When it comes to real estate investing, one question consistently stands out: how do some investors manage to raise millions in private money while others struggle to secure even a single dollar? The answer goes far beyond spreadsheets and pitch decks. It’s rooted in trust, alignment, and the mindset that attracts capital.
On the latest episode of Raising Private Money, Jay Conner hosts Dave Lundgren, an accomplished real estate investor and educator with over $20 million raised in private capital. Together, they dive deep into syndications, bond equity alternatives, and how real financial independence is achieved—without relying on hype or shortcuts.
Understanding Private Money, Syndication, and Bond Equity Alternatives
The world of real estate funding is vast. Traditional private money involves relational, one-on-one transactions—often with local connections, where trust and personal alignment play key roles. Syndications, on the other hand, include pooling capital from multiple investors into a more formal legal structure, often for larger commercial and multifamily projects. This setup typically uses general partners to steer the deal, while limited partners contribute funds in exchange for a share of the returns.
Enter the bond equity alternative, a lesser-known but potentially game-changing approach. For large-scale projects, generally $50 million and above, a Wall Street-level bond company might underwrite and finance 100% of the project’s cost. This can mean fewer compliance headaches and a simplified capital stack, as all the money comes from one entity rather than dozens of private investors. While this opportunity isn’t fit for every deal—due diligence can be significant, with requirements like shovel-ready projects and a five-year maximum term—for the right situation, it flips the conventional syndication model and allows sponsors to retain more equity.
Matching Investments to Individual Needs
Dave Lundgren emphasizes that there is no one-size-fits-all solution when it comes to real estate investments. The right solution depends on each investor’s unique circumstances—where they are in their career, their risk tolerance, and their financial objectives. A personal, diagnostic approach ensures that the investment matches the investor’s goals, whether they’re seeking aggressive growth or steady, secure returns.
Servant leadership is vital. Instead of pushing everyone into a single deal type, asking about their interests and objectives builds trust. Investors feel valued when their specific needs are considered, which not only helps to attract capital but also creates long-term partnerships.
Boosting Builder Profits and Avoiding Common Mistakes
Innovation is another major theme in Dave Lundgren’s approach. One way builders can dramatically increase profits is through steel framing, which has proven to be cheaper, stronger, and more efficient than traditional materials. This method can reduce build times, lower insurance costs, and minimize waste—doubling margins in some cases. For affordable housing, these advantages are particularly critical.
However, mistakes can occur when builders are not careful with their underwriting. Assuming the market will always rise or relying on historically low interest rates without a backup plan leads to risk. Having multiple exit strategies and being conservative with projections positions builders to withstand market shifts.
Building Authority and Passion for Financial Independence
What drives Dave Lundgren is not just the pursuit of wealth, but a commitment to helping others achieve spiritual and financial sovereignty. His experience as an Army chaplain and work through men’s retreats underlines the importance of personal growth alongside financial empowerment. For him, real estate stands out as an asset class that offers control, multiple returns, and flexibility—benefits that support long-term wealth and family freedom.
Advice for New Investors
For those beginning the journey, the key is education, mentorship, and a mindset grounded in service. Understanding the asset classes, seeking guidance from experienced leaders, and trusting one’s intuition ensure a thoughtful approach to investment decisions. Most importantly, focusing on the relationship—the “jockey” steering the deal—can make all the difference when challenges arise.
Conclusion
Raising private money and achieving financial freedom in real estate investing is about much more than numbers and compliance. It’s a blend of mindset, innovation, relationship-building, and deep understanding of individual circumstances. When investors master these elements, they don’t just wait for opportunities—they create them.
10 Discussion Questions from this Episode:
- How does Dave Lundgren distinguish between private money, syndications, and the bond equity alternative? What are the practical implications for real estate investors?
- Why does Dave Lundgren believe that syndications aren’t necessarily the “end game” for raising capital, and what factors make investment strategies so individualized?
- How does the bond equity alternative model work, and in what ways can it “flip the syndication model on its head” for larger commercial projects?
- For investors tired of complex PPMs and compliance headaches, how might the bond equity alternative simplify the capital stack and project management?
- What types of real estate deals are best suited for the bond equity structure, and when should investors consider other options?
- How does Dave Lundgren’s approach to steel framing offer significant profit increases for builders, and what mistakes are builders making that compromise their ROI?
- According to Dave Lundgren, how important is mindset for builders and developers, especially when confronting tight margins and shifting markets?
- Why does Dave Lundgren emphasize having multiple exit strategies in real estate development, and how can this flexibility protect investors during market downturns?
- What drives Dave Lundgren’s passion for helping people achieve financial independence through real estate, and how does his spiritual perspective inform his work?
- What advice does Dave Lundgren offer new real estate investors about raising capital, and why is a servant leadership approach so crucial in these conversations?
Fun facts that were revealed in the episode:
- Dave Lundgren and his partners are involved in a massive development project just outside Kansas City, where they’re utilizing an innovative bond equity alternative that allows them to finance 100% of the deal and keep the majority of the equity—something that flips the traditional syndication model on its head.
- Steel framing, typically used in commercial properties, is being introduced by Dave Lundgren and his team as a cost-effective solution for residential homebuilding. This method is 30% cheaper and 40% stronger than traditional framing, and it can reduce insurance by 40% while enabling a house to be framed in just one day.
- Before entering real estate, Dave Lundgren served as a chaplain in the Army and still leads men’s spiritual retreats, highlighting his dedication to connecting financial opportunities with personal and spiritual growth.
Timestamps:
00:01 Private Capital and Syndications Explained
04:23 Personalized Investment Strategies
07:32 Bond Financing for Large Projects
13:30 Real Estate, Mining, Steel Framing
15:22 Doubling Builder Profits with Steel
19:49 Real Estate Strategy: Multiple Exits
22:08 Spiritual Growth Through Financial Empowerment
26:07 Real Estate Success Requires Mentorship
28:19 Connect with Dave Lundgren
29:06 Raising Private Money Insights
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The Bond Equity Alternative: Simplifying Capital Raising for Real Estate Investors with Dave Lundgren
Jay Conner [00:00:01]:
How do some real estate investors raise millions of dollars in private money while others can’t raise a single dollar? Is it a strategy? Is it credibility? Or is it something way deeper than spreadsheets and pitch decks? Welcome back to Raising Private Money. I’m Jay Conner, the Private Money Authority. Today’s guest has been behind the scenes of over $1 billion in real estate education sales. Worked shoulder to shoulder with names like Tony Robbins and Dean Graziosi, and personally invested in hundreds of real estate transactions, from wholesaling and rehabs to build-to-rent and commercial development. But here’s what makes this episode different. At some point, my guest Dave Lundgren stopped chasing deals and started mastering trust and alignment and the inner game that actually attracts capital. Since shifting into syndications and passive investments, Dave has partnered with hundreds of investors, raised over $20 million in private capital, and helped people create real financial independence without the hype, pressure, or shortcuts. Today, we’re pulling back the curtain on how real authority is built, how private money really flows, and why mindset alone is not enough.
Jay Conner [00:01:24]:
Now, if you want more capital, better partners, and long-term credibility, this episode is for you. You’re going to meet my special guest, Dave Lundgren, right after this.
Narrator [00:01:38]:
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. On Raising 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.
Jay Conner [00:02:06]:
Welcome to the show, Dave. Glad to have you.
Dave Lundgren [00:02:08]:
Thanks, brother. Good to see you, Jay.
Jay Conner [00:02:10]:
Good to see you too. Now, before we dive into all this stuff about syndications and the bond equity alternatives and private money. I want us to make a distinction for our audience between what is private money doing for individuals, you know, with individuals with no brokers involved, all asset-backed debt, syndications, and then the bond equity alternative, which is going to be a new strategy. Can you break that down for us? What are those differences and nuances?
Dave Lundgren [00:02:44]:
Yeah, great question to start it all off. Um, so the quick answer, you know, you’re an expert in private capital and private lending. You teach your folks that, and that typically is a relationship, like an individual relationship, right? It’s, um, maybe you’re out golfing with your buddies, and there’s a doctor,r and there’s an attorney,y and you know, a couple guys hanging out, and you’re like, hey, I got, um, I got this real estate deal over here. You got some money in your 401k, you know, let me take that $100,000 and get you a good return. That’s a very simplistic view of private capital or private lending. A lot of times, syndications typically mean we’re talking about, we’re creating an actual agreement, a legal agreement. And typically, this is an overgeneralization, but typically, it’s several people pulled together like a limited partnership, the general partners. And so the general partners typically will sponsor, have the deal put together, and then they’ll raise capital from several limited partners And typically give them some kind of preferential, and then maybe an equity kicker.
Dave Lundgren [00:03:41]:
So the quick answer is it’s more of an institutional, um, there’s an agreement, there’s legal agreements, and typically it’s more than just a handful of folks, or it’s more than just a one-on-one type of relationship. That’s a very quick, broad explanation of it.
Jay Conner [00:03:55]:
Right. I couldn’t have explained it better myself. Now, Dave, a lot of investors think that Syndications. So again, on syndications, you’re raising a lot more money for larger projects, commercial, multifamily, et cetera. A lot of investors think syndications are the quote-unquote end game for raising capital. And why would you believe that assumption is broken for a lot of deals?
Dave Lundgren [00:04:23]:
Yeah, another great question. Um, I think it’s so individualized, right? I would hate to take a broad stroke and say, hey, this is the right type of thing for everybody. It could be a one-off. There are amazing deals that you’ve done with a lot of your folks and teaching people just a private lending situation, and that may be the right situation, right? So somebody who’s maybe 75, retired, is in a different spot than maybe a 35-year-old couple, and looking to be more aggressive. So I would never, um, do a broad stroke— hey, this is the right type of investment for anybody. And even inside the syndication, there are different assets. There are self-stores, there’s development stuff, you know, there’s also— and even outside of real estate, there are things you can invest in. So I would never tell anybody, hey, um, everybody should be investing in one type of real estate, or even real estate, just real estate.
Dave Lundgren [00:05:10]:
I think it’s really dependent on your facts and circumstances in your individual situation, where you’re at in the retirement cycle, whether you’re, you know, W-2 wage, whether you’re 35, whether you’re 75. So that’s where having a personal relationship with somebody and really getting into their facts and circumstances can help you help them decide what’s the best type of investment for them.
Jay Conner [00:05:32]:
Well, what you just said is so true because it reminds me when I’m talking with a new potential private lender, uh, I’m not looking to ask for money. I’m not looking to get money out of that initial conversation. I’m simply looking to diagnose, do they have a problem that maybe I could help them with, i.e., not getting high rates of return, not safe and secure. Once I diagnose that they have an interest in that, then one of my next questions, which ties into what you just said, is, well, when it comes to investing, what are your objectives? You know, what’s important to you?
Dave Lundgren [00:06:07]:
Yep. 100%. Couldn’t agree more. And it, and knowing you in your heart, right. And one of the core things that you teach, especially in the private lending world, is a relationship, right? And at the end of the day, if I genuinely am having a conversation with somebody and I know I can’t serve them, it’s like, oh, we don’t have a mutual basis for doing business. I wish you well. Go invest in whatever you need to. I don’t have anything that fits your particular parameters.
Dave Lundgren [00:06:30]:
And coming from that servant leadership and coming from that looking to add value, people feel that, especially in the private lending world and certainly in syndications, because there are so many opportunities out there. And, you know, the numbers are going to be the numbers, and the math makes a lot of sense and a lot of different opportunities. But as you know, a lot of people are making that decision based on not just the, you know, the race, but the jockey. Who’s the jockey on that horse? And that makes a big difference.
Jay Conner [00:06:56]:
Yes. Now you’ve got a strategy of attracting capital that I don’t think many people have heard of, and you call it a bond equity alternative. So I want us to dive into that. So you’ve, you’ve developed a bond equity alternative that can, depending on the deal, outperform traditional syndications. So what problem does the bond equity alternative solve that most investors maybe don’t even realize they’re facing?
Dave Lundgren [00:07:32]:
Yeah, excellent question. And to be clear, I didn’t develop it. It came to me. So, um, uh, 3 partners and I have 75 acres here in Kansas City, Missouri, just outside of Kansas City. A larger development deal, and we’re looking to raise capital, which is typical for syndication. So we’re raising some capital, and I came across a broker who brought— and private credit and bonds have been out there, like literally Wall Street bond, right? And so she brought to us this bond financing opportunity, and let’s say this happened to be about a $100 million project, but it’s got to be something that’s $50 million or more, so it’s not a fit for everything, but She basically said, hey, once this bond company underwrites your project, they will finance 100% of it. So you don’t have to go raise capital from a bunch of investors, and you get to keep the majority of the equity, 80, 85% of the equity, versus typically on a syndication, let’s say it’s a $50 million project. Typically, I’m gonna have to go raise $10 to $15 million in capital.
Dave Lundgren [00:08:30]:
And those limited partners are typically gonna get the majority of the equity. Typically, it’s like 60-40%, something in that range. So, she presented this bond thing. We’re like, “Oh my goodness, we get to keep the majority of the equity,y and we’re going to one source to raise the capital.” Well, the caveat was, she’s like, “Here’s the bad news. It’s significant due diligence.” Typically, it’s about $1 million, $1.5 million in due diligence, because they’re basically underwriting this like a Wall Street IPO or a stock. And that typically is going to take you 90-120 days. And 20% of the time, the due diligence doesn’t work out, and you’re out your million, million and a half, right? Partners and I are like, well, that we’re not willing to risk a million bucks. Well, she came back to us a few months later and said, hey, I’ve got an equity company that’s done enough deals with this bond company that they are willing to pay that due diligence upfront.
Dave Lundgren [00:09:21]:
They want 1% equity on the entire project, and they want 15% of their money. Now they’ll defer that. So long story short, she came up with a solution. Now we’re literally on a $50 million project or bigger. Um, it’s not for every deal, but for the right deal, literally, you don’t have to raise capital. It’s a no money out of pocket situation. And we get to keep the majority of the equity. So it completely takes the syndication model and flips it on its head.
Dave Lundgren [00:09:47]:
That’s the very quick explanation of it.
Jay Conner [00:09:50]:
Okay. You may have touched on this in your explanation, but for investors, I’m not talking about private lenders, but for us listening to you describe this, who are maybe tired of complicated PPMs, investor management compliance headaches, does this alternative answer any of those situations, or in any way simplify the capital stack?
Dave Lundgren [00:10:25]:
Yeah, great question. The quick answer is yes, it simplifies the capital stack because it’s one source of capital. Now the caveat, all those same requirements— like if I’m going to create a PPM and I can do the regular syndication, all the necessary documents, including it’s got to be a great deal, all of that has to be in place as well. So it doesn’t change that piece of it, but it does change the capital stack because it’s literally one source of ccapitall It’s a Wall Street bond company that underwrites and pays for the entire project.
Jay Conner [00:10:56]:
Well, and it would simplify it because you’re not, as far as the capital goes, you’re not having to communicate with more than one entity.
Dave Lundgren [00:11:04]:
Correct. Yeah. Which does help because, as you know, you know, at least in my experience, you know, you’re talking to dozens of folks raising capital and syndications and so on, moving parts and pieces. So, yes, and again, it’s not for every deal. I mean, this bond company, they’re looking for a great deal. They’re not going to take every deal that comes down the pipe. So there are some caveats, including, you know, the project has to be shovel-ready, um, you know, and it’s only a 5-year deal. Like, that’s the max they would do.
Dave Lundgren [00:11:30]:
They don’t want to be in the deal for more than 5 years. So there are some caveats to it, um, but for the right type of deal, for anybody raising capital and doing larger syndications, it really can be a game changer.
Jay Conner [00:11:45]:
Awesome. Um, so you mentioned, you know, this type of funding, the bond equity alternative, is not for every, not for every deal. So what types of real estate deals or projects does this bond equity structure work best for? And just as important, when should an investor not use it?
Dave Lundgren [00:12:07]:
Yeah, another great question. Um, the deals that are right in the— and they’re already in the pipeline right now, our development deals. So I— most of what I’ve done is new construction, residential or small commercial. So that fits if the land’s entitled, if you’re shovel-ready, because they don’t want to wait, you know, 2 years on entitlements or taking the land from ag zoning to that. So that fits. Um, existing larger deals could be an apartment complex that’s getting revamped. These guys actually do international, too, so it doesn’t have to be real estate. It could be, um, this isn’t an underwriting yet, but this is a deal they’re looking at.
Dave Lundgren [00:12:43]:
It’s a mining operation. They’re looking at that. So they’re open to alternatives, not just real estate investing. Um, and it can be international, uh, but the core of it, at least the things I break into them, are real estate, just because that’s the world I’ve been in. Those are relationships I have. Um, so development, um, could be completely revamping a large commercial. I mean, certainly they’re interested in storage, RV parks, any type of commercial real estate. The floor is $50 million, so that is one caveat.
Dave Lundgren [00:13:11]:
They want, at a minimum, they want $50 million or more on the project. Other than that, they’re pretty open to looking at just about anything.
Jay Conner [00:13:19]:
Gotcha. And I know you’re, you’re in the midst right now of doing some capital raising. What kind of project or projects do you have going on right now?
Dave Lundgren [00:13:30]:
Um, most of them are real estate development. There’s this mining operation that came to me, uh, a good friend, um, kind of a spiritual brother, and the only reason I looked at it, um, he’s got some claims on some pretty amazing land. So I’m— that’s brand new to me. I’m bringing some advisors in to help me with that. And then one pretty exciting thing that’s somewhat related to all this, because I’ve been in the new construction world, is steel framing. Um, we’re taking, um, steel framing, which is used a lot in commercial, but only 1% of the time in residential. It’s actually 30% cheaper, 40% stronger, it reduces insurance 40%, and we can frame up a house in one day. And so it saves you literally on a build project, 10% across the entire thing.
Dave Lundgren [00:14:11]:
And so,o where affordable housing is a real issue, some partners andI,aree taking steel framing to the market. So there are a couple of different opportunities on that, including you could be part of the manufacturing plant with us, and then certainly taking steel framing to the residential market, which,h like inAustralial,ia they use 50% of the time in the US. It just hasn’t happened yet, but it’s something we’re gonna be taking to market. So that’s exciting to me cuz that’s a project that can make great returns for folks, but it also feeds into all the builders cuz we’re saving them a lot of money on their build. And we’re saving, if they’re a build-to-rent and they’re holding, 40% reduction in insurance is massive. So we’re hitting the affordable housing, um, from different angles, which is a big problem. So that’s exciting to me.
Jay Conner [00:14:53]:
Yeah. And that’s another thing that, uh, you have done, Dave. You’ve helped builders dramatically increase, sometimes even double, their profits. In addition to the steel framing for residential, um, what are some other ways that you’ve helped builders raise their profits? And then secondly, what are some, um, what are some mistakes that builders are making that are destroying their ROI?
Dave Lundgren [00:15:22]:
Yeah, so the, the biggest way that we’ve helped them is the other profits is through the steel framing. So, across the board, talk to dozens of builders. In the last couple of years, things have tightened up. Insurance rates are up, you know, um, there’s still a massive need for housing, but the margins have gotten tighter. So builders are making somewhere between 5, 7, 10, sometimes 12%, um, right on, on the, on the project. Well, we’re going in, and you take all these factors on the steel framing from reduction of the product cost, to reducing, you know, 1 day instead of 6 to 12 weeks, reduction of insurance, all the, you know, you don’t have any, um, dumpsters. There’s no, there’s no, uh, what’s a— there’s no waste because we’re literally doing a Rector set. So you factor all those things in together, and instead of making 10% on it, let’s say in Kansas City where I live, a $450,000 entry-level new build, if instead of making $45,000 on that, if they can make $90,000 on that So that’s the biggest way we’re really helping builders double their profit, just through that one product and the infrastructure, the relationship to steel framing.
Dave Lundgren [00:16:32]:
I would say the biggest mistake I’ve seen, and I’ve personally been a part of deals that didn’t go well in the last coupleof months, really is just not doing due diligence in your underwriting, right? It’s just like expecting the market to always be going up, not being conservative enough, I think, in your underwriting. I mean, I’m lucky enough that I’m in Kansas City, which is a great market. It’s kind of tasteady market. But there have been some other markets that have softened up, like Florida, for example. And I know some builders have gotten in trouble there, as they were expecting. And sometimes in syndications, they’ve relied on that cheap debt that we had 3 or 5 years ago. And they are on the road expecting, no, I’m always gonna have 3.5% or 5% interest rates. And when that changed, and if the market softens up at all, it’s all of a sudden, oh, you’re 15% margin, and now you’re down to 5%.
Dave Lundgren [00:17:27]:
And every additional, you know, month of holding costs really eats into profit. So those are very simplistic, kind of high-level, just what I’ve witnessed, experienced, and seen myself.
Jay Conner [00:17:37]:
I don’t know if builders, but I’ve done building projects, I’ve built condominium developments from the ground up, shopping center from the ground up. But as far as the number of transactions, it’s been a lot more in the single-family, uh, in the single-family area.
Dave Lundgren [00:17:53]:
Yeah.
Jay Conner [00:17:53]:
But I don’t know how important the mindset is, or a mindset shift, is for builders or developers who believe that their margins are just the cost of doing business. Is there any kind of mindset shift or structural change? That, uh, immediately alters the math in their favor? I mean, do they need to think differently about the way they’re approaching business, or do they just need to have their eyes opened?
Dave Lundgren [00:18:21]:
Yeah, that’s a great question. Probably a combination of both. Um, and again, I’ve been in this game for about 25 years. I started in the educational side, started selling turnkey, and then realized, oh, we can develop. I mean, all that being said, what I saw back in about 2015, 2016, when Than Merrill from Fortune Builders taught me syndications. I watched him get on a webinar and raise capital for the syndication we put together in Kansas City. I was like, oh my goodness, he just raised all that capital. We just did a development deal, and that was just— it felt just as easy as selling one turnkey.
Dave Lundgren [00:18:53]:
But what I, what I saw, and my bias was, when you’re taking somebody else’s money, that’s very different. Like, I’ve got risk capital, and I’ll risk my own money, but when you’re taking somebody else’s, to me, I wanted to see, okay, there’s got to be several different exits, and I watched 2008 happen. Right. But what I witnessed in 2008 was in a market like Kansas City, in a good neighborhood. If you’re building a new construction house, I’ve got 3 exits. So if I build it and I’m at least in that, you know, 80, 85% LT, V, a nd I’ve got a little bit of margin, even if the market tanks and the retail price goes down and depresses a little bit, I’m okay because I can put a renter in there. So if the market’s up, I got retail, I can sell that thing retail. If the market goes down, I just hold it, or I can sell it to my turnkey sellers and a local bank. Even when the market’s depressed, local banks will refi you out,t and you can just hold it.
Dave Lundgren [00:19:49]:
So to me, having 3 exits got me excited about that asset class because I watched 2008 happen, en and I watched builders that held on to their inventory and they just waited for the market to recover, versus like in Kansas City, if I’m doing a million-dollar high-end flip, to me there’s a little more risk and reward. So to me, a developer or builder, my mentality is more of that steady, steady, conservative approach. And no matter what the market does, I don’t think another 2008 is going to happen anytime soon. But if it did, could I pivot? And do I have more than just one exit versus, oh, I’m doing a high-end retail flip, or if I’m doing high-end houses, as a developer?. Custom houses, to me, there’s more risk and reward there. So I’ve always gone towards that bread and butter, entry-level, new construction, good school districts, and just make sure, you know, my margins are high because things are going to shift, things are going to go up and down, you know, debt may change, your capital stack may change, but as long as you’ve got enough margin and you’ve got at least 2 or 3 exits You know, you should be okay.
Jay Conner [00:20:56]:
Well, I tell you, I know from experience that having only one exit strategy is a dangerous place to be, for sure, because you have to be able to be flexible and pivot with the market. Dave, I want to pull back the curtain on why it is you do this and why you’re doing what you do. In other words, what’s your passion and your mission behind this work? I know you got a spiritual foundation. You’re not in this totally 100% for the money. There’s, there’s more of a foundational reason than that. And why are you so committed to helping people make money passively through real estate investing? And the bottom line question is, why are you doing what you’re doing?
Dave Lundgren [00:21:42]:
Yeah, excellent question. Yeah, I do have a background. I had a previous life. I was a chaplain in the Army before I came into the real estate investing world. Um, and I, I’m very— and I run a men’s retreat. I do a lot of work specifically with men and their spiritual work because that’s just my own journey. Um, I can speak to those men, and I’ve been through my dight of the ego. And so I have a lot of passion for that.
Dave Lundgren [00:22:08]:
Outside of working just with men spiritually, I’m very bought into sovereignty, right? Um, meaning if I can wake somebody up spiritually and financially and pour better finances into somebody who’s aligned, now we’re talking about something that has real power. Because, you know, some people get caught up in money or time or energy. The reality is, money is just like anything else; it’s like time, right? And some people have a hang-up about getting more money. But if I can help somebody in their spiritual or emotional walk, and I can add fuel to the fire by getting them more resources, well, good. Now I can create a significant impact ’cause there’s a leader there who can then have the resources to go accomplish a mission, church, charity, whatever they want to do. Money is just one more leverage point. And so, I’m very passionate about real estate. This is my bias.
Dave Lundgren [00:23:01]:
I’m not a stock guy, I’m not in commodities, not to knock on any of those, but my simple mind just went to, I just watched what most millionaires are doing, and I could measure, okay, I’m getting 4 returns if I buy and hold a piece of real estat,e and I do it right, right? The right market, the right team. Those are the caveats. I’m getting 4 different returns. I’m getting cash flow, I’m getting appreciation, I’m getting these tax benefits versus again, go back to 2008. A lot of people I talked to who had just lost half their retirement in the stock market, et and they had so little control over that, they’re relying on some other company and some CEO of a company they’ve never been a part of. And I just watched that. I’m like, okay, real estate for me became a passion, um, just because I saw the control you could have. You measure 3 times, cut once in real estate.
Dave Lundgren [00:23:46]:
But once you do that, even if a 2008 happens again, ride it out. You can get the cash flow and wait for that to come back, because historically, since we’re on a— you know, our money supply is always going to be creating more and more debt because we’re on a currency. It’s not even real money anymore. That asset is always going to go up. So I’m very passionate about people who want to create long-term wealth and buy back their time and create freedom for their families and flexibility. I’ve just witnessed it with real estate. And again, that’s not to knock on any other asset class, um, just when you look at a good piece of real estate— even I use a lot of Warren Buffett quotes to sell real estate because he talks about cash-flowing assets. And he’ll get a stock that has a dividend, and that’s 2 returns, or a farmland that has cash flow.
Dave Lundgren [00:24:34]:
But if you— and his caveat is like, you have to be able to manage them, and that’s an important part of real estate, right? So that’s why he shies away from holding real estate. But if you can solve for that and get a good team on the ground, dollar for dollar across the board, when you’re getting 4 returns for $1, real estate, when you do it right, is just going to outperform any other asset class. Um, in my opinion, in my experience. So I get passionate about that, so people can have freedom, so people can have— I don’t think we’re here to be slaves to the grindstone. I think we’re created as sovereign beings and, uh, we’re here to enjoy it.
Jay Conner [00:25:09]:
I love it, Dave. I love your heart. What advice would you give to a real estate investor who has never raised capital before? What do they need to get straight first in their mind?
Dave Lundgren [00:25:22]:
Yeah, well, you touched on it. Um, when you’re talking to anybody, hey, what is their situation? How can I serve them? This person’s got $50,000 and a 35-year-old couple, cool. That’s a different conversation than, you know, a couple’s got a million dollars and it’s all in self-direct, and they’re 75, and they’re living off of this. That’s a very different type of conversation. So, watching your podcast and learning from people like you about the different types of people out there, and then the different opportunities. But that’s it. Coming from a servant leader heart, how can I best serve these people? Not trying to squeeze them into everybody should be investing in this, but I think it’s important. And there’s so much education out there, podcasts, learning the different asset classes, and then getting your feet wet.
Dave Lundgren [00:26:07]:
I mean, going out, and I mean, I learned that. I mean, I went from being on the infomercials with Dean Graziosi and stuff to actually doing real estate. I did 200 flips in one year, and I did, you know, I went from doing a handful of rentals to that. I learned a lot more about swinging a hammer, doing a rehab, and doing deals. So that’s the other piece of it, you know, have a mentor, have guidance from somebody like you who’s been there and done that, right? To use an Army analogy, if I’ve walked through the landmines and I can look behind me and say, hey, watch out for those grenades or watch out for those landmines, don’t step on them. Get the right mentor, get yourself educated. And then, you know, I’m a, I’m a person of faith. I would definitely say do the numbers, think about it, and then take a moment.
Dave Lundgren [00:26:52]:
And if you pray, go pray about it, and then trust your gut. Call up the spirit, call your gut, whatever that is. Your spidey senses are typically right. And then, you know, again, the jockey— make sure you’re making that decision based on that person and their, um, track record Cause ultimately, if a deal has a little bit of wonkiness to it, you’re gonna rely on that person to figure it out and make things right.
Jay Conner [00:27:15]:
Beautiful. Thank you, Dave. Dave, for the benefit of our audience, uh, what different types of people that might be listening to the audience, um, could contact you,u and how could you serve them when they contact you?
Dave Lundgren [00:27:30]:
Yeah. Anybody who is looking to invest passively. I mean, if the still framing thing’s exciting, there are different ways to participate in that. You could own a facility, um, certainly passive real estate, you know, whether they want to be a part of a syndication or buy turnkey. And again, that’s a different person. Typically, a private lender is a short-term situation, kind of a one-off, which is your wheelhouse. So maybe anybody who’s a little bit outside of that, who’s looking for a different type, like a syndication, or— and certainly a developer. I mean, if there’s somebody out there who has these large developments and that bond thing makes sense to them, um, or they know somebody like that, I’m happy to pay a referral fee on that.
Dave Lundgren [00:28:07]:
So anybody who fits that, um, I’d love to have a conversation with them. They can reach out. I think you’re going to put my website on there, uh, reach out to me directly, and I’d be happy to have a conversation with anyone that’s listening to this.
Jay Conner [00:28:18]:
Yes, Dave’s website is www.dave-lundgren.com. And of course Uh, that URL will be in the show notes as well. Again, that’s Dave, D-A-V-E-Lundgren, L-U-N-D-G-R-E-N.com. Reach out to Dave, have a conversation. You’re looking to get some higher rates of return than you have been getting. Uh, Dave is the guy to talk to. And, um, if you’re a builder or developer, you’re interested in learning more about the bond equity alternative, uh, Dave can tell you all about that. Dave, thank you so much for joining me here on Raising Private Money, and I look forward to seeing you in person at one of our upcoming, uh, mastermind meetings.
Dave Lundgren [00:29:04]:
Thanks, brother. We’ll see you soon. God bless.
Jay Conner [00:29:06]:
See you soon. Yep. Listen, if this episode challenged how you think about raising capital or structuring deals or creating passive income, do yourself a favor. Don’t let this be a one-off episode on raising private money. We don’t just talk theory, we break down what actually works in the real world, how to attract capital, keep more upside, and build long-term credibility with private lenders. So hit the follow or the subscribe, uh, right now because every episode— like, share, subscribe, click that bell if you’re watching YouTube— every episode here on Raising Private Money is designed to help you fund more deals without relying on banks or giving away control. And so if you found value today, leaving a quick review is more than a thank you. It helps other serious investors find this show and start funding their deals faster.
Jay Conner [00:29:59]:
Share this episode with someone who is stuck raising private money the hard way. I’m Jay Conner, the Private Money Authority. And remember, when you master private money, you don’t wait for opportunities, you create them. And as a final bonus, let me invite you to my upcoming Private Money Conference. It’s the Private Money Conference. It’s a $3,000 event. And because you’re listening to my show, you get to come for a $97 registration fee. The Private Money Conference.
Jay Conner [00:30:28]:
You can check it out at www.JayConner.com/Event. Next event’s right around the corner, and I look forward to seeing you in person. See you right here at the next Raising Private Money.
Narrator [00:30:50]:
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/Moneyguide and download your free guide that shares 7 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.