We hear it all the time by newbie investors. “I don’t have any money to get started in real estate!”. The most beautiful part of creative financing is that it’s not your money that you’re investing. But we recognize that new investors who are just putting together a network might feel a little stuck as they’re raising private money. Matt’s got your back, so grab some paper to jot down how you can start building a private investor network.
No one, and I mean no one, likes a pushy salesman. So when you talk to someone about investing, you don’t want to find yourself chasing them down. You should push a little and then pull back. Matt breaks the investing ice by asking these three questions:
—Would you like a 10% return on your money?
—How much money would you have for a deal like that?
—Would it make sense for me to call you if I find a deal like that?
Matt is so good at asking questions that really open up the conversation and give the potential private investor the chance to opt-in. You’ll hear why the phrase “Really, why?” is one of his favorite sentences to keep the conversation going. When you’re in real estate, you can’t keep what you’re doing secret. Real estate is a people business.
You’re also going to hear how Matt evaluates a virtual wholesaling deal, and it is so cool to watch. He wants to know right off the bat if there’s equity and will it cash flow? After that, he gets very specific on his numbers, and he talks about how he uses CADS, or Cash After Debt Service. Check out Matt’s YouTube channel for more amazing content, and we’ll see you back here next week, same time and place, for our weekly webinar.
—Anticipatory thinking will kill your business; stop creating hypothetical situations in your head where you fail.
—Matt’s three questions he asks every potential hard money lender.
—Is it illegal to ask for private money? We’ll tell you how you can get in trouble asking for private money.
—How Matt figures out whether a property is a good deal; he goes deep in the weeds here on deal structuring and you’re going to love it.