How To Overcome The #1 Private Money Objection

August 18, 2011 | By | 15 Replies More

I was reviewing the recordings recently from our epic 3-day “Getting the Money” Bootcamp and came across some powerful info I want to share with you.

It’s from one of my presentations called, “Deal Structuring, Advanced Psychology, & Negotiations.”

What stops most investors from getting private money for their deals?

… the #1 objection private lenders have.

This is something you have to overcome whether you’re brand new to real estate investing or are a seasoned veteran.

If you’ve been unable to get private money for your deals so far, you’re about to learn why… and more importantly, what to do about it.

Learn how to handle the #1 objection that investors face to get private money in the video below…

Join the conversation in the comment area.

Let me know what’s on your mind, what questions you have, how I can help

Happy Private Money Getting!

– Patrick

Enjoyed this post? Share it with your friends :-)

Tags: , , , , , , , , ,

Category: Real Estate Investment Financing Strategies

Need funding for your deals? Download your free copy of my customizable private lender presentation and speaking script.
10 Hour Wholesaler

Leave a Reply

Comments (15)

Trackback URL | Comments RSS Feed

  1. Connie Ziegler-Wyers says:

    Very valuable information. You always offer great ideas & tips.
    Thanks for sharing, Patrick.  Connie Ziegler-Wyers

    • patrickriddle says:

      Hey Connie, you’re welcome. Glad to hear you enjoy my content.

      If you have any questions I can help with, let me know.

      – Patrick

  2. Teresa says:

    Great video Patrick.  Charleston is a beautiful city that I would love to visit again sometime soon!  I have been offered a package deal of 3 SFH’s that a young investor has decided to sell and I am not sure what to do next.  Make an offer?  Try to present the deal to a few folks here in town that I happen to know have deep pockets?  I am terrified and excited and caught  completely off guard by this deal falling in my lap. I just don’t know what to do first.

    • patrickriddle says:

      Hey Teresa,

      Ok, first you want to find out all the info you can about the seller’s situation and the property.

      Here’s a link where you can download a seller questionnaire form:

      Use that to qualify the lead.

      If you don’t have access to MLS or a Realtor to help pull comps, check out the info available on the property and owner through your local county website, zillow, eppraisal, etc… to get an idea what you think the property is worth.

      If it looks like a good potential deal, set up an appt and meet with the owner(s). You may want to get a contractor to go with you if the properties need a lot of work.

      Then if everything looks good, make an offer.

      If you need further help, email me at patrick [at] mustknowinvesting [dot] com.

      – Patrick

      • Teresa says:

        Thanks so much Patrick!
        I will grab that questionaire.
        I have met the owner and seen pictures of the houses. He wants to sell all 3 for $147 K, and is also willing to sell them individually, or even trade.  He wants to go back to college and then move on to investing in apt buildings. Although he is young, he is very confident, but not at all obnoxious or slimy.  The homes are all in rough neighborhoods here in the metro, and tells me that he is proud of his current tenants (they are very good), and has learned the hard way a ton of lessons on the subject of being a property owner, and has already shared several tips with me.  Together the 3 properties gross an income of $2,050 and after he pays the current owner (who financed the houses for him) he has a monthly net income of around $1,200.  This is such an awesome opportunity for me but I don’t want to rush in if the deal doesn’t make sense. He has told me that he is very motivated to move onto his next thing, so he will take alot less than his asking price.  I am thinking of offering $100 K for all three homes. I have  no money of my own to put into this deal.Can I ask the person who financed his deal to finance me the same way, and then I would pay him, instead of the current owner? Is that a crazy idea to ask this seller?

        • patrickriddle says:

          Hey Teresa,

          You’re welcome.

          Yes, you can see if the seller is willing to let you assume the loan. Many times, they’re happy to continue receiving their interest payments.

          If you don’t know already, make sure to find out the terms of the seller financed mortgage. There may be a balloon coming up that is motivating the current owner to sell.

          If you were able to assume the loan, then you could just pay the owner for their equity in the deal… which would require a lot less cash… making it easier to get the deal done.

          – Patrick

  3. Sosa_e says:

    Great stuff Patrick…I was surprise to hear you mention the word “AIKIDO”; I actually took a class a few years ago and I liked it very much.  Your correct, in AIKIDO you’re trained to use your opponents force against him/her. Awesome!!!

  4. Chris says:

    Patrick, great information as usual. Please reserve a copy of the event for me. I have some letters ready to send out to people who have been private lenders previously and they mention the properties they lent on. Since I do not currently know them, and do not currently have any deals ready to go, do I use the above info you presented as well as something else to get them interested? Thanks, Chris

    • patrickriddle says:

      Hey Chris,

      Yeah, we’ll reserve a copy of the recordings from our event for you. We’ll let you know soon when they’re ready.

      On your question, once you get in contact with a potential lender, yes you can use this info to help build credibility and handle the #1 objection.

      – Patrick

  5. Dbignelson says:

    Great content as usual, I even waited to watch this until the morning with my coffee.
    Going to use your technique this afternoon with two prospects for private money. The clock is ticketing for my accepted deal under contract… Lets have “coffee class every day”.  lol
    I will send you a contact in Facebook who is a new start-up but is killing it, (in only two years) to the point she is now teaching how to flip. Maybe her students are looking for someone with your knowledge to help find and secure private money.  

    Thank you for all your knowledge, positive motivation and the books…

    David Nelson
    DN RE Investments

  6. Albert Ruzbarski says:

    Patrick, I would like 4 U 2 see that i get a copy of your  “”Getting The Money “”–Thank U so very much—Al.

    • patrickriddle says:

      Hey Al, just sent you an email with info on how to grab your copy of our “Getting The Money” training program.

      Let me know if you have any questions.

      – Patrick

  7. Marilyn says:

    Great info Patrick…would love to reserve a copy of “Getting the Money” recordings…Thanks for all you do for us! Marilyn

  8. Mary Stead says:

    Your suggestions made me feel 100% better. I am doing this business by myself, but I do have a team, so it is “we” now and not me. Your second suggesting was great and really made sense. Thank you so much.