Private Money Case Study – Brian Gets Committment For $150,000

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Another cool note from a happy PMPB student.

Brian has been a student at PMBP since summer of ’09… and he let Patrick know through his blog that he just locked up $150,000 (which will turn into $500,000 after the first deal) in private money to do his real estate deals.

Check it out…


>>> Click Here To Get The Same Tools And
Personal Guidance Brian Got <<<

PMBP Student Testimonial – Ron Eason

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It’s really cool when we get unsolicited emails and messages from our students about the difference we’re making in their lives and businesses… and that they truly appreciate the way we approach teaching about private money.

Anyhow, I logged into my Facebook Account and saw this message from a PMBP student of ours Ronald Eason.  Thanks Ron!


Not A PMBP Student Yet?  Well… You Must Already Have All Of The Money You Need Right? If Not… Go Here <<<<

Step By Step Fractionalized Trust Deed – Susan Lassiter Lyons

Hey guys and gals!

We were getting a bunch of questions from PMBP students who asked for more clarification on fractionalized trust deeds from Susan.  Well… we asked Susan to do a workshop on it for our PMBP members (she also shared it w/ her mastermind group)… so get out your pen and pad if you’re to a point where you’re ready and need to use fractionalized trust deeds.

NOTE: If you’re not to a point in your REI biz where you NEED fractionalized trust deeds RIGHT NOW… I’d skip this and come back to it only when you’re ready.  Make a shift from “just in case” learning to “just in time learning”.  Learn only what you need to know to get you to the very next step… don’t learn just because you think you may need to use it someday… thats a trap that unsuccessful people fall into.

Justin Wilmot Case Study: How He Got $1,000,000 In Private Money From One Private Lender

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Patrick and I are constantly talking with our students and fellow investors every day and we have at least one student a day give us a call and ask questions and tell us their success stories.

Well, just a few weeks ago Patrick got a call from Justin Wilmot, a “surfer dude” student from Florida who Patrick walked through step by step on how to get private money in today’s market just a couple months back.

His Private Money Results?

Well… check out the case study audio below for specifics… but I can tell you he secured 7 figures from just 1 private lender (he says how he did it in the mp3 below).

Click here to play the mp3 case study with Justin <<

The mp3 will open in a new window

To Sum It Up

  • Justin is a self-proclaimed “surfer dude” from Florida who wanted to “get involved in real estate”
  • Tried making offers and without cash kept getting rejected time and time again (and banks wouldn’t lend him the money)
  • Hooked up with Patrick in early this year and Patrick taught him his little simple system on how he’s been able to get private money. Justin implemented what Patrick told him to do and what to say (exact scripts and templates)
  • Justin just got a commitment from one private lender of $1,000,000 as a line of credit that Justin can now use to make cash offers on properties with confidence.
  • Now Justin will close more deals because of the cash he now has available to him (at great terms… and Justin never had to show his credit score, sign an application… none of that)… and more deals will mean A LOT more money in his pocket this year and beyond.

Congrats Justin!

How To Buy Apartment Buildings With Private Money

One of our PMBP Platinum students called Patrick and I this week to get some last minute questions before he does his first “private lender group
pow wow” for a bit of our advice.

Anyhow, we got to talking and he just got a HUGE property under contract ($1mil apartment building) and already has all of the private $ lined up for it… 30 days before close (we taught him how to get those lenders).

Long story short… Tim’s business model for buying apartment buildings with private money is just like mine.

Buying Apartments With Private Money Simplified Process

Here’s how it goes:

  1. Market for sellers who have owned the property for 10 years or more (the more time the more equity)
  2. Negotiate with seller to have seller  carry as much of the note back as possible. I prefer at least 80%.    – Tim got a 10% rate which still helps him cashflow the property, I usually go for between 6-8%.
  3. Bring in private money lenders for the downpayment.
    1. Tim brought in $80k in private money from two lenders for this deal.
    2. Own a property w/ HUGE leverage, positive cashflow, and little to nothing out of your own pocket.

Sounds simple… cause it is.

The trickiest part of the whole thing is finding enough property owners to talk to on properties that match your buying criteria.

Not all sellers of course will want to or have the means to be able to carry the note.

However, when you really target the RIGHT sellers you increase your odds and closing percentages big time.

Types Of Property Owners I Target

I like to target this type of seller for apartment buildings:

  • Owned property for 10 years or more
  • Is nearing or in retirement (45-60 years old)Property is in good shape but might need a bit of cosmetic work/upgrades…
  • …and as a bonus. If they seller manages the property themselves it’s even better!

It’s better because when you say the right things you can show them how you can pay them the same or more than they’re currently
making in cashflow per month if you buy the property… and they no longer have to worry about managing the place, doing repairs,
fixing toilets, etc.

Once you’ve negotiated with the owner on the purchase price and seller carry, now it’s time to get a hold of your private lender prospect list and start using the 30 second commercial, setting up 1 on 1 appointments… and gear your presentation a bit toward the end on this specific deal.

Let the strength in the deal numbers “sell” the deal for the private lender to show them it’s a no lose for them.

For Tim, our student… he got the property under contract and the seller agreed to close in I think it was 60 days… don’t quote me on that though.

Then, Tim had already been talking to people and planting seeds about what he’s doing and giving his 30 second commercial.

So, he went back to those people who showed interest and told them about the deal… and asked for a 1 on 1 appointment to show them more details.

He secured the one lender for $40k using his presentation…

… then asked that lender if he knew anyone who would be interested in this deal.

(KEY: Ask for referrals… that’s one of the best sources of instant credibility and makes it much easier to built trust with the referral).

Tim talked to the referral, presented his presentation and deal… and locked up the other $40k he needed right then and there.

Done deal.

The only difference between Tim and other people who haven’t seen this kind of success is that he took what he learned and took action on it.

He did a great job finding a great deal… and we helped him get the confidence to get the private money for the deal.

Here’s the stats:

  • Purchase Price: Approx. $1,000,000
  • Seller Carry: Approx.   $      920,000
  • Private Money: $        80,000
  • Money out of Tim’s pocket = $        0

(I believe the private lenders are paying for the closing costs too for Tim!).

That goes to show that there are great deals to be had out there and that those deals go to those who take action on what
they learn.

So, get out there and use some of the tips from this article to find a great property and fund it with private money so you don’t have to take a dime out of your pocket to own a million dollar property.

Lol, I get emails every week from people asking if the “no money down” deals are real… they’re skeptical.

Well… they’re 100% real… they’re all over the place… and if you don’t think they are out there… well… more for me and Tim! 🙂

– Trevor