All Forum Posts by: Nick Taylor

Thank you! Would like to eventually learn both, but performing seems like a good place to start. I listened and took copious notes from your podcast (trying to slowly compile all the info into HUGE guide), but still feel like I might need a structured course that will cover as many of those "little details" that could save me a lot of headache, time, and money wasted...

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Las Vegas, Nevada

Looking for the best courses to learn how to invest in notes that is the most complete. Several recommendations if you have them to research a little. Thank you!

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Las Vegas, Nevada

Great Thread! Thank you

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Tracy, do you have a ball park for what the Title/BPO/closing/ and recording is?

TIA
Originally posted by @Tracy Z. Rewey:

@Peter Halliday There are four main areas where a small payment might concern some investors. These don't always apply but could be behind that blanket statement:

1. A small payment can equate to a small balance on a low price-band property. The property value can sometimes be an issue for investors.

2. The costs of servicing as mentioned by @Chad U. and the cost of acquisition can take big bite out of your yield. When we buy notes we run our gross yield using IRR and then our net yield. We take into account the net payment (after the servicing fee) and also the costs of acquisition for title/BPO/closing/recording.

3. The cost to pursue legal action on a small balance note on a low value property can quickly have you bumping up against the top-end value of the property.

4. There is the "hassle" factor of doing the same amount of work, due diligence, and servicing on one small note that you do on a larger note.

If you factor all of that in and you are happy with the asset then small balance notes can be a great place for a private investor to make good returns. Many of the institutional investors tap out below $40k leaving opportunity. They can also help grow a small dollar Self-Directed IRA. If you can buy a smaller note at a discount and offer an incentive to the buyer to payoff early you can really accelerate your returns.

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Suggestions on how to find/choose a good seller vs a bad seller? (are there many bad ones?)

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I like this post. I am thinking I'd follow the same path as Dan i.e. start with a JV, then get a performing note to learn how it works first hand.

Question, if you were to do a JV, is it basically setting up an agreement with someone(reviewed by your attorney), then letting the more senior investor do all/most the work while the junior investor provides the funds?

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I've read a few books, watched some youtube, looked around BP, but can't seem to find a lot of details on in depth note investing.Seems like I have to invest a few thousand dollars into some course in order to learn. Any recommendations? TIA

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I am interested in learning more about note investing. Sounds like the best way to learn is to JV with someone where I would put up the $ and someone would help me with due diligence, etc..?

Do I need to look for any qualifications for those with experience that could JV with me? Not sure if I can just trust anyone, right?

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Thank you for the response. I would like to manage if possible, just wasn't sure how often these "nightmare" situations arise. This would be my first property. I guess if they arise, I can always fall back and hire a PM.

Do you mind sharing what you required when screening tenants? credit score of 625, no evictions, no felonies, earnings are 3X the rent? Do you follow these guidelines, anything I missed?

And any suggestions for what to do before I buy?

Thank you again,

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Possibly getting a fourplex in a class C neighborhood as a first time investor. I would want to hire a PM that has experience in this area. I am new and this would be my first one. I know everyone will say to run, which I'm considering. Just wondering what to expect in these investments if I have a PM running it?

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All Forum Posts by: Nick Taylor

Nick Taylor has started 6 posts and replied 17 times.

Post: Most comprehensive note investing course recommendations please

Post: Most comprehensive note investing course recommendations please

Post: What Are Your Favorite Exit Strategies For Notes?

Post: Payment and LTV percentages

Post: What do you expect to see from Note Investing in the next year?

Post: When you first got into notes...

Post: Why can't I find in depth info about note investing?

Post: Note Investing

Post: What to expect buying a fourplex in a class C neighborhood?

Post: What to expect buying a fourplex in a class C neighborhood?