Helping a note holder with a problem note

We are all about helping a note holder with a problem note. We helped this note holder unlock the monies buried in his note by dealing and correcting some major issues on a commercial property and note.

The owner had failed to keep the property insured against all hazards and listing the noteholder as the mortgagee. The property was sold in 2015, but when Covid hit, the borrower had trouble making mortgage payment since his income from the property was declining as his tenants were leaving.

The noteholder reduced the interest rate and also temporarily reduced the payment amount, so there were back payments due.

We resolved all issues, purchased the modified note and mortgage for top dollar. The result was a very happy and grateful note seller!

Let’s look at another situation where we were helping a note holder with a problem note… But first if you’d like to get an offer a note you own, please fill out the below form.

I'd like BEST PRICE for ALL or PART of My Note

  • This field is for validation purposes and should be left unchanged.

Let review another situation of helping a noteholder with a problem note.

Two years ago, a gentleman sold a single-family owner-occupied home.

There was a 15% down payment and the seller took back a mortgage for 85% of the value of the property.

About 6 months ago, the noteholder approached us as he wanted to sell the entire seller held residential mortgage. But there were some problems.

The home showed areas of concern, and the credit of the borrowers and the equity position was light. In short, this was a difficult underwriting situation.

However, we were able to get the note holder a significant amount of cash, enough to solve his current problem, by only buying a portion of the note.

Six months later, he approached us again and to see if we would buy the rest of the note,

As we had several months of payment experience with the borrower and had already completed due diligence, the purchase of the rest of the note was relatively simple for us. 

The result was that the note holder received $7000 more than he would have if he had sold the entire note 6 months ago. The process took less than a week.

Looking To Sell Your Mortgage Note?

We can help. Just give us a call or submit the form below and we'll evaluate your note and make you a fair cash offer.

Leave a Reply

Your email address will not be published. Required fields are marked *