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About The Note Business

The business of buying notes secured by real estate or other assets consists of:

Finding the notes is the most difficult part of the business. You want to let the note holders of the world know that you can buy their notes. To do this requires marketing and advertising skills. If you can get your name out to note holders you will be able to buy more notes than those people with poor marketing skills. Finding notes is the only way to succeed in this business. Fortunately, there are many ways of finding holders of notes. But, you must spend at least 80% of your time doing this type of marketing.

Negotiating to buy notes requires good people skills and good skills with a financial calculator. The calculator is easy and fun to learn. Notes can be purchased in so many creative ways that you can solve almost any problem that the note seller may have. Your calculator skills allow you to craft such deliciously complex offers that your note seller will be pleased and your competition will be baffled.

Buying notes requires that you have an outlet to sell them and an escrow company that can make sure the paper work is done correctly. The good news is that the complex, paper part of the note business can be left to the escrow company. You must understand notes and mortgages and trust deeds but the technical parts of this business are best left to the escrow and title companies.

Selling The Notes for a Commission: Unless you have an outlet to sell your notes, you are not in the note business. Because no matter how much money you have, you will eventually run out and have to find investors. The best sources are the corporate financial institutions who will buy your notes for a good price and pay you a handsome commission. In addition, you may cultivate private investors–and even pension funds–to finance your note buying business.

To learn more, we sell inexpensive books at our on-line store.

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  1. 8 Comment(s)

  2. By Al Anzalone | Reply

    What is the best way to market so that note holders will come to you?

    What is the department called at the banks that can sell notes?

  3. By edward naylor | Reply

    what is the best way to find note’s

  4. By Tony | Reply

    Hello,

    I was one of the attendees of your recent (Saturday, 5-21-11 – 2:00pm Eastern) telesiminars and one of the questions I posed was whether or not a license is required to sell notes, but I did not get an answer.

    Although the event was very well presented with plenty of information to absorb, this licensure question is still one I’m interested in knowing more about. Please advise. Thanks.

    Tony

  5. By trojan | Reply

    Hey Tony, i do not believe any sort of license is needed to sell notes. as an example, a lot of folks carryback a mortgage when they sell their house and then sell that note to investors without any licensing. at our company we buy,sell, and service notes. the licensing may come into question when you buy the notes as the seller (if institutional )will require licensing.

  6. By trojan | Reply

    Hey Al,
    most banks have a secondary marketing or capital markets group that handles note sales. I suggest you start with servicing units at small regional banks or credit unions since (im assuming) you buy on a one by one basis. Also, companies like the one i work for sell notes on a onesy twosy basis. also, ad’s in the paper targeting home sellers that carry back notes or hard money lenders that sell their notes can find you some business. good luck

  7. By micky | Reply

    HI.I AM NEW IN U.S.I AM PLANNING TO BUY A MOTEL.FOR THAT I AM SEARCHING FOR GOOD DEALS ON DIFFERENT WEBSITES.ON SOME DEALS THEY SAY(NOTE SALE).THIS IS NEW FOR ME.I WANT TO KNOW EXACT MEANING OF NOTE SALE IN MOTEL BUSINESS.

  8. By Roxie L Diggs | Reply

    I want to earn extra money for my income. Some time ago I saw saleing notes on the TV. I want to learn more about this side of real estate. I want to become an real estate investor. I also know that money can be made in real estat investing. How ever how may I abtain more information on finding notes?

  9. By admin | Reply

    Roxie,
    We have a lot of our Note training inside of our Investing Animals program. You can find out more information at http://www.investinganimals.com. We have monthly training calls and education delivered each month inside this program. We also do a few workshops each year and you can just keep an eye out for those dates. We do not have our next dates confirmed yet.
    Let me know if you have any other questions.

    Noteworthyusa.com
    InvestingAnimals.com
    kelly@noteworthyusa.com

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