More and more sellers are being asked to carry back a second mortgage for the buyer – especially with the banks still keeping a pretty tight reign on lending. While seller financing can be a viable alternative to bank loans when it is the buyer’s primary obligation or first lien, a second lien has considerably more risk. … [Read more...] about Should I Owner Finance a Second Mortgage?
Note Buying Blog and Articles
What is Time Value of Money?
We’ve all heard the phrase “Time is Money”. But what does it really mean and why does it matter in the discounted note business? Here’s the short and simple answer! Money today is worth more than money tomorrow due to its ability to earn interest. The Time Value of Money concept puts a price on the amount of time an investor has to wait for an investment to … [Read more...] about What is Time Value of Money?
Real Deal #150 – Repeat Business with Partial Purchases
Welcome to Real Deals! It’s always easier to learn from real life so here we share information from actual owner financed transactions. When a note holder sells a portion of the note they will often consider selling the remaining payments at a later date. A partial purchase can provide repeat business to both note brokers and investors similar to the experience on this … [Read more...] about Real Deal #150 – Repeat Business with Partial Purchases
Selling a Business with Owner Financing
Hoping to buy or sell a business during the credit crunch? Finding financing for a business sale can be a serious deal killer. Fortunately seller financing offers a solution to meet the challenge. While some business buyers successfully obtain loans from banks and Small Business Administration (SBA) programs, many more are declined due to restrictive requirements. To … [Read more...] about Selling a Business with Owner Financing
You Are Signed Up and Ready To Go!
All Done! In a few short minutes you will be receiving (via email) your very own copy of How to Make Money in the Cash Flow Industry. You are also part of the Note Investor “inner circle.” This entitles you to receive free weekly updates on what is going on in the note industry including special funder interviews and real world strategies to help you excel in the cash … [Read more...] about You Are Signed Up and Ready To Go!
Wholesale or Retail?
There are two primary pricing models in the note business commonly referred to as wholesale and retail. These terms differentiate what party will be paying the costs and may also refer to who is handling the processing. … [Read more...] about Wholesale or Retail?
Multiple Quote Requests
Should you obtain multiple investor quotes when selling a note? There are two differing camps of opinion based of course on one’s perspective. … [Read more...] about Multiple Quote Requests
Firm Offer or Soft Quote?
Wonder whether you are receiving reliable pricing when submitting a qoute request worksheet to a note investor? Here's how to know if it's a firm offer or just a soft quote when going to sell a note. … [Read more...] about Firm Offer or Soft Quote?
Why Buy Title Insurance?
Does the seller really own the property? Are there any liens? Is there legal access? Does anyone else have a claim or right to use? Does the buyer have outstanding judgments that might attach when they purchase the property? These are just a few of the questions you will want answered with a title report when considering owner financing. … [Read more...] about Why Buy Title Insurance?
Real Deal #149 – Seller Financing, Second Liens, and the 80-10-10.
Welcome to Real Deals! It’s always easier to learn from real life so here we share information from actual owner financed transactions. When the bank loan and the buyer’s down payment don’t add up to the sales price, a seller might consider owner financing the difference. Here’s how a classic 80-10-10 worked with owner financing on a four unit residential property in … [Read more...] about Real Deal #149 – Seller Financing, Second Liens, and the 80-10-10.