Are You Stuck Holding Mortgage Notes?

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August

12

If you are stuck holding mortgage notes, or seller financed loans, you aren’t alone. Seller financing has been around for years and years, so this isn’t a new thing by any means. However, the fact is that in recent years, the downturn in the economy caused more sellers to hold notes for their new buyers just to make their deal happen. And often a seller was forced into holding a note when he or she really just wanted to get a lump sum of cash.

If this sounds like you, rest easy because the fact is that you can sell mortgage notes to note buyers. Note buyers are set up to buy such seller financed loans, and in turn can put that desired lump sum of cash in your pocket. However, note buyers will not assume the risk and debt of holding the loan and let you walk away with a huge amount of cash without financial incentive. The financial incentive note buyers will structure with their offer to buy your loan is in the form of an offer that is at less than 100% of the face value of the loan. The actual amount of the offer you receive will be dependent on several factors. Note buyers will consider the credit of the debtor, the value of the property, and financing terms in place such as the term of the loan and the interest rate.

It is important to note that some note buyers will not make offers on certain loans, such as those with a debtor with poor credit. However, it is often factors such as these that drove you to take on seller financing in the first place, and there are some note buyers who will work with you and make an offer that takes into consideration all of these factors.

Click Here To Get A Free Quote On Your Mortgage Notes!

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