Finding Private Money - your Free Question Friday

This question keeps piling up in my email inbox:

“Where are the best places to find private money?”

First off, early in my career, I went to several websites, applied and what I found was that it was easier to get loans through a bank than some of these so called hard money lenders.

It seems many of these guys want their cake and eat it too- good credit, good down payment, and expect you to pay a hellashish interest rate.

The best way I know is through building personal relationships with other professionals. I’m talking people in your own local market.

Here’s some ideas-

- Research the assignments of mortgages to find out who’s buying notes at your own county records. (then start marketing to them with direct mail letters, postcards)

- Look in your local papers for hard money lenders - be sure they’re the real deal and not trying to broker the loan to someone else

- Look for other real estate investors to partner with. I’ve used private money - they put up the money, I did the work, we split the profits.

-Talk it up! When people ask what you do - tell ‘em. Let them know you partner with people and can bring them ridiculous returns all secured by real estate at pennies on the dollar.

Lastly, I’ve got some super cool videos I’m uploading that you’re gonna dig.

Derek

Free Question Friday

I’m about to head off to the NCAA Road to the Final Four First Round games in Birmingham. So today’s Free Question Friday is more of a general real estate investing tip instead of taking a question.

A student of mine called to asked if I wanted a Free ticket to tonight’s games and take me to dinner.

Knowing how much I love basketball - I agreed. This guy will get the most exclusive real estate training and the ability to ask me any question for the price of admission to a basketball game. (except he better not ask during the game or I’ll have to get medieval)

Not a bad deal -huh?

Recently, I carried someone to lunch that I have the utmost respect for in the business world and was hoping to pick their brains during lunch.

Well, not only did I get to pick his brain during lunch - we spent an additional 3 hours driving around looking at his latest projects and hanging out in his office while he dished out thousands of dollars worth of advice - all for the price of a meal.

So, this next week, make it a point to take someone to lunch.

Take an interest in what they’re doing.

Generally, people love to brag about what they’re doing .

Ask questions and learn. Strive to build the relationship.

Usually, all you have to do is ASK!

-Derek

March Madness

For those of you that don’t know, this year happens to be my favorite time of year for one reason - March Madness.

I literally take time off from my businesses to sit back and watch basketball. Anyway, I love filling out the brackets and I’m working on mine right now.

I just created a group on Yahoo and if you wanna join the group and fill out your own bracket here’s the link:

http://tournament.fantasysports.yahoo.com/t1/group/112733

Group ID#: 112733

All you have to do is click on the link above and then click join group.

- Derek

BTW - the best bracket wins like $10K I think and a perfect bracket wins $5 mill.

Free Question Friday- Dealing with Motivated Sellers

The last two weeks have been insane!

My father in law (Tony) almost past away last week due to complications at the hospital. Last Tuesday he arrived at the ER sick from the flu thinking they’d give him some meds and send him on his way, but instead they admit him into the Intensive Care Unit and literally all heck breaks loose.

They tell the family he’s in serious condition (keep in mind he’s 50 years old with nothing wrong and strong as an ox) and they need to do exploratory surgery. They open him up for about 15 minutes and said - everything looks good - let’s close him back up.

48 hours later - Tony is on a vent, a feeding tube and has packed on some major weight from the fluids and yet the hospital still doesn’t have a clue what’s wrong with him. One thing that was wrong was the feeding tube- his stomach wasn’t processing the food, so it was overflowing into his lungs.

Anyway, he was stable enough to move, so the family moved him to another hospital and he’s looking better every day. But the hospital made some major blunders.

Moving on to this week’s Free Question: Read more