Restructuring Seller-Financed Notes For Profit

[Bryan Hancock]

I have been reading through much of John Behle's online material on restructuring paper for profit and it is quite fascinating. We have traditionally been borrowers of money, but as our wealth grows we are looking to put spare cash or syndicated funds to work and notes seem like a great way to do so passively.

What are your favorite methods for restructuring notes for profit? Breaking one note into two, increasing payments in trade for various things (balloon elimination, interest rate decreases, etc.), changing collateral, etc. all seem to be common ways of adding value. What has worked for you? What are common ways to restructure transactions that work in the real world and not in courses taught for profit?

I am particularly interested in restructuring wrap notes since I know tons of Austin-based people buying property subject-to and selling it on wrap notes. My suspicion is that many of these folks would be looking to monetize those wrap notes at some point.