A beginner in the cash flow business asks our opinion on working with multiple funding sources versus a single investor.
Hi, I recently purchased training materials from Charter Financial. What is your perspective on funding all of my deals through a single source like Charter, vs. working with multiple funding sources?
I am brand new to the cash flow business, work a full time job, and am just taking “baby steps” trying to educate myself. I’ve got Charter’s materials, but would love a perspective other than theirs.
New Note Broker
Welcome to the note business!
It doesn’t hurt to get additional quotes on transactions and then you can decide what is the best offer for your transaction.
I find there can be large variances from different note buyers depending on their investing parameters and preferences. There is rarely one investor that is the best for every deal – my life would be much easier if that were true. 🙂
In our Finding Cash Flow Notes Training class we encourage getting 3 quotes from investors that have been identified as potentially good fits in the Note Buyers Directory. This way you avoid the shotgun approach of sending it to every note buyer on your Rolodex (something investors understandably hate)… yet you still confirm you are staying competitive with a strong offer for the seller.
Here are a couple of past articles you mind find helpful on working with investors:
- Get Reliable Pricing When Selling A Mortgage Note
- Obtain Pricing On Notes In 3 Easy Steps
- Find The Right Note Buyer
Of course there can be advantages to working with a master broker or training company until you feel comfortable handling deals on your own. Just know that if you:
- get direct with the seller
- complete the worksheet, and
- get copies of the main documents…
Then most funding sources will pay attention and gladly help you fill in the missing pieces. That reminds me of another helpful article we wrote on the 5 Rules of Working With Note Buyers.
Thanks for visiting us at NoteInvestor.com and we wish you much success starting your cash flow business!
All the best,