Gold 401K

Private Money Lenders – How to find and market to private lenders

As I said before, every business on the planet is in the business marketing.

Yes, that includes.

First you are a seller, on the other hand you are an investor. You should know how to get tracks to have even a chance to put your investment knowledge into action.

Thus, private lenders for money for investment commercial real estate, you must find people who have money.

Who has money?

* Your family and friends –

Do you have family with the money they earn between 0-5% in the? I'm sure you do. Do you think that would double the rate of return on your money? I bet yes.

So that, why not provide the opportunity to become a private lender for your real estate business to family members first, so you can help your family to be richer in the process? Many people hate to ask family members for money … This is a common thing, however, why are not comfortable helping family members make more money? You should not.

The first property I bought (and still own), was purchased with 100% private money. About 95% of the first mortgage (seller carried), and another 5% to be borrowed from my father. My father is earning 6% of their money instead of 3%, money flows and the property has increased in value … if for some reason I screw and do not pay my dad (not gonna happen), is in second position in a property over $ 100k in equity. It's a no lose for him … and large mouth for me.

* Other real estate investors and entrepreneurs –

Other investors property with money … and often like to lend out their money to other investors. These are often large private investors to take money with you because as you are beginning, can help you analyze deals … and teach you a ton as it grows as an investor. In addition, successful businessmen are great because they know that the security of real estate can have, and know that when the loan is structured correctly are protected with very little downside.

Talking to other investors and business people that you know and who know what they do, and they can provide real estate secured returns of 9.12% (or whatever you're willing to pay) when you become a private money lender for your business. If there are holes in their presentation or business model, it is likely that they point out, that will help you your business stronger over time.

People * Near or in retirement –

Think about it … it has a lot of money just sitting around? Well, people either in or are close to retirement (10-15 years people away from retirement, to people who are already retired). Even better, the stock market today sucks and I have personally seen many people move their money out of volatile stock market and put the money in "safer" investments like CD's, gold, etc.

It's your job to find these people and present another option to lend your company a better annual return (usually lenders private are paid between 8-12%). Show them you know what the hell you're doing, that the risk is relatively low strict guidelines for the purchase of your company employs, and that you are looking for long-term relationships with lenders who want the same thing.

These people can move under performing investments (401k, IRA, etc.) within its short-term loans to private money. It's a win-win. Again, you as an investor need to be honest with the lender of money private, and you need to make responsible decisions about the properties to invest in it

That is just a short list of people you should go after hiring as private money lenders for your real estate investing business.

Marketing to these people can be everything from simply hand over your credit card a visit that has a propaganda claiming that seeks private money lenders who want to earn a 10% secured by real estate, and to call XXX-XXX-XXXX or visit www.yoursite.com for more information

… advertisements sent to a list of retired … to working with a financial planner, to give free seminars about the timing, etc.

*** For your information, I am not a lawyer, and not meant to be. I'm launching ways you may be in the market to potential private money lenders that I know of that are legal, but you should tell your lawyer before using any of them .***

Here are a few ways you can contact with potential private lenders:

* Ask the sellers to buy properties if they would be interested in becoming a lender for your company
* Talk to your family about the opportunity and assure the supply structure as almost not to be missed, and that the risk is on you (Unless you want to lose a family member if the deal goes south)
* Ask other investors in real estate investing club in your area
* Placing an optimized website and get you on search engines (which we are creating a training session on this topic)
* Red events (camera commerce, etc.) and let people know what they do, and how they can participate
* Send postcards to a list of people with assets over $ 500,000 net (which you can buy lists of companies that can break it down by the network and other factors worth it)

In fact, there are endless ways to recruit potential private lenders, but in my experience … the best ways to network, people in your area know what you do, create a website that educates potential lenders and investors obtain references from happy.

About the Author

Hey, my name is Trevor Mauch and I’m the founder of The REI Brain (www.thereibrain.com)and a real estate investor since the age of 21. Right now, my focus in real estate investing is multi-family income properties and I have plans on moving more into the commercial real estate investment world in 2008 and beyond. Grab your free real estate investing newsletter for more honest, unbiased, and actionable REI information.