2nd Lien MD NPN Note, Would appreciate Advice from The Experts

[Gary Gneiting]

This is my first Bigger Pockets post, hope someone would like to comment. I have an opportunity to buy a 2nd lien note and was hoping for some advice. I am in this with someone else that is much smarter than I but want a 3rd opinion if I should jump in. This will be my second/2nd note experience. I had purchased a 2nd note last year and it was settled equitably to my liking.

State: Maryland

Fair Market Value; $311,000

1st lien unpaid balance: 204,000- Current with payments, home is well kept and shows pride of ownership

Property Tax: Paid

2nd note price: $34,000

2nd Unpaid principal balance: $79,000 w/ arrears

Borrower filed ch 13 a few years ago did not meet ch 13 requirements and has been dismissed on

3-2016 and note is now available as non performing.

Home is 3 bedrooms, 1450 ft2 on a .25 acre lot that is well maintained.