First Offer Accepted with Private Money!

Andrew good job, that the way to make things move. I know a lot of people who don't want to use money from other people,and they are just hard headed.
You will be able to start working volume instead of one at a time.

I just had this conversation with a friend this morning. He know I have been working on lining up PML. He said your crazy you'll be paying about 15% when your done. I said your wright, but I offered you to partner with me,know I find the deals,I do the work and you would have gotten 50%. So for the same effort from me with PML I will get 85% instead of just 50%. He change the subject.

So great job and I'll be waiting to hear more.

Congratulations! You must be elated!

Keep up the good work and keep us informed.

Karen

Most investors will never (I won't) disclose my true private money sources. I mean a private citizen that will lend you his money as an equity partner or just charge interest only. Why would I disclose someone that funds my deals to some one else? Say he loans you some money and when I have a deal he can't fund my deal because he has loaned it to you. This is just business and reality.

Michael Mangham
MD Home Acquisitions LLC

I would be happy to share any information I have. There's plenty to go around. Problem with this "funding source" is that, like you said, it is a private individual. He and I have a friendship built on trust. He saw my accomplishments, and my hard work spoke for itself. I will not share that information because of his trust in me. He won't do business with someone he doesn't know.

I talk to everyone about how wonderful real estate investing. If I've been working hard and have my facts straight, people will listen. When the right person hears what you are doing, and they believe in you as a person, they may show interest in doing business with you.

Now THAT is a great responsibility- someone else's money. Just let THEM lead, and answer their questions thoughtfully. Then pray to God that everything goes well! My investor friend has money, and he knows other people who have money. I will be good to him!

Keep up with the good spirit of the good investor the sky is the limit you can do it you have you are an inspiration for the new investor
God Bless you

To me, this business is not only about money or houses, but it is about relationships. The last thing I want to do is burn bridges. Everyone I meet has great potential to do business with me. They may be sellers, tenants, or sources of money or information.

I have built a team made up of a realtor, buyers, accountant, contractors, etc. People want to be treated with respect. I am challenged in each conversation to be more professional, knowledgeable, and more of a listener than a talker.

I AM a new investor! Isn't that crazy? I've only been doing this for 2 and a half years! I've learned a lot, but the greatest thing is, I can do this! If I can do this, you can do this!

Andrew,

congratulations on your new deal-I can see that you have done your due diligence to do it right for you and everyone involved-a great lesson for all of us, thanks for sharing.
Valerie

You're right, we are elated! This is a whole new level of investing for us, as James seems to be aware.

Thanks! And you bring up a good point- I needed to find out what worked for ME! And that alone takes due diligence. Each one of us has different gifts and desires, and our REI career will differ accordingly. The principles we learn here with Dean and friends will apply in each situation!

Woo hoo! My investor friend has two other friends who want in on the deal, and each investor will share equally on the returns. I got my first check in the mail for one third of the cost, $16,000! Wow, is that nice to get in the mailbox! Now I'll put it in the bank, and put his money to work!

A thought I gleaned from my RE study (I think it was Bill Fitzpatrick) was this- "When you become successful, success finds you."

I think we all have our battles to fight. Some of us fight uphill battles, and some hills seem like mountains. I love the quote on cbrpower's posts- "You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!"

Andrew, Truly a great example of hanging in there and not giving up on the PI route. I congragulate you a on a job well done. Great thing bringing in a few more investors also. You've got a bank account now my friend. Much success to you...Jan

Thanks! You are an inspiration to me!

Thanks Andrew, Jeremy and I are out there in the trenches with you guys every day. We know what it is like to fail and to succeed. We get bloodied once a week, but we are like you, we stay in the game, always...Jan

Was it Dean who said we learn so much more from failure than success?

When I succeed, there is no humility needed. No change needed. When I fail, I must ask for help and learn to change if I am to succeed next time.

Congrats Andrew! Way to work it!!! So glad you are feeling a great sense of accomplishment, and what a great beginning of a partnership you have going!
Cheers!
Louisa

Thanks! Who knows where this can go? I was happy before, but now, how many things could we do? (Eph. 3:20)

this has to be one of the biggest moments of your life. You have done the right things and good things have transpired for your benefit. Keep up the good work and do whatever it takes to please your investor.

Way to go!!!!

Congratulations! You will go FAR in REI! I have a question on how you set it up with 3 people investing in the property. Are you doing a promissory note backed by real estate with each one of them in a different position, syndication, or partnering with them? I ask because anytime you have more than one, in order to put them in a first lien position one needs to syndicate, or take 1st, 2nd and 3rd position. Or, did you set them up as an unsecured notes?

Just curious because I'm getting ready to expand my PML marketing and meet with my SEC attorney, then am going to start mass marketing to many private individuals. It really is the key to opening up endless possibilities. I just want to make sure everything I do is compliant with the SEC, and I've added a lot to my marketing and want to run it by her.

Thanks for your encouragement, and good advice!

I have one friend who wanted to use his money. He has two other friends (whom I do not know). We set up an LLC. The Articles of Incorporation will define our roles. Those three are equal investing partners, and I am the managing partner. They do not want to be bothered with the management details, and I don't want to be bound by micromanagement. I have to be responsible to make sure their return is as promised. They also want me to have a small equity stake in the property in addition to my management percentage. Their money will cover purchase and repairs. We may leverage later to free up additional capital.

Great job on your deal! I was curious as to what areas you work in or what your partner buys in?

I am working in Bemidji, MN exclusively. My investor invests in RE through me exclusively.

The selling bank has signed the acceptance letter. Now we are hoping to close soon... I've got people interested to move in after rehab, and rehab hasn't even started!

Thank you for sharing your experience Andrew. You are an inspiration to me.
Judith

Thanks! Like I said before, if I can do this, so can you! This stuff works!