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Invest with Other People's Money

Invest with Other People's Money

May 21st, 2025

Invest with Other People’s Money

The truth is, no one builds a serious real estate portfolio using only their own money. At some point, if you want to scale, you need to bring in capital from the outside. Other People’s Money, or OPM, is not just a tactic. It is the engine that drives real growth in this business.

This is not about cutting corners or sweet-talking investors. It is about finding real opportunities, understanding the numbers, and giving others a chance to earn alongside you. If you can present a compelling deal and explain it clearly, the money will follow.

 

Why OPM Is a Game-Changer for Real Estate Investors

When you start using OPM the right way, the benefits add up fast. You can pursue multiple deals at once without draining your own liquidity. You can stretch for larger acquisitions that were previously out of reach. And you gain credibility simply by showing other people are willing to bet on you.

There is also the value of partnerships. Working with experienced capital partners can give you access to expertise, better financing terms, and a wider network than you could build alone. On the balance sheet, OPM helps you preserve your own credit and accelerate wealth-building without waiting years between deals.

Yes, there is some risk. But you are sharing that risk in exchange for the ability to move faster, grow bigger, and position yourself for long-term success. The upside speaks for itself.

 

Structuring Real Estate Deals with OPM

There is more than one way to structure a deal using OPM, and no two situations are exactly alike. For smaller projects or early-stage investors, joint ventures and equity partnerships are often the cleanest path. You and one or two partners contribute capital, effort, or expertise, and you split the profits based on contribution and risk.

Larger deals may require a syndication, where you raise passive capital from multiple investors and offer them a preferred return. Once that hurdle is met, profits are split according to your agreed terms. Syndications require legal structure and documentation, but they allow you to go after bigger opportunities without putting everything on your own balance sheet.

Hard money loans are another common form of OPM. You borrow from an individual, offer a fixed rate of return, and secure the investment with a mortgage or deed of trust. These approaches are not mutually exclusive. You can combine them, adapt them, and shape them to suit the deal. Just make sure the math works. Do not give away all the upside just to get it funded.

 

Pitching the Deal and Addressing Objections

A strong deal deserves a strong pitch. Investors need to know what the opportunity is, how the numbers shake out, and what their role will be. Tell them what you are buying, why it makes sense, and where the value is. Be specific about how much capital you need and what it will be used for. Lay out the returns clearly and make sure they understand the risk, the reward, and the timeline.

Use this framework to guide the conversation:

  • The Deal
    Know your deal inside and out. Communicate location, condition, and why it makes sense.
  • The Ask
    Be specific about the amount and exactly what those funds are being used for.
  • The Offer
    Paint a clear picture of their return. Include how and when they earn, and how their capital is protected.
  • The Timeline
    Give them a realistic timeline and explain why it makes sense. Set expectations you can beat.

Objections are part of the conversation. Some are real concerns. Others are just hesitation in disguise. Either way, you need to be prepared. Do not dismiss the question. Acknowledge it, answer with clarity, and keep your tone collaborative. This is not about winning a debate. It is about showing that you are thoughtful, competent, and ready to deliver.

 

The Only Way to Scale

Using Other People’s Money is not a shortcut. It is the foundation. If you want to grow your portfolio, take on better deals, and build lasting wealth, this is the path. Learn how to structure it. Learn how to pitch it. And learn how to follow through.

Plenty of investors have the hustle. The ones who scale are the ones who figure this part out.

The Hard Money Co. 

Using hard money loans allows real estate investors to maximize leverage when purchasing a property and close within just a few days, all while freeing up their own cash for other uses.

Get Ready First

If you start looking for deals without a plan, you’re wasting time. Before anything else, define your strategy and buy box. Are you flipping, holding rentals, or using BRRRR? A fix-and-flip investor needs undervalued properties in strong resale markets, while a BRRRR investor looks for distressed properties in rental-friendly areas. If you don’t know your strategy, you won’t know where to look.

Once you have a strategy, set clear criteria. What locations are you targeting? What’s your price range? Do you want cosmetic rehabs or full guts? Will you buy tenant-occupied properties? The clearer you are, the faster you’ll recognize a real deal. Too many investors chase properties without knowing the numbers. Understand local pricing, ARV, rental potential, and financing options before making offers—otherwise, you’ll waste time on deals you can’t close.

Finding the Deals

Once you have your strategy and buy box locked in, it’s time to start finding deals. The more sources you use, the more opportunities you’ll see. Relying on just one method—like MLS listings—won’t cut it. The best investors cast a wide net, using a mix of property data tools, online networks, and personal connections to uncover off-market deals before the competition.

Where to Find Deals:

  • Data Platforms: PropStream, Privy, MLS—track pre-foreclosures, tax liens, and off-market properties.
  • Social Networks: Facebook groups, investor forums, and meetups where deals get posted first.
  • Personal Network: Build relationships with wholesalers, agents, and brokers so deals come to you.

Property data platforms like PropStream, Privy, PropWire, and MLS sites let you filter large datasets to match your buy box. You can track pre-foreclosures, tax liens, and distressed properties that signal motivated sellers. These tools provide volume, making them an essential part of any investor’s process. But deals aren’t just found through databases—real opportunities often come from social media groups, investor forums, and local meetups. Wholesalers and other investors frequently post deals with set pricing and known repairs, giving you a direct line to properties that never hit the open market.

The ultimate goal is to have deals come to you. When people in your network know you’re a serious buyer, you’ll start seeing off-market opportunities first. Build relationships with agents, brokers, and wholesalers. Be responsive, follow through, and close on deals when you commit. Investors who make the process easy for sellers and deal finders are the ones who get the best opportunities—over and over again.

Locking It Down

Finding a deal is just the beginning. The investors who actually close deals are the ones who move fast and execute with confidence. If you find a property that fits your buy box, chances are someone else is already on it. The moment you see a deal worth pursuing, reach out. Send the message, make the call, and ask the key questions. The faster you engage, the better your chances of getting it under contract before the competition.

How to Execute Quickly:

  • Act Fast: Contact the seller or wholesaler immediately.
  • Walk the Property: Schedule a same-day or next-day visit with your contractor.
  • Secure Financing: Have your funding lined up so you can submit an offer immediately.

Once you’ve made contact, be ready to move. Schedule a same-day or next-day walk-through, preferably with your contractor. Have your financing lined up so you can make an offer immediately. The best deals go to investors who don’t hesitate. If you say, “I’ll take a look next week,” you’re already too late. Sellers and wholesalers want to work with buyers who can make quick decisions and follow through.

Closing the deal is what separates serious investors from tire-kickers. If you lock up a deal, get it to the finish line. Have your lender, title company, and insurance set up so there are no delays. When you consistently close, you build a reputation as someone who gets things done. And in this business, that reputation will bring even more deals your way.

Conclusion

Finding deals in 2025 comes down to having a clear strategy, using the right sources, and acting fast when the right opportunity appears. The investors who win are the ones who move decisively and close with confidence.

Need funding to secure your next deal? Apply with The Hard Money Co. today and get the capital you need to move fast.

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