@Chris Seveney I am not sure yet what my business model will be, if only because I am learning what my options are when it comes to notes. If we want to start with the end in mind, it would be awesome to cash flow $10,000 a month as quickly as possible because then I can very comfortably leave my job and basically be able to do whatever I want. But I don't necessarily think I will stop there.
As for strategy, so far I have learned the 30,000 ft views on what you can do with Performing 1sts, Non-performing 1sts, and Non-Performing 2nds with Performing 1sts. Performing 1sts I would probably pay Par or higher for because they are very safe, cash flowing assets. (Relatively speaking). Non-performing 1sts are less expensive but, riskier since the homeowner might not come current again and you may have to foreclose. If they DO become current again and you can get the loan through 're-performing' back to 'performing', you can sell it for a profit. Non-Performing 2nds are dirt cheap (or so I've been told) and if they are attached to a home that has a Performing 1st, then they are more likely to be able to re-perform and then perform, at which point you can sell for a large profit. But they are the riskiest of the 3.
Please correct me if I am wrong, that is just what I've gleaned after a literal week of learning.
My question in all of this is "how would you wholesale a Note?". Is that different from a referral? I understand how you can flip Notes by getting them to re-perform and then perform again, but the Wholesaling part is new information.
