RE residential Notes . . .quality of properties and forrates

[Jay Gill]

I know of a few people that are investing in real estate notes that are working with a third party individual. I noticed that the properties they are invested in are far away from any urban centers(tertiary markets), the comps for these home come out to 30-50k. The argument given is that these homes offer a better discount when purchasing the note.    However I feel these notes are risky in terms of the payor defaulting on the note when doing a loan mod. 

Also when it comes time to foreclosure, is it difficult to sell the property? Also what are your experiences in foreclosing on these types of homes and flipping them? Is there any type of ROI? What kind of %'s is to be expected?