However, the financial crisis of 2008 cannot be blamed on worthless financial instruments; rather the fault in the system is worthless people.

So, in essence its much "cleaner to operate out of a corporation, which if set up properly, intrinsically has all these instruments already incorporated.

Get out of that 401k as quickly as possible - IRS Code 72t.Buy real estate that cash flows, recruit good management.Protect your family and cash in financial instruments that are difficult for govt confiscation - life insurance, annuities - avoid saving in traditional banks.Minimize your tax footprint - avoid all tax deferred strategies.

The Ira company just holds the asset paperwork you reviewed and were instrumental in providing. 

Currently, buying performing, sub-performing, and non-performing financial instruments (mortgage notes, trust deeds etc.).

I am curious how these two debt instruments differ in their terms and when it’s most appropriate to use each?

This could also be driven by some form of defective collateral (security instrument and note) that prevents a clean foreclosure.

If there is no AOM of record, then revert to the lender in the security instrument.

Just because a form is common, does not mean it is proper for the transfer and layman might not be wise to the nuances between instruments and that eventually have a substantial impact.The bankruptcy look back event and the idea of excessive equitable value certainly speak to offset much of what folks believe they can do with borrowers and taking title to be advantaged from the additional equity within the subject property.

Giving them a PG of any kind is like giving a hungry dog a meaty bone and you will bear witness to this when you try make any changes, sorry to tell.In my experience, the simplest way to vacate a PG is to restructure the loan instrument.