In the latest episode of “Raising Private Money,” listeners got a behind-the-scenes look at how creativity, relationship-building, and private lending can transform a seemingly troubled property into a win-win investment. The story, shared by Willie Oyola, is packed with real-world lessons for investors at every stage.
The Power of Nurturing Relationships
One of the main takeaways from Willie Oyola’s experience is the importance of nurturing every connection. The deal began when a prospective tenant reached out, interested in a rent-to-own property Willie was advertising. Although that initial opportunity didn’t materialize, Willie maintained contact and built rapport. Later, he learned this same person was looking to downsize and sell her own home. This conversation revealed a deeper need: she and her husband were in pre-foreclosure on their 5,000-square-foot house and needed a solution fast.
As Coach Crystal pointed out, the lesson here is clear—always keep the lines of communication open, and never underestimate where a simple follow-up can lead. Having a system, whether a CRM or reminders, can help ensure you’re consistently connecting with potential partners, tenants, and sellers. Deals often come from unexpected places when you are receptive and responsive.
Solving Problems Creatively
The real magic in this deal was in the problem-solving approach. The seller needed to avoid foreclosure and move on with dignity. Willie saw an opportunity to acquire the home “subject to” the existing mortgage—a powerful strategy in real estate that allows an investor to take over the property’s mortgage payments without triggering a new loan or traditional purchase.
The existing mortgage on the home was around $450,000, locked in at a 2.5% interest rate from a low-rate environment in 2021-2022. The total value of the property, after repairs, stood conservatively at $750,000—leaving significant equity in the deal. Willie arranged for an additional $70,000 in private funds to bring the mortgage current, replace the roof, complete essential repairs, and give the seller some cash to relocate.
All this was accomplished without Willie investing any of his own money, and in fact, he received money back at closing due to the way the deal was structured. The property is now a long-term rental, bringing in $4,000 per month, with the underlying mortgage and all expenses totaling about $3,500—including payments to the private lender—resulting in positive monthly cash flow.
Private Money: The Essential Ingredient
Both Chaffee and Jay Conner emphasized the critical role Private Money played in this transaction. Having $70,000 readily available meant that when the right deal presented itself, Willie could act immediately—covering back payments, repairs, and seller incentives. This flexibility is what allows investors to implement creative strategies. As Jay Conner consistently reminds listeners: “Get the money first” so you’re ready for opportunity.
The Bigger Picture: Impact and Opportunity
What truly stands out about this deal is the impact on everyone involved. The seller avoided foreclosure and walked away with dignity and cash. The private lender earned a strong return in second position (10% interest, paid biannually), and Willie Oyola gained a cash-flowing rental with $230,000 in equity. The transaction also helped stabilize a distressed property in the neighborhood—an outcome that benefits the broader community.
Real estate investing can sometimes appear transactional, but as Coach Crystal eloquently stated, these creative strategies make it possible to genuinely help people in tough situations, while also growing your business. This is “the beautiful thing about this business”—investors who educate themselves, nurture connections, and get the money lined up are positioned to create value where others see problems.
Key Takeaways
- Relationships first: Maintain thoughtful communication—you never know where it may lead.
- Creative structuring matters: Subject-to and Private Money open doors traditional approaches may miss.
- Get the money first: Having private funds available means you can seize opportunities quickly.
- Aim for win-wins: The best deals help sellers, investors, lenders, and neighborhoods alike.
Are you ready to build your confidence and learn the systems that make deals like these possible? Consider attending an upcoming Private Money Conference, where you’ll receive hands-on guidance and resources to raise private funds and scale your impact in real estate investing.
10 Discussion Questions from this Episode
- What steps did Willie Oyola take to transition from initially connecting with a potential tenant to ultimately acquiring her property as an investment deal?
- How did the use of subject-to financing with a 2.5% interest rate impact the profitability and strategy of Willie’s deal?
- What are the key advantages and potential risks of bringing in Private Money in a second position, as demonstrated in this case study?
- Why is nurturing leads and ongoing relationship-building critical in real estate investing, according to Coach Crystal?
- How do creative strategies like combining subject-to deals with Private Money lending create value for both investors and distressed sellers?
- In what ways did due diligence—such as understanding the property’s location, value, and future development—inform Willie’s decision to hold this property as a long-term rental?
- What lessons can be drawn about loan-to-value ratios and risk management from Jay Conner’s calculations and recommendations?
- How do positive cash flow and significant equity position in a deal contribute to an investor’s long-term business goals?
- What role do community, mentorship, and access to actionable information play in investor success, based on Coach Crystal and Chaffee’s comments about the live event?
- How do deal structure strategies that include worst-case scenario planning and multiple exit options protect both the investor and the private lender?
Fun facts that were revealed in the episode:
- Creative Deal Structure Win: Willie Oyola acquired a 5,000-square-foot lakefront home using a “subject to” deal with a 2.5% mortgage rate, secured additional private funding in second position, and ended up with zero of his own money in the deal—actually receiving a check at closing for excess cash to close!
- Impressive Cash Flow: By renting the renovated property for $4,000 a month, after all mortgage and private lender costs, Willie Oyola enjoys about $400 per month in positive cash flow—plus over $230,000 in built-in equity on the home.
- Networking Pays Off: The seller originally contacted Willie Oyola about a rent-to-own, but thanks to consistent follow-up and relationship-building, Willie discovered she was selling her distressed home. This led to a win-win creative deal and allowed the seller to avoid foreclosure entirely.
Timestamps:
00:00 Willie and Haruna’s business deal
03:23 Finding a property to invest in
08:54 Discussing property purchase details
13:25 Reviewing rental property cash flow
17:05 Helping sellers avoid foreclosure
18:22 Importance of Private Funding
24:02 Coaching challenges and profit potential
25:36 Attending Jay’s networking event
28:39 Private Money bonus resources
32:46 Getting the free money guide
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