BiggerPockets

Years ago when it became difficult to find qualified buyers that could gain financing, I sold some properties thru owner financing and located note buyers to buy the newly created note simultaneously at the settlement when the note was created. Of course there was a discount on the note purchase since there was zero seasoning, and the buyer's credit reflected in the discount as well, but it moved the properties.

My question is: Does anyone know current sources (note buyers) that purchase simultaneously created owner financed notes (created when the property is sold)?

Thanks in advance for your responses.

Marc

With a 620 and 10% down, we can get them traditional financing....

What is the benefit of doing an Owner Financing deal that way?

Tony

Hi Rob,

I know someone that might be able to help you. He buys notes from sellars who are looking to do owner financing. His name is Larry Kearse. PM me and I will give you his contact information.

Pamela

Dillon-what is your actual down payment requirement and lowest credit you can work with? How long do these take you to fund and how many of these have you done recently?

Hi Rob,

I can buy notes un-seasoned at closing. A note purchase commitment can be issued once we review the buyer's application. The closing time is about 3-4 weeks once everything is submitted correctly.

600 FICO and at least 5% down payment from the buyer. You can hold a 15% 2nd mortgage with an interest so that your interest received from the 2nd note could help recoup some of the discounts that you have to take in order to sell the note.

With 5% down and 600 FICO, no title seasoning for seller and no note seasoning... you would be able to find a big market of buyers and continue moving forward with your buy and sell business.

There is no mortgage insurance to pay from the buyer, and the interest rate (8.5-9.5%) depending on credit and is tax deductable, which is a good incentive for the buyer.

Your 2nd note could balloon within 1 or 2 yrs if you wish get your money faster, it will give your buyer the incentive to work on their credit and refinance into a conventional loan with lower interest.

Your property could be sold at 90-95% of its value when you add up all the numbers received.

Send me a message if you are interested in finding out additional info.

Thanks

Hi Brandon,

I'm sure there are posts and blogs if you do a search on private notes, note for sale, etc.

I have not wrote any blogs yet but I always take the time to help each one of my sellers and buyers.

Let me know what you would like to accomplish and I'll try to provide you with the information that can help along the process.

Thanks