***Guest Appearance
Credits to:
https://www.youtube.com/@PillarsofPurposePodcast
“How to Fund Real Estate Deals Without Banks (Private Money Strategy Explained) | Jay Conner”
https://www.youtube.com/watch?v=5P_vOE3y3Qo&t=124s
If you’ve ever aspired to be a real estate investor but felt held back by a lack of capital, you aren’t alone. The notion that you need piles of cash or impeccable credit to get started in real estate is one of the biggest misconceptions. In a recent episode of the Raising Private Money podcast, Matthew Efird sat down with The Private Money Authority, Jay Conner, to share the transformative power of private money in launching and scaling your real estate business—no matter where you’re starting from.
A Turning Point Born from Crisis
Jay Conner began his investing journey in 2003, focusing on single-family homes in North Carolina. For years, he relied on traditional funding—bank lines of credit and mortgage loans. That comfortable routine was shattered in 2009 by the global financial crisis. In an instant, his bank closed his credit line, and Jay was left with two houses under contract—but no funding to close the deals.
Rather than admit defeat, he asked himself a pivotal question: “Who do you know that can help solve your problem?” This led him to learn about the concept of private money—individuals investing their own capital, often from self-directed IRAs, into real estate deals in exchange for a fixed, attractive return. Within 90 days, Jay raised over $2.1 million in private funds and has never missed out on a deal for lack of funding since.
The Private Money Mindset
What sets Jay Conner apart isn’t just technical expertise—it’s his mindset. Instead of “chasing” money, he positions himself as a teacher, educating friends, acquaintances, and community members on how they can earn high, safe returns backed by real estate. It’s not about selling or persuading; it’s about offering value and fostering trust. Many of his private lenders had never even heard of these opportunities until he introduced them.
He hosts “private lender luncheons,” employs educational scripts, and stresses getting money lined up before finding deals—contrary to the advice often peddled by so-called gurus, who claim “money finds good deals.” For Jay, wisdom dictates that you become a steward of both your own and others’ resources.
Protecting Your Lenders & Mitigating Risk
Skepticism is natural, especially for those who lived through the 2008-2009 crash. Matthew Efird raises the objection many have: Isn’t it risky to invest retirement money in real estate? Jay addresses this with solid risk-mitigation practices. He never borrows more than 75% of the after-repair value, giving lenders a 25% equity cushion. All loans are secured by the property, and lenders are listed on insurance and title policies—just like a bank. This approach gives private lenders strong security for their investment.
Building Your Dream Team & Systems
Real estate is not a solo endeavor. Jay underscores the necessity of a “dream team,” including a real estate attorney (for document prep and closings), a reliable realtor (for ARV estimates and listings), trusted general contractors, and even an acquisition specialist. Structured systems and software are critical for tracking leads, notes, and deal stages—a lesson he learned after losing “hundreds of thousands” running things on notepads and sticky notes.
Advice for Beginners: Mentorship and Practice
For those starting as a side hustle or worried about making costly mistakes, Jay’s foremost advice is to get a mentor or coach—someone who has already navigated the inevitable landmines. Education and practice are key; he advises role-playing seller conversations (even with out-of-state sellers on Zillow) before ever spending money on marketing.
Next Steps and Free Resources
To build a foundation in private money and real estate investing, Jay Conner offers free scripts, access to his live events, and even his bestselling book. Whether you want to scale to a full-fledged business or just add smart investments to your portfolio, his systems provide a blueprint for success.
Ready to start your journey? Leverage the education, resources, and mindset shared by Jay Conner, and you could open doors to opportunities you never thought possible—no matter your starting point.
10 Discussion Questions from this Episode
- What key differences did Jay Conner highlight between private money and hard money for real estate investing?
- How did Jay Conner’s experience with having his bank line of credit closed in 2009 change his business strategy?
- According to Jay Conner, why is it important to “own the real estate between your ears” before seeking real estate deals?
- What steps does Jay Conner recommend for someone looking to raise private money for their first real estate deal?
- How does Jay Conner protect private lenders and mitigate their risk in a real estate transaction?
- What are the essential members of Jay Conner’s “dream team” for real estate investing, and what roles do they play?
- What advice did Jay Conner give to those starting in real estate as a side hustle regarding mentorship and practice?
- How does Jay Conner structure his deals so that private lenders are paid consistently, even during renovation periods?
- What marketing strategies does Jay Conner use to find off-market property deals, and why does he avoid listed properties?
- What resources and opportunities did Jay Conner offer to listeners for further learning and community involvement in real estate investing?
Fun facts that were revealed in the episode:
- Jay Conner Hasn’t Missed a Deal Due to a lack of Funding Since 2009
After discovering private money in early 2009, Jay Conner revealed he had never missed out on a real estate investment deal because of funding issues, marking a transformative moment in his career. - Jay Raised Over $2 million in Private Money in 90 Days.
Incredibly, Jay Conner raised $2,150,000 in private money within just 90 days of attending his first real estate investing conference, as he recounted at. - The No-Pitch “Good News Phone Call”
Instead of pitching or chasing money, Jay Conner uses his signature “Good News Phone Call,” where he simply informs his lenders he’s ready to put their money to work, eliminating selling or persuading from the process.
Timestamps:
00:00 Introducing Jay and his expertise
05:19 Reflecting on a phone call
07:18 Discovering private money options
13:09 Explaining the investment process
14:59 Discussing a real estate investment deal
18:02 Understanding hard money vs. private money
22:50 Advice for starting side hustles
26:08 Building a real estate network
29:23 Managing seller leads with software
31:12 How private money deals work
34:40 Mastermind group introduction
36:50 Getting the book for free
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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