***Guest Appearance
Credits to:
https://www.youtube.com/@HuttyBuddy
“Unlocking Private Money in Real Estate: A Deep Dive with Jay Conner”
https://www.youtube.com/watch?v=sodvbLMRnkI
In today’s highly competitive real estate market, one question continues to baffle both new and experienced investors: Where do you obtain the funds to consistently finance deals—especially when banks and traditional lenders pull back? For Jay Conner, famously known as “The Private Money Authority,” the answer is both simple and revolutionary: private money.
On a recent episode of Kevin Hutty’s show, Jay shared his captivating journey from banking dependency to raising over $8.5 million in private money, plus practical tips for anyone eager to break free from the whims of institutions. If you’ve ever dreamed of funding your real estate deals without begging banks or battling red tape, Jay’s story offers both inspiration and a blueprint for success.
The Turning Point: From Bank Cutoff to Opportunity
Jay started as most do—relying on banks, jumping through hoops, and feeling at their mercy. All that changed in 2009. In the aftermath of the financial crisis, his trusted banker abruptly cut off his line of credit, despite years of flawless payment history and a stellar credit score. The common advice that every problem is an opportunity felt trite—until Jay turned it into one.
Instead of resorting to panic, Jay asked himself, “Who do I know that can help fix my problem?” This led him to a friend already using private money. That friend introduced him to the world of self-directed IRAs and private lending—individuals who invest their own capital or retirement savings in real estate, outside of Wall Street’s volatility.
The Mindset Shift: You’re Offering an Opportunity
Jay’s approach to private money is refreshingly different. Forget the clichés of begging, selling, or pitching deals. The real key is education. Jay explains, “Own the real estate between your ears.” Shift your mindset from supplicant to opportunity provider. You’re not asking for money—you’re offering an exclusive investment.
The process starts by separating teaching from asking. He shares the “good news” phone call script with would-be lenders—never pitching a deal, but rather informing them of an opportunity their funds are suited for. This transparency and respect for the lender’s position have enabled Jay to build a network of 47 private lenders, none of whom had even heard of private lending before he educated them.
How Private Money Works in Practice
Skeptics may wonder: “Is it possible to buy property without any of your own money?”
Jay lays out a crystal-clear example:
Consider a home with an after-repair value (ARV) of $200,000. Suppose the purchase price is $100,000, and the rehab will cost $35,000. Jay borrows 75% of ARV ($150,000) from a private lender. At the closing table, $100,000 goes to the seller, $35,000 covers rehab, and Jay walks away with a $15,000 buffer—for carrying costs or as a cushion—without ever dipping into his funds. When the house sells for its full value, everyone profits, and the investor’s cash flow remains strong.
Systematizing and Scaling with Technology
Today, Jay spends less than 10 hours a week on his business, thanks to smart automation and delegation. His CRM automatically follows up with leads; AI tools send timely texts; his acquisitionist manages seller conversations and negotiations; and detailed processes ensure he only focuses on value-add decisions. This frees up more time to scale, strategize, and, as he puts it, “lead with a servant’s heart.”
Key Takeaways for Aspiring Investors
- Mindset is everything: You’re not begging—you’re presenting an opportunity.
- Separate education from selling: Teach your network about private lending before ever presenting a deal.
- Stick to the math: Emotions don’t belong in the decision-making process.
- Automate and delegate: Use technology and team members to streamline operations.
- Invest in mentorship: Don’t do it alone—find a coach or community to accelerate your learning.
Jay Conner’s journey is proof that losing a bank line of credit is not the end—it might just be the breakthrough you need to build a real estate business funded on your terms.
10 Discussion Questions from this Episode:
- Jay Conner describes himself as the “Private Money Authority.” What does he mean by “private money,” and how does it differ from hard money or bank lending?
- After the 2008 financial crisis, Jay’s bank cut him off. How did this setback influence the way he does business today, and what key lesson did he learn from that experience?
- Jay emphasizes “never asking for money” when raising private funds. What specific strategies or scripts does he use to accomplish this, and why does he believe desperation should be avoided?
- How does Jay separate the process of teaching potential lenders about his program from actually presenting them with a deal, and why does he believe this is crucial for success?
- Can you discuss the importance of mindset in raising private money, according to Jay? How does he advise new investors to approach private capital with the right attitude?
- What are some of the main ways Jay and his team find motivated seller leads in the current market? How has technology and AI influenced this process recently?
- Jay explains how he’s often able to get a “big check” at closing by borrowing up to 75% of the after-repair value. What are the pros and cons of this approach for both the investor and the private lender?
- In the episode, Jay shares an example of getting his first $250,000 private loan without pitching for money. What methods did he use, and how can other investors apply this approach in their networks?
- Jay attributes much of his success to building a system that automates and delegates key tasks, including using a CRM and leveraging AI-driven lead management. How can automation free up an investor’s time, and what potential pitfalls should be considered?
- Throughout the conversation, Jay stresses the value of having a mentor and participating in mastermind groups. What benefits does he see in surrounding yourself with experienced people, and how has this approach paid off in his journey?
Fun facts that were revealed in the episode:
- Jay Conner Never “Asks” for Money
Jay Conner’s unique approach to raising private money involves never directly asking people for funds. Instead, he simply teaches people about his program and lets them express interest. His very first private lender offered $250,000 without Jay ever making a “pitch!” - Bringing Home a Check When Buying Houses
With his private money system, Jay often brings home a sizeable check at closing—sometimes tens of thousands of dollars—without using any of his own money. This is because he borrows up to 75% of a home’s after-repair value, gets all funds upfront, and even covers renovation costs and more, right from the closing table. - Business Run in Under 10 Hours a Week
Jay has automated his real estate business so efficiently—with the help of software, a dedicated acquisitionist, and even AI—that he now runs his real estate operation on less than 10 hours of work per week. Yet, he still averages over $82,000 in profit per deal!
Timestamps:
00:01 Investing Shift: From Banks to Freedom
05:56 Discovering Private Money Solutions
08:39 Non-Desperate Lending Pitch Strategy
11:39 Why You Want to Fund
15:38 Servant Leadership in Real Estate
18:09 Buying Distressed Property Profitably
23:36 Unplanned $250K Church Conversation
25:26 Real Estate Investment Pitch Conversation
29:12 Flexible 90-Day Call Option
30:41 Failed Condo Flip Regret
34:01 Real Estate: Math-Driven Purchasing Approach
39:22 Concise Private Money Conversation Tips
43:47 Automated Lead Response System
45:30 Automated Real Estate Lead Review
50:25 Free Book & Conference Offer
51:11 Raising Private Money Podcast
Private Money Academy Conference:
Free Report:
https://www.jayconner.com/MoneyReport
Join the Private Money Academy:
https://www.JayConner.com/trial/
Have you read Jay’s new book, Where to Get the Money Now?
It is available FREE (all you pay is the shipping and handling) at
https://www.JayConner.com/Book
What is Private Money? Real Estate Investing with Jay Conner
https://www.JayConner.com/MoneyPodcast
Jay Conner is a proven real estate investment leader. He maximizes creative methods to buy and sell properties with profits averaging $67,000 per deal without using his money or credit.
What is Real Estate Investing? Live Private Money Academy Conference
YouTube Channel
https://www.youtube.com/c/RealEstateInvestingWithJayConner
Apple Podcasts:
Facebook:
https://www.facebook.com/jay.conner.marketing
Listen to our Podcast:
Comments