My Classified Ad For Attracting Private Lenders

I was planning on advertising in the local newspaper classifieds for attracting some private mortgage lenders. What do all of you think about what I have so far?

XX.X% annualized return secured by real property. Local real estate investment company seeking short term private mortgage funding for deals. Use cash or IRA funds. Call (XXX)XXX-XXXX to receive a free information package.

At first glance it appears to be winner (contains a headline, attention grabbing copy and a call to action).

Don’t stop there though…create several ad variations to test headlines, call to action, etc. and then split test against your original ad (to determine which one gets more response; this is called “beating the control”).

Here are some ideas from the cuff (I’m sure I could come up with something better if I gave it some thought):

Want An Investment That
Earns Between XX%-XX%
Well Secured With No Downside Risk
Provides Both End Term ROI & Monthly Income
Call XXX-XXX-XXXX for Free Report

Learn How To Earn Between XX%-XX% From A Guy That Buys Ugly Houses
Well Secured
Short Term
Pay At End of Term & Monthly
Call XXX-XXX-XXXX for Free Report

Earn XX%-XX% Annual Interest
on fully secured trust deeds or mortgages
Receive Monthly Income
Call XXX-XXX-XXXX for Free Report

Want To Learn How To Increase Your 401K by XX% A Year—Guaranteed?
Invest in Secured Assets
Invest in Hard Assets That Can Be Improved Upon
Increase Your Monthly Dividend Income Potential
Call XXX-XXX-XXXX for Free Report To Learn How

If you notice one common theme in my ad variations, my call to action is an offer to educate (free report).

You need to give thought to your marketing systems/pieces after you generate interest, as this sales process (the idea of seperating money from someone’s wallet) will require a multi-step marketing/sales approach.

Good luck!


Scott Miller

Here are some other headlines I came up with:


There you go, more datapoints to test…

I looked at your original ad again and suggest you test your ad with and without “Local real estate investment company seeking short term private mortgage funding for deals”.

IMHO, this is “look at me” marketing and can be replaced with more “what’s in for me” copy to further attract your intended audience.

Have fun and test everything…


Scott Miller

Did you run your ad in the paper yet? What luck did you have with it.

My partner and I were just about to do this type of ad.

The deals for us are not a problem, its finding money at an affordable price that has us a little tied up. We have been using hard money lenders but it is just costing too much. At 15% plus points on some of our deals we are
spending 35,000 - 45,000 in costs for the money.

Scott, thanks for the tip. I thought “Local real estate investment company seeking short term private mortgage funding for deals” would work because it let’s the potential lender know that we are local and not from out of the area, and also let’s them know that their investment would be short term, not a long term commitment. My main goal with the ad is to get people calling so I can send them my full presentation. What do you think?

Brandon, I’m in the same situation as you. I can find plenty of deals, but haven’t got the affordable funding for them. The old real estate saying “If you can find good deals, you’ll find the money for them” is easier said than done. I’ve done wholesaling up to this point, and am ready to do some rehabs. Unfortunately, without having done a rehab to show what kind of work I can do makes it hard to convince people to lend me money. I’m still going to take my time finding the right ad that I’m happy with before I advertise it yet. I’ll let you know when I do. If you’re planning something similar I’d be interested in seeing it.

Hmm Do I know you? I was just in the same position as you. HAHA. What you just described is what I went through.

I started off wholesaling and did that for quite a while. But I started moving on to bigger and better deals.

I always call the we buy houses guys in the newspaper just to network and I happened to come across and older man who has been rehabbing for years. So we got together and have started to make things really happen.

I know a few people who might be interested in acting as a private investor but I am still waiting to hear back from them.

I was also looking into doing a direct mailing to local attorney’s, financial advisors and such to see if they have any clients that might be interested in becoming a private lender. I have heard some people having a lot of success with this, so who knows.

But yes I know exactly what you mean. People have always told me finding the deals is the hard part and the money will come.

My partner and I have a good track record but the money doesn’t seem to be coming in LOL.


It’s a small world afterall. What area are you in? I’m in west central Ohio. Not the greatest housing market in America, but the reason I can find so many good deals is because we have a high foreclosure rate in the area. Fortunately, we didn’t appreciate sky high in home values the last few years. So, I don’t think we’ll have falling prices to the same extent as some other areas of the country.

High Foreclosure Rate + Middle Of The Winter = Lot’s Of Good Deals

I thought about using HMLs or PMLs, but I wasn’t sure which way was best. I might go with a HML first to get a rehab or two done to show to potential PMLs what kind of work I can do to give me more credibility. What do you think?

You might be right, that’s why I suggest testing it with and without to see which pulls the best (I’m not a big fan of image based marketing…it doesn’t work despite what the overpaid suits on Madison Ave say)…


Scott Miller

Guys, with respect to your pricing comments…

15% + points is excessive better financing options are available…

Help is closer then you think…


Scott Miller


I am in the NY / NJ area.

I would agree with you. If you have a deal and you can use a HML then go for it. Don’t put it off to wait for a PML. I would say just use the HML to get a track record and then use that to show people who are interested in being a PML for you. Show them what you have done etc.


You don’t have to tell me that 15% + points is excessive. I think it is REALLY excessive. That is why I have been looking to find private investors.