Three note investing questions

4 Replies

1: What percentage of the revenue do you put into the company coffers for future purchases vs what you pay yourself for income? 

2: In general, what do you see as the bare minimum dollars to be used in a bulk purchase to get a bank or hedge fund to sell you the notes? I can't see them wanting to spend much time talking to you if all you can do is buy $20k worth of notes vs a bulk purchase of a value of $400k. 

I know you can sell one offs after a bulk purchase. 

3: How often do you try and get the person that had to go through a foreclosure to get the "house back" through renting it back to them? 

@Jonathon Weber

1. Every investor is going to be different. For me, it will be close to 100% of our performing portfolio cashflow and the backend profits are used to reinvest. 

2. I’ve worked with a few institutions and there isn’t a bare minimum that they are looking for you to by. It simply comes down to what the bank/company has to sell. So far that has ranged from 100k to 250k, that has been for single one-off note sales. 

3. I’ve never had that happen nor have I heard of that happening, but it could. 

Originally posted by @Logan Hassinger :

@Jonathon Weber

1. Every investor is going to be different. For me, it will be close to 100% of our performing portfolio cashflow and the backend profits are used to reinvest. 

2. I’ve worked with a few institutions and there isn’t a bare minimum that they are looking for you to by. It simply comes down to what the bank/company has to sell. So far that has ranged from 100k to 250k, that has been for single one-off note sales. 

3. I’ve never had that happen nor have I heard of that happening, but it could. 

Thank you.