We got an email in support from Private Money On Demand (PMOD) member, Jacob Evans and wanted to share it with you.
We follow up with our members regularly…
I sent Jacob an email asking if I could help him with anything and here’s his response…
“Very refreshing. Thank you for this.
I have figured out how to compile my mailing list at the court house (there were 33 private loans in my county in the month of September). This doesn’t include family trusts.
Do you mail to family trusts or the rep for the family trust or do you exclude their info from your mailing lists?
If you have any more info on exactly how you convert a private money lead from – a person calling about my letter - to someone who’s funding my next deal. I would greatly appreciate it. There seems to be a dark spot with regard to that process for me.
Thanks for everything! You’re the man, so glad I found you.”
Congrats on using the PMOD process to find 33 private lenders in your area through public records! Nice work Jacob!
Ok, on your first question, I only mail to private individuals who are lending money… and exclude trusts, businesses, etc.
By targeting individuals who are private lenders, you can typically get better terms.
The Private Money Through Public Records “Conversion” Process
As far as the “conversion process”… once you start getting calls from private lender prospects, how do you convert them to funding your next deal?
First, contact them to set up a “get to know you” meeting. This could be over a cup of coffee (my preference) or over lunch.
Getting private money is all about personal relationships… so in this meeting, you’re just looking to find out more about the prospect, their hobbies and interests, focus/niche in real estate, goals, etc.
This is NOT the time to go into detail about your private lending opportunities.
When the prospect shows interest in learning more about what you do, it’s time to go for the formal appointment… where you show them my private lender PowerPoint presentation (right click and “Save link as…” to download). This is where you go over all the details.
Make sure to customize the presentation to suit your biz… based on your niche, how you structure your private money loans, etc.
Now it’s time to show ‘em your presentation…
This is where you educate the prospect on your business, the current market, why you borrow from individuals, general guidelines on the private lending opportunities you offer (not a specific deal at this point)… and the most important part… you “diagnose” your private lender.
After that, you know exactly how to present the prospect with the perfect investment… based on their personal goals and needs.
Every time you come across a deal that matches with your prospect (range of funds, availability, terms), pass it by ‘em.
And like they say, “The fortunes in the follow up!”
With each follow up, you build more rapport, trust, and credibility… and before you know it, BOOM!
You’ve got a private money lender on board… ready to fund your next deal.
Happy Private Money Getting!