Private Money Broker certification

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Private Money Broker certification

Richard Licon
Real Estate Investor · Trabuco Canyon, CA · Member since 2013 · 5 posts · 3 votes

I am thinking about picking up my Private Money Broker certification, as way of adding an additional stream of income, but I want your advice if you feel the certicication is worth the effort? Is the certification a recognized option that you have obtained additional training that instills confidence in real etatinvesting? I could use some clarrification/advice.

Thanks 

Richard

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Wayne Brooks
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
11y

Not sure what that is.  Sounds like some made up certification by someone so they can sell you a course, and maybe upsell you some other crap in the process.

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  • Wayne Brooks
    Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
    11y

    Not sure what that is.  Sounds like some made up certification by someone so they can sell you a course, and maybe upsell you some other crap in the process.

    7Reply
  • Richard Licon
    OP
    Real Estate Investor · Trabuco Canyon, CA · Member since 2013 · 5 posts · 3 votes
    11y

    Wayne:

    Thanks for the reply, that is the reason I wanted to get BP advice, does that certification Really exist, or as you say just trying to upsell.

    Thanks

    0Reply
  • Jon Holdman
    Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
    11y

    Do you have a link or something to this "certification"?  I'd agree with @Wayne Brooks that is sounds like something made up to sell classes.

    Many states require a mortgage broker license to broker loans.  Here in CO there's an additional license required if you're soliciting money from individuals then loan it to others or even just brokering the loans.

    1Reply
  • Jeff S.
    Lender · Los Angeles, CA · Member since 2009 · 1k+ posts · 2k+ votes
    11y

    Actually, @Richard Licon, the American Association of Private Lenders does have a certification program they hold at their annual convention. It's a one-day course taught by a lending attorney, fund manager, and a hard money lender. The material is interesting, there is no upsell, and you do get a fancy certificate by email. Unfortunately, it holds nothing more than educational value with no authority.

    To loan against real estate in California, you either have to be a CA licensed real estate broker or California Finance Lender (CFL). 

    5Reply
  • Richard Licon
    OP
    Real Estate Investor · Trabuco Canyon, CA · Member since 2013 · 5 posts · 3 votes
    11y

    Thanks to all of you for your insight, I herd about this initially from The Lee Arnold System of Real Estate Investing, Is anyone familiar with him and what he teaches?

    2Reply
  • Christopher Baustert
    Real Estate Investor · Bell, CA · Member since 2014 · 65 posts · 19 votes
    11y

    Richard I am very familiar with them. Do not get involved with them for that. I wasted 4 days to be certified, and it was proposed that they have all the funds to loan out. Unfortunately the rates and terms they charge are so high that they priced themselves out of the industry. They can only loan in certain states and their investors choose whether  to lend on a particular project after you wasted a lot of time and money for appraisals. 

    Happy Investing

    4Reply
  • Richard Licon
    OP
    Real Estate Investor · Trabuco Canyon, CA · Member since 2013 · 5 posts · 3 votes
    11y

    Chris:

    Thanks for the Heads-Up, I was not getting much information about this certification, or if it even existed. I will take you advice!

    Thanks Again

    I making a career change to Real Estate Investing and still learning, also looking for multiple streams of income in real estate investing, as well as trying to learn all I can, if anyone has insight/directions it would be helpful.

    0Reply
  • David Dachtera
    Rental Property Investor · Rockford, IL · Member since 2014 · 4k+ posts · 2k+ votes
    11y

    Hi, Richard,

    From the little I know about the lending industry, I'm thinking that in order to broker private money you must first solicit private money to lend out, and that suggests you need to have some kind of approval - call it licensure, certification, whatever - from the SEC. I'd contact them first and see what information you can gather.

    Second guess time suggests you may need the same from each state in which you want do business. Then, you'll want to explore the implications of doing business on-line across state lines.

    There's probably a fair amount of read-tape to organize. However, since private lending is  likely THE source of real estate investing financing for the short- and mid-term future, it would be well worth the effort, I'm thinking. I've already got some feelers out locally to set up just that kind of business in the western suburbs of Chicago.

    0Reply
  • Brian Sinclair
    Deal Generator · Glen Burnie, MD · Member since 2015 · 22 posts · 6 votes
    10y
    Originally posted by @Copelon Kirklin:

    @Richard Licon

    My company is a private money brokerage. I arrange financing for residential and commercial deals nationwide, with the exception of a few states. I'm located in Kenner, LA and in this state, we're not required to have a broker's license to broker loans as long as it's non-owner occupied investment properties. Just my 2 cents to add.

     @Richard Licon - Do you work in Maryland?

    0Reply
  • KJ Smith
    Investor · Akron, OH · Member since 2015 · 37 posts · 3 votes
    10y
    Originally posted by @Copelon Kirklin:

    @Richard Licon

    My company is a private money brokerage. I arrange financing for residential and commercial deals nationwide, with the exception of a few states. I'm located in Kenner, LA and in this state, we're not required to have a broker's license to broker loans as long as it's non-owner occupied investment properties. Just my 2 cents to add.

    0Reply
  • KJ Smith
    Investor · Akron, OH · Member since 2015 · 37 posts · 3 votes
    10y

    @Richard Licon

    Do you loan in Ohio?

    1Reply
  • Account Closed
    Honolulu, HI · Member since 2016 · 1 post · 0 votes
    10y

    @Copelon Kirklin

    Do you loan in Indiana or Colorado?

    0Reply
  • Brenda A.
    Woodland Hills, CA · Member since 2014 · 42 posts · 1 vote
    9y

    I was thinking of doing the same thing be cause I just this weekend gotten an invite to join a class for private brokering.  I was curious so I googled  Lee Anderson and was delighted to find out that I might get some answers from Bigger Pockets but it seems to me like these  are all very old comments.  Is Copelon Kirklin  from Kenner, LA still doing business with him?

    0Reply
  • Curtis Harvey
    Investor · Top of the World · Member since 2016 · 165 posts · 40 votes
    9y

    @Brenda A.  Did you go to the Lee Anderson training and certification?  I would like to hear about your experience with them.

    They are affiliated with Cogo Capital.  I went on connected investor and filled out and app and a few days later they called me about a property that i am putting an offer on tomorrow.  They do a great job of getting first time investor financing with private money.  I will update this thread if the seller accepts my offer.

    A few days after they approved me for financing, I get a call from a guy with very bad manners, peddling the Lee Anderson Broker online training and the subsequent 4 day certification in June at an event.  I just may have tried it but the guy had a bad attitude, and was very pushy.

    @Copelon Kirklin  who are you licensed with and what states do you loan in?

    1Reply
  • Copelon Kirklin
    Specialist · Kenner, LA · Member since 2014 · 289 posts · 31 votes
    9y
    Originally posted by @Curtis Harvey:

    @Brenda A.  Did you go to the Lee Anderson training and certification?  I would like to hear about your experience with them.

    They are affiliated with Cogo Capital.  I went on connected investor and filled out and app and a few days later they called me about a property that i am putting an offer on tomorrow.  They do a great job of getting first time investor financing with private money.  I will update this thread if the seller accepts my offer.

    A few days after they approved me for financing, I get a call from a guy with very bad manners, peddling the Lee Anderson Broker online training and the subsequent 4 day certification in June at an event.  I just may have tried it but the guy had a bad attitude, and was very pushy.

    @Copelon Kirklin  who are you licensed with and what states do you loan in?

     I'm not licensed as it isn't required for commercial financing. I arrange financing nationwide.

    0Reply
  • Copelon Kirklin
    Specialist · Kenner, LA · Member since 2014 · 289 posts · 31 votes
    9y
    Originally posted by @Brenda A.:

    I was thinking of doing the same thing be cause I just this weekend gotten an invite to join a class for private brokering.  I was curious so I googled  Lee Anderson and was delighted to find out that I might get some answers from Bigger Pockets but it seems to me like these  are all very old comments.  Is Copelon Kirklin  from Kenner, LA still doing business with him?

     Just seeing your comment, Brenda. I'm familiar with Cogo but not Lee Anderson personally.

    0Reply
  • Copelon Kirklin
    Specialist · Kenner, LA · Member since 2014 · 289 posts · 31 votes
    9y
    Originally posted by @Account Closed:

    @Copelon Kirklin

    Do you loan in Indiana or Colorado?

     Yes, I can arrange in those states.

    0Reply
  • Twania Vinson
    Houston, TX · Member since 2017 · 1 post · 0 votes
    9y

    I got a call from Todd at Cogo Capital was very pushing. He asking me how much was in my savings and where is all your money going? Why would you try to down a person about there finances and turn around an try to sale them something, thats *** backwards! I want to broker loans but I will have to find another way to spend my money.

    0Reply
  • Tim Magsby
    Antioch, TN · Member since 2017 · 16 posts · 1 vote
    9y

    Brenda and Curtis, 

    are either of you two referring to Lee Arnold?  If so, what do you know of his 'system'?  Thanks.

    Oh and Richard what has your outcome been?  I am curious to know that as well.  Thanks.

    0Reply
  • Jonathan Nelson
    Toronto, Ontario · Member since 2014 · 25 posts · 2 votes
    9y
    Originally posted by :
    Originally posted by :

     Did you go to the Lee Anderson training and certification?  I would like to hear about your experience with them.

    They are affiliated with Cogo Capital.  I went on connected investor and filled out and app and a few days later they called me about a property that i am putting an offer on tomorrow.  They do a great job of getting first time i

    I'm not licensed as it isn't required for commercial financing. I arrange financing nationwide.

    Hello @copelon kirklin, just a quick question on how to become a Commercial Broker like yourself? what course or program do you recommend/ did you take, in order to setup your commercial loan brokering company? i am interested in doing this in relation to being a virtual wholesaler. 

    what can i do to start as a Commercial Loan Broker? 

    0Reply
  • Joe Lambo
    Sausalito, CA · Member since 2017 · 1 post · 0 votes
    9y

    Just Simply ask The Guy on The Phone,, How many personal Loans he has done and if none can you put me in touch with someone who has disbursed loans. They will give you an answer that should give you some really good closure XD

    0Reply
  • Frank Y.
    Lender · Philadelphia, PA · Member since 2017 · 225 posts · 72 votes
    9y
    Private money lender certificate is something they made up. They ask you to go to their very expensive class. They certificate they issue does not mean anything.
    1Reply
  • John Gannitto
    Lender · Trooper, PA · Member since 2016 · 2 posts · 11 votes
    9y

    I spoke with Laura Montz from Cogo at length (over 1 hour) and asked at the end of our conversation how much? When she told me $20,000.00, I told her to basically pound sand. I am a former CADRE (California Department of Real Estate) Real Estate and Mortgage Broker and couldn't believe what I was hearing. First of all, their certification program is NOT accredited by any legal body so it is basically worthless other than it may look good on your wall. Secondly, why would anyone PAY them to sell their money? When I was a broker, Chase, Wamu, BofA, Wells Fargo and many, many other mortgage banks I was approved with did NOT ask me to pay them a single penny to "sell" or broker their money - THEY PAID ME!!! to do so! Thirdly, there is no win-win when you have to shell out $20,000.00 up front, only animosity which will develop in time after you realize that you have been duped and are kicking yourself in the *** for taking the "bait" - too late now. The people who are the "business development" people like Laura working for this company, how do you think they make their money? That's right, getting a commission out of the $20,000.00 they just snookered you out of (probably 50%). So stay away from Lee Arnold and his "snake oil business developers". If you find you can't, then I have some swamp land in Florida I can sell you (crocs & alligators included to bite you in the ***).

    4Reply
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    9y

    @John Gannitto  too funny how gullable people are sometimes.. and thinking they can buy their way into the system

    one can sign up with lending home and any other number of lenders and get paid.. realty shares etc etc.. now most of them want you to be licensed.. and by licensed I mean a REAL license NMLS and state licensed like I am.. but some in states that don't require will let you broker their money and they don't charge ... half the unlicensed folks you see on BP are doing just that fronting for one of these companies.. I get courted by all of these guys all the time.. Not interested personally.. but it is an option to trying to wholesale and failing miserably at that.

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    0Reply
  • Norberto Villanueva
    Real Estate Consultant · Colorado Springs, CO · Member since 2013 · 325 posts · 117 votes
    8y

    I just attended their "free" Funding Tour in Seattle. Mostly hype and VERY little substance, I was quite disappointed to find their rates and terms are a lot worse than what I already accomplish as a money broker. 

    Much like many of the so-called gurus, the cost for their "training" will eventually run into tens of thousands of dollars. Using high pressure sales techniques, they hock course tracks that include the Private Money Broker Certification, each starting at a "low" price, with an upsell to a higher level (price), leading up to "master" levels for much, much more. Touting tools, resources, even sooo many leads, I asked a few of the so-called master level brokers in attendance how it was working for them to find none I spoke to had actually succeeded at making it work. Of course, this may be attributed to an individual's lack of effort but, none? And not that I would use it, but I have yet to receive the $250,000/$500,000 pre-approval they promised for all in attendance.

    Glass half full, they did provide certain meals, a couple of cocktails and a guided bus tour of investment "opportunities", which they applied considerable pressure for offers on, one with a suggested "ARV" that was at least $100k above highly reliable AVM (automated valuation models) I have access to.

    Overall, I say stay away, unless their Funding Tour comes within driving distance and then only so you can see for yourself. 

    2Reply
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