Note investment that generated $100k in 2.5 years!!!

[Aaron Provencal]

Investment Info:

Mobile home note investment investment.

Purchase price: $64,250
Cash invested: $12,000
Sale price: $175,000

We purchased this mortgage note and ended up foreclosing on the property. When we sent someone out to fix up the home, the neighbor came over and wanted to buy the property as-is. He offered $150,000 then we had another neighbor reach out and offered $175,000. We went back to the first offer and let him know that if he wanted to meet the second offer, then we would sell it to him.

What made you interested in investing in this type of deal?

I was trying out purchasing mortgage notes

How did you find this deal and how did you negotiate it?

We found it on a platform called Pre-REO.

How did you finance this deal?

Pre-REO offered the financing with a 10% downpayment

How did you add value to the deal?

It was just a waiting game going through the foreclosure process

Lessons learned? Challenges?

We could have saved some money starting to clean up the property if we had only checked in with the neighbors first. They had no interest in the mobile home; they just wanted the property so another family member could build a home on it.