As you know I buy real estate and I do it without relying on banks…because banks wouldn’t even give me the time of day because I buy too many properties. Hence, I have a cadre of Private Money Partners who provide funding. When someone approaches me to inquire about becoming a Money Partner, first it is all about EDUCATION.
I don’t make any sort of a deal presentation to a prospective Private Money Partner until at least a third meeting. Our first meeting is all educational, where I teach how they can use funds from their retirement accounts, home equity line, Coverdell and Health Savings Accounts, as well as any cash reserves they may have, to invest in real estate. Most of my Money Partners utilize a Self-Directed IRA account.
Our second meeting is where we meet again one-on-one over coffee to learn more about each other on a personal level and determine whether or not their investment resources and objectives are a good match for my program. We will only meet for a third or subsequent time if, at our second meeting, we both agreed that we could be a match going forward with a real estate investment. It is at that third or later meeting where I explain, in black and white, what kind of deals I’m talking about, how these deals have worked for others in the past and what return today’s deal could generate for the Private Money Partner.
Quite frequently, the time period from our initial meeting to our third meeting is 45 days or more. It’s important for both parties to use this as a true courting period and they come away with a “30,000 foot” view of my real estate buying, holding and selling machine.
********************************* If you are reading my blog for the first time, let me inform you that… My company buys single-family houses and I write this blog weekly which is primarily directed to educate 1 group of individuals:
Individuals who are losing their shirt as a result of the “roller coaster” volatility of the stock market and low paying rate of other traditional investments, i.e. people that are looking for an opportunity that’ll provide a secured place to put their money to get it working for them to earn better than average returns.
However, often times, homeowners that need to sell their house, stop by to take a peek because they are curious and wondering how and/or where we get the funding to purchase houses. And if they stick around long enough, they begin to understand why individuals partner with us to provide the funding which empowers us to be able to purchase real estate on a continual basis. Simple, it’s because we teach them a secured way to earn better rates of return than they are currently earning.
So everybody wins. It’s a WIN-WIN-WIN !!!
Request your FREE Education Kit if you are interested in learning how passively investing in real estate may help place you in a better financial position.
Disclaimer: This site is intended for educational purposes only. I am not an accountant, attorney or licensed financial planner. While the information I’m writing here is based on many years of experience buying houses that doesn’t really constitute professional advice (since everyone’s experiences and situations are different).