Knowing the value of things is important---and real estate and mortgage notes are no different. Whether you are exploring offering seller financing or looking into selling a note, understanding the value what you are providing or own is paramount. Not only for your financial safety but for reselling down the road as well. What is LTV? Loan to Value, or LTV, is an indicator of potential … [Read more...]
Partnering with Financial Professionals in the Note Business
Partnering with financial professionals is a great way to help us, help you. Not only are you able to help your client, oftentimes you receive a referral fee...just for putting us in touch with a closing deal! Are you in any of these fields or know someone who is? Let's talk! Real Estate Professionals Let's face it: if there is a property sold, a real estate professional is probably … [Read more...]
Is it Time to Sell Your Note?
Every day people line up to sell the mortgage note they carried back from the sale of a home. Although some people keep the note for the entire term, usually, at some point, there comes a time to sell the note and receive a lump sum of cash. Why Carry Back a Note? Chances are you carried back a note because you had to. Most people would have preferred a full cash offer (and payment) for their … [Read more...]
What Is Real Estate Note Due Diligence?
Before an investor pays cash for a real estate note, they perform what is called 'due diligence.' This is really just a fancy word for research. You can simplify the process by being prepared for these common note investor requirements. When an investor makes an offer to purchase a note, mortgage, deed of trust, or real estate contract, it is subject to underwriting and due diligence. This … [Read more...]
Mortgage Note Buying Team Members
Whether buying or selling mortgage notes, understanding the players in a seller financed transaction makes for profitable relationships. Here are the five main team members along with some standard industry terminology. Seller - Note Holder - Payee When a property seller accepts payments from the buyer over time using owner financing, they also become the note seller, note holder, or payee. The … [Read more...]
