Experienced Landlord Looking to Buy Notes from Banks – First Steps?

[Tony Christian]

I’ve been a landlord for a number of years, and I’m exploring ways to expand my investing strategy beyond just owning rentals. Buying performing or non-performing notes directly from banks has really caught my attention.

For those who’ve done it, I’d love to hear your perspective on a few things:

• Which bank department typically handles note sales? (Special Assets, Loss Mitigation, Secondary Marketing?)

• Do banks maintain a list of available notes, or is it all relationship-driven?

• What’s the best way to approach a bank without looking like you’re just kicking tires?

• Are there common pitfalls to watch out for when starting out?

I’m not coming to this as a complete newbie to real estate...just someone who’s serious about learning this side of the business and making smart moves from the start.

If you’ve made your first note purchase, how did you find it, and what do you wish you’d done differently?