Where to get more money that you can handle

to fund your deals

At this point you might be thinking…So, I just have to find people in foreclosure who will sell to me using these creative approaches. But where will I find someone who would make such quick loans to buy them with?

My answerer is: Don’t trip over all the cash available, while pacing around your neighborhood, thinking about it.

I can hear the “doubters” out there already. Let me assure you; there are many people in this world who would love to earn a higher return on their money than 3%-5% currently offered by banks and money market funds.

It is estimated that there is $4.7 trillion sitting in IRAs and CDs earning less than 4-5% interest in this country. Many of these folks NEED to earn a greater return in order to just survive today. Of course, they don’t want to take unnecessary risks. So they can follow our special plan.

With the right approach and plan, you’ll be amazed how many people would step up with money when you need it, more than you can handle – once they understand that you structure a deal in such a way that they can double their returns, all while protected by solid equity PLUS your personal guarantee.

The first key is, have a personalized and professional approach. In many states, you cannot simply advertise that you are seeking money to invest with, without stepping into a hornet’s nest regarding securities solicitation. Again, ask your local attorney about rules you should consider.

Start by asking around. Get referrals. Networking is the best solution for finding money. Use these words a lot “who do you know…”

“Who do you know who might have some cash sitting around earning less than 4% to 5% per year? We are developing some safe real estate investment strategies, where we will pay 12% to 18% for the use of that money. We’re secured by plenty of equity.”

Ask your friends, relatives, accountant, attorney, mortgage broker, Realtor, etc. Remember do ask them “who they know.” Never ask, “Do you know?” You’ll be amazed that what a systematic effort can attain.

You could also hold a luncheon, if you know some investment advisers who might want to work with you. Explain to these investment advisers what you do, and ask if they would be interested in assisting you in offering a luncheon. At this luncheon, you might prepare a small presentation with some handouts and an application form. You simply explain how safe equity is and how you personally guarantee the loan, even if it is really not needed. Close the deal by asking if they would rather keep earning 3% to 4%, or 12% to 18% secured with equity? Always remind people that all that you are asking them to do is submit their name to be contacted, if and when opportunities arise.

Be sure to remind these people that they can also use their IRA funds, or 401(k) funds for these deals. They may need to first place their funds with a custodian who does not mind allowing them to place funds in real estate deals. Many traditional IRA custodians will limit their clients to stocks and bonds they offer. Remember, it is your money, and it is legal to place your IRA funds into real estate or private loans, if you follow IRS regulations. A custodian who specializes in real estate will not argue with you about it. They would help you comply with your own wishes.

A custodian I really like working with is called Entrust. They have offices in multiple states. There is likely an office near you. Go to www.iraplus.com to research them. They can help you get funds placed into self-directed account easily.

On average, a luncheon with 10 or more participants can produce over $1 million in available funds for your own little private bank to use. There is plenty of cash out there if you make the effort.

Advanced TOOLS of the trade, to save you both time and money.

Pay your mortgage debt off in 7 – 8 years vs. 30, without significantly changing your budget. Yes, really!

Get details at: www.livefreeandclear.com

Get out of debt and into wealth much faster with this system.

Get Legal Services You’ll Need FAST, and Save Money at the Same Time: Do you think you’ll ever want to hire an attorney, but don’t want the costs? With Prepaid legal, you’ll always be working with top-rated attorneys, at a fraction of the cost of regular attorneys services. I pay upwards of about $26-$69 a month for most of my legal service needs. Most of you pay over $200 an hour for the same services. Do what I do.

Please join me via my prepaid legal web site link to sign up at:

You’ll also find many of the people you want to help need legal services themselves and could save substantially by being a member of prepaid legal. Why am I telling you this? You can also sign up as an associate and earn a substantial income every time someone signs up.

Self-Directed IRAs:

You’ll need a custodian who is friendly about allowing you, as a real estate investor, to invest in real estate. Visit www.tjmarrs.com for special links and tools.

Go to: www.mynlc.com Use referral code: A33490

Go to www.tjmarrs.com, go to the “Tools link,” and pull down the pre-foreclosures leads link for a free trial. After that, you only invest about $20-$30 a month to continue to receive all the leads you can handle.

More training and education:

Visit www.tjmarrs.com for details on workshops, seminars, and coaching, so you can get to the serious level of investing much faster.

Coaching Questionnaire from T.J. Marrs

Could you qualify to get a personal coach to help you get to the next level?

How many deals do you want to do this year?

Will having a coach increase your success on doing these deals?

Do you have the skills and resources at this moment to do the number of deals in question 2?

Do you have the confidence to do the number of deals in question one without help?

If I were your coach, what could I do to help you do the number of deals in question one?

How much money would you like to earn from each deal?

Do you believe that having an experienced coach can help you achieve your financial goal faster?

Do you know of other situations in life where a coach has helped keep someone of high achievement reach their goals?

What is the potential cost of making a mistake in real estate investing?

When is the best time to take action to change your future now or later?

If price were not a factor, what would stop you from starting now?

If we could make the payment plan comfortable, are you willing to commit to yourself to start now?

Name _______________________ Email____________________ Phone# _____________________

Fax to 360-397-0159 or email your responses to: questionsfortj@creclub.com
Ph 360-883-2296   www.creclub.com www.livingfreeandclear.com

Glossary of Terms

27-Year Depreciation – An accounting deduction that allows a property owner to deduct certain expenses involved with the normal wear and tear of a non-owner occupied property. Typically, the building itself and some fixtures may be “depreciated.”

Assumable Loans – A mortgage that may be transferred to another party upon bank approval of the other party. These are rare today.

Bank Qualified – The process of getting formal “bank” approval or pre-approval from a lending institution, to purchase a home.

Bank-Owned Properties – A post foreclosure auction property. These are properties that have already been foreclosed upon by a mortgagor and have returned to the mortgagor’s possession and control. These mortgagors typically do not want to own these homes.

Binder Payment – A non-refundable payment in exchange for the right to purchase real estate. This usually comes from a tenant/buyer, typically in consideration for the option to purchase a property.

Cash Flow – Monthly net income on an investment property after expenses.

Deed – The document that represents the transfer of legal title to a property.

Deeply Discounted – For a variety of reasons, a property or a note that can be bought at a price significantly below real market value or face value.

Double Close – An escrow transaction where 2 transactions happen almost simultaneously. In this situation, Party “A” sells a property to Party “B.” Party “B” then finds Party “C” to purchase the same property at a higher value. At closing, “C” brings money, some of which will go to “A” as “A” relinquishes title to the property. “B” then collects the monetary difference in sale prices. “B” technically owns the property for a very short period of time (on paper) before turning around and selling to “C.”

Equity – The “net” dollars remaining after a seller sells a property. It is also represented as the difference between the real market value of a property and the balance of the debt owed against the property.

Exchanges – A transaction which allows the seller to defer taxes due, in effect, because their intent is to ultimately exchange their equity into another property by a specified time. Formally called a [Internal Revenue Code] Section 1031 tax exchange. The proceeds from the original property may be used in their entirety to purchase the new property(ies) without immediate tax penalty.

Exercise an Option – The final decision to exercise a right to by property, as contractually agreed to in an option agreement.

Fixer Upper Property – Sometimes just called a “fixer,” this is a property that requires a significant amount of repair, before it can be sold at a full market retail value.

Foreclosure – The final process of a mortgage holder taking back a property, when the mortgage has not been paid as agreed. The lender reclaims possession of a property upon which they lent money. This typically happens during a public auction proceeding.

Friendly Corporation – A corporation that does business with you or your local in-state corporation. You are in total control of this corporation privately. This may give you an advantage of creating protective liens against your own properties for asset protection purposes.

IRA/Individual Retirement Account – A tax-deferred way to save money for retirement. In a ROTH IRA account, taxes are paid upon deposit into the account, so that no taxes are due upon retirement. Most other IRAs are tax deferred until retirement.

Lease Option – A lease agreement with an option to buy the same property. Typically, a buyer will sign an agreement to lease a given property with the intention to purchase that property. An option is a unilateral agreement stating that the buyer may buy the property if they choose, and the seller must sell the property, if the buyer makes the choice to buy.

Pre-Foreclosure – A property headed toward foreclosure soon. It begins with the period of time between when a mortgage holder gives notice (usually called a “Notice of Default”) and completes the foreclosure process, usually through a public auction. The mortgagee (property owner on title) retains the right to sell the property and pay off the mortgage holder during this time.

Probate – In most cases, this happens after one is deceased, as the process to ensure all creditors are given an opportunity to make claims against an estate.

Real Estate Trust / Land Trust – A special property-only trust. Considered a protective entity, it is used to hold title to property and create a situation in which benefits of ownership may be easily transferred more privately.

Residual Income – Income earned from investments or other sources which pay ongoing income after established. This is as opposed to wages earned through paid or self-employment.

Retailing – The process of buying property below market value and selling at full retail market value.

Sandwich Lease Option – The position being between two lease option transactions. One first purchases a property on a lease with the option to buy, then turns around and sub-leases the property to another party, at a higher payment and terms, hopefully. The final buyer also has an option to buy (typically at a higher cost than paid to the original seller).

Straight Option – The right to buy, but not the obligation to do so, as in a purchase agreement. It is a unilateral agreement stating that the buyer may buy the property if they choose and the seller must sell the property if the buyer makes the choice to buy.

Subject to – An alternative to “assuming” a loan. One is simply taking over a seller’s mortgage “payments,” leaving the existing financing in place (and in the seller’s name).

Tax deferral – Any transaction that allows for a deferral of what would normally be immediate taxes. When a tax debt is owed, it is a legal way to put that debt on hold, sometimes indefinitely. Most typically utilized through IRA accounts and exchanges.

Tenant/Buyer – An individual leasing a property with the intention (and option) to purchase the property sometime in the future.

Unilateral – A contract agreement where only one party is obligated to complete some action.

Wholesaling – The process of acquiring property below market value, then selling at a higher value, yet still below full retail market value.

Wrap around – Any transaction whereby an underlying loan is being paid by a new “wrap around” larger note. This is the process of using underlying financing to extend financing to a potential buyer.

Zero down – Any process where one purchases property with no cash down or using other people’s money as a down payment.