***Guest Appearance
Credits to:
https://www.youtube.com/@motivatedsellerscom
“1-on-1 with Jay Conner: How This Investor Raised $2M in 90 Days Without Banks or Credit”
https://www.youtube.com/watch?v=n5WKN17_dlg
If you’re a real estate investor—or an aspiring one—chances are you’ve run up against the biggest hurdle in the game: funding your deals. Traditional bank loans can be restrictive, slow, and, as Jay Conner discovered in 2009, suddenly unavailable. But what if there was a way to fund your real estate deals without banks, hard money lenders, or credit checks, and keep all the profit for yourself?
That’s the secret Jay Conner, now known nationwide as the Private Money Authority, shared on a recent episode of “Investor One on One” with Or Sapir. Jay’s story isn’t just inspiring—it’s a masterclass in creative real estate financing and a roadmap for investors looking to access private capital.
From Bank Rejection to a Private Money Breakthrough
Jay’s journey began in small-town North Carolina, flipping houses the traditional way by relying on the local bank for funding. “I closed my first six years’ worth of deals with unsecured bank credit,” he admits. But like so many investors during the 2008-2009 financial meltdown, he found himself abruptly cut off from his bank—no warning, no recourse.
Shocked and frustrated, Jay did what any true entrepreneur does: he turned his problem into an opportunity. He reached out to a friend who introduced him to the concept of private money—capital provided by individuals, not institutions, who want to earn higher returns by funding real estate deals.
Jay dove in, learned everything he could, and attended his first seminar. The result? He raised over $2 million in private capital in just 90 days. That move not only saved his career, it launched him as a leader in teaching others how to use private funds to fuel their real estate ambitions.
Private Money vs. Hard Money: What’s the Difference?
As Jay explains, private money comes directly from individuals (think: people in your own network who have retirement accounts or extra savings) rather than institutions or hard money lenders. It’s not a JV partnership; the private lender acts as the bank, secured by a mortgage or deed of trust, while you, the investor, retain full ownership.
Jay highlights several advantages to using private money over hard money loans:
- Lower interest rates (Jay pays 8%, compared to 12-14% for hard money)
- No points or origination fees
- No extension fees
- 100% financing of the purchase and rehab costs
- Faster and more flexible closings
How to Raise Private Money Without Begging or Chasing
One of the biggest myths Jay busts is that private lenders are hard to find or only fund experienced investors. His approach? Don’t chase. Don’t beg. Don’t sell. Don’t persuade. Instead, become a teacher. Jay wears his “private money teacher” hat and simply educates people in his circle about the opportunity to earn stable, above-market returns by becoming a lender for his deals.
His key strategies include:
- Teaching (not pitching) the basics of private lending
- Explaining how their investment is protected (collateral, insurance, title, etc.)
- Laying out the program terms with total transparency
- Building trust by keeping deal discussions separate from the initial introduction
Proof in the Pudding: Real Results and Action Steps
Jay’s system has helped him—and countless students—secure all the funding they need, often with people they already know. In his world, there’s actually more private money available than there are deals to fund. With average profits of $86,000 per deal in his market, Jay’s proof is in the numbers.
Final Advice: Start With Education and Service
If you want to raise private money, Jay insists you start with the right mindset. “Lead with a servant’s heart. You’re not asking people for money—you’re offering them an opportunity they never knew existed.”
Whether you’re new or experienced, Jay’s story is proof that losing your bank can be the best thing that ever happened to your real estate career—if you’re willing to embrace private money.
10 Discussion Questions from this Episode:
- Jay Conner describes private money as having a greater impact on his real estate business than any other strategy. What are the main reasons he believes private money is so transformational for investors?
- Jay recounts the moment his bank cut off his funding, which forced him to pivot. How did that obstacle become an opportunity, and what key lesson did he learn from it?
- The episode emphasizes not “chasing, begging, or persuading” when seeking private money. What is Jay’s approach to connecting with potential private lenders, and how is it different from traditional methods?
- Jay provides a script he uses when calling potential private lenders. What elements stand out to you from his approach, and how do you think this builds trust?
- How does private money differ from hard money or traditional bank loans, according to Jay? What are some of the advantages and disadvantages he highlights?
- Jay shares a story about raising $2 million in less than 90 days. What were the two keys to that rapid success, and how might someone replicate that today?
- The discussion covers many myths about raising capital as a new investor. Which myth surprised you the most, and why do you think these misconceptions persist?
- Jay emphasizes combining strategies such as using private money with creative financing or lease options. How might this flexibility change your approach to potential deals?
- For those struggling with the fear of rejection when raising capital, Jay offers the perspective of leading with a “servant’s heart.” How can this mindset shift impact your success in attracting private lenders?
- Jay shares his advice about the importance of finding a mentor early in your investing career. If you were starting now, what kinds of mentors or educational resources would you seek and why?
Fun facts that were revealed in the episode:
- Jay Conner Raised Over $2 Million in Private Money in Just 90 Days: After being cut off from traditional bank funding in 2009, Jay pivoted quickly and was able to secure more than $2 million in private funds—his first $500,000 came from a single conversation at his church!
- He Always Brings Home a Big Check When Buying Properties: Jay’s method for using private money allows him to actually get paid at the closing table, often walking away with a check of $30,000–$50,000 (or more) when he purchases a property—without having to use his own money.
- Private Lending Was New to All His Lenders: None of Jay’s 47 private lenders had ever heard of private money or self-directed IRAs before he taught them about it. By putting on his “teacher hat,” Jay turned friends, fellow church members, and community contacts into enthusiastic real estate partners.
Timestamps:
00:01 Private Money Expert: Jay Conner
04:41 Secretive House Sale
07:06 Bank Cutoff’s Life-Changing Impact
10:02 Discovering Alternative Funding Options
14:49 Self-Directed IRA Investment Pitch
19:02 Private Lender as Mortgagee Policy
23:13 Real Estate Discount Buying Strategy
24:13 Real Estate Investment Strategy
27:37 Real Estate Investment Referral Pitch
33:41 Real Estate Investment Strategies
36:37 Abundance of Private Money
39:50 Pre-Listing Strategy: ‘Coming Soon’
43:02 Offering Financial Opportunities, Not Begging
45:33 Value of Experienced Mentorship
47:59 Health and Real Estate Transformation
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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