| As a Premium real estate note buyer I am | | | | complex and include consideration |
| often asked by note sellers if their note is | | | | |
| saleable. I | | | | of the depreciation of money of a period of |
| | | | time. Quite frankly, a note loses value over |
| can't stress enough to sellers how important | | | | the |
| it is to get the right information about your | | | | |
| | | | course of time, and this is a factor the |
| note and payment history to the potential | | | | buyer must calculate into his equasion.The |
| note buyer. The potential buyer can only | | | | longer a note lasts the more it's value drops |
| determine | | | | because of this deprecation of money, called |
| | | | |
| whether the note is what they want to buy if | | | | the "Time Value of Money". To get the |
| it meets the criteria they are looking for in | | | | maximum amount of cash for your real estate |
| | | | note you |
| a note purchase.There are, however, a few | | | | |
| basics that all or most note buyers look for. | | | | want to sell it as soon as possible after it |
| First,the note must | | | | is created.look at the equity in your |
| | | | property. A higher equity can make your note |
| be secured by legal means. Understand, the | | | | more valuable. Other |
| note iteslf is not legally binding to the | | | | |
| payor | | | | factors will effect the value also. It is |
| | | | really hard to know what a buyer might BUY on |
| unless it has been filed at the county court | | | | any |
| house.A mortgage is then created that legally | | | | |
| connects the real estate note to the | | | | given day, much less what they might PAY for |
| property. This | | | | it, even with fairly good looking facts and |
| | | | |
| means that if the Payor (the person sending | | | | circumstances on the history of your |
| you payments on the note) ceases payments the | | | | note.Many note deals may take a lot of |
| | | | "engineering" to finally come up with |
| | | | workable deals - |
| note is still secured by the real estate. | | | | |
| What that means is you could recieve payments | | | | deals that satisfy your needs as the |
| for | | | | seller... and meet the needs of the Buyer for |
| | | | security |
| say, three years, but then the payments stop | | | | |
| coming. You would still own the property and | | | | and yield return.The note buying market |
| | | | offers a broad playing field. All kinds of |
| have no obligation to return payments made | | | | cash flows might sell... |
| to you against the note.Without this mortgage | | | | |
| to secure the real estate note to the | | | | and they might not! The only way to tell for |
| property the note would be worthless.Most | | | | sure is to list your note and all the facts, |
| note buyers are looking for secure places to | | | | |
| invest their money for a long term return | | | | telling the buyer EXACTLY what it is you |
| | | | have for sale (leaving no important details |
| on their investment. They need to know | | | | out) |
| everything they can about the note to decide | | | | |
| if it | | | | then see what they are willing to offer you |
| | | | for your note.Jennie Pipkin is a Premier Cash |
| will be a secure investment for them to | | | | Flow and Note Specialist. |
| make. Most note buyers want at least an 18% | | | | |
| ROI when | | | | List and sell your real estate note for free |
| | | | at her website, or learn more about How to |
| they purchase a note.The mathematics | | | | List and Sell Your Real Estate Note. |
| required to determine the ROI on a note are | | | | |