Scott Paton (00:54):
So in four minutes, are you going to tell us about a deal that you’ve closed recently?
Jay Conner (01:01):
I hope you and your editor can go in and like snag these little stories, right?
Scott Paton (01:06):
This is why I’m asking you these things.
Jay Conner (01:10):
So let’s see here. A recent deal. Well, let me put on my thinking cap. Let’s see here. One of the guys, one of the crew and the contractors working on. Yes. So okay so we just started rehabbing this house last week, small house in a Newport and it’s probably only got like barely a thousand square feet. So this was how I found the deal was it was an ad, an actual payday ad on Facebook that I was running. And it’s a picture of the ad is a picture of me where they yellow bandit sign in front of me in front of my picture and I’m holding this bandit sign and it says, full price for your house.
Jay Conner (01:57):
[Wow!] And the phone number. Right? And so, and there’s a picture behind me or I’m standing in front of, you know, some houses, et cetera. So the daughter of the elderly lady that was living in this home contacted me from this Facebook app and I were contacting my acquisitionist. And so the story is, the lady that was living in the house, she had been living in this home for like over 30 years, maybe 40 years long time. And she got into the point that she just could not keep it the house anymore and she was needing to go move into an assisted living somewhere. Which of course, thank goodness when I bought the house corona virus and not shut everything down. And so she contacted us and the after repaired value on this home is approximately $140,000 I bought it for $52,000.
Jay Conner (03:05):
But it is about a $30,000 rehab. So $52,000 purchase, $30,000 rehab we’ll have between purchase and rehab 82,000, but still, yeah. The after repaired value is right 140,000. The reason that rehab is so much is because we’re actually moving rolls around and opening up the kitchen and making it larger. But here is the interesting part of this story as to why I got the deal. An actual competing real estate investor, and there aren’t many of them around here in a small area, but an actual competing real estate investor offered five more thousand dollars than I did. So how is it that I got the deal? Two ways you see, as long as you can understand where the seller is coming from and what their motivation is? You’ll get more of your offers accepted. You see, I knew this lady had no where to move.
Jay Conner (04:07):
She was going to need to move, but she hadn’t even gotten any plans together on where to move. So here was my offer. I pay her all cash. I was free and clear so there was no way to buy such do the existing notes. So we paid her all cash, I plaid all cash with private money, closed on the deal. And my offer was, I’ll pay you $52,000, but you can go ahead and get all your money now and you can live in the home for free for two months after we closed and give yourself plenty of time to find, you know, somewhere that you would want to move to. So that gave her the cash flow, gave her the money and cash in her pocket so she could, you know, move on with you know the rest of her life. And still stay there in our home for a couple of months. It was because of that offer we got the deal accepted.
Scott Paton (05:07):
Yeah. So it’s not always only about the money?
Jay Conner (05:11):
That’s right! That’s right! In this case it was getting the money quicker, cause I told her she got, have all of her money in seven days. [Right]. So getting all the money, getting it very, very quick, and then allowing her to live there for a couple of months.
Scott Paton (05:26):
And what was the after repaired value again, Jay? [140,000].
Scott Paton (05:34):
So 52 for the house, 30,000 to fix it up. And you’re going to sell it for 140, [correct!] So you can make your usual profits. [Exactly! On a small house] on a small house.
Jay Conner (05:49):
And of course we were able to buy it in such a discounted price as there was no mortgage. It was free and clear, no mortgages on it.
Scott Paton (05:59):
Right. So there’s the details 52 to buy it, 30 to fix it and sell it between 130 and 150.
Jay Conner (06:10):
Yep. Yeah. This is the Tom Mann Road House.
Scott Paton (06:27):
Just to make sure I got that right.
Jay Conner (06:29):
Two Ns sorry MANN to be exact. That account will shoot Corey a text and tell him we are ready when he is.
Scott Paton (06:48):
So Jay, you would seem pretty obvious that housing prices are not going to be going up for the next little while.
Jay Conner (07:01):
Well, actually they are according to a wall street journal that article I read last week and here’s why. You got a lot of people that had their home in the middle of a listing service for sale and now. A share of those people are fearful and don’t want people in their house. So they take their house off the market and now you have a smaller supply and when you got smaller supply of houses, prices goes up.
Jim Zaspel (00:11):
Yeah, that sounds good. Well, let’s get started, Jay. So Jay, you and I met about 10 years ago, 11 years ago. And you’ve been a real estate a lot longer than I have been. So tell us about yourself, how you got started in real estate investing and Jay Conner in a Nutshell. You got a lot of interesting stories behind you, so let folks get to know you a little bit.
Jay Conner (00:32):
Well, you know, I don’t know if I can do Jay Conner in a Nutshell because you just told me last week I can’t manage to say my name. Right? I remember Jim, the very first real estate investing event that you and I met at. I don’t know what brought it on, but I think I was brought up on the platform to I don’t know to talk or something and I sat back down and I was sitting right next to you at the event and you leaned over to me and you said, talk Jay Conner can do [I remember a good yesterday, man]. So who am I and what have I been doing? So, as you said, Jim, I’ve been investing here in Eastern North Carolina since 2003 full time since 2003. And the first six years of the business, I’ve relied on local banks and mortgage companies to fund my deals. And I remember like it was yesterday, it was the third week of January, 2009, six years into the business, I called him a banker on this telephone right here.
Jay Conner (01:41):
I called him up, his name was Steve. And I got Steve on the phone and I’d had this conversation with Steve many times. I told him, Steve, I have these two properties on the contract, which by the way, back in 2009, when you put earnest money down in North Carolina, you couldn’t get it back. So I got money tied up in the deals and these two deals representative over a hundred thousand dollars in profit. And so I propose about the deals and when closing was scheduled and the funding that I needed for the deals. And I learned that conversation that I’ve been cut off and my lines of credit are gone from the bank. And I wish I’d known that before I put the money down. Right? And so within two weeks of actually going to this event that I was at with you, learned about private money. I came back home, I put my private money program on steroids and I was able to raise 2 million, $150,000 in funding from individuals, either their investment capital or their retirement funds. And so I was able to close all those two deals that I had. I didn’t lose those. And since that time I’ve not missed out on a deal because I didn’t have the funding. So I’m still full time in the business. I do two to three deals a month. Our average profits are $67,000 per deal.
Jim Zaspel (03:03):
I just wanna puke My friend, $67,000 per deal. So you just told me that you work half as hard as I do and get paid twice as much.
Jay Conner (03:11):
So anyway, you know, I do the business, I love the business. And I got bored back in 2011 cause they got an amazing team put together for doing the business. So that’s when I started, I put on my teacher hat and I started educating other real estate investors, particularly on how to get a lot of funding for their deals without relying on their credit verification income or experience in real estate.
Jim Zaspel (03:36):
That’s awesome! Well, you there’s one thing you, you did a training just a week or two ago that I was on and I went to high level folks and it was like, Holy moly, you know, when you’re in the hands of a professional, and I don’t mean a professional speaker, which you are, but what a few of my friends were talking afterwards is a professional teacher who’s like, wow, this is doable. And it makes it super clear. And of course you’re on his neck to listen to. Besides,
Jay Conner (04:04):
I got a little bit of a different accent than the folks up there in PA. Right?
Jim Zaspel (04:09):
A little bit, a little bit, a little bit. So Hey man. So we’re doing a couple of things are coming up. You know, these three individual days, tell folks about what’s in the books for how you’re going to help folks out and get some free training coming up.
Jay Conner (04:26):
Yep. So for your subscribers, your followers, Jim, you’ve got quite a network. You can invite all your people to come absolutely for free to three Fridays in a row on real estate virtual training right here on the internet. These three free Fridays are, the first one is going to be May 22nd Friday, May 22nd. And folks, this is not a two hour training per Friday. This is all day 9:00 AM to 5:00 PM Friday, May 22nd is the first one, then Friday, May 29th and then Friday, June the fifth, all these three Fridays are going to be not only how to survive, but how to actually thrive when you’re in the midst of uncertain times. And even when we come out on the little side of Corona virus, there’s always going to be those uncertain times that come around the corner. So in the midst Corona virus on the coming out on the other side, how you can be very successful in real estate investing, whether you’re a seasoned real estate investor or you’re brand new and never done a deal the first Friday, Jim on May 22nd, I’m going to be teaching all day long focusing on private money, how to actually locate the private money and the funding, particularly right now front virus and the consequences of it are still going on.
Jay Conner (05:47):
I actually have more private money coming to me without me asking for any money. It’s chasing me and I’m going to be sharing with of your folks that come there to the free Friday, how I actually am raising all this money in the millions without ever asking anybody for money, right?
Jim Zaspel (06:08):
Jay That’s incredible! And if I can interrupt and just like a plug for you for a second. So I will say that in my experience personally and people I know you know, one of the biggest things that we’re afraid of. Like what do you say? Right? How do you, how do you ask for the money? But you didn’t even get to do that. And so I’m gonna put a bait hook out there for folks that, you know, Jay has this, I’m going to just use the words magical way of talking about not even asking for talking about private money and then getting it. So you’re in for a super treat. I know you’re going to talk about some of the stuff on that Friday on the 22nd, but I just want to stop right there. That alone is just incredible.
Jay Conner (06:47):
Yeah. Well, and in fact, Jim I mean, you know what you’re talking about as well and you can speak to it because you’ve raised a ton of private money yourself.
Jim Zaspel (06:58):
Yes, yes. We have several million dollars in private capital all using Jay’s processes and systems. There’s one time I raised, it’s just over half a million bucks at one launch in using Jay’s process. And that happened to be brushed by the group to be with the same private lenders to right now it’s over one and a half million dollars of private money from those same people.
Jay Conner (07:20):
That’s awesome. That’s awesome. So that’s the first Friday, May 22nd and then the second Friday, May 29th we’ll be focusing on foreclosures. And here’s what I mean when I say foreclosures. So right now I mean you’re, our country’s starting to open up a little bit, but the foreclosures, people that were in foreclosure but hadn’t gone to their houses and not going to sale you know, when Corona virus was come along. So they put a stay on the foreclosures and there’s no new sales going on. You know, right now and won’t leave for the next few weeks. Well, as my grandmother would say, all they’re doing is saving up spit.
Jim Zaspel (08:03):
Yes.
Jay Conner (08:07):
That’s stuff ain’t going anywhere. I’ll do that. Then she’s going to be more spit all at one time,
Jim Zaspel (08:11):
right? I got to get that one down.
Jay Conner (08:18):
Well, you can always count on me to give you a nugget Jim. So you got all these people, there’s going to be this wave of new foreclosures just from the pent up demand. And then on top of that, we got all these millions of people over 30 million people unemployed, laid off. Well, that’s going to create even more foreclosures. So here’s the deal. There’s an affinity on an ever met me or heard me speak, you know, I come from a place of a servant’s heart. Look out for the other person first and you’re not going to have to worry about yourself. So there’s going to be a huge opportunity to serve a lot of people that are going to be having their own crisis. I mean, you talk about the Corona virus crisis, there’s going to be the foreclosure crisis that’s coming up. Are you gonna be able to serve a bunch of people, help them out of their crisis.
Jay Conner (09:13):
And in return, I’ll teach you how to create win-win scenarios to where you serve these people and you make a ton of money at the same time in serving these people. That’s the second Friday, the third Friday on June, the 5th, I call it how to locate three private money. So I’m going to be teaching a strategy on that Friday as to how you can actually get funding for a lot of your deals without having to borrow any money. So I’m just going with the teaser to get funding for your deals without borrowing any money. I’m not talking about using your own money either. So that’s going to be free private money on a Friday, June the fifth. And so Jim you know, whenever it’s appropriate, I’ll let you tell people how they can register or maybe there’ll be seen it right here. I don’t know. But if you have not registered folks, I never gonna fill up. Because you are in Jim Zaspel world, you get to come for free, get registered right now.
Jim Zaspel (10:20):
That is a huge giveaway. So what I’ll tell you folks who are watching this. The first thing I’ll tell you is I think you can tell from watching that, Jay spent 10 minutes to say hello, is that he truly has a servants heart And more honestly, more importantly for your purposes is he knows what the heck he’s talking about and he’s darn good at it. And most importantly, he’s just, he makes it so doable. And you know, I’ve heard, you know, until we learn something new there’s on-boarding process makes the challenge. Jay makes new stuff, seems so easy and so doable. And just cause he’s so good at himself. So you’re a great hand. So if you got emailed a link to this video, then the way it’s going to work is there’ll be a link to register.
Jim Zaspel (11:03):
And again, it’s totally free, Jay’s doing, there’ll be a link to register for these free trainings in that email. And then if this video is on a page on one of my social media pages, it’ll be in the description as well. So check the email if you got an email, if you’re watching the social media check the first comment or the description and the link will be there. So go ahead and click it, cause I don’t know what Jay’s limit is, but obviously because of technology and bandwidth, all those things are. There’s so many people who’ve been fit in a class each day.
Jay Conner (11:30):
Thank you so much, Jim, for having me on here. And, you’re going to be joining me, I think on a panel. So you all, not only do you get me, but you get the main man himself and these virtual trainings as well. So I look forward to seeing all of you and Jim at the upcoming virtual trainings. We’ll see you there.
Jim Zaspel (11:50):
Awesome, Jay, I really appreciate you doing this folks. Get registered now and I’ll see you soon.
Wendy ended up with $23 million in lending. She then started a fund to leverage her expertise.
If you have a deal ready to go, you can make it work when you know the financing is looked after.
Wendy and Jay share a story about how she tithes Wednesdays. She spends Wednesday 10 am to 3 pm to talk, mentor and consult with people for free. Most people, real estate brokers, investors just want to get another perspective. She is booked solid for the next months.
Why are you doing what you are doing? Until you answer this question, you will be running around with your hair on fire and not feeling fulfilled.
Being of service is so important for success.
Wendy lends throughout the south-eastern states, mostly single houses, and multi-use commercial or residential buildings. They look at each deal individually.
She accepts funds from accredited investors to invest in her fund. They look at 7-9% returns in the fund. $5 million net worth or higher.
Wendy’s best advice for new investors who have not done a deal yet:
Get plugged into your local REI meetup groups. Great education cheaply. Get to see all the different types of RE out there.
You reap what you sow. The reaping is exponential when you sow with no strings attached.
Recommended Books:
Solomon, the Richest Man Who Ever Lived
The Go-Giver
The common question she gets: How to find contentment.
Her answer: You have to live today like you are already there. Enjoy the journey.
Jay: Go help someone who can not repay you or do something for you in exchange. There lies massive Joy.
Wendy Sweet has been lending money to investors since 2001 as both a conventional lender and Hard Money Lender. In 2008, she along with countless others tossed conventional lending to the trash pile. She dug in by growing her Hard Money Company offering funds to the investors who were able to navigate the changing world of real estate.
She and her partner who is also her brother, Bill Fairman have been successfully lending money primarily in North and South Carolina to investors, rehabbers and builders. Currently, they lend to commercial investors for multi-family. multi-tenanted projects in key areas of the US. They now manage a real estate fund for accredited investors in addition to brokering loans for those with money to invest.
Wendy is also a 35 year licensed real estate broker in both Carolinas. She combines her selling knowledge with her longtime lending expertise in order to provide top-notch service to her borrowers and investor lenders. Their goal is to guide and assist like-minded people to build their wealth through proven lending while providing strong returns for real estate investors.
Wendy can be found at http://carolinahardmoney.com/our-team/ or wendy@carolinahardmoney.com. 704 400 9481
Register for the Real Estate Cashflow Conference:
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 $64,000 per deal.
What is Real Estate Investing? Live Cashflow Conference
The Conner Marketing Group Inc.P.O. Box 1276, Morehead City, NC USA 28557
[Podcast #87] 10 Reasons to Use Private Money instead of Hard Money
Jay and Chaffee talk about the importance of Private Money. Jay talks about the different categories of Private Lenders.
1) The interest rate is a lot better for Private Money.
2) Origination fee or Points,
3) Extension Fees
4) Length of the note
5) Downpayment, Cash out and Equity vs Cash
6) Multiple checks on all transactions
7) No credit check
8) Verification of income
9) Number of simultaneous deals
10) Loan position
Bonus reason!
11) You make the rules
Private lenders can be anywhere.
Register for the Real Estate Cashflow Conference:
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 $64,000 per deal.
What is Real Estate Investing? Live Cashflow Conference
https://youtu.be/QyeBbDOF4wo
The Conner Marketing Group Inc. P.O. Box 1276, Morehead City, NC USA 28557