The Private Lender Podcast

PLP – 139 Know The History Of Your Property With Title Insurance With Rachel Luna

Aug 31, 202100:44:18Tap to summarize

 When you buy a property, you want to be sure that it's free of any debt and lien. This is where title insurance comes in. You don't want to wake up one day, and your pool is torn down because it was built over a utility easement. Or the heir of the seller comes in and reclaims what is theirs. Title companies prevent these things from happening. Join your host, Keith Baker, and his guest, Rachel Luna, on the importance of title insurance. Rachel is the Agency Development Manager of Patriot Title. As The Texas Title Queen, she drops a ton of knowledge and discusses the parts of a title policy, what is covered, what is not covered, and why you need title insurance when you purchase a property. Learn the schedules of a title property and why title insurance is a must. If you're a lender, you better listen to this episode.---Know The History Of Your Property With Title Insurance With Rachel LunaThe Texas Title Queen Breaks It Down For Lender NationI would like to thank you for sharing your time with me. If you're looking for practical tips and advice on how to put the power of the banking system into your investment accounts, then you are in the right place. If you want to learn from my mistakes so that you can both avoid them and profit from them, then pull up a chair and pour yourself a drink, my friend, and take some notes because this show is for you. I'm dedicated to giving people, like you and me, the knowledge and confidence for successful and profitable private lending.In this episode, I sit down and talk with the Texas title queen, Rachel Luna from Patriot Title Company, who has graciously agreed to come on this episode and drop a ton of knowledge around the topic of title insurance, what it covers, what is not covered and where to find things in the policy. Before we get to the heart of this episode, first, a little bit of housekeeping, number one, I'm about to lose my voice. The kids had a soccer tournament. They won the first two games and lost in the third. However, it was exciting. It was a blood pressure event. It was a good tournament. I’m proud of the kids but I shot my voice. I threw it out. Rather than waiting, I figured, “I'm going to make everybody suffer with me.” That's the first bit of housekeeping.The second bit of housekeeping is, have you joined the Private Lender Podcast Facebook group? If you haven't, why the hell not? Simply search in Facebook Groups for Private Lender Podcast, click on Join. Answer a few questions to let me know that you are a private lender and not looking for deals or looking for money and not looking to boost up your groups, but going to help add value to the community. Answer those questions, I'll let you in and then let you get started. While you're at it, head on over to PrivateLenderAcademy.com and click on Apply Now to learn more about putting the power of the banking system into your investment accounts or get some one-on-one time with me, I can answer your questions and show you my mistakes. That's PrivateLenderAcademy.com/apply.The housekeeping is finished and now it's time to get to the heart of this episode. Our guest has been providing title insurance and escrow services for Houston area investors for about as long as I can remember. I caught up with Rachel Luna at the FlipCo Financial Meetup and was excited that she agreed to come on and talk about title insurance. For the simple reason, everyone, including me that says that you must have it, but very few people understand why you need it. I'm going to let Rachel answer that for you. I think you're going to enjoy this. She is dynamite. She is Miss Personality. She has a pistol, a load of fun, is very energetic, knowledgeable and smart. I'm going to let her get down to the brass tacks of this episode and let's get to the interview with Rachel Luna from Patriot Title.---Lender Nation, I want you to buckle up because we're going to have a fun conversation about a boring topic. Our guest is coming and is going to bring all the enthusiasm and the excitement into something that nobody or very few lenders even think about and that is title insurance, exceptions, exclusions and endorsements. Welcome to the show.Rachel Luna here from Patriot Title. It's going to be an amazing show with some amazing information with some boring topics.I can't thank you enough. You are the perfect person to come on and talk about this because you're going to bring life to it. You already have just started with this. Let's talk about you for a moment before we get into the doldrums and the coffee stuff. Tell us about you. How did you become the Rachel Luna?[bctt tweet="Title insurance is there to protect you from legalities that will forbid you from your goal." username=""]The Texas Title Queen, as they call me or The Title Queen. I started this business many years ago. I was passionate about it and being able to help people grow their business in real estate and help along the way people accomplished one of the biggest dreams and purchases of their life. If it's not investing, it's purchasing their home for the first time or transacting a sale. Being able to be the end part of that transaction at the title company, helping people protect their investments, but also be a part of their investment.I believe that as a title company and what we do is it's a very important piece of the whole puzzle. I love that being that piece and I love how every transaction is different. Every single day is different. Every client is different. This business has been nothing but learning and that's why I'm here. They call me the queen because I’ve self-educated, learned, evolved with this business and come out with solutions that can help all parties and all professionals in the real estate business in general, to help grow in their knowledge in real estate, but their knowledge and title and why it's so important. That's why we're here.We only met in person after the COVID thing, but I have seen you around in the Houston area for years helping investors and homeowners. In fact, Rachel has a new branch, so they're expanding. Is business good?Business is good. I'm expanding in Woodlands. This is going to be our Woodlands location. We're off of Sawdust over here and 45. We're in a conference and there's not much going on in here because we're setting up IT and getting phones implemented. We have a new conference room. We're getting this set up. There are computers over here on the floor. We're setting up stuff. It's a new shop, but it's all a process. I'm excited. I love opening up a new location to service and expand for our customers out there who need us in other areas of town.Congratulations. That's good news to hear. Let's start off with what is title insurance? I demand it as a lender. I always demand a lender policy. Explain why am I crazy?[caption id="attachment_3198" align="aligncenter" width="600"] Title Insurance: Title insurance exists to protect your investment. If you're someone purchasing a property, you want to know what is on that property. It protects you from many other different variables.[/caption] No, you're not crazy. You're being a smart man. I advise all to do the same. Title is protecting your investment. We do our due diligence from the sovereignty of a property. If you're a lender and giving money out to someone or if you're someone purchasing a property, you want to know what is on that property. Just because you see the person who signed the contract is the person that's registered in the CAD or the tax records and their name is on that. Let's use Harris County, Montgomery County, or Tarrant, it says, “XYZ person.” They're on the tax roll there and they're on the CAD and they signed the contract, it doesn't mean they're the only person that's entitled to that property or there are not any other issues.What it does is protect the consumer, the lender and all parties of the transaction because you don't know what exactly is going on with an individual, their personal finances or if they're filing for bankruptcy. There are so many variables I can go on and on why you need title insurance to protect yourself. Your money or investment or purchase could be in legality that will forbid you or not allow you going forward to sell the property, do a refinance cash out on that property because there might be some other encumbrances that prevent that in title that was not caught because there was no insurance and due diligence done prior to.It protects you because there are so many variables. In Texas, especially because it's a community property state as well. That's another wrench in there but there are so many variables of why a property can get. It could be an insurable, number one, but it could also be a bad investment when you thought it was a good investment. That's preventing bad investments. Why do you get tit...

Transcribe →

PLP – 138 Utilizing Real Estate Books For Lead Generation And Beating Competition With Max Keller

Aug 23, 202100:45:51Tap to summarize

Writing a book can help you attract private money lenders and motivated sellers so you could win the marketing game in real estate. Today’s guest, Max Keller, proves that. Max Keller is a real estate investor, best-selling author, and business coach. In this episode, he joins Keith Baker to discuss utilizing books as a lead generation technique and how to get prospective sellers to trust you so you could stand out among competitors. He also shares the two ways to get deals through hunting and trapping. He explains how he gets deals through the use of different methods giving them a network of people. Tune into this episode so you could have the opportunity to build great relationships and make your business grow too!---Listen to the podcast here:Utilizing Real Estate Books For Lead Generation And Beating Competition With Max KellerMax Keller Utilizes Books To Get Sellers To Know, Like And Trust HimI want to thank you for sharing your time with me. If you're looking for practical tips and advice on how to put the power of the banking system into your investment accounts, then you are in the right place but if you want to learn from my mistakes so that you can one, avoid them and two, profit from them, pull up a chair and pour yourself a drink because this show is for you. This show is dedicated to giving people like you and me the knowledge and the confidence for successful and profitable private lending, the most passive form of real estate investment known to man.[caption id="attachment_3186" align="alignleft" width="200"] Home To Home: The Step By Step Senior Housing Guide[/caption]In this episode, I sit down and talk with Max Keller, who’s up in the North Texas area, the Dallas-Fort Worth Metroplex. Max is using a very unusual strategy for finding his deals and that is to use books to get his sellers to know, like and trust him. Before we dive into the heart of this episode, I got to do a little housekeeping and need to ask you, have you joined the show’s Facebook group? Why the hell not? Simply go to Facebook Groups and search for Private Lender Podcast.Answer a few quick questions so that I know you’re serious and can follow instructions and you will be let in. You’ll get to hobnob and mingle with private lenders from all over this great country of ours. We may be divided but it’s still a great country. If you want to get your private lending off the ground for possibly some opportunities to bounce a few ideas off of me or perhaps we could even go down the coaching road if you like, please go to PrivateLenderAcademy.com and click on Apply Now. It's time to get down to the brass tacks of this episode.Max Keller was recommended to me by someone I held dear in the podcast industry. Julie Houston, thank you. She has helped me out in ways, mindset, technical, process, things that I wouldn’t think of. She hasn’t charged me a dime for it. All of her advice has been for free, maybe a lunch or two here or there. Considering the value that I’ve received from Julie, I’m in the deficits. Julie, thank you. A big shout out to you. Thank you for introducing me to Max.This has been a game changer in many ways for me. Thinking about this helps expand the mindset into what’s out there. I’m babbling already. It’s best to get to the interview, let Max discuss and describe how he uses books and how he’s helping his students to get some solid leads, generating some nice leads for some nice property acquisition. Let’s go ahead and jump into the interview with Max Keller.--Lender Nation, I am pleased to have Max Keller on the show, who was formerly a teacher and now is a full-time real estate investor but more importantly, he can teach you how to write a book. Max, welcome to the show.It’s good to be here. Let’s go.You come highly recommended from a friend of mine. That gets to the door but the fact that you were a teacher, that's something I've always wanted to do. Hence with the Private Lender Academy, I'm finally coming to get to that point. My path is a little bit reversed from yours. Tell me what brought you to this moment here on the show. How'd you get to the world of real estate and books?[bctt tweet=" If you don't know what’s working, you can't duplicate it. " via="no"]I hear that phrase, “Overnight success, lifetime in the making.” That's the way it feels. Everything that I did build on itself. Before I was in real estate full-time, I was an Algebra teacher at a Title 1 school. I coached football, basketball and track. I taught algebra and I loved it. The only thing is I wanted to make more income. My goal was to take a more passive approach and get maybe 1 or 2 rentals a year. If I stayed on that pattern, then at the end of finishing up teaching and retiring, I'd have a nice little nest egg. Going in real estate, I started realizing that it's a great way to increase your active income and start doing more deals.I left my job years ago. The day after Memorial Day, I told my principal, “I wasn't coming back.” It was a tough decision but it's been great. I've flipped about 130 houses lately because of where the prices have been. We'd done mostly wholesaling but deals in Texas still cashflow, especially mobile homes and things like that. I've been doing investing. On the borrowing side, I did the normal progression. My first deal was a self-funded whole tale. I took it down with a line of credit. The houses were a lot cheaper than in 2015. I cleaned it up a little. I sold it. I made $15,000 and that was cool. I wanted to do it again.The next deal, I took it down with that same line of credit but then once I had another deal, I couldn't keep doing that. My credit was good. That helped. It's funny. My credit was so good because I never used it. It's like, “What a weird system?” It was fine. I went to a community credit bank like credit union kind of thing, local bank and that worked good. I did a couple of deals like that. I was running out and they wanted me to jump through a lot of hoops. I went hard money. I did hard money for my flip deals for a while. I got involved and started meeting some local private money lenders. I love working with them. It was fun. I got to show them my deals. Some of them had a lot of experience. Some of them didn't have very much at all.Being a teacher, which has the teacher mindset, I'd say, “Come and check out. Let's not rush. Come and see one of my properties over here in Hearst. I'm doing this one. Check it out. I've got one over here in Irving.” I explained to him how it worked. It was hard because I'm a people pleaser. I liked my hard money lender. It was expensive. It wasn't as much flexibility and I wanted to have more long-term stuff too. I knew private lenders were looking to find good people, good deals and make good rates of return.I started using books and things like that. That was a total unknown but I started using books as an education piece to attract more private money lenders and motivated sellers. The overall model of how I got here is I taught before I got in here and I still do. That's the best way to build relationships, help people and make the business grow. I'm glad that I still get to do that. It's fun.I'm glad to know that, one, you taught algebra. God bless you. What grades? I'm curious.It was the eighth if they were ahead and then ninth on grade. I had one group of kids that were two years behind. They should have been juniors. It depends on how you are as a student. Let's say it like this. When you go to teach and you go to the job fair, there's elementary, middle school and high school. The elementary line, there are 400 people in it. All these people who've been waiting their whole lives to be kindergarten teachers.You go to high school line. Those are people with a lot of experience. They love their subjects. In middle school, junior high, there's nobody. If you have middle school kids of your own or cousins, you'll know but I liked it. What I liked about working with kids is the same thing I like with the people that I work within real estate. I like working with people that tell the truth. Kids, believe it or not, they almost always tell the truth. I remember one time I went to class. My hair spiked up. I thought I was looking cool and on trend. The kids shut that down in three seconds like, “Mr. Keller, we can see all the way through to your scalp.” That's the way kids are.Adults aren't always like that. From my own experience, it's important that I get to know the people I'm working with. On the other side, your readers, it's super important that they understand what's a good deal and what's not a good deal before they invest in it. Are they getting in with the right person? There's a lot of sleek talking people. Adults aren't always truthful. We got to find who's telling the truth. Who's doing what they say they're doing before we invest in the deals. That's a piece of teaching that I b...

Transcribe →

PLP-137 Is This The New Normal?

Aug 16, 202100:10:18Tap to summarize

Is This The New Normal?Hello Private Lender nation and welcome to episode 137 of the Private Lender Podcast, I’m your host, Keith Baker and I’d like to thank you for sharing your time with me today.Love the show? Subscribe, rate, review, and share!Here’s How »If you’re looking for practical tips and advice on how to put the power of the banking system into your investment accounts, then you are in the right place.But do you want to learn from my mistakes so you can both avoid and profit from them? Well then pull up a chair and pour yourself a drink, my friend. Because this podcast is just for you, as I am dedicated to giving people just like you and me the knowledge and confidence for successful and profitable Private Lending.In today’s episode, I will bore you and discuss some very recent conversations I had while on a trip to San Francisco and the Bay Area, and I heard some interesting insights from some friends of the show. But before we get to the heart of the matter, first I need to do a little housekeeping.1 - Have you joined the Private Lender Podcast Facebook group? Well why not? Head over to the show notes for the link or simply search Facebook groups for the Private Lender Podcast.Private Lender Podcast Facebook Group2 – And, please head over to PrivateLenderAcademy.com and click on Apply Now to learn more about how to get your Private Lending off ground and for opportunities to receive coaching from me.Apply – Private Lender AcademyOK, the housekeeping is finished and now it’s time to get down to the brass tacks of today’s episode: Are we normal?I took a short trip and flew to San Francisco earlier in August and spent a few days catching up with some friends of the show as well as a few dear old friends who call the Bay Area home.And I caught an A’s game against the Rangers, so I’ve now ticked 3 Major League Ball parks off my bucket list.I’m glad I was able to take the trip before the government tries to lock us down again, which brings me to the question I have for you, dear listener:Are we in the new normal, or are we simply in a bubble in the housing market cycle?I won’t name any names yet as I haven’t’ asked whether I could mention names (you know, in case they are wrong) and I had the idea for today’s topic and wanted to get this episode recorded and distributed so here we go:One position I heard, especially in the case of the Austin, Texas market, is that we are in the new normal. Austin will mimic housing in the Bay Area historically speaking, which means high prices are here to stay (at least in the Austin area) and they will only continue to rise.Then, I heard the belief that we are long in the tooth for this market and a correction is coming – a very popular opinion that many investors share. Especially those investors who lived through 2008 and the mortgage crisis.In the case of the Houston area, I did a little reading and have found the following: Average house price up 14%1 month of inventory (6 months is considered a stable market)500,000 people move to TX every yearConstruction material shortage, lumber up 250%Days on Market are almost non-existentSo, which side are you on?Are we in the new normal with prices continuing to increase?Or is there a correction looming?Connect with me on social media and let me know:Private Lender Podcast FacebookKeith Baker on LinkedInOr email me: keith@privatelenderpodcast.com.OK. Here’s the deal, I don’t charge money for this show, but there is a cost and I would be extremely grateful if you would help drive awareness to the show, to get the word out by leaving me an honest rating and review over at iTunes, Google Podcast or whatever platform you are using to hear my voice.It doesn’t take that long and it’s a small price for the value I try to provide.That’s gonna do it for Episode 137 and just a few final thoughts:1 – Join the Private Lender Podcast Facebook Group2 – Remember to head over to http://privatelenderacademy.com/ for more information. And to be eligible for discounts and other pre-launch goodies like group coaching calls, then click on “Apply Now”So, as I sign off I’d like to say in addition to self-awareness and mindfulness, I wish you safe and prosperous Private Lending.I’ll catch you on the next episode.-kLove the show? Subscribe, rate, review, and share!Here’s How »Join the Private Lender Podcast community today:PrivateLenderPodcast.comPrivate Lender Podcast FacebookKeith Baker on LinkedInPrivate Lender Podcast TwitterPrivate Lender Podcast YouTube 

Transcribe →

PLP-136 George Salas On Getting Long-Lasting Revenue Through Short-Term Rentals

Aug 9, 202100:32:38Tap to summarize

 Most people flip houses, become a landlord, or purchase properties to get the most returns in real estate. But for George Salas, he found an incredible opportunity in short-term rentals, where a lot of people don't even consider. He joins Keith Baker to delve into how rent arbitrage increased his ROI significantly. He shares how he acquires his financing and puts together ample funding to keep the ball rolling. George also explains how he deepens relationships with the people that he trains, eventually building joint ventures.---George Salas On Getting Long-Lasting Revenue Through Short-Term RentalsLearn How Rent Arbitrage Can Increase Your ROIIf you're a regular reader to this show, then you know that I do my best to keep the topics of the interviews either strictly private lending-related or at least interesting from a different investment or personal perspective. The topic of the episode is no different as guest George Salas is flip and crushing it in the short-term rental space.I met him at a Mastermind in Key West and I'm happy that we connected. I got on the plane to fly to Key West. I did not want to go. It had extremely limiting beliefs and yet is one of the best things I've done. I love to know stories of innovators and how people pivot when times change or when they get bad, and given the recent COVID scamdemic and the current bubble and the retail housing market.It's a real disease. All that stuff is over 99% survival rate. It's a flipping scamdemic. We are in a bubble. I'm calling it. Greenspan said, "You can't see a bubble until you're beyond it or it's burst." I'm calling it a bubble. More than $50,000 above ask in the market is a bubble. You can bookmark this show and can come back to it and give me grief or cheer me on when I'm proven right.I couldn't think of a better time to introduce you to my guest and his business model. The best thing of all is that George Salas is crushing the short-term rental game right here in Houston, in H-Town, which makes my smile a little bit bigger. Let's go ahead and get down to the brass tacks of the show and straight to the interview with George Salas.---George, welcome to the show.Thank you very much, Keith. It is an absolute honor to be here.I'm looking forward to you to explain your business model. That is, you don't flip, landlord, own or finance but you do short-term rentals. I'm going to give you the floor. Tell us how you got into real estate, short-term rentals and the basic mechanics of your business.My journey started when I was six years old. I'm sitting in the living room of my parents' house. My mom and dad pulled my brother and me aside and said, "Guys, we need to talk to you. You're going to go to your grandma's. You're going to stay there for a little bit." This is from a city by the name of Lima in Peru, the capital. We moved to a small town.It was just my mom. It was an environment where I get to stand by my dad. We left that city into a small little town and then the town was 20,000 people. I didn't get to see my father for nine years but he came back again into my life. We were moving here to the US. I came when I was fifteen. I wouldn't get to say bye to him twice and it affected me my entire life until I realized that I didn't need to be better for my dad.I didn't need to be in a place I’m good enough because I felt I wasn't good enough. I felt that because my father was never a great provider. We moved here. All through my young 15, 18 to 20, I was a grocery stacker. I worked at Kmart. Then I got into the nightlife and I invested in a nightclub. I was in the nightlife for ten years. I was the number one top promoter in Houston for 7 or 8 years.[bctt tweet="Bad decisions aren't as bad if you learn from them. Turn everything around and make something completely drastic." username=""]All of a sudden, I had the opportunity to invest in a club. I had a bunch of money saved up. I did invest in the venue and then I ended up losing everything. Here I am in the city. I had invested $400,000 into a club that I didn't have control over. I didn't have knowledge about real estate. I lost every penny of it. I'm sitting in the living room of my apartment at the time and I don't know what to do with my life. I'm literally lost. My buddy Ben Franklin called me. We go to his property in Flint. We spent 3 to 4 hours there and something clicks in my head with all of this inspiration.That was a life life-changing phone call. I started training, taking courses, going to seminars. I went to a seminar in January of 2019. Four months later, I got my first flip. I did start flipping. I want it to be this real estate guy. I wanted to do a lot of deals and build an impact on real estate without knowing that you needed to have a lot of money to invest in real estate if you want to buy, fix and flip.You need $50,000, $60,000. For DLS, you do what we do. At the time, we didn't have the resources or knowledge to do it. I made $46,000 on my first flip in 2018. Then six months later, I figured out what wholesaling was. By the end of that year, I had brought $98,000 of wholesale fees and used that cash. This is from the $5,000 in my pocket keys.I use that cash to put into my first twenty rental arbitrage, Airbnb that had cashflowed me $2,500. It's little apartments, studios and I started with those. Since then, until now I've been able to build a six-figure business a month. Our short-term rental business does $150,000 a month. I've done 50 real estate deals in two and a half years.I've got an amazing network of friends like yourself and in the know of all of the real estate community here in Houston. I'm in the best time of my life. I'm happy, fulfilled, fulfilling my destiny. It all started with that phone call and making those bad decisions. Sometimes bad decisions aren't as bad if you can learn from them. If you can turn everything around and just make something completely drastic. Look for that thing that you're wanting to find, which was a success in real estate and then I reached out to short-term rentals. That's pretty much a breakdown.It's compelling because I find it funny that I had to go to Key West and meet you, even though we're right here in Houston. I've seen you come up on Facebook back in the good old days when we went to REIA meetings in person. I'll even throw John Jackson in there in Dallas. I'll include him. It is a very good supportive network.The event, it's the same as I. It makes all the difference when you have people that you feel have your back or going to shoot you straight on something. To your point, if you mess up and you have a loss, it's either have a win or a lesson. That's the way it is. As long as you own the loss, then it's a lesson and you keep moving forward. You get into the typical way. You've wholesaled. By wholesaling, you know how to analyze a deal and see where the spread is and the margin, “What's the rehab going to cost this stuff?”As we were talking in the pre-show, you're buying single-family residences, condos or studios. The SFR, the single-family concept but you run them not like your normal rental. If you get $300 cashflow positive a month, you're doing well. You're bringing the apartment cashflow syndication model and that's what the short-term rentals do. When you acquire, how are you financing? Are you using a bank or private money? What mechanisms and cash are you using to acquire your property?When acquiring, we have a few strategies. I'm going to talk about purchase strategy and non-purchase. We use a method called rental arbitrage keys. This method breaks down like this. You go to a landlord, rent the property and ask them to allow you to sublease it on short-term rental platforms for 3, 4, 5, 6 to 30 days.That's one method and it doesn't require you buying the property. Utilizing this big real estate. I'm talking about 3,000, 4,000, 5,000 square foot homes without having a buyer. If they bring in anywhere between 5, 7, 8, 10, we've got several houses doing $15,000 up a month. I'm talking about that method. What we've purchased, which we also do, I would say 60% of our portfolio is rental arbitrage, 20% is purchased direct and about 20% is purchased joint ventures.[caption id="attachment_3170" align="aligncenter" width="600"] Short-Term Rentals: Short-term rentals allow you to do a lot of deals and impact real estate without having to invest a huge amount of money.[/caption] We've got a few. We purchased via subject-to, partnerships, joint ventures and our corporate program. What we do for subject-to is we're taking over the payments, taxes, HOA fees and commitment with these wholesalers or landlords or sellers. We're taking the deed over to our property, and we're staging. For example, we have a property in Hawthorne, Texas, which launched in December of 2019 and it consistently brings in an average of $7,500. We just have a $50,000 reservation for 62 nights. Before what we did a little bit under $7,500 but it averages $7,500.Our mortgage is 60, 48 and that's PITI all in. We do our cleaning and everything. We're all in for about $2,500 max utilities, $400 or $500...

Transcribe →

PLP-135 The Fifth cure to a Lean Account Balance

Aug 2, 202100:12:59Tap to summarize

Hello Private Lender Nation!!!!If you’re looking for practical tips and advice on how to put the power of the banking system into your investment accounts, then you are in the right place.But do you want to learn from my mistakes so you can both avoid and profit from them? Well then pull up a chair and pour yourself a drink, my friend. Because this podcast is just for you, as I am dedicated to giving people just like you and me the knowledge and confidence for successful and profitable Private Lending.In today’s episode, we will continue with our monthly lesson from the book by George Clason's the Richest Man in Babylon. Today’s lesson is the 5th cure for a small account balance, which is simply: Make your house a profitable investment, or in other words, own your own home. but before we get to the heart of the matter, first I need to do a little housekeeping.1 - Have you joined the Private Lender Podcast Facebook group? Well why not? Head over to the show notes for the link or simply search Facebook groups for the Private Lender Podcast.Private Lender Podcast Facebook Group2 – And most important of all, the Private Lender Academy still needs some work before I introduce her to the world and therefore I’m departing from the original plan in hopes of getting the course to life. However, on August 17th at 7:30pm CST, I am holding a webinar/Facebook Live where I will begin to teach the principles of the academy. The purpose of the webinar is to get 10 committed people to opt-in to group coaching where I teach you everything I know about originating private loans.As a result of participating in the group coaching, you will help me refine the PLA and receive a free copy of the course once it is complete. I am looking for 10 students to form this focus group that will help refine the course over a 4-week period beginning in late August.So head over the www.PrivateLenderAcademy.com and click on Apply NowApply – Private Lender AcademyOK, the housekeeping is finished and now it’s time to get down to the brass tacks of today’s episode: the 5th cure for a lean account. And like so many lessons in life that we should heed, the principle is quite simple, but sometimes we humans seem to have trouble with the execution.Let’s get down to the brass tacks and listen to what Arkad tells his students:Make your house a profitable investment. A. K. A. - Own your Home"If a man sets aside none parts of his earnings upon which to live and enjoy life, and if any part of his nine parts can be turned into a profitable investment without detriment to his well-being, then so much fast will his treasures grow." So spoke Arkad to his class at their fifth lesson. "All too many of our men of Babylon do raise their families in unseemly quarters. They do pay to exacting landlords and liberal rents for rooms where their wives have not a spot to raise the blooms that gladden a woman's heart and their children have no place to play their games except in unclean alleys."No man's family can fully enjoy life unless they do have a plot of ground wherein children can play in the clean earth and where the wife may raise not only blossoms but good rich herbs to feed her family. "To a man's heart, it brings gladness to eat the figs from his own trees and the grapes of his own vines. To own your own home and to have it a place he is proud to care for, puts confidence in his heart and greater effort behind all his endeavors. Therefore, I recommend that every man own the roof that shelters him and his family. "Nor is it beyond the ability of any well-intentioned man to own his own home. Has not our great king so widely extended the walls of Babylon that within them much land is now unused and may be purchased at sums most reasonable? "Also, I say to you, my students, that the money lenders gladly consider the desires of men who seek homes and land for their families. Readily may one borrower to pay the brickmaker and the builder for such commendable purposes, if one can show a reasonable portion of the necessary sum which you yourself have provided for the purpose. "Then when the house is built, you can pay the moneylender with the same regularity as you did the landlord. Because each payment will reduce the amount you owe to the moneylender, a few years will satisfy his loan. "Then will your heart be glad because you will own in your own right a valuable piece of property and the only cost will be the king's taxes. "Also, will your wife go more often to the river to wash your robes, that each time she returns she may bring a goatskin of water to pour upon the growing things. "Thus come many blessings to the man who owns his own house. And greatly will it reduce his cost of living, making available more of his earnings for pleasures and the gratification of his desires. This, then, is the fifth cure for a lean purse. Here’s the deal, I don’t charge money for this show, but there is a cost and I would be extremely grateful if you would help drive awareness to the show, to get the word out by leaving me an honest rating and review over at iTunes, Google Podcast or whatever platform you are using to hear my voice.It doesn’t take that long and it’s a small price for the value I try to provide.That’s gonna do it for Episode 135 and just a few final thoughts:1 – Join the Private Lender Podcast Facebook Group2 - Head over the www.PrivateLenderAcademy.com and click on Apply NowApply – Private Lender Academyif you would like to be part of the group coaching focus group. As I sign off I’d like to say in addition to self-awareness and mindfulness, I wish you safe and prosperous Private Lending.I’ll catch you on the next episode.-k 

Transcribe →

PLP-134 Mindful Money: How To Make Better Money Decisions With Jonathan DeYoe

Jul 27, 202101:02:16Tap to summarize

How does the state of our mind affect the way we make money decisions? You came to the right place to find out. Keith Baker’s guest today is Jonathan DeYoe, founder and CEO of Mindful Money. Jonathan explains to Keith Baker how mindfulness creates a space between the external stimulus and your response. It’s that moment of calm you need to make the right decisions based on facts instead of emotions. When you adapt mindfulness in your finances, you start making better decisions. How can you practice mindfulness? Tune in to find out!---Mindful Money: How To Make Better Money Decisions With Jonathan DeYoeInvesting In Your HappinessI'd like to thank you for sharing your time with me. If you're looking for practical tips and advice on how to put the power of the banking system into your investment accounts, then you are in the right place. If you want to learn from my mistakes so that you can both avoid and profit from them, then pull up a chair and pour yourself a drink because this show is just for you. I'm dedicated to giving people like you and me the knowledge and confidence for successful and profitable private lending.[caption id="attachment_3155" align="alignleft" width="194"] Mindful Money: Simple Practices for Reaching Your Financial Goals and Increasing Your Happiness Dividend[/caption]If you're looking to join a community of private lenders then head over to the Private Lender Podcast Facebook group to connect with other private lenders and to share experiences, stories and opinions. While you're at it, head on over to the PrivateLenderAcademy.com to learn more about the forthcoming course on private lending and click on Apply Now to register for pre-launch discounts and other goodies. I was a little skeptical when I first learned about our guest. I wasn't sure he'd be a good fit for the show at first because I didn't spend a whole lot of time digging too deep, but after speaking with him for a minute, I knew he had to be on the show so we booked it. I'm happy to share Jonathan DeYoe with you and hopefully introduce you to him.As I've shared in previous episodes, I am on a bit of a mindfulness journey. I like to sign off wishing you mindfulness from every episode. Given that life has happened to me in the last few years, divorce, etc., I'm happy that someone has applied the mindfulness approach to money. As I look back, I wish I would have applied mindfulness years ago especially to money because at least in my case, with the relationship with my ex, money wasn't a huge issue but it was large enough. If we both had been mindful about it, maybe things would have been different, at least on the money front. I’m not saying I'd still be married but the awareness and the understanding would have been a lot better. Such an approach can eliminate a lot of the money pains and ill feelings that couples have. Let's go ahead and get down to the brass tacks of this episode and get straight to the interview with Jonathan DeYoe.---Lender nation, I am throwing a curveball to you because we're not going to talk about private lending and all but we will be talking about money. Our guest has an interesting approach to money, one that I certainly want to use this platform to get out into the world and more people to learn and that is mindfulness. Early on in my practice, unfortunately, mindfulness was not court-ordered for me so I'm doing this on my own little by little. Jonathan DeYoe, welcome to the show.I'm excited to be here, Keith.Jonathan has nothing but good reviews on Yelp and whatnot. He is in the Berkeley, San Francisco Bay Area if you want to get in touch with him. This whole mindfulness thing, I don't have the words but you do. This is what you do on a daily. Let's start with your practice, your financial advising and how you bring that mindfulness element to the complete lack of financial literacy that is taught or the vacuum that is teaching financial literacy in the United States. Jonathan, the floor is yours.[bctt tweet="Mindfulness is when you create a space between the stimulus that the world gives and your response. " via="no"]Maybe a little background makes a lot of sense. In a brief nutshell, I'm a seminarian. I came to California to study at the Lutheran Seminary, turned Buddhist academic, turned financial advisor. The concept of mindful money comes after a long journey of self-discovery, comparative religion, philosophy, psychology and trying to figure out how people work and the decisions we make. I started in 1996 and wrote the book in 2007. After 10 or 11 years in the business, I had this semi-epiphany that it's the decisions we make that create our problems or our successes. The question is how are you making your decisions?If you have a space between “Oh my god,” or, “Yay,” and a decision where you can think, you can make a better decision. That's where mindfulness comes in. It’s creating that space between the stimulus that the world gives us and our response. Mindfulness has been studied and practiced for thousands of years, specifically to resolve this issue of our over-reactivity to the stuff that's coming at us from outside of us. It turns out in finance, there's a lot of that. Putting those two things together became exciting and became something that I was like, “I figured out. This is my mission. This is what I want to share with the world.”Before we got on, I sat on my stairs for a few minutes. I didn't meditate but I started noticing my breath. I’m trying to bring it in and give some of that space. When ADD was going around and all the rage in the late ‘70s and early ‘80s, my father was convinced I didn't need any medicine. I just needed a good ass whooping. That's all. I missed out on that boat so to speak. Had I gone down that route, my life would have been a little different in terms of disidentifying the news media, Instagram hits and all the stimuli that are coming in and molding decisions.I sat there, trying to find that space and not try to attach to any thought, which is hard. This interview was a guided meditation for me. You talked about that space and where this is all coming from. You are a seminarian which is awesome. It's funny because Friedrich Nietzsche was also studying to be a Lutheran minister before he went to the University of Bonn. You had a personal journey then you got to this point. You’ve been doing it for many years now. You have got to be the one lone voice in the darkness talking about mindful money. How do you convince people? How did you lead that horse to water?[caption id="attachment_3156" align="aligncenter" width="600"] Mindful Money: Don't take from the ‘serious money’ to refill the 2% money.[/caption] I almost didn't want to name the firm, Mindful Money. In 2001 when I started my own firm, I named it DeYoe Wealth Management until 2019. A couple of years ago, we changed the name. My book was published in 2017 and that's when I put it all together, mindfulness with money, why that's important and how to use those two things together. I was the only person talking about it and I thought that if I brought it out there, my peer group would say, “That's soft. That's silly. How can you say that? You're full of crap,” that kind of stuff and I would feel small.I discovered how much I'm afraid of not being believed in. I need people to trust me and to believe in me. If I don't have that, I don't value myself as much. That's a deeply personal thing. I'm coming to realize some things about myself after years and years of working too hard, trying too hard and all kinds of stuff. The fear of not being accepted in my industry where this philosophy or this belief system drove me to turn away from it for years and years. Finally, I said to my team, “This is what I want to do.” I girded myself for the barbs and they're like, “That's what you believe. That makes a ton of sense. Let's do this thing.”Now we're all together and doing this thing in the world. It's cool. We're not entirely alone. There are 3 or 4 books that are entitled Mindful Money. Years ago, somebody won a Nobel Prize for behavioral finance. Daniel Kahneman has a new book and I recommend this book, Noise. He used to talk about how we have all these biases and our biases are problematic. In my opinion, the benefit of mindfulness is it enables you to get over some of the biases. If you're aware of the biases and you're aware of your experience of the current environment, you can go, “I'm having an emotional response I don't need to have.”His latest book is all about noise. In our social media world, there is so much noise...

Transcribe →

PLP-133 The Fourth Law of Wealth

Jul 5, 202100:08:27Tap to summarize

The Fourth Law of GoldHello, Lender nation and welcome to Episode 133 of the Private Lender Podcast! I’m your host, Keith Baker and I’d like to thank you for sharing your time with me today. I hope everyone is enjoying their 4th of July observance the day this episode goes live, and to the other 194 countries not named the united states of America, then I hope you have a good Monday!Love the show? Subscribe, rate, review, and share! Here’s How »If you’re looking for practical tips and advice on Private Lending and how to keep your money safe, then you are in the right place. But if you want to learn from my mistakes so you can both avoid and profit from them, well then pull up a chair and pour yourself a drink my friend, because this podcast is just for you!Today we continue with the lessons taken from the book The Richest Man in Babylon: the fourth law of wealth. This is but one old-world principle that has remained relevant and true through the centuries, no matter the currency, and no matter the political climate.But before we get to the brass tacks, I would like to perform the housekeeping:1 - Have you joined the Private Lender Podcast Facebook group? Well, why not? Head over to the show notes for the link or simply search Facebook groups for the Private Lender Podcast. Private Lender Podcast Facebook Group2 – And most important of all, the Private Lender Academy is launching in just a few weeks and if you would like to get on the list for pre-launch bonuses like discount codes, then head over to PrivateLenderAcademy.com and click on “Apply Now”: provide some background on your investing experience and goalsApply – Private Lender AcademyThe Private Lender Academy is slated to launch after July 4th, 2021.OK, the housekeeping is finished and now it’s time to get down to the brass tacks of today’s episode: the 4th Law of Wealth (Gold).In the book, the Richest Man in Babylon, there are 7 cures for a lean purse, and 5 laws of Gold (wealth) and today we will discuss the 4th law of wealth, which is simply:“Gold slips away from the man who invests it in businesses or purposes with which he is not familiar, or which are not approved by those skilled in its keep.”“To the man who has gold, yet is not skilled in its handling, many uses for it appear most profitable. Too often these are fraught with the danger of loss, and if properly analyzed by wise men, show small possibility of profit. Therefore, the inexperienced owner of gold who trusts to his own judgement and invest it in businesses or purposes with which he is not familiar, too often find his judgement imperfect, and pays with his treasure for his inexperience. Wise, indeed, is he who invests his treasures under the advise of men skilled in the ways of gold.”The lesson here is simple: seek the advice from those who have a successful track record of investing theirs, and other people’s money, to help ensure your success. Gather opinions and seek counsel from proven investment strategies.Do not get caught up in the swell of a bubble market when “everyone is doing it” or “it’s so easy, why aren’t you doing it?” Do not bet your treasure on the shiny object.But rather seek friendship, fellowship, counsel, and advice from those skilled in successfully handling and investing money. Let them help guide you beyond the wolves and the hype of speculation.Remember, you’re net worth is equal to your network. No go out and find such people to help stay safe and invest with logic rather than emotion.Ok, the sermon is over. Thank you for listening.Here’s the deal, I don’t charge money for this show, but there is a cost and I would be extremely grateful if you would help drive awareness to the show, to get the word out by leaving me an honest rating and review over at Google Podcast, Spotify or whatever platform you are using to hear my voice.But it would mean the world to me if you could leave an honest rating and review over at iTunes, because it's apple and they're still the benchmark.It doesn’t take that long and it’s a small price for the value I try to provide – for free.And if you are looking to create your stable of private lenders, or know people who have money but don’t realize the power of private lending, please, please send them a text, an email, a DM, and introduce them to me and the Private Lender Podcast so they can develop the skills and confidence to become a successful Private Lender.That’s gonna do it for Episode 133 and I’d like to provide you with a few final thoughts: 1 – Join the Private Lender Podcast Facebook Group 2 - Remember, the http://privatelenderacademy.com/ will launch in July 2021. Head over to http://privatelenderacademy.com for more information. And to be eligible for discounts and other pre-launch goodies like group coaching calls, then click on “Apply Now”So, as I sign off I’d like to say in addition to self-awareness and mindfulness, I wish you safe and prosperous Private Lending.I’ll catch you on the next episode. -k Important Links:Private Lender Podcast Group – FacebookPrivateLenderAcademy.comMarch 2021 Due Diligence for Private Lenders – Previous episodeGoogle Podcasts – The Private Lender PodcastSpotify – The Private Lender PodcastiHeartRadio – The Private Lender PodcastSoundCloud – The Private Lender PodcastiTunes – The Private Lender PodcastLove the show? Subscribe, rate, review, and share!Here’s How » Join the Private Lender Podcast community today:PrivateLenderPodcast.comPrivate Lender Podcast FacebookKeith Baker on LinkedInPrivate Lender Podcast TwitterPrivate Lender Podcast YouTube 

Transcribe →

PLP-132 Guiding The Lender: Sarah Montes On RMLOs

Jun 28, 202100:39:09Tap to summarize

 Once you become a lender and you're looking for people to purchase your property, how do you find the buyer? How do you make it look affordable? How do you know which rules and regulations to follow? An RMLO or a residential mortgage loan originator will do just that. Learn from Sarah Montes who is the President of Texas Pride Lending on why you need an RMLO. Joining Keith Baker, Sarah explains how an RMLO guides the lender on the payment process. Listen in today on how Texas Pride helps lenders in this regard.---Guiding The Lender: Sarah Montes On RMLOsI would like to thank you for sharing your time with me as well as your consideration. If you're seeking practical tips and advice on how to increase wealth without cheap banks or unpredictable Wall Street through private mortgage lending, then you are in the right place. If you want to learn from my mistakes so that you can both avoid and profit from them, then pull up a chair and pour yourself a drink because this show is for you. This episode has been more than four years in the making. It has got a bit of a story behind it.Before we get to that, I want to encourage you to join the Private Lender Podcast Group. It is a public group, but I personally vet the applicants to ensure that it truly remains a group of just us private lenders. After years of empty threats and promises, the Private Lender Academy is finally launching in July 2021. You have the opportunity to get in when the doors open as a founding member, which means you won't be charged full price and you'll receive founder pricing on additional courses in the future. Go to PrivateLenderAcademy.com for more info. Click on that Apply Now, fill out some information, tell us a little bit about yourself, and you'll be on the list for the founding member.It is time to get down to the brass tacks of this episode. It's when my best borrower switched his business model from buying and converting into owner-financing notes using private lender money as the underlying lien. He streamlined his business and went more into a wholesaling model, which means he didn't need a private lender. He also went into a small apartment complex, which was way above what I had to offer. He did me a favor and introduced me to his friend, Landon Rothstein, who has been on the show. I initially was Landon's private lender before coming as his partner in Asset REI in 2017.At that time, Landon was a student of Mitch Stephen. He was looking to use my money as a first position and then wrap it with seller financing with an additional lien. He explained that we would use an originator to keep everything legal and above board. Since this came from Landon, I was skeptical and decided to investigate things myself. Ultimately, I came to the conclusion that Landon wasn't BS-ing me. He was indeed accurate, right, and correct. Before we put an owner-occupant inside a house with my money providing the lien, we used Texas Pride Lending, which took the end buyers' application, financial information, records, and everything that a bank or loan officer would take. They confirmed that the borrower could reasonably be expected to make the mortgage payments based on their finances, how the note was structured and the length of the note. It would be reasonable for the borrower to be expected to make these under the federal guidelines, Freddie Mac and Fannie Mae.It was during this process when I met our guest, Sarah Montes. She took care of everything and made the process extremely easy for me as a lender. If I had a question in the morning or afternoon, it was answered with the package, documents, or whatever was requested. The lender is quick and customer service-oriented for me. After I started this show, I begged her to come on the show and talk about Dodd-Frank. Why do we need RMLOs? Why do we need a loan to be originated? Our schedules never aligned. I hadn't reached out to her for over a year. I sent an email, "How are you doing? Here's a link to my recording schedule. I still want to get you on. I would love to interview you."[caption id="attachment_3145" align="aligncenter" width="600"] RMLO Lending: The main thing the RMLO does is to make sure that the buyer can afford the payment of the lender.[/caption] She booked it and replied almost immediately. That was the universe or God's way of telling me, "The time wasn't right before, but the time is now." Speaking of that, the time is now for you to pay attention. If you've ever thought about having your first mortgage wrapped or you're an investor looking to utilize seller financing as an exit strategy, which I suggest you do, then you need to read and take notes because Sarah is about to educate all of us. She takes a complicated federal law and breaks it down to where somebody like me can understand it easily. Without any further yip-yap from me, let's go ahead and get to the interview with Sarah Montes of Texas Pride Lending.---I have a very special guest for you. This is the first RMLO on the show and only so far and for a good reason, you're about to find out why. Please help me welcome Sarah Montes to the show. Sarah, thank you so much for coming on.Thanks for having me.A little background with everyone. I've gone on ad nauseam about my foray into lending and into owner finance with my partner, Landon. That's how I was introduced to Sarah. Landon was using her Texas Pride Lending for RMLO. What is RMLO?It stands for Real Estate Mortgage Loan Originator. That's what we're doing. We're originating the loan on your behalf, the private lender/owner finance. We've been doing originations for Landon for years. Thanks, Landon, for introducing us.I always tell people never to loan to an owner-occupant because it's no longer a business loan at that point. Now, you're in the consumer world. There are a lot of protections that are in place for the consumer and some obstacles to do business with them that we have to comply with. If you are going to loan to an owner-occupant, or in this case, my loan is going to be wrapped to the owner finance model like Mitch Stephen and Landon use, then it has to go through the RMLO process. People ask me, "Why do I want to go through the RMLO process? It's an extra step and cost." I like to twist a quote from Chuck D and tell them that, “The reasons are several and all of them are federal." I'm going to let you go into that part of it, why we need the RMLO, and all that fun stuff. The floor is yours.[bctt tweet="Your debt-to-income needs to be at least 50% to buy a house." username=""]If you're going to be loaning to the consumer, to the end buyer, if you're an investor, you're going to do your fix-and-flip or whatever you're going to do to a part of that property. Once it's finished, you're going to be a lender. You're going to lend money to a person to purchase this property. If you're acting as a lender, you have to follow the rules as a typical lender like the banks would because now, you're acting as a bank. That's where the rules and regulations come in. It's to make sure that you're following all the guidelines and not taking advantage of the buyer.They put some guidelines in place in 2014. The guidelines are good because they are pertaining to a small creditor. We have guidelines for the big banks and then for the little people like us that are going to do a few a year. We're going to be lending under $1 million. What we need to do is make sure the main thing on Dodd-Frank rules and regulations is to make sure that the buyer can afford that payment. That's where we come in. The RMLO will gather all of the proof of income. The lender, seller, and RMLO, we're not putting that buyer in a situation where they're not going to make that payment. It's going to be common sense underwriting. Does this person, after he pays his car payment and credit card bills, is he still going to have enough money after paying his house payment to live?It's all the whole DTI, Debt-To-Income ratio, but I want to say it’s common sense underwriting because we're not looking at their credit. We're not doing any of that like a bank. The main thing is the ability to repay that loan. That's one. The reason why also that you use an RMLO is because if you ever have to foreclose on that person, if they default and you go to court, you want to be able to say, "I checked the financials. I had a third-party RMLO check their financials to make sure that they could afford this payment." If you don't do that, they can come back to court and say, "I couldn't afford that payment and they still gave me that loan."If that happens and the judge on their side, then you would have to pa...

Transcribe →

PLP-131 Three Strategies for Private Lending with Less than $50,000

Jun 21, 202100:09:50Tap to summarize

Hello Private Lender nation and welcome to episode 131 of the Private Lender Podcast, I’m your host, Keith Baker and I’d like to thank you for sharing your time and your ears with me today. Love the show? Subscribe, rate, review, and share!Here’s How »If you’re seeking practical tips and advice on how to increase wealth without banks or wallstreet through private mortgage lending, then you are in the right place. But if you want to learn from my mistakes so you can both avoid and profit from them - well then pull up a chair and pour yourself a drink my friend, because this podcast is just for you!In today’s episode, we’ll go over 3 ways you can start lending with less than $50,000. But before we get to the heart of the matter, first I need to do a little housekeeping. 1 - Have you joined the Private Lender Podcast Facebook group? Well why not? Head over to the show notes for the link or simply search Facebook groups for the Private Lender Podcast.Private Lender Podcast Facebook Group 2 – And most important of all, the Private Lender Academy is launching in just a few weeks and if you would like to get on the list for pre-launch bonuses like discount codes, then head over to PrivateLenderAcademy.com and click on “Apply Now”: provide some background on your investing experience and goalsApply – Private Lender AcademyThe Private Lender Academy is slated to launch in mid-July, which is still after July 4th weekend, so I’m not a complete liar. Look, it’s a lot more than I thought it would be, but I will bring it across the finish line: come hell or high water.OK, the housekeeping is finished and now it’s time to get down to the brass tacks of today’s episode: 3 ways to lend with less than $30,000. 1 – REIT - Real Estate Investment Trust: A company that owns, operates, or finances income-producing propertiesPay a minimum of 90% of taxable income in the form of shareholder dividends each year·        Modeled after mutual funds – most publicly traded on public exchanges – provides liquidity·        Do not provide much capital appreciation·        Usually target a specific asset class/sectorMulti-FamilyCommercial Mobile Phone TowersHotelsData CentersRetailTimberlandWarehouseMost are equity REITSSome are Mortgage REITS which lend to operators or purchase mortgage-backed securities 2 – Real Estate FundThink - hard money loans on Single Family Residences: o  Fix and Flipo  Buy and Holdo  Commercial/Multi-Family·        You provide capital at an agreed interest rate·        ~ 1 year minimum·        Quarterly interest payments·        ~ 90 notice to receive return of principle Episode 43 with Tom Berry from Investor Loan Source. Great way to see due diligence (loan packages) while someone else does all the work 3 – Lend to Owner Finance investors           Provide the purchase capital in the first position            Your lien is “wrapped” by a second mortgage from your borrower to the end- buyer           3 – 5 years           8% Mitch Stephen perfected this model of investing. So, let’s recap these first 3 strategies for lending with less than $50,000: 1 – REITs2 – Real Estate Funds3 – Owner Finance OK. Here’s the deal, I don’t charge money for this show, but there is a cost and I would be extremely grateful if you would help drive awareness to the show, to get the word out by leaving me an honest rating and review over at iTunes, Google Podcast or whatever platform you are using to hear my voice. It doesn’t take that long and it’s a small price for the value I try to provide.  That’s gonna do it for Episode 131 1 – Join the Private Lender Podcast Facebook Group2 - Remember, the http://privatelenderacademy.com/ will launch in July 2021. Head over to http://privatelenderacademy.com/ for more information. And to be eligible for discounts and other pre-launch goodies like group coaching calls, then click on “Apply Now”So, as I sign off I’d like to say in additional to self-awareness and mindfulness, I wish you safe and prosperous Private Lending.I’ll catch you on the next episode.-kLove the show? Subscribe, rate, review, and share!Here’s How »Join the Private Lender Podcast community today:PrivateLenderPodcast.comPrivate Lender Podcast FacebookKeith Baker on LinkedInPrivate Lender Podcast TwitterPrivate Lender Podcast YouTube

Transcribe →

PLP-130 The Fourth Cure For A Small Account Balance

Jun 14, 202100:09:10Tap to summarize

The Fourth Cure for A Lean Account BalanceHello Private Lender nation and welcome to episode 130 of the Private Lender Podcast, I’m your host, Keith Baker and I’d like to thank you for sharing your time with me today. If you’re looking for practical tips and advice on how to keep your money safe as a Private Lender, then you are in the right place. But if you want to learn from my mistakes so you can avoid them, well then pull up a chair and pour yourself a drink my friend, because this podcast is just for you!In today’s episode, we will continue with our monthly lesson from the book the Richest Man in Babylon. Today’s lesson is the 4th cure for a lean account, but before we get to the heart of the matter, first I need to do a little housekeeping. 1 - Have you joined the Private Lender Podcast Facebook group? Well why not? Head over to the show notes for the link or simply search Facebook groups for the Private Lender Podcast.Private Lender Podcast Facebook Group 2 – And most important of all, the Private Lender Academy is launching in just a few weeks and if you would like to get on the list for pre-launch bonuses like discount codes, then head over to PrivateLenderAcademy.com and click on “Apply Now”: provide some background on your investing experience and goalsApply – Private Lender AcademyThe Private Lender Academy is slated to launch after July 4th weekend!OK, the housekeeping is finished and now it’s time to get down to the brass tacks of today’s episode: the 4th cure for a lean account.And like so many lessons in life that we should heed, the principle is quite simple, but we humans seem to have trouble with the execution. The 4th cure for a lean purse points precisely to the first Core Value of a Private Lender: ROI1 - Return of Investment.Let’s get to it, and listen to what Arkad tells his students:“Misfortune loves a shining mark. Gold in a man’s purse must be guarded with firmness, else it be lost. Thus it is wise that we must first secure small amounts and learn to protect them before the Gods entrust us with larger ones.Every owner of gold is tempted by opportunities whereby it would seem that he could make large sums by its investment in most plausible projects. Often friends and relatives are eagerly entering such investment and urge him to follow.The first sound principle of investment is security for your principle (Return OF Investment). Is it wise to be intrigued by larger earnings when your principle could be lost? I say not. The penalty of risk is probable loss. Study carefully, before parting your money, each assurance that it may be safely reclaimed. Do not be misled by your own romantic desires to make wealth rapidly.Before you loan it to any man assure yourself of his ability to repay and his reputation for doing so, that you may not unwittingly be making him a present of your hard-earned money.Before you entrust it as an investment in any field acquaint yourself with the dangers which may threaten it.My own first investment was a tragedy to me at the time. The guarded savings of one year did I entrust to a brickmaster who was traveling over the far seas and in the city of Tyre agreed to buy for me the rare jewels of the Phoenicians. These we would sell upon his return and divide the profits. The Phoenicians were scoundrels and sold him bits of glass. My money was lost. Today, my training would show me at once the mistake I made of entrusting a brickmaster to buy jewels.Therefore, I advise you from the wisdom of my experiences: do to be too confident in your own wisdom by entrusting your wealth to the possible pitfalls of investments. It is by far better to consult the wisdom of those experienced in handling money for profit. Such advice is freely given for the asking and may readily possess a value equal in gold to the amount you consider investing. In truth, such is its actual value if it saves you from loss.This, then, is the fourth cure for a lean purse, and of great importance if it prevents your purse from being emptied once it has become filled."Guard your wealth against loss by investing only where your principal is safe, where it may be reclaimed if desirable and where you will not fail to collect a fair rental. Consult with wise men. Secure the advice of those experienced in the profitable handling of money. Let their wisdom protect your wealth from unsafe investments.”Here’s the deal, I don’t charge money for this show, but there is a cost and I would be extremely grateful if you would help drive awareness to the show, to get the word out by leaving me an honest rating and review over at iTunes, Google Podcast or whatever platform you are using to hear my voice. It doesn’t take that long and it’s a small price for the value I try to provide.  That’s gonna do it for Episode 128 and just a few final thoughts:1 – Join the Private Lender Podcast Facebook Group2 - Remember, the Private Lender Academy http://privatelenderacademy.com/ will launch in July 2021. Head over to http://privatelenderacademy.com/ for more information. And to be eligible for discounts and other pre-launch goodies like group coaching calls, then click on “Apply Now”So, as I sign off I’d like to say that in addition to self-awareness and mindfulness - I wish you safe and prosperous Private Lending.I’ll catch you on the next episode.-kImportant Links:Private Lender Podcast Group – FacebookPrivateLenderAcademy.comPrivateLenderAcademy.com/applyGoogle Podcasts – The Private Lender PodcastSpotify – The Private Lender PodcastiHeartRadio – The Private Lender PodcastiTunes – The Private Lender Podcast

Transcribe →

All episodes

PLP – 139 Know The History Of Your Property With Title Insurance With Rachel Luna

PLP – 138 Utilizing Real Estate Books For Lead Generation And Beating Competition With Max Keller

PLP-137 Is This The New Normal?

PLP-136 George Salas On Getting Long-Lasting Revenue Through Short-Term Rentals

PLP-135 The Fifth cure to a Lean Account Balance

PLP-134 Mindful Money: How To Make Better Money Decisions With Jonathan DeYoe

PLP-133 The Fourth Law of Wealth

PLP-132 Guiding The Lender: Sarah Montes On RMLOs

PLP-131 Three Strategies for Private Lending with Less than $50,000

PLP-130 The Fourth Cure For A Small Account Balance