Billions of Non Performing Notes Selling in 2015

We’re not even half way through the year and sales of non-performing note portfolios are already robust for 2015. Part of the credit goes to requirements issued by The Federal Housing Finance Agency (FHFA) to reduce the number of delinquent loans in the portfolios of Freddie Mac and Fannie Mae prompting several sales by these GSEs (Government Sponsored Enterprises). Largest Sale of Delinquent Loans by Freddie Mac In March Freddie Mac executed its largest sale of delinquent loans to date on … [Read more...]

Calculating Note Investments Using The 50-50 Partial

When buying real estate notes you will surely encounter a seller that flat-out refuses to take a discount.  You can try explaining the time value of money until you turn blue in the face or… provide a simple alternative. Offer to buy half the number of remaining payments for half the balance. Not only is the seller happy, the investor can receive an increased yield. Intrigued? Wondering how this all works?  Watch this step-by-step video walk through of the 50-50 Partial from our How To … [Read more...]

5 Years Of Growth For Seller Financing In 2014

"The number of seller financed notes created in 2014 increased by 4.7%," reports Scott Arpan of NoteSellerList.com. There is one number we all want to know... ...how many seller financed notes are being created? Each year, around this time, Advanced Seller Data Services releases some very important numbers. This running tally not only shows the number of notes created it also breaks them down by state! More notes equals more opportunities to buy notes. Knowing the "hottest" … [Read more...]

10 Tools For Marketing Your Note Business Online!

We just returned from a great gathering of note investors at the first annual Note Expo in Dallas Texas.  As promised during the presentation I am sharing the main points from my power point slides along with the tool links.  If you weren't able to attend this year's convention I'm sure you'll still find these tips helpful. Thanks to everyone for attending and being such an appreciative audience. Note Expo 2014 Marketing Presentation Outline To survive in the note business as a buyer or a … [Read more...]

Estimating Real Estate Value When Buying Notes

In the words of many savvy real estate investors, “You make money when you buy a property not when you sell.” But when investing in notes we are not buying the property itself. Rather we are purchasing the right to receive the remaining payments.  However, the note payments are secured by a lien on the real estate.  If things go South and the payer stops making payments then you'll end up with the property. Whether buying real estate or investing in notes, it's crucial to know the current … [Read more...]

Seller Financing Stats Increased in 2013 – What About 2014?

I love numbers!  They always seem so validating - especially when they are on the rise! We got our hands on the latest seller financing statistics for 2013, the top 10 producing states, and a preliminary analysis of the impact of the Dodd-Frank Act on note creation for 2014.  You won't want to miss this... Owner Financed Notes Increased 7.5% in 2013 "Overall note creation continues to climb past levels we have not seen for 10 years. 2013 saw a 7.5% increase in notes created over 2012. This … [Read more...]

Selling and Buying Business Notes With Security Financial

Selling a business and taking back a promissory note is common practice. However, finding investors to buy a business note without real estate as collateral is a bit more challenging. Fortunately there is Security Financial Services (SFS), a third generation company that specializes in buying business notes! We interviewed Marc Rouda, Senior Vice President, for our Note Buyer's Directory to learn about their business note programs, pricing, and updated investment criteria. What type of notes … [Read more...]

Calculating Early Payoff On A Partial Note Purchase Using TValue Software

One of the wonders of the note business is the ability to invest in notes with little or no cash of your own using the partial or tail-end structure.  But what happens when a note pays off early?  This week's guest author, Markus Mollica with TimeValue Software, explains how to calculate an early payoff on a partial note purchase using their TValue amortization software. Let’s say that my goal is to build cash flows for future retirement. However, over the next several years, I want to not … [Read more...]

Meet Note Buyer Troy Fullwood of Pinnacle Investments

We are pleased to share this investor interview from the Directory of Note Buyers and introduce you to Troy Fullwood, owner of Pinnacle Investments. Troy learned the ropes flipping notes in the late 90s and then started buying notes in-house. Based in Arizona, Pinnacle Investments buys nationwide and will consider both performing and delinquent real estate notes that were created through seller financing or loan origination. What is the current investing focus of Pinnacle Investments? Troy … [Read more...]