There is a bulk notes package from bankruptcy trustee account.

[Pavel Feldman]

Each performing note is selling for 80% of the value.

Each non performing note is sold for 20% of the value.

Are these typical values?

What should be checked?

[Eva Melendez]

Usually notes sold in bulk cannot be cherry-picked. Seasoned note investors are usually the one's buying these because you have to have third party vendors who can verify property values (real BPO's not just online), attorneys in the state's where you acquire the NPN's ready to foreclose or modify the loan, verify that the note is transferred correctly, notify you of other liens, make sure the note was drawn up correctly and that if it has previously been transferred the transfer was handled correctly. There are a lot of moving parts in a transaction of this sort. We buy individual notes and can handle the brokering of portfolios but bulk note purchases are dangerous if you don't know the business very well.

My recommendation for people interested in getting into buying notes is to buy a few individual notes or 2 or 3 from local investors first.  Its a great way to learn about what the proper due diligence is.

Eva Melendez