Let's face it, no one buys a real estate mortgage or creates an owner financed note in hopes that the payments stop coming in. Although not the norm, payers do default on notes, stop paying, get behind on payments, or outright walk away from the property. It goes without saying that you should always comply with all debt collection laws when dealing with a borrower/payer that gets behind on … [Read more...]
What is Note Seasoning?
Here is something you might not have thought of...There's not just one single item that determines the value of your real estate note. It's actually a combination of multiple variables including payment terms, interest rate, equity, property type, the buyer's credit, and note seasoning. That last one, note seasoning, might sound a little cryptic, but really breaks down to being one of the biggest … [Read more...]
When Is The Right Time To Sell Your Note?
It probably sounded like a great idea to carry back a note to help facilitate the sale of your property. Matter of fact, you might have been told that if your situation changes in the future, you could sell your note for a lump sum of cash. This might leave you wondering, when is the right time to sell your note? Does it matter what the traditional real estate market is doing? What about the … [Read more...]
Selling A Mortgage Note Is Not Just About Price
One of the first questions a note seller asks is, "How much can I get for my note?" At the end of the day, that is what it is all about, right? Or is it? For some, selling a note is not just about price. For many people selling a note is about getting out of the hassle of collecting payments, dealing with defaulted buyers, reporting taxes, or having their money tied up for the length of the … [Read more...]
Payment Histories Increase Note Values
Want top dollar when selling mortgage notes? Increase the value with payment histories! Keeping an accurate record of the payments received on a mortgage note is essential for knowing how much the buyer still owes. This also establishes a record of their payment habits - with an added benefit. The value of a note can be improved by presenting note buyers a verifiable payment history! There are … [Read more...]
