Hello Reader, Every once in a while a concept comes along that makes you think. Seller financing was that concept for me. The seller can just BE the bank? Yes, they can. And once you understand how this works, you will start seeing deals everywhere that everyone else is walking right past. Notes Concept🧠Imagine collecting a check every month with no tenants, no toilets, and no 2am repair calls. Instead of selling a property and walking away, you become the bank. The buyer makes monthly...
10 days ago • 2 min read
Hi Reader, Every once in a while, there’s a conference that’s actually worth the time to attend. One of those for me has been the Diversified Mortgage Expo (DME) in Nashville. It’s one of the few events focused specifically on note investing and seller financing, and the room is filled with people actually doing deals — note buyers, note creators, servicers, lenders, and investors. I’ve found that the real value isn’t just the sessions… It’s the conversations and relationships you build while...
14 days ago • 1 min read
Hey Reader, I used to keep my extra cash in a money market account. It felt responsible and safe. My bank even sent me a little congratulations email when I hit a certain balance. Then I bought my first note and saw what that same money could actually be doing. I never looked at a money market or CD account the same way again. This week, I want to make sure you understand the key differences between those traditional accounts and notes. Plus, introduce a very important person you should know...
17 days ago • 2 min read
Hey Reader, A mentee came to me last month with a deal that looked perfect on paper. Great interest rate. Solid property. Motivated seller. She was ready to wire the money. I looked at the payment history and stopped her. The borrower had only made 4 payments. I told her one word: unseasoned. She passed on the deal and six months later the borrower defaulted. That one word saved her thousands of dollars and this week I am going to make sure it saves you too. Notes Concept🧠Note seasoning...
24 days ago • 2 min read
Hello Reader, I remember the first time someone explained a promissory note to me. My first thought was why didn't anybody tell me about this sooner? Because while most people are handing their money to Wall Street and hoping for the best, note investors are doing something completely different. They are becoming the bank. This week I am breaking down why I will take notes over Wall Street any day of the week. Notes Concept🧠In simple terms a promissory note is a written contract to repay a...
about 1 month ago • 2 min read
Hello Reader, Nobody told me this when I started. The real money when buying notes isn't in the interest rate. It's in what you pay. This week, I'm showing you how discounts work and a real deal I closed using this strategy. Notes Concept🧠A note discount is when you buy a note for less than what the borrower still owes. Think of it like this. A borrower owes $25,000. But you don't pay $25,000 for that note. You pay $22,000. That $3,000 gap between what you paid and what they owe is your...
about 1 month ago • 3 min read
Hello Reader, I used to sit on notes wondering the same thing. Do I hold and keep collecting? Or do I sell and move on? Nobody told me there was a third option sitting right in the middle. It's called a Partial. And it's probably the most underused tool in note investing. Notes Concept🧠A partial is when only a portion of a note's future payments is bought or sold, not the whole thing. Think of it like this. A note has 120 payments left. Instead of selling or buying all 120, you deal with...
about 2 months ago • 1 min read
Hey Reader! Today, we are shifting focus from LTV to ITV. While LTV tells you how much risk the borrower carries, ITV reveals how secure your position is as the note investor. Understanding this distinction could change the way you look at every deal. Let’s dive in. Notes Concept🧠Investment to Value (ITV) is a percentage that measures the likelihood you’ll recover your investment if the borrower defaults. Important metric right? ITV tells you what slice of the property your investment...
about 2 months ago • 2 min read
Hey Reader! Have you ever heard investors talk about LTV and felt confused? This is one of the most important numbers when buying notes, and today’s newsletter breaks down exactly what it is and why it matters. Notes Concept🧠Loan-to-Value (LTV) is a percentage that compares the loan amount to how much the property is worth. Here is the formula. A lower LTV indicates lower risk. I usually underwrite my deals with 70% or less Loan to Value. So if the borrower stops paying and I have to...
about 2 months ago • 2 min read