All Forum Posts by: Nate J.

Typically I've done 50/50 splits with capital partners but looking for alternative deal structures others have used that are fair without putting own money into the deal. 

Have a good history of doing flips but had some serious health issues which caused me to be out of the game for a few years. When I've brought in capital partners in the past we split the net profits when the property closed. Due to the situation, I'm not in a position where I can wait 3-4 months before getting paid.
Wanted to know if any others had any fair ways to structure getting paid upfront or throughout the remodel process that would be reasonable to a capital partner.

@Steve Hodgdon really appreciate the help. Not sure if my note scenario would be a fit but I'll shoot you a msg. Thanks again! 

@Rodel Usam & @Tim S. awesome guys thanks!

Can anyone recommend any good note buying marketplace forums for buying/selling. I have a note on a property in first position at only 10% LTV. I'm actually looking to get a loan against it as collateral but figured there may be investors interested in a specialized forum like that. From my understanding, BiggerPockets doesn't allow these types of posts. Any other resources or ideas on finding investors for something like this would be appreciated. Thanks!

@Tim S. thanks, as @Odie Ayaga mentioned I'm looking at getting a loan against the note using it as collateral. From reading other posts there is a specific doc for this.  

@Chris Seveney see above. Thanks!

Does anyone have a sample of how this document is written? Would obviously have an attorney modify for my state but would like to see how this is written.  Appreciate any help!

Copied from another post:
A collateral assignment is the transfer of ownership rights of an asset from a borrower to a lender (e.g. one investor to one note), in exchange for the granting of some type of loan. This requires 2 documents, a promissory note with the new lender and the Collateral Assignment of Note Deed of Trust document (including a legal description of the property that is tied to the note). The Collateral Assignment of Note Deed of Trust document gets recorded with the county so you would have first claim to the note if the terms were ever defaulted on. 

@Roman M. thanks for the response. I'm actually going after the owner because he owes me a much higher amount. Funds are being used attorney fee's, etc. 

@Andy Mirza Appreciate the help. That rate would be fine as the cost would be minimal compared to the larger amount I'm trying to collect. Was hoping for more than 50% but I understand what you are saying. 

What type of terms can I realistically expect for a Hypothecation/Collateral Assignment of Note/Deed of Trust? (loan against my dot/note)

$50,000 1st position deed of trust/note (only lien on title)

Secured by $450,000+ newly remodeled property with clean title
No interest rate, past balloon date so can be called due at any time (was placed as interest in home)
Property is titled to an LLC so homestead exemption wouldn't apply in event needed to foreclose

Looking for a short-term loan using the note and deed of trust as collateral. I'm not interested in selling outright. The owner/company on title owes me additional money so I may need to use it for leverage to collect on the bigger amount. 

I've reached out to some investors but wanted to see what typical terms would be for something like this. Appreciate any help!

@Ian Ippolito ok thanks I appreciate the response!