. The answer to this question will help fix any problem that anybody’s got going on in their life.
Jay Conner [00:16:37]:
By the way. By the way, Kenner, these people running around saying, Oh, every problem is an opportunity. I want to throw up and be like the Kool-Aid guy who runs into the brick wall on TV. Listen, I didn’t have an opportunity. I had a problem. Let’s face the fact now, did that problem become an opportunity? Absolutely. But at that moment in time, I had a problem. Well, here’s the question that I asked myself.
Jay Conner [00:17:03]:
You know, the power is in asking the right questions. And here’s the question I asked myself. I said, Jay, who? And there it is. It’s not how, it’s who. I said, Jay, who do you know they can help fix your problem? And you know what’s funny, Kenner, immediately when I asked myself that question, I immediately thought of Jeff Blankenship. Well, who was Jeff Blankenship? A dear friend of mine. And Carol Joyce, still to this day, very, very close friend.
Jay Conner [00:17:35]:
Well, at the time, in January of 2009, Jeff was living in Greensboro, North Carolina, and he was investing in single-family houses. So I called up Jeff. I told him what had just happened, and the conversation I had with my banker, and getting cut off at the bank. And, you know, Jeff said, Well, Jay, welcome to the club. And I said, What club is that? I’m not sure I want to be a member of this club. He said, Well, that’s. This is the club of getting cut off from the bank. He says, My bank cut me off last week.
Jay Conner [00:18:07]:
I said, Well, Jeff, I said, how are you going to fund your real estate deals? He says, Well, have you ever heard of private money? I said, No. He said, Have you ever heard of self-directed IRAs and how individuals can move retirement funds that they have over to a self-directed IRA company with no tax effect, no penalty, and then the interest that we pay them on them funding our deals is either tax-free or tax-deferred to them. I said, Jeff, I don’t have a clue what in the world you’re talking about. I said, What is private money? He says, well, there’s. He said, There’s this gentleman down in Jacksonville, Florida, by the name of Ron LeGrand. And I said, Well, who’s Ron Legrand? He said, Well, I don’t know. And I said, well, what’s private money? Jeff says, Jay, I told you, I don’t know. But Ron Legrand says, we can get a lot of it really, really fast.
Kenner French [00:19:08]:
That’s crazy because I mentioned Ron Legrand speaking of you earlier. So this is really cool. Keep going. I like this.
Jay Conner [00:19:14]:
Yeah. So, Jeff and I, along with Jeff, went to my very first real estate investing conference. I’d already been in this business for six years, so I went to Ron Legrand’s event to learn about private money. Not it. Not knowing what in the world it was. Well, Kenner, I came back home here to Morehead City. I put my program together, my opportunity that I was going to offer to potential private lenders. And you know, I was blessed and able to raise $2,150,000 in less than 90 days of starting to share this private money opportunity with people in my own network.
Jay Conner [00:19:55]:
So let’s stop right here. I want to make a point. People ask me all the time about real estate investors who haven’t raised any private money or much. They’ll say, Jay, what’s the first thing that I need to do to start raising private money? And here’s the answer. Do exactly what I did. And that is owning the real estate between your ears. Now what in the world do I mean by that? Here’s what I mean by owning the real estate between your ears. Take on the mindset of having a servant’s heart and put on your teacher hat.
Jay Conner [00:20:34]:
Put on your teacher hat now. My teacher hat says private money. Teacher. Now what in the world does this mean, and where am I coming from? The first thing I did, other than getting the right mindset, was I put my program together as to my opportunity, and I was first going to share, and I did first share my private money opportunity with my own connections, people that I go to church with, people that are in my cell phone, etc. So I want to stop right here, slow down. I want everybody to understand exactly where I’m coming from, right here in what I’m saying. You see, the traditional way to borrow money, which is what I did for the first six years in this business, the traditional way to borrow money is to go to the local bank or to a mortgage lender or to a hard money lender and apply and get your credit pulled. And the traditional way to borrow money is that the lender makes the rules.
Jay Conner [00:21:43]:
That’s the traditional way. The traditional thinking is that 99.9999% of people walking around think that he or she who has the money makes the rules. Right. That’s, ‘s what we’re conditioned to think all these years. The traditional way to borrow money is that the lender is the underwriter. They put the terms together, they decide what the interest rate is, they decide the frequency of payments, and they decide the maximum loan-to-value. Well, here’s where we have to stop right here. Because what I did is I put together this way of raising private Money that is 180 degrees different, opposite direction from the traditional way of borrowing money.
Jay Conner [00:22:33]:
And here’s what I mean by that. First of all, in this way of raising private money, there are no applications. You’re already approved.
Kenner French [00:22:43]:
There’s magic in that. There’s total magic in that. Because who. I mean, obviously, if you have a chunk of money and you’re a bank or whatever, you want to make sure that your money’s well taken care of. But if you’re truly making it the way you are making it, so you’re already approved, that’s 90% of the battle.
Jay Conner [00:23:01]:
You’re already approved. You are your own underwriter, and you are going to set the interest rate, you’re going to set the maximum loan-to-value. And you know what I say, just sort of duplicate what I offer and the program that I’ve put together at the upcoming live event, the Private Money Conference, I’m going to spend an entire session, the morning of the first day, teaching you exactly what it is for you to offer and to teach to potential private lenders. So that’s the first thing that we have to get straight in our minds. No chasing, no begging, no selling, no asking. You’re leading with being a teacher and exposure to people in the first category of private lenders. That’s your own connections. So what did I do?
Jay Conner [00:23:49]:
In fact I’ll, I’ll share right here. No, I’ll hold off on that for later in the presentation at the end. I like that.
Kenner French [00:23:57]:
Very cool.
Jay Conner [00:23:58]:
I’ll share. I’ll wait till a bit later, but I’m going to share with you exactly how I got my very first five hundred thousand dollar private lender after putting my program together to share and teach. So this is the main thing to get right here. There’s no chasing, no begging. You’ve got your program put together that you’re going to teach and offer to people, and then, without asking, you know, you’re going to expose them to self-directed IRAs and how that works. So we want to make sure we’ve got this mind shift. Different right than borrowing traditional money. So who’s a private lender? It’s an individual human being, just like you or me or Kenner, that loans money to real estate investors from either their investment capital or their retirement accounts.
Jay Conner [00:24:46]:
In fact, there are other areas where they can get money to loan you money on your real estate deals that I’ll share with you here in a few minutes. So private money or private lending is simply a one-on-one transaction with no middle person involved. You see, that’s why in this world of private money, you never pay origination fees, you never pay points because there’s no middle person involved. So I’m not talking in this world of private money, I’m not talking about doing business with a joint venture partner. You know, the old business model is okay; somebody puts up the money. Then we, as the real estate investor, do the work; we, you know, do our marketing, we negotiate deals, and then at the end of that deal, you’re sharing the profits. That’s not, that is not this world, okay? The joint, the private lender, writes this down. If you’re taking notes.
Jay Conner [00:25:44]:
The private lender is the bank, okay? It’s your land trust, it’s your LLC. Whatever entity you are buying real estate from, you are the owner of the property. The private lender has no percentage ownership or whatever. So we’re going to protect the private lender the same way that a bank or a mortgage company, or a hard money lender would be protected. And I’m going to show you here a little bit later on here in the next few minutes how we actually protect our private lenders. We’re not talking hard money here, as I mentioned when we started. So what are some of the big differences between hard money and private money? Well, one or two big differences. We’ve already said you’re doing, you’re not borrowing institutional money, you’re doing business directly with another individual or individuals.
Jay Conner [00:26:39]:
You can have more than one private lender funding the same real estate deal. Secondly, I already mentioned a big difference. Hard money lender makes the rules, they set the terms, they’re the underwriter. We and this pro. In this way of doing business, you are your own underwriter. You are already approved. So here are some of the big differences as far as money goes. A hard money lender is going to charge right now anywhere from 12% to 14% depending on your experience.
Jay Conner [00:27:09]:
Private money, 8%, no points.
Kenner French [00:27:14]:
8% is that, that’s on an ongoing basis, meaning pretty much whenever we’re talking about it, it’s going to be 88%.
Jay Conner [00:27:22]:
Yes. Kenner, from January of 2009 until right now, here today, I’ve been paying my private lenders 8%. And you know, one question that I get commonly, Kenner, is people will say, Jay, how in the world are you still paying your private lenders 8% when the market rates have gone up tremendously, particularly, you know, the past five years? Well, here’s the answer. Remember who makes the rules. The market has nothing to do with how much we’re paying our private lenders. So first of all, we make the rules, we’re offering the opportunity. But secondly, what we do is we compare what we’re paying in private lender interest, 8% to what an individual can get in a certificate of deposit or savings account at the local bank. Okay, so you know, savings accounts right now are less than 1%.
Jay Conner [00:28:19]:
You can get a seven-month certificate of deposit for 3%. Well, 8% is a whole lot more money than 3%. Right. So the interest rate is very, very different. Here’s another big difference: the length of the note. In this world of private money, there’s no hurry to pay the loan back. A hard money lender, the typical length of the note is either going to be six months or nine months, maybe sometimes 12 months. Well, my notes with my private lenders are either two years or five years.
Jay Conner [00:28:54]:
Now I’m typically not going to use the money that long on a deal, but there’s no hurry to pay the money back. In this world of private money. Here’s a huge difference. I’m sorry, Kenner.
Kenner French [00:29:07]:
No, I mean, I like this, this is, this is exactly what I was looking for. I think this is, this is help from, helpful for me as a real estate person. I mean, you’re outlining so many Things that add value to me, I mean, it’s. This is exactly what I was hoping for.
Jay Conner [00:29:19]:
Absolutely. Another big difference between hard money and private money is what we call the advance. The advance. Well, what do I mean by the advance? The advance is how much money the lender, regardless of who the lender is, how much money will the lender advance to you at closing when you purchase the property? Well, hard money lenders are going to typically advance to you somewhere between 65% and 80% of the purchase price, not of the after-repaired value of the purchase price, regardless of how good the deal is. Which means on average, when you’re borrowing hard money or borrowing any kind of institutional money, on average, you’re going to have to bring a 20% down payment to the closing. Guess what? Here in the world of private money, you’re going to get 100% of your purchase price. If there’s renovation or rehab involved, you’re going to get 100% of the renovation cost upfront when you close and purchase. And you should be able to pull out additional equity if you want to.
Jay Conner [00:30:29]:
Now here’s the writer downer, and I’m going to give you the math so you can follow this in just a second. Okay, here’s the writer downer. When you’re paying all cash purchasing a single-family house, when you’re paying all cash with private money, if you cannot bring home a big check when you purchase the property, you are paying too much for the property, period. Now, let me give you an example to write down.
Kenner French [00:30:59]:
I was just about to provide an example because it sounds like it’s really, really good.
Jay Conner [00:31:03]:
Oh, in fact, it sounds like it’s too good to be true is what it sounds like. So let me give you the facts. So I hope you’re taking notes. So I want you to write this down. Let’s say that there is a single-family house. I’m going to use small numbers because it’ll be easy to follow. Okay, let’s say you got an after-repair value house of $200,000. So that’s the after-repair value.
Jay Conner [00:31:27]:
Now I’m going to buy that house when there’s like a $30,000 rehab to it. I’m going to buy that house all day long for no more than 50% of the after-repaired value. Someone bought that house for $100,000. So write down after the repaired value 200,000, Hershey’s price, 100,000, as your purchase price. Now here’s where the magic comes. You can borrow if you do it the way I do. You can borrow up to 75% of the after-repaired value. I didn’t say 75% of the purchase price.
Jay Conner [00:32:06]:
75% of the after-repaired value, where the after-repaired value is $200,000, which means you can borrow $150,000 when you purchase the property. So watch this. You’re closing on the property. You have your private money lender wire $150,000 to the real estate attorney’s trust account. You’re going to buy it for 100,000. So you got 100,000 of that 150,000 going to the seller of the property. Well, watch, that leaves a $50,000 excess cash to close. So in this example, you’re going to bring home a $50,000 check minus a little bit of closing costs when you buy that property.
Jay Conner [00:32:52]:
Now, of course, in this example, you’re going to use the majority of that $50,000 for the renovation that you’re going to do to the property. You’ll still have some money left over that you can use for carrying costs and et cetera. So that’s the magic right there of always bringing home a big check when you buy. Now, what’s another big difference between hard money and private money extension fees? Well, I’ve got a friend who’s a hard money lender. And if you don’t cash out by the time the note comes due within nine months, they will extend your note for another 90 days, but they’re going to charge another 3%, which is called 12% money annualized. Right, right, right. So there are extension fees with hard money lenders, but in the world of private money, there are never any extension fees. So I got.
Jay Conner [00:33:46]:
Hey, KENNER, I got 20 reasons why I love private money. I’ll cover more of those here in just a moment. But I just wanted to make these distinctions, the big distinctions between hard money and private money. Does that make sense, Kenner?
Kenner French [00:34:00]:
Yeah, yeah, it does. I totally see where you’re going with that.
Jay Conner [00:34:03]:
Perfect. So, a private lender is not any kind of institutional money. It’s not a bank. Right. And what does this way of using private money work for? Well, private money works for any kind of real estate, works for single-family homes, works for self-storage, works for land, andorworkssor commercial. But you’re going to structure the deals differently. Now, in my world of using private money, I’ve used private money solely for single-family homes. Right, but it works for commercial properties as well.
Jay Conner [00:34:35]:
If you’re using private money for commercial properties, what you will be doing is raising money for a fund. But in this world of private money for single-family homes, we’re not raising money. You’re not raising money for a fund. You are raising money. Write this down. You are raising money for an asset-backed debt. You’re raising money for an asset-backed debt. Which means we’re going to give our private lenders either a mortgage or a deed of trust to collateralize the promissory note.
Jay Conner [00:35:11]:
That’s why the Securities and Exchange Commission does not regulate what we do in raising private money. If you’re raising private money for a fund, then you’re going to get an SEC attorney to draw up a private placement memorandum, et cetera. So as a result, not only is the SEC not regulating asset-backed debt, but you’re not either. You’re not. You, you, you are not. You don’t have your hands tied to where you can only borrow money from accredited investors. In this world of raising private money, you can raise private money from anybody. In fact, I’ve had two minor children as private who inherited an inheritance from their grandparents.
Jay Conner [00:35:58]:
And so anybody can be a private lender.
Kenner French [00:36:01]:
So let me, let me stop you there for one moment. So a lot of the people who are watching listen to this are commercial property, commercial property investors. We have a lot of people who are in that camp. And I think that this is unique. A lot of the things you’re talking about are not unique to single-family homes, but they’re also very unique in the commercial real estate space. So it’s worth it. If you guys are out there and you’re looking for money for real estate, private money, and Jay’s sourcing of it does make sense in a lot of ways.
Jay Conner [00:36:29]:
Absolutely. If you’re looking for money for commercial properties, all this is the same money. It’s all the same money. We raise it the same way, you’ll raise it the same way again, just the deal is structured differently. So this is not raising money for a fund. When you’re talking about single-family houses. You are going to raise money for a fund in a CA commercial. So every deal stands on its own.
Jay Conner [00:36:56]:
You have a property, then you have one or multiple lenders that are secured by that property. So each private lender’s loan is secured by the individual property. Now, I promised you when I started this presentation that I was going to share with you three different categories of where you find private money. And here they are. You’ve got what we call your existing warm market. Those are your own connections. And I know you know there’s a Direct correlation between the quality of your network and the quantity of your net worth, if you will. Here are the three categories as to where you find private money.
Jay Conner [00:37:40]:
Number one, your own connections that you’ve already got. Number two, I call it your expanded warm market. Well, if you really want to scale your business, I mean, I’ve got 47 private lenders right now. You don’t need 47 private lenders to start. You just need one or two to start. But if you want to scale your business, then you’re going to need to grow your. You’re going to need to grow your network because you will sooner or later run out of your current connections. Now, at the upcoming private money conference, I will spend an entire 90-minute session teaching you how to almost overnight blow up and expand your warm market and your connections.
Jay Conner [00:38:28]:
The third category of where you find private money is existing private lenders. These are individuals who already loan money out to real estate investors. The question is, where do you find those people? Well, don’t go anywhere. Stay tuned. I’m gonna pull the curtain back for you on that in just a moment. Now, I mentioned a few minutes ago, KENNER, I got 20 reasons why I love private money and why it will help you scale your business and grow your business so quickly. I’m not gonna share all 20 reasons, but I’m going to share the big ones right now. And these are in no particular order of priority.
Jay Conner [00:39:08]:
But here are the reasons why you’re going to love private money. Number one, no credit check. Your credit score has absolutely nothing to do with how much private money you can get. Secondly, no income verification. It doesn’t matter if you’re self-employed and you’re an entrepreneur and you can’t verify one dime of income on your tax return. It doesn’t matter. Your income verification has nothing to do whatsoever with how much private money you can use. Thirdly, as we already talked about, no points, no origination fees.
Jay Conner [00:39:47]:
I’ve never paid any points, never paid any origination fees to my private lenders. Fourthly, no appraisals. Well, that should raise your eyebrows right there. No appraisals. You know, when I was borrowing money from institutions and banks and mortgage companies, there was always an appraisal. You know, Kenner, in all these years, I’ve now rehabbed and flipped over 500 houses since using private money. And you know, not one time have I had any of my private lenders. Say, Jay, I want to look at that appraisal before I fund your deal.
Jay Conner [00:40:25]:
Appraisals have nothing to do with it. I’ve already talked about multiple checks, but let me pull the curtain back here. Kenner and share. Where are all the different times you’re going to receive a check when you use private money? Well, yeah. First, check when you buy. I already talked about that. And if you can’t bring home a big check and you’re using all cash to purchase the property, you shouldn’t do the deal. I’m talking in the context of a single-family house or a duplex, triple,x, or quadplex.
Jay Conner [00:40:57]:
No, with the second check, you can get. If you’re selling that house on lease, purchase,se, or rent to own, you can collect a large non-refundable lease option, deposit 10,000, $20,000 if you’re cashing out that, I me, and if you’re selling it that way. And then of course you’ll get another check when you sell the property, cash out. And that would be the difference between what you sell it for and what you still owe your private lender. I already mentioned this, why I love private money. We make the rules. We are our own underwriters. Instead of applying for a mortgage, you are offering the opportunity. The mortgage reset, the interest rate, the length of the note, the maximum loan to value, which, of course, is not the purchase price, but to the after-repaired value.
Jay Conner [00:41:46]:
And here are some big ones right here. Now, folks, there’s no limit to the number of private lenders you can have. No limit?
Kenner French [00:41:55]:
You mean on one deal, what do you mean? Help me understand that. I might like that.
Jay Conner [00:42:00]:
Sure. Well, there’s no limit to the. Well, i either case. So there’s no limit to the number of private lenders you can have doing multiple deals. Right. But you can also have more than one or two private lenders funding the same deal. And here, but, but in the, in the context of single-family homes, I want you to write this down. There’s this thing called total loan-to-value
Jay Conner [00:42:25]:
Total loan to value. So you know, we already mentioned part of our program that we offer to our private lenders is that we’re not going to borrow more than 75% of the after-repaired value. Well, that could be split between, for example, two different private lenders. You have one private lender that’s loaning $100,000. You can have another private lender in the second position or junior lane that’s loaning $50,000. Well, you want to add both of those up. 100,000 from the first lender, 50,000 from the second lender, and divide that by the after-repaired value. So you see, in that example, we’re still not going to exceed 75% total loan to value to the after-repaired value.
Jay Conner [00:43:13]:
Does that make sense, Kenner?
Kenner French [00:43:14]:
Yeah, yeah, sorry, I’m writing the notes down.
Jay Conner [00:43:16]:
But yeah, perfect. So there’s no limit. You know, when I was borrowing money from the banks and mortgage companies, there was a limit to the amount of private money that I could borrow. And here’s another big one. Your private lenders do not have to be in the same state where you are doing your real estate. I mean, I’ve got private lenders in 10 different states. You can borrow across state lines. So why is that? The reason you can borrow across state lines is that the commissioner of banks is not regulating us from doing business.
Jay Conner [00:43:52]:
We’re doing business on one, just between us and other individuals. And I mentioned this already, you are not limited to only borrowing from accredited investors. Now you know what’s funny about this, Kenner. As I mentioned, I have 47 private lenders that are loaning money to us on our real estate deals. And probably of those 47 private lenders, probably about 10 of them are accredited investors. But you know what’s funny, Kenner? They don’t even know they are accredited investors because they don’t even know what that is. Yeah, yeah. You see, because not one of my 47 private lenders ever knew or heard of private money or self-directed IRAs until I put on my teacher hat and started exposing them to this world. So why else do I love private money? You can close deals so fast.
Jay Conner [00:44:50]:
I mean, I’m making all of my offers tenor that I own single-family houses that I can close within seven days. And as a result of that, I get more offers accepted. When I was borrowing money from institutions, well, there’s no way I could close that fast. I’m also able to do an unlimited number of deals with private lenders. I mean, I never, I have never missed out on a deal for not having the funding ever since I started using private money. Here’s another big one. Here’s a, here’s another rider downer in this world of private money. No personal guarantees whatsoever.
Jay Conner [00:45:29]:
And you know, when I was borrowing money from institutions, I had to be, I had to be a guarantor in addition to the asset backing it. But here’s something that you may not have heard of if you’re, if you’re tuning in here to this presentation. Did you know that when you have to provide a financial statement to any institution, you’re only required to disclose personally guaranteed debt? Well, check this out. When you’re using private money like this, there are no personal guarantees. So, for all your private money debt, you do not have to disclose that on your financial statement because it’s not personally guaranteed debt. So the question is, you think that’ll make your financial statement look a little bit better? Absolutely. Hey Kenner, I love this next one.
Jay Conner [00:46:24]:
If you’re going to be doing like a flip on a single-family house and you’re only going to be in the deal maybe six months or nine months or something like that, well, guess what, you don’t even have to make any monthly payments to your private lender. You can just let the interest accrue and cash them out and pay their accrued interest when you cash out on that deal. Now stop and think about the cash flow on that deal you got. You go to the closing table, you purchase the property, you bring home a big check, and you make no monthly payments. Do you think that’s going to change your cash flow situation? You know, one question I get a lot of times, Kenner is a real estate investor, they’ll say, Jay, what’s the quickest way to get a lot of cash in my checking account? And I say private money because you’re always going to bring home a big check when you do the deal. No, when are you going to use private money? Well, you don’t need private money. If you’re all you’re doing is wholesaling houses, you don’t need private money, then you’re going to use private money. When the seller, and I don’t care who or what the seller is, institution or for sale by owner, you’re going to use private money when the seller requires all the cash.
Jay Conner [00:47:35]:
So, bank property, short sales, auctions, and you know, over these years, Kenner, I have reviewed thousands of property lead sheets from for sale by owner,s and what I’ve discovered is that only 13% of for sale by owners will sell to me creatively, such as subject to the existing note, seller, financing, whatever. What are the other 87% require all the ca?h. Right. So again, as I said, private money is not just for renovation projects. Private money is for when the seller requires all the cash. Now, I went over a lot of reasons why we want to do business with private lenders, but here are four big reasons why private lenders absolutely love to do business with us. First of all, their investment with us is secure and safe. We are not borrowing unsecured Money, we’re going to secure the promissory note with either a mortgage or deed of trust, collateralize that note, and their investment with us is safe because we’re not going to borrow more than 75% of the after-repaired value, therefore giving them a nice big 25% equity cushion.
Jay Conner [00:48:56]:
Secondly, they’re going to earn a whole lot more money than they can in the local certificate of deposit at the local bank. Thirdly, if we’re making monthly payments, which sometimes we do, we’ve got elderly private lenders that need the monthly income to live off of. Well, we make interest-only payments, which makes them more money than principal and interest. Because if we’re making principal and interest payments, we’re paying down the principal loan amount, and they don’t have the full amount invested. It’s a win for us as the borrower because interest-only payments are smaller on cash flow. And we have in the program an opportunity, a way for the private lenders to get their principal loan back early in case they have an emergency. Now, what comes first, the deal or the money? In other words, what should you focus on now, Kenner? I’m going to take a little risk right here. I’m going to take a little risk.
Jay Conner [00:49:53]:
I’m going to ask, I’m going to ask you a question.
Kenner French [00:49:55]:
Okay?
Jay Conner [00:49:56]:
And here’s the question. Have you ever heard the guru on stage or an educator on stage say something to this effect? Oh, just get the deal under contract, and the money will show up. Have you ever heard that?
Kenner French [00:50:14]:
Of course I have. Yes, I have the answer. That is yes.
Jay Conner [00:50:16]:
Or have you ever heard them say something like, Oh, just get the deal under contract because money finds good deals, you ever hear that? Yeah, Kenner, that makes me want to throw up. That’s the most stupid thing I’ve ever heard in my life. It’s like that. Where is the money gonna show up? Is it going like rain out of clouds or whatever philosophy makes? Absolutely. I mean, who wants to be stressed out with a contract? And, you have no idea where the funny is going to come from. Here’s what I do, and here’s what I have done. Look, there’s always going to be deals. There’s always going to be deals.
Jay Conner [00:50:54]:
No,w if you’re raising money for a fund for a commercial project, then that’s a different conversation. You’re obviously lazy. You’re raising money for that particular project. That’s a large project, right? But in the world of single-family houses, you get the money lined up first, and just think about it, how many More offers are you going to make when you’ve got money burning a hole in your pocket? Now, where are you going to get the money from? You’veu got the warm market people you’ve already got an association with. I call it the cold market. Those are existing private lenders. And so I’m going to share right now the five steps, Kenner, as to how to get private money for your deals from your warm market. And I’m going to go into detail on these at the upcoming private money conference.
Jay Conner [00:51:46]:
Here’s step number one. Make your list. Actually, I’m going to have you go through a little exercise at the upcoming private money conference. And within less than 10 minutes, you’re going to have identified what I call your top 44 potential private lenders from your own contacts. I’m telling you, you could have millions of dollars in private money sitting right in your contact list. That’s step number one. Make your list. No, step number two is what I call the opening conversation script.
Jay Conner [00:52:20]:
Now there are two different methods to start a conversation with a potential private lender. Now, due to the lack of time here on this presentation, I’m just going to mention them to you, but at the upcoming private money conference, I’m going to give you the scripting of exactly what to say to a potential private lender that’s in your own contacts. I’m going to teach you at the upcoming conference what I call the direct method, which employs what I call the magic question. And then I’m also going to teach you what I call the indirect method of raising private money without asking for money. I’m actually going to share with you the story of the very first $500,000. And neither of these methods, neither one of them has anything to do with asking for money. Now, step number three on getting private money from your own warm market is what’s called the Stress Free investing audio. Here’s what this is in a nutshell.
Jay Conner [00:53:19]:
When I first started raising private money, all the way back in 2009, I recorded a 16-minute audio that I called Stress Free Investing. And this was back in the day, Kenner, when we actually had CDs. Everybody remembers what a CD was, right?
Kenner French [00:53:36]:
That’s old school right there, buddy.
Jay Conner [00:53:38]:
So we would hand out CDs called Stress Free Investing. Well, now we no longer use CDs. I actually give my community members 1000 business cards with a dedicated QR code that people can hand out while they’re networking. They can actually take their dedicated QR code and put it as part of their email Signature. Well, I have recorded this audio, Kenner, for hundreds of my community members who want to raise private money. And just quickly, for the sake of this presentation. The purpose of this audio is to introduce and expose people in your own connections on your email list. You know, they’re in your cell phone as to what private money is.
Jay Conner [00:54:25]:
But it doesn’t teach the opportunity; it just raises those questions. So step number three actually leads to step number four. And step number four is what we call the one-on-one appointment,o r where we’re actually teaching the program, the opportunity. Now, at the upcoming private money conference, you’re going to actually see the PowerPoint presentation that I use and that my community members use to raise private money. You’re going to learn in this presentation, actuallywhat you teach the interest rate, how they can get their money back in case of an emergency, etc. At the upcoming private money conference, we’re actually going to have a whole session on private money luncheons. How I raised $969,000 at one private money luncheon. And so this step number four, whether you’re doing it just one on one with a, with an individual potential private lender or you’re doing it in a group presentation, you’re going to see this presentation at the upcoming event.
Jay Conner [00:55:34]:
Now, how can you get the word out about the opportunity of your connections getting, you know, loaning you private money? Well, it can be on one, it can be virtual, it can be on Zoom, it can be in groups, and as I just said, it can be in the form of private lender luncheons. It can be webinars. No, step number five in the warm market is where we get what’s called a verbal pledge from your private lenderThere are’s no papers to sign. They simply tell you how much money they’ve got to work with. And if they’ve got retirement funds, then you’ll introduce them to the self-directed IRA rep that I’m going to put you in contact with at the upcoming event. Now, I don’t have time here in this presentation to go over the five steps as to how to raise private money from existing private lenders and how to find these private lenders. But I’m going to cover all five steps at the upcoming private money conference on how you can locate these existing private lenders right in your own backyard.
Jay Conner [00:56:40]:
First things first, you want to have the right mindset. No selling, no begging, no persuading. You want to be a teacher, right? And you want to leave with A servant’s heart. Here’s a writer downer. This is so important. This is an actionable item. Establish a relationship with a self-directed IRA representative. Here’s why.
Jay Conner [00:57:04]:
You see, I mentioned earlier, I got 47 private lenders that are funding our deals. Over half, Kenner, over half of my 47 private lenders are using their retirement funds to fund our deals. So the reason it’s so important to have this relationship in place is so that when you’re talking with a potential private lender and you learn that they have retirement funds and they’re not happy with those retirement funds, well, you can introduce them to the self directed IRA representative that you know that will help them move their funds over to then fund your deals. So at the upcoming private money conference at the event, I’ve got one big session that’s titled How to get your deals funded with self-directed IRAs. And I’m going to be introducing you to the gentleman who’s been my go-to for 7 years now. I get my deals funded in 3 days when I’m using the self-directed IRA for people who have accounts. This is going to be a powerful session, a nd I’ll get you connected with this individual at the private money conference. First things first, you’ve got to know the opportunity that you’re sharing.
Jay Conner [00:58:18]:
Never talk about your opportunity to your private money lenders and have a deal in the initial conversation. Write this down. This is so important. Desperation has got a smell to it. Desperation has got a smell to it. If you’ve got a deal under contract that you need funded and you’re talking about the private money opportunity, you already sound desperate. So, the details of exactly what to teach your new potential private lenders, I’m going to cover that all at the upcoming event on the first day, first session. Now I’m going to briefly mention this before we start wrapping up, and I’m going to give you all that QR code again to the upcoming private money conference.
Jay Conner [00:59:04]:
And of course, Kenner, any questions that you have, I’ll have plenty of time for that. So 30,000 foot view. I’m going to drill down on this at the upcoming event. Where can private lenders get money to fund their deals? Well, obviously, if they’ve got any kind of investment capital in the local bank, they can use that. But how about this here? How about self-directed? How about retirement funds? As I just mentioned, I’m going to teach you at the upcoming live event. And by the way, this is an in person event. I’m going to teach you about the upcoming event, how private lenders can actually leverage home equity lines and get more money to loan to you. That’s called arbitrage.
Jay Conner [00:59:48]:
I’m also going to teach you at the upcoming event how if they have stocks or mutual funds and they don’t want to sell their stocks, how they can leverage portfolio, portfolio revolving accounts, and get more money for you for your deals. I’m also going to teach you, and I don’t have it here on the slide. I’m going to teach you how your private lenders can use a whole life insurance policy to leverage and get you even more money to fund your deals. All that at the upcoming event. No,w of course, all the closings that you do in real estate, you’re going to use your real estate attorney or closing agent to do the closings. They’ll prepare all the paperwork, and of course, you’re going to take care of the closing costs to the attorney. No fees or commissions are charged to your private lenders, and of course, no disbursement of funds until after you close the deal and secure them. Now, the insurance policy, we’re going to name the private lender UL as a mortgagee on the insurance policy as a mortgagee.
Jay Conner [01:00:49]:
That gives them another layer of protection. And you’re going to name your private lender as an additional insured on title policies to protect them as well. You’ll use larger amounts of money for purchasing properties, and smaller amounts for rehabbing, of course. Here are the documents. Now these are the documents you use for single-family houses. You’re going to have a promissory note that lays out the terms. You’ll have a deed of trust or mortgage that collateralizes the note and then the insurance policy. You’ll name your private lender as the mortgagee on the insurance policy, and you’ll name your private lender on the title policy as an additional insured in case there are any title issues down the road.
Jay Conner [01:01:32]:
Well, as I said one more time, Kenner, here is the big event, the private money conference, October 8th, 9th, and 10th right here in Atlantic Beach, North Carolina. That QR code will take you to the live event page to give you all the highlights of what’s happening at the live event. Be sure and click on two or three of those attendee reviews. I mean, we got Carly Manino there on the website. They got $900,000 with one phone call right after the event. You’ll see Jonathan Broyles on there that right after the event got $780,000 in private money. And so it’s a three-day event. We actually have a rehab renovation bus tour where we go out in the field, look at properties.
Jay Conner [01:02:23]:
At the event, you’re going to meet my entire dream team and learn how we work together and how you can duplicate the business. You’re going to meet my real estate attorney, Julie Wickeiser, how we work together. You’re going to meet my realtor, who’s been my realtor for 20 years. You’re going to meet Beth Garner, who’s been our interior designer for 20 years on all these properties. You’re going to meet my project manager and see how we work together, and it’s because. And you’ll meet my general contractors as well, and see how we work together. It’s because of this team that I’m able to work in this business less than 10 hours per week and get to enjoy the seven-figure income every year. There’s the QR code.
Jay Conner [01:03:03]:
The URL of course is go.jConner.com v You get to come to this $2,997 event for only a $97 registration fee. I can’t wait to meet you at this event that’s coming up right around the corner. Kenner, I’m going to turn it back to you for any questions or things that we want to clarify.
Kenner French [01:03:26]:
Yeah, this has been helpful. This really has been helpful. Again, you know, I’ve said it a few times, I know people who’ve used you, you know what you’re talking about. It’s not just me, it’s other people. But so let me ask a few questions about kind of the overall, well, just you over. So it seems as though you’re going to be opening up basically the curtain to everything you’ve done over these many years, as far as real estate investing goes. And more importantly, it’s the private money. Your magic potion is the private money.
Kenner French [01:03:56]:
Access to private money, actually access to all the things that you have experienced over these years. But private money, what’s on?, Give me one more example of one person who’s come to you who’s been whatever, down and out, they’re worth whatever, a thousand dollars. And because you’ve supplied your, you know, looking behind the curtain, and now they’re worth x some huge amount of money. Give me one other example just so I can put everything in perspective.
Jay Conner [01:04:21]:
Sure. Well, when you ask that question, I think of Crystal Baker. Crystal came to this live event and she was already making multiple six figures up in the six figures of income per year. She was an occupational therapist, and she oversaw five or maybe six clinics. She was working almost 80 hours a week, had two small children, and she promised herself that she would never take her children to fast food. And so she found herself one night going through the fast food line, and she had the big wake-up call that she had to change something that was going on. So she found her way to the private money conference, and from that private money conference, this, this three-day live event that I’m talking about, within nine months of coming to the event, she had totally retired, gave up a multiple six-figure income. Totally retired because she was working all the time, and retired from that. She now has over $4 million in private money that she uses on various projects that she’s got going on.
Jay Conner [01:05:45]:
She began to start homeschooling her children, and because of coming to this event, it completely changed her life. I’m all, I know you just you asked for one Kenner. But I’m also thinking of Eric and Erica Carmadell, who live in Poplarville, Mississippi. They came as a couple of this event, and he was working for the railroad. Eric had to travel one hour each way twice a day to work for the railroad. In seven months from coming to this event, he retired and quit the railroad, went into full-time real estate investing, and has over $3 million now, about three and a half million in private money that they use on different projects. And you know, you get to reuse this private money over and over and over again without having to go out and continue to raise more money. So you know, we just have so many success stories of people that have come to this live event, and it literally has changed their life and their financial situation, and their personal level of happiness and joy forever.
Kenner French [01:06:53]:
Yeah, that’s, that’s exactly what I was looking for. And thank you. I know it’s a big benefit that you’re supplying such a discount to our people. I really do appreciate that because of this, I believe in what you’re doing. I think real estate, I think it’s one of the best ways to increase net worth and to do it in such a way where you’re not having to ask for money, you’re not having to ask for, you know, money from a bank. I think you’re truly adding value. So I really do appreciate it. I’m going to do a real quick reset right as we’re getting ready to close the doors on this one once again.
Kenner French [01:07:20]:
I’m Kenneth French with vast SolutionsGroup.com, we’re with Jay Conner, who’s helping us to help investors, real estate investors, to, well, increase their net worth without having to ask for money, which I think that’s a very, very powerful thing. So just kind of in closing, Jay, any other thoughts you have? I have a bunch of other questions, by the way, but I’m going to reserve them for the event, October 8th through the 10th. I’m going to be there, by the way, in Atlanta, Atlantic Beach, North Carolina. Any other closing thoughts you have? Otherwise, we’ll just be meeting, you know, in North Carolina later in the fall.
Jay Conner [01:07:51]:
Well, my closing thought would be that you are in Kenner French’s community, and Kenner is coming to the event. Well, there’s the icing on the cake right there. Get this event because you’re going to be hanging around Kenner at the event as well. Again, Kenner, thank you so much for inviting me to come along to share this overview of what this world of private money is all about. And I can’t wait to meet you. For those of you who are watching and listening to this presentation, I can’t wait to meet you at the live event October 8th, 9th and 10th. By the way, the hotel that we have it at is right here, Oceanfront, right on the water. When you register for this event, you’ll have an opportunity to upgrade to vip.
Jay Conner [01:08:36]:
It’s not required, but if you upgrade to vip, then we’re going to be treating you down at the private beach club, the Dunes Club, on Thursday evening of this event. And you’ll have even more opportunity to network with more private lenders. God bless all of y’all. All. Can’t wait to see you in person at the upcoming private money conference. Thank you, Kenner.
Kenner French [01:08:59]:
Once again, he’s Jay Conner. He’s the money man. You like that? The money man. I’m Kenneth French. Basiliconsgroup.com, we’ll be seeing you in North Carolin, a October 8th through the 10th. Thanks, everybody.
Narrator [01:09:18]:
Are you feeling inspired by the knowledge you gained in this episode? Then head over to www.JayConner.com/MoneyGuide, that’s www.JayConner.com/MoneyGuid,e, and download your free guide that shares six, seven reasons why private money will skyrocket your real estate investing business right now. Again, that’s www.JayConner.com/MoneyGuide to get your free guide. We’ll see you next time on Raising Private Money with Jay Conner.