Wholesaling Multiple Performing Notes at a discount

[David Wolf]

Hello, 

We generate multiple performing note leads on a regular basis. We are looking for several experienced note investors interested in buying these notes at an average discount of 25% of face the face value of the loan. You can service yourself or have us provide servicing through our firm. Here are some examples of notes that come across out desk I am looking to wholesale as well as a Q&A. 

Q) Why are we selling these notes instead of buying ourselves? 

A) We keep several for ourselves but have higher yield in active management of fix and flip projects. Our hard money capital partners do not like investing in seller finance notes so we are looking for new buyers experience in investing in these notes. In most cases we make enough money on wholesaling these without carrying them. 

Q) What are the terms of most of these note? 

A) They vary but here is an example: $24,000 note on a $25,000 property paying for 1 year at 7% interest with a 20 year note (We would ask $18,000 (75% of principal value) on this note. Another example is a $86,000 1st position note on a $135,000 property at 8.5% amortized over 20 years with a 3 year balloon (Asking $68,800 or 80% of as is value). 

Q) What happens in case of default? 

A) We can handle the foreclosure process for you hands free through our partner law firm (Fees charged). In this case you would take the property or we may offer to purchase it from you. 

Q) I don't have a servicer. How do I service this? 

A) Our servicing cost is included in our servicing fee for a limited time to drum up new note investors. You have no servicing fee. 

Interested? Reach out to me at [email protected] or call me at 727-4106165