Finding Private Money
Finding Private Money can seem like a daunting task. The questions I get the most is, “where do you find it, and how do you ask for it.” The first place you should look for private money is in your warm market. This is people you know now. This may seem awkward and maybe uncomfortable at first, because you may be just starting out. But I find that enthusiasm and confidence will usually overcome the right people. These people are the ones that know you best and could possible help you out. Here’s the trick. It’s how you ask. You never ask someone directly if you can use their money. What you want to do is talk about the opportunity and really just share what you are doing. Let people know you are in real estate and that the crazy part is that you are buying home at auction and REO’s using other people’s money. Talk about how you get to do deals and your investors love the return. Do it low key. Then get off the subject. You can’t throw up on people. they don’t like it too much. You want to act as if you are just sharing. Next, you ask whoever you are talking or sharing this with, if they know some of their friends at work that might want to learn more. Make sure you shut up after you say this…..
Another way is to target retirement communites. Here in Phoenix, we are blessed with a lot of people have made their money and are now living off it. Most of these investors are CD and Bond buyers. You can help them out tremendously. They don’t trust the markets anymore and they really know prices of homes are on the cheap. Show them how they can be the bank and make great returns on their money.
To get private money, you have to ask. It’s a numbers game. The person who ask more and learn how to ask will always get the worm. Theirs a lot of money out there. Go get yours….
If you want to become a private investor with me, go to http://www.privatemoneyphoenix.com fill out he form and I will be in touch.