The Good, Bad, and Ugly Note Sellers

When dealing with a mortgage note seller, what is the most important element of the negotiation process? The amount of the discount? How long it takes to fund? The reputation / credibility of your company? At the end of the day, it is none of the items listed above. Sure, some people will say “price” but the fact of the matter is the value of the note (your bid) is a much smaller piece of the puzzle than people realize. First off, everyone wants 100 cents on the dollar…or more. How … [Read more...]

What is LTV and ITV?

You have probably heard a lot of acronyms thrown around in the note industry. Some of the more common ones are LTV and ITV.  LTV stands for Loan to Value. This is shown as a percentage. It is often used to determine “what is the likelihood the payor will continue to make payments” based on equity. … [Read more...]