Financing, Financing, Financing! That seems to be the MAJOR sticking point for real estate investors these days.

If you’re one of our regular readers, you know that we teach a great deal on how to get private money. But, I still get tons of comments from investors like . . .

= > I don’t want to ask people I know for private money . . . where should I start?

= > The people that I know with money aren’t interested in lending right now . . .

= > How can I get private money without experience as an investor and a proven track record?

= > Everyone I talk to is holding on to their cash right now. Are there really people out there lending private money in today’s market?

. . . and the list goes on and on. If you look closely at these comments, all they really are is excuses.

More often than not, most people just want something for nothing. They want the easy way out. They want to reap the harvest and have private lenders beating down their door but aren’t willing to till the soil, plant the seeds, and nourish them into full bloom . . . which is what it takes to get private money lenders for real estate deals!

The farmer doesn’t demand a crop from his field whenever he feels like it. He doesn’t plant his seeds in the fall. Neither does he plant his seeds in the spring and go on vacation for the rest of the year.

A farmer knows that to have a bountiful harvest, he must till the soil, plant seeds, and tend to his crop. He knows there is a specific order that must be followed and that even when he “does everything right,” he is still not guaranteed a harvest. He must work hard, work smart, be flexible, and learn from everything he experiences day by day.

4 Step Process to Harvest All the Private Money You Need for Your Deals

Step 1 – Till the Soil

There are two things that every person that you know and every person you come in contact with should know . . . you are a real estate investor and you have investment opportunities available.

But that’s it at this stage in the process. You’re not explaining the details of your investment program, how the investment is secured, what rate you are paying, how it’s all structured, etc.

Your job when “tilling the soil” is to simply pique interest with anyone and everyone. And you do this by using what we call the “Half Minute Private Money Hook” (aka elevator pitch).

Basically, you want to tell your prospect what you do so that a second grader could understand, target pain points (like losing money in the stock market or meager returns from CDs, bonds, mutual funds), give them your biggest benefit, and get a “yes”. To learn the exact script for the “Half Minute Private Money Hook” Click Here (it’s covered in one of the training videos).

Using this technique, when you come across a good prospect for private lending, they’ll start asking you detail questions about your program. That’s when you know you’ve done your job “tilling the soil”. Now that interest has been piqued and your prospect wants to know more, go for the formal appointment.

Here’s another quick tip for ya …

Do not disqualify anyone as a potential private money lender. That’s one of the most costly mistakes you can make when getting started. You don’t care if someone has the wherewithal to invest or if they’re currently interested in becoming a private lender.

Alrighty then … on to …

Step 2 – Plant Seeds

When you have a formal sit down appointment with a private money prospect and they leave the appointment with a FULL understanding for exactly how your program works and where they fit in the process, you have successful planted a seed. Nice work!

You want to continuously set appointments for practice, you want them for feedback, and want one more person out in the world to know the ins and outs of your program. If someone you meet with never invests with you in a million years, that’s fine! Who knows who they’ll tell about your investment program. When the topic of real estate investing comes up, chances are, they’ll want to contribute to the conversation. That’s when the word about your investment opportunities starts to spread.

If you use the free private lender PowerPoint presentation that we provide, you will find out a ton of good information from your prospects about their needs and goals. There are specific questions built into the presentation so that you will know exactly how to match the right prospect with the right deal going forward.

From here, you want to . . .

Step 3 – Nourish Your Field

You’ve probably heard before that . . . The Fortune is in the Follow Up!

Well, that’s the whole truth and nothin’ but the truth when getting private money. You want to create a list of people that you’ve planted a seed with (meaning you’ve formally presented to them and they understand your investment program), so that every time you have a deal that needs funding, you can just go down the list calling every private lender prospect that could be a match.

And you follow up with these prospects until they “buy or die.” Until they tell you to get lost and quit calling them or until they write you a check to fund a deal. The more contacts that you have with each individual, the more you build trust, credibility, and your chances that they’ll become a private lender.

You’re nourishing your field by following up continually and setting yourself up for a copious harvest!

Step 4 – Harvest the Crop

You make the call saying, “Hey Bill, thought of you when another great investment opportunity came up and . . . not sure if it would be right for you but thought I would at least call and tell you about it . . . you see, we’ve got a great opportunity for the right person. It’s not going to last long though because I’m going to have a private lender committed to funding it by Friday. Is this something you might be interested in?”

And low and behold, the private lender prospect says, “YES.” You’ve successfully tilled the soil, planted the seed, and nourished your field until harvest.

Now, get back out there and start all over again . . . you’re on your way to having private lender beating down your door! Keep up the good work!

Recommended Private Money Getting Resource

Want more free private money training? Click here NOW to access my case study vault which contains free videos of people all over the country making a fortune getting private money lenders for real estate deals.

How about some real estate investing tips from a seasoned expert investor???

I was at a property the other day with Wil Christenson, a local creative real estate investor in the Charleston SC area, and happended to have the video camera with me. We decided to shoot a quick video highlighting Wil’s top tips in various areas of real estate investing. Areas such as marketing,negotiating, deal structuring, financing, flipping, renovations, property management, and exit strategies.

You guys are in for some HEAT! Check out the real estate investing tips video below . . .

Click here to view the embedded video.

(go to the blog to watch the video if you’re reading

this through your email subscription)

Put your top real estate investing tips in the comment area. We would love to hear from you!

Financing really seems to be a sticking point for many investors. We get tons of questions through the blog about financing strategies, but most of the questions center around getting private money.

Recently, I wrote an article about the 3 types of people most likely to invest with you and become your private lenders. Now that you know who you’re best private money prospects are, let’s go over exactly what you should be asking them.

The best way to turn a private money prospect into a client is by asking the right questions. Questions that elicit motivation, questions that uncover goals, and questions that make the prospect imagine themselves enjoying and benefiting from your investment program.

5 Questions You Should Be Asking Your Private Money Prospects

Here’s a quick tip: Make sure to write down everything an investor tells you when you’re going through these questions. This is valuable info!

1) What experience do you have investing?

Find out if they’ve invested in CDs, mutual funds, bonds, stocks, real estate . . . whatever. This will help you get a good picture of the type of investor you’re dealing with, their expectations, how knowledgeable they are with investments, etc.

If they have any experience investing in real estate, you want to know the details. What did they like? What did they dislike?

The prospect’s answer will indicate whether they primarily move away from pain (losing money or earning meager returns) or towards pleasure (making more money/better returns/financial freedom). Note whether they move away from pain or towards pleasure. You will present your investment opportunity to them based on this information.

2) Are you happy with the performance of your investments (investment portfolio)?

Whether they are happy with it or not, you ask the same question next . . . “What average rate of return have you been getting from your investments?”

At this point, if they tell you a 20% annualized return, you can let them know it was nice talking with them and move onto the next prospect. You just saved yourself some time.

Let’s say the prospect said he or she was earning a 6% return on x-investment. At the end of your presentation, you could say something like, “Well, I’m not sure if we can do this or not but . . . what if we could offer you a 8% annualized return backed by real estate . . . would that be something that might work for you?”

3) Whether or not our program is a fit, is it important that you find the right investment opportunity soon?

If they say “no,” this may be a good person to add to your follow up list. You could also say something like this to them, “Sooooo if the money stayed in x-investment earning x% for say another 6 to 12 months, you would be fine with that?” Or, “If your money just sits there earning you nothing for x-time, you’re ok with that?”

If they say that it is important to find an investment soon, you have a green light to continue moving forward towards turning them into a private lender.

4) Are you more interested in making a quick buck or building wealth?

This is another way of asking if the prospect is interested in a short or long term investment. We would prefer that the person invest long term. So by saying “quick buck,” we’re already putting a negative connotation around that idea. The longer term you can negotiate, the better.

If you find out that the prospect just wants to make a quick buck, it may be best to move on.

5) What would the right investment provide for you?

This question is key to get the prospect visualizing a positive experience with your investment opportunity. And we’re not even referencing our investment. They will imagine being able to retire one day, going on that family vacation, feeling safe and secure and will associate it with your investment program.

Remember, no one will invest with you until they can imagine themselves getting the benefits from it.

Free Private Money Resources

The above questions all came out of the free “How to Recruit Private Money Millions” eBook and PowerPoint presentation. These resources walk you through exactly what to say when meeting with private money prospects and gives you a customizable presentation that you can use immediately. There’s a lot more too it than just these 5 questions . . .

Click Here to Get Your Free Private Money eBook and PowerPoint Presentation