Raising private capital without persuading them.

3 Replies

How would I raise private money to fund real estate deals from individuals without having to sell them the idea of investing their money in real estate is good? These are the people who know and understand the game of real estate investing and why investing their money in real estate is a better option than some stock market or anything else not providing them with high returns. Finding private capital from these individuals seem a lot easier than contacting some random people trying to convince them to trust me with their nest egg to fund a deal.

You're right. On an individual level, if someone is already sold on real estate as an investment, it's much easier to get them into a particular investment compared to someone who is, say, really into index funds.

Having a track record of success and talking about it openly (but not bragging) is the best way to get people interested. The interested parties will float to the top and want to get involved. It's hard to have a track record when you're first getting started, but once you get the first one then you're off on a roll!

@Tony Marcelle you dont have to convince them that real estate investing is a good idea. You need to show them how investing in YOU is a great idea. People want to know how you can make them money. You want to show them that you offer a good return with minimal risk, a solid plan, data and resources to back up that plan.

Originally posted by @Taylor L. :

You're right. On an individual level, if someone is already sold on real estate as an investment, it's much easier to get them into a particular investment compared to someone who is, say, really into index funds.

Having a track record of success and talking about it openly (but not bragging) is the best way to get people interested. The interested parties will float to the top and want to get involved. It's hard to have a track record when you're first getting started, but once you get the first one then you're off on a roll!

I really hope to have that track record someday. I feel so at ease when I don't have do a sales pitch to get them to fund me the money for the deal.