Note Investing - End of Year Tasks

[Chris Seveney]

Few notes and bolts for note investors as we approach the end of the year. Here are some of the mistakes I have done or seen and things you should make sure are on your radar Others should also add there two cents in on this:

1. Make sure you have W9's from anyone you have paid money too

2. Make sure if you made money you did not reinvest all of it, as you will need to pay uncle sam.

3. Start reviewing all your financial reports now so corrections are made prior to year end when whoever does your books is much busier (including yourself if you do them)

4. Make sure you do property inspections on all your assets right now as we approach winter to make sure they are occupied, if not get them preserved.

5. Audit any agreements you have that go off of a calendar year? Cancel subscriptions/services you no longer use.

6. Create a budget and business plan for 2021 - If you are scaling, do you need to sell some assets to acquire more?

7.  Make sure payments you received from borrower (servicer) you broke them out by principal and interest. Be a real pain in the *** to do this later on.

Feel free to add more

[Chris Seveney]

@Andy Mirza

great points, one other thing I do that is really painful but well worth it is when I audit each file (loan) I check my expenses and cross check it with the advances in the servicers system. There have been instances where the advances were not added to the loan and the property had equity so it was important to have. 

Re: W9's I use docusign and send them out to people electronically to fill, if I can find a way to make it easier for people that is how I like to get it done.