You might have come across non-performing notes for sale recently. These are accounts where collection attempts have been unsuccessful. If you think this sounds like a difficult thing to purchase, that’s where you may be wrong. Buying these non-performing notes for sale is actually easier than you think because many lenders are willing to sell non-performing notes at a loss.
That means profits. You see, non-performing notes for sale are actually secured debts. What does that mean? Good new for you; even if the loan fails to revive its performance, the note owner is still entitled to the property. Overall, investing in notes for sale can be an excellent alternative to high intensity foreclosure auctions.
What can you do to purchase a non-performing notes that’s for sale?
It’s easy if you follow these tips:
- Contact a trusted loan broker in your area. They will help you find non-performing notes for sale.
- Review the mortgage agreements of any non-performing notes that you purchase and determine what you need to do after looking at the payment record. A foreclosure might be the easiest thing to do on mortgages that are more than 90 days late on payments.
- Offer a modified loan repayment plan to the mortgagor. Since you will have paid such a low price for the non-performing notes that’s for sale, there’s a good chance you might be able to lower the minimum monthly payment. Additionally, lowering the price means you will have a higher chance of getting the loan to perform.
Moreover, if your payment plan does fail, as they sometimes do, then unfortunately it is time to go ahead with the foreclosure process. This process is tricky and can take anywhere from six weeks to six month depending on what kind of property is held and what actions the mortgagor takes. While this is of course time consuming and annoying, the sun will appear once the process is over and you get full legal possession of the property.
Your Trust Deed Investment and Non-Performing Notes for Sale are the Perfect Combination
There’s a chance that you’ve been wondering about the non-performing notes for sale. A great way to make money is to make the trust deed investment a performing note that can ultimately be sold for two times what you paid.
Non-performing notes for sale are accounts where collection attempts on the mortgage have been unsuccessful. It might sound like a hassle to purchase, but these non-performing notes for sale are easy to get because many lenders are willing to sell non-performing notes at a loss, which is great news for you, the buyer.
Because you know what that means for you? It means profits.
Non-performing notes for sale are actually secured debts so even if the loan fails to revive its performance, the note owner is still entitled to the property. So when you look at the overall picture, investing in notes for sale can be an excellent alternative to high intensity foreclosure auctions.
How do you go about purchasing a non-performing notes that’s for sale?
Contact a trusted loan broker in your area and they will help you find non-performing notes for sale that you can buy.
A simple review of the mortgage agreements of any non-performing notes that you purchase will help you determine what you need to do after looking at the payment record. A foreclosure might be the easiest thing to do on mortgages that are more than 90 days late on payments.
It is easier because sometimes payment plans do unfortunately fail and then you have to go ahead with the foreclosure process anyway. This process can take anywhere from six weeks to six month depending on what kind of property is held and what actions the mortgagor takes. While this is of course time consuming and definitely a damper on your day, rest assured that once the process is over, you will get full legal possession of the property.
Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis@level4funding.com
Dennis Dahlberg Broker/RI/CEO
NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave | Austin | Texas | 78701
About: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.
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