Mortgage Note Investing - who can give me some advice

9 Replies

well I think you have to decide what niche in the note business you want to be in.

1. invest in a fund and let them do the heavy lifting.  very passive

2. NPN and you do the heavy lifting and the risks involved with defaulted paper. NOT passive

3. short term lending with local HML ers.. Passive done right

4. Performing notes of a mid range term          passive done right.

some require you to be accredited  and some do not... 

Hi Shellond, Jay give some good options above.  To expand, I would recommend starting by giving some serious thought to your goals and situation. Otherwise you will spin your wheels. How much time do you have to do note investing? Are you after active or passive income? Do you need to make money right away or can you possibly wait a while? Do you have money to invest or do you have to raise money? Do you know how to run a business? Answering these questions is important as it will help you make decisions. For example, if you want simple basic cash flow, buying a performing note may be a good place to start. Another example: If you need to make money from notes immediately, you may not want a non-performing note as it can potentially take some time before you make money if you have to foreclose. There is a lot to learn about notes. Start by assessing your goals and situation and then branch out from there. Let me know if you have other questions and Good luck!

There is a lot of free information available through youtube and elsewhere.  I trained under Scott Carson and found him to be very knowledgable and helpful.  He also has free videos and podcasts.