We Buy Mortgage Notes Nation-Wide

We offer funding for many different types of mortgage notes. For more information about the different types of notes see below on all the note types we can purchase!

Partial Purchase Option

We offer an option where you may sell us a predetermined number of future payments and you receive a lump sum of cash now. This option allows you to get much needed cash now plus you also get your note back in the future.

  • Sell a predetermined number of future payments now
  • Receive a lump sum of cash now
  • We service the note while we own it
  • The note comes back to you in the future

Call Today and inquire about our Partial Purchase Option.

How to Sell Real Estate Notes For Cash

If you have commercial or residential mortgage notes that you want to sell, it’s important to know how to find the best buyer. Whether it’s a private investor who wants to purchase the note on your property or a loan company that’s looking to take over the responsibility of financing on the note, there’s a solution for you.

We buy mortgage notes for a lump sum of cash

We buy mortgage notes for a lump sum of cash.If you are looking for an easy way to cash out your money, note selling could be for you. There are several benefits to selling a real estate note, including having a new investment opportunity, as well as to consolidate bills, to send a child to college, or even to purchase a new car. The choice is yours! Whether you are an individual looking to diversify your portfolio, or a financial institution, notes can be sold online through note buying companies like ours without you having to leave the comfort of your home. We pride ourselves on paying the highest price in the industry.

A mortgage is a legal document that outline a loan, the interest rate, and the amount to be paid back over time. It is generally secured by real estate and serves as collateral for the lender. If a borrower defaults on the loan, the lender can foreclose on the property.

Although mortgage is the legal name for the mortgage notes, there are several other types of notes. These include the performing, non-performing, and the non-simple.

Minimum Funding Amount: $30,000 – Maximum Funding Amount: $2,000,000
Real Estate NotesFirst position notes only – No Seconds – No Interest Only Notes
Credit Requirements: Notes seasoned from 90 days to 1 year = 650+ credit score
Notes 1 year and older = 600+ credit score
Minimum Seasoning Requirement: 90 Days
Minimum Down Payment: 10% for notes with less than one year of pay history.
Rehab deals require at least one year of pay history.

Minimum Funding Amount: $30,000 – Maximum Funding Amount: $2,000,000
Owner financed mortgage notes are generally good.First position notes only – No Seconds – No Interest Only Notes
Credit Requirements: Notes seasoned from 90 days to 1 year = 650+
Notes 1 year and older = 600+
Minimum Seasoning Requirement: 90 Days
Minimum Down Payment: 10% for notes with less than one year of pay history.
Rehab deals require at least one year of pay history.

Minimum Funding Amount: $30,000 – Maximum Funding Amount: $200,000
We Buy Mortgage Notes on Mobile Homes With Land.First position notes only – No Seconds – No Interest Only Notes
Credit Requirements: Notes seasoned from 90 days to 1 year = 650+
Notes 1 year and older = 600+
Minimum Seasoning Requirement: 90 Days
Minimum Down Payment: 20% for notes with less than one year of pay history.
No mobile home notes without land.
Rehab deals require at least one year of pay history.

Minimum Funding Amount: $30,000 – Maximum Funding Amount: $200,000
We Buy Mortgage Notes on Land Only.First position notes only – No Seconds – No Interest Only Notes
Credit Requirements: Notes seasoned from 90 days to 1 year = 650+
Notes 1 year and older = 600+
Minimum Seasoning Requirement: 90 Days
Minimum Down Payment: 30% for notes with less than one year of pay history.
Maximum LTV: 70%

We Buy Mortgage Note on Commercial Buildings.Minimum Funding Amount: $100,000 – Maximum Funding Amount: $2,000,000
First position notes only – No Seconds – No Interest Only Notes
Credit Requirements: Notes seasoned from 120 days to 1 year = 675+
Notes 1 year and older = 650+
Minimum Seasoning Requirement: 120 Days
Minimum Down Payment: 30% for notes with less than one year of pay history.
Maximum LTV: 70%
Rehab deals require at least one year of pay history.
No Gas Stations

We Are Owner Financed Note Buyers

Selling your owner financed real estate notes for cash can help you buy another home or property. The interest rate on a seller-financed note can be higher than other types of mortgages. It can also help you obtain a higher return on investment.

Seller financing allows buyers to make payments directly to the sellers, instead of to a bank or mortgage lender. This can allow the seller to avoid costly repairs and to increase the selling price. However, this type of transaction should require a high down payment and can take some time.

Besides being a good option for a home seller, owner financing can be used in other situations. For example, buyers who are unable to get traditional bank financing might consider this option.

When a seller enters into an owner-financed mortgage note deal , they should have an agreement with a buyer who promises to make monthly payments. If the buyer does not make payments, the seller can take back the property.

We are also Commercial real estate note buyers

Commercial real estate note buyers look to make a profit by buying real estate notes and possibly selling them for cash later on. However, there are some things they consider before taking the plunge. Most will only purchase notes that are in first position only.

First, a note is a loan. A note carries a certain amount of interest, which must be paid to the lender. Also, there is a risk of default. If the buyer fail to pay, one may lose their investment. Fortunately, there are ways to protect oneself from losing their entire investment.

The main reason people purchase mortgage notes is to get a passive income. They can earn a monthly income that can help build a portfolio or savings account. It can also be used to pay for living expenses. This is a less risky investment than buying a house outright.

Sell commercial mortgage notes For Cash

A commercial mortgage note is a legal instrument that outlines a loan. In a traditional mortgage lending arrangement, the borrower makes monthly principal and interest payments to the lender. Eventually, the value of the mortgage increases.

A mortgage note can be bought by individual investors or institutional lenders. Depending on the amount of risk involved, these buyers may want to see a larger cash payment put down upfront, or may pay for mortgage insurance. Buying mortgage notes directly from banks is often not possible.

Mortgage notes can be sold through note brokers or note exchanges. The best option is to work with an experienced professional. Before attempting to sell a note, you should know how to obtain the original note, the loan document, all assignments, and all amendments.

Selling a Current Mortgage Note For Top Dollar

If you are in the market to sell a current mortgage note (all payments are current) for cash, it’s important to be aware of your options. Whether you want to take advantage of a quick, easy method or you’re looking to find an experienced investor, there are many ways to do it.

The first step is to decide whether you’re going to sell the whole note or just part of it. This decision will determine the timing of the process.

Typically, selling a portion of a mortgage note takes about 30 days. However, this can vary based on the availability of an appraiser and title search. After you’ve decided on a full or partial sale, you will have to prepare legal documents. You’ll need to provide any information that will help the buyer’s underwriting process.

If Approved For A Note Purchase Be Prepared to Produce Some Related Items

  • Our Mortgage Purchase Agreement – You will need to sign our purchase agreement and return it to the main office along with copies of the other items listed below.
  • Promissory Note – This will be the document we will be purchasing. It shows the total amount of the loan and the terms of the transaction, it shows the buyers promise to pay and is signed by the buyer or buyers
  • Deed of Trust or Mortgage – This is the document that secures the promissory note to the actual real estate and is recorded on the title of the property.
  • Warranty Deed – This is a document that the seller provides that states the seller has clear title to the property and has the right to sell the property.
  • Insurance Declaration Page – We require the property to be insured unless the note is for land only. The insurance declaration page is provided by the insurance company and list the coverage dates and amount of coverage.
  • Closing Statement (HUD 1) / Settlement Statement or Proof of Down Payment – A HUD 1 is the name of a form used by most attorneys’ and title companies when they close on a property. It provides a breakdown of fees and expenses and shows the down payment. If the seller sold without using an attorney or title company then we would ask for a copy of the down payment check or proof of it being deposited into the sellers’ bank account.
  • Previous Title Policy – A Title Policy guarantees there are no liens on a property. Either the Buyer or Seller usually obtains a title policy when purchasing or selling a property so that they are guaranteed there is clear title to the property. If there is no previous title policy available, then we will obtain a new one.
  • Pay History – We would like to see documented pay history for at least 6 -12 months, or if the note is newer then payment history for all payments. The best documented payment history is copies of bank statements showing the payment being deposited into the bank or copies of cancelled checks.

The above items are standard for most transactions. However, if the property was sold as a Land Contract or Contract for Deed, then the only items we would need would be a copy of the Land Contract or Contract for Deed and proof of the down payment, pay history and insurance.

Are owner financed mortgage notes good? Get a Free Consultation

There is no definitive answer as to whether or not owner financed mortgage notes are good. Some people may feel that they are a good choice because the mortgage note is typically guaranteed by the mortgage company, meaning that if the borrower cannot make the payments, the mortgage company is usually responsible for the debt. Other people may feel that this type of mortgage is too risky because it is possible for the borrower to default on the note. Ultimately, it is important to weigh the pros and cons of each option before making a decision.

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FAQ

Frequently Asked Questions

What is buying mortgage notes?

Buying mortgage notes is investing in a bond that pays a fixed rate of interest and is secured by a mortgage on a property.

Do mortgage notes earn interest?

Yes, mortgage notes do earn interest. The interest rate, which is determined by the lender and varies based on the terms of the loan, is typically paid each month.

Do mortgage notes accrue interest?

Mortgage notes accrue interest from the date of issue. The rate of interest may be set forth in the note, or it may be determined by law or by the applicable lending institution.

What is mortgage notes payable?

Mortgage notes payable is a debt obligation that arises from the creation of a mortgage. This type of debt is a promissory note that is payable on demand or at a set date in the future. The terms of the note will generally specify the interest rate and the amount of principal that must be repaid each month.

When mortgage notes go into probate what happens?

Probate is the legal process through which a deceased person’s estate is settled. When a person who holds a mortgage note passes away, the mortgage note becomes part of their estate, and it may go through the probate process. The exact procedures can vary based on local laws and the specifics of the individual’s estate plan, but here are some general steps that might occur:

  1. Identification of the Mortgage Note:
    • The executor of the deceased person’s estate or the court will identify all the assets, including the mortgage note.
  2. Notification of Creditors:
    • Creditors, including the mortgage lender, may be notified of the death. This gives them an opportunity to make a claim against the estate for any outstanding debts.
  3. Valuation of the Estate:
    • The estate’s value, including the mortgage note, will be assessed. This is important for determining how the assets will be distributed among beneficiaries or used to settle debts.
  4. Management of the Mortgage:
    • The executor may need to manage the mortgage during the probate process. This could involve making payments if the estate has sufficient funds or arranging for the sale of the property to pay off the mortgage.
  5. Transfer or Sale of the Property:
    • Depending on the circumstances, the property may be transferred to heirs, sold to settle debts, or handled according to the deceased person’s will.
  6. Settlement of Debts:
    • If there are not enough assets in the estate to cover the debts, including the mortgage, the property may need to be sold, or other assets liquidated to satisfy these obligations.
  7. Distribution to Heirs:
    • Once all debts and obligations are settled, the remaining assets, including the property if not sold, will be distributed to the heirs or beneficiaries as outlined in the deceased person’s will or according to the laws of intestacy if there is no will.

It’s important to note that the probate process can be time-consuming and may involve court proceedings. If the deceased person had a valid will, the process may be more straightforward. If not, the laws of intestacy in the jurisdiction will determine how assets are distributed.

It’s recommended to consult with a legal professional who specializes in probate law to get advice tailored to your specific situation and the laws of your jurisdiction.

How much do mortgage notes sell for?

Mortgage notes sell for a significant amount of money. A typical mortgage note can sell for anywhere from $10,000 to $100,000 or more. There are several factors that determine the selling price of a note, such as credit of the payer, the number of years remaining on the note, the down-payment paid by the payer and a lot more.

Do mortgage notes get recorded?

Mortgage notes are not typically recorded, as they are not typically considered to be an asset. However, in the event that the mortgage note is sold or refinanced, the information recorded therein would likely include the amount and terms of the original loan.

Are mortgage notes a good investment?

There is no universal answer to this question as depends on the specific mortgage note you are looking at. Generally speaking, however, mortgage notes are not typically considered to be a good investment. This is because they tend to be more risky than other forms of investments, such as stocks or bonds. This is because the value of a mortgage note can change quickly depending on the market conditions.

What is the difference between a mortgage and a note?

A mortgage is a loan that is secured by the property being financed. A note is a promissory note that gives the lender the right to collect interest and repay the principal amount at a later date.