How PMBP Member, Tim Bratz, Closed A 5-House Package Deal With Private Money
Hey, I was hanging out with Private Money Blueprint member, Tim Bratz, the other day… and when he told me about a 5 house package deal he closed with private money, I decided to go check it out.
I shot a video with Tim to go over exactly how he put this deal together. In it, Tim shares…
- where he found the first house and how it led to the other 4 (it didn’t cost him a dime… you can do this too)
- how he was able to get a short sale approved without doing any of the work himself
- the technique he used from our PMBP system to get the money to fund the deal
- and a bunch more.
Tim has been a full time investor for 3 years now… and he’s ONLY 26 years old. Love it!
Check out the video case study below to learn exactly how Tim closed this 5 house package deal…
Congrats on the deal Tim!
If you have any questions for him, toss ’em in the comment area.
Happy Investing!
– Patrick
P.S. – If you’re interested in learning more about the turn-key investment opportunity Tim’s offering with this 5 house package, contact him at tim.bratz [at] gmail.com.
P.P.S. – Click the icons below to share this with your REI friends. They’ll love ya for it 🙂
17 Comments
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That is great about the 5 homes and the private financing. I could be wrong but it seems difficult to get private financing here in CA without going to the hard money lender.
Hey Gordon,
An important thing to remember is that private money is literally all around you… every day.
Right now, as I sit in Starbucks typing this comment, there’s 20 or so people here. I know a few of ’em… there’s a retired real estate developer, a commercial broker, the Town of Mount Pleasant city planner, among others. Heck, there’s probably $5mm dollars or more in private money within 30 feet of me right now.
What I’m saying is… it’s not so much a matter of it being easy or difficult to get in any certain geographic area… it’s just a matter of getting your foot in the door with people, building rapport, credibility, and trust… and presenting your opportunity.
Private money is all about personal relationships (no matter where the lead comes from). So focus on building rock solid relationships with people, continuously communicate what you do and the opportunities you have, and you’ll be on the right track.
– Patrick
Nice, congrats Tim! Keep crushin’ it man!
Can’t view the video…Firefox doesn’t support HTML5 video
Hey Lila, hmmmmmm… not sure what the problem is. I’m using firefox and can watch the video from my end. It’s uploaded through YouTube.
Maybe try a different browser or if you have access to another computer, that may be the best bet.
– Patrick
Great story. Lots of useful information.
Hey Angela,
Thanks for the joining the conversation here. Glad you found lot’s of useful info!
Let me know if you have any questions or if we can help with anything.
– Patrick
Congrats Tim, way to go!!! That’s a great example of a flooded market. I’m just beginning the PMBP Modules to have more control over our deals. We too specialize in Short Sales have gotten many accepted and approved and only to find out that our local “Cash Buyers” are not Cash Buyers, lol… And forget it with our local Hard Money Lenders, they charge an arm and a leg, smh… I want similar success in next few weeks as our Short Sale deals are rolling around the corner again. Thanks Patrick, Thanks Tim… I’m inspired!
Hey, first off, congrats on joining the PMBP program! Welcome to the family 🙂
I absolutely LOVE hearing that you’re inspired. Let’s do this!
I suggest starting with the PMBP core modules. Module 1 will get the foundation laid… then Modules 2 through 4 will take you from ground zero to closing a private money transaction.
As you study and implement, let us know how we can help. We’re here for you 100%… and we mean it!
Let’s get you some private money for your short sale deals!
– Patrick
Great video. It seems as though most people use PM for specifically for wholesaling deals, but I’m now interested in learning how I can use it for my niche (Lease Options/Purchases)
Hey Shavon,
You can use private money to fund deals whatever your niche and biz model. I do a lot of lease options myself and use private money for whatever cash is needed to do the deal.
– Patrick
Hey Patrick,
On the lease option/purchases, have you run into any anti-flipping regulations with FHA? I just found out that USDA recently implemented new anti-flipping guidelines tha reveiw the chain of title and won’t let the seller make more than 10% if they’ve owned for less than 90 days. My private money investor wants to back out because of this. Any ideas?
Hey, on my lease options, I usually set them up from a 1 to a 3 year term. We work with people who typically need some time to improve their credit so that they can purchase. So I don’t try to get lease options cashed out that fast.
One way that I’ve gotten around the FHA issue though is by buying property in trust. On the chain of title, it shows the previous owner of record and that it was passed into a trust. So it doesn’t necessarily look like the property changed hands.
Another way around would be to work with buyers who don’t have to qualify for traditional financing… aka cash buyers. Or to hold the property until after the 90 day period.
But if you’re private lender isn’t comfortable lending for a longer term, move onto the next prospect for this deal.
– Patrick
Hey Patrick,
Do you typically go for a five year term with your lender for a lease-option?
And how do you structure the interest rate?
Hey Lila,
With my private lenders, I go for 5 years or longer but do my best to suit their needs and goals. Then based on the terms of the loan, I structure the lease option agreement.
As far as interest rate, again I do my best to suit the lenders needs and goals. So when I meet with a prospect in the formal appointment, I find out what they consider a good rate of return, what they expect when they find the right investment opportunity. If it’s outside the range that I’m willing offer on typical deals, I let ’em know that we’re probably not a fit.
With so many people unhappy with their returns on investments right now, many of our students are getting private money between 5 and 9% per annum.
– Patrick
Thanks for the info…one more question – how do you determine what rate for your rentors/quasi new owners??
Lila
With lease options, many times you can charge a little bit higher than the normal rental rate.
To find out what to charge, call for rent signs in the area, talk to a local property manager, check out websites like http://www.rentometer.com/
– Patrick