Two big concerns for real estate investors:
- How do I find deals?
- How do I fund my deals?
Finding private money is probably easier than you think. There is really one main thing you need to do to uncover your hidden resources: talk.
Are you talking to everyone you come in contact with about what you do? Just your enthusiasm and your success stories can be enough to raise all the private money you’ll ever need.
Our first private money came from a conversation on the golf course. This was before we’d even thought about searching for private lenders. I was out on the course with a co-worker, someone I would never have considered approaching for money in the first place because, after all, he worked where I did so how in the world could he have money saved? I certainly didn’t…
I was telling him about what we’d been doing with real estate and about a deal we were working on, but I didn’t know where we’d get the money to do it. I didn’t ask him for anything; I was just sharing what was going on in our lives and how excited I was about it. As we walked off the course my friend said, “I have enough money to do that deal. Do you think it’s something we could do together?” That was the unexpected beginning to years of a private money relationship.
Our next private money came from the father of one of my lifelong friends. I was, again, sharing my enthusiasm and successes with real estate. Unexpectedly, my friend’s father called and said he’d heard what we were doing, had money he wanted to take out of his unsuccessful retirement account, and wanted to know if we could use it to do some deals. Again, the beginning of a long and very successful private money relationship.
Today we have private money lenders from around the country. How? Simple conversations about what we do and our successful history with real estate investing.
Don’t worry that you need to buy a program on how to raise money or hold “investor” meetings where you speak before groups. Simply talk to people you know about what you do and how.
Many of our investors started out with small amounts. Naturally, they want to see success and be comfortable with who they’re lending to and how the business is run. Over time, don’t be surprised when your investor wants to add more money to their investing with you.
And friends tell friends and family members and co-workers. Because of this, you actually need very few investors to accumulate quite a bit of money over time.
As an added benefit with HomeVestors, they provide funds to their franchisees so there’s no need to look further than corporate headquarters when you need financing. How simple is that?
Would you like to learn more about the HomeVestors opportunity? I’m always happy to answer any questions you have about funding or anything to do with real estate.
I look forward to speaking with you!