Short answer: buying debt at a major discount. NoteConference makes a profit in this business by buying debt from banks, hedge funds, or investors at reasonably low prices.
The note business is the business of buying and selling either performing or non performing mortgage notes. There are many different ways to purchase these notes – from the top all the way to the bottom of the food chain – as well as countless methods for turning a non performing mortgage note into a performing one. Once the debt is performing it can sit easy in your portfolio or can be sold for a profit.
Yes, bankruptcy and foreclosure attorneys for the creditor. you will need to have an attorney to consult with and to carry out legal paperwork. You can hire a bankruptcy and foreclosure attorney as the creditor. You can not file that paperwork yourself. Be sure to check that they are practicing in the same area that your note is located.
Yes, banks do sell bank notes! However, they can be very particular about whom they sell to. To learn more about buying notes from banks be sure to check out FasTrack Premium or FasTrack Business courses.
Wire transfer to an escrow attorney. When purchasing a note, or a group of notes (referred to as a tape), you need to be sure that the money will be sent securely. You will need to either prepare to send or receive a wire transfer. Consult your bank (where you have the account) on how best to prepare for this. Some banks do require you to come in person, but as we cope with the pandemic those policies can change.
First off, the most asked question, “what return could we expect?” we are offering an 8% yield typically over 5 years the next one “how do you calculate these?” On an HP10bII type calculator across the top buttons N=60 (for 60 months of payments 5 years) I=8 for 8% return PV=unknown (Solve for this as the last step) PMT=375 (whatever the loan payment might be) FV=0 (at the end of 5 years the loan will be paid to zero) I also have this calculator on my phone, best one I found is In a Day Development cost $5 The reason I like this one is the values are displayed above each register see below
Money Lender Professional great support features are very robust no annual fees. NoteConference staff recommends using the MoneyLender Professional software when it comes to accounting. The software is very robust, is a one-time purchase, and has great customer support. There are many features, including adding a logo and other business information to an invoice that can be emailed or mailed to your borrower. Many in the note business use this software.
BankProspector is used by note investors and brokers, real estate investors, house flippers, REO agents, commercial real estate brokers and others to find lender direct non-performing note and REO deals direct from banks and credit unions. BankProspector is a sales intelligence software and data miner that shows you the non-performing note and REO portfolio as well as decision maker contact info for every bank and credit union in the United States.
I met Brecht Palombo in 2010 when I was searching for tools to access bank loan information.
I was looking for banks with distressed debt and here was the perfect tool.
At the time, I was using another system that was very expensive as they charged state by state Yikes!
Bank Prospector gave me Nationwide access to the information I needed as I was looking for a very specific type of assets.
I have had an account subscription ever since as it is an invaluable tool for my business.
I love to tell a bank asset manager just how much non performing debt they have on their books, they are shocked at the level of information I have on their banks dirty little secrets Ha!
Take it out for a test drive
Let me know what you think.
He who holds the bank contacts wins!
Stay Healthy Get Wealthy!
A TLO Is a Credit union company that allows our business to pull soft credit reports. TLO, or The Last One, is a credit union company that allows your business to pull soft credit reports. A credit report is important because it contains very important information about your potential borrower, as well as any current borrowers you may have. It is the defining factor in due diligence to either motivate you to purchase, or steer you away from that note.
Chances are no, we like to buy notes that the bank is ready to sell. Trying to find a specific house to purchase by way of mortgage notes is very unlikely. You can narrow your searches to specific cities, states, or regions by requesting those areas when speaking with the bank or broker you are purchasing from, but a seller who is motivated to let go of a note at the right price is more important than possibly paying top dollar for your neighbor’s house. If you are hoping to get specific properties there may be other avenues for you outside the note business.