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Updated 6 months ago on . Most recent reply

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Chris Seveney
  • Investor
  • Virginia
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What The Gurus Do Not Teach You In Note Investing - Part 1

Chris Seveney
  • Investor
  • Virginia
ModeratorPosted

Figured I would start a little series talking about my day to day in note investing and what the gurus do not teach you as they always make note investing seem black and white where in reality, most of it is in the gray area.

Here is an example, you foreclose on a property and the property is still occupied. Now what do you do? 

Well, a foreclosure does not evict someone living there, you need to evict them.

So in most cases you start the eviction. No problem right.

So what do you do when you find out the borrower is in prison and the 17 year old daughter who is a junior in high school is living in the property and she is trying to find a place to live with a friend and needs an extra 3 weeks. Do you continue with the eviction which would occur in 2 weeks?

Most will immediately say yes and think its that simple. But what about this option - you get on the phone with the individual and a realtor and let this person give the realtor access. Get inside photos of the property and see what it looks like and if it appears that someone is getting ready to move?

This is what we did, and the daughter was in fact starting to pack and move out. She was very friendly and work with us. While we do run a business that is for profit - you always do not need to be a hard ash and if someone is going to work with you, then extend the offer.

So this is what we did, and guess what, she did not trash the place, she moved out and took all her stuff and left the home very clean and spotless. She was very responsible. Not every person is like this, but this is where you also need to get a good read on people to understand - as I started with, its not black and white but its gray in most instances.

  • Chris Seveney
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7e investments
5.0 stars
16 Reviews

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Don Konipol
#1 Innovative Strategies Contributor
  • Lender
  • The Woodlands, TX
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Don Konipol
#1 Innovative Strategies Contributor
  • Lender
  • The Woodlands, TX
Replied
Quote from @Chris Seveney:

Figured I would start a little series talking about my day to day in note investing and what the gurus do not teach you as they always make note investing seem black and white where in reality, most of it is in the gray area.

Here is an example, you foreclose on a property and the property is still occupied. Now what do you do? 

Well, a foreclosure does not evict someone living there, you need to evict them.

So in most cases you start the eviction. No problem right.

So what do you do when you find out the borrower is in prison and the 17 year old daughter who is a junior in high school is living in the property and she is trying to find a place to live with a friend and needs an extra 3 weeks. Do you continue with the eviction which would occur in 2 weeks?

Most will immediately say yes and think its that simple. But what about this option - you get on the phone with the individual and a realtor and let this person give the realtor access. Get inside photos of the property and see what it looks like and if it appears that someone is getting ready to move?

This is what we did, and the daughter was in fact starting to pack and move out. She was very friendly and work with us. While we do run a business that is for profit - you always do not need to be a hard ash and if someone is going to work with you, then extend the offer.

So this is what we did, and guess what, she did not trash the place, she moved out and took all her stuff and left the home very clean and spotless. She was very responsible. Not every person is like this, but this is where you also need to get a good read on people to understand - as I started with, its not black and white but its gray in most instances.

Thanks Chris. I believe you’re intentionally misleading us so as to avoid competition and have the market to yourself.  The guru I paid $40k to mentor me told me I could outsource everything and just collect a check in my mailbox each month.  He said that by following his underwriting criteria I’d never experience a late payment let alone a foreclosure; that by using his one of a kind mortgage contract I’d eliminate all borrower rights in EVERY state and be able to take the property back without foreclosure; and that any tenants could be considered trespassers and can be shot on sight.  Whom am I to believe, you, a professional in the business for 10+ years with a verifiable track record of success and a willingness to provide information based on your experience and education at no charge, or my guru who has never run a note business and has been banned from the securities industry for life for violations related to stock dumping 6 years ago?  Since I paid $40k to the guru I’ll go with him and “double down”. 

Further, you've never even mentioned using third party foreign asset protection trusts domiciled in Nevis in your post which shows you're withholding information vital to success in the note business. I am currently working on setting up my one hundred fiftieth LLC so when I buy my first 150 notes I can place each one in a separate LLC. I'm also putting together my "dream" team and interviewing attorneys, title companies, lenders, real estate brokers, contractors and magicians so I'll be fully prepared when the 100 postcards I send out to randomly selected people results in the 14 offers to sell their notes that represents the average 14% response rate to junk mailings.

  • Don Konipol
business profile image
Private Mortgage Financing Partners, LLC

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