Hi All,
I have been doing a bit of reading about the strategy of buying houses at a discount and then selling them with seller financing and then selling the note to cash out. There is a piece of the puzzle missing for me though. It appears that note buyers are going to want 6-12 months of seasoning or they are going to want to buy the note at a "significant discount". It seems to me that discount will pretty much wipe out your profit on the deal unless you were able to buy it super cheap - in which case you could use a different exit strategy and not have to mess around with creating a note and seller financing. Am I missing something? Is there a way to make these deals work that I am not seeing? Or is it that you have to wait for 6-12 months of seasoning before you can cash out and get your profit?
Thanks,
Brenda
