All Forum Posts by: Darren Eady

Matt, tax liens, non-performing or performing notes?  I think you should figure out which direction you would like first and then ask the people that know that area what questions you have.  

@Matt Crain

I'm happy to send anyone some information on performing notes.  Please connect with me and provide your email address and I'll send you some helpful info.  

You mentioned that you would like to start small.  To have a first mortgage lien on a property, the smallest notes I write are in the $30k+ range, typically.

Thanks!

Get a note servicing partner first.  I work with the Note Servicing Center in Chowchilla, CA.  Then I developed a website that shows my notes and allows clients to get the useful information to make a decision online.  I could get more fancy, but those are the basics.  I also have loan docs. to write my own loans that have been developed and perfected over eight years in this loan/performing note business.

That's called "borrowing"

Yes, it is very possible!

His conventional first mortgage lender may not allow a seller carry-back.  You may want to make sure they are disclosing the full transaction before you participate in a 2nd for them.

@Karla Talancon

I can send some info. to you.  I would suggest purchasing a performing note before entering the non-performing note market, if you ever do enter that market.  It's really more about how active or how passive you would like to be in your investing.  Performing vs. non-performing are on the opposite sides of the passive/active spectrum.

Yes, many of us do 

I'm not sure why the buyer did not collect a lender's policy of insurance on the loan they took out that they are now trying to assign.  I'm also not sure why the seller of the property would be the one selling the note.  Regardless, you should run this note through a title company now and make sure a warranty deed, not a quit-claim deed, transferred the property and have the title company insure your assignment of the note in first position on a free and clear property.  There could be issues you are not seeing based on how the sale was completed.  Of course the buyer of the property should pay for this title report and insurance and shame on them for not going through this process already.

@Dean Suzuki

@Thomas Standen

There's only one choice - Note Servicing Center out of California.  They've serviced over 4000 notes for me over 7+ years.  I've copied the owner, Thomas, on this string.  

@Jeff L.

Performing and Non-performing notes are at the opposite ends of the Active-Passive spectrum.  Performing notes can be total mailbox money and non-performing notes require significant time to perfect a property that you might get back damaged and vacant (but hopefully with a lot of equity).  If you are starting off in notes ONLY buy performing notes - at least that's my humble opinion!