Note Investing Courses

[Kessa Bush]

I want to get educated on buying and selling promissory notes. There are several courses for sale, but I can't afford to buy them all. Plus, there are a bunch of people claiming to be experts, but I'm not sure if they truly are. I'm open to learning about purchasing 1st and 2nd mortgages. I've listed a bunch of people's courses below. If you can provide me some feedback about any that you have purchased, I would greatly appreciate it. Thanks!

How to Buy Notes and Mortgages - Kent Anderson
Owner Financing Club - Dawn Richabaugh
NoteSchool - Eddie Speed
The NoteBuyer's Academy - Donna Bauer
Paper into Cash - Michael Morrongiello
Paper Power Note Investing - Bob Leonetti and Jayme Kahla
Cash Flow Institute - Leland von Syring
PPR Note Academy - Dave Van Horn
Henry J. Dvorken
Secrets of Paper - Jeffrey Armstrong
The Note Settlement Success System - Tony Martinez
Note Buying For Dummies - Scott Carson

[Kent Anderson]

Hello Kessa,

Kent Anderson here, One of the instructors on your list with products for sale.

Concerning your question about which note buying course to buy, try asking yourself these questions for a start:

Q. Will the note-buying course teach you how to buy notes and mortgages for your own behalf or just teach you enough to find notes to “broker” to the their company?

Nothing wrong with broking notes. But, if you only broker notes for a fee, in reality you are just a straight commission sale person finding notes for them.

Brokering notes for a fee (typically $1,000 to $2,500 per) is a great way to start because these professional investors teach you how to document and close the transaction and, many will give you the documents for your own use when you are ready to for your own half.

This is important because your goal should be (in my opinion) to first learn from professional investors and instructors and eventually buy notes for your own behalf.

That's where the real money is. Especially if you are savvy enough to compound those high note yields with a tax-deferred or even tax free SD IRA for tax-free growth and with draw.

Q. Will the note-buying course teach you how to work on your own, with professional investors and provide you with professional investors to work with directly. This is important if you want to buy notes for your own behalf.

Without multiple professional note investor to work with you’ll get locked into their note buying product and not be able to shake free and go on your own or just as bad, not be able to get quotes from other professional investors who will buy the notes that don’t fit the other investors underwriting requirements.

You see, some professional investors like farm ground notes some do not. Some like condominium notes some do not. Some like modular home notes some do not. Some buy partials some do not. Some buy notes only in specific states or regions and others buy notes nationwide, and on and on.

To save the deal, it is important to have a number of professional investors to work in the event you current investor will not buy the note when it does not fit their underwriting requirements but let me add, only send quotes to 2 or three investors at once. Never flood the market… that is a no-no. You will be found out and they’ll stop returning your calls.

Q. Will the note-buying course start you out with a low cost course and then up-sell you to an expensive $2,000, $4,000 or even $10,000 “Mentor” course?
True mentors do not charge a fee. If they do, then they should call them call themselves “consultants” or “Tutors”.

It is sad, but in today’s internet marketing world charging for mentorship is done all the time as a way to “buddy-up” with the prospect and make a sale.

The previous statement will cause and uproar but think about it, your parents were mentors; did they charge you a fee? How about your teachers in school? How about your coaches? But consultants charge a fee and tutors do, see what I mean.

Not all but many professional investors will work with beginners hoping to create a relationship with you so more notes will come across their desk.

Professional investors where my mentors when i started my notes business and other private local investors who also wanted to create a relationship to do more business. For the past 47 years of self-employment my mentors never charge me a penny… true mentors.

My mentors just wanted to buy the note I had to broker and were up-front about it.

Even though I was a neophyte at the beginning, they saw that I was serious and thus, they were willing to work with me and wanted me to succeed in the note business. Thankfully, this is true to this day,

Q. Will the note-buying course provide the documents to close transactions? Checklists to work from? Talking points and scripts to use? And explain how to use all these? Provide marking plan, business plan to start from? Investors to work with?

Q. Is the note-buying course a combination of different articles or books the author wrote or other authors wrote and compiled into a “course” that is really a hodge-podge of different topics without a methodoloy?

Or, is it a course the author wrote specifically as a method or system from A to Z for the note buying program they designed?

Q. Do they continually boast about how much money you will make? My Midwest up-bringing tells me to stay away from such people.

In that regard and this is important, do not quit your day job to start the note business. Start slow… crawl, walk then run.

One additional thought to close on. Some note buyers call themselves “Master Brokers” and want to charge a fee to show you the business and that may be a good strategy for you in your situation but realize they will take their hunk out of the profits to broker it to the final investor.

I say, blow right buy them, keep their chunk of money for yourself and go directly to the final investor.

Regardless how they do the math, they are still taking a chunk of the profits and you should keep that money for yourself… use it for direct mail or working capital.

That’s a good start for now. I’m sure there are other professionals out there who will mentor you with some good ideas on how to determine which note courses to buy for your particular needs.

Best wishes, Kent