The second you get past explaining, “What is a private mortgage note?” the next question is, “How do you determine its fair market value?” There are a lot of variables that go into a Note Buyer determining how much a note is worth for lump sum purposes – and each investor may have different hot buttons. Here are the main ones… 1. Credit Score How is the credit on the … [Read more...] about What Determines a Mortgage Note’s Value?
Cash Flow Business
Buying Mortgage Notes: 7 Tips for Calculating Cash Flow Notes
If you plan on selling or buying mortgage notes the pricing will eventually come down to some important cash flow calculations. If you get cold chills or high school flash backs thinking about math you can always leave the number crunching to the note buyers. However, I challenge you to get outside your comfort zone and give these exercises a try. Why? Well knowledge is … [Read more...] about Buying Mortgage Notes: 7 Tips for Calculating Cash Flow Notes
Note Business Success in Five Words
We are often asked, "How can I make it in the note business?" That usually prompts us to ask a couple of questions to understand what, specifically, they mean by the question. Some people want to … [Read more...] about Note Business Success in Five Words
Calculating Cash Flow Notes and a Contest!
I have written before about how note buyers accelerate payments on cash flow notes. One such strategy was the Double Your Payment/Cut The Interest Rate in Half. Another method is to simply go for an Early Payment With Incentive. To this day, the following situation is still my favorite example of this method. It was late December and we were looking at a small note … [Read more...] about Calculating Cash Flow Notes and a Contest!
How Note Buyers Can Accelerate Return
Holding or buying mortgage notes and want a quick way to accelerate your return? Sure, you can’t go back to your payer/buyer and tell them to mail more money or even increase their interest rate. Matter of fact, you purchased the note “subject to” all the terms and conditions already in place and can’t change a thing…unless the payer wants to change them! Try … [Read more...] about How Note Buyers Can Accelerate Return