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Showing posts with label sell mortgage notes. Show all posts
Showing posts with label sell mortgage notes. Show all posts
Wednesday, June 9, 2010
Wednesday, March 31, 2010
Help Sell Your Home Faster
1. Get a home inspection before you sell. It is always better to be proactive and know what if anything is wrong with your home before a buyer does. They will ask you to drastically reduce your asking price.
2. Clean clutter. Nothing turns off a buyer like junk and clutter.
3. Ask 10% lower price than the property is worth. This will bring more buyers and the price will get bid up.
4. Get light into the home. Clean windows and get rid of dark drapes. Nothing sell better than natural light, it makes your rooms look bigger.
5. You do not need to bake cookies. Place a few drops of vanilla on a warm oven door will produce the same results.
6. Replace a worn mailbox. This will enhance the curb appeal.
Please feel free to post your tips.
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2. Clean clutter. Nothing turns off a buyer like junk and clutter.
3. Ask 10% lower price than the property is worth. This will bring more buyers and the price will get bid up.
4. Get light into the home. Clean windows and get rid of dark drapes. Nothing sell better than natural light, it makes your rooms look bigger.
5. You do not need to bake cookies. Place a few drops of vanilla on a warm oven door will produce the same results.
6. Replace a worn mailbox. This will enhance the curb appeal.
Please feel free to post your tips.
Visit Our Blog
Monday, November 16, 2009
Need Cash Now? Sell Your Mortgage Notes!
Get cash now and forget those monthly payments FOREVER! We work with buyers who are ready to pay top dollar for your notes. If you have a trust deed, a mortgage note or any private loan, it's time to find out exactly how much CASH you could be entitled to.
* It's Quick: Learn how to cash out in minutes
* It's Easy: You could have cash in just days
* It's Secure: Get real quotes directly from certified buyers
There has never been an easier or faster way to cash out of your investment. Whether you need money to pay bills... to buy a home... to fund an education... or even if you just need some spending cash... We'll show you the money!
List your Note at Smiling Dog Enterprises
Email us for information. Get Cash Now
* It's Quick: Learn how to cash out in minutes
* It's Easy: You could have cash in just days
* It's Secure: Get real quotes directly from certified buyers
There has never been an easier or faster way to cash out of your investment. Whether you need money to pay bills... to buy a home... to fund an education... or even if you just need some spending cash... We'll show you the money!
List your Note at Smiling Dog Enterprises
Email us for information. Get Cash Now
Monday, November 2, 2009
Selling A Home In A Tough Market
In previous issues, the best method for selling a home in a tough
market with seller financing was explained. The benefits to the seller
from involving a qualified cash flow finder with a seller financed
deal and having a note buyer "on board" before the note is created
were also covered. While using seller finance techniques to sell a
property are no more difficult than a traditional real estate closing,
following a logical and proven plan is the best method for ensuring a
successful real estate sale with seller financing.
The sellers' misconception
Many property sellers stay away from seller financing because they
mistakenly believe that creating a note is not a viable solution for
selling their home. After all, if they can't walk away with enough
cash to provide the down payment on another property, they'll be
powerless to replace the property they're selling.
As a consequence of this common misunderstanding, many sellers feel
compelled to stick with conventional real estate methods, limiting
their options and missing out on the benefits that seller financing
could offer them.
In actuality, many notes created through seller financing are quickly
sold and the seller ends up with the cash they need. Even better, if
the note is created with buyers' purchasing criteria in mind, the
seller could walk away from the closing table with cash in hand. This
means that the net result is almost exactly the same as with a
conventional real estate sale!
In the cases where the note holder does have a problem selling their
monthly payments, the difficulty in liquidating the note is typically
a result of one general problem: the note was not created with the
buyer in mind. Instead, it was created with only the payer in mind. To
ensure that a newly-created note will be attractive to potential
buyers, it is important to recognize that their purchasing criteria
are important as well.
Too good of a deal
For property sellers looking to sell their note immediately, it would
be a grave mistake to create the note by prioritizing only the payer's
demands. A buyer must have a compelling reason to agree to collect
payments in order to buy a note, such as a substantial down payment, a
respectable payer's credit score (to minimize risk), a competitive
interest rate, or a fairly short term.
An example of a "bad note" from a buyer's point of view would be a
seller financing situation where no down payment was collected, the
payer's credit score was not checked, and the interest rate is fixed
at 3%. Basically, this is TOO good of a deal! Even payers that qualify
for loans from traditional lending institutions would jump at this
offer with no out-of-pocket money required and a rate below prime.
Clearly, the note payer and note buyer are looking for very different
things. Payers would love a "no money down" purchase with financing at
a low interest rate, but most buyers wouldn't want anything to do with
this sort of note simply because it is a bad deal for them.
In a situation without a reasonable down payment there is nothing
holding the payer to their obligation. After all, a payer involved in
a "no money down" purchase could walk away and lose almost nothing
financially. Abandoning their obligation to pay may hurt their credit
score, but it was their substandard credit that forced them into a
seller-financing situation in the first place.
When there is no equity in the property (buyers will use the lower of
the property value or the sales price to calculate equity), all offers
to purchase the secured note will be discounted substantially in order
to compensate for the buyer's risk of default. A heavily discounted
buyout offer often means the seller will not be able to get the money
they need.
If the seller of a private note needs a large amount of cash
immediately, they must be able to sell the note as soon as it has been
created. And to quickly find a buyer, the note must meet the general
buying parameters of these people, which include a solid down payment,
a decent interest rate, and typical terms.
Creating notes that can be sold
Every buyer has their own criteria that determine what they will or
won't buy, but a down payment of at least 10% is a good minimum figure
when creating a note. This upfront payment immediately creates equity
in the property which acts as the buyer's safety net in a foreclosure.
A competitive interest rate is important because it will make it easy
for the buyer to purchase the note and yield the desired profit
without much of a discount to the note holder. Finally, keep in mind
that people typically avoid notes that do not follow a traditional
term (amortized over 120 months, 180 months, etc). A two-year,
interest-only balloon term is a perfect example of a note that most
buyers would avoid.
The points described above are only a rudimentary starting point for
note creation; there are certainly other things that buyers look for
when considering a note. It is always a good idea for the seller to
contact a qualified note finder in order to get the specific
information they need.
The finder will be able to utilize their experience in working with
buyers to give the seller general guidelines about what should meet
most buyers' parameters. Of course, there are no absolute guarantees
of a quick sale, but when the seller creates a note with the buyer.s
needs in mind, it should not be a problem to locate an interested
buyer who will give the seller the cash settlement they need.
email us
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market with seller financing was explained. The benefits to the seller
from involving a qualified cash flow finder with a seller financed
deal and having a note buyer "on board" before the note is created
were also covered. While using seller finance techniques to sell a
property are no more difficult than a traditional real estate closing,
following a logical and proven plan is the best method for ensuring a
successful real estate sale with seller financing.
The sellers' misconception
Many property sellers stay away from seller financing because they
mistakenly believe that creating a note is not a viable solution for
selling their home. After all, if they can't walk away with enough
cash to provide the down payment on another property, they'll be
powerless to replace the property they're selling.
As a consequence of this common misunderstanding, many sellers feel
compelled to stick with conventional real estate methods, limiting
their options and missing out on the benefits that seller financing
could offer them.
In actuality, many notes created through seller financing are quickly
sold and the seller ends up with the cash they need. Even better, if
the note is created with buyers' purchasing criteria in mind, the
seller could walk away from the closing table with cash in hand. This
means that the net result is almost exactly the same as with a
conventional real estate sale!
In the cases where the note holder does have a problem selling their
monthly payments, the difficulty in liquidating the note is typically
a result of one general problem: the note was not created with the
buyer in mind. Instead, it was created with only the payer in mind. To
ensure that a newly-created note will be attractive to potential
buyers, it is important to recognize that their purchasing criteria
are important as well.
Too good of a deal
For property sellers looking to sell their note immediately, it would
be a grave mistake to create the note by prioritizing only the payer's
demands. A buyer must have a compelling reason to agree to collect
payments in order to buy a note, such as a substantial down payment, a
respectable payer's credit score (to minimize risk), a competitive
interest rate, or a fairly short term.
An example of a "bad note" from a buyer's point of view would be a
seller financing situation where no down payment was collected, the
payer's credit score was not checked, and the interest rate is fixed
at 3%. Basically, this is TOO good of a deal! Even payers that qualify
for loans from traditional lending institutions would jump at this
offer with no out-of-pocket money required and a rate below prime.
Clearly, the note payer and note buyer are looking for very different
things. Payers would love a "no money down" purchase with financing at
a low interest rate, but most buyers wouldn't want anything to do with
this sort of note simply because it is a bad deal for them.
In a situation without a reasonable down payment there is nothing
holding the payer to their obligation. After all, a payer involved in
a "no money down" purchase could walk away and lose almost nothing
financially. Abandoning their obligation to pay may hurt their credit
score, but it was their substandard credit that forced them into a
seller-financing situation in the first place.
When there is no equity in the property (buyers will use the lower of
the property value or the sales price to calculate equity), all offers
to purchase the secured note will be discounted substantially in order
to compensate for the buyer's risk of default. A heavily discounted
buyout offer often means the seller will not be able to get the money
they need.
If the seller of a private note needs a large amount of cash
immediately, they must be able to sell the note as soon as it has been
created. And to quickly find a buyer, the note must meet the general
buying parameters of these people, which include a solid down payment,
a decent interest rate, and typical terms.
Creating notes that can be sold
Every buyer has their own criteria that determine what they will or
won't buy, but a down payment of at least 10% is a good minimum figure
when creating a note. This upfront payment immediately creates equity
in the property which acts as the buyer's safety net in a foreclosure.
A competitive interest rate is important because it will make it easy
for the buyer to purchase the note and yield the desired profit
without much of a discount to the note holder. Finally, keep in mind
that people typically avoid notes that do not follow a traditional
term (amortized over 120 months, 180 months, etc). A two-year,
interest-only balloon term is a perfect example of a note that most
buyers would avoid.
The points described above are only a rudimentary starting point for
note creation; there are certainly other things that buyers look for
when considering a note. It is always a good idea for the seller to
contact a qualified note finder in order to get the specific
information they need.
The finder will be able to utilize their experience in working with
buyers to give the seller general guidelines about what should meet
most buyers' parameters. Of course, there are no absolute guarantees
of a quick sale, but when the seller creates a note with the buyer.s
needs in mind, it should not be a problem to locate an interested
buyer who will give the seller the cash settlement they need.
email us
Visit A Dog Blog
Wednesday, May 27, 2009
Should You Sell Your Property as a For Sale By Owner?
Thousands of homeowners ponder the question of whether or not to sell privately. This is a question that gets a lot of attention on the internet, and also spawns an enormous amount of erroneous information. Many people want to sell their own properties, but are afraid of "hidden" problems that may rise up to cost them money, or cause them grief. Fear is the number one reason that people are willing to pay a Realtor to sell their home. Unfortunately, this fear is often unfounded, and all too often promoted by someone with a vested interest in taking your money to sell your property.
For some time now, many articles that pretend to promote selling privately, while in actual fact, they are designed to discourage you from taking on this task.
Obviously, such articles do not come right out and say "Hey don't do it!", but instead they tell you all of the seemingly bad stuff that "could" happen if you dare try it. They paint such a grim picture of selling privately while "encouraging" the reader, that nobody would try it if they chose to follow the advice of such articles.
This article will cover, albeit briefly, the reasons that many people should, or should not sell on their own. I will try to dispel the immense amount of misinformation on the subject of selling privately, and in the end, hopefully, you'll be in a better position to choose for yourself whether or not to sell privately.
In my opinion, selling privately is not for everyone, but most people can do it easily enough, and succeed.
First some basics. You've probably heard the term FSBO. This acronym to describe the term For Sale By Owner.
First question. Do you need a license to sell privately? To the best of my knowledge, no license is required in any American state or Canadian province in order to sell property privately. In fact, your right to sell privately is protected by law. I will suggest that you check with your lawyer.
I am not a lawyer and therefore cannot give you legal advice. So check with your lawyer before you do anything.
How much time will it take to sell my property? I am NOT going to try and tell you how long it will take for you to find a buyer who will transact a sale. I will talk about the time it takes to market a property on your own in order to give you a sense of what sort of time commitment you'll need to make to do it correctly. The answer, surprisingly, is very little time, about an hour or two a day at most. In fact, once you've taken the time to set up your sale, which is something I will talk about in another article, it will take little or no time at all, unless you're showing your property to a prospective buyer.
What is the general process of selling a property privately? In many ways it's exactly the same as selling with a real estate agent. Here is the process of selling a property, privately or not. First, the property is advertised to let the public know that it's available for sale. Prospective buyers inquire about the property, ask questions, and arrange a viewing appointment. The prospective buyers come and see the property, sometimes more than once. If they like the property, they make an offer in writing on a legal form. You (or your agent) and they (or their agent) negotiate the terms of the offer, the price, and closing date. Then once everyone has agreed, and all parties have signed the offer, everything goes to the lawyers so they can do their stuff to effectively convey title, and exchange monies etc..
It seems pretty straight forward, and usually it is. First you'll have to market the property, show it to prospective buyers, and negotiate the terms of the sales agreement. Once the agreement has been signed by both the Seller and the Buyer, then your lawyer will do the rest for you. Also, don't forget to get contact information for the Buyer's lawyer. Your lawyer may need this information to begin the process with the other attorney.
More articles will follow. One thing to consider when selling FSBO is to provide financing for the prospective buyer. You can become the bank and take back the mortgage. You can provide financing with a mortgage note or trust deed for a short period of time, then sell the note for cash.
Please read the articles on our blog for more information. Click here to email us with your questions.
Tuesday, May 19, 2009
Consolidate Your Debts
Are you facing difficulties in paying back the loans
because you have two or more pending debts? If your answer is yes, then
debt management is the solution for you. It is a process which
reorganizes your debts to more affordable repayments terms. It clubs
your multiple high interest unsecured loans, into a single loan with
lower interest rate.
Various financial aid consultants are
deployed by the lenders, who negotiate with your creditors on your
behalf. An expert from financial institute selected by you meets your
creditors and makes an arrangement after which, you just need to pay
certain amount to the institution and not directly to creditor. The
amount paid by you includes fee waivers and discounts on debts owed by
you. This service is also open for bad credit history holders. After
the loan consolidation, you just have to make a single monthly payment,
which covers for all the loans which get consolidated.
You can
ask for quotes from various lenders if you want to get this service.
The quotes are provided free of cost and they enable you to explore the
difference between costs of debt management options provided by
different loan providers. This management is offered to you keeping in
mind, your financial situation and credit status.
With the help
of a proper research about the financial institutes offering this
service, you can certainly spot competitive interest rates. With the
help of this management, you will no more have to face harassment from
different lenders, as you will only be dealing with a single loan
provider.
In order to strike the suitable deal, you can switch to
the Internet. With the help of on line mode, you can come across various
financial institutions and lenders providing you with this management.
You can make comparisons between different terms and conditions offered
by different lenders and then select a suitable deal.
Debt
management helps you to settle your scattered debts and multiple
financial obligations. It is an affordable way to deal with your debt
problems.
If you are holding a mortgage note, you can sell a mortgage note and get cash now.
If you have a mortgage note you can sell your mortgage note for cash now. We have buyers that want to purchase your mortgage note. We can close in 2-3 weeks. Click here to email us for more information.
Monday, May 18, 2009
Check Your Credit Score Before You Apply For A Mortgage
Bad credit or good credit, the process of obtaining a mortgage has changed. Even if you are simply trying to refinance your existing mortgage, you may be surprised at how different things are. Of course your credit score always played a significant role in determining what kind of loan you can apply for, but nobody could have predicted what you need in order to get a mortgage today.
in the past, banks were eager to lend money to people who were interested in buying a new home. They would barely look at your income and sell you loans that were more than you could afford - virtually regardless of your credit history. A credit score of around 680 points would have been considered good credit and allowed you to get preferred rates and the best plans.
Today, just a few months later, things have changed dramatically and it is nearly impossible to get a mortgage without excellent credit. The good news is that along with those changes, it has become increasingly easy to increase your credit score.
Before you try to get a new home loan, the very first step is to access your personal credit information to find out where you stand on the credit score scale. You can then use this information to remove the errors that are common to credit reports, quickly increase your score, and then get approved for the loan you need.
You can also think about owner financing with a mortgage note. Click here to contact us for more information.
Sunday, May 10, 2009
Selling your Property in a Difficult Market
If you listen to the media hype, you're probably thinking that you need to hold onto your home until the economy bounces back; that you'll never offload your house in this market. While it's true that sellers in some regions are finding it tough to sell right now, there are still buyers out there looking for a home.
The first step you need to take to ensure a successful sale of your home is to hire a reputable listing agent. While many people try the For Sale by Owner route first, most discover that selling a home is time consuming, complicated, and requires more specialized knowledge than they have.
Many homeowners who try to sell their home on their own become overwhelmed with trying to market their property to buyers. After all, it takes more than a yard sign and a couple of balloons to attract large numbers of viable buyers.
A good real estate agent will organize and host open houses for you, taking care of the scheduling, showing buyers around, and answering their questions. For these events, they will likely create professional brochures or fliers that feature the listing details of your home, as well as highlight the property's best features. This gives buyers something to bring home with them, and will make a positive impression.
In addition to traditional marketing methods like open houses, today's agents will also develop a solid advertising campaign for the internet. With over 80% of buyers starting their home search on the web, listing your home on the Multiple Listing Service and on other reputable websites is an important step in getting your home noticed. Thousands of agents and potential buyers will be able to access details and photos of your home from the comfort of their living room.
Having a web savvy agent is absolutely vital in this market, but you also want an agent who has been in the industry for a few years-particularly one who has experienced the ups and downs of the housing market. He or she will be able to provide insight and practical advice about how best to go about getting your home sold in a difficult market.
With your listing price set and marketing campaigns in place, a realtor will also help you negotiate with buyers to get the best price possible. Agents are trained and skilled in the art of negotiation, and will make the entire transaction much smoother for everyone.
Successful sales are possible even in slow markets like this one, but it's important to have an ally with know-how to guide you along the way.
Do not forget about seller financing with a mortgage note. We can help you with selling a mortgage note or creating one to take back financing.
Wednesday, December 3, 2008
How to make sure you get the highest price for your mortgage note.
How to make sure you get the highest price for your mortgage note.
- Buyer's credit.
The better the credit rating of the buyers, the more valuable your note.- If they are a husband and wife, find out the credit rating of both of them. many time the wife is earning more than the husband.
- If you don't have a credit report, you can order a free report from us.
- Sale price of real estate.
If this is MORE than the actual value of the real estate expect to take a bigger discount when you sell the note. An experienced note buyer wants to have some equity in the property in case the buyer defaults. - Third party buyer.
If you sell to a family member or friend you WILL have difficulty collecting your payments. - Actual, provable value of the real estate.
If you are taking back a first mortgage note there is no legal reason to have an appraisal. But if you intend to SELL the note, any experienced note buyer will want to know what the property is worth. It may be harder to access the property and have an appraisal done after you close on the sale. - Loan to Value ratio. LTV.
For a note to be marketable the total LTV, that is including the first and second mortgage (if any) should be no more than 75% of the actual value of the property. However, if the buyer's credit is good, this 75% could refer to the Investment to Value or ITV. In other words, the amount the note buyer is investing in the note. Thus if the property is worth $100,000 and the buyer has put down a 10% payment and has a $90,000 mortgage, you could get $75,000 (75% of the value) for your note. - Who are the buyers?
If the buyers are husband and wife they BOTH need to sign the note. If the buyer is a corporation, trust or LLC then make sure the principals also PERSONALLY sign the note. If they refuse to do so this could be an indication they will let the note default if the deal doesn't work out for them. Of of, this need not apply if the buyer is a substantial corporation. (I wouldn't ask Bill Gates to personally sign on a note from Microsoft. :-) But how about a note from WorldCom or Enron?) If the borrower is NOT a substantial corporation then the note could be either unsaleable or only saleable at a much larger discount to reflect the lack of personal liability. - Seasoning, aging.
There is no doubt that a seasoned note, where the buyers have made payments for a year or more, is easier to sell and will get a higher price than a new one. But of course you won't have this option if you want to do a simultaneous closing. - Institutional lender allows secondary financing.
There are many institutional lenders, banks etc. that will not allow secondary financing behind their note. Why not? After all, their lien is senior anyway. One answer is simply that they do not want to the borrower to be stretched to make their payments. Also they would sooner the buyer put down more cash or pay for mortgage insurance (a fancy way of saying a higher interest rate.) - Loan properly secured.
If your mortgage is a second mortgage, it should be a properly recorded mortgage or deed of trust to comply with your local laws. Any documentary and intangible taxes should be paid. Without this the mortgage may be unenforceable. - Title insurance.
You should have proper mortgagee's title insurance. - Rights with respect to first mortgage, if you hold a second.
If you are holding a second mortgage it should contain language to the effect that a default on the first mortgage is a default on the second. Also that you, as second mortgage holder have the right to check on the payment status of the first. - Interest rate.
Other things being equal, the higher the interest rate, the higher the price you will receive. But be aware of laws concerning Usury and Predatory lending. A below market interest rate will demand a hefty discount to be saleable. - Length of note to short.
Typically it is hard to sell a note with a short balloon, or a balloon due in just 6-12 months. The note buyer will be concerned that the borrower won't be able to refinance and pay them off.
But a loan with for example, 3-5 years to run, and a 30-year amortization is going to be saleable, other things being equal. - Length of note too long.
The note buyer won't usually want to wait 30 years to get paid off, but these notes can often be sold to institutional note buyers.
Visit our BLOG for more articles.
Tuesday, November 25, 2008
Mortgage Note Buyers Helping You Get The Most Money For Selling Your Mortgage Note
All mortgage note holders want to know more about selling their mortgage note. Don't you?
Well, the popular way to get a lump sum of cash for your future payments is by using a mortgage note buyer.
Most people don't realize they have different creative options when using a contract buyer that can keep them from getting the most money for their owner-financed mortgage note.
It may seem scary or challenging, but truly it is not, unless you do not know the answer to this question.
Can I receive cash now and still hold part of the note? In other words, do I have to sell all of my note at once?
At first glance, this may seem obvious that this is the best choice because it will get you the most money up front. For some people, it is. When it comes down to it, it is up to you and your needs. If you need or want a large all cash payment and want to be out of the deal, rid of headaches and worries of a default buyer, avoid destruction of property, taxes and insurance, and would like a larger sum of money now instead of collecting small monthly checks, then a full sale is best.
But let 's take a look at some more needs. If you are just looking to get a
larger down or some money to take care of some immediate needs or
pleasures, then a partial payment may be better. Maybe you just want to
lessen the amount of strain or burden of carrying the note and would like to sell just a portion of each monthly payment. Then a split payment option will be better for you. (This way you can go on vacation, consolidate debt buy a new car...)
What is a partial? A partial is the purchase of a portion of an income streams remaining payments, or a purchase of a portion of a specific payment, or any combination thereof.
There are many times when this may make sense. Let 's say that you have a new note and it has not been seasoned (length of time that a note has been in place and paid on), it has little or no down payment, and has poor credit by the payer. In this case, it would be better to sell only part of the future payments. It will get you more money in the long run because the mortgage note buyer would have less risk should the buyer default on the note. Then after the note has experienced seasoning you could sale the rest of the payments at a much higher percentage.
Let 's look at an example of this:
Sales price: $100,000
Down payment: $5,000
Original note balance: $95,000
Payers credit: poor
Seasoning: 1 month
Appraised property value: $100,000
Term: 360 months
Interest: 10%
Remaining payments: 359
This is a low quality note because the buyer is not putting much money down,
the pay back period is very long, and the buyer 's credit is bad. But you could still make out like a bandit by selling it as a partial. Let 's say you sold the first 120 payments (10 years) for $51,000. After the 120th payment, the contract would be returned back to you. The balance owed to you would be $86,391.12. You would then start to collect the payments from then on. Let 's see how this looks.
Sales price: $100,000
Down payment: $5,000
Original note balance: $95,000
Contract written for 30 years @ 10%
Monthly payment: $833.69
Note buyer purchases first 120 payments for: $51,000
Total cash to home seller $56,000
(down payment + cash from note buyer)
After 120 payments contract is returned to you with a balance of $86,391.12
Total money to you: $142,391.12 (including interest). Not shabby for a house that sold for $100,000.
So, what is a Split?
A split is a purchase of a specified monthly amount. If you're getting to the point where you would like to enjoy some of the finer things in life, while still receiving a good monthly income, then a split payment is a great choice for you.
For example, if the monthly payment on a seller-financed note is $1,000, we could purchase $200, $500, $750, etc. of the monthly payment. This will allow you to get cash now and then still collect a monthly income from the note.
All in all, each situation is different and may need to be tailored differently to meet your needs. I can't say exactly what you will get for your individual situation, but I can say that you should walk away happy. Selling your mortgage note should be much easier and more profitable now that you are armed with some creative options.
Get a free quote email us at quote@smilingdogenterprises.com
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Wednesday, November 12, 2008
Most Often Asked Questions About Selling A Mortgage Note
Mortgage note buyers exist to help you create, sell and understand your mortgage notes, contracts for deeds, trust deeds, and promissory note both residential and commercial.
Below you will find 5 frequently asked question about selling your mortgage note.
5 frequently asked questions, that most note sellers have about selling their owner-financed mortgage note are:
1. How much cash can I get? There are many factors in determining the offer price for selling a mortgage note The main four are equity, seasoning, interest rate, and credit of payer.
The more of these you have in your favor the larger lump sum you will get. This is why many mortgage note buyers offer a free no obligation quote.
If you look through some of the questions there, you'll see that they are simple and only take a few minutes to fill out.
These type of questionnaires are designed to keep you from having to dream about how much money you will get. The coolest part about it is, if nothing else, you know how much money you could receive if you wanted it.
2. How do I sell my note? Selling your note is easy. The first step is finding and contacting a mortgage note buyer or contract buyer and simply telling them that you want to sell your note.
This initial contact could be by phone, email, or through filling out a free mortgage note quote form. More than likely, if you are reading this, then you are at a site that can help you get a cash offer for your note.
If not, then there is a link to a good website and company above, that can give you a "No hassle, No obligation" quote.
Once you give the contract buyer some required information, they will be able to get back to you, usually within 24-48 hours, with an offer.
3. How long does the process take once I decide to move forward? After you have given the mortgage note buyer the required information, either by calling, email, or filling out an online form, they will get back to you in 24-48 hours.
Usually, it only takes 2-3 weeks to complete the deal and have a huge certified check deposited, or wired to your bank account.
4. When I convert my note to cash, how will it affect the person(s) paying me? Not at all. The terms, payment, and amount owed stay the same.
This is a really neat thing about selling your mortgage note. You can get a large sum of cash and it doesn't affect the person(s) paying you. Sounds like a "win-win-win" situation to me.
5. Where would the closing take place? Usually, at the closest title company near you. Sometimes it takes place in the town or city in which the property is located...which brings up another question.
Do you have to be there for the close? Nope, not generally. The person handling the title and closing the deal can send you the closing package. This is all done to make it as convenient and as easy for you as possible.
As you can see, getting a large sum of cash now for your future mortgage payment is an easy process that can put a lot of money into your pocket for a vacation, to consolidate bills, and buy or enjoy any other necessities or pleasures.
Mortgage Note Questions - How To Sell Your Mortgage Note
When it comes to selling real estate, one of the biggest obstacles sellers face is a so-called “depressed” market. Even when a property is highly desirable, it can be hard to get the price you want in this real estate environment. You could end up losing a lot of time, money, and opportunities, waiting for a “perfect buyer” who may NEVER materialize!
The traditional solution is to drop your asking price. But this common strategy doesn’t always work in your favor. In fact, it can work against you, making your home seem undesirable and your position seem weak.
But there IS a way to turn this challenge into a profitable opportunity! I am not selling anything. I am in the business of paying cash for mortgage notes and trust deeds.
Keep in mind that it has to make financial sense. Although having regular income is a nice idea, there comes a time when you might need a lump sum of cash for an investment, a large purchase or just to pay.
A cash flow notes statement documents the amount of incoming and outgoing cash and its equivalents. Only cash sales are recorded in a cash flow statement – all future sales including those made on credit are not declared.
Most banks refuse to accept a short sale or modify the terms of a mortgage unless the owners are numerous months behind in payments. The homeowners come to the bank to ask for help to avoid foreclosure. Individuals sell structured settlements to get liquid cash. They can be sold to special financial institutions. The main advantage of selling structured settlements.
In situations where you are holding the sell mortgage notes and receiving payments from the sale of commercial and residential real estate, and you are want to cash in on those payments, there are service agents who provide help. This technique has been the key in making up an estimated 20% of all private note sales.
Right now, thousands of people across North America are stuck with investments that they don’t want. They would rather have the cash now! Whether it’s a real estate note created when selling a property, a business note created when selling a business or even a structured settlement, there are thousands of notes out there that could be turned into cash!
Get cash now and forget those monthly payments FOREVER! We work with buyers who are ready to pay top dollar for your notes. If you have a trust deed, a mortgage note or any private loan, it's time to find out exactly how much CASH you could be entitled to.
* It's Quick: Learn how to cash out in minutes
* It's Easy: You could have cash in just days
* It's Secure: Get real quotes directly from certified buyers
There has never been an easier or faster way to cash out of your investment. Whether you need money to pay bills... to buy a home... to fund an education... or even if you just need some spending cash... We'll show you the money for your mortgage note or trust deed!
http://www.smilingdogenterprises.com
getcashnow@smilingdogenterprises.com
Thursday, November 6, 2008
Financial Planning How To Sell Your Mortgage Note For Cash Now
Many people that sell their home or property choose to sell it themselves as opposed to going through a real estate agency, bank or lending institution. There are different reasons why they may choose to do this. They may be selling it to a friend or relative and want to avoid or eliminate the middle man or the buyer may not be able to obtain conventional bank funding. Another reason may be to avoid having to pay commission to a real estate agent for selling your property. If you’re selling your property for a large sum of money, the commission the real estate agency will earn can be quite substantial. When you are the seller that holds the trust deed on the property sold, things can go smoothly or problems may arise.
If you are not in instant need of the proceeds from the sale, being the “lender” may work out great for you. Many people, however, discover after a certain amount of time that they want to invest in property and need the money. If this is the case, the first question you may ask yourself is, “How do I sell my trust deed?” This is actually something you should consider at the time you sell your property. You may think that acting as a lender will be simple and quick for you and the buyer, but you may want to learn all you can about this procedure before you make a commitment.
If the buyer is having difficulties making the payments, you may tire quickly of being the “bad guy” demanding payments or collecting late fines. If I was considering selling and holding the trust deed for my property, I would research how to sell my trust deed before I signed any legal binding contract. Even though I may not ever need to sell my trust deed, I’d still want to get all the information I needed ahead of time. We can help you learn the best way to sell my trust deed at NO cost to you. An attorney can also give me information if I want to sell my trust deed and what steps need to be taken.
We will not only buy your trust deed, but often we will buy just part of it. You may want to go on a vacation, make an investment or just have extra cash available and not want to sell the entire trust deed.
Click here to email us Our complete BLOG List a Note on our site
Wednesday, October 22, 2008
Selling a Mortgage Note or Trust Deed
If you have recently sold property and financed the buyer by taking back a mortgage or deed of trust, you own a Mortgage Note. You will be collecting monthly payments for years to come. But what is that worth in dollars today, and how can you get your money ahead of time? This is called the time value of money.
If you need a lump sum of cash now, you can sell your mortgage note to a third party wanting a regular payment stream as an investment. There are many companies out there that will buy your
mortgage, discounting the payments for the remainder of the loan back to present day dollars.
Keep in mind that the interest rate that will be used to calculate what today's dollars are worth will be different than the interest rate on the mortgage note. Why is this? Well the investor most likely will want a different interest rate than what the mortgage note is for based on current rates.
For example, if the interest rate on your mortgage note is 6%, but the average rate in the market is 8%, why would an investor agree to 6%. He would still be getting the 6% on the face of the note, but by paying less than the present value at 6%, he makes up the additional 2% up front.
One last thing to keep in mind is that the higher the discount rate that a buyer uses, the smaller the
lump sum payment will be. This also works in reverse - if the note says 8% and the current rate is 6%, an investor will pay a premium to buy that payment stream.
We buy mortgage notes and trust deeds. For more information click here.
Smiling Dog Enterprises
If you need a lump sum of cash now, you can sell your mortgage note to a third party wanting a regular payment stream as an investment. There are many companies out there that will buy your
mortgage, discounting the payments for the remainder of the loan back to present day dollars.
Keep in mind that the interest rate that will be used to calculate what today's dollars are worth will be different than the interest rate on the mortgage note. Why is this? Well the investor most likely will want a different interest rate than what the mortgage note is for based on current rates.
For example, if the interest rate on your mortgage note is 6%, but the average rate in the market is 8%, why would an investor agree to 6%. He would still be getting the 6% on the face of the note, but by paying less than the present value at 6%, he makes up the additional 2% up front.
One last thing to keep in mind is that the higher the discount rate that a buyer uses, the smaller the
lump sum payment will be. This also works in reverse - if the note says 8% and the current rate is 6%, an investor will pay a premium to buy that payment stream.
We buy mortgage notes and trust deeds. For more information click here.
Smiling Dog Enterprises
Thursday, October 16, 2008
Selling A Business with Seller Financed Mortgage Notes
Business notes or Promissory notes are created when a business owner sells a business using owner-financing. Seller financed business notes, or Seller carry-back notes, are almost identical to Owner financed mortgage notes, except that they are notes created from the sale of a business instead of a home or property.
It is significantly more difficult to get a bank loan for the purchase of a small business than it is to get a loan for the purchase of a home. Businesses historically have a high failure rate, and often do not have enough collateral to satisfy a bank loan.
It is very common for the seller of a business to take back a note (or "carry the loan") to help with the sale of the business. Business sellers usually have no choice but to offer seller-financing. They often accept a down payment for part of the sale, and a promissory business note for the balance. The usual down payment is 33-1/3%, and the seller receives a monthly payment from the buyer for 5 to 7 years. There may or may not be a balloon, interest rate is negotiated.
There are times when the seller is content to receive the payments over many years but it is often the case that they have needs for a lump sum payment instead of collecting the payments over time. The person holding the note however does not want to wait that long to receive all the money from the business, so he or she looks for a someone to buy all or part of the note being held.
10 Top reasons business note holders may want to sell their business note:
1. To Raise cash.
2. To Eliminate debt
3. To have the capital to start their next project
4. Enhance their investment portfolio or planning a new investment strategy
5. Want to buy real estate, home, car, boat or plane?
6. Need to pay for a medical emergency?
7. Need to fund a child 's education?
8. To Fund their favorite cause or charity
9. To Eliminate the hassle and worry of collecting payments
10. Or just want to take the vacation of a lifetime?
To meet your current financial objectives, you can now sell your business notes. In some cases you can sell all the remaining payments of your business note, while in other cases you may sell just enough payments to meet your need. And don't worry about your business 's buyer. When you sell your note, the sale does not affect the buyer at all. Their contract terms remain the same.
There is such a broad range of different types of business notes that can be purchased, it would be impossible to list them all.
Eligible Businesses on which NOTES are sold include, but are not limited to:
Dry cleaners, Hair, Nail salons, Auto repair shops, Printers, Medical & Dental practices, Restaurants/ Bars, Mini-markets, Convenience stores, Manufacturing companies, Various Service industries, Pest Control companies, Mail and Packaging centers, Building maintenance services , And many others . . .
Typical Business Note Buying Criteria:
A. First position as lien holder
B. Substantial down payment (usually 30%-35% minimum)
C. Seasoning (3-5 timely payments made already)
D. Buyer 's previous experience in business
E. Buyer has good Fico credit score (625-650 or above)
F. Note must be fully amortized and in first position
G. Note must be personally guaranteed
While these are typical criteria desired, but each transaction is considered on its own terms and strengths. Every note is reviewed on an individual basis.
I personally believe that most important reason to sell your business note today is that you take advantage of the financial principle of the Time Value of Money, which means that a dollar is more valuable to you today than it will be in the future; you get your money before inflation kills its value.
Click here to email us.
Smiling Dog Enterprises
It is significantly more difficult to get a bank loan for the purchase of a small business than it is to get a loan for the purchase of a home. Businesses historically have a high failure rate, and often do not have enough collateral to satisfy a bank loan.
It is very common for the seller of a business to take back a note (or "carry the loan") to help with the sale of the business. Business sellers usually have no choice but to offer seller-financing. They often accept a down payment for part of the sale, and a promissory business note for the balance. The usual down payment is 33-1/3%, and the seller receives a monthly payment from the buyer for 5 to 7 years. There may or may not be a balloon, interest rate is negotiated.
There are times when the seller is content to receive the payments over many years but it is often the case that they have needs for a lump sum payment instead of collecting the payments over time. The person holding the note however does not want to wait that long to receive all the money from the business, so he or she looks for a someone to buy all or part of the note being held.
10 Top reasons business note holders may want to sell their business note:
1. To Raise cash.
2. To Eliminate debt
3. To have the capital to start their next project
4. Enhance their investment portfolio or planning a new investment strategy
5. Want to buy real estate, home, car, boat or plane?
6. Need to pay for a medical emergency?
7. Need to fund a child 's education?
8. To Fund their favorite cause or charity
9. To Eliminate the hassle and worry of collecting payments
10. Or just want to take the vacation of a lifetime?
To meet your current financial objectives, you can now sell your business notes. In some cases you can sell all the remaining payments of your business note, while in other cases you may sell just enough payments to meet your need. And don't worry about your business 's buyer. When you sell your note, the sale does not affect the buyer at all. Their contract terms remain the same.
There is such a broad range of different types of business notes that can be purchased, it would be impossible to list them all.
Eligible Businesses on which NOTES are sold include, but are not limited to:
Dry cleaners, Hair, Nail salons, Auto repair shops, Printers, Medical & Dental practices, Restaurants/ Bars, Mini-markets, Convenience stores, Manufacturing companies, Various Service industries, Pest Control companies, Mail and Packaging centers, Building maintenance services , And many others . . .
Typical Business Note Buying Criteria:
A. First position as lien holder
B. Substantial down payment (usually 30%-35% minimum)
C. Seasoning (3-5 timely payments made already)
D. Buyer 's previous experience in business
E. Buyer has good Fico credit score (625-650 or above)
F. Note must be fully amortized and in first position
G. Note must be personally guaranteed
While these are typical criteria desired, but each transaction is considered on its own terms and strengths. Every note is reviewed on an individual basis.
I personally believe that most important reason to sell your business note today is that you take advantage of the financial principle of the Time Value of Money, which means that a dollar is more valuable to you today than it will be in the future; you get your money before inflation kills its value.
Click here to email us.
Smiling Dog Enterprises
Wednesday, October 8, 2008
Tips on How To Sell Your Mortgage Note
You might not have been aware of the fact that you can sell your mortgage notes or sell it online, but more and more sellers are choosing to do so.
Many people seeking a lump sum of cash want to know how to sell mortgage notes for top dollar and where to find a note buyer. Fortunately, the process is quite simple. You may get a competitive quote in a matter of hours.
The best part is you can take care of everything via phone, fax and email, so there’s no need to be in the same area, even the same state as the note buyer. And you can usually have your cash in hand within a few weeks, as the average transaction takes between 10-14 days to
complete.
We are experts at selling notes and you can fill out a form on line or contact us with any questions you may have. We will ask for a little information about you as well as details about
your note. Fill in as much information as you can as this will be helpful to the potential buyer.
During the initial contact you will discuss the details of your note including balance, time remaining, interest rate, payments to date, etc. The buyer will use all of this information to decide what to offer you for your note.
Keep in mind that it has to make financial sense for them as well, so the stronger the note the more you can expect to receive for it. Remember, the buyer is now assuming the risk for you, so they have to deal with all of the potential problems that could arise down the road,
e.g. inflationary pressures, payor default, unstable economy, etc.
To list your note, click here.
To email us your questions click here.
Thank you
Tuesday, October 7, 2008
The Real Estate Market with a New President
The existing real estate market is in decline and current forecasts do not see a significant rise any time soon. However, there are many variables that could affect this forecast. Being an election year, a new president, depending on the policies of his platform, may be able to change the economy to such an extent that the real estate market also changes. There is no guarantee that it will be for the better but it very well may affect change. This late in the game the front runners for the election are Barack Obama and John McCain.
Obama is a Democrat who has a proposed housing reform plan. His reformations include changes to the financial regulatory system to have stricter controls on financial institutions. Also in his plan is a system to help with the current foreclosure problem facing many Americans today. He proposes that the Federal government take steps to assist those who are in financial straits by buying out or refinancing existing mortgages to drop monthly payments.
Also, he wants financial institutions to restructure loans as early as possible when a borrower is having problems. In addition he wants to increase tax incentives for people who have mortgages so they can get a break on their taxes. His final initiative includes a federally funded program costing up to thirty million dollars to help with the existing foreclosure crisis facing America today.
McCain, a Republican holds that there should be little government intervention in the banking situation and that the economic issues should play out naturally. However, recognizing the crisis he is open to suggestion from leading authorities for temporary solutions for assistance in order to help the American public through the crisis. However, he maintains that any assistance should be temporary and any permanent reform should be in the means of regulatory changes and increasing the accountability of banks so that the crisis does not occur again.
He also insists that any financial assistance to the public should be for those in primary residences to save their home and no assistance should go to investors in trouble or those who have trouble keeping up a second home or vacation property. While McCain is amenable to analyzing the issue and open to discussion regarding possible solutions for both long and short term, he is non committal about what his housing policy is and refuses to make it a part of his campaign. He does not want to play on the fears of the public to win votes by touting a reform policy that is not feasible or would not pass.
Both Obama and McCain have recognized the existing housing problems in the country. Both have acknowledged a need for some type of reform. They do, however, disagree on how much government should be involved and in which aspects. Obama has a clear cut strategy for housing reform as part of his campaign platform but that does not mean anything will actually come to fruition if he is elected. McCain has been noncommittal in pinning down specifics but has stated it is something that will take precedence. How the market will unfold after the election, though, will depend not so much on who is elected but what will actually occur when they are. Right now, there is merely discussion and planning with nothing concrete evidenced by either side.
We buy mortgage notes and trust deeds.
Obama is a Democrat who has a proposed housing reform plan. His reformations include changes to the financial regulatory system to have stricter controls on financial institutions. Also in his plan is a system to help with the current foreclosure problem facing many Americans today. He proposes that the Federal government take steps to assist those who are in financial straits by buying out or refinancing existing mortgages to drop monthly payments.
Also, he wants financial institutions to restructure loans as early as possible when a borrower is having problems. In addition he wants to increase tax incentives for people who have mortgages so they can get a break on their taxes. His final initiative includes a federally funded program costing up to thirty million dollars to help with the existing foreclosure crisis facing America today.
McCain, a Republican holds that there should be little government intervention in the banking situation and that the economic issues should play out naturally. However, recognizing the crisis he is open to suggestion from leading authorities for temporary solutions for assistance in order to help the American public through the crisis. However, he maintains that any assistance should be temporary and any permanent reform should be in the means of regulatory changes and increasing the accountability of banks so that the crisis does not occur again.
He also insists that any financial assistance to the public should be for those in primary residences to save their home and no assistance should go to investors in trouble or those who have trouble keeping up a second home or vacation property. While McCain is amenable to analyzing the issue and open to discussion regarding possible solutions for both long and short term, he is non committal about what his housing policy is and refuses to make it a part of his campaign. He does not want to play on the fears of the public to win votes by touting a reform policy that is not feasible or would not pass.
Both Obama and McCain have recognized the existing housing problems in the country. Both have acknowledged a need for some type of reform. They do, however, disagree on how much government should be involved and in which aspects. Obama has a clear cut strategy for housing reform as part of his campaign platform but that does not mean anything will actually come to fruition if he is elected. McCain has been noncommittal in pinning down specifics but has stated it is something that will take precedence. How the market will unfold after the election, though, will depend not so much on who is elected but what will actually occur when they are. Right now, there is merely discussion and planning with nothing concrete evidenced by either side.
We buy mortgage notes and trust deeds.
Monday, October 6, 2008
Five Steps to Improve Your Credit
For many, improving credit is an important step towards a chance at some of the most important aspects of everyday life. Good credit is vital if you want to own a good car, a good house, or any other major purchase. Like millions of people in America, you might have a few issues with your credit report; here are a few hot tips that can lead to improvement:
Step One: One of the best things you can do in your efforts to improve your credit is to learn your rights. Laws protect you as a consumer, and thus your credit score as well. You need to be familiar with those laws and your rights to improve that score. Policies of all sorts are in place that regulate everything from criteria regarding rejection to the ways a collection agency is allowed to go after late payments. If you're unaware of your rights, you'll find it difficult to insist on the proper steps that are in place to help you. Confusion is the enemy.
Step Two: The three major credit bureaus (TransUnion, Experian and Equifax) are required to provide you with a free copy of your credit report once a year, at your request.
Step Three: Once you have the credit report in-hand, go over it in miniscule detail. File a report for each and every negative item immediately. Any negative item must be investigated by the bureau: if they don't verify it within 30 to 45 days, the item must be removed! There are many reasons creditors refuse to verify information, which is great news for anyone trying to improve their credit. Better still, file your disputes when the credit business is busiest to help ensure there's less chance of verification.
Step Four: For certainty's sake, send every dispute form by certified mail (which only costs a few dollars extra) and request return-receipt. Make sure your records are extremely detailed, covering dates, times, names, every single minor step along the way. You want this process to be rife with delays and it will only help if you can make yourself as difficult as possible for them to deal with. Just one person failing in the verification-chain on their end, that's all it will take to get the negative mark cleared off your record.
Step Five: 30 to 45 days after you've sent in your dispute, get another copy of your report. Pay for it this time if you have to! Review it from top to bottom and start making phone calls about why unverified information hasn't been removed; it had plenty of time, after all. Dispute anything that remains, over and over and over again, until they get tired of dealing with you. Don't give up, because the reward for your persistence is an improved credit score!
In truth, it isn't difficult to improve your credit score, not really. It's as easy as getting your report, disputing everything negative, and repeating those steps until you get the results you want. Pay attention to every little detail and keep strict records, and you'll be well on your way to the better score that you want.
Step One: One of the best things you can do in your efforts to improve your credit is to learn your rights. Laws protect you as a consumer, and thus your credit score as well. You need to be familiar with those laws and your rights to improve that score. Policies of all sorts are in place that regulate everything from criteria regarding rejection to the ways a collection agency is allowed to go after late payments. If you're unaware of your rights, you'll find it difficult to insist on the proper steps that are in place to help you. Confusion is the enemy.
Step Two: The three major credit bureaus (TransUnion, Experian and Equifax) are required to provide you with a free copy of your credit report once a year, at your request.
Step Three: Once you have the credit report in-hand, go over it in miniscule detail. File a report for each and every negative item immediately. Any negative item must be investigated by the bureau: if they don't verify it within 30 to 45 days, the item must be removed! There are many reasons creditors refuse to verify information, which is great news for anyone trying to improve their credit. Better still, file your disputes when the credit business is busiest to help ensure there's less chance of verification.
Step Four: For certainty's sake, send every dispute form by certified mail (which only costs a few dollars extra) and request return-receipt. Make sure your records are extremely detailed, covering dates, times, names, every single minor step along the way. You want this process to be rife with delays and it will only help if you can make yourself as difficult as possible for them to deal with. Just one person failing in the verification-chain on their end, that's all it will take to get the negative mark cleared off your record.
Step Five: 30 to 45 days after you've sent in your dispute, get another copy of your report. Pay for it this time if you have to! Review it from top to bottom and start making phone calls about why unverified information hasn't been removed; it had plenty of time, after all. Dispute anything that remains, over and over and over again, until they get tired of dealing with you. Don't give up, because the reward for your persistence is an improved credit score!
In truth, it isn't difficult to improve your credit score, not really. It's as easy as getting your report, disputing everything negative, and repeating those steps until you get the results you want. Pay attention to every little detail and keep strict records, and you'll be well on your way to the better score that you want.
Sunday, October 5, 2008
Foreclosure vs Bankruptcy effects on Credit Reports
Nothing is worse for your credit score than a foreclosure or a bankruptcy credit report. Not only will these red flags remain on your credit record for seven years, but your score could drop as much as 300 points overnight, impacting your ability to borrow money for years. Your credit report will show every time you’re 30 days late on a mortgage payment and then the “Notice of Default” will show up. If you are able to stop the house from foreclosing, then you’ll have a good chance at repairing your credit over the next few years. Otherwise, the “Notice of Trust Sale” and the “Trust Deed Sale” will hit your report, scarring your financial freedom for the next seven years or more.
Once you’ve looked at your credit report, you’ll need to focus on improving your credit score. Pay all your outstanding bills on time, first and foremost. On-time bill payments account for roughly 35% of your credit score. Start with the highest interest rate cards and reduce your credit usage to 30% of what’s been extended to you. Replenish your savings, your 401k and other retirement accounts. You may want to contact CCSInc.org to obtain credit counseling and take free financial classes to re-educate yourself on how to save and spend wisely. A foreclosure can really shatter your confidence, as well as your purchasing power, so it’s important that you take this opportunity to reassess how you approach financial decision making as a whole.
So which is worse for your credit score, a foreclosure or a bankruptcy? Even though bankruptcy stays on your credit for 10 years and a foreclosure for 7, “a foreclosure is very serious to mortgage lenders,” said Ray Hooper, Education and Housing Director for the Consumer Credit Counseling Service. “They’re going look at a foreclosure more seriously than they will a bankruptcy that doesn’t include the house.” Hooper says if you’re receiving default notices but still want to keep your house, then you’ll need to catch up on those missed payments.
Once you’ve looked at your credit report, you’ll need to focus on improving your credit score. Pay all your outstanding bills on time, first and foremost. On-time bill payments account for roughly 35% of your credit score. Start with the highest interest rate cards and reduce your credit usage to 30% of what’s been extended to you. Replenish your savings, your 401k and other retirement accounts. You may want to contact CCSInc.org to obtain credit counseling and take free financial classes to re-educate yourself on how to save and spend wisely. A foreclosure can really shatter your confidence, as well as your purchasing power, so it’s important that you take this opportunity to reassess how you approach financial decision making as a whole.
So which is worse for your credit score, a foreclosure or a bankruptcy? Even though bankruptcy stays on your credit for 10 years and a foreclosure for 7, “a foreclosure is very serious to mortgage lenders,” said Ray Hooper, Education and Housing Director for the Consumer Credit Counseling Service. “They’re going look at a foreclosure more seriously than they will a bankruptcy that doesn’t include the house.” Hooper says if you’re receiving default notices but still want to keep your house, then you’ll need to catch up on those missed payments.
Wednesday, September 17, 2008
Get cash now for your mortgage notes and trust deed!
There is a lot of money to be made in real estate, even for people who do not own any property. This is possible if they decide to buy and sell mortgage notes. Real estate notes, commonly known as mortgage notes, are basically contracts that promise to pay the amount that is secured by any real estate property.
What are the steps involved in selling the mortgage note? First, after note sellers receive an initial quote, they advise the broker or the buyer on the cash option that they have chosen.
In note transactions, the phrase ‘simultaneous closing’ is often used to describe transactions that take place when the seller is carrying back a note as payment for his property. The intention behind selling the note is to exchange it for cash. Thus, ‘simultaneous closing’ means that there are two separate closing transactions taking place at the same time, during an escrow closing.
Why do people try to sell a mortgage note? Mainly because people have sudden exigencies or requirements that call for ready cash. Alternately, there are other incidents like the depreciating values of real estate, insurance liabilities, or vandalism that force people to sell mortgage notes. There are also instances where a low interest rate might mean that the mortgage is worth more today than it would be in the future. Then there is the belief that with a nationwide recession, people with ready cash who are quick to act have more prospects than the ones who like to wait and watch.
In the recent years, owner financing has emerged as an established and accepted practice in real estate. The emergence of the private mortgage industry in the US has boosted owner financing as a better and more attractive option that it ever had been in the past.
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What are the steps involved in selling the mortgage note? First, after note sellers receive an initial quote, they advise the broker or the buyer on the cash option that they have chosen.
In note transactions, the phrase ‘simultaneous closing’ is often used to describe transactions that take place when the seller is carrying back a note as payment for his property. The intention behind selling the note is to exchange it for cash. Thus, ‘simultaneous closing’ means that there are two separate closing transactions taking place at the same time, during an escrow closing.
Why do people try to sell a mortgage note? Mainly because people have sudden exigencies or requirements that call for ready cash. Alternately, there are other incidents like the depreciating values of real estate, insurance liabilities, or vandalism that force people to sell mortgage notes. There are also instances where a low interest rate might mean that the mortgage is worth more today than it would be in the future. Then there is the belief that with a nationwide recession, people with ready cash who are quick to act have more prospects than the ones who like to wait and watch.
In the recent years, owner financing has emerged as an established and accepted practice in real estate. The emergence of the private mortgage industry in the US has boosted owner financing as a better and more attractive option that it ever had been in the past.
Please contact us. WE CAN HELP! Click here to email your information!
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