(Page 1 of 6) FFA = Friends, Family members, or Associate(s) Your FFA Answers the Phone Live: FFA: Hi, (Name of FFA), this is (Student Name). Did I catch you at a good time? I wanted to run something by you. (Remember me telling you that) I just started a real estate investing business, which involves buying, selling, and renting out houses? I actually partnered up with a local expert, he s bought about 100 houses all around the Columbus area, so he s teaching me the business inside and out. One of the things we do is help people earn higher rates on their money, than what they can get with bank CDs. Are you familiar with private lending? Yes / No (doesn t matter what they say) Well it's a way for private individuals to cut out the middleman, and make money just like the banks do. They can loan money to real estate investors, like us, who buy foreclosures at deep discounts. So basically, we borrow money from private individuals, like you, and sometimes we can pay them AT LEAST 2-3 times MORE than what they can get at their local banks. Everything is clean, easy, and secured by real estate.
(Page 2 of 6) Million Dollar Questions You will use one of the following questions when talking to people you know, based on: A. Your personality B. Your comfort level with this activity C. Your comfort level with the person you re talking to Version # 1 Indirect Approach Do you know anybody who you think might have a little money to invest, either in a savings account, CD, IRA, or a 401-K from an old job who might be interested in making AT LEAST 2-3 times what they re getting now at their bank? Version # 2 Direct Approach WITH Follow-Up Do you think you might be interested in making AT LEAST 2-3 times what you re getting now at your bank?
(Page 3 of 6) FAQ s Q: I need more information A: The best thing to do would probably be to set up a time where me and my partner can sit down and talk with you, and he can answer any questions that I can t. Is that fair? When would be a good time for you to meet in the next couple of days? Q: What s the MINIMUM investment / loan amount? A: The minimum amount is $10,000. Typical amounts are $25,000 - $60,000. Sometimes people loan over $100,000 at a time. It just all depends on how much people have available, and what they feel comfortable starting out with. Q: What s the TYPICAL investment / loan amount? A: Typical amounts are $25,000 - $60,000. Sometimes people loan over $100,000 at a time. The minimum amount is $10,000. It just all depends on how much people have available, and what they feel comfortable starting out with.
(Page 4 of 6) Q: What s the interest rate or return on investment? A: Well, I mentioned before about paying 2-3 times what people are getting at their banks Which local bank do you bank with? How much is your bank offering you now on 5-Year CD s? 5-Year CD Rates for Local Banks as of 2/19/2015 Bank Name 5-Year CD Rate Source Union Savings Bank 1.50% BankRate.com Key Bank* 0.70% Key.com PNC 0.60% BankRate.com Fifth Third 0.60% BankRate.com Huntington 0.55% Huntington.com Chase 0.25% BankRate.com Well, I can tell you as of (Date Shown Above), (Their Bank) is only paying (Their Rate) on 5-Year CD s. We are paying 4% or 6%. Hold on a second, let me get my calculator NOTE: X = On your calculator, divide 4% by the rate of their bank, then write that number down. NOTE: Y = On your calculator, divide 6% by the rate of their bank, then write that number down So basically, it looks like we re paying about (X) times, or (Y) times, what (Their Bank) is paying. How does that sound?
(Page 5 of 6) Q: How long is the loan for or how long would my money be tied up? A: Just like a 5-Year CD, we do the loans for 5-Years. Just like a 5-Year CD, or an IRA, or a Savings Account, this should be money that you don t need to live on. The time frame is short enough, so that you re not stuck in anything longer than you need to be, and long enough to allow us to rent the property out if it doesn t sell fast enough. If we sell it sooner, then we ll obviously pay you back immediately when we sell. Either way, whether we sell it or rent it, we have 2 ways to make sure you get paid. Does that make sense? Q: What if I need my money sooner than 5 years? A: This should be money that you don t need to live on, and that you don t expect to need within 5 years. So think of it as a 5-Year investment, that you could get back within 6-12 months, if we sell the house before then. So if you ever got a mortgage to buy a home to live in, the bank probably loaned you money for 30 years or something like that. They couldn t call you up and after 6 months and ask for their money back right? No, because you used that money to buy your house. This is a similar situation. The truth is, if you did have an emergency or something come up, you could possibly find someone else that would be interested in getting a higher rate on their money, just like you have been getting, and refer them to us. They may be interested in taking your place. Does that make sense? Also, it is likely that we could find somebody to take your place, but we re not allowed to do promise you that, or we could get in big trouble with the SEC. So it s better if you just think of it as a 5-Year Investment, or a retirement plan that you can t touch, but you may get back sooner than expected.
(Page 6 of 6) Q: Who s your business partner? A: His name is Todd Smith. He s the Founder and President of the Columbus Property Investors Association, which is a monthly educational and networking group for Real Estate Investors. Like I said, he s bought about 100 houses, and he also teaches other people how to do it. You can find out more about him at icoachwealth.com. His company is Heritage Home Buyers LLC, and you can see online that they have an A+ record with the Better Business Bureau. He s also got a book on Amazon, called Millionaires and Billionaires in the Bible. Q: Have you done this before? A: No, I m just getting started, but like I said, my partner s bought about 100 houses and he has NEVER used any of his own money, and he has NEVER used a bank to buy investment property. He s bought a lot of foreclosures by borrowing money from people like you, because a lot of people are unsatisfied with the rates that they re getting at their bank. Fortunately, he s teaching me the business inside and out, so you ll actually be working with both of us Q: (Any Question that you can t answer ) A: That s a good question. Let me check with my partner and get back to you on that.