Are For Sale by Owners- Notes still profitable in today's market

[Florine Sanchez]

Hello Note Experts, 

I'm currently trying to look at different career paths dealing with real estate. I was wondering if there is still a thriven market for FSBO Notes?

I'm seeing people are obtaining traditional loans for the purchase of a home since interest rates are low. Which makes me wonder how the market is for obtaining and selling Notes are. 

Any feedback will be appreciated. I'm currently looking to become a licensed RE agent but I still on the fence about that. I have always been fascinated by the thought of wholesaling FSBO Notes, so before making a big investment in becoming an RE agent I just wanted some feedback.

[Jay Hinrichs]

@Tracy Z. Rewey  what I don't think a lot of folks realize is that buying notes is basically exactly like wholesaling the actual assets.

1. research  IE public records get address's from title company on every seller carry back note in your target area.

2. create direct mail piece for those address.

    Standard verbiage is:

Hey you need cash now  ... don't want to wait on payments and the risk of not getting paid.

call today for a full cash offer on your note.. we close in 5 days or less all cash.

3. once you have a seller you can simply open a note purchase escrow with a local title company or attorney office if its an attorney driven state.. now I know a lot people don't do this but I personally and for all my clients get a fresh title we pay for.. I used to do 104.1 endorsements but I think I am dating myself with those.

send money to title .. seller signs assignment and puts note into escrow .. and you close.

now were it gets tricky on the these deals is the owner occ requirements and lender liability issues that could arise and that's why I only work with commercial purpose notes .. keeps us FAR away from owner occs and all their drama..