As great as it all sounds and despite what some may claim, it is not easy over night riches. Before going further take just five minutes to check out the 5 Big Myths about the cash flow notes business. This type of misinformation was part of the motivation for creating this website.
David Campbell, founder of Hassle-Free Cashflow Investing, has helped hundreds of individual investors like you acquire turnkey rental properties and income producing mortgage notes with less hassle. As a principal or key advisor to hundreds of millions of dollars of real estate transactions, David has a unique ability to simplify complex financial ideas into easy to follow action steps. http://www.HassleFreeCashflowInvestin…
How Does Note Investing Work
Simply fill out the form to register for our available inventory of real estate mortgage notes. The Note Factory creates a continuous supply of real estate notes for private pool of investors. When the note is created, it is packaged and delivered to our investors via our automated system. Fill out the form to get in the loop.
Believe it or not you can receive all of this in the Finding Cash Flow Notes Training for under $300. That’s less then the cost of just one textbook at many colleges. The power of the Internet now lets us share our 40+ years of combined experience with you in the comfort of your own home at an affordable price.
Some methods like networking and reverse ad marketing require a greater commitment of time while ads and direct mail carry higher costs. No mater how you market it will take your time or your money… and you don’t want to waste either!
With the multitude of challenges our economy has faced the average John and Jane Doe have found it difficult to get a mortgage. Banks want bigger down payments, higher credit scores, and secure employment. These requirements have left over 50% of Americans under qualified for a traditional loan.
Note Investing Course
When a seller accepts an offer and signs a preliminary agreement the investor will start the due diligence process. This includes checking for clear title, determining the property value, verifying payment history, reviewing the buyer’s credit, gathering documentation, and making sure real estate taxes and property insurance are current.
How To Make Money Note Investing
Amy Sayre is President of August REI, a Residential Loan Servicing Company. August REI is a nationally registered, bonded and insured, state licensed residential mortgage loan servicing company that acts as a logistics intermediary between private Lenders and Borrowers. Amy is a recognized expert in debt collection and mortgage loan servicing compliance. http://www.AugustREI.com
Note Investing Books
The note buyer funds the transaction and pays a referral fee to the broker or finder at closing. A transaction is considered closed when the transfer documents from the seller to the investor have been recorded and the proceeds disbursed.
Note Investing Mentor
A convertible note is typically used by an angel investor funding a business without a clear company valuation. An early-stage investor may choose to avoid placing a value on the company to affect the terms under which later investors buy into the business. A convertible note is structured as a loan. The balance automatically converts to equity under terms governed by terms set when a later investor buys equity in the company. For example, an angel investor invests $100,000 in a company using a convertible note. An equity investor invests $1 million for 10% of the company’s shares. The angel investor’s note converts to one-tenth of the equity investor’s claim. The angel investor may receive additional shares to compensate for the extra risk of being an earlier investor.
A promissory note is written documentation of money loaned or owed from one party to another. The loan’s terms, repayment schedule, interest rate and payment information are included in the note. The borrower, or maker, signs the note and gives it to the lender, or payee, as proof of the repayment agreement. “Pay to the order of” is often used in promissory notes, designating to whom the loan is repaid. The lender may choose to have the payments go to himself or to a third party to whom money is owed. For example, Sarah borrows money from Paul in June and lends money to Scott with a promissory note in July. Sarah designates Scott’s payments go to Paul until Sarah’s loan from Paul is paid in full.
While it’s possible to earn while you learn getting a little knowledge up front can jump start your business, save a lot of time, and keep from wasting money. There are numerous options and your selection will likely come down to:
Private Notes – Individuals or private entities providing debt financing on real estate, business, or other assets can convert the future payments due on a promissory note into cash today. This site is dedicated to the note business segment of the cash flow industry.
What Is Private Mortgage Note Investing
If you want to know more about starting a note business then grab your copy of our free report “How to Make Money With Private Mortgages.” Just enter your email address (in the sidebar at the top right of the page) and we will deliver it straight to your inbox.
Note Investing For Dummies
Marketing is the lifeblood of any company. The number one time commitment will be marketing to find the note holders receiving payments. There are 5 main ways to attract business as detailed in our article on How to Find Cash Flow Notes.
An unsecured note is corporate debt without attached collateral, typically lasting three to 10 years. The interest rate, face value, maturity and other terms vary. For example, say Company A plans to buy Company B for $20 million. Since Company A has $2 million in cash, it issues $18 million in unsecured notes. Because no collateral is attached to the notes, if the acquisition does not work out and Company A stops making payments, investors may have little compensation if Company A is liquidated. Since an unsecured note is simply backed by a promise to pay, it has a higher interest rate and is riskier than a secured note or a debenture, which is backed by an insurance policy in case the borrower defaults on the loan.