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 … [Read more...] about Estimating Real Estate Value When Buying Notes
note due diligence steps
Congratulations! The seller has accepted your offer to buy their note payments. Now what? The 3 Phases of Note Buying The purchase of a private mortgage note goes through three main phases before closing and funding. First is the quote request. Next up is the preliminary approval process. Once a transaction has received preliminary approval it moves into the due … [Read more...] about What’s In Your Note Buyer Transaction Checklist?
Before a note investor will pay cash to a seller for future payments, they perform what is called “due diligence”. This is really just a fancy word for research. You can simplify the process by being prepared for these common requirements. … [Read more...] about What is Due Diligence?