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Updated about 4 years ago,

User Stats

824
Posts
281
Votes
Kenneth LaVoie
  • Rental Property Investor
  • Winslow, ME
281
Votes |
824
Posts

Trading seller financed notes to create diversified portfolio

Kenneth LaVoie
  • Rental Property Investor
  • Winslow, ME
Posted

I currently have two seller financed notes. One is a first mortgage with four years aging, two years left on a six-year balloon, for a hundred percent of the purchase price of a small property. The second note I have represents 15 to 20% of the value of the property I sold, and I'm about to receive the first payment on it. Both are 6-year balloons with 30-year amortization. My question is, these two notes represent approximately 10% of our financial portfolio. I don't like the concentration. I would much rather own 25 notes than two. Has anyone had similar thoughts, or are there companies out there that facilitate such a thing. Obviously due diligence is the phrase of the day but I'm a diversification nut, and stuff like this keeps me up at night! Love to hear your thoughts.