Questions on Selling Mortgage Notes
Wondering how this whole note buying process works? Get answers to frequently asked questions including:
When you master the art of Real Estate Note Investing, you control your own destiny, or as I like to say, “Your Wealth Destiny”. You can solve more problems, help more people, and make more money doing it! There just isn’t anything like it, in my opinion.
I love to teach and show others how to invest in real estate notes as an alternative to the stock market. I founded USANotePro.com; an online portal designed for real estate and note investors looking to create, buy or sell mortgage notes secured by residential real estate.
USANotePro.com features three primary asset classes: Performing loans, Non-performing loans, and Real Estate Owned (REO) properties. Interested and previously vetted buyers can submit qualified offers online through the website. If you would like to be notified when new assets become available, please complete the form at USANotePro.com. The portal allows also allows users to submit notes for sale, obtain cash offers or quotes and manage offers, and complete note sales transactions online.
We focus on providing our partners with high-yield, low-risk, turn-key real estate investment notes secured with carefully selected residential properties throughout the United States. Our mission is to advance the financial and personal lives of our partners, providing them with hassle-free investment options in non-traditional assets. Mortgage notes investing can offer tremendous upside gain with minimal downsize risk ff done correctly.
Our passive real estate notes provide an opportunity for wealth creation when hard-earned cash is sitting idle in the low-interest bank or self-directed retirement accounts. Our investment clients enjoy worry-free, high yield returns versus the stress of the volatile stock market and low bond market returns. Every month, our investments generate cash flow and income consistently without the headaches of being a landlord. We teach our investors and clients n how to “Be the Bank”.
If you want to learn how to become a “Lienlord” instead of a “Landlord” we are here to help you get started. Check us out at
www.USANotePro.com to sign-up for our newsletter, learn more & get educated, and review our investment opportunities.
Happy Investing,
Nick Legamaro
Here are straight forward answers to the most common questions on selling mortgage notes. We also invite you to visit our
learning center filled with helpful articles and tips for creating and selling trust deeds, land contracts, and mortgage notes.
Why Owner Financing?
Owner financing is on the rise with more sellers agreeing to accept payments from buyers. There are many reasons people agree to take back a note, deed of trust, mortgage or contract including:
Quick sale of the property
Monthly income from the note
No hassles of bank financing (fees, delays, and strict underwriting)
More qualified buyers
Property is hard to finance
Why would I sell my mortgage note?
Circumstances change and many sellers would prefer cash today rather than small payments that trickle in each month. Here are just a few reasons people have sold their note payments for cash:
Retirement
Taxes
Investment Opportunity
Expensive Medical Care
Vacation
College Tuition
Unexpected Financial Changes
peace of Mind – no more worrying if the buyer is going to make late payments or having to foreclose
Accounting headaches, IRS regulations, paperwork hassles and the list goes on…
What is a note appraisal?
A note appraisal reflects the current market value of your payments similar to what a real estate appraisal provides for real property.
It shows what your future payments are worth in cash dollars today and is sometimes referred to as a “note analysis” or “quote”.
We recommend you have your note evaluated once a year as pricing may change based on market conditions
How do I maintain the value of my note?
Many of the items that affect the value of your note were determined at the time the property was sold. However, there are three things that you can do now to make your note more valuable:
keep good records and copies of the payments received,
obtain a copy of the property insurance policy from the buyer each year; and
verify the property taxes are paid
when they come due (usually twice a year).
This will help maintain the value of your important asset and avoid any unpleasant surprises.
Can I sell all or part of my note?
We can purchase all or part of your remaining payments. Selling part of the payments allows you to receive a lump sum of cash up front, then payments when the note reverts back to you. We can even pay cash for a portion of each monthly payment.
Many people elect to sell just enough payments to meet their cash needs today and keep some of the future payments as an investment or nest egg. Always ask for an option that meets your needs.
How is the value of a note determined?
The value of a note is affected by the down payment, interest rate, payment amount, and term as well as the buyer’s credit rating and payment history. The type, condition, and value of the property also impact the value of your note.
The time value of money, which makes payments due now more valuable than payments due in 20 to 30 years, also plays a role in the evaluation process. Generally, due to inflation, money in your pocket today is worth more now than later. All of these elements will be taken into consideration in determining the current value of your note.
How will selling my note affect the payer?
The payer experiences no change in the way the payments are structured. The only change will be the address where the payments are mailed.
How do I get started?
The first step is to obtain a quote using our online form or by calling us at (512) 240-2329. We also request copies of the documents relating to your transaction:
Note and Mortgage (Deed of Trust or Contract)
Closing statement
Buyer information
Pay history and current balance
Previous title insurance policy
Current hazard insurance policy
We will then provide you an offer subject to the standard title, appraisal, and buyer’s credit review. Once under contract, you will receive your cash as soon as all of the documentation can be obtained. This typically takes as little as 10-15 working days.
How will I be paid if I decide to sell my note?
The purchase price is paid in guaranteed funds (cashier’s check or wire transfer) upon receipt of the final transfer package and original documents.
We are happy to wire funds to the title company so you may exchange your original documents for the proceeds, assuring the safe and secure transfer of your valuable asset.
Why should I work with USA NotePro?
We pride ourselves on:
Quick closings
Excellent customer service
Competitive quotes
Providing customized options
Strong financial backing
Flexibility on all note purchases
Confidentiality with all transactions
Credibility in the industry
At USA NotePro we provide top rate service combined with the best prices available.
We invite you to contact us if we can assist you!
Investors
USANotePro.com
USA Home Partners, LLC
14423 Falcon Head Blvd
Fuse Building
Austin, TX 78734
512.240.2329 support