***Guest Appearance
Credits to:
https://www.youtube.com/@Marketing-Boost-Solutions
“Money Chases You: Real Estate Funding Secrets with Jay Conner”
https://www.youtube.com/watch?v=yure7pj9hZc
If you’re a real estate investor or dream of diving into property investing, one of the first hurdles you’ll face is finding the money to fund your deals. Traditionally, this means begging banks for loans or paying dearly for hard money lenders. But what if there was a smarter, safer, and more profitable way? That’s exactly the approach Jay Conner—dubbed “The Private Money Authority”—has perfected, and he recently shared his wisdom on the Marketing Boost Solutions Podcast with Captain Marco Torres.
For anyone involved in—or intrigued by—real estate, Jay’s journey and innovative strategies are nothing short of eye-opening. In a small North Carolina town of just 40,000, he’s flipped over 500 homes and managed deals worth over $118 million. Even more impressively, he averages $82,000 in profit per transaction—all by leveraging private money instead of relying on traditional lenders.
Jay’s Turning Point: From Bank Rejection to Private Lending Pioneer
Jay’s story took a dramatic turn in 2009 when, like many investors in the wake of the financial crisis, his bank cut him off from credit—out of the blue and without warning. Staring at two deals about to collapse, Jay recalled the power of his network, asking himself: “Who do I know who can help me?” This led him to discover the concept of private money through a fellow investor and the renowned trainer Ron LeGrand.
Private money, Jay learned, is entirely different from the “hard money” most investors know. Hard money lenders are institutions that operate like banks, charging high interest rates, origination fees, strict underwriting, and requiring hefty down payments. Private money, on the other hand, comes from individuals—regular folks who want to earn a solid, secure return on their capital without the headaches of direct real estate investing.
How Private Money Works (and Why It’s a Game Changer)
With private money, Jay flipped the traditional model. Instead of the lender making the rules, Jay became his underwriter. He created a straightforward program: offer 8% interest, secured by a deed of trust or mortgage, without points or junk fees, and only borrow up to 75% of a property’s after-repair value. This minimizes risk for both parties and builds trust.
The most powerful part? Jay never asks for money directly. Instead, he educates potential private lenders—often people in his network or through business organizations like BNI (Business Networking International)—about the benefits and process of private lending. Once someone is interested and sets up a self-directed IRA or allocates other funds, Jay simply calls with the “good news”: a deal is available that matches their investment profile. They send funds directly to the closing attorney, and the wheel turns.
The Benefits and the Bigger Picture
The advantages of private money ripple throughout the process. Deals close faster because there’s no lengthy bank approval. Borrowers (that’s you, the investor) make the rules and keep more of the profits, while investors enjoy a passive, predictable return on secured real estate. Once Jay implemented this model, his business didn’t just recover—it tripled. He has never missed a deal for lack of funding since.
Anyone—from local friends and business associates to existing private lenders found through specialized data feeds—can become a private lender. And while Jay’s system works wonders for single-family homes, the principles can apply to larger projects as well.
Ready to Learn More?
Jay Conner’s methods are a breath of fresh air for anyone seeking financial independence through real estate. If you’re tired of bank gatekeepers and want money to seek you out (not the other way around), step into the world of private money.
Get a free copy of Jay’s book, www.JayConner.com/Book, or tune in to his podcast “Raising Private Money” for weekly insights and real-life success stories. As Jay says, “Nothing’s going to change in your life unless you take a little action.” In real estate—and life—the money really can come first.
10 Discussion Questions from this Episode:
- Private Money vs. Hard Money:
How does Jay Conner distinguish private money from hard money, and what are the practical benefits for real estate investors in using private money for their deals? - Teacher vs. Negotiator Mindset:
Why does Jay emphasize being a “teacher” rather than a “negotiator” when approaching potential private lenders, and how does he structure his presentations to prospective lenders? - Overcoming the 2009 Funding Crisis:
What pivotal moment did Jay experience in 2009 that led him to shift from traditional bank financing to private money, and how did this change impact his business? - Sourcing Private Lenders:
Jay breaks down three main sources for finding private lenders. What are they, and what strategies does he use to tap into each source? - Private Lending Criteria:
What specific criteria does Jay set when structuring private money deals (such as interest rates, collateral, and loan-to-value), and how does this protect both the borrower and lender? - Substitution of Collateral:
How does Jay use the “substitution of collateral” strategy, and why is this important for keeping private lenders’ funds continually working and earning interest? - Problems with ‘Too Much Money’:
Jay mentions that the biggest challenge with his method is having more money available than deals. How does he manage this challenge and keep his private lenders happy? - SEC Regulations:
When does the SEC (Securities and Exchange Commission) get involved in private lending, and how does Jay’s approach to one-off deals avoid regulatory complications? - Building Investor Relationships:
What role do trust and relationship-building play in Jay’s private money strategy, and how does he ensure that new investors are comfortable and informed? - Education and Action:
Jay credits much of his philosophy to mentors like Zig Ziglar and emphasizes taking action. How does education and mindset impact success in raising private money, according to Jay’s story?
Fun facts that were revealed in the episode:
- Jay Conner Has Flipped Over 500 Homes in a Town of Only 40,000 People
Despite operating in a small market, Jay has managed to buy and sell over 500 single-family homes, proving that you don’t need a big city to build a big real estate business! - Jay Conner Was Inspired by the Legendary Zig Ziglar
Jay attributes much of his sales success and passion for teaching to studying Zig Ziglar’s cassette tape trainings early in his career. He even met Zig multiple times and was heavily influenced by his motivational style and classic sales advice. - Jay Raised $2.1 Million in Private Money in Less Than 90 Days—Without Ever Asking for a Loan.
When banks stopped lending during the 2009 financial crisis, Jay pivoted to private money and, by putting on his “teacher hat” instead of his “sales hat,” attracted over two million dollars in new funding in just three months, all by educating others instead of pitching for money.
Timestamps:
00:01 Unlock Real Estate Riches
05:19 Meeting Zig Ziglar: A Memorable Experience
08:09 Thriving with Private Money in Crisis
14:55 Understanding Private vs. Hard Money
22:46 “Affordable Business Incentives & Tips
28:04 “Using Private Money in Real Estate”
32:01 “Substituting Collateral in Loans”
36:46 “Finding Private Lenders Categories”
43:25 “Boosting Online Reviews & Reputation”
46:02 Managing Excess Private Lending Funds
49:41 Mind-Blowing Financial Strategy Unveiled
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
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https://www.youtube.com/c/RealEstateInvestingWithJayConner
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https://www.facebook.com/jay.conner.marketing
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