Avoiding Daisy Chain Notes

[Kevin Kaczmarek]

Calling all Note experts.
As we are growing our business we generate and sell approx. 250 notes a year. We want to make this a fixture in our business but as we continue to grow we realize that we will not be able to originate 1000 notes a year on our own with the infrastructure we have now. My question to those that have been in the note business for a long time is how do you find consistent sources of notes?
Everytime we "interview" a prospective supplier/partner all they want to do is broker someone elses garbage notes to us.

I realize that 90% of notes are not worth the paper they are written on, so its imperative that as we grow we find legit sources that can deal in volume.

Those that have experience in this arena, please let me know your thoughts. The floor is yours :D

[Marc Faulkner]

Kevin,
I sent you an e-mail as well but, I will also answer your question here.
There are a couple of ways to find steady sources of notes. First you need to outline your purchase criteria and what you have the ability to buy or fund. Once you have done that you can:
1. Network with reputable note brokers and demand that they only show you product in cases where they personally have direct access to the actual seller(s).
2. Network with real estate pros that use Seller Financing in their day to day business and guide them in crafting notes that fit your purchase criteria.
If you have a solid plan to buy notes I am certain that we can cover you up with performing paper.