I've watched family members play the equities game over the last 30+ years & we are WAY WAY ahead of anything they have ever achieved. 

I am looking to build a portfolio of cash-flowing properties to achieve financial freedom.

I am hoping some note investors might be able to share some insight as to how they might value a performing note and what they would offer to acquire it.Stats: $650,000 - Property Value$458,000 - Property Purchase Price$418,235 - Original Loan Balance$391,941 - Unpaid Loan Balance376 months - Term remaining (420 months starting term - note has never been delinquent or in default)4.042% - Interest Rate$1,862.88 - monthly paymentAny advice on how to look at the deal would be great as I am primarily a multifamily investor and not as familiar regarding the nuances of note investing. 

So is it best to bank that money regardless or make additional payments to pay down the principle balance on those loans?

I don't think you need to have newer credit if your credit history and score are good, and credit scores can drop based on newer accounts or higher balance ratios.

Also, there are hard money lenders that are using their own capital/balance sheet to fund & hold loans, especially on the short term side (12-24 months). 

You'll want to strike a balance between what's fair for you and them if you want to keep them.

What is the loan balance?

What I do currently:Allocate a bank account from which to pay all expenses associated with the rentals.Deposit all rents into that account and use it to pay rental expensesAt the end of the month withdraw whatever money was left over to bring my balance back down to $10k and use that to pay down my personal mortgage.What I think I should do for cash damming:Allocate a bank account from which to pay all expenses associated with the rental (Done)Deposit all rents into my personal account and use them to pay my personal mortgageAt the end of the month transfer whatever money was spent in the rental account back in from my the rental LOC to bring my balance back up to $10kI can now deduct the interest on the LOC which I'm not longer paying on the personal property.

My interest rate will go up from 2.75% currently to 3.375 and my mortgage balance will go from 262k to 510k.This is about the lowest price I’ve seen on a decent duplex like this that is in a good neighborhood and doesn’t require major renovations.My goal is long term - to be collected $8-10k/mo by 2015.